title: Gunvor S.A. Pleads Guilty to Scheme to Bribe Ecuadorian Officials and Ordered to Pay Over $600 Million in Criminal Penalties

component: Criminal - Money Laundering, Narcotics and Forfeiture Section

body_text: Today, in federal court in Brooklyn, Gunvor S.A. (Gunvor), a part of the Gunvor Group, one of the largest commodities trading firms in the world, pleaded guilty to one count of conspiracy to violate the Foreign Corrupt Practices Act (FCPA). The charge arises out of a scheme to bribe officials of the Ecuadorian Ministry of Hydrocarbons and Petroecuador, the Ecuadorian state-owned oil company, in order to obtain contracts to purchase oil products. The proceeding was held before United States District Judge Eric N. Vitaliano. As part of the company’s sentence, Gunvor was ordered to pay a criminal penalty of approximately $661 million. Breon Peace, United States Attorney for the Eastern District of New York, Brent S. Wible, Acting Senior Counselor of the Justice Department’s Criminal Division, and Jeffrey B. Veltri, Special Agent-in-Charge, Federal Bureau of Investigation, Miami Field Office (FBI), announced the guilty plea and sentence. “Today’s guilty plea and sentencing marks yet another example of this office’s efforts to combat widespread corruption,” said U.S. Attorney Breon Peace for the Eastern District of New York. “Corruption erodes the public’s trust in their government, prevents government officials from acting in the best interests of the people they represent and harms businesses that play by the rules, driving up prices for consumers. The Justice Department, including my Office, will not tolerate bribes being paid by American companies or foreign companies misusing the U.S. financial system.” “Over nearly a decade, Gunvor representatives bribed high-level government officials at Ecuador’s state-owned oil company to enter into business transactions with other state-owned entities that ultimately benefited Gunvor. As a result of this complex bribery scheme, Gunvor obtained hundreds of millions of dollars in illicit profits,” said Acting Senior Counselor Wible. “Foreign bribery emboldens corrupt officials and undermines the rule of law. Gunvor’s guilty plea demonstrates that the Criminal Division remains resolute in our efforts to root out bribery and official corruption. We will continue to hold both corporations and individuals who bribe foreign officials to account, in coordination with our international partners.” “Gunvor’s years long bribery scheme involving high-level Ecuadoran officials was both detrimental to the business environment and eroded the public’s trust and confidence in their government,” stated FBI Special Agent-in-Charge Veltri. “This guilty plea and significant fine would not have been possible without significant cooperation from our international partners in the Cayman Islands, Colombia, Curacao, Ecuador, Panama, Portugal, Singapore, and Switzerland. This truly was an international effort.” In connection with the resolution, Gunvor entered into a plea agreement with the government and pleaded guilty to an information charging the company with conspiracy to violate the anti-bribery provisions of the FCPA. Following the plea, Judge Vitaliano sentenced Gunvor to pay a criminal monetary penalty of more than $374 million and to forfeit more than $287 million in ill-gotten gains. The sentence includes credits of up to $93 million each for amounts Gunvor pays to resolve investigations by Swiss and Ecuadorian authorities into the same misconduct so long as the payments are made within 12 months of today’s date. According to the company’s admissions and court documents, between 2012 and 2020, Gunvor and its co-conspirators paid more than $97 million to intermediaries understanding that some of the money would be and in fact was used to bribe numerous Ecuadorian officials, including Nilsen Arias, a then-high ranking official at Petroecuador. The bribe payments were routed through banks in the United States using shell companies in Panama and the British Virgin Islands controlled by Gunvor’s co-conspirators. A Gunvor employee directed one of the intermediaries to use the bribe money to purchase an 18-karat gold Patek Philippe wristwatch for Arias. In exchange for these bribe payments, high-level Ecuadorian officials helped Gunvor win contracts to provide a series of oil-backed loans to Petroecuador. The oil-backed loans were made through other state-owned entities, which acted as “fronts” for Gunvor. Because the contracts were with other state-owned entities, Petroecuador rules did not require a competitive bidding process, allowing Gunvor and co-conspirators to obtain contracts it would not have been able to obtain directly. Gunvor also received confidential Petroecaudor information. In total, Gunvor earned more than $384 million in profits from the business it corruptly obtained related to Petroecuador. The department reached this resolution with Gunvor based on a number of factors including the nature and seriousness of the offense, which involved a multi-year scheme to bribe numerous senior Ecuadorian government officials in order to obtain lucrative business resulting in more than $384 million in profits to Gunvor; and that Gunvor has a history of misconduct. In October 2019, Gunvor reached a resolution with the Office of the Attorney General of Switzerland concerning a corrupt scheme to bribe officials in Congo-Brazzaville and Côte d’Ivoire to secure oil contracts. The conduct that is the subject of today’s guilty plea occurred, in part, at the same time as the prior Swiss investigation and resolution. Accordingly, taking into account these and other factors, including Gunvor’s cooperation and remediation, the total criminal penalty reflects a 25% reduction off the 30th percentile of the applicable U.S. sentencing guidelines fine range. The department previously secured convictions in the Eastern District of New York of four individuals who were implicated in Gunvor’s bribery scheme, including: Antonio Pere Ycaza, a former consultant for Gunvor, pleaded guilty on Oct. 7, 2020, to one count of conspiracy to violate the FCPA and one count of conspiracy to commit money laundering. Enrique Pere Ycaza, a former consultant for Gunvor, also pleaded guilty on Oct. 7, 2020, to one count of conspiracy to commit money laundering and to violate the FCPA. Raymond Kohut, a former Gunvor employee and agent, pleaded guilty on April 6, 2021, to one count of conspiracy to commit money laundering. Nilsen Arias Sandoval, a former senior Petroecuador official, pleaded guilty on Jan. 19, 2022, to one count of conspiracy to commit money laundering. The investigation was conducted by FBI Miami’s International Corruption Squad. The government’s case is being handled by the Business and Securities Fraud Section of the United States Attorney’s Office for the Eastern District of New York and the Criminal Division’s Fraud Section and the Money Laundering and Asset Recovery Section (MLARS) Special Financial Investigations Unit. Assistant United States Attorneys Jonathan P. Lax, Nick M. Axelrod and Matthew R. Galeotti of the Eastern District of New York are prosecuting the case with Assistant Chiefs Derek J. Ettinger and Jonathan P. Robell and Trial Attorney Clayton P. Solomon of the Fraud Section, Deputy Chief Adam J. Schwartz and Trial Attorney D. Hunter Smith of MLARS. Assistant United States Attorneys Laura Mantell and Brendan King of the Eastern District of New York’s Asset Recovery Section are handling forfeiture matters. The Justice Department’s Office of International Affairs and authorities in the Cayman Islands, Colombia, Curacao, Ecuador, Panama Portugal, Singapore and Switzerland provided valuable assistance in this matter. The Defendant: GUNVOR S.A. Switzerland E.D.N.Y. Docket No. 24-CR-85 (ENV)


title: Hyannis Woman Sentenced to Three Years in Prison for Fentanyl Conspiracy Operating Across Southeastern Massachusetts

component: USAO - Massachusetts

body_text: BOSTON – A Hyannis woman was sentenced yesterday in federal court in Boston for her involvement in a drug trafficking organization (DTO) that distributed fentanyl throughout Southeastern Massachusetts and Rhode Island. Rebecca Bartholomew, 37, was sentenced by U.S. District Court Judge Allison D. Burroughs to three years in prison and three years of supervised release. In October 2023, Bartholomew pleaded guilty to conspiracy to distribute and to possess with intent to distribute fentanyl. Bartholomew was one of 10 individuals indicted by a federal grand jury in August 2022 in connection with the conspiracy. In March 2021, an investigation began into a DTO operating in Southeastern Massachusetts and Rhode Island led by Estarlin Ortiz-Alcantara. The investigation identified Bartholomew as a distributor for the DTO. Between April and June 2022, Bartholomew redistributed fentanyl she had obtained from Ortiz-Alcantara and allegedly other DTO members. During a traffic stop in April 2022, Bartholomew was found in possession of approximately 90 grams of fentanyl. Bartholomew is the fourth defendant to be sentenced in case. Ortiz-Alcantara pleaded guilty in December 2023 and is scheduled to be sentenced on July 9, 2024. Acting United States Attorney Joshua S. Levy; Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration, New England Field Division; New Bedford Police Chief Paul Oliveira; and Fairhaven Police Chief Michael J. Myers made the announcement. Special assistance was provided by the Massachusetts State Police; Homeland Security Investigations; Bristol County Sheriff’s Office; and Fall River, Taunton, Attleboro, Scituate, Yarmouth, Providence (R.I.) and West Warwick (R.I.) Police Departments. Assistant U.S. Attorney John T. Mulcahy of the Narcotics & Money Laundering Unit is prosecuting the case. This effort is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF . The details contained in the charging document are allegations. The remaining defendants are presumed to be innocent unless and until proven guilty beyond a reasonable doubt in the court of law.


title: St. Charles Man Admits Recording Sexual Abuse of 2 Girls

component: Federal Bureau of Investigation (FBI)

body_text: ST. LOUIS – A man from St. Charles, Missouri on Friday admitted recording his sexual abuse of two young girls for years. Ronald C. Lawrence, 25, pleaded guilty in U.S. District Court in St. Louis to two counts of production of child pornography, two counts of distribution of child pornography and one count of receiving child pornography. Lawrence admitted sexually abusing two girls for years, starting when one was just 7 years old. He recorded that abuse and shared those images with others online. He also admitted downloading and possessing child sexual abuse material. A third girl told authorities that he touched her inappropriately in 2022. She said her abuse stopped when she punched Lawrence in the face. The investigation began after multiple electronic service providers made cyber tip reports to the National Center for Missing and Exploited Children (NCMEC) stemming from the child pornography activity conducted by Lawrence, including Dropbox, Instagram and Google. Lawrence is scheduled to be sentenced June 21. Assistant U.S. Attorney Jillian Anderson will ask for a sentence of 35 years in prison, the plea agreement says. The FBI, the St. Charles County Police Department and the St. Charles County Cyber Crime Task Force investigated the case. Assistant U.S. Attorney Jillian Anderson is prosecuting the case.


title: Buffalo man arrested, accused of threatening to blow up the VA

component: USAO - New York, Western

body_text: BUFFALO, N.Y.-U.S. Attorney Trini E. Ross announced today that Demont Coston, 56, of Buffalo, NY, was arrested and charged by criminal complaint with threatening to blow up the VA Medical Centers in Buffalo, NY, and Washington, D.C. The charge carries a maximum penalty of five years in prison and a $250,000 fine. Assistant U.S. Attorneys Andrew J. Henning and Charles M. Kruly, who are handling the case, stated that according to the complaint, on September 12, 2023, Coston called the Veterans Crisis Line and made threats to blow up VA Medical Center in Buffalo. Coston made statements such as “If I can not get any help from the VA, no one can,” and “The VA won’t be here anymore.” Coston also stated, “he finally found the person that he wants to kill, and he planned to kill him tomorrow.” After investigators were unable to contact Coston, he was located at a family member’s house in Maryland. Subsequently, Coston made similar threats to blow up the VA Medical Center in Washington D.C. The complaint is the result of an investigation by the VA Medical Center Police, under the direction of Chief Richard King and the VA Office of Inspector General, Criminal Investigations Division, under the direction of Special Agent-in-Charge Christopher Algieri. The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.


title: Beaver County Man Sentenced To 120 Months For Child Exploitation Crime

component: USAO - Pennsylvania, Middle

body_text: SCRANTON – The United States Attorney’s Office for the Middle District of Pennsylvania announced today that Richard Rader, age 61, a resident of New Galilee, Beaver County, Pennsylvania, was sentenced to 120 months’ imprisonment by United States District Court Judge Malachy E. Mannion, for attempted online enticement of a minor. According to the United States Attorney Gerard M. Karam, between June 20, 2022, and July 8, 2022, Rader used the internet and an electronic device to attempt to persuade, induce, entice, and coerce a person who he believed to be a 12-year-old child to engage in sexual conduct and to produce images of child pornography. During that period, on two occasions, Rader transmitted obscene photographs of himself to the purported child. The investigation was conducted by Homeland Security Investigations – Philadelphia Division. Assistant United States Attorneys Michelle Olshefski and Tatum Wilson prosecuted the case. The maximum penalty under federal law for this offense is life imprisonment, a term of supervised release following imprisonment, and a fine. A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines. # # #


title: Judge Sentences District Man to 32 Years in Prison for 2018 Stabbing in Southeast

component: USAO - District of Columbia

body_text: WASHINGTON – Marquette Jordan, 32, of Washington, D.C., was sentenced today to 32 years in prison and five years of supervised release for the April 2018 fatal stabbing of 48-year-old Ivan Lynch in Southeast D.C., announced U.S. Attorney Matthew M. Graves and Chief Pamela Smith, of the Metropolitan Police Department (MPD). A jury returned guilty verdicts, in December 2023, on charges of second-degree murder while armed, carrying a dangerous weapon, and assault. According to the government’s evidence, on April 30, 2018, the victim, Ivan Lynch, who had just attended a birthday celebration for himself, left the party and was going to meet up with a friend at his apartment. On the way to the friend’s apartment, Mr. Lynch picked up the defendant Marquette Jordan, the defendant’s girlfriend, the girlfriend’s two young children, and a childhood friend of the defendant. Once inside the apartment, a verbal altercation occurred between Jordan and his girlfriend in front of her two young children. Mr. Lynch intervened and reportedly told the defendant that that is not how we treat women. Jordan and Mr. Lynch then engaged in a verbal dispute resulting in a physical fight between the two men inside the apartment. During the fight, Jordan grabbed a butcher knife from the kitchen and stabbed Mr. Lynch once in the shoulder, twice in the heart, and three times in the back. After stabbing Mr. Lynch, Jordan then continued to physically assault his girlfriend, threatened to kill her, and charged at her with a knife. The girlfriend grabbed a pillow and fled the apartment without her shoes, and leaving behind her minor children until she returned later that day. The defendant went through the victim’s pockets before leaving the apartment. School surveillance captured Jordan walking with the two children after the homicide. He was stopped outside by MPD officers shortly after leaving the apartment and law enforcement officers found Mr. Lynch’s keys and his blood on Jordan’s pants and shirt. The murder weapon, the butcher knife, was never recovered. Officers also found Mr. Lynch’s cell phone discarded in an area where the defendant was observed walking, according to surveillance footage in the area. Mr. Lynch’s wallet was mailed from a nearby school to the address on his driver’s license. In sentencing the defendant, Superior Court Judge Rainey Brandt agreed with the government that the circumstances warranted a departure above the D.C. Superior Court Voluntary Sentencing Guidelines. This case was investigated by the Metropolitan Police Department. This case was prosecuted by Assistant U.S. Attorneys Natalie M. Hynum and Omeed A. Assefi of the U.S. Attorney’s Office for the District of Columbia. Valuable assistance was provided by Assistant U.S. Attorneys Emma McArthur, Marybeth Manfreda, and Richard Barker as well as Grazy Rivera, Kelly Blakeney, Meridith McGarrity, Charlie Bruce, Tracy Owusu, Zachary McMenamin, Karina Hernandez, Katina Adams Washington, Maenylie Watson, and Robert Cephas.


title: Four Californians Collectively Sentenced to Serve More Than 53 Years in Federal Prison for Fentanyl Conspiracy

component: USAO - Oklahoma, Western

body_text: Defendants Were Charged After Troopers Found more than 55,000 Fentanyl-Laced Pills from I-40 Traffic Stop OKLAHOMA CITY – Yesterday, AMBROCIO ARROYO , 30, of California, was sentenced to serve 200 months in federal prison for possession of fentanyl with intent to distribute, announced U.S. Attorney Robert J. Troester. On June 21, 2022, a federal grand jury returned a two-count Indictment against Arroyo and three other co-defendants, DESTINY RUBY LOPEZ , 20, DANIEL OCHOA , 32, and KEVIN EARL TOOKS , 38, all of California, charging the four with drug conspiracy and possession of fentanyl with intent to distribute. According to an affidavit in a previously filed criminal complaint, in May 2022 Oklahoma Highway Patrol troopers pulled over two vehicles for speeding violations on I-40 traveling through Beckham County. The vehicles were being driven by Arroyo and Ochoa, with Lopez and Tooks riding as passengers. The Indictment alleges that troopers could smell marijuana coming from both vehicles, which ultimately led OHP troopers to finding approximately 15 pounds of fentanyl-laced pills hidden inside a rear door panel of the car driven by Arroyo. On November 30, 2022, Arroyo pleaded guilty and admitted to driving through the Western District of Oklahoma with the intention of distributing pills that contained at least 400 grams of fentanyl. At the sentencing hearing yesterday, U.S. District Judge Jodi W. Dishman sentenced Arroyo to serve 200 months in federal prison, followed by five years of supervised release. In announcing her sentence, Judge Dishman noted the amount of fentanyl seized, stating that the 55,614 fentanyl-laced pills found in the car driven by Arroyo was a significant amount of fentanyl. The other three defendants have already been sentenced in this case, each pleading guilty to drug conspiracy, with Lopez sentenced to 36 months, Tooks sentenced to 188 months, and Ochoa sentenced to 218 months in federal prison. This case is the result of an investigation by the Drug Enforcement Agency (DEA) and the Oklahoma Highway Patrol. Assistant U.S. Attorneys Wilson D. McGarry and Travis Leverett prosecuted the case. Reference is made to public filings for additional information.


title: East St. Louis Man Gets Life Plus 15 Years in Prison for Fentanyl Dealing, Drug-Linked Shooting Death in University City

body_text: ST. LOUIS – U.S. District Judge Matthew T. Schelp on Friday sentenced a man convicted of charges related to fentanyl dealing and a fatal shooting in University City to life in prison plus 15 years. A jury in September found Deoman Reeves, 32, of East St. Louis, guilty of 11 felony charges: one count of conspiracy to distribute and possess with the intent to distribute in excess of 40 grams of fentanyl, four counts of possession with the intent to distribute fentanyl, three counts of possession of firearms in furtherance of a drug trafficking crime, two counts of being a felon in possession of a firearm and one count of possession of a firearm in furtherance of drug trafficking, resulting in death. The death resulting charge stems from the Oct. 21, 2019, fatal shooting of David Anderson in the 1100 block of Kingsland Avenue. Evidence and testimony presented at trial showed that Reeves and others fired multiple shots at Anderson in retaliation for a shooting in St. Louis County the day before. Anderson was not involved in the St. Louis County shooting. “This is a dangerous individual who has a callous disregard for human life,” said Special Agent in Charge Bernard G. Hansen of the Kansas City Field Division of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF). “There is no higher priority for ATF than keeping our communities safe and we will use all available resources to identify and investigate those who commit violent acts. This sentence should send a message to others that violent behavior in our communities will not be tolerated.” Judge Schelp sentenced Reeves’ co-defendant, Franklin Bell, now 32, on February 12 to 20 years in prison. Bell pleaded guilty on the eve of his trial in September to a fentanyl distribution conspiracy charge, five counts of possession with the intent to distribute fentanyl and two counts of possession of firearms in furtherance of a drug trafficking crime. Bell admitted in his plea that he, Reeves and Arrion Jones were involved in selling fentanyl in the St. Louis area. After a September 2019 non-fatal shooting, the University City Police Department requested the assistance of the ATF. An ATF confidential informant and undercover agents began buying fentanyl from Reeves and others, who were armed while selling the fentanyl. Reeves also sold firearms to a confidential informant. Judge Matthew T. Schelp sentenced Deronte McDaniels, now 26, in October to 150 months in prison. He pleaded guilty to one count of conspiracy to possess a firearm in furtherance of drug trafficking and admitted being the target of a shooting on Oct. 20, 2019, that wounded Jones. McDaniels took Jones’ firearm and returned fire and was one of the men who shot at Anderson the next day, his plea says. Jones is serving a 40-month sentence. The ATF and the University City Police Department investigated the case. Assistant U.S. Attorneys Paul D’Agrosa and Erin Granger are prosecuting the case.


title: Carl Junction Man Sentenced for Meth Trafficking, Illegal Firearm

component: USAO - Missouri, Western

body_text: SPRINGFIELD, Mo. – A Carl Junction, Mo., man has been sentenced in federal court for methamphetamine trafficking and illegally possessing a firearm. Chet Edwin Mercer, 35, was sentenced by U.S. District Judge M. Douglas Harpool on Thursday, Feb. 29, to 12 years in federal prison without parole. On Oct. 12, 2023, Mercer pleaded guilty to one count of possessing methamphetamine with the intent to distribute and one count of possessing a firearm in furtherance of a drug-trafficking crime. Mercer admitted that he was in possession of methamphetamine and a Springfield Armory 9mm firearm on Nov. 30, 2021. According to Mercer’s plea agreement, law enforcement officers utilized a confidential source to conduct a controlled purchase of 106 grams of methamphetamine from Mercer on Nov. 19, 2021, at Mercer’s home in Carl Junction. On Nov. 30, 2021, officers executed a search warrant at Mercer’s residence. Officers searched the two-bay garage on the property and discovered a camper inside. Officers found a plastic baggie inside the camper that contained 363 grams of methamphetamine with a purity of 97 percent. Mercer admitted that he possessed the methamphetamine with the intent to distribute some or all of it. While searching the bedroom of the camper, officers found the Springfield Armory 9mm firearm on the bed. Officers also found drug trafficking paraphernalia inside the camper, where Mercer apparently was living. According to court documents, Mercer distributed a total of at least 10 kilograms of methamphetamine. Mercer admitted he traveled to Oklahoma City, Oklahoma, to pick up multiple pounds of methamphetamine. He had been engaging in this type of criminal behavior since 2013, when he began utilizing his dump truck business to meet with men who would load one or two duffle bags into his truck. This case was prosecuted by Assistant U.S. Attorney Jessica R. Eatmon. It was investigated by the FBI, the Drug Enforcement Administration, the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the Ozarks Drug Enforcement Team. Organized Crime and Drug Enforcement Task Force This case is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.


title: Chicago Man Sentenced To 96 Months In Federal Prison For His Nationwide Snapchat Phishing Scheme Targeting College-Aged Women

body_text: TALLAHASSEE, FLORIDA – Joseph Alexander Valdez, 30, Chicago, Illinois, was sentenced to 96 months in federal prison after previously pleading guilty to one count of wire fraud, one count of aggravated identity theft, and one count of stalking in connection with his phishing scheme. The sentence was announced by Jason R. Coody, United States Attorney for the Northern District of Florida. “The defendant’s calculated invasion of the victims’ privacy is both despicable and illegal,” said U.S. Attorney Coody. “Moreover, his attempts to shame, taunt, and in some instances extort his victims, demonstrate his predatory nature and desire to inflict harm. This sentence rightly punishes the defendant and should serve as a significant deterrent to others. With our law enforcement partners, we remain committed to identify and aggressively prosecute acts of online exploitation.” Court documents reflect that between June 2021, and December 2022, Valdez identified college-aged females located throughout the United States—including two students at Florida State University and one student at the University of Florida—to deceive them into providing their Snapchat passwords. Once he accessed the victims’ Snapchat accounts, Valdez took screenshots of the victims’ subscriber information—such as their name, phone number, email address—and downloaded their saved photographs, including private, nude photographs. In other instances, Valdez communicated in online chatrooms and forums with other individuals who used a similar scheme to unlawfully obtain the victims’ private, nude photographs stored on the victims’ Snapchat accounts and other social media platforms. These other individuals traded and shared photographs with Valdez. “These types of crimes are often difficult to trace and challenging to prosecute,” said Tallahassee Police Chief Lawrence Revell. “However, this sentencing reinforces our commitment. Together with our local, state, and federal law enforcement partners, we will relentlessly pursue justice for the victims and send a resounding message to others that predatory behavior of this nature will not be tolerated in Tallahassee.” After obtaining the victims’ private photographs, Valdez contacted the victims to taunt them by bragging that he obtained their private photographs and by commenting on their bodies. In total, Valdez victimized and attempted to victimize over 700 women. "Every day, thousands of unsuspecting social media users fall victim to online scammers, who are using a variety of sophisticated guises and techniques to collect personal information about their victims," said Acting Special Agent in Charge Mark Dargis of the FBI Jacksonville Division. "This sentencing exemplifies the commitment of the FBI to protect Americans and investigate and pursue those who seek to exploit them. We encourage anyone who believes they are a victim of an online scam or fraud to immediately report the incident to the FBI's Internet Crime Complaint Center at www.ic3.gov ." Valdez’s prison sentence will be followed by three years of supervised release, and he was ordered to pay restitution to the victims. This case was investigated by the Federal Bureau of Investigation and the Tallahassee Police Department. Assistant United States Attorney Justin M. Keen prosecuted the case. The United States Attorney’s Office for the Northern District of Florida is one of 94 offices that serve as the nation’s principal litigators under the direction of the Attorney General. To access public court documents online, please visit the U.S. District Court for the Northern District of Florida website. For more information about the United States Attorney’s Office, Northern District of Florida, visit http://www.justice.gov/usao/fln/index.html .


title: Federal jury convicts Washington man of meth and fentanyl trafficking in Hill County, Rocky Boy’s Indian Reservation

body_text: GREAT FALLS — A federal jury on Feb. 29 convicted a Washington man accused of trafficking methamphetamine and fentanyl in communities in Hill County and on the Rocky Boy’s Indian Reservation, U.S. Attorney Jesse Laslovich said today. After a three-day trial that began on Feb. 27, a jury found the defendant, Antonio Ledesma Rodriguez, aka Uncle, 53, of Yakima, Washington, guilty of conspiracy to possess with intent to distribute and to distribute controlled substances, possession with intent to distribute controlled substance and distribution of fentanyl as charged in an indictment. Rodriguez faces a maximum of 20 years in prison, a $1 million fine and at least three years of supervised release on each count. Chief U.S. District Judge Brian M. Morris presided. The court will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors. Sentencing was set for June 20. Rodriguez was detained pending further proceedings. “Due to outstanding law enforcement work, we are, yet again, holding someone accountable for poisoning our communities. Here, Rodriguez brought meth and fentanyl pills to the Rocky Boy’s Indian Reservation and surrounding towns for local distribution. Together with our law enforcement partners, we remain relentless in our efforts to shut down drug traffickers. I thank Assistant U.S. Attorneys Stephanie D. Robles and Amanda L. Myers, our office support staff and the FBI, Tri Agency Task Force and Rocky Boy’s Police Department for their work investigating and prosecuting this case,” U.S. Attorney Laslovich said. In court documents and at trial, the government alleged that Rodriguez was involved in drug trafficking from about January 2021 to December 2021 in the Hill County communities of Havre, Laredo and Box Elder, and on the Rocky Boy’s Indian Reservation. In May 2021, law enforcement seized fentanyl pills from an individual at his residence. The individual admitted he was involved in distributing controlled substances and identified his suppliers as a group of men, including Rodriguez, from Yakima, Washington. The pills sized from the residence had been provided by Rodriguez. The individual also sold fentanyl and meth for Rodriguez. In a controlled purchase, law enforcement obtained 350 fentanyl pills from Rodriguez for $8,000. Assistant U.S. Attorneys Stephanie D. Robles and Amanda L. Myers are prosecuting the case. The FBI, Tri Agency Task Force and Rocky Boy’s Police Department conducted the investigation. 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. XXX


title: Laurel Man Sentenced to 53 Months in Federal Prison for Unemployment Insurance Fraud Scheme Involving More Than $1.5 Million in Losses

component: USAO - Maryland

body_text: Baltimore , Maryland – U.S. District Judge Brendan A. Hurson sentenced Michael Akame Ngwese Ay Makoge, a/k/a “Hype” and “2Hype”, age 29, of Laurel, Maryland, yesterday to 53 months in federal prison, followed by three years of supervised release, for a wire fraud conspiracy and for aggravated identity theft, related to a Maryland and California unemployment insurance (“UI”) fraud scheme totaling more than $1.5 million. Judge Hurson also ordered Makoge to forfeit over $297,400 and to pay restitution of $2,094,319. Co-defendant Christian Malik Adrea, a/k/a “Leak,” “Lil Leak,” age 26, of Mitchellville, Maryland, pleaded guilty on February 26, 2024, to conspiracy to commit wire fraud, wire fraud, and aggravated identity theft for his role in the fraud scheme. The sentence and guilty plea were announced by United States Attorney for the District of Maryland Erek L. Barron; Acting Postal Inspector in Charge Ajay Lall of the U.S. Postal Inspection Service - Washington Division (USPIS); Special Agent in Charge Troy W. Springer of the National Capital Region, U.S. Department of Labor - Office of Inspector General (DOL-OIG); Chief Amal E. Awad of the Anne Arundel County Police Department; Special Agent in Charge James C. Harris of Homeland Security Investigations (HSI) Baltimore; Colonel Roland L. Butler, Jr., Superintendent of the Maryland State Police (MSP); and Special Agent in Charge Toni M. Crosby of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) Baltimore Field Division. According to his plea agreement, from March 2020 to October 2021, Makoge and his co-conspirators impersonated victims to submit fraudulent claims for pandemic-related UI benefits in Maryland and California. As part of the scheme, Makoge and his co-conspirators obtained the birthdates, social security numbers, and other personal identifying information (“PII”) of numerous victims which they used to prepare and submit fraudulent applications for UI benefits. The applications contained false information, including the victims’ contact information, states of residence, and availability for work. These fraudulent applications caused financial institutions to load UI benefits onto debit cards and mail the cards to physical addresses provided and monitored by Makoge and his co-conspirators. Once Makoge and his co-conspirators received the fraudulently obtained benefits on the debit cards, they used them for cash withdrawals and other transactions for their own financial benefit. A search at Makoge’s residence on February 16, 2021, recovered 11 UI debit cards in the names of six victims from the bedroom. Makoge, Adrea, and another co-conspirator were present at the time of the search. The investigation also revealed numerous text messages between Makoge and his co-conspirators, including Adrea, exchanging the PII of victims and discussing the execution of the UI fraud scheme. Adrea’s phone was also seized during the search and in the notes section, he had the name, date of birth, and social security number of 22 victims. The total loss of funds tied to these victims in the notes as well as those sent via text message totaled $195,556 and involved over 45 different fraudulent UI claims. Further, Makoge made numerous ATM withdrawals using the identities of victims, personally obtaining at least $35,540 as a result of his participation in the scheme. UI records revealed that the Adrea and his co-conspirators are connected to multiple UI profiles of actual victims whose identities were used to open accounts and obtain benefits without their permission. These victims are also tied to texts and calls between Adrea and his co-conspirators over several months. In all, Makoge, Adrea, and their co-conspirators submitted more than 200 fraudulent UI claims using the names and PII of victims, resulting in more than $1.6 million in losses. Of the 11 defendants charged in this fraud scheme, five, including Makoge and Adrea, have now pleaded guilty and two, Makoge and Dementrous Smith, have been sentenced. Adrea and the government have agreed that, if the Court accepts his plea, Adrea will be sentenced to 65 months in federal prison. U.S. District Judge Brendan A. Hurson has scheduled sentencing for May 30, 2024 The District of Maryland Strike Force is one of five strike forces established throughout the United States by the U.S. Department of Justice to investigate and prosecute COVID-19 fraud, including fraud relating to the Coronavirus Aid, Relief, and Economic Security (“CARES”) Act. The CARES Act was designed to provide emergency financial assistance to Americans suffering the economic effects caused by the COVID-19 pandemic. The strike forces focus on large-scale, multi-state pandemic relief fraud perpetrated by criminal organizations and transnational actors. The strike forces are interagency law enforcement efforts, using prosecutor-led and data analyst-driven teams designed to identify and bring to justice those who stole pandemic relief funds. 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 . United States Attorney Erek L. Barron commended the USPIS, DOL-OIG, the Anne Arundel County Police Department, HSI, MSP, and ATF, for their work in the investigation. Mr. Barron thanked the United States Marshals Service, the Prince George’s County Police Department, the Montgomery County Police Department, the Washington, D.C. Metropolitan Police Department, and the Charles County Sheriff’s Office for their assistance. Mr. Barron thanked Assistant U.S. Attorney Colleen Elizabeth McGuinn, who is prosecuting the federal case. For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to help the community, please visit www.justice.gov/usao-md and https://www.justice.gov/usao-md/community-outreach . # # #


title: Two Worcester County Men Sentenced for Trafficking Contraband Smokeless Tobacco To Evade Over $2 Million in Taxes

body_text: BOSTON – Two Worcester County men were sentenced yesterday for conspiring to traffic in contraband smokeless tobacco. Mohammad Hanif Balaparya, 63, of Shrewsbury, and Rakesh Garg, 53, of Holden, were sentenced by U.S. District Court Judge Margaret R. Guzman to three and two years’ probation, respectively. In October 2023, the defendants pleaded guilty to one count each of conspiracy to transport, possess, purchase and distribute in excess of 500 units of contraband smokeless tobacco. Balaparya additionally pleaded guilty to one count of transporting and possessing over 500 units of smokeless tobacco. Throughout 2017, Balaparya rented commercial box trucks on an almost a weekly basis to drive to Bensalem, Pa. While in Pennsylvania, Balaparya purchased significant quantities of smokeless tobacco, using his own funds and funds contributed by Garg, that he transported back to his residence in Shrewsbury, Mass. Balaparya and Garg then sold the smokeless tobacco to certain convenience store owners in Massachusetts. By doing so, the defendants evaded over $2.3 million in excise taxes that wholesale distributors of smokeless tobacco in Massachusetts are required to pay. The defendants evaded an additional $1 million in Massachusetts excise taxes on cigars and other smoking products. During a search of the defendants’ properties in December 2017, the contraband tobacco and approximately $140,000 in unlawful proceeds were seized. The Court ordered those funds forfeited and scheduled a further hearing to determine additional forfeiture and restitution. Acting United States Attorney Joshua S. Levy; James M. Ferguson, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms & Explosives, Boston Field Division; John E. Mawn Jr., Interim Colonel of the Massachusetts State Police; and Geoffrey E. Snyder, Commissioner of the Massachusetts Department of Revenue made the announcement today. Valuable assistance in the investigation was provided by the Shrewsbury and Holden Police Departments. Assistant U.S. Attorneys Greg A. Friedholm and Lucy Sun prosecuted the case.


title: California Woman Sentenced for Fentanyl Distribution

body_text: BOSTON – A California woman was sentenced yesterday for traveling to Boston and distributing more than five kilograms of fentanyl. Brenda Hernandez, 25, of Stockton, Cali., was sentenced by U.S. District Court Judge Denise J. Casper to 22 months in prison and two years of supervised release. In October 2023, Hernandez plead guilty to one count of distribution of 400 grams or more of fentanyl. On May 24, 2022, Hernandez took a flight from California to Boston. After checking into a hotel, Hernandez went to a nearby mail retrieval store, where she picked up a package containing more than five kilograms of fentanyl that had been mailed there from out-of-state. Later that day, Hernandez distributed the drugs to others in Boston. Acting United States Attorney Joshua S. Levy; Michael J. Krol, Special Agent in Charge of Homeland Security Investigations in New England; and John E. Mawn Jr., Interim Colonel of the Massachusetts State Police made the announcement. Assistant U.S. Attorney Brendan D. O’Shea of the Worcester Branch Office is prosecuting the case. This case is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF .


title: Ocala Convicted Felon Pleads Guilty To Interstate Threat To Kill And Lying In Attempted Firearm Purchase

component: USAO - Florida, Middle

body_text: Ocala, Florida – United States Attorney Roger B. Handberg announces that Michael Guy Dambrosia (61, Ocala) has pleaded guilty to interstate transmission of a threat to injure and making a false statement in connection with the attempted purchase of a firearm. Dambrosia faces a maximum penalty of ten years in federal prison. A sentencing date has not yet been set. According to court documents, on August 30, 2021, Dambrosia attempted to purchase a firearm from a local federally licensed firearms dealer. In completing the necessary paperwork to purchase the firearm, Dambrosia indicated that he was not a convicted felon even though he knew this to be false. Later, on January 30, 2023, Dambrosia made an interstate telephone call to the victim’s office in Washington, D.C. and left an obscenity-laden, threatening voicemail stating that he would kill the victim. This case was investigated by the United States Capitol Police – Threat Assessment Section and the Bureau of Alcohol, Tobacco, Firearms and Explosives. It is being prosecuted by Special Assistant United States Attorney Joe Wheeler III and Assistant United States Attorney Tyrie Boyer.


title: Former Metropolitan Police Officer Sentenced for Federal Civil Rights Violations

body_text: WASHINGTON – Mark Lamont Clark, 57, a former officer with the Metropolitan Police Department, was sentenced today to six months in prison for two counts of deprivation of civil rights under color of law, announced by U.S. Attorney Matthew M Graves and Chief Pamela Smith, of the Metropolitan Police Department. Clark was convicted in May of 2023. According to evidence presented in court, on July 13, 2018, while acting under color of law and fully dressed in his MPD uniform, Clark applied a prohibited chokehold to victim D.T., causing bodily injury through an unlawful use of excessive force, outside a McDonald’s restaurant, following a confrontation Clark had with a friend of D.T. Just five days later, on July 18, 2018, while acting under color of law and again fully dressed in his MPD uniform, Clark similarly escalated a verbal confrontation with a McDonald’s patron, victim K.C., and then applied a prohibited chokehold and a prohibited carotid artery hold to K.C., causing bodily injury. Both offenses were captured on Clark’s MPD body-worn camera (BWC). U.S. District Judge Carl J. Nichols, who presided over Clark’s trial, also ordered the defendant to serve two years of supervised release. This case was investigated by the Internal Affairs Division of the Metropolitan Police Department. The case was prosecuted by Assistant U.S. Attorneys Michael Truscott and George Eliopoulos of the U.S. Attorney’s Office for the District of Columbia.


title: Chipley “Sovereign Citizen” Convicted At Trial Of $3.4 Million Tax Fraud Scheme, Filing A False Lien, And Absconding While On Bond

body_text: Jacksonville, Florida – United States Attorney Roger B. Handberg announces that a federal jury today found Judy Grace Sellers guilty of conspiracy to submit false tax returns and defraud the U.S. Treasury, substantive counts of aiding in the preparation of false tax returns, filing a false lien against the U.S. Attorney for the Northern District of Florida, and failure to appear. Sellers faces a maximum penalty of 23 years in federal prison. Her sentencing hearing is scheduled for May 22, 2024. Sellers originally was indicted in December 2014. Her indictment was superseded to add a charge for absconding while on bond in February 2024. According to evidence presented at trial, in 2008 and 2009, Sellers operated a website called commercialredemption.com on which she promoted the use of IRS form 1099-OID to commit tax fraud. Sellers identified as a so-called “sovereign citizen” and perpetuated the false premise that the U.S Treasury maintains secret accounts attributed to every U.S. citizen that can be drawn on by filing a series of bogus documents with the U.S. Treasury and other government entities. As part of this fraud scheme, Sellers also promoted the use of IRS form 1099-OID to fraudulently report to the IRS debts – including mortgages, student loans, credit card debts, and court judgments – as income, along with 100% withholdings of that “income” in informational returns in order to overcome the IRS’s internal controls and induce the IRS to issue refunds that were not owed. The proper use of the 1099-OID form is for companies such as brokers to report to the IRS income received by the purchaser of a discounted security. Sellers personally created and submitted to the IRS 1099-OID forms that were fraudulent on their face. After submitting the fraudulent 1099-OID forms, Sellers’s co-conspirators would prepare and submit fraudulent returns seeking massive refunds, in one case exceeding half a million dollars on a single return. All of these refunds were based on non-existent 1099-OID “income” and withholdings. The conspiracy resulted in the submission of at least 22 returns requesting fraudulent refunds totaling at least $3.4 million from the IRS. In 2011, the U.S. Attorney’s Office in the Northern District of Florida filed a civil action in federal court to enjoin Sellers from promoting her fraudulent scheme on her commercialredemption.com website. In retaliation, Sellers filed a false lien against the then-U.S. Attorney and a Department of Justice tax attorney who was leading the civil action. In 2014, Sellers was indicted on charges of tax fraud and for filing a false lien and arrested. In January 2015, Sellers was placed on house arrest with a GPS ankle monitor pending trial. In May 2015, Sellers was granted permission by her probation officer to leave her home to get her hair done in preparation for her pretrial hearing a few days later. The next day, Sellers cut off her GPS ankle monitor, flung it on the side of the highway, and absconded. Cut GPS Ankle Monitor Sellers was not found until more than eight and a half years later in New Mexico. Prior to this, Sellers had pleaded guilty to failing to appear for her sentencing in her previous federal counterfeiting case in 2002. In her previous case, Sellers was apprehended living under a false name in Mississippi. This case was investigated by IRS – Criminal Investigation, the Federal Bureau of Investigation, and the Treasury Inspector General for Tax Administration, with assistance from the U.S. Marshals Service. It was prosecuted by Assistant United States Attorneys Laura Cofer Taylor and Kelly Milliron.


title: Keshena Man Indicted for Aggravated Assault and Domestic Violence Offenses on the Menominee Indian Reservation

component: USAO - Wisconsin, Eastern

body_text: Gregory J. Haanstad, United States Attorney for the Eastern District of Wisconsin, announced that on February 27, 2024, a federal grand jury returned a two-count indictment charging Arrelio R. Escalante (age 36) of Keshena, Wisconsin, with aggravated assault and domestic violence on the Menominee Indian Reservation. The indictment charged Escalante as follows: COUNT DATE CHARGE PENALTY One On or about February 8, 2024 Assault Resulting in Serious Bodily Injury, 18 U.S.C. §§ 113(a)(6) and 1153(a) Up to 10 years in prison, up to $250,000 fine Two On or about February 8, 2024 Domestic Assault by Strangulation, 18 U.S.C. § 113(a)(8) and 1153(a) Up to 10 years in prison, up to $250,000 fine. Escalante also faces terms of supervised release and special assessments of $100 per count if convicted. According to filed court documents, on or about February 8, 2024, Escalante allegedly assaulted a woman with whom he had a domestic relationship by punching her, attempting to strangle her, and strangling her to the point of unconsciousness. The woman suffered serious bodily injuries including severe bruising and a broken nose as a result of the assault, which occurred at a residence on the Menominee Indian Reservation. The Menominee Tribal Police Department and Federal Bureau of Investigation investigated the case. Assistant United States Attorney Andrew J. Maier will prosecute the case in the U.S. District Court in Green Bay. An indictment is only a charge and not evidence of guilt. The defendant is presumed innocent and is entitled to a fair trial at which the government must prove his guilt beyond a reasonable doubt. ### For further information contact: Public Information Officer Kenneth.Gales@usdoj.gov (414) 297-1700 Follow us on Twitter


title: Former Alamogordo Firefighter Sentenced to 45 Years in Prison for Production of Child Pornography

component: Drug Enforcement Administration (DEA)

body_text: ALBUQUERQUE – Alexander M.M. Uballez, United States Attorney for the District of New Mexico, and Eric McLoughlin, Acting Special Agent in Charge of Homeland Security Investigations - El Paso, announced that Jason Ross-Lattion Fleming was sentenced to 45 years in prison. Fleming, 37, of Pinon, pleaded guilty to production of a visual depiction of a minor engaging in sexually explicit conduct and providing child pornography to a minor on April 6, 2023. A federal grand jury indicted Fleming on Sept. 21, 2022. According to publicly available court records, on April 12, 2022, Homeland Security Investigations received information from New Mexico State Police regarding an incident that occurred involving a 10-year-old minor in Pinon, New Mexico. The 10-year-old minor, identified in court documents as Jane Doe 2, reported that Fleming molested her while she was visiting her dad in New Mexico. Fleming was an Alamogordo firefighter at the time. During a subsequent interview, Jane Doe 2 disclosed that Fleming began molesting her when she was nine years old and that it occurred multiple times. Jane Doe 2 disclosed that Fleming showed her videos of child sexual exploitation materials and told her she had to do the things to him that occurred in the videos. Jane Doe 2 also disclosed that Fleming gave her Reese’s candy when he molested her. Based on the information from Jane Doe 2, New Mexico State Police obtained a state district court search warrant for Fleming’s residence, cellphones, and buccal swabs containing Fleming’s DNA. On April 18, 2022, Homeland Security Investigations obtained and executed a follow-up federal search warrant on Fleming’s cellphone and identified hundreds of videos and photographs of child sexual exploitation materials, including child sexual exploitation materials images involving infants and toddlers. The identified child sexual exploitation materials were contained within the thumbnail cache of a “GalleryVault” application. While reviewing the extraction of Fleming’s cellphone, Homeland Security Investigations located sexually explicit videos and photographs that Fleming produced of Fleming and a teenage minor, identified in court documents as Jane Doe 1. Upon his release from prison, Fleming will be subject to 5 years of supervised release and must register as a sex offender. Homeland Security Investigations investigated this case with assistance from New Mexico State Police, U.S. Marshals Service, and the Drug Enforcement Administration. Assistant United States Attorneys Marisa A. Ong and Matilda McCarthy Villalobos prosecuted the case. This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys' Offices and CEOS, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit Justice.gov/PSC. # # #


title: Defendant Convicted of Fraudulent Scheme That Targeted the Haitian American Community Sentenced to 24 Months in Prison

component: USAO - New York, Eastern

body_text: Earlier today, at the federal courthouse in Brooklyn, Frantz Simeon was sentenced by United States District Judge Brian M. Cogan to 24 months in prison for his operation of a fraudulent scheme that used his company, First Black Enterprises, Inc., to target members of the Haitian American community in Brooklyn and Queens. As part of the sentence, Simeon was ordered to pay over $200,000 in restitution. The defendant pleaded guilty to mail fraud in February 2023. Breon Peace, United States Attorney for the Eastern District of New York, and Daniel B. Brubaker, Inspector-in-Charge, United States Postal Inspection Service (USPIS), announced the sentence. “Today, Frantz Simeon learned the consequences for exploiting his position of trust in the Haitian American community,” stated United States Attorney Peace. “Simeon lured his victims with false promises of substantial returns on investments so that he could fleece them for his own benefit, until his scheme collapsed. This Office will aggressively prosecute perpetrators of affinity fraud schemes, and this case alerts investors to be wary of community members touting investments that sound too good to be true.” “Postal Inspectors are dedicated to investigating schemes designed to defraud innocent victims while taking advantage of the U.S. Mail. USPIS vows to continuously protect and educate the public on how to avoid these types of schemes,” stated USPIS Inspector-in-Charge Brubaker. “Simeon targeted individuals from his own community for his personal financial gain. If something sounds too good to be true, it probably is!” Between February 2019 and December 2020, Simeon orchestrated a fraudulent scheme in which he falsely advertised his business experience and acumen, enticing investors to invest with him based on promises that their investments were risk-free and would generate 10% monthly returns. Simeon specifically preyed on Haitian Americans residing in Brooklyn and Queens, leveraging his relationships in the community to induce over $350,000 in investments with his false assurances. Contrary to his promises, Simeon conducted little or no actual business or investment activities, instead using the money from new investors to mail monthly interest payments to them and earlier investors in a Ponzi-like scheme. These purported interest payments were designed to conceal the fraud and to induce further investments, which Simeon needed to continue the scheme. In addition, Simeon misappropriated thousands of dollars of investor funds for his own personal benefit, including the purchase of a car for his daughter and making over $60,000 in cash withdrawals. Simeon’s victims, who were largely immigrants, ultimately sustained over $200,000 in losses as a result of the scheme. The government’s case is being handled by the Office’s Business and Securities Fraud Section. Assistant United States Attorney Dylan A. Stern is in charge of the prosecution. The Defendant : Frantz Simeon Age: 67 Brooklyn, New York E.D.N.Y. Docket No. 21-CR-479 (BMC)


title: Le Défendeur Accusé Pour Une Escroquerie Ciblant La Ommunauté Haïtienne-Américaine A Été Condamné À Une Peine De  24 Mois De Prison

body_text: Plus tôt dans la journée, au palais de justice fédéral de Brooklyn, Frantz Simeon a été condamné par le juge de district américain Brian M. Cogan à 24 mois de prison pour avoir mis en place une escroquerie en utilisant sa société, First Black Enterprises, Inc. et cibler des membres de la communauté haïtienne-américaine de Brooklyn et du Queens. Dans le cadre de la sentence, Simeon a été condamné à payer plus de 200 000 $ de dédommagement. L'accusé a plaidé coupable de fraude postale en février 2023. Breon Peace, procureur des États-Unis pour le district est de New York, et Daniel B. Brubaker, inspecteur en charge, Service d'inspection postale des États-Unis (USPIS), ont annoncé la sentence. « Aujourd'hui, Frantz Simeon a mesuré les conséquences de l'exploitation de sa réputation de personne de confiance au sein de la communauté haïtienne-américaine », a déclaré le procureur des États-Unis Peace. « Siméon a attiré ses victimes avec de fausses promesses de retours sur investissements substantiels pour détourner les sommes à son propre bénéfice, jusqu'à ce que son stratagème s'effondre. Ce bureau poursuivra sans relâche les auteurs d’escroquerie par affinité et cette affaire est un signal fort pour ceux qui veulent investir, de se méfier des membres de leur propre communauté qui proposeraient des investissements trop beaux pour être vrais. » « Les inspecteurs des postes se consacrent à enquêter sur les stratagèmes d’escroquerie de victimes innocentes tout en profitant du la poste officielle U.S. Mail. L'USPIS s'engage à protéger et à informer en permanence le public sur la manière d'éviter ce type de stratagèmes », a déclaré l'inspecteur Brubaker en charge de l'USPIS. « Simeon a ciblé des individus de sa propre communauté à son propre bénéfice financier. Si une opportunité apparait trop belle pour être vraie, c'est probablement le cas ! » Entre février 2019 et décembre 2020, Simeon a orchestré une escroquerie dans lequel il a faussement vanté son expérience dans les affaires et son sens du commerce, incitant les investisseurs à investir avec lui sur la base de promesses prétendument sans risque et qui généreraient des rendements mensuels de 10 %. Simeon s'est spécifiquement adressé aux haïtiens-américains résidant à Brooklyn et dans le Queens, tirant parti de ses relations dans la communauté pour générer plus de 350 000 $ d'investissements liés à ses fausses assurances. Contrairement à ses promesses, Simeon n’a mené que peu ou pas d'activités commerciales ou d'investissement réels, utilisant l'argent des nouveaux investisseurs pour simuler les paiements des intérêts mensuels aux investisseurs précédents dans ce qu’on appelle communément une pyramide de Ponzi. Ces prétendus paiements d'intérêts étaient conçus pour dissimuler la fraude et drainer de nouveaux investissements, dont Siméon avait besoin pour poursuivre le stratagème. De plus, Simeon a détourné des milliers de dollars de fonds d'investisseurs à son profit personnel, y compris l'achat d'une voiture pour sa fille et des retraits en espèces de plus de 60 000 $. Les victimes de Simeon, qui étaient en grande partie des immigrants, ont finalement subi des pertes de plus de 200 000 $ à la suite de cette escroquerie. Le cas poursuivi par le gouvernement est traité par la section des fraudes commerciales et aux valeurs mobilières du Bureau. Le procureur adjoint des États-Unis, Dylan A. Stern, est chargé des poursuites. Le Défendeur : Frantz Siméon Âge: 67 Brooklyn, New York EDNY Numéro de dossier 21-CR-479 (BMC)


title: KC Man Sentenced to 25 Years for Illegal Sex with a Minor, Child Pornography

body_text: KANSAS CITY, Mo. – A Kansas City, Mo., man has been sentenced in federal court for illegally enticing a child victim to engage in illicit sexual activity and for receiving child pornography. Anthony Byron Marshall, 31, was sentenced by U.S. District Judge Roseann A. Ketchmark on Wednesday, Feb. 28, to 25 years in federal prison without parole. The court also sentenced Marshall to spend the rest of his life on supervised release following incarceration. Marshall will be required to register as a sex offender upon his release from prison and will be subject to federal and state sex offender registration requirements, which may apply throughout his life. On July 25, 2023, Marshall pleaded guilty to one count of enticing a minor to engage in illegal sexual activity and four counts of receiving child pornography. In May 2021, FBI agents learned Marshall had been texting with the subject of another child pornography investigation. In one text, Marshall requested images of child pornography, and received a MEGA link. FBI investigators located the MEGA link, which contained 15 images and 89 videos of known child pornography and 70 images and 1,401 videos of suspected child pornography. On Oc.t 19, 2021, federal agents executed a search warrant at Marshall’s residence. Agents seized a number of electronics, including Marshall’s iPhone. Investigators found sexually explicit communications between Marshall and two juvenile females, ages 13 and 17, as well as sexually explicit videos that each of the victims had sent to Marshall. Investigators interviewed the child victims, who reported several instances of illegal sexual activity with Marshall. According to court documents, Marshall called one of the child victims after he had been contacted by law enforcement. He told her not to say anything to the police. Marshall also contacted her through his Facebook page after she had been contacted by law enforcement. This case prosecuted by Assistant U.S. Attorney Catherine A. Connelly. It was investigated by the FBI. Project Safe Childhood This case was 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.usdoj.gov/psc . For more information about Internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."


title: Beckley Woman Pleads Guilty to Federal Drug Crime

component: USAO - West Virginia, Southern

body_text: BECKLEY, W.Va. – Savannah Elizabeth Todd, 31, of Beckley, pleaded guilty today to possession with intent to distribute fentanyl, cocaine and heroin. According to court documents and statements made in court, on February 8, 2022, Todd sold approximately 3.5 grams of fentanyl for $550 to a confidential informant at her residence in Beckley. On February 17, 2022, law enforcement officers executed a search warrant at Todd’s residence and seized 189 grams of fentanyl, 56 grams of cocaine, 27 grams of heroin, a Ruger LCP .380-caliber handgun, a Taurus model 22LR handgun, a Sig Sauer model 1911 .45-caliber handgun, a Glock model 42 .380-caliber handgun, and $13,046. Todd is scheduled to be sentenced on June 28, 2024, and faces a maximum penalty of 20 years in prison, at least three years of supervised release, and a $1 million fine. United States Attorney Will Thompson made the announcement and commended the investigative work of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and the Beckley/Raleigh County Drug and Violent Crime Unit. United States District Judge Frank W. Volk presided over the hearing. Assistant United States Attorney Brian D. Parsons is prosecuting the case. A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 5:23-cr-163.


title: Santa Barbara County Man Found Guilty of Distributing  Fentanyl that Resulted in Fatal Overdose to Fellow Jail Inmate

component: USAO - California, Central

body_text: LOS ANGELES – A Lompoc man was found guilty by a jury today of aiding and abetting the distribution of fentanyl that resulted in the death of a fellow inmate at a Santa Barbara County jail and in the serious bodily injury of another jail inmate. Kaelen Jacobkeali Wendel, 32, was found guilty of one count of distribution of fentanyl resulting in death and serious bodily injury, a felony that carries a 20-year mandatory minimum prison sentence and a possible sentence of life imprisonment. According to evidence presented at a five-day trial, in October 2022, Wendel smuggled fentanyl into a unit of the Santa Barbara County North Branch Jail. He packaged the powerful synthetic opioid in candy containers, according to court documents. As the new inmate, Wendel handed some fentanyl to his co-defendant, Michael Villapania, 36, of Lompoc, in the expectation that he would receive jail commissary goods in exchange. Villapania then sold the drug to a victim identified in court documents as “J.V.” J.V. then shared the fentanyl with another victim, who is identified in court documents as “E.E.” After ingesting the drug during the early morning hours of October 20, 2022, E.E. and J.V. overdosed. After an inmate alerted a custody deputy about the overdose, deputies and nurses administered multiple doses of Narcan – a life-saving medication used to reverse opioid overdoses – and performed CPR on both inmates. They revived J.V., but E.E. died. United States District Judge Maame Ewusi-Mensah Frimpong scheduled a June 21 sentencing hearing for Wendel. Villapania pleaded guilty on February 1 to one count of distribution of fentanyl. His sentencing hearing is scheduled for June 7, at which time he will face up to 20 years in federal prison. The Drug Enforcement Administration and the Santa Barbara County Sheriff’s Office investigated this matter. Assistant United States Attorney Suria M. Bahadue of the Criminal Appeals Section and Assistant United States Attorneys Alexandra Sloan Kelly and Kenneth R. Carbajal of the General Crimes Section are prosecuting this case.


title: Former Richmond Postal Carrier Pleads Guilty to Stealing Mail

component: USAO - Virginia, Eastern

body_text: RICHMOND, Va. – A former postal carrier with the U.S. Postal Service (USPS) in Richmond pleaded guilty yesterday to theft of mail. According to court documents, Wendy Lawrence, 40, stole mail, removing gift cards, checks, and other items of value for her own use. Law enforcement recovered stolen mail from Lawrence’s residence belonging to over 180 victims. After stealing checks from the mail, Lawrence used the bank account and routing information on those checks to initiate electronic payments, which she used for such expenses as her tax bill, pest control bill, and rent. On at least one occasion, to prolong and conceal the fraud scheme, Lawrence initiated a fraudulent address change with the USPS on behalf of a victim, rerouting the victim’s mail to Lawrence’s address. Law enforcement also recovered checks from Lawrence’s residence that she forged for her own benefit, including checks in the name of at least 30 other individuals. Lawrence faces a maximum penalty of five years in prison. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors. Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia; Jeff Krafels, Special Agent in Charge of the Mid Atlantic Area Field Office for the U.S. Postal Service Office of Inspector General; Ajay D. Lall, Acting Inspector in Charge for the U.S. Postal Inspection Service – Washington Division; and Bradford W. Nunnally, Sheriff for Powhatan County, made the announcement after U.S. District Judge M. Hannah Lauck accepted the plea. The Powhatan County Commonwealth’s Attorney’s Office provided substantial assistance. Assistant U.S. Attorney Avi Panth 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. 3:24-cr-17.


title: Former Head of MCLB-Albany’s Environmental Division Convicted of Lying to Federal Agents Investigating Clean Water Act Violations

component: USAO - Georgia, Middle

body_text: ALBANY, Ga. – A federal contractor who served as the Head of the Environmental Services and Public Works Division at the Marine Corps Logistics Base (MCLB) in Albany was found guilty by a federal jury this week of making false statements about his knowledge of whether a hazardous waste was pumped into the local community’s sewer system. Brain J. Wallace, 59, of Leesburg, Georgia, was found guilty of one count of making a false statement to a federal agency on Feb. 28, following a three day jury trial that began on Feb. 26. Wallace faces a maximum sentence of five years in prison to be followed by three years of supervised release and a $250,000 fine. A sentencing date will be scheduled by the Court. Co-defendant Horizon Environmental Services, LLC, pleaded guilty to reckless conduct on May 11, 2023, and was sentenced to two years of probation, 100 hours of community service, $900 in restitution to MCLB-Albany (Horizon’s profit for the contract work) and a $10,000 fine on Aug. 3, 2023. U.S. District Judge Leslie A. Gardner is presiding over the case. “Thankfully no hazardous waste made its way into the Flint River—a stunning ecosystem central to Southwest Georgia life—as a result of this gross deviation from the standard of care required by all industries disposing waste into our shared environment,” said U.S. Attorney Peter D. Leary. “Federal prosecutors and our law enforcement partners will hold individuals and businesses accountable when their unlawful and reckless choices put people and our environment at risk.” “Providing false statements to EPA Special Agents while investigating the illegal dumping of hazardous waste into the City of Albany’s sewer system and subsequent illegal transportation of the waste is a crime,” said EPA-CID Acting Special Agent in Charge Kristopher Martel. “This guilty verdict demonstrates the agency’s commitment to protect communities and their water resources and to hold those who materially falsify information accountable for their actions.” According to court documents and evidence submitted at trial, MCLB-Albany provides facilities, infrastructure and tailored installation support services for operational forces worldwide. There is a production plant on base which disassembles old equipment—this includes stripping paint containing hazardous materials requiring proper disposal by federal law—and rebuilds the equipment. The production plant’s waste is processed by the industrial wastewater treatment plant (IWTP), which is also located on MCLB-Albany. The IWTP discharges the treated wastewater to the City of Albany, which is permitted to properly handle this waste and does so for other large-scale industries in the community. On May 10, 2021, the rake on the clarifier (a settling tank that separates liquids from solids) at MCLB-Albany’s IWTP broke down, halting operations and impacting MCLB-Albany’s production plant, which relied upon the IWTP to properly process its waste. An emergency work order was issued to repair the rake. Before the clarifier’s rake could be repaired, the contents of the clarifier’s tank had to be removed. Horizon employees came to the base to meet with other base employees and contractors, including Wallace who was the Head of the Installation and Environment Division, Environmental Services and Public Works Division for MCLB-Albany. Horizon was subcontracted to vacuum the contents of the clarifier tank into sludge boxes, which can contain RCRA (Resource Conservation and Recovery Act) hazardous waste and is to be handled with particular care. Horizon was not permitted by the EPA to transport or store hazardous waste. Horizon also admitted in court documents to acting recklessly and moving 40,000 gallons of sludge to and from the Base multiple times without properly documenting the contents of the containers. This type of manifest is critical; had some sort of spill occurred, first responders might have been unable to properly remediate, due to the lack of a manifest indicating the nature of the contents. Court evidence showed that approximately 30,000 gallons of liquid layer from the clarifier was pumped into the City of Albany’s sewer system on May 10, 2021, through a manhole at the MCLB-Albany’s IWTP and that the City of Albany was not properly notified, as required by law. Wallace told EPA investigators that he was unaware of anyone pumping the liquid layer from the clarifier into the sewer system through the IWTP manhole; it was proven in court that he did know and therefore lied to EPA investigators. There is no evidence of a spill or harm to the community. However, on May 12, 2021, there was a rainstorm in Albany which could have led to a resulting overflow before the liquid reached the City of Albany’s water treatment facility. When there is an overflow during a significant storm, the overflow runs into the Flint River before being treated. EPA has no reason to believe that the overflow from the May 12, 2021, storm ultimately drained into the Flint River, but this potential hazard would have been avoided had the City of Albany been properly notified so that they could have accepted the hazardous liquid from MCLB in a safe manner, as they are permitted to do. The case was investigated by the Environmental Protection Agency’s Criminal Investigation Division (EPA CID). Criminal Chief Leah McEwen and Assistant U.S. Attorney Elicia Hargrove are prosecuting the case for the Government.


title: Husband and Wife Sentenced for Defrauding TRICARE and Medicare out of $75 Million

component: USAO - California, Southern

body_text: NEWS RELEASE SUMMARY – March 1, 2024 SAN DIEGO – Charles Ronald Green Jr. and his wife, Melinda Elizabeth Green, were sentenced in federal court today to 27 months each for fraudulently billing government healthcare programs more than $125 million for medically unnecessary treatments. According to court filings, the Greens engaged in a scheme to defraud two major federal health care programs: TRICARE, the medical benefits program for military servicemembers and their families, and Medicare, the program that provides benefits to elderly or disabled Americans. Chief U.S. District Judge Dana M. Sabraw also ordered $4.5 million in restitution to TRICARE and $69,915,909.69 to Medicare. Between May 12, 2014, and June 29, 2015, the Greens conspired to submit false and fraudulent claims to TRICARE for expensive and medically unnecessary pain creams, scar creams and multi-vitamins (collectively, “compounded medications”), which were billed through various pharmacies. During this period, the Greens owned or were officers of several companies they used in furtherance of their scheme. The pharmacies paid these companies millions of dollars in illegal kickbacks and other remuneration in exchange for the referral of the false and fraudulent prescriptions for compounded medications to TRICARE beneficiaries. In turn, the Greens and others paid a portion of their profits as kickbacks to so-called “marketing” organizations in exchange for more prescriptions for compounded medications. TRICARE and other payers often reimbursed compounding pharmacies thousands of dollars for a 30-day supply of a compounded pain or scar cream for one beneficiary. In just one example, on May 8, 2015, a false and fraudulent claim was submitted to TRICARE in the amount of $14,178 for Baclofen Powder. In furtherance of the compounding fraud scheme, the Greens and others developed compounded medication formulations for the primary purpose of inflating the amount of money TRICARE would reimburse, and to correspondingly increase the amount of kickbacks and remuneration that affiliated marketers would receive. The Greens’ knowing participation in the compounding fraud scheme resulted in the submission of false and fraudulent claims by one pharmacy in the approximate amount of $8,107,816, of which TRICARE paid at least $6,776,222. Between June 1, 2018, and April 2019, the Greens also conspired to defraud Medicare by submitting false and fraudulent claims for expensive durable medical equipment, or “DME,” similarly induced through a system of illegal kickbacks. The Greens and others executed the DME fraud scheme by purchasing “completed doctors’ orders” from various “marketers” for Medicare beneficiaries, which included a prescription signed by a doctor certifying the beneficiary received an exam that met Medicare’s requirements and that the DME was medically necessary. In an attempt to disguise the DME fraud scheme from detection, the Greens and their co-conspirators entered into sham “marketing” and other contracts that concealed the pay-per-order arrangement. For example, on March 14, 2019, Charles Ronald Green prepared and submitted an invoice from the Greens’ company, NHS Pharma, concealing that NHS Pharma was being paid a per-brace kickback for selling completed doctors’ orders, but claimed instead to be charging for a $35,000 “TV Campaign,” a quantity of 716 website “Landing Pages,” and $6,928.71 for processing hours. In addition to purchasing doctors’ orders in furtherance of making false and fraudulent claims on behalf of DME companies they owned or controlled, in some instances the Greens brokered the doctors’ orders by re-selling them at a markup to other DME companies. “Fraud schemes like this one drive up health care costs for everyone,” said U.S. Attorney Tara McGrath. “We will continue to investigate and bring to justice those who scam taxpayers and place their own financial interests ahead of patient care. Diverting resources from service members and the elderly is especially heinous.” “The Greens’ greed cost American taxpayers tens of millions of dollars by defrauding federal healthcare programs, including the Department of Defense’s TRICARE program,” said Bryan D. Denny, Special Agent in Charge of the Department of Defense Office of Inspector General, Defense Criminal Investigative Service (DCIS), Western Field Office. “DCIS and its partners will always aggressively investigate those who conspire to defraud TRICARE, because those deceptive actions ultimately harm those defending our country and their families.” “It is disheartening when people like the Greens go to great lengths to plan elaborate schemes that ultimately have negative effects on innocent citizens,” said FBI San Diego Special Agent in Charge Stacey Moy. “The FBI and its law enforcement partners will ensure that those who defraud the United States Government will be thoroughly investigated and prosecuted for their actions.” The Court set a hearing for May 24, 2024, to resolve additional claims for restitution. This case is being prosecuted by Assistant U.S. Attorney Valerie H. Chu. DEFENDANTS Case Number 20cr1566-DMS Melinda Elizabeth Green Age: 63 Windermere, FL Charles Ronald Green, Jr. Age: 67 Windermere, FL SUMMARY OF CHARGES Conspiracy – Title 18, U.S.C., Section 371 Maximum penalty: Five years in prison and $250,000 fine Health Care Fraud – Title 18, U.S.C., Section 1347 Maximum penalty: Ten years in prison and $250,000 fine INVESTIGATING AGENCIES Federal Bureau of Investigation Health and Human Services Office of the Inspector General Department of Defense Office of the Inspector General


title: New York Man Convicted by Jury of Sex Trafficking a Minor and Forced Labor

component: USAO - Massachusetts

body_text: BOSTON – A New York man was convicted yesterday by a federal jury in Boston of sex trafficking a minor and forcing her to work at a strip club for his financial benefit. Sherriff Cooper, 37, was convicted of sex trafficking of a minor by force, fraud and coercion; transportation of a minor with intent to engage in criminal sexual activity; and forced labor. U.S. District Court Judge Nathaniel M. Gorton scheduled sentencing for June 5, 2024. Cooper was indicted by a federal grand jury in June 2021. “Justice was served here. Mr. Cooper abused his position of trust to violently exploit an innocent 15-year-old girl for his own financial benefit. The repeated violence and trauma he inflicted on the victim would be unimaginable if it wasn’t all so shockingly real. No verdict can erase the pain he caused, but we hope the young victim in this case and entire survivor community know that this Office will do everything in its power to hold dangerous predators accountable, and that this particular defendant will be off the streets for many years,” said Acting United States Attorney Joshua S. Levy. “This conviction does not happen without a tremendous, sustained effort by federal, state and local law enforcement partners who dedicate their professional lives to protect our children and ensure that exploitative traffickers like Mr. Cooper are held accountable.” “The criminal acts that Sherriff Cooper were convicted of are stomach-churning,” said Jodi Cohen, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division. “Using physical threats to control another human being, to force them into sexual servitude, is unconscionable. It was imperative that FBI Boston’s Child Exploitation – Human Trafficking Task Force take him off the street. Unequivocally, our community is safer with Mr. Cooper behind bars, locked away where he can’t victimize anyone else’s child.” In 2017, Cooper was working as a security guard at a residential program for pregnant teens when he met the victim, who was then 15 years old. He began a sexual relationship with her and, in early 2018, Cooper began sex trafficking the victim around Boston, posting advertisements for her on commercial sex websites and taking all the proceeds. He used violence, threats of violence and coercion to make the victim engage in commercial sex for his financial benefit. Cooper transported the victim across state lines to sex traffic her in New York. While in New York, Cooper obtained a fake ID for the minor victim and forced her to strip at a club – again, keeping all the proceeds for himself. Cooper continued to use threats of violence, violence and coercion to keep the victim working at the club for his financial benefit. If you or someone you know may be impacted or experiencing commercial sex trafficking, please contact USAMA.VictimAssistance@usdoj.gov . The charge of sex trafficking of a minor by force, fraud and coercion provides for a sentence of a least 15 years and up to life in prison, up to five years of supervised release and a fine of up to $250,000. The charge of transportation of a minor with the intent to engage in criminal sexual activity provides for a mandatory minimum sentence of 10 years and up to life in prison, up to five years of supervised release and a fine of up to $250,000. The charge of forced labor provides for a sentence of up to 20 years in prison, up to three years of supervised release and a fine of up to $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case. Acting U.S. Attorney Levy and SAC Cohen made the announcement. Special assistance was provided by the FBI New York Field Division and the Malden Police Department. Assistant U.S. Attorneys Torey B. Cummings, Stephen W. Hassink and Lauren A. Graber of the Criminal Division are prosecuting the case.


title: Iowa Man Sentenced for Firearm Smuggling

component: USAO - Texas, Western

body_text: PECOS – Victor Alfonso Magana-Ahumada, 37, from Denison, Iowa was sentenced in federal court in Pecos this week to 46 months in prison for attempting to illegally cause guns to be smuggled from the U.S. to Mexico. According to court documents, Customs and Border Protection Officers at the Presidio Port of Entry referred a Ford 450 travelling towards Mexico, to secondary inspection. The truck was pulling a trailer filled with packages destined for Mexico. The packages were part of a shipment being transported by a transnational shipping company. During the inspection, officers found six pistols, pistol magazines, one semi-automatic rifle and rifle magazines concealed in packages amongst the cargo. Further investigation by Special Agents with Homeland Security Investigations (HSI) revealed Magana arranged with the transnational shipping company for the transport of the packages that contained the concealed firearms to Mexico. Investigation also revealed Magana had purchased two of the firearms found secreted in the shipment packages. On November 29, 2023, Magana pleaded guilty to one count of smuggling goods from the United States. Magana has remained in federal custody since his arrest on September 28, 2023. U.S. Attorney Jaime Esparza of the Western District of Texas and HSI Special Agent in Charge Francisco B. Burrola, El Paso Division, made the announcement. HSI, with assistance from HSI–Sioux City Division and Spencer, Iowa Police Department, investigated the case. Assistant U.S. Attorney Amy Greenbaum prosecuted the case. ###


title: Richmond Man Sentenced for Successive COVID Fraud and Bank Fraud Schemes

component: Federal Bureau of Investigation (FBI)

body_text: RICHMOND, Va. – A Richmond man was sentenced yesterday to seven years in prison for orchestrating successive schemes to defraud a COVID-19 relief program and steal funds through altered checks. According to court documents, Davon Hunter, 26, used Instagram and word of mouth to recruit potential co-conspirators to provide their personal identifying information so that Hunter could submit fraudulent applications to the Paycheck Protection Program (PPP), a COVID-19 relief program that was intended to provide loans backed by the Small Business Administration to certain businesses, nonprofit organizations, and other entities to help them retain their employees or stay afloat during the pandemic. Hunter submitted at least 23 fraudulent PPP loan applications to at least four financial institutions for fictitious businesses purportedly belonging to himself and 16 other co-conspirators. For instance, these applications contained false and fabricated gross income figures and false certifications that the businesses were in operation on February 15, 2020. Hunter and his co-conspirators fraudulently obtained over $500,000 in PPP loans. In exchange for preparing the fraudulent loan applications and supplying spurious supporting documents, Hunter demanded 25–50% of each loan obtained by the co-conspirators. When the PPP loan program ended in 2021, Hunter turned to “card cracking”—a scheme to defraud financial institutions through the deposit of fraudulently altered stolen checks from small businesses. Hunter and his co-conspirators recruited at least 16 accountholders to provide their debit cards and personal identification numbers (PINs). They stole legitimate checks from various small businesses, altered the checks to make them payable to accounts controlled by conspirators, and deposited at least 16 altered checks purportedly worth over $150,000. Immediately after these deposits, they conducted successive transactions to quickly access the credited funds before the banks determined the deposits to be worthless. Despite knowing of the federal investigation, Hunter continued in his card cracking schemes. At the time of his arrest, Hunter possessed two additional altered checks purportedly worth over $27,000, along with several bank cards in the names of other people. Even though he lacked verifiable, legitimate income throughout these schemes, Hunter flaunted his fraud proceeds and luxurious lifestyle on social media. His Instagram account and bank records reflect postings with thousands of dollars in cash and money orders and expenditures for expensive jewelry, $26,000 purportedly for veneers, gambling, the purchase of luxury goods and clothing from Dior, Saks, Louis Vuitton, Chanel and more, attendance at professional sports events, trips and vacations throughout the country, and the purchase of a Range Rover. On October 31, 2023, Hunter pleaded guilty to one count each of conspiracy to commit wire fraud and conspiracy to commit bank fraud. A separate hearing to determine Hunter’s restitution and forfeiture obligations will take place on May 14. Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia; Stanley M. Meador, Special Agent in Charge of the FBI’s Richmond Field Office; Ajay D. Lall, Acting Inspector in Charge for the U.S. Postal Inspection Service – Washington Division; and Troy W. Springer, Special Agent in Charge, National Capital Region, U.S. Department of Labor, Office of Inspector General, made the announcement after sentencing by Senior U.S. District Judge Henry E. Hudson. Assistant U.S. Attorney Carla Jordan-Detamore prosecuted 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. 3:23-cr-90.


title: Dulce Man Charged with Aggravated Sexual Abuse

body_text: ALBUQUERQUE – Alexander M.M. Uballez, United States Attorney for the District of New Mexico, and Raul Bujanda, Special Agent in Charge of the FBI Albuquerque Field Office, announced that Cisco Cruzito Pinto appeared in federal court on a criminal complaint charging him with aggravated sexual abuse in Indian Country. Pinto, 37, of Dulce, NM, will remain on conditions of release in the third-party custody of a halfway house pending trial, which has not yet been scheduled. According to the criminal complaint, on Sept. 13, 2023, Pinto went out drinking in Pagosa Springs, CO with his wife before returning home. After his wife fell asleep, Pinto allegedly went into a bedroom where their 14-year-old niece, Jane Doe, was sleeping and sexually assaulted her. Jane Doe began to cry, and Pinto allegedly told her not to tell anyone otherwise he would hit her. When Pinto went to take a shower, Jane Doe told her aunt that Pinto had assaulted her. Jane Doe’s aunt called 911, and Jicarilla Apache Police Officers removed Pinto from the home. A criminal complaint is only an allegation. A defendant is presumed innocent unless and until proven guilty. If convicted of the current charges, Pinto faces up to a mandatory minimum of 30 years and up to life in prison. The Farmington Resident Agency of the FBI Albuquerque Field Office investigated this case with assistance from the Jicarilla Apache Police Department. Assistant U.S. Attorney Meg Tomlinson is prosecuting the case. # # #


title: Suburban Chicago Man Among Three People Charged With Swindling Investors out of More Than $3.9 Million

body_text: CHICAGO — A suburban Chicago man was among three people indicted on federal fraud charges for allegedly swindling investors, including a children’s charity, out of more than $3.9 million. EDWARD L. WOOTEN, LEE S. ROSE, and JOHN L. KRCIL claimed to work for a Wyoming investment company called Black Lion Investment Partners Inc. Beginning in 2019, the trio falsely suggested to investors that they could earn substantial returns by participating in so-called “private placement” trading programs involving “investment grade fixed income securities” of “top-rated” banks or financial institutions, according to an indictment unsealed Thursday in U.S. District Court in Chicago. The defendants fraudulently claimed that their trading programs yielded multi-million-dollar investment returns within short periods of time, and that investor funds would be returned if the programs failed to perform within 60 days, the indictment states. The charges allege that the defendants failed to use all investor funds to conduct trades, did not pay any trading profits to investors, and did not return all investor funds as promised. The defendants instead converted investor funds to their own use and benefit, the indictment states. As a result of the fraud scheme, six investors, including an Oklahoma children’s charity, suffered losses totaling approximately $3,905,000. Wooten, 51, of Macon, Ga., Rose, 82, of Deerfield, Ill., and Krcil, 55, of Hanover, Minn., are charged with wire fraud and interstate transfer of money taken by fraud. Wooten and Rose are also charged with money laundering and making false statements. Wooten also faces a charge of making false statements to the FBI, while Rose is charged with making false statements to a federal judge, the FBI, and the U.S. Securities and Exchange Commission. The indictment was announced by Morris Pasqual, Acting United States Attorney for the Northern District of Illinois, and Robert W. “Wes” Wheeler, Jr., Special Agent-in-Charge of the Chicago Field Office of the FBI. The SEC provided valuable assistance. The government is represented by Assistant U.S. Attorney Brian Havey. The public is reminded that an indictment is not evidence of guilt. The defendants are presumed innocent and entitled to a fair trial at which the government has the burden of proving guilt beyond a reasonable doubt. If convicted, the Court must impose reasonable sentences under federal statutes and the advisory U.S. Sentencing Guidelines. Wooten et al indictment


title: Veteran and wife indicted for defrauding VA

component: USAO - Kansas

body_text: TOPEKA, KAN. –A federal grand jury in Topeka returned an indictment charging a Kansas couple with fraudulently obtaining disability benefits from the Department of Veterans Affairs (VA). According to court documents, James Bradford, 47, and Equanda Bradford, 45, of Junction City are charged with one count of conspiracy and one count of theft of public money, property, or records. James Bradford, a U.S. Army veteran, and his wife Equanda are accused of providing false and fraudulent information to the VA, about his caregiver needs and her caregiving functions resulting in the receipt of $172,426 in disability compensation to which they were not entitled. The Department of Veterans Affairs - Office of Inspector General and the General Services Administration - Office of Inspector General are investigating the case. Assistant U.S. Attorney Skipper Jacobs is prosecuting the case. An indictment is merely an allegation, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law. ###