title: Former Finance Minister of Mozambique Sentenced in $2B Fraud and Money Laundering Scheme

body_text: The former Finance Minister of Mozambique was sentenced today to 102 months in prison for his role in a $2 billion international fraud, bribery, and money laundering scheme, in which he received $7 million in bribes to approve fraudulent loans. According to court documents and evidence presented at trial, Manuel Chang, 69, of Mozambique, received $7 million in bribes in exchange for signing guarantees on behalf of the Republic of Mozambique to secure funding for three loans for maritime projects. As part of the scheme, Chang and his co-conspirators falsely told banks and investors that the loan proceeds would be used for the projects and not to pay bribes to government officials. In fact, however, Chang and his co-conspirators diverted more than $200 million of the loan proceeds that were used, among other things, to pay bribes and kickbacks to Chang and others. “Manuel Chang abused his position as Finance Minister of Mozambique by obtaining $7 million in bribe payments in exchange for helping secure more than $2 billion in loans,” said Principal Deputy Assistant Attorney General Brent S. Wible, head of the Justice Department’s Criminal Division. “Chang’s brazen misconduct betrayed his duty to the people of Mozambique and defrauded investors, including those in the United States, of substantial amounts. With today’s sentence, Chang has been held accountable for his violations of U.S. law.” “Today’s sentence shows that foreign officials who abuse their power to commit crimes targeting the U.S. financial system will meet U.S. justice,” said Acting U.S. Attorney Carolyn Pokorny for the Eastern District of New York. “My office will continue to pursue those who violate our laws and harm U.S. investors regardless of their power, position or title.” “Manuel Chang abused his authority as the former Mozambique Finance Minister by helping to obtain billions of dollars in loans, a large portion of which was diverted from its intended purposes to satisfy bribe payments, ultimately causing significant financial loss to U.S. and global investors,” said Assistant Director in Charge James E. Dennehy of the FBI New York Field Office. “With the support of his co-conspirators, Chang violated the trust of his office and wielded his position to enrich himself and other Mozambican officials. May today’s sentencing reiterate the FBI’s commitment to dismantling all corruptive malpractices orchestrated by foreign governments, especially those targeting our country as their personal piggy-bank.” Between approximately 2013 and 2015, in his capacity as Mozambique’s Minister of Finance, Chang, together with his co-conspirators — including executives of Privinvest Group, a United Arab Emirates-based shipbuilding company — ensured that Credit Suisse AG, through its subsidiary in the United Kingdom, Credit Suisse Securities (Europe) Limited (CSSEL), and another foreign investment bank would arrange for more than $2 billion to be extended to companies owned and controlled by the Mozambican government: Proindicus S.A. (Proindicus), Empresa Moçambicana de Atum, S.A. (EMATUM), and Mozambique Asset Management (MAM). The proceeds of the loans were intended to fund three maritime projects for which Privinvest was to provide the equipment and services. Specifically, Proindicus was to perform coastal surveillance, EMATUM was to engage in tuna fishing, and MAM was to build and maintain shipyards. Instead, Chang and his co-conspirators illegally facilitated Privinvest’s diversion of more than $200 million of the loan proceeds to bribes and kickbacks. These funds included more than $150 million that Privinvest used to bribe Chang and other Mozambican government officials to ensure that companies owned and controlled by the Mozambican government would enter into the loan arrangements, and that the government of Mozambique would guarantee those loans. The loans were subsequently sold in whole or in part to investors worldwide, including in the United States. In doing so, the participants in the scheme conspired to defraud these investors by misrepresenting how the loan proceeds would be used. Ultimately, Proindicus, EMATUM, and MAM each defaulted on their loans and proceeded to miss more than $700 million in loan payments, causing substantial losses to investors. On Aug. 8, 2024, Chang was convicted at trial of one count of conspiracy to commit wire fraud and one count of conspiracy to commit money laundering. In addition to the term of imprisonment, Chang was ordered to forfeit $7 million. A restitution amount will be determined at a later date. In October 2021, Credit Suisse AG and CSSEL (together, Credit Suisse) admitted to defrauding U.S. and international investors in the financing of an $850 million loan for the EMATUM project. CSSEL pleaded guilty to conspiracy to commit wire fraud and Credit Suisse AG entered into a deferred prosecution agreement with the Criminal Division’s Fraud Section and Money Laundering and Asset Recovery Section (MLARS) and the U.S. Attorney’s Office for the Eastern District of New York. As a part of the resolution, Credit Suisse paid approximately $475 million in penalties, fines, and disgorgement as part of coordinated resolutions with criminal and civil authorities in the United States and the United Kingdom. The FBI New York Field Office investigated the case. Fraud Section Trial Attorney Peter Cooch, MLARS Trial Attorney Morgan Cohen, and Assistant U.S. Attorneys Hiral D. Mehta and Jonathan Siegel for the Eastern District of New York prosecuted the case. The Justice Department’s Office of International Affairs provided substantial assistance. The Justice Department appreciates the assistance of South African authorities, particularly those in the South African Department of Justice and Constitutional Development and the South African Police Service, as well as authorities in the United Kingdom, Switzerland, Spain, and Portugal. MLARS’ Bank Integrity Unit investigates and prosecutes banks and other financial institutions, including their officers, managers, and employees, whose actions threaten the integrity of the individual institution or the wider financial system. The Fraud Section is responsible for investigating and prosecuting Foreign Corrupt Practices Act (FCPA) and Foreign Extortion Prevention Act (FEPA) matters. Additional information about the Justice Department’s FCPA and FEPA enforcement efforts can be found at www.justice.gov/criminal/fraud/fcpa .


title: Mercer Island, Washington man sentenced to home incarceration for sexual assault of teen on aircraft flying to Seattle from Atlanta

component: USAO - Washington, Western

body_text: Seattle – A 72-year-old Mercer Island, Washington man was sentenced today in U.S. District Court in Seattle to 10 years of supervised release during which two years must be served as home incarceration for Attempted Sexual Abuse of a Minor in Special Aircraft Jurisdiction and Abusive Sexual Contact in Special Aircraft Jurisdiction, announced U.S. Attorney Tessa M. Gorman. Munir Walji was convicted following a four-day jury trial in September 2024. At the sentencing hearing U.S. District Judge Tana Lin said Walji’s conduct “called for a term of incarceration.” However, Judge Lin noted Walji’s extremely poor health. “But for your medical conditions I would impose a prison sentence. But I am deeply concerned that a prison sentence would be a death sentence.” “This defendant unbuckled the seat belt of the teen sleeping next to him in the confines of an aircraft, and reached inside her pants, attempting to reach her genitals,” said U.S. Attorney Gorman. “This is shocking conduct that traumatized the victim and impacted her family. We will continue to prosecute these cases demonstrating our commitment to holding these perpetrators accountable.” According to records in the case and testimony at trial, on November 10, 2021, Walji was seated in the aisle seat next to the 15-year-old victim on a Delta Airlines flight from Atlanta to Seattle. The victim’s mother was in the window seat. As the flight neared arrival in Seattle the victim felt a hand on her leg, waking her. She moved away from Walji and tried to go back to sleep. But the touching became more aggressive with Walji rubbing her thigh, and then unbuckling her seatbelt and reaching inside the waistband of her pants and underwear. The victim said something causing Walji to stop. The flight attendants responded to the row when the mother pushed the call button. They moved the mother and victim to a different row. Law enforcement was notified, and Walji was arrested upon arrival in Seattle. In asking for the 30-month sentence recommended by federal pretrial officers, prosecutors wrote to the court, “Despite Walji’s history of family support, opportunity, and career success, he chose to engage in behavior worthy of society’s condemnation. He chose to take advantage of a sleeping 15-year-old girl on a plane who did not know how to respond to this adult male’s nonconsensual sexual advances.” Walji’s attorneys cited his “severe persistent health problems” including blood cancer and reduced lung function that requires him to take 20 medications per day. Being in a congregate setting would be life threatening, according to Walji’s attorneys. Prosecutor Laura Harmon countered that at this juncture it was unknown whether BOP could meet Walji’s medical needs. BOP has facilities with high level medical care for cancer patients. Judge Lin concluded that even though prison was warranted, she was not willing to take the risk that the Bureau of Prisons could not meet his medical needs. Judge Lin also imposed a $5,000 fine and ordered Walji to register as a sex offender. The case was investigated by the FBI. The case was prosecuted by Assistant United States Attorney Brian Wynne and Special Assistant United States Attorney Laura Harmon. Ms. Harmon is a Senior King County Deputy Prosecutor specially designated to prosecute child exploitation and sex crimes in federal court.


title: Former Finance Minister Of Mozambique Sentenced to 102 Months’ Imprisonment for His Role in $2 Billion Fraud and Money Laundering Scheme

component: USAO - New York, Eastern

body_text: BROOKLYN, NY – Earlier today, in federal court in Brooklyn, Manuel Chang, the former Finance Minister of Mozambique, was sentenced by United States District Judge Nicholas G. Garaufis to a term of imprisonment of 102 months and ordered to pay $7 million in forfeiture. The restitution amount will be determined at a later date. Chang was convicted after a four-week trial in July and August 2024 of conspiring to commit wire fraud and money laundering in connection with his role in a $2 billion international fraud, bribery and money laundering scheme that victimized investors in the United States and elsewhere. He was arrested in December 2018 in South Africa, pursuant to a provisional arrest warrant issued at the request of the United States and extradited to the Eastern District of New York in July 2023. Carolyn Pokorny, Acting United States Attorney for the Eastern District of New York, Brent S. Wible, Principal Deputy Assistant Attorney General and head of the Justice Department’s Criminal Division and James E. Dennehy, Assistant Director in Charge, Federal Bureau of Investigation, New York Field Office (FBI), announced the sentence. “Today’s sentence shows that foreign officials who abuse their power to commit crimes targeting the U.S. financial system will meet U.S. justice,” stated Acting United States Attorney Pokorny. “My Office will continue to pursue those who violate our laws and harm U.S. investors regardless of their power, position or title.” “Manuel Chang abused his position as Finance Minister of Mozambique by obtaining $7 million in bribe payments in exchange for helping secure more than $2 billion in loans,” said Principal Deputy Assistant Attorney General Brent S. Wible, head of the Justice Department’s Criminal Division. “Chang’s brazen misconduct betrayed his duty to the people of Mozambique and defrauded investors, including those in the United States, of substantial amounts. With today’s sentence, Chang has been held accountable for his violations of U.S. law.” “Manuel Chang abused his authority as the former Mozambique Finance Minister by helping to obtain billions of dollars in loans, a large portion of which was diverted from its intended purposes to satisfy bribe payments, ultimately causing significant financial loss to U.S. and global investors,” stated FBI Assistant Director in Charge Dennehy. “With the support of his co-conspirators, Chang violated the trust of his office and wielded his position to enrich himself and other Mozambican officials. May today’s sentencing reiterate the FBI’s commitment to dismantling all corruptive malpractices orchestrated by foreign governments, especially those targeting our country as their personal piggy bank.” As proven at trial, Chang received $7 million in bribes in exchange for signing guarantees on behalf of the Republic of Mozambique to secure funding for three loans for maritime projects. As part of the scheme, Chang and his co-conspirators falsely stated to banks and investors that the loan proceeds would be used for the projects and that the borrower would not pay bribes to Mozambican government officials. In fact, however, Chang and his co-conspirators facilitated the criminal diversion of more than $200 million of the loan proceeds that were used to pay bribes and kickbacks to Chang and others. Between approximately 2013 and 2016, in his capacity as Mozambique’s Minister of Finance, Chang, together with his co-conspirators – including executives of Privinvest Group, a United Arab Emirates-based shipbuilding company – ensured that Credit Suisse AG, through its subsidiary in the United Kingdom, Credit Suisse Securities (Europe) Limited (CSSEL), and another foreign investment bank would arrange for more than $2 billion to be extended to companies owned and controlled by the Mozambican government: Proindicus S.A. (Proindicus), Empresa Moçambicana de Atum, S.A. (EMATUM), and Mozambique Asset Management (MAM). The proceeds of the loans were intended to fund three maritime projects for which Privinvest was to provide the equipment and services. Specifically, Proindicus was to perform coastal surveillance, EMATUM was to engage in tuna fishing, and MAM was to build and maintain shipyards. Instead, Chang and his co-conspirators illegally facilitated Privinvest’s diversion of more than $200 million of the loan proceeds to bribes and kickbacks. These funds included more than $150 million that Privinvest used to bribe Chang and other Mozambican government officials to ensure that companies owned and controlled by the Mozambican government would enter into the loan arrangements, and that the government of Mozambique would guarantee those loans. The loans were subsequently sold in whole or in part to investors worldwide, including in the United States. In doing so, the participants in the scheme conspired to defraud these investors by misrepresenting how the loan proceeds would be used. Ultimately, Proindicus, EMATUM, and MAM each defaulted on their loans and proceeded to miss more than $700 million in loan payments, causing substantial losses to investors. In October 2021, Credit Suisse AG and CSSEL admitted to defrauding U.S. and international investors in the financing of an $850 million loan for the EMATUM project. CSSEL pleaded guilty to conspiracy to commit wire fraud and Credit Suisse AG entered into a deferred prosecution agreement with the United States Attorney’s Office for the Eastern District of New York, the Criminal Division’s Fraud Section (Fraud Section) and the Criminal Division’s Money Laundering and Asset Recovery Section (MLARS). As a part of the resolution, Credit Suisse AG and CSSEL paid approximately $475 million in penalties, fines, and disgorgement as part of coordinated resolutions with criminal and civil authorities in the United States and the United Kingdom. The Office’s Business & Securities Fraud Section is handling the case. Assistant United States Attorneys Hiral D. Mehta, Genny Ngai and Jonathan Siegel, and Trial Attorneys Peter Cooch of the Fraud Section and Morgan Cohen of MLARS, are in charge of the prosecution, with assistance from Paralegal Specialist Timothy Migliaro. The Justice Department’s Office of International Affairs provided substantial assistance. The Justice Department appreciates the assistance of South African authorities, particularly those in the South African Department of Justice and Constitutional Development and the South African Police Service, as well as authorities in the United Kingdom, Switzerland, Spain and Portugal. The Defendant: MANUEL CHANG Age: 69 Mozambique E.D.N.Y. Docket No. 18-CR-681 (NGG)


title: Drug Trafficker with Machinegun Sentenced to 16 Years

body_text: RALEIGH, N.C. – Kevon Bracey, age 26, of Wilmington, was sentenced to 196 months in prison and six years of supervised release, after fleeing from police with a bag containing cocaine and a fully automatic machinegun. On September 3, 2024, Bracey pled guilty to the charges. According to court documents and other information presented in court, on February 22, 2024, the Wilmington Police Department was investigating narcotics activity in the South Turners Run area. Officers approached a vehicle where Bracey was a passenger. Bracey exited the vehicle carrying a bag and fled on foot. After a brief chase, police detained Bracey. They searched the area where he had fled and found the bag he had discarded during his escape. The bag contained a loaded 9mm handgun that had been converted into a fully automatic machine gun with an extended magazine. In addition, it held quantities of crack and powdered cocaine. Law enforcement identified Bracey as a validated gang member and noted his extensive criminal history. He has previous convictions for possession of a stolen firearm, possession with intent to distribute heroin, and selling heroin in 2017, as well as possession of a firearm by a felon and discharging a firearm within city limits in 2020. In 2021, he was again convicted of possession of a stolen firearm and possession of a firearm by a felon. Due to these convictions, Bracey was prohibited from possessing any firearms. This investigation was an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launders, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks. Michael F. Easley, Jr., U.S. Attorney for the Eastern District of North Carolina made the announcement after sentencing by U.S. District Judge James C. Dever III. The Bureau of Tobacco, Alcohol and Firearms (ATF) and the Wilmington Police Department investigated the case and Assistant U.S. Attorney Timothy Severo prosecuted 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. 7:24-CR-00028-D.


title: New Bedford Man Sentenced to Prison for Stealing Over $450,000 in Veterans Disability Benefits

component: USAO - Massachusetts

body_text: BOSTON – A New Bedford man was sentenced today for stealing over $450,000 in disability benefits issued by the United States Veterans Benefits Administration (VBA) intended for a 20-year veteran of the United States Marine Corps who was suffering from Amyotrophic Lateral Sclerosis (ALS). Joseph Smith, 71, was sentenced by U.S. District Court Judge Julia E. Kobick to 23 months in prison, to be followed by two years of supervised release. Smith was also ordered to pay $459,550,86 in restitution. In September 2024, Smith pleaded guilty to one count of theft of government benefits and one count of conspiracy to steal government benefits. Smith was charged in June 2024. Shortly after the victim’s ALS diagnosis in August 2015, the VBA approved the victim’s application for disability benefits and awarded him approximately $8,318 in monthly payments. The VBA began issuing payments in September 2015 via monthly checks mailed to the victim’s former residence in New Bedford, where he had resided with Smith’s relative. Between approximately 2015 and 2020, while the victim was hospitalized for ALS, Smith and others received monthly VBA disability checks intended for the victim and deposited those checks into bank accounts they controlled. Smith first deposited the disability checks into a bank account in his own name and then began depositing the checks into a bank account that he and others fraudulently opened in the name of victim. Shortly after depositing the disability checks, Smith withdrew the funds in cash and used the money for personal expenses. In total, between in or around 2015 and 2020, Smith and others stole more than $450,000 in VBA disability benefits intended for the victim. “Every American owes a debt of gratitude to the men and women who have worn the uniform. Stealing from them is simply immoral and Mr. Smith will now pay a heavy price for his egregious betrayal of a veteran who sacrificed for all of us to keep our country free and safe,” said United States Attorney Joshua S. Levy. “Stealing from a Marine Corps veteran who bravely served for 20 years as he battled a devastating illness is about as low as it gets.” “Military veterans deserve our highest reverence and respect,” said Ketty Larco-Ward, Inspector in Charge of the U.S. Postal Inspection Service, Boston Division. “Joseph Smith egregiously stole a disabled veteran’s benefits to enrich himself. Smith was sentenced today for his appalling crime. The U.S. Postal Inspection Service is committed to protecting the integrity of the mail stream and all customers who use it.” “This sentence sends a clear message that individuals who steal VA benefits from disabled veterans will be held accountable,” said Special Agent in Charge Christopher Algieri of the Department of Veterans Affairs Office of Inspector General’s Northeast Field Office. “VA’s programs and services are established to justly compensate deserving veterans and the VA OIG is committed to investigating those who would exploit or defraud these programs.” “Mr. Smith admitted to stealing federal disability benefits, which he gained access to by misusing someone else’s identity, including their Social Security number. This sentence holds him accountable for his role in this deplorable conspiracy to defraud the government,” stated Amy Connelly, Special Agent in Charge, Social Security Administration Office of the Inspector General, Boston-New York Field Division. “I commend the investigators from the U.S. Postal Inspection Service and the Veterans Affairs Office of the Inspector General and prosecutors from the U.S. Attorney’s Office for their diligent efforts in working this case.” U.S. Attorney Levy, USPIS INC Larco-Ward, VA-OIG SAC Algieri and SSA-OIG SAC Connelly made the announcement today. Assistant U.S. Attorney Benjamin A. Saltzman of the Securities Financial & Cyber Fraud Unit prosecuted the case.


title: Muskogee Resident Sentenced For Failure To Register As Sex Offender

component: USAO - Oklahoma, Eastern

body_text: MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announced that Stephen Patrick Looper, age 69, of Muskogee, Oklahoma, was sentenced to ten months in prison, to be followed by five years of supervised release, for failing to register as a sex offender. The charge arose from an investigation by the United States Marshals Service Violent Crime Fugitive Task Force, the Muskogee Police Department, and the Muskogee County Sheriff’s Office. On August 13, 2024, Looper pleaded guilty to one count of Failure to Register as Sex Offender. On September 6, 2002, Looper was convicted of Sexual Performance of a Child by the State of Texas. Looper was advised of the requirement to register as a sex offender and to inform law enforcement of any change in residency. According to investigators, from January 2024 until July 10, 2024, Looper failed to register as a sex offender despite moving into and living at a residence in Muskogee County, within the Eastern District of Oklahoma. The Honorable John F. Heil, III, U.S. District Judge in the United States District Court for the Eastern District of Oklahoma, presided over the hearing. Looper will remain in the custody of the U.S. Marshals Service pending transportation to a designated United States Bureau of Prisons facility to serve a non-paroleable sentence of incarceration. Assistant U.S. Attorneys Caila M. Cleary and Sarah McAmis represented the United States.


title: HF Sinclair Navajo Agrees to Settlement to Reduce Climate- and Health- Harming Emissions at Artesia Refinery in New Mexico

component: Energy and Natural Resources Division

body_text: The Justice Department, the Environmental Protection Agency (EPA) and the New Mexico Environment Department (NMED) today announced a proposed settlement with HF Sinclair Navajo Refining LLC, an HF Sinclair Corp. subsidiary, resolving alleged Clean Air Act and New Mexico Air Quality Control Act violations at the company’s oil refinery in Artesia, New Mexico. Under the settlement, HF Sinclair Navajo must pay a civil penalty of $35 million, owed in equal shares to the United States and the State of New Mexico. The company must implement compliance measures at an estimated cost of $137 million, including significant capital investments, to reduce emissions at its refinery. The compliance measures are projected to achieve reductions of: 180 tons per year of hazardous air pollutants, including benzene, 2,716 tons per year of volatile organic compounds (VOCs), 51 tons per year of NOx and 31 tons per year of sulfur dioxide (SO 2 ). These include reductions already achieved in response to EPA’s investigations. All told, the emission reductions have a related climate benefit of reducing 97,551 tons per year of carbon dioxide emission equivalence. HF Sinclair Navajo also must operate 10 real-time air pollution monitors along the refinery fence line and one real-time air pollution monitor and six other passive monitors in the town of Artesia to measure refinery air pollution emissions and make the results available on a public website. The refinery is adjacent to a community overburdened by pollution. This settlement is part of the Justice Department and EPA’s ongoing commitment to address unlawful pollution in historically marginalized and disproportionally impacted communities. “This settlement reinforces the United States’ commitment to protect communities from illegal refinery benzene and VOC emissions,” said Acting Assistant Attorney General Katherine E. Konschnik of the Justice Department’s Environment and Natural Resources Division (ENRD). “Under the settlement, the refinery will make significant capital investments in pollution controls and implement additional programs to improve air quality and reduce health impacts on the residents of Artesia, including the students at Roselawn Elementary School.” “HF Sinclair Navajo’s failure to monitor and control the release of benzene, a known carcinogen, and other hazardous and toxic air pollutants posed a significant threat and potential health risks to the nearby community,” said Acting Assistant Administrator Cecil Rodriguez of EPA’s Office of Enforcement and Compliance Assurance. “The monitoring required by today’s settlement will ensure that the community and state and federal regulators will have real-time emissions data to help ensure the community is protected against future health impacts from the refinery’s operations.” “The fenceline community in Artesia has lived with the burden of benzene and VOC emissions for many years. This settlement is an overdue step in bringing them some relief from the potential health effects of these pollutants,” said EPA Regional Administrator Dr. Earthea Nance. “The Roselawn Elementary School, just hundreds of feet away from the HF Sinclair refinery, is a reminder of how critical our rulemaking and enforcement efforts are to protecting the health and environment of impacted citizens.” “Today’s settlement continues to hammer home that if you don’t follow through on your commitments to clean air by following our rules, permits, or prior settlement agreements, you will pay for it in fines,” said Secretary James Kenney of NMED. “Today’s action not only obtains civil penalties — it forces the Artesia Refinery to invest in a number of projects to benefit our state, including improving controls for cancer-causing benzene emissions and other pollutants that infringe on New Mexicans’ right to breathe clean air.” HF Sinclair Navajo has agreed to take the necessary measures to address the refinery’s failure to comply with regulations that govern a wide range of refinery equipment and operations, including flaring, fenceline monitoring of benzene emissions, wastewater, storage vessels, heat exchanger leaks and leak detection and repair. These failures are alleged in the United States’ complaint, filed simultaneously with the settlement, and resulted in the release of hazardous air pollutants and VOCs directly into the air. The company will address these failures by: Installing a flare gas recovery system that will reduce VOC, SO 2 , and NOx, and greenhouse gas emissions; Implementing capital investments and additional upgrades to wastewater equipment to reduce benzene in wastewater streams and an enhanced monitoring program to more quickly identify and address air pollution emissions; Implementing numerous projects, such as the installation of geodesic domes, for storage vessels to reduce VOC emissions and an enhanced and innovative monitoring program to more quickly identify and address air pollution emissions; Strengthening leak detection and repair practices at the refinery to lower VOC and HAP emissions from process equipment and Implementing an enhanced inspection and chemical monitoring program of heat exchangers to more quickly identify VOC and HAP emissions from cooling towers. In 2018 and 2019, monitoring at the refinery recorded the highest refinery fenceline benzene concentrations in the country. Under the settlement HF Sinclair Navajo agreed to operate and maintain air pollution monitors at the facility fenceline and in the community at an estimated cost of $1.8 million. The monitoring will help ensure compliance with Clean Air Act’s regulations, and help the company identify and address potentially harmful emission sources more quickly. Additionally, the fenceline and community monitoring will help regulators and the community hold HF Sinclair Navajo accountable for harmful air pollutants entering the community. Benzene is known to cause cancer in humans and is associated with short-term and long-term inhalation exposure risks. VOCs, along with nitrous oxide, play a major role in the atmospheric reactions that produce ozone, which is the primary constituent of smog. Ground-level ozone exposure is linked to a variety of short- and long-term health problems. HF Sinclair Corp. is a publicly traded energy company headquartered in Dallas. The Artesia refinery serves markets in the southwestern United States and has a crude oil capacity of 100,000 barrels per day. The proposed consent decree was filed with the U.S District Court for the District of New Mexico and is subject to a 30-day comment period. The complaint and the proposed consent decree are available at www.justice.gov/enrd/consent-decrees . EPA and NMED investigated the case. Attorneys with ENRD’s Environmental Enforcement Section are handling the case.


title: Former Oakland Mayor Sheng Thao, Thao’s Longtime Partner, And Two Local Businessmen Charged With Bribery Offenses

component: USAO - California, Northern

body_text: OAKLAND – An eight-count indictment was unsealed today charging former Oakland Mayor Sheng Thao, her longtime romantic partner Andre Jones, and local businessmen David Trung Duong and Andy Hung Duong with bribery offenses, and charging Andy Duong with making false statements to government agents. According to the indictment filed Jan. 9, 2025, in the weeks leading up to the City of Oakland mayoral election in November 2022 and following her election as mayor, Thao promised to take official actions as the mayor of Oakland to benefit David Duong and Andy Duong, in exchange for the Duongs providing various benefits to Thao and Jones. David Duong was the president and CEO of a recycling company that provided residential recycling collection services to Oakland households, and was also the chairman and co-owner of a housing company formed to develop and manufacture prefabricated modular homes. Andy Duong, David Duong’s son, was an employee of the recycling company and also a founder and co-owner of the housing company. The indictment describes that Thao promised to commit the City of Oakland to purchase housing units from the Duongs’ housing company, extend the City’s contract with the Duongs’ recycling company, and appoint city officials selected by the Duongs. In exchange, David and Andy Duong promised to and did fund a $75,000 negative mailer campaign targeting Thao’s opponents in the mayoral election, and made $95,000 in payments to Jones for a no-show job with their housing company, with the promise of additional payments, all intended for the benefit of Thao and Jones. Once Thao became Mayor of Oakland in January 2023, she allegedly took steps in furtherance of the corrupt relationship with the Duongs, including using her influence to help appoint a high-level City of Oakland official selected by David and Andy Duong, and requesting that members of her staff meet with and tour the Duongs’ housing company. Thao allegedly benefitted from the payments that the Duongs made to Jones. Financial records indicate that before Jones began receiving payments as a result of the bribery scheme, Thao either paid the entirety of or split with Jones the rent for their shared residence. However, starting in January 2023, soon after Jones began receiving payments as part of the bribery scheme, Jones began paying the entirety of their rent. In addition, beginning in January 2023, Jones increased his contribution to, or paid the entirety of, shared bills with Thao, including household utility bills and mobile phone bills. Defendants allegedly took steps to conceal their bribery scheme by, among other actions: at Thao’s direction, making the bribe payments to Jones to avoid a paper trial to Thao; misrepresenting that Jones had a legitimate job with the Duongs’ housing company to mask the bribery payments; creating false invoices for the bribe payments from the Duongs’ recycling company; and failing to disclose benefits received on California Form 700, Statement of Economic Interests. “The public deserves honesty and transparency from City Hall. When elected officials agree to a pay-to-play system to benefit themselves rather than work for the best interests of their constituents, that breaches the public trust,” said First Assistant United States Attorney Patrick D. Robbins. “This indictment reaffirms the U.S. Attorney’s Office’s commitment to root out, investigate, and prosecute corruption in our local governments.” “Our communities are entitled to leaders who act in their best interest, free from the shadow of corruption,” said FBI Acting Special Agent in Charge Dan Costin. “Today’s actions demonstrate our resolute determination to protect the integrity of our government and ensure accountability for those who betray the public’s trust.” “To protect the public trust, Postal Inspectors worked closely with the U.S. Attorney’s Office and our partners at the FBI and IRS Criminal Investigation (CI) to investigate and prosecute those individuals responsible for fraud schemes committed against a government agency, businesses, and the public,” said San Francisco Division Inspector in Charge Stephen M. Sherwood of the U.S. Postal Inspection Service (USPIS). “The alleged crimes committed against the citizens of Oakland by former Mayor Thao and her co-conspirators are a clear breach of public trust and cannot be tolerated,” said IRS Criminal Investigation Oakland Field Office Special Agent in Charge Linda Nguyen. “Public corruption schemes are rooted in greed and typically leave a money trail behind. IRS-CI specializes in following that trail and building cases that lead to justice.” The indictment charges each defendant with one count of conspiracy to commit bribery in violation of 18 U.S.C. § 371; one count of bribery concerning programs receiving federal funds in violation of 18 U.S.C. § 666(a)(1)(B) or 18 U.S.C. § 666(a)(2); one count of conspiracy to commit honest services mail and wire fraud in violation of 18 U.S.C. § 1349; one count of honest services mail fraud in violation of 18 U.S.C. §§ 1341, 1346; and two counts of honest services wire fraud in violation of 18 U.S.C. §§ 1343, 1346. Andy Duong was also charged with one count of making false statements to government agents in violation of 18 U.S.C. § 1001(a)(2). An indictment merely alleges that crimes have been committed, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt. If convicted, defendants face a maximum sentence of 20 years in prison for each count under 18 U.S.C. § 1349, 18 U.S.C. § 1341, and 18 U.S.C. § 1343, a maximum sentence of 10 years in prison for each count under 18 U.S.C. §§ 666(a)(1)(B) and (a)(2), and a maximum of five years in prison for the count under 18 U.S.C. § 371. Andy Duong faces a maximum sentence of five years in prison for the count under 18 U.S.C. § 1001. Any sentence following conviction would be imposed by the court after consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. § 3553. The defendants are scheduled to make their initial federal court appearance in Oakland at 10:30 a.m. on Jan. 17, 2025, before U.S. Magistrate Judge Kandis A. Westmore. Assistant U.S. Attorneys Molly K. Priedeman, Abraham Fine, and Lloyd Farnham are prosecuting the case with the assistance of Amala James and Madeline Wachs. The prosecution is the result of an investigation by the FBI, USPIS, and IRS-CI. Sheng Thao Indictment


title: Adair County Resident Sentenced For Felony Assault

component: Federal Bureau of Investigation (FBI)

body_text: MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announced that Cody Wayne Tye, age 34, of Watts, Oklahoma, was sentenced to time served plus three years supervised release for one count of Assault of a Spouse, Intimate Partner, and Dating Partner in Indian Country. The charge arose from an investigation by the Federal Bureau of Investigation, the Watts Police Department, and the Westville Police Department. On March 11, 2024, Tye pleaded guilty to the charge. According to investigators, on September 18, 2022, Tye assaulted an individual at an apartment in Westville, Oklahoma. During the attack, Tye wrapped both hands around the victim’s neck and shoved the victim against a wall, strangling the victim and causing bruising and abrasions. The crime occurred in Adair County, within the boundaries of the Cherokee Nation Reservation, in the Eastern District of Oklahoma. The Honorable John F. Heil, III, U.S. District Judge in the United States District Court for the Eastern District of Oklahoma, presided over the hearing. Assistant U.S. Attorneys Rachel Geizura and Edith Singer represented the United States.


title: Shreveport Man and Two Women Sentenced to Federal Prison for Their Involvement in Conspiracy to Distribute Fentanyl Resulting in Death Case

component: Drug Enforcement Administration (DEA)

body_text: SHREVEPORT, La. – United States Attorney Brandon B. Brown announced that three individuals from Shreveport have been sentenced for their involvement in a drug trafficking conspiracy which resulted in the death of a Shreveport man. United States District Judge Elizabeth E. Foote sentenced the three defendants today. Martin William Thompson , 53, was sentenced to 240 months (20 years) in prison, followed by 5 years of supervised release. Rachel Ann Hassell , 47, was sentenced to 121 months (10 years, 1 month) in prison, followed by 5 years of supervised release. Courtney Renee Cox , 41, was sentenced to 121 months (10 years, 1 month) in prison, followed by 5 years of supervised release. In addition, Thompson and Cox were ordered to pay $13,234.73 in restitution to the deceased victim's family. Thompson, Hassell, and Cox were charged in an indictment in April 2022 with conspiracy to distribute fentanyl resulting in death and serious bodily injury, possession with intent to distribute heroin, using or maintaining drug premises and possession of firearms in furtherance of drug trafficking. In 2021, agents with the U.S. Drug Enforcement Administration (“DEA”) and Caddo Parish Sheriff's Office received information about the distribution of fentanyl and other illegal drugs in the Shreveport area and began an investigation. At the direction of DEA agents, on July 24, 2021, a Louisiana State Police trooper stopped a vehicle being driven by two individuals on Jewella Avenue in Shreveport. During a subsequent search of their car, agents found 1.5 kilograms of methamphetamine, 1.1 kilograms of fentanyl in a brick form, and 639.9 grams of fentanyl pills (over 5,000 pills). Agents learned that these two individuals had mad multiple previous trips to El Paso to purchase narcotics dating back to January 2021. Through their investigation, agents learned that the fentanyl pills were destined for Martin Thompson and that he had purchased the fentanyl. On May 29, 2021, officers responded to a single car crash in Greenwood, Louisiana, and discovered that the driver was unconscious and not breathing but was otherwise uninjured. Inside the vehicle was the driver’s minor son who was also unharmed. The driver passed away that day and the medical examiner determined his death was caused by a fentanyl overdose. Further investigation by DEA agents proved that the driver had obtained fentanyl from Courtney Cox, who had gotten it from her local supplier, Thompson. Cox later confessed to supplying the deceased victim with the fentanyl she obtained from Thompson. She also admitted that Thompson had warned her that the fentanyl pills were very strong and to only snort a half pill. Cox explained that she passed the warning to her customers, including the deceased victim. Through further investigation into this drug trafficking conspiracy, Rachel Hassell was arrested in Shreveport in September 2021 for possession with intent to deliver a controlled substance, later determined to be heroin. Following her arrest, DEA agents searched Thompson’s business and discovered more heroin. In total, the lab determined that Hassell possessed 50.864 grams of heroin. Agents obtained a search warrant for Hassell’s cell phone and learned that Thompson was receiving large shipments of fentanyl through another co-conspirator and Hassell began distributing the fentanyl along with Thompson. Numerous text messages were found between Hassell and Thompson concerning the delivery of fentanyl. The text messages showed that the two were working together to distribute the fentanyl, as well as heroin, methamphetamine, and marijuana, and were storing the drugs at his place of business on Williamson Way in Shreveport. Hassell admitted to agents that she and Thompson discussed that the fentanyl pills were very strong, and he should tell his customers to consume only a half pill at a time. Thompson and Cox each pleaded guilty to the charge of conspiracy to distribute fentanyl resulting in death and serious bodily injury. Hassell pleaded guilty to a Bill of Information charging her with conspiracy to distribute fentanyl, possession with intent to distribute heroin, and using or maintaining drug premises for the purpose of distributing and using fentanyl, heroin, methamphetamine and marijuana. “This is the first distribution of fentanyl resulting in death conviction obtained in the Western District of Louisiana,” said U.S. Attorney Brandon B. Brown. “Fentanyl is a very dangerous drug and just a few grains of the substance can have deadly consequences which is unfortunately what happened in this case. We will continue to vigorously prosecute those who possess this drug, and any other illegal controlled substances, and will work closely with all of our law enforcement partners to disrupt these traffickers, stopping them in their tracks.” The case was investigated by the U.S. Drug Enforcement Administration, Caddo Parish Sheriff’s Office, Bureau of Alcohol, Tobacco, Firearms and Explosives, Louisiana State Police, and Shreveport Police Department and prosecuted by Assistant United States Attorney Robert F. Moody. # # #


title: Wausau Man Sentenced to More Than 8 Years for Cocaine Trafficking and Firearms Possession

component: USAO - Wisconsin, Western

body_text: MADISON, WIS. – Timothy M. O’Shea, United States Attorney for the Western District of Wisconsin, announced that Craig C. Gates, 46, Wausau, Wisconsin, was sentenced yesterday by U.S. District Judge William M. Conley to 106 months in federal prison for possessing cocaine intended for distribution and possessing a loaded firearm in furtherance of a drug trafficking crime. The prison term will be followed by 5 years of supervised release. Gates pleaded guilty these charges on October 28, 2024. In February 2022, Central Wisconsin Narcotics Task Force officers began investigating a methamphetamine and cocaine trafficking organization operating in Wausau, Wisconsin, led by Tommie Haney and Quo Vadis Lewis. The multi-year investigation involved the seizure of drug-laden packages from the mail, controlled purchases of narcotics, and seizures of firearms and large quantities of drugs from residence searches. From the investigation, officers believe the drug trafficking organization was distributing kilograms quantities of methamphetamine and cocaine. Craig Gates was identified as a frequent source of cocaine for Lewis and on June 28, 2023, officers with the Central Wisconsin Narcotics Task Force executed a search warrant at Gates’s residence. Agents recovered a loaded Ruger 9mm handgun, over 420 grams of cocaine, over $11,000 in cash, and drug trafficking paraphernalia. Gates is prohibited from legally possessing firearms and ammunition because of multiple prior felony convictions. During a later interview with law enforcement, Gates admitted that he had been selling cocaine for a long time. Gates said that he considered Lewis a friend, knew him a long time, and was Lewis’s source of cocaine. Further, Gates admitted to supplying 3 additional distributors, and receiving one or more kilograms at a time from his own source. Gates thought the cocaine came from cartels in Mexico because it came wrapped and stamped. Gates was on state supervision for five different state cases while trafficking cocaine. His state supervision has since been revoked and he was ordered to serve one year in county jail. At sentencing, Judge Conley noted that Gates was identified as a primary source of cocaine for Quo Vadis Lewis and other distributors. Judge Conley highlighted the many aggravating factors in the case, including the large amount of cocaine recovered, the loaded firearm, Gates’s lengthy criminal history including violence, and his being on supervision for five cases while trafficking cocaine. Eight others were also charged in connection with this drug trafficking organization. Teala L. Kumbera was convicted of conspiracy to distribute cocaine and methamphetamine and sentenced on November 14, 2024, to 54 months in federal prison. Shandel L. Mohr was convicted of conspiracy to distribute cocaine and methamphetamine and sentenced on December 3, 2024, to 12 months and 1 day in federal prison. Quo Vadis Lewis was convicted of conspiracy to distribute 500 grams or more of methamphetamine and 500 grams or more of cocaine and possessing firearms as a felon and was sentenced on January 3, 2025, to 12 ½ years in federal prison. Shelby Gutch pleaded guilty to conspiracy to distribute methamphetamine and cocaine on January 7, 2025, and entered into a 24-month diversion agreement. Troy C. Olsen was convicted of conspiracy to distribute methamphetamine and cocaine and was sentenced on January 8, 2025, to 45 months in federal prison. Tommie Haney, Edwin Lewis, and Samuel A. Teague have all pleaded guilty and are scheduled to be sentenced in the coming months. The charges against Gates were the result of an investigation conducted by the Federal Bureau of Investigation’s Central Wisconsin Narcotics Task Force comprised of investigators from the FBI, Wisconsin State Patrol, Wisconsin Department of Criminal Investigation, Lincoln County Sheriff’s Office, Marathon County Sheriff’s Office, Portage County Sheriff’s Office, Mountain Bay Police Department, Wausau Police Department and Wisconsin National Guard Counter Drug Program. The Marathon County District Attorney’s Office also assisted with the investigation. Assistant U.S. Attorney Steven P. Anderson prosecuted this case. This case has been brought as part of Project Safe Neighborhoods (PSN), the U.S. Justice Department’s program to reduce violent crime. The PSN approach emphasizes coordination between state and federal prosecutors and all levels of law enforcement to address gun crime, especially felons illegally possessing firearms and ammunition and violent and drug crimes that involve the use of firearms. This operation is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.


title: Man Sentenced for Transporting Child Sexual Abuse Materials

body_text: San Antonio, Texas – A Floresville man was sentenced yesterday to 200 months in prison for transporting child sexual abuse material to others. According to court documents, Jeremy Michael Prieto, 34 years old, transported child sexual abuse material to others, including to an undercover FBI account. Prieto has been trafficking in child sexual exploitation material since at least 2016 and demonstrated a sexual interest in children for most of his life. Prieto had thousands of files on multiple devices. Prieto was ordered to serve lifetime on supervised release, and pay $100,000 in restitution to 20 victims of his offense. He was also ordered to forfeit the devices and accounts used to traffic the child sexual abuse material. U.S. Attorney Jaime Esparza of the Western District of Texas made the announcement. The Federal Bureau of Investigation investigated the case. Assistant U.S. Attorney Tracy Thompson prosecuted the case.


title: Little Rock Woman Sentenced to 15 Years in Federal Prison After Transporting Stolen Human Remains

component: USAO - Arkansas, Eastern

body_text: LITTLE ROCK—Candace Chapman Scott, 37, of Little Rock, will serve a total of 15 years in federal prison for transporting stolen human body parts—including fetuses—out of Arkansas and conspiracy to commit mail fraud. Jonathan D. Ross, United States Attorney for the Eastern District of Arkansas, announced the sentence, which was handed down on Thursday, January 16, 2025, by United States District Judge Brian S. Miller. The investigation revealed that Scott, while an employee at a mortuary services provider between October 2021 through approximately July 15, 2022, stole human body parts and fetal remains. Scott would then sell the body parts and fetal remains to a purchaser in Pennsylvania. The investigation revealed that Scott met the Pennsylvania purchaser through a Facebook group that openly discussed the sale of body parts. Ultimately, Scott sent the purchaser 24 boxes containing stolen human remains that she acquired at the mortuary provider, including two fetuses. Scott acknowledged in communications with the purchaser that ashes from other cremated bodies would be returned to the parents of the deceased fetuses, instead of ashes from their child. The remains included a skull, multiple brains, an arm, an ear, multiple lungs, multiple hearts, multiple breasts, a belly button, testicles, and other parts. During a search warrant executed at Scott’s Little Rock home, investigators found numerous stolen body parts that she admitted she transported in trash bags from her work. Scott received a total of $10,625 from the purchaser in Pennsylvania for the human remains. “Imagine learning that the cremated remains of your child given to you after their death were not actually those of your child, because instead the FBI recovered the body of that child in another state. That is the shocking truth that happened in this case for the family of “Baby Lux,” stated Jonathan D. Ross, United States Attorney for the Eastern District of Arkansas. “Baby Lux was named ‘Lux Siloam,’ which means ‘light sent,’ and now his light has illuminated an evil and dark underworld of criminals who engage in the trafficking of stolen human bodies and body parts. And with help from the powerful testimony of Baby Lux’s mother and grandmother at yesterday’s sentencing hearing, the criminal responsible for the theft and trafficking of the bodies and body parts of many Arkansas victims, including Baby Lux, has been held accountable. Let today’s sentence stand as a warning to anyone else committing these crimes that our office will spare no effort to find you, arrest you, and seek the harshest penalty under the law.” “This was a truly incomprehensible and detestable crime,” said Federal Bureau of Investigation Little Rock Special Agent in Charge Alicia D. Corder. “This sentencing does not reverse the immeasurable damage that has been caused to the victimized families, however, the FBI and our partners will continuously work to ensure justice is served for all.” Judge Miller sentenced Scott to 10 years in federal prison for interstate transportation of stolen property and 15 years in prison for conspiracy to commit mail fraud. Scott will serve both sentences concurrently for a total of 15 years. Judge Miller also sentenced Scott to a total of three years’ supervised release, a fine of $10,625, and restitution in the amount of $1,800. There is no parole in the federal system. Scott was indicted on April 5, 2023, and pled guilty to conspiracy to commit mail fraud and interstate transportation of stolen property on April 25, 2024. The case was investigated by the FBI and the Arkansas State Police, with assistance from the United States Postal Inspection Service, the Pulaski County Coroner’s Office, and the East Pennsboro Township Police Department (Pennsylvania). This case was prosecuted by Assistant United States Attorneys Amanda Jegley and Michael Gordon. # # # Additional information about the office of the United States Attorney for the Eastern District of Arkansas, is available online at https://www.justice.gov/edar X (formerly known as Twitter): @USAO_EDAR


title: San Antonio Man Sentenced in Child Porn Case

component: USAO - Texas, Western

body_text: San Antonio, Texas – A San Antonio man was sentenced yesterday to 15 years in Federal prison, lifetime supervised release, to pay $94,000 to 14 victims, forfeit all devices and online accounts used to obtain or possess child exploitation material and pay a $100 special assessment to the Victim of Crimes Fund for obtaining and storing child sexual abuse materials. According to court documents, Ignacio Sanchez Mendoza, III, 42, was discovered using the dark-web to obtain child sexual abuse material and Department of Homeland Security investigators executed a search warrant at his home in San Antonio and found devices containing child sexual abuse materials. Mendoza was previously convicted of possessing child pornography in Bexar County in 2004 making his federal mandatory minimum sentence 15 years. U.S. Attorney Jaime Esparza of the Western District of Texas made the announcement. He said: “Child sexual abuse material is not only harmful to the victims and dangerous to our society, but is often extremely addicting for some people. People like the defendant who have a sexual interest in children often refuse to stop exploiting these children despite prior incarceration and treatment. That is why the US Attorney’s Office for the Western District of Texas prioritizes these crimes and those that prey on the most vulnerable in our society. The Department of Homeland Security Investigations in both Boston and San Antonio investigated the case. Assistant U.S. Attorney Tracy Thompson prosecuted the case. ###


title: New Mexico Man Pleads Guilty to Federal Criminal Charge for Setting a Fire at San Bernardino County Church and Preschool Last Year

component: USAO - California, Central

body_text: LOS ANGELES – A New Mexico man pleaded guilty today to setting on fire a San Bernardino County church and preschool last year while children and school employees were inside. Jonathan A. Barajas Nava, 37, of Albuquerque, New Mexico, pleaded guilty to a single-count superseding information charging him with damage to religious property. "This defendant's violent actions against a religious property put lives - including those of children - in danger," said United States Attorney Martin Estrada. "I commend our federal and local partners for working together to arrest and prosecute this individual, whose criminal acts could have caused a much larger tragedy." According to his plea agreement, on April 24, 2024, Nava set fire to the Retreat Church and Yucaipa Christian Preschool in Yucaipa. Before setting the church on fire, Nava traveled to a nearby gasoline station and purchased a gasoline can and filled it with gasoline. He then traveled to the church with the can and poured the liquid on the church’s front door. Then, he used an open-flame device to set the area on fire. The resulting fire damaged the church’s interior carpet, the doorframe seal, and an outdoor mat. Staff and children inside evacuated the building. Nava then traveled to a nearby strip mall and set fire to the exterior wall, which resulted in no damage. Nava admitted in his plea agreement that he set fire to the church because of its religious character. Nava was arrested on April 24 and was charged in state court prior to a federal criminal case being brought against him. United States District Judge John F. Walter scheduled a March 31 sentencing hearing, at which time Nava will face a statutory maximum sentence of 20 years in federal prison. The Bureau of Alcohol, Tobacco, Firearms and Explosives; the California Department of Forestry and Fire Protection; and the San Bernardino County Sheriff’s Department investigated this matter. Assistant United States Attorneys Austin D. Young and Peter Dahlquist of the Riverside Branch Office are prosecuting this case.


title: Two Men Sentenced in Connection with Smuggling of Gun Parts to Mexico

body_text: San Antonio, Texas – Two Mexican nationals have been sentenced to prison as part of a conspiracy to smuggle AR-15 parts out of the United States and into Mexico. Jose Francisco Garcia-Cervantes was sentenced today to 57 months in prison. Ricardo Rodriguez-Sotelo was sentenced to 78 months in prison on October 24, 2024, as part of the same case. According to court documents, both men participated in the illegal trafficking of firearm parts from the Western and Southern Districts of Texas to Mexico. Garcia-Cervantes acted as a smuggler for the operation and transported boxes of gun parts to Mexico. Rodriguez-Sotelo prepared gun parts to be smuggled across the border by repackaging them at a storage unit in Laredo, Texas, where they would be picked up for delivery by truck to Mexico. Three co-defendants, Chandler Britain Bradford, Troy Vernon Erbe, and Jesus Guzman-Delgado are pending trial. U.S. Attorney Jaime Esparza of the Western District of Texas made the announcement: “Rodriguez-Sotelo and Garcia-Cervantes played significant roles in an operation that moved a vast number of gun parts from the United States to Mexico. We will continue to work diligently with law enforcement partners to combat weapons trafficking and the illegal flow of guns to Mexico.” The Bureau of Alcohol, Tobacco, Firearms and Explosives, along with the Department of Homeland Security Investigations and Department of Commerce Export Enforcement Division investigated the case. Assistant U.S. Attorney William F. Calve prosecuted the case. ###


title: Fentanyl Trafficker Sentenced

body_text: Austin, Texas – A Texas man was sentenced today to 168 months in prison to be followed by 3 years of supervised release for distributing fentanyl and other illegal controlled substances. The sentence included the forfeiture of $34,567 in drug proceeds, assorted jewelry, and nineteen firearms. According to court documents, Joshua James Calvo, 37, distributed a variety of controlled substances between February and May 2024. DEA, through informants, bought heroin and methamphetamine from Calvo on three occasions: February 11, March 21, and April 11, 2024. DEA then obtained and executed a Federal search warrant on May 1, 2024, for Calvo's residence. Inside the residence, DEA agents found approximately 23 pounds of drugs, including 1.2kg of fentanyl, 8.2kg of marijuana, 890g of heroin, and 295g of meth. The DEA also seized nineteen firearms and $34,567 in cash. Calvo was arrested. Joshua Calvo's sentencing continues this Office's efforts to stem the tide in the greater Austin area of the illegal drug distribution of fentanyl and other controlled substances. The DEA and its agents combined with Williamson Co. Sheriff's Office and Georgetown Police Dept. to investigate this case to its conclusion. U.S. Attorney Jaime Esparza of the Western District of Texas made the announcement. The DEA along with Williamson Co. Sheriff's Office and Georgetown Police Dept. investigated the case. Assistant U.S. Attorney Daniel Castillo prosecuted the case. ###


title: Justice Department Files Nationwide Lawsuit Alleging Walgreens Knowingly Filled Millions of Prescriptions that Lacked a Legitimate Medical Purpose

component: Civil Division

body_text: In a civil complaint filed yesterday in the U.S. District Court for the Northern District of Illinois, the Justice Department alleges that Walgreens Boots Alliance, Walgreen Co. and various subsidiaries (collectively, Walgreens) dispensed millions of unlawful prescriptions in violation of the Controlled Substances Act (CSA) and then sought reimbursement for many of these prescriptions from various federal health care programs in violation the False Claims Act (FCA). Walgreens is one of the country’s largest pharmacy chains, with over 8,000 pharmacies across the United States. “This lawsuit seeks to hold Walgreens accountable for the many years that it failed to meet its obligations when dispensing dangerous opioids and other drugs,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “Our complaint alleges that Walgreens pharmacists filled millions of controlled substance prescriptions with clear red flags that indicated the prescriptions were highly likely to be unlawful, and that Walgreens systematically pressured its pharmacists to fill prescriptions, including controlled substance prescriptions, without taking the time needed to confirm their validity. These practices allowed millions of opioid pills and other controlled substances to flow illegally out of Walgreens stores.” The government’s complaint alleges that, from approximately August 2012 through the present, Walgreens knowingly filled millions of prescriptions for controlled substances that lacked a legitimate medical purpose, were not valid, and/or were not issued in the usual course of professional practice. Among the millions of unlawful prescriptions that Walgreens allegedly filled were prescriptions for dangerous and excessive quantities of opioids, prescriptions for early refills of opioids and prescriptions for the especially dangerous and abused combination of drugs known as the “trinity,” which is made up of an opioid, a benzodiazepine and a muscle relaxant. The complaint alleges that Walgreens pharmacists filled these prescriptions despite clear “red flags” that indicated that the prescriptions were highly likely to be unlawful. Walgreens allegedly ignored substantial evidence from multiple sources that its stores were dispensing unlawful prescriptions, including from its own pharmacists and internal data. The complaint further alleges that Walgreens systematically pressured its pharmacists to fill prescriptions quickly without taking the time needed to confirm each prescription’s validity. Walgreens also allegedly deprived its pharmacists of crucial information, including by preventing pharmacists from warning one another about certain prescribers. The complaint alleges that by knowingly filling unlawful prescriptions for controlled substances, Walgreens violated the CSA and, where Walgreens sought reimbursement from federal health care programs, also violated the FCA. The complaint alleges that Walgreens’s actions helped to fuel the prescription opioid crisis and that, in some particularly tragic instances, patients died after overdosing on opioids shortly after filling unlawful prescriptions at Walgreens. If Walgreens is found liable, it could face civil penalties of up to $80,850 for each unlawful prescription filled in violation of the CSA and treble damages and applicable penalties for each prescription paid by federal programs in violation of the FCA. The court also may award injunctive relief to prevent Walgreens from committing further CSA violations. “As alleged in the complaint, Walgreens continually disregarded its obligations under the Controlled Substances Act and False Claims Act by illegally dispensing powerful controlled substances and unlawfully seeking reimbursement from federal health care programs,” said Acting U.S. Attorney Morris Pasqual for the Northern District of Illinois. “These laws are critically important in protecting our communities from the dangers of the opioid epidemic. Our office will continue to work with our law enforcement partners to ensure that opioids are properly dispensed and that taxpayer funds are only spent on legitimate pharmacy claims.” “The damage caused by the opioid crisis continues to reverberate in the Middle District of Florida and around the country,” said U.S. Attorney Roger B. Handberg for the Middle District of Florida. “The filing of this civil complaint is a major step in our continued effort to confront those responsible for the harm they have done to our communities.” “Pharmacies play a critical role in ensuring that only lawful controlled substance prescriptions are dispensed – Walgreens failed to do just that,” said U.S. Attorney Erek Barron for the District of Maryland. “We are committed to holding Walgreens accountable for its role in the opioid epidemic that has devastated communities across the country, including in Maryland.” “This country is in the midst of a serious opioid epidemic, and New York is no exception,” said Acting U.S. Attorney Carolyn Pokorny for the Eastern District of New York. “Walgreens, which operates one of the largest pharmacy chains in the United States, including nearly 300 pharmacies in the Eastern District of New York during the relevant time period, repeatedly ignored its obligations to ensure that these drugs did not fall into the wrong hands. My office will continue to work with others in the Justice Department to combat the opioid crisis by holding pharmacies that fill unlawful prescriptions accountable.” “Today’s announcement demonstrates that we are doubling down on our commitment to both combat the opioid crisis and enforce corporate accountability,” said First Assistant U.S. Attorney Maya D. Song for the Eastern District of Virginia. “We will continue to work with colleagues across the nation to confront these issues and deter pharmacies from failing to honor their obligation to ensure that these powerful drugs are provided only to those with a true medical need.” “Walgreens and its pharmacists have an obligation to ensure that every prescription they fill is legitimate and issued responsibly. As this lawsuit alleges, Walgreens failed in this obligation, and many times ignored the red flags that warned of suspicious prescribing practices,” said DEA Principal Deputy Administrator George Papadopoulos. “Walgreens placed the public in danger by disregarding their responsibility. DEA will continue to pursue any individual or corporation that chooses profit over patient safety and we will hold them accountable.” “Millions of Americans enrolled in Medicare, Medicaid and other public health care programs count on pharmacies to dispense drugs responsibly. When pharmacies disregard federal laws and put profits ahead of patients, they endanger Americans’ health and compromise taxpayer dollars,” said Deputy Inspector General Christian J. Schrank of the Department of Health and Human Services Office of Inspector General (HHS-OIG). “HHS-OIG remains diligent in pursuing entities involved in unlawful behavior that abuses the public’s trust in health care services.” Four different whistleblowers who previously worked for Walgreens in various parts of the country filed whistleblower actions under the qui tam provisions of the FCA. Those provisions authorize private parties to sue on behalf of the United States for false claims and share in any recovery. The Act permits the United States to intervene and take over such lawsuits, as it has done here. The four cases have been consolidated and are captioned United States ex rel. Novak v. Walgreens Boots Alliance Inc. No. 18 C 5452 (NDIL). The United States’ intervention in this matter underscores the government’s commitment to combating health care fraud. One of the most powerful tools in this effort is the False Claims Act. Tips and complaints from all sources about potential fraud, waste, abuse and mismanagement can be reported to HHS, at 800-HHS-TIPS (800-447-8477). The United States is represented in this matter by Assistant Director Amy DeLine, Senior Litigation Counsel Donald Lorenzen and Trial Attorney Nicole Frazer of the Justice Department’s Civil Division’s Consumer Protection Branch and Assistant Director Natalie Waites and Trial Attorney Joshua Barron of the Civil Division’s Commercial Litigation Branch, Fraud Section, as well as Assistant U.S. Attorney Valerie R. Raedy for the Northern District of Illinois, Chief of the Civil Division Randy Harwell and Assistant U.S. Attorney Carolyn Tapie for the Middle District of Florida, Chief of the Civil Division Thomas Corcoran for the District of Maryland, Assistant U.S. Attorney Elliot M. Schachner for the Eastern District of New York and Assistant U.S. Attorney Clare Wuerker for the Eastern District of Virginia. The U.S. Attorneys’ Offices for the District of Colorado and the Southern District of California, the DEA, HHS-OIG, Defense Criminal Investigative Service, Defense Health Agency (DHA), Office of Personnel Management (OPM), Department of Labor (DOL) Office of Inspector General and FBI Chicago Field Office provided substantial assistance in the investigation. The Justice Department is committed to holding responsible those who have fueled the opioid crisis by violating the law. In March 2023, the Associate Attorney General announced the creation of the Opioid Epidemic Civil Litigation Task Force, which formalizes and enhances coordination of the department’s existing work and will consider new initiatives. Because of the scope and duration of the crisis, the Task Force includes U.S. Attorneys’ Offices, the Civil Division’s Consumer Protection Branch and Commercial Litigation Branch, Fraud Section, DEA and other department components. The Task Force steers the department’s civil litigation efforts involving actors alleged to have contributed to the opioid epidemic, including by diverting prescription opioids. The claims asserted against defendants are allegations only and there has been no determination of liability. Additional information about the Consumer Protection Branch and its enforcement efforts can be found at www.justice.gov/civil/consumer-protection-branch . Additional information about the Fraud Section of the Civil Division and its enforcement efforts can be found at www.justice.gov/civil/fraud-section . For information about the U.S. Attorneys’ Offices, visit: Middle District of Florida, justice.gov/usao-mdfl ; Northern District of Illinois, justice.gov/usao-ndil ; District of Maryland, justice.gov/usao-md ; Eastern District of New York, justice.gov/usao-edny ; and Eastern District of Virginia, justice.gov/usao-edva . For information about the federal agencies involved in this investigation and their work to combat the opioid crisis and federal health care fraud, visit: DEA at dea.gov ; FBI at fbi.gov ; HHS at hhs.gov ; DHA at health.mil/About-MHS/OASDHA/Defense-Health-Agency ; OPM at opm.gov ; and DOL at dol.gov . View the complaint here.


title: Grand Rapids Man Sentenced For Firearms Violation, Apprehended With AR-Style Gun At High School Graduation

component: USAO - Michigan, Western

body_text: GRAND RAPIDS – U.S. Attorney for the Western District of Michigan Mark Totten today announced that Shyon Malik Armstrong, 19, of Grand Rapids, was sentenced to 50 months in prison for being a felon in possession of firearms. “At one of life’s most celebratory moments – a high school graduation – Mr. Armstrong created the risk of horrendous harm for these graduates, their families, and school officials,” said U.S. Attorney Mark Totten . “I’m so grateful to the Grand Rapids Police Department officers who acted swiftly to protect the community. Every person – no matter who they are or where they live – has a right to live free from the fear of gun violence.” On May 30, 2024, Grands Rapids Police Department responded to information that violence might break out at a graduation ceremony at Calvary Church. The police had learned earlier in the day that two street gangs were fighting and threatening acts of violence at the graduation ceremony. Mr. Armstrong attempted to flee police, but when they detained him, they found two loaded firearms in his backpack. One of the guns was an AR-style pistol with an extended magazine containing 35 rounds of ammunition. The Grand Rapids Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives investigated this case. This case is part of Project Safe Neighborhoods (PSN), a program bringing together federal, state, local, and tribal law enforcement, and the local community to develop effective, locally based strategies to reduce violent crime. For more information, visit www.justice.gov/psn . # # #


body_text: WASHINGTON – In a civil complaint filed yesterday in the U.S. District Court for the Northern District of Illinois, the Justice Department alleges that Walgreens Boots Alliance, Walgreen Co. and various subsidiaries (collectively, Walgreens) dispensed millions of unlawful prescriptions in violation of the Controlled Substances Act (CSA) and then sought reimbursement for many of these prescriptions from various federal health care programs in violation the False Claims Act (FCA). Walgreens is one of the country’s largest pharmacy chains, with over 8,000 pharmacies across the United States. “This lawsuit seeks to hold Walgreens accountable for the many years that it failed to meet its obligations when dispensing dangerous opioids and other drugs,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “Our complaint alleges that Walgreens pharmacists filled millions of controlled substance prescriptions with clear red flags that indicated the prescriptions were highly likely to be unlawful, and that Walgreens systematically pressured its pharmacists to fill prescriptions, including controlled substance prescriptions, without taking the time needed to confirm their validity. These practices allowed millions of opioid pills and other controlled substances to flow illegally out of Walgreens stores.” The government’s complaint alleges that, from approximately August 2012 through the present, Walgreens knowingly filled millions of prescriptions for controlled substances that lacked a legitimate medical purpose, were not valid, and/or were not issued in the usual course of professional practice. Among the millions of unlawful prescriptions that Walgreens allegedly filled were prescriptions for dangerous and excessive quantities of opioids, prescriptions for early refills of opioids and prescriptions for the especially dangerous and abused combination of drugs known as the “trinity,” which is made up of an opioid, a benzodiazepine and a muscle relaxant. The complaint alleges that Walgreens pharmacists filled these prescriptions despite clear “red flags” that indicated that the prescriptions were highly likely to be unlawful. Walgreens allegedly ignored substantial evidence from multiple sources that its stores were dispensing unlawful prescriptions, including from its own pharmacists and internal data. The complaint further alleges that Walgreens systematically pressured its pharmacists to fill prescriptions quickly without taking the time needed to confirm each prescription’s validity. Walgreens also allegedly deprived its pharmacists of crucial information, including by preventing pharmacists from warning one another about certain prescribers. The complaint alleges that by knowingly filling unlawful prescriptions for controlled substances, Walgreens violated the CSA and, where Walgreens sought reimbursement from federal health care programs, also violated the FCA. The complaint alleges that Walgreens’s actions helped to fuel the prescription opioid crisis and that, in some particularly tragic instances, patients died after overdosing on opioids shortly after filling unlawful prescriptions at Walgreens. If Walgreens is found liable, it could face civil penalties of up to $80,850 for each unlawful prescription filled in violation of the CSA and treble damages and applicable penalties for each prescription paid by federal programs in violation of the FCA. The court also may award injunctive relief to prevent Walgreens from committing further CSA violations. “As alleged in the complaint, Walgreens continually disregarded its obligations under the Controlled Substances Act and False Claims Act by illegally dispensing powerful controlled substances and unlawfully seeking reimbursement from federal health care programs,” said Acting U.S. Attorney Morris Pasqual for the Northern District of Illinois. “These laws are critically important in protecting our communities from the dangers of the opioid epidemic. Our office will continue to work with our law enforcement partners to ensure that opioids are properly dispensed and that taxpayer funds are only spent on legitimate pharmacy claims.” “The damage caused by the opioid crisis continues to reverberate in the Middle District of Florida and around the country,” said U.S. Attorney Roger B. Handberg for the Middle District of Florida. “The filing of this civil complaint is a major step in our continued effort to confront those responsible for the harm they have done to our communities.” “Pharmacies play a critical role in ensuring that only lawful controlled substance prescriptions are dispensed – Walgreens failed to do just that,” said U.S. Attorney Erek L. Barron for the District of Maryland. “We are committed to holding Walgreens accountable for its role in the opioid epidemic that has devastated communities across the country, including in Maryland.” “This country is in the midst of a serious opioid epidemic, and New York is no exception,” said Acting U.S. Attorney Carolyn Pokorny for the Eastern District of New York. “Walgreens, which operates one of the largest pharmacy chains in the United States, including nearly 300 pharmacies in the Eastern District of New York during the relevant time period, repeatedly ignored its obligations to ensure that these drugs did not fall into the wrong hands. My office will continue to work with others in the Justice Department to combat the opioid crisis by holding pharmacies that fill unlawful prescriptions accountable.” “The Justice Department has prioritized both combating the opioid crisis and upholding corporate accountability, and the action we are announcing today affirms our resolve,” said First Assistant U.S. Attorney Maya D. Song for the Eastern District of Virginia. “My office is pleased to partner with our colleagues from across the nation to confront these issues and deter pharmacies and pharmacists from failing to honor their obligation to ensure that these dangerous drugs are only provided to those with a true medical need.” “Walgreens and its pharmacists have an obligation to ensure that every prescription they fill is legitimate and issued responsibly. As this lawsuit alleges, Walgreens failed in this obligation, and many times ignored the red flags that warned of suspicious prescribing practices,” said Administrator Anne Milgram of the Drug Enforcement Administration (DEA). “Walgreens placed the public in danger by disregarding their responsibility. DEA will continue to pursue any individual or corporation that chooses profit over patient safety and we will hold them accountable.” “Millions of Americans enrolled in Medicare, Medicaid, and other public health care programs count on pharmacies to dispense drugs responsibly. When pharmacies disregard federal laws and put profits ahead of patients, they endanger Americans’ health and compromise taxpayer dollars,” said Deputy Inspector General Christian J. Schrank of the Department of Health and Human Services Office of Inspector General (HHS-OIG). “HHS-OIG remains diligent in pursuing entities involved in unlawful behavior that abuses the public’s trust in health care services.” Four different whistleblowers who previously worked for Walgreens in various parts of the country filed whistleblower actions under the qui tam provisions of the FCA. Those provisions authorize private parties to sue on behalf of the United States for false claims and share in any recovery. The Act permits the United States to intervene and take over such lawsuits, as it has done here. The four cases have been consolidated and are captioned United States ex rel. Novak v. Walgreens Boots Alliance Inc. No. 18 C 5452 (NDIL). The United States’ intervention in this matter underscores the government’s commitment to combating health care fraud. One of the most powerful tools in this effort is the False Claims Act. Tips and complaints from all sources about potential fraud, waste, abuse and mismanagement can be reported to HHS, at 800-HHS-TIPS (800-447-8477). The United States is represented in this matter by Assistant Director Amy DeLine, Senior Litigation Counsel Donald Lorenzen and Trial Attorney Nicole Frazer of the Justice Department’s Civil Division’s Consumer Protection Branch and Assistant Director Natalie Waites and Trial Attorney Joshua Barron of the Civil Division’s Commercial Litigation Branch, Fraud Section, as well as Assistant U.S. Attorney Valerie R. Raedy for the Northern District of Illinois, Chief of the Civil Division Randy Harwell and Assistant U.S. Attorney Carolyn Tapie for the Middle District of Florida, Chief of the Civil Division Thomas Corcoran for the District of Maryland, Assistant U.S. Attorney Elliot M. Schachner for the Eastern District of New York and Assistant U.S. Attorney Clare Wuerker for the Eastern District of Virginia. The U.S. Attorneys’ Offices for the District of Colorado and the Southern District of California, the DEA, HHS-OIG, Defense Criminal Investigative Service, Defense Health Agency (DHA), Office of Personnel Management (OPM), Department of Labor (DOL) Office of Inspector General and FBI Chicago Field Office provided substantial assistance in the investigation. The Justice Department is committed to holding responsible those who have fueled the opioid crisis by violating the law. In March 2023, the Associate Attorney General announced the creation of the Opioid Epidemic Civil Litigation Task Force, which formalizes and enhances coordination of the department’s existing work and will consider new initiatives. Because of the scope and duration of the crisis, the Task Force includes U.S. Attorneys’ Offices, the Civil Division’s Consumer Protection Branch and Commercial Litigation Branch, Fraud Section, DEA and other department components. The Task Force steers the department’s civil litigation efforts involving actors alleged to have contributed to the opioid epidemic, including by diverting prescription opioids. The claims asserted against defendants are allegations only and there has been no determination of liability. Additional information about the Consumer Protection Branch and its enforcement efforts can be found at www.justice.gov/civil/consumer-protection-branch . Additional information about the Fraud Section of the Civil Division and its enforcement efforts can be found at www.justice.gov/civil/fraud-section . For information about the U.S. Attorneys’ Offices, visit: Middle District of Florida, www.justice.gov/usao-mdfl ; Northern District of Illinois, www.justice.gov/usao-ndil ; District of Maryland, www.justice.gov/usao-md ; Eastern District of New York, www.justice.gov/usao-edny ; and Eastern District of Virginia, www.justice.gov/usao-edva . For information about the federal agencies involved in this investigation and their work to combat the opioid crisis and federal health care fraud, visit: DEA at www.dea.gov ; FBI at www.fbi.gov ; HHS at www.hhs.gov ; DHA at www.health.mil/About-MHS/OASDHA/Defense-Health-Agency ; OPM at www.opm.gov ; and DOL at www.dol.gov .


title: Former nurse practitioner in Butte sentenced to five years in prison, ordered to pay more than $600,000 restitution for health care fraud

body_text: MISSOULA — A former nurse practitioner in Butte was sentenced today to five years in prison, to be followed by three years of supervised release, for falsely billing an insurance company approximately $62 million for vitamin B-12 injections in which she received approximately $613,108 for the false claims, U.S. Attorney Jesse Laslovich said today. The defendant, Tristan Ashley Svejkovsky, 41, pleaded guilty in August 2024 to health care fraud and to use of a registration number issued to another person. U.S. District Judge Donald W. Molloy presided. The court also ordered $613,108 in restitution. The court allowed Svejkovsky to self-report to the U.S. Marshals Service. The government alleged in court documents that Svejkovsky was a nurse practitioner whose license was suspended by the Montana Board of Nursing on April 1, 2022. Svejkovsky continued to prescribe controlled substances using her own name and Drug Enforcement Administration registration number until June 2022. After contact by the DEA, Svejkovsky agreed to voluntarily surrender her DEA registration. However, Svejkovsky continued to prescribe controlled substances using the name and DEA registration number of a friend who also was nurse practitioner. Svejkovsky misrepresented to her friend that her nursing license was on probation, not suspended, and that she would not use her friend’s information to prescribe drugs. In fact, Svejkovsky used her friend’s DEA registration number to write at least 28 prescriptions for controlled substances. The government further alleged that Svejkovsky falsely billed Blue Cross Blue Shield of Montana for 158 vitamin B-12 injections that did not occur and stole $613,108 from the insurance company. In August 2021, Svejkovsky started falsely increasing the number of units of a standard vitamin B-12 injection from one unit to 1,000 units, thereby increasing the payment from the insurance company for each injection from roughly $4.88 to $4,880. After her license was suspended, Svejkovsky started submitting numerous such claims each month to Blue Cross Blue Shield of Montana by backdating claims to supposedly before her license was suspended. This conduct continued through May 2022, when Svejkovsky submitted four claims, this time claiming $15 million per vitamin B-12 injection to a new patient. In total, Svejkovsky billed the insurance company $62,310,000 in fraudulent claims for false vitamin B-12 injections and stole $613,108 from the insurance company. The U.S. Attorney’s Office prosecuted the case. The DEA and FBI conducted the investigation. XXX


title: Four People Sentenced to Prison for Distributing Fentanyl

component: USAO - Florida, Southern

body_text: MIAMI – Four South Florida residents have been sentenced to federal prison for distributing fentanyl and meth. On Jan. 16, Gito St Fort, 35, of West Palm Beach, Florida, a career criminal, was sentenced to 320 months in federal prison after pleading guilty to distribution of a controlled substance resulting in death. On Dec. 24, 2023, St Fort sold the victim the fentanyl which resulted in his death while the victim was visiting his parents. On Jan. 15, Anwar Hazzi, 36, of Sunny Isles Beach, Florida, was sentenced to 200 months in federal prison. From June 2023 to May 2024, Hazzi sold drugs, including more than 900 grams of fentanyl and 500 grams of meth. The fentanyl was concealed within counterfeit prescription pills resembling oxycodone and the meth was concealed within counterfeit prescription pills resembling Adderall. In September 2024, Hazzi pleaded guilty to conspiracy to distribute controlled substances, possession with intent to distribute controlled substances, and possession of a firearm in furtherance of drug trafficking. Also, on Jan. 15, Samantha Yi, 31, of Lake Worth, Florida, was sentenced to 288 months in federal prison. Yi and her then boyfriend, Darnell Julio Mendez, 32, of Lake Worth, sold fentanyl to the mother of a 10-month-old baby who fatally overdosed on the fentanyl in March 2022. Both defendants pleaded guilty to conspiracy to distribute controlled substances, distribution of fentanyl resulting in death, possession with intent to distribute controlled substances, and possession of firearms by a convicted felon. Mendez, a career criminal, was sentenced to 360 months in federal prison in October 2024. U.S. Attorney Markenzy Lapointe for the Southern District of Florida and Special Agent in Charge Deanne L. Reuter of the DEA, Miami Field Division, announced the sentence. The DEA Miami Field Division investigated the cases with assistance from PBSO, BBPD and the Palm Beach Gardens Police Department. Assistant U.S. Attorneys Adam McMichael, Brian Ralston and Shannon O’Shea Darsch prosecuted the cases. According to the DEA’s National Drug Threat Assessment , nitazenes are synthetic opioids, like fentanyl, but some nitazenes can match or surpass the potency of fentanyl. Different nitazenes have been appearing in fentanyl mixtures in the United States since 2019. When combined with fentanyl, the effects of both drugs are heightened, which significantly increases the chance of a fatal drug poisoning. Synthetic drugs such as fentanyl are poisoning the nation. Fentanyl has proven to be a deadly poison that does not discriminate. Its victims include every gender, race, age, and economic background, and its debilitating effects are the same across all demographics. Fentanyl is a synthetic opioid that is up to 50 times stronger than heroin and 100 times stronger than morphine. Even in small doses, fentanyl can be deadly. Just one fentanyl pill can kill, as noted in DEA’s One Pill Can Kill campaign. As little as two milligrams, about the size of 5 grains of salt, can be fatal. According to the Centers for Disease Control and Prevention (CDC), fentanyl and other synthetic opioids are the most common drugs involved in overdose deaths. Over 150 people die every day from overdoses related to synthetic opioids like fentanyl. The State of Florida has also seen an exponential increase in overdoses associated with fentanyl. In 2022, more than 5,622 people died from overdoses involving fentanyl and fentanyl analogs in Florida. For more information visit: https://www.fdle.state.fl.us/MEC/Publications-and-Forms/Documents/Drugs-in-Deceased-Persons/2022-Annual-Drug-Report-FINAL-(1).aspx ; https://www.cdc.gov/opioids/basics/fentanyl.html# ; and https://www.dea.gov/factsheets/fentanyl . You may find a copy of this press release (and any updates) on the website of the United States Attorney’s Office for the Southern District of Florida at www.justice.gov/usao-sdfl . Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov , under case numbers 24-cr-80063, 24-cr-80070 and 24-cr-80041. ###


title: Former West Michigan Business Owners Sentenced To Prison

body_text: Gregory Hite and Bridget Bureau Defrauded Nearly 40 Victims of $3,019,972 GRAND RAPIDS – U.S. Attorney for the Western District of Michigan Mark Totten today announced that Gregory Hite and Bridget Bureau, both age 39 and residents of Lake, Michigan, were sentenced to federal prison for their roles in defrauding nearly 40 victims of more than $3 million dollars in a long-running fraud and identity theft scheme. U.S. District Judge Paul Maloney sentenced Hite to serve 150 months in prison and Bureau to serve to 51 months in prison. Both defendants were ordered to pay $1,952,186 in restitution to their victims. “Protecting victims from financial crimes is part of keeping our communities safe,” said U.S. Attorney Mark Totten . “Hite and Bureau deceived unsuspecting victims out of millions of dollars for their personal gain. Criminals do not always wear masks and carry a gun; sometimes they carry out their deeds with a pen and paper and a dash of charm. We are determined to hold fraudsters accountable whoever they are.” Gregory Hite and Bridget Bureau, a married couple, pleaded guilty to conspiring with each other to commit wire fraud and unlawfully using the identities of others to fraudulently obtain financing for their former west Michigan businesses. Those businesses operated under several names, including Hites RV, Alpine Trailer Sales, Great Lakes Recreational, Great Lakes Trailer, GLR Transport, and Great Lakes Trailer Manufacturing. Between 2016 and 2020, the defendants assumed the identities of credit-worthy individuals to fraudulently obtain $5,443,982 in loans to support their fledgling business venture. The defendants made materially false statements on loan/equipment financing documents, unlawfully used other people’s identities to obtain financing they could not get on their own, impersonated those victims on phone calls with other victims, and used multiple limited liability companies to facilitate and conceal their fraudulent conduct. The fraud scheme collapsed when the defendants ran out of money and lenders began seeking repayment from the identity theft victims. The sentencing of Gregory Hite and Bridget Bureau highlights the FBI’s steadfast commitment to safeguarding vulnerable victims and financial institutions from those who exploit and defraud the system,” said Cheyvoryea Gibson, Special Agent in Charge of the FBI in Michigan. “The FBI in Michigan will remain relentless in its efforts to protect our communities and ensure accountability for those who engage in fraudulent schemes.” The Federal Bureau of Investigation investigated this case. # # #


title: Two Indicted for Staged Credit Union Robbery

body_text: BOSTON – Two men were indicted yesterday for the Sept. 24, 2024, robbery of the Energy Credit Union in West Roxbury, Mass. The defendants allegedly stole $197,146 from the Credit Union where one of them was employed as a teller. Jenel Flounoury, 29, and Justin Flounoury, 33, both from Brockton, were each indicted on one count of conspiracy and one count of larceny from a credit union. The defendants were arrested and charged by criminal complaint in December 2024 following an arrest by state authorities on the night of the robbery. According to the charging documents, Jenel Flounoury arranged for a large cash deposit to be stored in a section of the vault that he could access. Jenel Flounoury then allegedly arranged for his brother, Justin Flounoury, to stage a “robbery,” passing Jenel Flounoury a note demanding money. When Justin Flounoury passed Jenel Flounoury the note, Jenel Flounoury allegedly bypassed his teller cash drawer, went straight to the vault, and loaded nearly $200,000 into a bag he retrieved himself, before delivering it to the “robber.” The night of the robbery a search was executed at the residence of Justin and Jenel Flounoury Over $160,000 in cash was recovered, including ten $100 bills whose serial numbers had been recorded by Energy Credit Union employees as being present in the vault prior to the robbery. According to court documents, cell site location information for Justin Flounoury’s phone places it within .25 miles of the credit union at the time the robbery occurred. The charge of conspiracy provides for a sentence of up to five years in prison, three years of supervised release and a fine of up to $250,000. The charge of larceny from a credit union provides for a maximum sentence of 10 years in prison, three years of supervised release and a fine of up to $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case. United States Attorney Joshua S. Levy; Jodi Cohen, Special Agent in Charge of the Federal Bureau of Investigation; Massachusetts State Police Colonel Geoffrey Noble; and Boston Police Commissioner Michael Cox made the announcement today. Valuable assistance was provided by the Suffolk County District Attorney’s Office. Assistant United States Attorney Mark Grady of the Major Crimes Unit is prosecuting the case.