title: Indianapolis Meth Dealers Sentenced to a Combined 11 Years in Federal Prison

body_text: INDIANAPOLIS- Sierra Goode, 33, and Cody Stonehouse, 32, both of Indianapolis, Indiana, have been sentenced to 70 and 63 months in federal prison respectively after pleading guilty to distributing methamphetamine. Cody Stonehouse was sentenced in July 2021. According to court documents, on October 9, 2020, Drug Enforcement Administration agents witnessed Stonehouse sell 40 grams of a substance containing methamphetamine to an individual. On December 9, 2020, agents once again witnessed Stonehouse sell 140 grams of a substance containing methamphetamine to another individual. Agents approached the vehicle where the transaction took place and arrested Stonehouse. Agents located 140 grams of methamphetamine on the console and front passenger seat where Stonehouse was sitting. Sierra Goode was identified as the source of supply for Stonehouse, distributing three ounces of methamphetamine to him for $1,950. Shortly after, IMPD officers conducted a traffic stop on Goode. Goode admitted to selling the methamphetamine to Stonehouse. During a search of Goode’s vehicle, officers located a digital scale and $1,950. Lab tests determined that the actual amount of methamphetamine distributed was 50.8 grams. United States Attorney for the Southern District of Indiana, Zachary A. Myers, Michael Gannon, Assistant Special Agent in Charge of the DEA’s Indianapolis Field Office, and Randal Taylor, Chief of the Indianapolis Metropolitan Police Department made the announcement. “Methamphetamine traffickers continue to inflict serious harm on our families and neighbors,” said U.S. Attorney for the Southern District of Indiana, Zachary A. Myers. “The U.S. Attorney’s Office remains committed to working with our federal, state, and local partners to do our part in getting these dangerous drugs off the street and holding traffickers accountable.” DEA and IMPD investigated this case. The sentences were imposed by U.S. District Court Chief Judge Tanya Walton Pratt and U.S. District Court Judge James R. Sweeney. The District Judges ordered that Goode be supervised by the U.S. Probation Office for 3 years, and Stonehouse be supervised for 2 years following their release from federal prison. Stonehouse was also ordered to pay a $100 fine. U.S. Attorney Myers thanked Assistant United States Attorney Jayson W. McGrath, who prosecuted this case. This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results. ###


title: Convicted Sex Offender Sentenced To More Than 19 Years For Distributing Child Sexual Abuse Videos

component: USAO - Florida, Middle

body_text: Jacksonville, Florida – U.S. District Judge Marcia Morales Howard has sentenced Joel Michael Phelan (48, Jacksonville) to 19 years and 7 months in federal prison, followed by a life term of supervised release, for distributing videos depicting the sexual abuse of children. The court also ordered Phelan to forfeit a cellphone and computers, which were used in the commission of the offense. Phelan had pleaded guilty on January 13, 2023. According to court documents, the case began with an investigation by the Jacksonville Sheriff’s Office (JSO), which had executed a search warrant at Phelan’s residence in 2017, after receiving reports of the upload of files of child sexual abuse material from the residence. JSO seized multiple devices for further forensic examination. Phelan was arrested on the day the warrant was executed for unlawfully possessing a firearm and for two sex offender registration offenses. Phelan was sentenced to five years in prison for the state offenses. During a forensic review of the devices, law enforcement found Phelan had hundreds of files of child sexual abuse material and had communicated with others over chat messages about his desire to engage in sexual activity with children. Phelan was previously convicted in Polk County in 2008 of using a computer to seduce a child after he had traveled to a location for the purpose of engaging in sexual activity with whom he believed to be a 14-year-old girl. Phelan was sentenced to sex offender probation but violated his probation by possessing an illegal image of the sexual exploitation of two young girls. “This significant sentence is proof that not everyone learns their lesson the first time. Every time this previously convicted child predator feeds his perversion by receiving and distributing illicit images of children, he revictimizes those innocent victims,” said Homeland Security Investigations (HSI) Special Agent in Charge John Condon. “This sentence is proof that the Northeast Florida INTERCEPT Task Force, HSI Jacksonville, and our partners at the Jacksonville Sheriff’s Office, will stop at nothing to identify and prosecute those who exploit the vulnerability of our children.” This case was investigated by the Jacksonville Sheriff’s Office, Homeland Security Investigations (HSI), and the Northeast Florida INTERCEPT Task Force. It was prosecuted by Assistant United States Attorney Kelly S. Karase. The forfeiture was handled by Assistant United States Attorney Mai Tran. This case is brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc .


title: Repeat Armed Robber Found Guilty of Illegally Possessing Stolen Handgun

component: USAO - Indiana, Southern

body_text: INDIANAPOLIS- A federal jury has found Kyree Bryce Harris, 25, of Indianapolis, Indiana, guilty of illegally possessing a firearm. According to court documents and evidence introduced at trial, on the morning of June 17, 2022, IMPD officers were called to Ethel Avenue in Indianapolis, Indiana on a report of a suspicious vehicle parked in front of the Twenty Fifth Street Baptist church all night. When officers arrived, they encountered Harris asleep in the vehicle with a handgun tucked next to his leg, between the driver’s seat and center console. The gun had previously been reported stolen. On scene and at trial, Harris admitted he carried the gun for protection. Because Harris was a convicted felon, federal law prohibited him from possessing firearms. His felony convictions stemmed from a string of six armed robberies of Indianapolis-area convenience stores and Family Dollar stores that he committed in January 2017, for which he was also convicted federally. U.S. Attorney Zachary A. Myers, Daryl S. McCormick, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF), Columbus Field Division, and Randal Taylor, Chief of the Indianapolis Metropolitan Police Department made the announcement. “It is evident by this defendant’s criminal history that he has a willful disregard for the law,” said U.S. Attorney for the Southern District of Indiana, Zachary A. Myers. “We are very thankful that officers intervened when they did, potentially preventing future robberies, violence, or even death. Any time a firearm can be taken out of the hands of a reckless individual, it is a win for our community.” This case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives and the Indianapolis Metropolitan Police Department. U.S. Attorney Myers thanked Assistant U.S. Attorneys Jeremy C. Fugate and Michelle P. Brady, who prosecuted this case. U.S. District Court Judge Sarah Evans Barker presided over the trial and will sentence Harris at a later date. Harris faces a minimum of 15 years, up to life, in prison followed by up to five years of supervised release. Actual sentences are determined by a federal district court judge and are typically less than the maximum penalties. ###


title: Three Nigerian Men Awaiting Extradition For Committing Sexual Extortion

component: USAO - Michigan, Western

body_text: Charge for causing the death of a 17-year-old Marquette boy MARQUETTE , MICHIGAN — U.S. Attorney for the Western District of Michigan Mark Totten today announced the unsealing of a federal indictment charging three Nigerian men with sexually extorting numerous young men and teenage boys in the Western District of Michigan and across the United States and charging one of them with causing the death of Jordan DeMay, of Marquette, Michigan. On March 25, 2022, 17-year-old DeMay was found dead from a self-inflicted gunshot wound. His death prompted an investigation by the Marquette County Sheriff’s Department and the Federal Bureau of Investigation, which culminated in the indictment unsealed today. “Sextortion is a horrible crime that can leave especially younger victims feeling ashamed with nowhere to turn,” said U.S. Attorney Mark Totten . “My heart goes out to the family of Jordan DeMay. Nothing can bring Jordan back, but my office is committed to securing justice and, alongside Jordan’s family, sending an urgent warning so others can protect themselves and their families. We will travel the world to hold the perpetrators of these crimes accountable.” “Financial sextortion is a global crisis that impacts teens in our country and around the globe,” said James A. Tarasca, Special Agent in Charge of the FBI in Michigan. “That’s why the FBI is working hand in hand with our domestic and international law enforcement partners to prevent youth from becoming victims of this tragic crime and to hold those who target our teens in this manner accountable – no matter where in the world they may be.” “Our focus going forward is to bring more awareness to children, young adults, and parents. Our family has forever been changed by this heinous crime and our objective is to prevent another individual from being victimized,” said the DeMay family . “Kids, teenagers, and even adults can be a target of sextortion. We urge you to have discussions about this and have a plan for your children to reach out if it does happen to them.” The family added, “Jordan will never be forgotten. He will forever be in our hearts and will drive us forward to share his story and help others. Click here for a copy of the full statement by the DeMay family. Overview of Federal Charges Click here for a copy of the indictment The defendants, Samuel Ogoshi , 22, Samson Ogoshi , 20, and Ezekiel Ejehem Robert , 19, all of Lagos, Nigeria, are charged in a four-count indictment: Count 1 charges Samuel Ogoshi with Sexual Exploitation and Attempted Sexual Exploitation of a Minor Resulting in Death in association with the death of Jordan DeMay. The charge carries a maximum penalty of life in prison and a statutory mandatory minimum of 30 years in prison. Count 2 charges all three men with Conspiracy to Sexually Exploit Minors by causing the minors to produce child pornographic images that the defendants then used to blackmail the minors. The charge carries a maximum penalty of 30 years in prison and a mandatory minimum of 15 years in prison. Count 3 charges all three men with Conspiracy to Distribute Child Pornography for sending the child pornography images to the minors, as well as their families and friends. The charge carries a maximum penalty of 20 years in prison and a mandatory minimum penalty of 5 years in prison. Count 4 charges Conspiracy to Commit Stalking Through the Internet for engaging in this sextortion scheme as it relates to both minors and young adults. The charge has a maximum penalty of 5 years in prison. All charges have provisions for fines, restitution, and supervised release after their release from prison. Additional Allegations in the Federal Indictment The grand jury alleges that the defendants bought hacked social media accounts and used the accounts to pose as young women to lure teenage and young adult males into sexual chats. One of the accounts used was an Instagram account bearing the user name “dani.robertts”, which communicated with Jordan DeMay shortly before his death. After initiating chat conversations with the victims, the defendants simultaneously used Google and other online applications to research information about the victims, including where the victims lived, where they went to school or worked, and who their family and friends were. The grand jury alleges that the defendants then solicited their victims to produce and send sexually explicit images of themselves. Once the defendants received sexually explicit images, they created collages that included the sexually explicit image alongside other images of the victims from social media, including images of the victims’ school, family, and friends. The defendants then threatened to disclose the collages to others, including the family, friends, and classmates, of their victims via social media unless the victims paid money. The grand jury alleges the defendants engaged in this extortion and attempted extortion of more than 100 people. The grand jury alleges that on March 25, 2022, after DeMay was induced to send a naked picture of himself, Samuel Ogoshi used the dani.robertts account to extort him: dani.robertts: I have screenshot all ur followers and tags can send this nudes to everyone and also send your nudes to your Family and friends Until it goes viral… All you’ve to do is to cooperate with me and I won’t expose you dani.robertts: Are you gonna cooperate with me dani.robertts: Just pay me rn [Just pay me right now] dani.robertts: And I won’t expose you Victim 1: How much dani.robertts: $1000 After DeMay paid $300, Samuel Ogoshi made more threats. dani.robertts: Goodbye dani.robertts: Enjoy your miserable life Victim 1: I’m kms rn [I’m kill myself right now] Victim 1: Bc of you [Because of you] dani.robertts: Good dani.robertts: Do that fast dani.robertts: Or I’ll make you do it dani.robertts: I swear to God The grand jury alleges that also on March 25, 2022, after Victim 2 was induced to send naked picture of himself, the following messages were exchanged with Victim 2: dani.robertts: Pay me rn [Pay me right now] dani.robertts: $800 dani.robertts: And I’ll end this dani.robertts: Deal or no deal Victim 2: I don’t have that kind of money dani.robertts: Haha dani.robertts: I love this . . . Victim 2: I have $50 in venmo and a $100 cash dani.robertts: Dude dani.robertts: Now goodbye dani.robertts: Enjoy your miserable life Victim 2: Why dani.robertts: I’ll make this go viral On March 26, 2022, the following messages were exchanged with Victim 2: dani.robertts: I will make you regret you life dani.robertts: I will make u commit suicide dani.robertts: I promise you I swear Coordination with Nigerian Law Enforcement Earlier this year, agents from FBI Michigan travelled to Nigeria to conduct a cooperative investigation with Nigerian law enforcement officials. The Economic and Financial Crimes Commission (EFCC), a Nigerian law enforcement agency, arrested Samuel Ogoshi, Samson Ogoshi and Ezekiel Robert. The three men are facing extradition to the United States to face prosecution. The timeline for their extradition and a date for their appearance in the United States is unknown. The FBI referred information to the EFCC regarding three additional Nigerian males involved in this same sextortion ring. These individuals were arrested by the EFCC. The EFCC is one of Nigeria’s national investigative agencies and is responsible for the investigation of all financial crimes, including extortion, fraud, money laundering, and corruption. The cooperation and assistance of the EFCC was essential in apprehending the defendants. U.S. Attorney Totten extends his appreciation and thanks to the EFCC and the Nigerian authorities for their important partnership in this case. “International cooperation is critical. In the last two years, this coordination has strengthened efforts connected with the extradition, deportation, and mutual legal or other assistance between Nigeria and the United States involving Economic and Financial Crimes,” said EFCC Chairman Abdulrasheed Bawa . “We wish to express our sincere and immense appreciation to the EFCC and the Cyber Crime Team for the cooperation and significant contribution towards the prevention and detection of trans-national crimes.” U.S. Attorney Totten and SAC Tarasca thanked the following Nigerian partners and institutions for their assistance with this case: Honorable Chairman Chief Executive Abdulrasheed Bawa, Economic and Financial Crimes Commission; Assistant Director and Head of the International Cooperation Department Antoinette Oche-Obe, Central Authority Unit, Office of the Attorney General - Ministry of Justice; Director of Operations Abdulkarim Chukkol, Economic and Financial Crimes Commission; and Principle Prosecutor Pius Akutah, Central Authority Unit, Office of the Attorney General - Ministry of Justice; Nigeria’s Federal Ministry of Justice, Nigeria’s Economic and Financial Crimes Commission (EFCC); the Central Authority Unit of Nigeria’s Ministry of Justice; and the Attorney General of the Federal Republic of Nigeria. What is Sexual Extortion? Sexual extortion or “sextortion” can take many forms. Through various ruses and exploits, victims are lured to share compromising images or engage in compromising conversations. Girls and women are often extorted to produce more sexually explicit pictures, while boys and men are commonly extorted for money. In all cases, the perpetrators use embarrassment and shame with the threat of disclosure to leverage what they want. The sextortion can cause enormous stress and crisis for victims. Meta Platforms, Inc., the parent company of Facebook and Instagram, has been a good partner in this investigation, providing important information in a timely manner. “We want teens to have safe, positive experiences online, and we work to help prevent and stop criminals from targeting them with sextortion schemes. This includes cooperating with law enforcement to help protect vulnerable teens from these horrific crimes and bring their perpetrators to justice. In addition to the work we do to protect teens from sextortion, we also helped found NCMEC’s TakeItDown, which allows teens to stop the spread of their intimate images online,” said Antigone Davis, Global Head of Safety at Meta. Meta offers the following safety tips if you are a teen or the parent of a teen who finds themself in this situation, you can take quick steps to protect yourself: Stop engaging with the person harassing you Block their account to limit further interactions Report them within the app immediately Tell a trusted friend or parent what’s happening Go to TakeItDown.NCMEC.org to prevent your intimate images from being spread online Talk to law enforcement if you feel you’ve been taken advantage of. Safety Tips and Resources for Victims, Teens, and Parents To kids and teens experiencing sexual extortion or something like it: this is not your fault. You can get through this, even if it seems scary and overwhelming. The FBI provides the following tips on how people can protect themselves from sextortion schemes: Be selective about what you share online. If your social media accounts are open to everyone, a predator may be able to figure out a lot of information about you. Be wary of anyone you encounter for the first time online. Block or ignore messages from strangers. Be aware that people can pretend to be anything or anyone online. Videos and photos are not proof that people are who they claim to be. Images can be altered or stolen. In some cases, predators have even taken over the social media accounts of their victims. Be suspicious if you meet someone on one game or app and that person asks you to start talking on a different platform. Be in the know. Any content you create online—whether it is a text message, photo, or video—can be made public. And nothing actually “disappears” online. Once you send something, you don’t have any control over where it goes next. Be willing to ask for help. If you are getting messages or requests online that don’t seem right, block the sender, report the behavior to the site administrator, or go to an adult. If you have been victimized online, tell someone. Being a victim of sextortion is not your fault. You can get through this challenge, even if it seems scary and overwhelming. There are people who want to help. If you have information about or believe you are a victim of sextortion, contact your local FBI field office, call 1-800-CALL-FBI, or report it online at http://tips.fbi.gov . This FBI PSA and National Center for Missing and Exploited Children PSA share survivor stories and resources for individuals to get help. More FBI sexual extortion resources are available here . Law Enforcement Coordination This case is part of Project Safe Childhood, a nationwide initiative designed to protect children from online exploitation and abuse. The U.S. Attorney’s Office, county prosecutor's offices, the Internet Crimes Against Children task force (ICAC), federal, state, tribal, and local law enforcement are working closely together to locate, apprehend, and prosecute individuals who exploit children. The partners in Project Safe Childhood work to educate local communities about the dangers of online child exploitation, and to teach children how to protect themselves. For more information about Project Safe Childhood, please visit the following web site: www.projectsafechildhood.gov. Individuals with information or concerns about possible child exploitation should contact local law enforcement officials. This case is being prosecuted by Assistant U.S. Attorneys Daniel Mekaru and Davin Reust, and investigated by the FBI, the Marquette Sheriff’s Department, and the Michigan State Police Cybercrimes Unit in Marquette with the cooperation and assistance of the Economic and Financial Crimes Commission of Nigeria. The U.S. Department of Justice, Office of International Affairs, and the U.S. Department of State assisted in seeking the extradition of the defendants. The charges in an indictment are merely accusations, and the defendants are presumed innocent until and unless proven guilty in a court of law. # # #


title: Man Sentenced to Three Years in Federal Prison for Stealing over $197,000 in Coronavirus Aid and Relief Funds from Four States

body_text: INDIANAPOLIS- Daniel Jibunor, 31, of Nigeria, has been sentenced to 3 years in federal prison after pleading guilty to aggravated identity theft and wire fraud for his role in stealing over $197,000 in unemployment insurance funds the provided by the 2020 Federal Coronavirus Aid, Relief and Economic Security (CARES) Act. According to court documents, on September 11, 2020, Jibunor used a fake debit card under a fake name to try to purchase $1,850 in Western Union money orders at a Kroger in Bloomington, Indiana. When a Kroger employee asked to see the bank card, Jibunor attempted to give her a different bank card in his own name. Bloomington Police Department officers were called to the scene. During their investigation, officers searched Jibunor’s person and vehicle and located two fraudulently obtained unemployment insurance debit cards, two fake debit cards, a GoBank Green Dot card, approximately $12,980 in cash, and 21 money orders totaling $19,540. The unemployment insurance debit cards Jibunor in the names of real people, including at least ten victims whose stolen identities were used to file fraudulent unemployment claims. Jibunor used the cards to purchase money orders from various businesses, including Kroger, Walmart, and the U.S. Post Office, and to make ATM withdrawals. During an interview with investigators, Jibunor admitted to using unemployment debit cards to obtain money orders for another individual he would not identify. Jibunor possessed payment cards loaded with approximately $161,511 in unemployment insurance funds stolen from California and Nevada. In addition, the GoBank Green Dot card was loaded with unemployment insurance funds stolen from the programs in Arizona and Illinois, as well as $36,102 in fraud proceeds associated with an Economic Injury Disaster Loan. In sum, Jibunor’ s criminal conduct resulted in at least $197,613 in actual losses to unemployment offices in California, Arizona, Nevada, and Illinois as well as the federal government. “At the height of the global pandemic, this defendant decided to steal emergency funds intended to be a vital lifeline for families in need,” said Zachary A. Myers, U.S. Attorney for the Southern District of Indiana. “Stealing identities and relief money during a disaster is a despicable crime that merits serious punishment. The federal prison sentence imposed today demonstrates that the U.S. Attorney’s Office and our law enforcement partners are committed to finding the criminals who have defrauded COVID-19 emergency response programs and holding them accountable.” “Daniel Jibunor defrauded the state workforce agencies of Arizona, California, Illinois, and Nevada by participating in a conspiracy to file fraudulent unemployment insurance (UI) claims in the names of identity theft victims. Jibunor stole benefits intended to assist those who became unemployed due to the COVID-19 pandemic. We will continue working with our law enforcement partners to protect the integrity of the UI system from those who exploit these benefit programs,” said Irene Lindow, Special Agent in Charge, Great Lakes Region, U.S. Department of Labor, Office of Inspector General. “Those who profit off programs meant to help others in need is unacceptable. This sentence illustrates the FBI’s commitment to combating unemployment fraud,” said FBI Indianapolis Acting Special Agent in Charge Robert “Alex” Middleton. “Along with our law enforcement partners, we will continue to aggressively identify and pursue fraudsters who steal money and hold them accountable.” This case was investigated by the Federal Bureau of Investigation, the United States Department of Labor Office of Inspector General, and the Bloomington Police Department. The sentence was imposed by U.S. District Court Judge Jane Magnus-Stinson. Judge Stinson also ordered that Jibunor pay $197,613 in restitution and be supervised by the U.S. Probation Office for 1 year following his release from federal prison. U.S. Attorney Myers thanked Assistant United States Attorney Kyle M. Sawa, who prosecuted this case. On May 17, 2021, the Attorney General established the COVID‑19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the department’s response to the pandemic, please visit https://www.justice.gov/coronavirus . Anyone with information about allegations of attempted fraud involving COVID‑19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form ###


title: Middlesex County Man Sentenced to 97 Months in Prison for Perpetrating Murder-for-Hire Plot

component: USAO - New Jersey

body_text: NEWARK, N.J. – A Middlesex County man was sentenced to 97 months in prison for plotting to pay a purported hitman to kill his ex-wife and her daughter, U.S. Attorney Philip R. Sellinger announced today. Michael Stewart, 69, of Monroe Township, New Jersey, previously pleaded guilty before U.S. District Judge Julien Xavier Neals to an information charging him with one count of the use of interstate commerce facilities in the commission of a murder for hire. Judge Neals imposed the sentence on May 2, 2023, in Newark federal court. According to documents filed in this case and statements made in court: In the summer of 2021, Stewart and a confidential source discussed the murder of Stewart’s ex-wife and her daughter. Stewart indicated he would pay for the murders and asked the confidential source to find a hitman. In October 2021, Stewart met with an undercover agent – whom he believed to be a hitman – and told him he wanted the ex-wife’s daughter killed first, followed by the ex-wife. He told the undercover agent he would pay for the killings and provided him with names, addresses, layout of the victims’ property and types of cars used by the victims. Stewart also showed the undercover agent a photo of his ex-wife. He provided the undercover agent $500 as a partial payment. In addition to the prison term, Judge Neals sentenced Stewart to three years of supervised release. U.S. Attorney Sellinger credited special agents of the FBI, under the direction of Special Agent in Charge James E. Dennehy in Newark, with the investigation leading to the sentencing. The government is represented by Assistant U.S. Attorney Olta Bejleri of the Organized Crime/Gangs Unit in Newark.


title: Network of Transnational Fraudsters Charged in Racketeering Scheme to Steal Millions from American Consumers’ Bank Accounts

component: USAO - California, Central

body_text: LOS ANGELES – Authorities have arrested five defendants – including several Southern California residents – for their alleged participation in a years-long scheme to steal millions of dollars from American consumers’ bank accounts, the Justice Department announced today. The arrests follow a federal grand jury last week returning a seven-count indictment that charges a total of 14 defendants with conspiracy to violate the Racketeer Influenced and Corrupt Organizations (RICO) Act. According to the indictment, various members and associates of the alleged criminal enterprise created shell entities that claimed to offer products or services, such as cloud storage. Then, after obtaining identifying and banking information for victims, the enterprise allegedly executed unauthorized debits against victims’ bank accounts, which it falsely represented to banks were authorized by the victims. Because some of the unauthorized debits resulted in returned transactions – which generated high return rates and could raise red flags at financial institutions – the indictment alleges the enterprise’s shell entities also generated “micro debits” against other bank accounts controlled by the enterprise. The micro debits allegedly artificially lowered shell entities’ return rates to levels that conspirators believed would reduce bank scrutiny and lessen potential negative impact on the enterprise’s banking relations. The five defendants arrested Tuesday are: Edward Courdy, 73, of Hawaiian Gardens; Eric Bauer, 65, of Huntington Beach; Veronica Crosswell, 35, of Long Beach; Jenny Sullivan, 46, of Denver; and John Beebe, 52, of Honolulu; Defendant Linden Fellerman, 67, of Las Vegas, has agreed to surrender himself on Friday, May 5, 2023 to authorities in Los Angeles. Three other defendants have been summoned to appear in United States District Court in Los Angeles on May 24. Those defendants are: Michael Young, 41, of Hollywood, Florida; Randy Grabeel, 71, of Pittsburg, California; and Debra Vogel, 68, of Las Vegas. Seven other defendants are currently fugitives being sought by federal authorities. They are: Guy Benoit, 68, a resident of Canada and Cyprus; Steven Kennedy, 54, of Canada; Sayyid Quadri of Canada; Ahmad Shoaib, 63, of Canada; and Lance Johnson, 52, of Laveen, Arizona; In addition to the RICO offense alleged in the indictment, all of the defendants – except Grabeel and Vogel – are charged with at least one count of wire fraud. Harold Sobel previously was convicted for his role in the scheme in Las Vegas federal court and sentenced to 3½ years in prison . In a related civil case also filed in Los Angeles federal court, injunctive relief and settlements totaling nearly $5 million were obtained against various persons, including several who are charged in this criminal indictment. “This sophisticated scheme allegedly generated millions of dollars in revenue by using consumers’ personal information to fraudulently reach straight into the bank accounts of thousands of Americans,” said United States Attorney Martin Estrada. “The indictment alleges that an international network of fraudsters engaged in a wide-ranging scheme which sought to victimize consumers while concealing their activities from banks and law enforcement authorities. Thanks to law enforcement, the defendants’ alleged efforts to continue this scheme have failed.” “The scheme alleged in the indictment involved an elaborate plot to reach into consumers’ bank accounts and steal their hard-earned savings,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “The Department of Justice will use all of the tools at its disposal to prosecute such schemes.” An indictment contains allegations that a defendant committed a crime. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law. Some defendants made their initial court appearances yesterday. If convicted, each defendant faces a maximum penalty of 20 years in prison for racketeering conspiracy and, if applicable, 30 years in prison for each count of wire fraud. The U.S. Postal Inspection Service is investigating the case. Assistant United States Attorney Monica Tait of the Major Frauds Section, and Trial Attorneys Wei Xiang, Meredith Healy and Amy Kaplan of the Justice Department’s Consumer Protection Branch are prosecuting the case. The United States Attorney’s Office for the Southern District of Texas provided substantial assistance. The Department of Justice urges individuals to be on the lookout for unauthorized debits to their accounts. Regularly check your bank, credit card, and other financial statements and contact your financial institution if you see a charge you do not recognize. Report any fraudulent debit you identify to law enforcement. Reports may be filed with the FTC at https://reportfraud.ftc.gov -- or at 877-FTC-HELP. The Consumer Protection Branch, in conjunction with the U.S. Postal Inspection Service, is pursing wrongdoers who disguise the unlawful nature of business activities by, among other methods, artificially lowering financial account return rates. These tactics are designed to deceive banks, resulting in bank accounts remaining open and facilitating fraud schemes and other illegal activities, including schemes that debit consumers’ bank accounts without authorization, tech support scams, and subscription traps.


title: Former Bankruptcy Court Employee Pleads Guilty to Damaging a Protected Computer Without Authorization

component: USAO - North Carolina, Middle

body_text: GREENSBORO, NC – Sandra J. Hairston, United States Attorney for the Middle District of North Carolina (MDNC), announced today that ROBERT MATTHEW BRITTAIN, of Lexington, pleaded guilty in federal court to one felony count of computer fraud. According to publicly filed court documents, BRITTAIN was previously employed by the United States Bankruptcy Court for the MDNC as a court management analyst wherein he managed and configured computer products operated by the court’s employees. BRITTAIN resigned from this position in April 2022 after an internal investigation into his conduct. Before leaving his position, BRITTAIN allegedly established a VPN connection from his home to the court’s network which, after his termination, he illegally used to access another employee’s passwords and remotely wipe an iPad belonging to the Bankruptcy Court. BRITTAIN pleaded guilty to a violation of Title 18, United States Code, Section 1030(a)(5)(A), which criminalizes the knowingly transmission of a program, information, code, or command, and as a result of such conduct, intentionally causing damage without authorization, to a protected computer. Because the computer at issue was used in the administration of justice, BRITTAIN is subject to heightened penalties under Title 18, United States Code, Section 1030(c)(4)(B)(i). Specifically, BRITTAIN faces a maximum term of 10 years of imprisonment, a term of supervised release of not more than 3 years, a fine not to exceed $250,000, and a mandatory special assessment of $100. The case was investigated by the Federal Bureau of Investigation. The case is being prosecuted by Assistant United States Attorney Tanner Kroeger. ###


title: NYPD Officer Convicted of Possession and Attempted Receipt of Child Pornography and Sexual Exploitation of Minors

component: USAO - New York, Eastern

body_text: Timothy Martinez was convicted today by a federal jury in Brooklyn of all four counts of a superseding indictment charging him with attempted receipt of child pornography, possession of child pornography, and two counts of sexual exploitation and attempted sexual exploitation of a minor. The verdict followed a one-week trial before United States District Judge Frederic Block. Martinez is employed as a police officer by the New York City Police Department, and immediately prior to his arrest, was on active duty in the U.S. Army Reserve. When sentenced, Martinez faces a mandatory minimum of 15 years in prison. Breon Peace, United States Attorney for the Eastern District of New York, Ivan J. Arvelo, Special Agent-in-Charge, Homeland Security Investigations, New York, and Keechant L. Sewell, Commissioner, New York City Police Department (NYPD), announced the verdict. “The jury found that the defendant not only violated the trust of the public that he was sworn to serve but specifically victimized vulnerable children for years. Instead of using his position as a member of the NYPD to protect children, he shamefully gained the trust of minors in order to sexually exploit them,” stated United States Attorney Peace. “Protecting children from sexual exploitation will always be a priority of this Office. I commend the prosecutors and investigators for their outstanding work removing this predator from patrolling the streets and from our district.” “When he swore his oath as a police officer, Timothy Martinez was entrusted to enforce the law and protect the innocent. Instead of upholding his oath, Martinez preyed on the young, turning innocent children into victims,” said HSI New York Special Agent-in-Charge Ivan J. Arvelo. “Our elation at this verdict is tempered by the pain and suffering these young victims endured as a result of this predator’s criminal actions. Those in positions of public trust are held to a higher standard as guardians of the innocent and HSI New York will continue to utilize every resource at our disposal to protect children from those who seek to do them harm.” “Our police officers have a sworn duty to protect, but this defendant betrayed that oath and preyed upon some of the most at-risk members of our community,” stated NYPD Commissioner Sewell. “Such reprehensible behavior is wholly unacceptable of anyone, especially a member of law enforcement. I commend and thank Homeland Security Investigations and the U.S. Attorney for the Eastern District of New York for their important work on this case.” As proven at trial, between October 2016 and March 2017, Martinez engaged in live video sex chats with Jane Doe #1, who had been treated for a brain tumor, and he convinced her to perform sexual acts. Additionally, between September 3, 2012 and November 2016, the defendant engaged in live video sex chats with Jane Doe #2 and he similarly convinced her to show him her nude body and engage in sex acts even after she disclosed that she had been sexually abused by family members. Martinez also possessed hundreds of images of child pornography. In June 2018, the defendant attempted to receive numerous videos of child pornography from an individual he believed to be a minor. This prosecution is part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by United States Attorneys’ Offices and the Department of Justice Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov The government’s case is being handled by the Office’s General Crimes Section. Assistant United States Attorneys William P. Campos, Marietou Diouf, and Chand W. Edwards-Balfour are in charge of the prosecution with the assistance of Paralegal Specialist Allison Henry. The Defendant : TIMOTHY MARTINEZ Age: 43 Staten Island, New York E.D.N.Y. Docket No. 20-CR-98 (S-2) (FB)


title: Long Island Man Pleads Guilty to Bribing Federal Official to Obtain Nearly $1 Million in Federal Contracts

body_text: Earlier today, in federal court in Central Islip, Michael Montenes, the owner of M.S. Hi-Tech, Incorporated (MSHT), a Hauppauge-based distributor of electronic components, pleaded guilty to a criminal information charging him with bribery of a federal official in connection with a scheme to pay more than $18,000 to a Department of Energy (DOE) Procurement Officer in exchange for approximately $969,000 in DOE contracts. The proceeding was held before United States Magistrate Judge Steven L. Tiscione. When sentenced, Montenes faces up to 15 years in prison. As part of his guilty plea, Montenes agreed to forfeit approximately $969,000 and to pay DOE more than $1.8 million in restitution. Breon Peace, United States Attorney for the Eastern District of New York, and Teri L. Donaldson, Department of Energy Inspector General, announced the guilty plea. “Like the faulty components that he bribed a government official to purchase and caused damage to a Department of Energy laboratory, Montenes’s scheme has gone down in flames and he must now face the consequences for his crime,” stated United States Attorney Peace. “This Office will continue to root out corruption that undermines the integrity of competitive bidding in the procurement process.” Mr. Peace thanked the U.S. Department of Defense, Defense Criminal Investigative Service, for its work on the case. “The Department of Energy, Office of Inspector General will continue to ensure that there is no place in our supply chain for bribery and corrupt schemes,” said Department of Energy Inspector General Teri L. Donaldson. “Anyone who suspects such conduct is encouraged to report it immediately. We appreciate the fine work of the U.S. Attorney’s Office and our federal law enforcement partners on this joint investigation.” Between approximately December 2017 and December 2020, Montenes paid a Procurement Officer (Co-conspirator 1), who was employed at a DOE laboratory in Virginia approximately $18,800 in bribes to induce Co-conspirator 1 to enter into contracts for electronic components that MSHT, supplied to the DOE’s Virginia laboratory. Montenes mailed these payments, which ranged from $500 to $7,200, from Long Island to Co-conspirator 1 in Virginia. During the bribery scheme, Co-conspirator 1 awarded contracts worth more than $969,000 to MSHT, which represented 95% of all of MSHT’s sales to the DOE’s Virginia laboratory. In July 2021, some of the electronic components that MSHT sold to DOE based upon Montenes’s bribes failed and caused a fire, resulting in approximately $1.8 million in repairs and other costs to DOE. The government’s case is being handled by the Office’s Long Island Criminal Division. Assistant United States Attorney Bradley T. King is in charge of the prosecution. The Defendants: Michael Montenes Age: 61 St. James, New York E.D.N.Y. Docket No. 23-CR-124 (JS)


title: Kanawha County Man Sentenced to Prison for Federal Gun Crime

component: USAO - West Virginia, Southern

body_text: CHARLESTON, W.Va. – Charles Ryan Tucker, 45, of Mammoth, was sentenced today to two years and six months in prison, to be followed by two years of supervised release, for being a felon in possession of a firearm. According to court documents and statements made in court, on January 13, 2022, law enforcement officers attempted to arrest Tucker on a state warrant in Cedar Grove and he fled on foot. Tucker was caught and while resisting arrest told the officers he possessed a firearm. Officers found a loaded Smith & Wesson M&P Shield 9mm pistol holstered on Tucker’s belt and concealed beneath his clothing. Federal law prohibits a person with a prior felony conviction from possessing a firearm or ammunition. Tucker was prohibited from possessing a firearm because of his prior felony convictions for breaking and entering on May 3, 2021, and grand larceny on January 26, 2015, both in Kanawha County Circuit Court. United States Attorney Will Thompson made the announcement and commended the investigative work of the United States Marshals Service and the Cops United Felony Fugitive Enforcement Division (CUFFED) Task Force. United States District Judge Joseph R. Goodwin imposed the sentence. Assistant United States Attorneys Timothy D. Boggess and Negar M. Kordestani prosecuted the case. A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 2:22-cr-17. ###


title: Team from Western Washington honored for investigation and prosecution of major cybercrime group Fin7

component: USAO - Washington, Western

body_text: Seattle – The Department of Justice investigative team in a major cybercrime case, pursued in the Western District of Washington, was honored today with an Executive Office of U.S. Attorney’s Director’s award for Outstanding Litigative Team, announced U.S. Attorney Nick Brown. The prosecutors, paralegals, and cyber investigators from the FBI broke up the hacking group Fin7. The award was presented today in Washington DC. “Investigating and prosecuting cybercrime is uniquely challenging –the offenders hide behind keyboards, often overseas, but can do untold billions of dollars in damage,” said U.S. Attorney Brown. “With Fin7, the tireless work by our team saw three of the defendants arrested and brought to the United States to face charges. All three have been held accountable with significant prison sentences. Fin7 as an entity is no more.” Those recognized today with the Director’s Award include: Former Assistant United States Attorneys Frances Franze-Nakamura and Steven Masada, and DOJ Trial Attorney Anthony Teelucksingh for their work prosecuting the case; Paralegals Anna Chang and Salee Porter for their critical work organizing records and discovery from companies, foreign governments, and law enforcement so that we could successfully petition for the extradition of the three defendants who were arrested while traveling in Germany, Spain, and Thailand; and FBI special agents who all performed outstanding investigative and analytic work that was critical to the successful prosecution. According to records filed in U.S. District Court for the Western District of Washington, between 2015 and 2018, FIN7 members engaged in a highly sophisticated malware campaign to attack more than 100 U.S. companies, predominantly in the restaurant, gaming, and hospitality industries. FIN7 hacked into thousands of computer systems and stole millions of customer credit and debit card numbers which were used or sold for profit. In the United States alone, FIN7 successfully breached the computer networks of businesses in all 50 states and the District of Columbia, stealing more than 15 million customer card records from over 6,500 individual point-of-sale terminals at more than 3,600 separate business locations. Additional intrusions occurred abroad, including in the United Kingdom, Australia, and France. Companies that have publicly disclosed hacks attributable to FIN7 include such familiar chains as Chipotle Mexican Grill, Chili’s, Arby’s, Red Robin and Jason’s Deli. Fedir Hladyr, 38, a Ukranian national, who played a managerial role in FIN7, was arrested in Dresden, Germany and was sentenced in April 2021 to ten years in prison. Andrii Kolpakov, 35, who served as a high-level hacker , was arrested in Lepe, Spain, and was sentenced to seven years in prison June 2021. Denys Iarmak, 33, who also served as a high-level hacker was arrested in Bangkok, Thailand and was sentenced to five years in prison in April 2022. The Director’s Awards are awarded annually by the Executive Office of U.S. Attorneys to recognize outstanding work by U.S. Attorney’s Offices across the United States.


title: Former State Contractor Pleads Guilty to Fraudulent Unemployment Insurance Scheme

component: USAO - Michigan, Eastern

body_text: DETROIT - A Detroit woman pleaded guilty today to stealing over $550,000 as part of an extensive unemployment fraud and identity theft conspiracy while working for the State of Michigan Unemployment Insurance Agency, announced United States Attorney Dawn N. Ison. Joining in the announcement were Irene Lindow, Special Agent-in-Charge, Chicago Region, U.S. Department of Labor-Office of Inspector General; James A. Tarasca, Special Agent in Charge of the Detroit Field Office of the Federal Bureau of Investigation; and Julia Dale, Director of the State of Michigan Unemployment Insurance Agency Autumn Mims, 30, pleaded guilty today before United States District Judge Mark A. Goldsmith. Mims was a contract employee for the State of Michigan Unemployment Insurance Agency (MUIA), working as an Unemployment Insurance Examiner. Her duties included reviewing, processing, and verifying the legitimacy of unemployment insurance claims. According to court records, shortly after Mims began working with the MUIA in August 2020, she began using her insider access to fraudulently process claims in the names of third parties without their knowledge or authorization. As part of the scheme, Mims personally (1) altered third-party contact information for unemployment insurance assistance; (2) accessed third-party unemployment insurance assistance claim information without authorization; (3) authenticated unauthorized access attempts for third-party unemployment insurance assistance information; (4) dismissed fraud prevention triggers and information requests relating to third-party unemployment insurance assistance; (5) conducted cash withdrawals of unemployment insurance assistance issued in the names of third parties; and, (6) conducted financial transactions utilizing unemployment insurance assistance funds issued in the names of third parties. Mims also admitted that while she was working with the MUIA and executing her fraud, she was also fraudulently obtaining unemployment insurance benefits for herself by falsely claiming that she was unemployed. As a result of the conspiracy, over $550,000 in fraudulent unemployment assistance payments were made by the State of Michigan. Sentencing is set for September 6, 2023 before Judge Goldsmith. Mims faces a mandatory two-year sentence of imprisonment for having engaged in aggravated identity theft. She also faces up to 20 years in prison for having conspired to engage in wire fraud. “Far from being unemployed as she claimed, Autumn Mims worked hard to abuse her position with the State of Michigan and steal taxpayer money. My office and our law enforcement partners are committed to working even harder to ensure that Mims and others who choose to engage in similar frauds are held fully accountable,” stated U.S. Attorney Ison. “Autumn Mims, while working as an Michigan Unemployment Insurance Agency examiner, abused her access to unemployment insurance (UI) data systems to defraud the state of Michigan and the Pandemic Unemployment Assistance program. Mims violated the public’s trust by knowingly approving fraudulent unemployment claims, the proceeds of which were deposited into bank accounts that she controlled. We will continue to work with our law enforcement partners and state workforce agencies to protect the integrity of the UI system,“ stated Special Agent-in-Charge Irene Lindow, Great Lakes Region, U.S. Department of Labor, Office of Inspector General. “Autumn Mims used her position at the Michigan Unemployment Insurance Agency to steal money from people who were suffering pandemic-related economic challenges,” said James A. Tarasca, Special Agent in Charge of the FBI’s Detroit Division. “The FBI, along with our state and federal partners, will investigate this type of scheme and bring to justice those who defraud the unemployment system." “It’s especially galling when someone employed by UIA and who was entrusted in a time of statewide crisis with helping the residents of Michigan instead violates that trust to satisfy her own greed,” said UIA Director Julia Dale. “Let this case put bad actors on notice: We will continue to work with law enforcement at the local, state, and federal level and use every tool we have to see that justice is served. That is our pledge as we strive to transform the UIA into a national model for fraud-free, fair and fast service.” The case is being prosecuted by Assistant United States Attorney Andrew J. Yahkind. The investigation is being conducted jointly by the Department of Labor—Office of Inspector General, the Federal Bureau of Investigation, and the Unemployment Insurance Agency, Michigan Department of Labor and Economic Opportunity


title: Haverhill Man Sentenced for Fentanyl Conspiracy

component: USAO - Massachusetts

body_text: BOSTON – A Haverhill man was sentenced today in federal court in Boston for fentanyl conspiracy charges. Sergio Garcia, 37, was sentenced by U.S. District Court Judge Allison D. Burroughs to 46 months in prison and two years of supervised release. In March 2022, Garcia pleaded guilty to one count of conspiracy to distribute and to possess with intent to distribute 400 grams or more of fentanyl and one count of possession with intent to distribute 400 grams or more of fentanyl. In April 2020, Garcia received one kilogram of fentanyl through the U.S. Postal Service. Garcia directed his brother-in-law to procure the package and deliver the fentanyl to his home in Haverhill. During a subsequent search of Garcia’s home, the kilogram of fentanyl was found in Garcia’s basement. United States Attorney Rachael S. Rollins; Ketty Larco-Ward, Inspector in Charge of the United States Postal Inspection Service’s Boston Field Office; and Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration’s New England Field Division made the announcement. The Haverhill Police Department provided valuable assistance with the investigation. Assistant U.S. Attorney Philip C. Cheng of Rollins’ Organized Crime and Money Laundering Unit prosecuted the case.


title: Two Shreveport Men Guilty of Illegal Possession of  Drugs and Firearms Sentenced to Prison

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

body_text: SHREVEPORT, La. - United States Attorney Brandon B. Brown announced that two men from Shreveport were sentenced today by United States District Judge Elizabeth E. Foote for illegally possessing drugs and firearms. Eric Lamar Wimbley , 51, was sentenced to 168 months (14 years) in prison, followed by 3 years of supervised release. On April 13, 2022, officers with the Louisiana Division of Probation and Parole and the Caddo Parish Sheriff’s Office conducted a parole search of a vehicle being used by Wimbley. While searching the vehicle, officers found approximately 1.320 grams of cocaine, 107.7 grams of cocaine base, and 125.67 grams of methamphetamine-based tablets, all packaged for distribution. Also inside the vehicle was a bag containing digital scales, razor blades with cocaine residue, packaging material, and a loaded 9mm handgun. Officers also found Wimbley to be in possession of the key fob to the vehicle. He was arrested and charged with possession with intent to distribute cocaine and possession of a firearm. Wimbley pleaded guilty in December 2022 to possession with intent to distribute cocaine. The case was investigated by the U.S. Drug Enforcement Administration, Caddo Parish Sheriff’s Office and prosecuted by Assistant U.S. Attorney Mike Shannon. In a separate case, Demetrius Johnson, Jr ., 23, was sentenced to 66 months in prison, followed by 3 years of supervised release for illegal possession of marijuana and a firearm. On March 14, 2022, officers with the Shreveport Police Department conducted a traffic stop of a vehicle being driven by Johnson. When approaching the vehicle, the officer detected the smell of marijuana coming from inside the vehicle and detained Johnson. A K-9 unit was called and alerted to the front driver’s seat and a search of the vehicle was conducted. During the search, officers located a Century Arms Draco pistol under the passenger seat of his vehicle, as well as a backpack containing approximately 200 grams of marijuana in separate bags, packaging material, and a digital scale. A 9mm Glock magazine was also found in the vehicle. The narcotics were sent to the crime laboratory for testing and was confirmed to be marijuana. Agents with the Bureau of Alcohol, Tobacco, Firearms & Explosives (ATF) tested the firearm and it was determined to be a functional firearm which had traveled in interstate commerce. The case was investigated by the ATF and Shreveport Police Department and prosecuted by Assistant U.S. Attorney J. Aaron Crawford. # # #


title: Former Executive Director of Miss Florida Scholarship Program Sentenced to Federal Prison for Fraud

component: USAO - Florida, Southern

body_text: MIAMI – A federal district judge in Miami has sentenced 77-year-old Mary Wickersham to 15 months in prison and ordered her to pay $243,000 in restitution for stealing money intended for the Miss Florida Scholarship Program over the course of seven years. Wickersham pleaded guilty earlier this year. Since 2002, Wickersham served as the Executive Director of the Miss Florida Scholarship Program. The Miss Florida Scholarship Program offers educational and financial assistance to young women across the state. In 2011, Wickersham formed a Florida corporation named “Miss Florida LLC” and used it to open a bank account in the same name. She did so without the knowledge or consent of the Miss Florida Scholarship Program. Wickersham then redirected hundreds of thousands of dollars into the Miss Florida LLC bank account, which she controlled, by using her position as Executive Director to solicit donations from the program’s recurring business sponsors and donors, all while representing that those monies would be used to fund scholarships for the Miss Florida Program women. In fact, Wickersham used the money for her own personal use and gain. U.S. Attorney Markenzy Lapointe for the Southern District of Florida and Inspector in Charge Juan A. Vargas of the U.S. Postal Inspection Service (USPIS), Miami Division, announced the sentence imposed by U.S. District Judge Roy K. Altman. USPIS Miami investigated this case. Assistant U.S. Attorneys Abbie Waxman and Eduardo Gardea Jr. prosecuted it. Assistant U.S. Attorney Sara Klco is handling asset forfeiture. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov under case number 22-cr-20057. ###


title: Marrero Man Federally Indicted For Illegal Weapon Possession

body_text: NEW ORLEANS, LOUISIANA – RASHEED SMITH , age 32, a resident of Marrero, Louisiana, was indicted on April 28, 2023 for illegal possession of a firearm, announced U.S. Attorney Duane A. Evans. If convicted, SMITH faces a maximum term of imprisonment of 15 years, up to a $250,000 fine, up to 3 years of supervised release, and a mandatory special assessment fee of $100. U. S. Attorney Evans reiterated that the indictment is merely a charge and that the guilt of the defendant must be proven beyond a reasonable doubt. This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results. The case was investigated by the federal Bureau of Alcohol, Tobacco, Firearms, and Explosives and the Jefferson Parish Sheriff’s Office. Assistant United States Attorney Greg Kennedy of the Violent Crimes Unit is in charge of the prosecution.


title: Port Sulphur Man Pleads Guilty To Interstate Domestic Violence

component: Federal Bureau of Investigation (FBI)

body_text: NEW ORLEANS, LOUISIANA – VINCENT TURNER , age 39, a resident of Port Sulphur, Louisiana plead guilty on May 2, 2023 to Interstate Domestic Violence, in violation of Title 18, United States Code, Sections 2261(a)(1), 2261(b)(5) and 7(8), announced U.S. Attorney Duane A. Evans. On August 2, 2022, while within the special maritime and territorial jurisdiction of the United States, aboard the Carnival cruise ship, Valor , TURNER physically assaulted and battered his intimate dating partner. The Valor , a foreign vessel, departed and returned to New Orleans, after traveling to Costa Maya, Mexico. While aboard the ship, TURNER and the victim engaged in a verbal altercation that escalated into a physical altercation, resulting in TURNER striking the victim in her head with his hand. TURNER faces a maximum sentence of 5 years imprisonment, a fine of up to $250,000.00, a period of supervised release of up to 3 years, and a mandatory special assessment fee of $100.00. United States District Court Judge Susie Morgan will sentence TURNER on August 17, 2023. This case was investigated by the Federal Bureau of Investigation. It is being prosecuted by Assistant United States Attorney Brittany Reed of the Public Integrity Unit.


title: 45 Minneapolis Gang Members and Associates Indicted on Federal Charges

component: USAO - Minnesota

body_text: MINNEAPOLIS – Two indictments were unsealed today in the District of Minnesota charging 30 members and associates of two Minneapolis-based street gangs – the Highs and the Bloods – with racketeering (RICO) conspiracy involving alleged murder, attempted murder, robbery, obstruction of justice, and drug trafficking. Additional charges include the use of a firearm to commit murder and drug trafficking. In addition to these indictments, separate charging documents have been brought against an additional 15 Highs or Bloods members on drug and gun charges. “Today’s announcement marks a fundamental change for federal law enforcement. We are now addressing gang violence for what it is: organized criminal activity,” said U.S. Attorney Andrew Luger. “As alleged, these defendants engaged in an unrelenting trail of violence, resulting in today’s federal RICO charges and related charges. The aggregate nature of a RICO prosecution has a deeper impact and carries a stronger deterrence message, with the ultimate goal of reducing violence and returning peace to our communities.” “Violent gangs wreak havoc on local residents, engaging in bloody street wars and peddling dangerous drugs that devastate communities and families,” said Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division. “As today’s announcement demonstrates, the Criminal Division is deploying its resources and expertise in close coordination with our partners to target the specific drivers of violent crime and hold gang members and associates accountable for their offenses.” “When rival gangs declare war on each other in the streets in any city, it is the innocent bystanders that suffer the greatest consequences,” said Director Steven Dettelbach of the ATF. “I want to thank the U.S. Attorney’s Office, the Justice Department’s Criminal Division, the Minneapolis Police Department, the Hennepin County Sheriff’s Office, and all of our law enforcement partners involved in bringing this case.” “Today's indictment of numerous Highs and Bloods gang members is the result of an exhaustive investigation conducted with our local, state, and federal partners,” Special Agent in Charge Alvin M. Winston Sr. of the FBI Minneapolis Field Office. “No American should be forced to live in perpetual fear of being a victim of violent crime. These arrests demonstrate our efforts are turning the tide against organized crime in the Twin Cities and the upper Midwest.” “For too long, criminal gangs have wreaked havoc on our streets, leaving in their wake tragedy and trauma that threatens to destroy families, neighborhoods, and communities. When we refrain from utilizing the full force of laws available to hold these bad actors accountable, we allow for this horrific behavior, and its impact on residents, to continue to be normalized. The behavior of these bad actors is outrageous and entirely unacceptable,” said Chief Brian O’Hara of the Minneapolis Police Department. “The most vulnerable in our communities are often those most impacted by gun violence and criminal gang activity. Our most vulnerable residents are entitled to the same protections and safety as everyone else in society. These arrests are just the beginning. For the first time ever, we have embedded Minneapolis police officers in the U.S. Attorney’s Office, and we will continue to develop future cases. Today we are standing shoulder to shoulder with all of law enforcement and making clear that this behavior will not be tolerated. If you intend to engage in violent crimes in our city, we will find you, we will track you down, and we will bring you to justice.” Highs Enterprise Indictments Twenty members and associates of the Highs Enterprise are charged in a 12-count indictment with RICO conspiracy involving five separate murders, over 10 attempted murders, robbery, and drug trafficking. Five additional defendants are charged in this indictment with separate drug and gun charges. As alleged in this indictment, the Highs have been operating primarily in the north side of Minneapolis since approximately 2008. The Highs congregated at specific businesses and residences located at or near the West Broadway Avenue and Lyndale Avenue North intersection. Prospective Highs members proved their loyalty to the gang by “putting in work,” i.e., committing acts of violence for the benefit of the gang or offering other benefits such as introducing a source for drugs or firearms. Highs members were expelled from the gang and physically assaulted for failing to “put in work.” The Highs leaders, or “shot callers,” determined the quantity of drugs bought and sold and the locations where members were permitted to sell the drugs. The shot callers sometimes took the lead in obtaining and distributing firearms to other Highs members. The indictment alleges a years-long pattern of violence including murders, numerous shootings and acts of retaliation against rival gang members, dealing in fentanyl, and robberies. Between April and September 2021, Highs members are alleged to have committed five murders. Minneapolis Bloods Enterprise Indictments Five members and associates of the Minneapolis Bloods charged in a separate indictment, including two who are charged with RICO conspiracy involving two separate murders, over 10 attempted murders, robbery, and drug trafficking. The remaining three defendants are charged with separate drug and gun charges, including using a firearm in a killing for two separate murders. As alleged in this indictment, the Minneapolis Bloods chapter has been in existence for several decades, controlling and operating territory on the south side of Minneapolis. The hierarchy of the Bloods includes a head or leader of the gang, senior leaders, street-level leaders, and other members or associates. New recruits (called “YGs” or young gangsters) must fight, shoot, or make money to gain respect and increase their position in the gang. The next level in the gang is “OG” (original gangsters), who are well-respected members of the gang, and the highest level is “double OG.” All OGs are equal in rank and can direct “shots” or orders. “Enforcers” carry out the OG’s “shots” or orders by beating or assaulting the offender. Members of the Bloods often wear red clothing, display gang signs, and obtain tattoos that identify the Bloods, its members, or territory. This indictment alleges a pattern of violence, including a 2020 shootout and murder at the 200 Club in north Minneapolis. In April 2022, Bloods members physically attacked, shot at, and murdered an individual outside of William’s Pub in Uptown. The indictment also alleges other criminal acts, including numerous instances of narcotics trafficking. The following defendants are charged in the Highs indictment, with all defendants being from Minneapolis, unless otherwise noted below. Montez Brown, aka Tez Blood, 31, is charged with RICO conspiracy, conspiracy to distribute controlled substances, possession of a firearm in furtherance of a drug trafficking crime, possession with intent to distribute fentanyl, and possession of a machinegun in furtherance of a drug trafficking crime. Dantrell Johnson, aka Trell Moe, 30, is charged with RICO conspiracy and with using and carrying a firearm in furtherance of murder. Gregory Hamilton, aka Lil’ Lord, 27, is charged with RICO conspiracy and using and carrying a firearm in furtherance of murder. Keon Pruitt, aka KenKen, 20, is charged with RICO conspiracy and using and carrying a firearm in furtherance of murder. Jovan Knight, aka 23, aka JoJo, 23, is charged with RICO conspiracy and conspiracy to distribute controlled substances. Tyreese Giles, aka Reese, 22, is charged with RICO conspiracy. Josiah Taylor, aka Joker, 29, is charged with RICO conspiracy, conspiracy to distribute controlled substances, and possession of a firearm in furtherance of a drug trafficking crime. Douglas Mobley, aka Nut, 35, of St. Paul, is charged with RICO conspiracy and conspiracy to distribute controlled substances. Jarrett Robinson, aka Gator, 25, is charged with RICO conspiracy. Trevaun Robinson, aka Tricky Tre, 27, is charged with RICO conspiracy, conspiracy to distribute controlled substances, and possession of a firearm in furtherance of a drug trafficking crime. Isaac Hodge, aka Ike, 46, is charged with RICO conspiracy and conspiracy to distribute controlled substances. Christopher Finch, aka Twin, 22, is charged with RICO conspiracy, conspiracy to distribute controlled substances, and possession of a firearm in furtherance of a drug trafficking crime. Tony Jelks, aka BD, 29, is charged with RICO conspiracy and conspiracy to distribute controlled substances. Cortez Blakemore, aka Tez, 33, is charged with RICO conspiracy and conspiracy to distribute controlled substances. Randy Tate, aka “Randy,” aka 32, is charged with RICO conspiracy and conspiracy to distribute controlled substances. Trevoneia Felton, aka Tre, 21, of St. Paul, is charged with RICO conspiracy and conspiracy to distribute controlled substances. Chase Robertson, aka Chase Loco, 25, of St. Paul, is charged with RICO conspiracy, conspiracy to distribute controlled substances, and possession of a firearm in furtherance of a drug trafficking crime. Malcolm Samuels, aka Reggie, 24, is charged with RICO conspiracy and conspiracy to distribute controlled substances. William Banks, aka Bear, 33, is charged with RICO conspiracy and conspiracy to distribute controlled substances. Ronald Washington, aka Black, 36, is charged with RICO conspiracy. William Johnson, aka Lil’ Will, 32, is charged with using and carrying a firearm in furtherance of murder. Dashaun Morris, aka Mush, 21, is charged with conspiracy to distribute controlled substances. Ernest Boyd, aka Shaky Shawn, 42, is charged with conspiracy to distribute controlled substances and possession of a firearm in furtherance of a drug trafficking crime. Maron Bailey, aka Boonie, 25, is charged with conspiracy to distribute controlled substances. Isaiah Bell, 20, of St. Paul, is charged with conspiracy to distribute controlled substances. Additionally, the following defendants are Highs members or associates who were charged in individual indictments: Montrell Shief, 23, is charged with being a felon in possession of a firearm and unlawful possession of a machinegun. Deon Williams, aka Ghost, 28, is charged with being a felon in possession of a firearm. Dennis Mobley, aka Diddy, 34, is charged with being a felon in possession of a firearm. The following defendants are named in the Bloods indictment: Desean James Solomon, aka Black, 33, is charged with RICO conspiracy and two counts of using and carrying a firearm in furtherance of murder. Michael Allen Burrell, aka Skitz, 42, is charged with using and carrying a firearm in furtherance of murder. Leontawan Lentez Holt, aka Leon, aka Shotta, aka Shot Dog, 25, is charged with using and carrying a firearm in furtherance of murder. Additionally, the following defendants are Bloods members or associates who were charged separately: Theodore Harold Bobo Jr., aka Boo, 37 of St. Paul, is charged with possession with intent to distribute cocaine, being a felon of possession of a firearm and ammunition, and possession of a firearm in furtherance of a drug trafficking crime. Jordan Kenneth Edwards, aka J-Bird, 34, is charged with possession with intent to distribute cocaine, being a felon of possession of a firearm and ammunition, and possession of a firearm in furtherance of a drug trafficking crime. Isaiah Lamuel Elisha Ferguson, 26, is charged with firearm conspiracy and being a felon in possession of a firearm. Josiah Ferguson, 24, is charged with firearm conspiracy and being a felon in possession of a firearm. Demarcus Cortez Garner, 24, is charged with being a felon in possession of a firearm and ammunition. Andrew Dayjon Griffin, 32, is charged with being a felon in possession of a firearm. Obuatawan Holt, aka Bone, 47, is charged with being a felon in possession of a firearm. Latoya Bea Smith, 47, is charged with knowingly transferring firearms to a felon. John Eric Solomon, aka Eastside, 33 of Minneapolis, is charged with being a felon in possession of a firearm. Traigh Sean Tillman, 29, is charged with being a felon in possession of a firearm. Nathan Walz, aka Fat Nate, aka Fat Blood, aka Fat Boy, aka White Boy Nate, 34, of Prior Lake, is charged with possession with intent to distribute methamphetamine, being a felon in possession of a firearm, and possession of a firearm in furtherance of a drug trafficking crime. If convicted, the defendants face a range of penalties, including up to life in prison for racketeering conspiracy involving acts of murder, using a firearm to commit murder, and conspiracy to distribute controlled substances. The ATF, FBI, Minneapolis Police Department, IRS Criminal Investigation, U.S. Postal Inspection Service, Hennepin County Sheriff’s Office, Minnesota Bureau of Criminal Apprehension, and Minnesota Department of Corrections are investigating the cases, with assistance from the U.S. Marshals Service, DEA, Homeland Security Investigations, and the Hennepin County Attorney’s Office. The Ramsey County Sheriff’s Office, Dakota County Sheriff’s Office, St. Paul Police Department, and numerous other law enforcement agencies contributed to this investigation through reports or evidence control. Assistant U.S. Attorneys Samantha H. Bates, Justin A. Wesley, Esther Soria Mignanelli, and Joseph S. Teirab for the District of Minnesota and Trial Attorneys Brian W. Lynch and S. Benjamin Tonkin of the Criminal Division’s Organized Crime and Gang Section are prosecuting the cases. An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.


title: U.S. Attorney's Office Resolves Sexual Harassment Lawsuit Against Massachusetts Landlord

body_text: BOSTON – The U.S. Attorney’s Office for the District of Massachusetts announced today that it has secured a settlement resolving allegations that Salazar Dos Santos, a Chicopee, Massachusetts landlord, violated the Fair Housing Act by sexually harassing female tenants for at least 11 years. The settlement also resolves claims against the Trusts of Salazar Dos Santos and America Dos Santos, which held the properties where the harassment occurred. The United States’ lawsuit alleged that, from 2008 through 2019, Dos Santos subjected multiple female tenants to unwelcome sexual contact, which included coercing them to engage in sex acts, physically sexually assaulting them, exposing himself and locking them in his office to sexually assault them. The lawsuit asserted that Dos Santos implicitly offered to provide relief from rental payment obligations in exchange for engaging in sexual acts with him, and threatened tenants who resisted or objected to his unwelcome sexual harassment. It is further alleged that some victims were sexually harassed dozens of times for months (one tenant on more than 40 occasions), and that Dos Santos evicted some tenants after they refused his advances. Under the proposed consent decree agreed upon by all parties, subject to approval by the U.S. District Court for the District of Massachusetts, the defendants are required to pay a total of $425,000 to compensate individuals harmed by the harassment and a $25,000 civil penalty. The consent decree also bars future discrimination and retaliation, requires that property management responsibilities be turned over to an independent manager, mandates the implementation of a sexual harassment policy, complaint procedure, and Fair Housing Act training and requires detailed reporting regarding property management activities and compliance with the terms of the consent decree. The consent decree permanently bars Dos Santos from participating in any property management responsibilities at any residential rental property. “Sexual harassment and the conduct alleged here is repugnant and completely unacceptable. Stable and safe housing is fundamental for positive outcomes in life. Insidiously, sexual harassment and violations in the context of housing often target vulnerable tenants who fear eviction and homelessness. Although not present in this case, there are also times that immigration status is the manipulation utilized to target and victimize vulnerable tenants,” said United States Attorney Rachael S. Rollins. “Under the Fair Housing Act, the federal government has the authority to investigate and hold to account predatory landlords and property managers who engage in this despicable conduct. The District of Massachusetts is committed to actively and aggressively investigating these types of cases. Last, but certainly not least, I want to commend the brave women who came forward in this matter.” “Coercing tenants to engage in sex acts and retaliating against those who resist are among the most egregious forms of sexual harassment that we see today,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “The Justice Department remains committed to combating sexual harassment in housing, and securing relief for those whose lives have been upended by such dehumanizing and unlawful conduct.” U.S. Attorney Rollins and AAG Clarke made the announcement today. Assistant U.S. Attorneys Torey B. Cummings, Christopher Morgan and Hillary Harnett handled the matter. The Civil Rights Unit of the U.S. Attorney’s Office was established in 2015 with the mission of enhancing federal civil rights enforcement. For more information on the Office’s civil rights efforts, please visit www.justice.gov/usao-ma/civil-rights. For information specific to the Fair Housing Act and the Department of Justice’s Sexual Harassment in Housing Initiative, please visit this website, which also includes information on how to report a violation.


title: Tobacco Wholesaler Sentenced in Tax Fraud Scheme

body_text: BOSTON – The owner of tobacco wholesale businesses in Massachusetts was sentenced today in federal court in Springfield for defrauding the Commonwealth of Massachusetts of substantial tobacco tax revenue. Khalid Siddique, 67, of Attleboro, was sentenced by U.S. District Court Judge Mark G. Mastroianni to one year probation. Siddique was also ordered to pay forfeiture of $120,536 as well as restitution to the Commonwealth of Massachusetts in an amount that will be determined as a later date. Earlier in the hearing, Siddique pleaded guilty to one count of conspiracy to commit wire fraud. Between 2006 and 2012, Siddique defrauded Massachusetts by failing to pay excise taxes on smokeless tobacco and cigars he purchased from co-conspirator Syed Bokhari, as well as other tobacco wholesalers, which he received at his Attleboro warehouse. In connection with the fraud scheme, Siddique filed false tobacco tax returns with the Commonwealth of Massachusetts which vastly under-stated the amount of tax he owed. On Aug. 11, 2022, Bokhari was sentenced to one year of probation. The government recommended a sentence of 18 months in prison. In a related civil forfeiture action, Bokhari agreed to forfeit seized tobacco, currency, and other assets, which resulted in the recovery of $2,197,985 by the government. In addition, seven other co-conspirators of Bokhari were previously sentenced by the Court to one year probation. To date, Judge Mastroianni has ordered three of those co-conspirators to pay restitution. On April 11, 2023, the Court ordered Harbhajan Singh to pay $19,507 in restitution to the Commonwealth of Massachusetts. On April 26, 2023, the Court ordered Sukhdev Singh to pay $1,378,876 in restitution to the State of Connecticut. On April 27, 2023, Judge Mastroianni ordered Satish Kumar to pay $1,736,623.92 to the State of Connecticut. The issue of restitution remains pending before the Court as to the remaining four co-conspirators of Bokhari’s fraud who have been sentenced. United States Attorney Rachael S. Rollins; James M. Ferguson, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms & Explosives, Boston Field Division; Joleen D. Simpson, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigation in Boston; Michael J. Krol, Acting Special Agent in Charge of Homeland Security Investigations in New England; Commissioner Geoffrey E. Snyder of the Massachusetts Department of Revenue; and Commissioner Mark D. Boughton of the Connecticut Department of Revenue Services made the announcement today. Assistant U.S. Attorneys Christopher L. Morgan and Michael J. Mazur of Rollins’ Springfield Branch Office prosecuted the case.


title: Member of U.S. Attorney’s Office Receives Director’s Award

body_text: NEWARK, N.J. – Caroline Sadlowski, Counsel to the U.S. Attorney for the District of New Jersey, was recognized by Executive Office for U.S. Attorneys (EOUSA) Director Monty Wilkinson at the 38th annual Director’s Awards Ceremony today in Washington, D.C. At the ceremony, which was held in the Great Hall at the Robert F. Kennedy Department of Justice Building, Ms. Sadlowski was honored with the Executive Achievement Award, which recognizes someone who has made significant contributions toward improving the efficiency, effectiveness, and productivity of the office through personal initiative, innovation, leadership, and creativity. “Caroline Sadlowski is a remarkable leader, advisor, and advocate, who works tirelessly to support the office’s mission and employees,” U.S. Attorney Philip R. Sellinger said. “I am proud to congratulate Caroline on receiving a Director’s Award that recognizes her significant contributions to the office and the people of New Jersey. Every organization has a few cornerstone people who are depended upon by everyone. For the U.S. Attorney’s Office for the District of New Jersey, Caroline Sadlowski is one of those people.” Ms. Sadlowski has been with the U.S. Attorney’s Office for the District of New Jersey for 19 years, has served in leadership positions in both the Appeals and Civil Divisions, and served in the front office as Counsel since 2018. Ms. Sadlowski advises the U.S. Attorney and other office supervisors on case-related decisions, bringing her tremendous insight and sound judgment to the office’s criminal, civil, and appellate matters based on her near two-decades of experience. She serves as one of the office’s ethics officers, providing ethics training to all supervisors and ethics advice to the U.S. Attorney on a wide array of issues. Ms. Sadlowski also oversees the office’s administrative division, particularly focusing on human resource and budget issues, and leads the office’s participation in the District’s Reentry Court and Pretrial Opportunity Program, two nationally recognized programs that focus on helping those enmeshed in the criminal justice system.


title: Clarksville Psychiatrist Pleads Guilty To Making False Statements To Medicare & Tricare

component: USAO - Tennessee, Middle

body_text: NASHVILLE – A Clarksville, Tennessee psychiatrist pleaded guilty today in U.S. District Court to two counts of making false statements relating to health care matters, announced U.S. Attorney Henry C. Leventis. Dr. James Maures Dodson, 57, pleaded guilty to making false statements to Medicare and TRICARE in connection with two types of criminal activity. First, he caused his practice, Clarksville Behavioral Health (CBH), to submit claims for services he did not provide. On several dates between August 16, 2016, and December 10, 2018, he caused CBH to submit claims for more than 24 hours of services per day. Second, between May 2018 and October 2020, Dodson caused CBH to falsely represent to TRICARE that other CBH providers were certified by TRICARE when they were not. For TRICARE to pay a claim for the services of a provider, TRICARE regulations required that the provider be certified by TRICARE. In May 2018, CBH offered to repay approximately $135,412.16 to TRICARE due to prior claims that had been rendered by non-TRICARE-certified providers. Notwithstanding this agreement, Dodson caused CBH to continue submitting claims to TRICARE, falsely representing that providers at his practice were TRICARE-certified when they were not. Dodson’s sentencing has been set for September 27, 2023. He faces up to 5 years in prison and a fine of up to $250,000 on each count. This case was investigated by the Department of Health and Human Services, Office of Inspector General and the Department of Defense, Office of Inspector General. Assistant U.S. Attorney Taylor J. Phillips is prosecuting the case. # # # # #


title: Deputy Attorney General Recognizes Eastern District of New York Assistant U.S. Attorney at Director's Awards Ceremony

body_text: Assistant United States Attorney Layaliza Soloveichik was among those recognized by Deputy Attorney General Lisa Monaco and Director Monty Wilkinson of the Executive Office for U.S. Attorneys (EOUSA), at the 38th Director’s Awards Ceremony today in Washington, D.C. The EDNY was one of the districts represented at the ceremony, which was held in the Great Hall at the Robert F. Kennedy Department of Justice Building. Breon Peace, United States Attorney for the Eastern District of New York, said: “Congratulations to Layaliza for receiving a Director’s Award for Superior Performance as an Assistant U.S. Attorney. Layaliza’s vision, skill, and tenacity as a litigator and supervisor on behalf of the United States have enhanced the stature of the U.S. Attorney’s Office for the Eastern District of New York and furthered the mission of the Department of Justice.” EOUSA Director Wilkinson said: “The recipients we honor today have shown remarkable resilience and commitment to justice through challenging times, rising to the occasion with unwavering dedication to their mission. They have worked tirelessly to protect the rights of Americans and exemplify the very best in federal service.” Assistant United States Attorney (AUSA) Soloveichik was recognized for her exemplary performance in leading the district’s demanding civil immigration and programmatic practices, which consist of more than 1,500 cases. AUSA Soloveichik serves as Deputy Chief of the Civil Division in the Eastern District of New York and previously served as Chief of the Immigration Litigation Unit. She has also successfully managed a host of emergency litigation and programmatic challenges in cutting-edge cases of national significance. AUSA Soloveichik has also taken on leading roles in defending challenges to national policies related to the COVID-19 pandemic as well as long-standing vaccine policies. EOUSA provides oversight, general executive assistance, and direction to the 94 United States Attorneys’ offices around the country. For more information on EOUSA and its mission, visit http://www.justice.gov/usao . For more information about the United States Attorney’s Office for the Eastern District of New York, visit www.justice.gov/usao/nye .


title: Norfolk Man Charged with Distributing Fentanyl and “Tranq” Mixture, Known as the Zombie Drug

component: USAO - Virginia, Eastern

body_text: NORFOLK, Va. – A federal grand jury indicted a Norfolk man today on charges of conspiracy to distribute and possess with intent to distribute Fentanyl mixed with Xylazine, opening two drug-involved premises, possession with intent to distribute Fentanyl mixed with Xylazine, possession with intent to distribute cocaine, and being a convicted felon in possession of firearms. According to allegations in the indictment, on or about February 17, 2023, William Griggs, 54, operated two drug-involved houses in the City of Norfolk where he stored and packaged fentanyl mixed with Xylazine for distribution in Norfolk, and stored and packaged cocaine. Xylazine, also known as “Tranq,” is a powerful sedative that the U.S. Food and Drug Administration (FDA) has approved for veterinary use only. Xylazine and fentanyl drug mixtures place users at a higher risk of suffering a fatal drug poisoning. People who inject drug mixtures containing Xylazine also can develop severe wounds, including necrosis—the rotting of human tissue—that may lead to amputation. The combination is referred to on the street as the “Zombie” drug. The U.S. Drug Enforcement Administration (DEA) recently issued a public safety alert warning the American public of a sharp increase in the trafficking of Fentanyl mixed with Xylazine and the drug’s deadly effects. The FDA also published an alert to health care providers about the risks to patients exposed to Xylazine in illicit drugs. If convicted of the allegations, Griggs faces up to life in prison. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors. Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia; Jarod Forget, Special Agent in Charge for the DEA Washington Division; and Mark Talbot, Chief of Norfolk Police, made the announcement after the grand jury returned an Indictment. Assistant U.S. Attorney Kevin M. Comstock is prosecuting the case. A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 2:23-cr-60. An indictment is merely an accusation. The defendant is presumed innocent until proven guilty.


title: Kanawha County Woman Sentenced to Prison for Federal Fraud Crimes

body_text: CHARLESTON, W.Va. – Karen L. Hodges, also known as “Karen Igo,” “Karen Clay,” “Karen Richmond,” and “Karen Gessel,” 49, of St. Albans, was sentenced today to one year and four months in prison, to be followed by three years of supervised release, for three counts of securities fraud. Hodges must also pay $38,570.78 in restitution. According to court documents and statements made in court, Hodges admitted to having counterfeit checks created so they appeared to be payroll checks issued by Kroger. Between October 20, 2018, and December 19, 2018, Hodges presented and cashed three counterfeit payroll checks totaling $2,461.96 at Kroger locations within the Southern District of West Virginia. Hodges admitted that she has never worked for Kroger, and knew that she was deceiving Kroger into giving her cash based on these counterfeit payroll checks. Hodges further admitted to presenting and uttering numerous other counterfeit checks totaling $37,587.66 during the same time period at Kroger locations within the Southern District of West Virginia, as well as the Northern District of West Virginia, Indiana, Kentucky, Ohio and Virginia. Hodges also admitted to cashing two legitimate checks in her father’s name totaling $983.12 without his authorization at Kroger locations within the Southern District of West Virginia. United States Attorney Will Thompson made the announcement and commended the investigative work of the United States Secret Service. Senior United States District Judge John T. Copenhaver, Jr. imposed the sentence. Assistant United States Attorneys Kristin F. Scott and Ryan A. Keefe prosecuted the case. A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 2:22-cr-223. ###


title: Slync Founder Chris Kirchner Indicted

body_text: The founder of Slync, a supply-chain management software startup, has been indicted for defrauding investors out of at least $25 million, announced U.S. Attorney for the Northern District of Texas Leigha Simonton. Christopher Kirchner, 35, was charged via criminal complaint in February. On Tuesday, a federal grand jury indicted him on five counts of wire fraud and eight counts of money laundering. “Rather than focus on growing his fledgling business, Christopher Kirchner allegedly swindled investors out of millions of dollars he used to fund a splashy lifestyle – then allegedly attempted to cover his tracks by conning even more investors and by firing employees who dared question him,” said U.S. Attorney Leigha Simonton. “Investors deserved honesty; instead they got chicanery. We will not allow businesspeople to treat their stockholders this way. We look forward to proving our case against Mr. Kirchner in court.” “As the indictment alleges, Mr. Kirchner chose to enrich himself by diverting corporate assets away from Slync in order to fund his lavish lifestyle. Deceptive acts of corporate greed not only erode investor confidence and employee trust, but also financial market integrity,” said FBI Dallas Special Agent in Charge Chad Yarbrough. “If you deceive and defraud your investors and employees, the FBI will persist in our efforts to bring you to justice.” According to the indictment, Mr. Kirchner – who served as Slync’s CEO from 2017 until 2022, when he was terminated by the Board of Directors due to allegations of misconduct – allegedly converted at least $25 million in investor money to his own personal use. Records indicate that Slync raised roughly $7 million in its Series A investment round and roughly $50 million in its Series B investment round. All investor funds, which were supposed to be used for “product development and other general corporate purposes,” were wired into the company’s account at Silicon Valley Bank. Mr. Kirchner allegedly misappropriated the investor funds in various ways: Between April 2020 and March 2022, Mr. Kirchner allegedly initiated nearly 100 wire transfers moving money from Slync’s Silicon Valley Bank account into the company’s account at JPMorgan Chase Bank – an account only he had access to. He then allegedly wired much of the money from the Chase account to his personal bank accounts. In addition, Mr. Kirchner allegedly wired $20 million directly from Slync’s Silicon Valley Bank account into his personal checking account. He used some of those funds to buy a $16 million private jet and to secure a luxury suite at the stadium of a Dallas-area professional sports team. When Slync, drained of funds, struggled to make payroll in the spring of 2022, Mr. Kirchner allegedly attempted to replace some of the money he had allegedly misappropriated by convincing at least four investors to wire approximately $850,000 to Slync as part of a purported Series C investment round. Slync’s Board of Directors never authorized this Series C investment round. In the meantime, Mr. Kirchner offered various explanations for Slync’s payroll issues. He first claimed that the company’s cash was invested in illiquid assets that were difficult to divest. Later, he said that the U.S. government had frozen the company’s accounts because he had transacted in his personal capacity with sanctioned entities in Russia. Neither explanation was true. In June 2022, Mr. Kirchner allegedly fired two Slync employees who expressed concern about his management of the company. One of the employees had reported that Mr. Kirchner may have falsely exaggerated Slync’s financial performance to investors. Immediately following his suspension by the Board in late July 2022, Mr. Kirchner removed certain IT administrator privileges from key Slync employees, preventing the employees from accessing Slync’s computer systems. He then allegedly attempted to delete approximately 18 gigabytes of Slync data, including emails. An indictment is merely an allegation of wrongdoing, not evidence. Mr. Kirchner is presumed innocent until proven guilty in a court of law. If convicted, he faces up to 20 years in federal prison per count of wire fraud and up to 10 years in prison per count of money laundering. The Federal Bureau of Investigation’s Dallas Field Office conducted the investigation. Assistant U.S. Attorneys Joshua D. Detzky, Blake J. Ellison, and John de la Garza are prosecuting the case.