title: Three Men Headed to Prison for Distributing Methamphetamine and Illegally Possessing Firearms

body_text: SHREVEPORT, La. - United States Attorney Brandon B. Brown announced the sentencing of three defendants in connection with cases involving the trafficking of narcotics and illegal possession of a firearm. United States District Judge S. Maurice Hicks, Jr. sentenced the following individuals: Cedric Bell , 55, of Shreveport, was sentenced to 180 months in prison, followed by 5 years of supervised release, on drug and firearms charges. On August 20, 2021, a Caddo Parish Probation Officer searched Bell’s clothing and found a digital scale and cash in his pockets. When questioned by the officer, Bell admitted that he had some pills in his car and consented to a search of the vehicle. While searching Bell’s vehicle, officers found at least 50 grams of methamphetamine, a Taurus pistol, a Taurus revolver, and ammunition. Officers then searched Bell’s home and found ten more firearms, including two short-barreled rifles and a silencer. Agents with the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) examined the firearms and determined they functioned as designed. Bell admitted to possession of the methamphetamine with intent to distribute and carrying and using firearms during a drug trafficking offense. The case was investigated by the ATF and Caddo Parish Office of Probation and prosecuted by Assistant U.S. Attorney Leon H. Whitten. Demetrius Sumner , 44, of Shreveport, was sentenced to 60 months in prison, followed by 3 years of supervised release, on firearms charges. Sumner went to a local pawn shop in Shreveport in July 2021 and attempted to purchase four firearms. While completing the ATF Form 4473 to purchase the firearms, Sumner indicated on the form that he had not been convicted in any court of a misdemeanor crime of domestic violence. When in truth and in fact, Sumner had been convicted of a domestic violence charge in Clark County, Nevada on August 3, 2017. After waiting several days and not receiving an answer on Sumner’s background check to purchase the firearms, the pawn shop released them to Sumner. However, ten days later, the pawn shop received information denying Sumner’s application check due to his prior conviction. Law enforcement agents got the firearms back from Sumner and he admitted to making a false statement to a firearms dealer about his prior conviction. The case was investigated by the ATF and prosecuted by Assistant U.S. Attorney Tennille Gilreath. In a separate and unrelated case, United States Judge Dee D. Drell sentenced Julius Bernard Washington , 39, of Natchitoches, Louisiana to 70 months in prison for distribution of methamphetamine. In October 2021, Washington sold methamphetamine to an individual which was later seized by law enforcement agents. The total amount of actual methamphetamine distributed by Washington was approximately 301.5 grams. Washington pleaded guilty to the charge on January 25, 2023. The case was investigated by the Federal Bureau of Investigation, Grant Parish Sheriff’s Office and Natchitoches Parish Sheriff’s Office, and prosecuted by Assistant U.S. Attorney Seth D. Reeg. # # #


title: Webster Woman Pleads Guilty To Stealing Hundreds Of Thousands Of Dollars From Wegmans

component: USAO - New York, Western

body_text: ROCHESTER, N.Y.-U.S. Attorney Trini E. Ross announced today that Alicia Torres, 47, of Webster, NY, pleaded guilty before U.S. District Judge David G. Larimer to wire fraud, which carries a maximum penalty of 20 years in prison and a $250,000 fine. Assistant U.S. Attorney Richard A. Resnick, who is handling the case, stated that Torres was employed at Wegmans Food Market, Inc. for approximately 27 years. Between 2014 and February 2023, she utilized the Enterprise System, which is used to fill customers' prescriptions, to fraudulently process approximately 350 credit card refund requests in customers' names with fictitious amounts. The fraudulent refund amounts were based on what Torres observed customers receiving in previous transactions. She then tricked the pharmacist on duty to sign off on and authorize the fraudulent refund requests. Once refund requests were approved, Torres paid the refund amounts to herself by swiping her bank debit card in Wegmans’ point of sale system. Between 2014 and February 2023, Torres received $568,021.69 in fraudulent refunds. In addition, between 2020 and February 2023, Torres fraudulently used Wegmans gift cards to steal $10,922.17 from Wegmans. The plea is the result of an investigation by the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Matthew Miraglia. Sentencing is scheduled for September 11, 2023, at 2:00 p.m. before Judge Larimer. # # # #


title: Rochester Man Pleads Guilty To COVID Fraud

body_text: ROCHESTER, N.Y. - U.S. Attorney Trini E. Ross announced today that Kenyatta Phipps, 46, of Rochester, NY, pleaded guilty before U.S. District Judge Frank P. Geraci, Jr. to wire fraud. The charges carry a maximum penalty of 20 years in prison and a $250,000 fine. Assistant U.S. Attorney Richard A. Resnick, who is handling the case, stated that in February 2020, Phipps filed a federal income tax return for the tax year 2019, reporting wages and interest income of $13,273.00, which resulted in a refund of $696. In August 2020, Phipps attempted four times to file a second 2019 federal income tax return on which he falsely reported additional income he earned in the amount of $333,522 from a company he operated called Platinum Express Cleaning. If the returns were accepted Phipps would have received a fraudulent tax refund of $164,951. After all four attempts were rejected by the IRS, in September 2020, Phipps filed a fraudulent amended federal income tax return for the year 2019, which was accepted by the IRS. In the fraudulent return, Phipps falsely reported that Platinum Express Cleaning received gross receipts of $455,734 from Eastman Kodak Company and had taxes withheld from such income of more than $355,000. This resulted in Phipps receiving a fraudulent tax refund and tax loss to the IRS of $186,570. In addition to defrauding the IRS, Phipps used information from the false tax returns to submit three fraudulent loan applications in the name of Platinum Express Cleaning to the Small Business Administration (SBA) in attempts to obtain COVID relief funding through the Economic Injury Disaster Loans (EIDL) program provided by the 2020 CARES Act. Phipps also falsely stated on the EIDL loan applications that Platinum Express Cleaning had more than 120 employees which would have qualified his company for $573,200 on EIDL program loans. Prior to funding the EIDLs program loans, the SBA discovered the fraudulent loan applications and did not fund the loans. The plea is the result of an investigation by the Internal Revenue Service, Criminal Investigation Division, under the direction of Special Agent in Charge Thomas Fattorusso. Sentencing is scheduled for August 20, 2023, before Judge Geraci. # # # #


title: Foreign National Charged for $1.8M Wire Fraud and Money Laundering Scheme

component: Criminal Division

body_text: An indictment was unsealed today in the Central District of California charging a California businessman for allegedly soliciting investments under false pretenses and using investors’ funds to support his own lavish lifestyle. According to court documents, Amadou Kane Diallo, 44, a Senegalese national and resident of Laguna Niguel, was the CEO of two California-based companies: Virtual Advisors LLC and Liquide Inc. Diallo allegedly solicited investments in his companies from at least 11 individuals for purported business opportunities in technology, health care, real estate, home ownership, and service to the African diaspora. Diallo allegedly made various false representations, including that investor funds would be spent to further investors’ interests, or not be spent at all, and instead used as “skin in the game” to attract institutional investors. Diallo is also alleged to have lied to potential investors, claiming that he had raised hundreds of millions of dollars for another investment firm and its real estate investment fund when, in fact, he had never raised any such funds. Diallo allegedly caused at least 11 victim-investors to pay him, Virtual Advisors, and Liquide, more than $1.8 million. Contrary to his representations to investors, Diallo allegedly used their money to fund his own extravagant lifestyle, including making rent payments on his home; paying for luxury vehicles; buying clothes and fancy dinners; joining fitness clubs and spas; and hosting lavish events for foreign government officials. Diallo is charged with 19 counts of wire fraud and two counts of money laundering. If convicted, he faces a maximum penalty of 20 years in prison on each of the wire fraud counts and a maximum penalty of 10 years in prison on each of the money laundering counts. Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division, U.S. Attorney Martin Estrada for the Central District of California, Assistant Director Luis M. Quesada of the FBI’s Criminal Investigative Division, and Assistant Director in Charge Donald Alway of the FBI Los Angeles Field Office made the announcement. The FBI is investigating the case. Trial Attorney William E. Schurmann of the Criminal Division’s Fraud Section and Special Assistant U.S. Attorney Ryan G. Adams for the Central District of California are prosecuting the case. If you believe you are a victim of Mr. Diallo’s conduct, please contact the Fraud Section’s Victim Witness Unit toll-free at (888) 549-3945 or by email at victimassistance.fraud@usdoj.gov. An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.


title: Motel Manager Pleads Guilty to Coercing Labor and Sex Acts by Female Victim

component: Civil Rights Division

body_text: A hotel manager in Georgia pleaded guilty today to trafficking with respect to peonage, slavery, involuntary servitude or forced labor. According to court documents, Shreesh Tiwari, 70, an Indian national and legal U.S. permanent resident, began managing the Budgetel Motel in Cartersville, Georgia, in 2020. Tiwari hired the victim to work as a house cleaner at the motel. Tiwari knew that, prior to arriving at the Budgetel, the victim had experienced homelessness, struggled with a heroin addiction and lost custody of her young child. Tiwari promised the victim that he would help her regain custody of her child by providing her with pay, an apartment, and an attorney. Instead of following through with his promises, Tiwari monitored the victim’s interactions with motel guests and employees and forbade her from speaking to them. Tiwari also made numerous sexual overtures to the victim. When Tiwari became angry at the victim, he threatened to evict her from the room he offered her at the Budgetel, knowing that she would become homeless as a result. Tiwari also threatened to report the victim’s drug use to law enforcement or child welfare agencies whenever he was angry at her. Eventually, Tiwari began to regularly “evict” the victim from her motel room, and even locked her out of her room at night without warning. Tiwari later required the victim to perform oral sex on him to stay at the motel. If she did not, Tiwari removed her from the property, causing her to be homeless. “Human trafficking is an abhorrent crime in which traffickers specifically identify and target the most vulnerable members of our society, often using fraudulent promises to offer hope to someone in need,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “This conviction demonstrates that the Justice Department is committed to prosecuting motel operators and other landlords who misuse and abuse their position of power over tenants to compel them to engage in commercial sex acts.” “Victims of sex trafficking crimes are some of the most vulnerable individuals in our communities and they are targeted by traffickers as a result,” said U.S. Attorney Ryan K. Buchanan for the Northern District of Georgia. “We refuse to tolerate human trafficking of any kind and this conviction reinforces our commitment to protecting all victims of crime in our community – regardless of their status.” “Prosecuting human traffickers and rescuing human trafficking victims is a top priority of this office and the Department of Homeland Security,” said Acting Special Agent in Charge Travis Pickard of the Homeland Security Investigations (HSI) Atlanta Field Office. “This guilty plea highlights that commitment and serves as a warning to other predators that law enforcement is determined to find, arrest and punish those involved in this heinous crime.” Sentencing is set for Sept. 6. Tiwari faces a maximum penalty of up to 20 years in prison, as well as a $250,000 fine. As part of his plea agreement, Tiwari agreed to pay slightly over $40,000 in mandatory restitution to the victims of offense. A federal judge will determine any sentence based on the U.S. Sentencing Guidelines and other statutory factors. Assistant Attorney General Clarke, U.S. Attorney Buchanan and Acting Special Agent in Charge Pickard made the announcement. The Department of Homeland Security, Homeland Security Investigations Dalton Office investigated the case, with assistance from the Georgia Bureau of Investigation and the Bartow-Cartersville Drug Task Force. Assistant U.S. Attorneys Leanne Marek and Annalise Peters for the Northern District of Georgia and Trial Attorney Kate Hill of the Justice Department’s Human Trafficking Prosecution Unit are prosecuting the case. Anyone who has information about human trafficking should report that information to the National Human Trafficking Hotline toll-free at 1-888-373-7888, which is available 24 hours a day, seven days a week. For more information about human trafficking, please visit www.humantraffickinghotline.org . Information on the Department of Justice’s efforts to combat human trafficking can be found at www.justice.gov/humantrafficking.


title: Physician Sentenced for Stealing Approximately $250K from COVID-19 Relief Programs

body_text: A Colorado physician was sentenced today to two and a half years in prison for fraudulently obtaining and misappropriating approximately $250,000 from two separate COVID-19 relief programs. According to court documents, Dr. Francis F. Joseph, 58, of Highlands Ranch, was the supervisory physician at Springs Medical Associates, a medical clinic with three offices in Colorado. From March through June 2020, Joseph applied for and received government funds for COVID-19 relief from the Accelerated and Advance Payment Program and the Paycheck Protection Program. Both programs were designed to provide emergency financial assistance to medical providers and small businesses who were suffering economic effects from the COVID-19 pandemic. In total, Joseph received approximately $250,000 from these programs and used the money to pay for his personal expenses. Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division; Special Agent in Charge Curt Muller of the Department of Health and Human Services Office of Inspector General (HHS-OIG), Kansas City Region; and Special Agent in Charge Weston King of the U.S. Small Business Administration Office of Inspector General (SBA-OIG), Western Region made the announcement. The HHS-OIG and SBA-OIG investigated the case. Trial Attorneys Jennifer Bilinkas and John J. Liolos of the Criminal Division’s Fraud Section prosecuted the case. The Fraud Section leads the Criminal Division’s efforts to combat fraud related to the COVID-19 pandemic, particularly with respect to the resources made available by Congress through the Coronavirus Aid, Relief, and Economic Security (CARES) Act for programs including the Paycheck Protection Program, the Economic Injury Disaster Loan program, and the Provider Relief Fund. Since the CARES Act passed, Fraud Section attorneys have prosecuted more than 210 defendants in more than 140 criminal cases related to CARES Act programs and funds. The Fraud Section has also seized more than $80 million in cash proceeds derived from CARES Act-related fraud schemes, as well as numerous real estate properties and luxury items purchased with such proceeds. More information can be found at www.justice.gov/criminal-fraud/cares-act-fraud . In May 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the department’s response to the pandemic, please visit www.justice.gov/coronavirus .


title: D.C. Man Pleads Guilty Assaulting a Member of Congress and Law Enforcement Officers

component: Federal Bureau of Investigation (FBI)

body_text: WASHINGTON – Kendrid Khalil Hamlin, 26, of Washington, D.C., pleaded guilty today to assault on a member of Congress and two counts of assault on a law enforcement officer stemming from an incident on February 9, 2023, in the District of Columbia. U.S. District Court Chief Judge James E. Boasberg scheduled a sentencing hearing for September 15, 2023. According to Hamlin’s admissions in court, he willfully assaulted a member of the House of Representatives, causing personal injury. Hamlin also admitted that he assaulted a detective and a police officer with the Metropolitan Police Department that same day. The charge of assault on a member of Congress carries a statutory maximum sentence of 10 years in prison. The charge of assault on a law enforcement officer carries a statutory maximum sentence of six months in prison. The court will determine the appropriate sentence after considering the sentencing guidelines and other factors. Because the defendant pleaded to all the counts charged in the indictment without the benefit of a plea agreement, both the defendant and the government retain the right to make legal arguments at the time of sentencing. This case was investigated by the U.S. Capitol Police and the Metropolitan Police Department. The case is being prosecuted by Assistant U.S. Attorney Josh Gold and Special Assistant U.S. Attorney Alexander Schneider.


title: Consumer Alert - COVID-19 Test Medicare Scams

component: USAO - New Hampshire

body_text: CONCORD, NH – United States Attorney Jane E. Young and New Hampshire Attorney General John M. Formella announce that New Hampshire is seeing a rise in complaints from Medicare beneficiaries receiving COVID-19 tests they did not request, a signal someone may be using, and could continue to use their Medicare information fraudulently to bill the federal government, potentially impacting a recipient’s Medicare coverage or benefits. “Stealing taxpayer-funded resources from our vulnerable neighbors will not be tolerated in the Granite State. We are actively working with our law enforcement partners to detect and disrupt this type of fraud,” said Attorney General Formella. “Signs of this illegal activity should be immediately reported, as experts warn Medicare information can be as valuable to bad actors as credit card or social security numbers.” “Unfortunately, the pandemic provided fraudsters with many opportunities to take advantage of medical needs and services to benefit themselves,” said U.S. Attorney Young. “This new and emerging scam is directed at stealing from U.S. taxpayers, by charging Medicare for unwanted and unnecessary COVID-19 test kits. Please protect yourselves- do not ever give personal or medical information to obtain free pandemic related products, including test kits, vaccines, and other services. Medicare will not call you and offer COVID-19 related products.” If you or a loved one are receiving unsolicited COVID-19 test kits or requests for your Medicare information, you are urged to report it to the U.S. Health and Human Services, Office of the Inspector General ( www.oig.gov/fraud/report-fraud ) or call 1-800-HHS-TIPS (1-800-447-8477). ###


title: Clayton Resident Pleads Guilty To Federal Drug And Firearms Crimes

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

body_text: MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announced that Troy Michael Goforth, age 49, of Clayton, Oklahoma, entered a guilty plea on May 31, 2023, to one count of Possession with Intent to Distribute Methamphetamine, and one count of Possession of a Firearm in Furtherance of a Drug Trafficking Crime. On September 21, 2022, Goforth led officers on a high-speed pursuit, during which Goforth was observed tossing a green duffel bag out of the car before jumping out of the vehicle and fleeing on foot. Upon apprehending and arresting Goforth, officers discovered a loaded 9mm pistol tucked into Goforth’s waist band. During a subsequent search of the nearby ditch, officers recovered the green duffel bag which contained syringes, baggies, digital scales, and over 500 grams of methamphetamine. The charges arose from a joint investigation by members of Choctaw Nation Tribal Police, the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the Federal Bureau of Investigation. The Honorable Gerald L. Jackson, U.S. Magistrate Judge in the Eastern District of Oklahoma, accepted the plea and ordered the completion of a presentence investigation report. At the close of sentencing, Goforth was remanded to the custody of the U.S. Marshal pending sentencing. Assistant United States Attorney Joshua Satter represented the United States.


title: New York Man Admits Transporting Minors to Engage in Illicit Sexual Conduct

component: USAO - New Jersey

body_text: TRENTON, N.J. – A New York man admitted transporting minors across state lines to engage in illicit sexual conduct, U.S. Attorney Philip R. Sellinger announced today. Berry Norman, 35, of Bronx, New York, pleaded guilty before U.S. District Judge Zahid N. Quraishi in Trenton federal court on May 30, 2023, to an information charging him with interstate travel to engage in illicit sexual conduct. “Sexual crimes involving children are among the most serious crimes we prosecute,” U.S. Attorney Sellinger said. “The conduct admitted by this defendant is reprehensible, and he will now face the appropriate punishment for his crime.” “Berry Norman’s actions were despicable by luring innocent minors down a dark path of horrific abuse and emotional trauma,” Special Agent in Charge of the Department of Homeland Security, Homeland Security Investigations (HSI), Newark, Ricky J. Patel said. “The deceptive ways Norman and other human traffickers conspire to appear trustworthy to their victims has far-reaching consequences. Rescuing these victims is of utmost importance to HSI Newark and we remain committed to protecting and assisting victims while bringing traffickers to justice.” According to documents filed in this case and statements made in court: On Feb. 24, 2021, Norman invited two female victims, both minors, to travel with him from Ohio to New Jersey. Norman traveled from Ohio to New Jersey and from New Jersey to New York with victims with the intent to engage in a sexual act with them or for the purpose of producing child pornography. On Feb. 27, 2021, Norman engaged in sexual acts with one victim. On Feb. 28, 2021, Norman and the victims traveled to New York City. The charge of interstate travel to engage in illicit sexual conduct carries a maximum penalty of 30 years in prison and a fine of $250,000. Sentencing is scheduled for Oct. 3, 2023. U.S. Attorney Sellinger credited special agents of HSI, under the direction of Special Agent in Charge Ricky J. Patel in Newark; the Hudson County Prosecutor’s Office, under the direction of Prosecutor Esther Suarez; and the New York Police Department, under direction of Police Commissioner Keechant L. Sewell, with the investigation leading to the guilty plea. The government is represented by Assistant U.S. Attorney Sophie Kaiser of the General Crimes Unit in Newark. norman.information.pdf


title: New Jersey Man Sentenced to 10 Years in Prison for Drug Trafficking

body_text: CAMDEN, N.J. – A New Jersey man was sentenced to 120 months in prison for conspiring with others to obtain and distribute several kilograms of cocaine, U.S. Attorney Philip R. Sellinger announced today. Carl Lee Holloway, 43, of Penns Grove, New Jersey, previously pleaded guilty before Chief U.S. District Judge Renée Marie Bumb to an information charging him with one count of conspiring to distribute cocaine. Judge Bumb imposed the sentence in Camden federal court. According to documents filed in this case and statements made in court: Holloway admitted that from June 2020 through July 13, 2021, he conspired with Lavinston Lamar, Marvin Murphy, and others, to distribute and to possess with intent to distribute cocaine. On July 13, 2021, Holloway drove to a hotel in Mount Laurel, New Jersey, with a bag containing $97,600 in cash. Holloway then met undercover agents in a hotel room at the hotel. Lamar and Murphy separately entered the hotel room with bags containing approximately $243,000. They briefly inspected one of the kilograms of cocaine previously brought into the room by undercover agents, after which agents entered the room and arrested Holloway, Lamar, and Murphy. Chief Judge Bumb previously sentenced Lamar to 114 months in prison after Lamar pleaded guilty to his involvement in the same conspiracy and to violating the conditions of his supervised release from a prior conviction for conspiring to distribute cocaine. Murphy is charged by indictment with the same conspiracy. The charges and allegations contained in the indictment are merely accusations, and he is presumed innocent unless and until proven guilty. In addition to the prison term, Judge Bumb sentenced Holloway to five years of supervised release and ordered him to pay a $50,000 fine. U.S. Attorney Sellinger credited special agents with the Department of Homeland Security, Homeland Security Investigations, under the direction of Special Agent in Charge Ricky J. Patel in Newark and Special Agent in Charge Chad Plantz in San Diego; and the Mount Laurel Police, under the direction of Chief Judy Lynn Schiavone, with the investigation leading to the sentencing. The government is represented by Assistant U.S. Attorney Jeffrey Bender of the U.S. Attorney’s Office in Camden.


title: United States Files Civil Action to Collect Unpaid Civil Penalties and Reclamation Fee Debts

component: Civil Division

body_text: WASHINGTON – The Justice Department today announced the filing of a civil action against James C. Justice III and 13 coal companies he owns or operates seeking to collect unpaid civil penalties previously assessed by the Department of the Interior (DOI) Office of Surface Mining Reclamation and Enforcement (OSMRE), as well as Abandoned Mine Land (AML) reclamation fee and audit debts. “Our environmental laws serve to protect communities against adverse effects of industrial activities including surface coal mining operations,” said Assistant Attorney General Todd Kim of the Justice Department’s Environment and Natural Resources Division. “Through this suit, the Justice Department seeks to deliver accountability for defendants’ repeated violations of the law and to recover the penalties they owe as a result of those violations.” “Over a five-year period, defendants engaged in over 130 violations of federal law, thereby posing health and safety risks to the public and the environment,” said U.S. Attorney Christopher R. Kavanaugh for the Western District of Virginia. “After given notice, they then failed to remedy those violations and were ordered over 50 times to cease mining activities until their violations were abated. Today, the filing of this complaint continues the process of holding defendants accountable for jeopardizing the health and safety of the public and our environment.” Pursuant to the Surface Mining Control and Reclamation Act (SMCRA), when a permittee violates SMCRA or their applicable permit, OSMRE issues a notice of violation (NOV) for non-imminently dangerous violations. The NOV sets a deadline for abating the violation. If the permittee fails to abate the violation by the NOV’s deadline, OSMRE issues a cessation order to halt mining until the violation is abated. If the permittee still fails to abate the violation within 30 days of the cessation order, OSMRE can take certain actions, including assessing civil penalties. If the violation creates an imminent danger to the health or safety of the public, OSMRE issues a second type of cessation order, called an Imminent Harm Cessation Order (IHCO), in lieu of an NOV, which requires cessation of active mining until the violation is abated. Separately, a director, officer or agent of a corporate permittee can be subject to individual civil penalties for willfully and knowingly authorizing, ordering or carrying out a permit violation or failure to comply with certain OSMRE orders. From 2018 to 2022, OSMRE cited the defendants for over 130 violations and issued the companies over 50 cessation orders. The underlying violations pose health and safety risks or threaten environmental harm. In addition, defendants failed to pay required AML fees, which fund the reclamation of coal mining sites abandoned or left in an inadequate reclamation status. According to today’s filing, the total amount of the penalties and AML fees, plus interest, penalties and administrative expenses, owed by the defendants is approximately $7.6 million. Assistant U.S. Attorney Krista Consiglio Frith for the Western District of Virginia and Trial Attorneys Sally J. Sullivan and Clare Boronow of the Environment and Natural Resources Division are handling this matter.


title: Former President And Former Financial Advisor Of Law Enforcement Union Convicted Of Defrauding Union’s Annuity Fund

component: USAO - New York, Southern

body_text: Damian Williams, the United States Attorney for the Southern District of New York, announced the conviction of KENNETH WYNDER Jr., a former New York State Trooper and the president of the Law Enforcement Employees Benevolent Association (“LEEBA”), a labor union for law enforcement officers employed by the City of New York (the “City”), and ANDREW BROWN, a/k/a “Drew Brown,” the former financial advisor for LEEBA, for defrauding union members by misappropriating money from LEEBA’s Annuity Fund. WYNDER was also convicted of personal income tax evasion and conspiring to evade federal taxes, including payroll taxes owed by LEEBA and its employees. Steven Whittick, LEEBA’s former treasurer and a former police officer for New York City’s Department of Environmental Protection (“DEP”), previously pled guilty to conspiring to commit tax evasion and making false statements to law enforcement. WYNDER and BROWN were convicted after a five-day jury trial before U.S. District Judge P. Kevin Castel and are scheduled to be sentenced on October 18, 2023, by Judge Castel. U.S. Attorney Damian William said: “As the jury unanimously found, Kenneth Wynder and Andrew Brown raided a union-sponsored retirement plan for years, placing their personal interest over the union members they were duty bound to look out for. The jury also found that Wynder then evaded taxes on income he obtained from the union, including as a product of their theft from the union members’ retirement accounts.” According to the Indictment, Superseding Indictment, the underlying complaints filed in this case, as well as other publicly available information, prior court filings, and evidence presented during the trial in Manhattan federal court: Law Enforcement Employees Benevolent Association and the Annuity Fund LEEBA is a labor union that has acted as the collective bargaining representative principally for law enforcement personnel at various City agencies and has entered into agreements on behalf of those law enforcement employees, including agreements for insurance and retirement benefits. The City agencies whose employees LEEBA represented included, at various times, DEP, the Department of Sanitation (“Sanitation”), and the Department of Transportation (“Transportation”). The Annuity Fund is a LEEBA fund that received monthly contributions from the City for the benefit of LEEBA’s members and maintained separate accounts for each fund member. These accounts were functionally similar to employer-sponsored 401(k) retirement accounts. WYNDER was a Trustee of the Annuity Fund and signatory to agreements that governed the fund, and BROWN was a Plan Administrator and Financial Advisor of the Annuity Fund. Under the relevant agreements and plans, the money in the Annuity Fund could be used for no purpose other than funding individual members’ retirement accounts and defraying reasonable administrative expenses of the Annuity Fund itself. WYNDER WYNDER, a former New York State Trooper, is the founder and former President of LEEBA and a former member of LEEBA’s board of directors. WYNDER also formerly served as the Fund Administrator of the Annuity Fund and as a member of the board of trustees of the Annuity Fund, pursuant to which he owed a fiduciary duty to act in the best interests of the Annuity Fund and its account holders. WYNDER also was on the board of trustees of the LEEBA Welfare Fund (the “Welfare Fund,” and collectively with the Annuity Fund, the “LEEBA Funds”), which provided supplemental insurance benefits to its members. While occupying those positions, WYNDER centralized and controlled major decision-making authority for LEEBA and the LEEBA Funds, often acting without the proper approval of their respective boards of directors or trustees. WYNDER’s de facto dominance of LEEBA and the LEEBA Funds enabled him to make decisions in his own self-interest and contrary to the interests of the Annuity Fund and individual members. BROWN BROWN, the founder of a Westchester-based financial services company, is the former Benefits Administrator and insurance broker for LEEBA and the LEEBA Funds. As a LEEBA Annuity Fund Plan Administrator and Financial Advisor, BROWN helped manage the investments in the Annuity Fund, receiving a commission for his services, and had a responsibility to act in the best interest of LEEBA’s members. WYNDER’s and BROWN’s Fraud Scheme From at least in or about 2012 up to and including 2020, WYNDER and BROWN participated in a scheme to steal, embezzle, and misappropriate money from the Annuity Fund and individual members’ retirement accounts. Specifically, WYNDER and BROWN made hundreds of thousands of dollars of fraudulent transfers from the Annuity Fund to LEEBA’s operating account, which WYNDER controlled, and WYNDER regularly used the funds, once transferred from the Annuity Fund, to enrich himself at union members’ expense, including through unauthorized and excessive checks to himself and cash withdrawals for his own benefit and to pay insurance benefits for which BROWN received commissions. In addition, WYNDER caused the union to pay for various personal expenses such as the purchase of a Lexus automobile, travel expenses to Dallas to watch a Dallas Cowboys football game, and a sailing trip, all paid for by the union, and none of which were contemporaneously reported to the Internal Revenue Service (“IRS”), as required. To accomplish this fraudulent scheme, WYNDER and BROWN, acting in their capacity as the Annuity Fund’s Plan Administrators, repeatedly made false and misleading statements to a third-party retirement plan manager that served as the custodian for the Annuity Fund and the retirement accounts of individual union members, including through emails and faxes that WYNDER and BROWN used to withdraw increasingly large sums of money from the Annuity Fund, effectively causing such withdrawals to be made from the retirement accounts of individual members. From in or about 2014 through in or about 2019, WYNDER and BROWN caused the withdrawal of more than $500,000 from the individual retirement accounts that constitute the Annuity Fund, thereby wiping out the entire balance of certain members’ accounts. Without these improper withdrawals from the Annuity Fund, the LEEBA operating account would have been insolvent and would have had insufficient funds to pay for WYNDER’s excessive checks to himself and cash withdrawals and the personal expenses he caused to be charged to that account, as well as to pay for benefits for which BROWN made commissions as an insurance broker. In addition, throughout the duration of this scheme, WYNDER and BROWN repeatedly made and approved false and misleading statements to LEEBA’s members and prospective members about how they were purportedly using and protecting their retirement accounts and the LEEBA Annuity Fund. WYNDER further concealed the scheme by causing LEEBA to fail to timely file mandatory reports and financial disclosures with the City and public reports to the Annuity Fund’s members and by making false statements to the Annuity Fund’s auditors and accountants. WYNDER’s Tax Evasion From at least in or about 2015 through 2019 WYNDER participated in a conspiracy with LEEBA’s then-Treasurer, Steven Whittick, to cause LEEBA to make payments to WYNDER and Whittick, by check and in cash, and to conceal those payments from the IRS. WYNDER further conspired to ensure that such payments were made outside of LEEBA’s payroll processor. WYNDER then concealed these payments from the IRS — including off-the-books payments of more than $400,000 — in order to evade his own personal income taxes and to evade the payroll taxes that were owed by LEEBA and certain LEEBA employees. * * * WYNDER, 59, of Stroudsburg, Pennsylvania, and BROWN, 55, of Putnam Valley, New York, were each convicted of one count of conspiracy of commit wire fraud and one count of wire fraud, each of which carry a maximum penalty of 20 years in prison. WYNDER was also convicted of one count of conspiracy to defraud the United States and four counts of tax evasion, each of which carry a maximum penalty of five years in prison. On November 17, 2021, Whittick was sentenced to 28 months in prison for conspiring to commit tax evasion and making false statements and was ordered to pay $179,766.80 in restitution to the IRS. Mr. Williams praised the outstanding work of the Federal Bureau of Investigation, the Department of Labor Office of Labor-Management Standards, and IRS-Criminal Investigations. Mr. Williams also thanked the New York City Comptroller’s Office and the New York City Department of Investigation for their assistance. The case is being prosecuted by the Office’s Public Corruption Unit. Assistant U.S. Attorneys Eli J. Mark, Kedar S. Bhatia, Andrew Rohrbach, and David R. Lewis were assigned to the prosecution, with the assistance of Paralegal Specialists Connor Hamill and Lauren Scarff.


title: Boat Owner Sentenced to a Year in Federal Prison for Conducting Illegal Charter Operations on Chicago Waterways

component: USAO - Illinois, Northern

body_text: CHICAGO — A boat owner has been sentenced to a year in federal prison for conducting illegal charter operations on Chicago waterways. CHRISTOPHER MIKE GARBOWSKI used a 40-foot powerboat known as “Sea Hawk” and “Anchorman” to conduct illegal commercial charter operations on the Chicago River and Lake Michigan, including an area in downtown Chicago known by boaters as “the Playpen.” Garbowski from 2017 to 2019 charged money to charter the boat to groups of passengers, such as bachelorette parties, even though he lacked the proper boating credentials and the U.S. Coast Guard had not inspected and certified his vessel. The Coast Guard notified Garbowski about the federal regulations on multiple occasions, including at Monroe Harbor in Chicago on Aug. 19, 2017, when Coast Guard personnel boarded the boat moments before Garbowski was set to begin a five-hour charter for eight female passengers. As the women were walking down the dock to board the boat, Garbowski called one of them on her cell phone and told her to lie to Coast Guard personnel by pretending they were friends with Garbowski. On multiple occasions, Garbowski both verbally and in writing falsely denied to Coast Guard officials that he was operating a commercial charter service. Garbowski, also known as “Christopher Michael Garbowski” and “Michael Gunnman,” 37, of Sterling Heights, Mich., pleaded guilty earlier this year to a felony charge of violating an order of the Captain of the Port. U.S. District Judge Thomas M. Durkin on Tuesday imposed the year-and-a-day sentence after a hearing in federal court in Chicago. The sentence was announced by Morris Pasqual, Acting United States Attorney for the Northern District of Illinois; and Neal R. Marzloff, Special Agent-in-Charge of the Coast Guard Investigative Service, Central Field Office. The Illinois Department of Natural Resources Conservation Police provided valuable assistance. The government was represented by Assistant U.S. Attorney Timothy J. Chapman. “The Coast Guard regulations are designed to ensure the safety of passengers, crew members, and other vessels and individuals in the waterways,” said Acting U.S. Attorney Pasqual. “Our office will continue to hold accountable those who knowingly violate maritime laws and regulations.” “Mr. Garbowski’s actions demonstrated consistent disregard for Coast Guard authority and federal regulations concerning passenger vessel safety, putting his unsuspecting, and paying, customers at risk,” said SAC Marzloff.


title: Navajo Man Charged with Firearms Offenses

body_text: ALBUQUERQUE, N.M. – 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 today that Nathaniel Begay made an initial appearance in federal court on an indictment charging him with assault with a dangerous weapon and using a firearm during and in relation to a crime of violence. Begay, 29, an enrolled member of the Navajo Nation, will remain in custody pending a detention hearing scheduled for June 1. According to the indictment, on April 28, 2022, using two handguns, Begay shot multiple rounds at three adult individuals and five juveniles with the intent to cause bodily harm. An indictment is only an allegation. A defendant is presumed innocent unless and until proven guilty. If convicted, Begay faces up to life in prison. FBI Farmington Agency investigated this case with assistance from the Navajo Police Department and Farmington Police Department. Assistant United States Attorney Matthew J. McGinley is prosecuting the case.


title: South Carolina Man Sentenced  on Federal Carjacking Charge

body_text: NEW ORLEANS, LOUISIANA – U.S. Attorney Duane A. Evans announced that defendant WILLIAM NELSON , age 21, a resident of South Carolina, was sentenced t by U.S. District Court Judge Jay C. Zainey to 180 months of imprisonment, 3 years of supervised release, and a $100 mandatory special assessment fee after previously pleading guilty to a one-count indictment for carjacking, a violation of Title 18, United States Code, Section 2119. NELSON and his co-defendant committed a carjacking on January 2, 2022, in the 1000 block of Carondelet Street. NELSON and his co-defendant took the car from the victims using force and intimidation then fled in the stolen vehicle. During the course of a police chase in which NELSON and his co-defendant hit several vehicles and crashed the stolen vehicle, NELSON fled on foot. NELSON was arrested after surrendering to police . 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. U.S. Attorney Evans praised the work of the Federal Bureau of Investigation, Louisiana State Police, and the New Orleans Police Department. The case is being prosecuted by Assistant United States Attorney Inga Petrovich of the Violent Crime Unit.


title: Jacksonville Man Sentenced to More Than 24 Years in Prison for Producing Child Pornography

component: USAO - North Carolina, Eastern

body_text: RALEIGH, N.C. – A Jacksonville man was sentenced today to 292 months in prison and 20 years of supervised release for production of child pornography. William Austin Strawn, 30, pled guilty to the charge on January 3, 2023. According to court documents and other information presented in court, in November 2021, the Federal Bureau of Investigation (FBI) infiltrated a Kik chat group that was dedicated to sharing and discussing original videos of child pornography. A member of the group with the username “Craig Shellston” began communicating with an undercover FBI agent about the sexual abuse of a child with whom he had contact. “Craig Shellston” sent multiple videos that depicted him sexually abusing a child. Emergency court orders were issued to find the lessee of the IP address used by “Craig Shellston” since the FBI believed a child was in immediate danger. The IP address belonged to a residence in Jacksonville where Strawn lived. A search warrant was executed at the residence and Strawn was arrested. Strawn gave a statement to law enforcement wherein he admitted to being a part of the Kik chat group and admitted to receiving child pornography depicting children between the ages of 5 and 10. He admitted to committing sexual acts with the child with whom he had access. During jail telephone conversations he admitted to others to producing child pornography. "Strawn's crimes are heinous, and the long-term impact on his victim is immeasurable. The lengthy sentence he must serve in federal prison should send a powerful message. The FBI will do everything possible to hold those accountable who abuse the most vulnerable members of our communities. Protecting children should be everyone's priority," said Robert M. DeWitt, the FBI Charlotte Special Agent in Charge. “We value our partnership with the federal agencies and that partnership has made Jacksonville a safer place,” said Jacksonville Police Chief Mike Yaniero. Michael Easley, U.S. Attorney for the Eastern District of North Carolina made the announcement after the sentencing was concluded. U.S. District Judge Terrence W. Boyle presided over the sentencing. The Jacksonville Police Department, the North Carolina State Bureau of Investigation and the Federal Bureau of Investigation investigated the case and Assistant U.S. Attorney Charity Wilson prosecuted the case. Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 7:22-cr-000196-BO. ###


title: Woman Facing Federal Charges for Stealing a Nursing License in Order to Fraudulently Work as a Nurse in Indianapolis Nursing Homes

component: USAO - Indiana, Southern

body_text: INDIANAPOLIS- A federal grand jury has returned an indictment charging Rochelle Perry, 49, of Indianapolis, Indiana, with five counts of Social Security number fraud, three counts of aggravated identity theft, and one count of Social Security disability benefits fraud. The indictment was unsealed today, following Perry’s arrest and initial appearance. As alleged in the indictment, between February 26, 2020, and March 23, 2022, Perry submitted five fraudulent applications for employment to Indianapolis area nursing homes and assisted living facilities. Perry used a stolen Social Security number on all five of the applications. She was receiving Social Security disability insurance benefits under her true Social Security number, and she knew that those benefits would be reduced or eliminated if the Social Security Administration found out she had a job. Additionally, Perry knew that she might not be able to pass an employment background check if she applied to a health care facility using her true Social Security number. In some of the job applications, Perry also used a stolen Licensed Practical Nurse (“LPN”) license number to trick the employers into believing she was an LPN. Perry has never received any type of nursing license in the state of Indiana. Of the five job applications, four were for LPN positions. Perry applied for these positions despite not having a nursing license. She worked as an LPN at one facility from January 21, 2021, to April 27, 2021, and at a second facility from May 10, 2021, to November 23, 2021. At a third facility, she worked as a Memory Care Program Coordinator from February 26, 2020, to April 16, 2020. Between December 3, 2019, and December 2, 2022, Perry received approximately $54,991.30 in Social Security disability benefits under her true Social Security number. On two separate occasions, in August 2021 and October 2022, Perry submitted Work Activity Reports to the Social Security Administration. In those reports, Perry declared, under penalty of perjury, that she had not earned any income since May 2019. Perry did not disclose that she had been earning wages at health care facilities. The FBI, Social Security Administration, Office of Inspector General, Indiana Attorney General’s Office – Medicaid Fraud Control Unit, and IMPD investigated this case. If convicted on all counts, Rochelle faces up to 5 years in federal prison. A federal district court judge will determine the actual sentence after considering the U.S. Sentencing Guidelines and other statutory factors. U.S. Attorney Myers thanked Assistant United States Attorney Matthew B. Miller, who is prosecuting this case. An indictment or criminal complaint are merely allegations, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law. ###


title: Justice Department Reaches Agreement with ESSA Bank & Trust to Resolve Philadelphia-Area Lending Discrimination Allegations

component: USAO - Pennsylvania, Eastern

body_text: PHILADELPHIA – United States Attorney Jacqueline C. Romero announced that the U.S. Department of Justice’s Civil Rights Division and the U.S. Attorney’s Office for the Eastern District of Pennsylvania filed a proposed consent order today to resolve allegations that Stroudsburg, Pennsylvania-based ESSA Bank & Trust (ESSA) engaged in a pattern or practice of lending discrimination by “redlining” majority-Black and Hispanic neighborhoods around Philadelphia. “Redlining” is an illegal practice in which lenders avoid providing credit services to individuals living in communities of color because of the race, color, or national origin of residents there. The Fair Housing Act (FHA) and the Equal Credit Opportunity Act (ECOA) prohibit financial institutions from discriminating on such bases when providing mortgage lending services. The Department began investigating ESSA’s lending practices after receiving a Federal Deposit Insurance Corporation (FDIC) referral. ESSA fully cooperated with the investigation. The consent order is subject to court approval and was filed, together with the United States’ complaint, in the U.S. District Court for the Eastern District of Pennsylvania. The complaint alleges that: From at least 2017 to 2021, and in violation of the FHA and ECOA, ESSA failed to provide mortgage lending services to (and did not serve the credit needs of) majority-Black and Hispanic neighborhoods in and around Philadelphia; ESSA inadequately staffed loan officers to cover the Bank’s branches in such neighborhoods; and ESSA’s residential lending advertising targeted majority-white areas while avoiding Philadelphia County. ESSA worked expeditiously with the Department to resolve these allegations. Under the consent order, ESSA agrees to invest over $3 million to increase credit opportunities in majority-Black and Hispanic neighborhoods in the Bank’s lending area—including within a five-mile radius around ESSA’s Upper Darby and Lansdowne branches, which encompasses West Philadelphia and the City’s Grays Ferry section. Specifically, ESSA will invest in and for residents of those neighborhoods at least: $2.92 million in a loan subsidy fund to increase access to home mortgage, home improvement, home refinance, and home equity loans and lines of credit; $125,000 on community partnerships to provide services that increase residential mortgage credit access within a five-mile radius of the Upper Darby and Lansdowne branches; and $250,000 on advertising, outreach, consumer financial education, and credit counseling to expand the Bank’s services within that radius. ESSA also agrees: to assess and report on its fair lending program; to train staff on the Bank’s obligations under the consent order; to complete a community credit needs assessment and remedial plan; to maintain a Fair Lending Committee and a Community Development Officer; and to hire two new mortgage loan officers to serve its Upper Darby and Lansdowne branches. Announced in October 2021, the Department of Justice’s Combatting Redlining Initiative coordinates the efforts of the FDIC and other enforcement agencies to address this persistent form of discrimination. To date, under the Initiative, the Department has announced seven redlining cases and settlements, and secured $87 million in relief for communities of color that have been victims of lending discrimination. This includes last year’s $20 million settlement with Trident Mortgage Company of its alleged redlining in the Philadelphia metropolitan area. "Accessing the American dream of owning your own home is possible only when there is equality for all in their opportunities to access lending in the residential mortgage markets," said U.S. Attorney Romero. “Redlining in Greater Philadelphia has deep roots; it's led to decades of disinvestment in communities of color. We appreciate ESSA's prompt cooperation with the Department's investigation and their efforts that will aim to infuse lending resources and help build wealth in neighborhoods of color." “For too long, residents of communities of color have been unlawfully denied equal access to credit and shut out of economic opportunities,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “When banks engage in redlining, they perpetuate existing patterns of segregation and widen the racial wealth gap in our country. This resolution makes clear our commitment to holding banks and financial institutions accountable for modern-day redlining while ensuring access to fair lending in communities of color.” The matter is being handled in the Department’s Civil Rights Division by Special Counsel for Fair Lending Varda Hussain and Trial Attorney Audrey Yap, both of the Housing and Civil Enforcement Section, and in the United States Attorney’s Office by Assistant United States Attorney Gerald B. Sullivan. A copy of the complaint and information about the Department’s fair lending enforcement can be found at www.justice.gov/fairhousing . Individuals may report lending discrimination by calling the Department’s Housing Discrimination Tip Line at 1-833-591-0291, or submitting a report online . Citizens in the Eastern District of Pennsylvania who believe that they may have been victims of lending discrimination may also contact the U.S. Attorney’s Office for the Eastern District of Pennsylvania at 215-861-8200 or via email at USAPAE.CivilRights@usdoj.gov .


title: Southern California Man Pleads Guilty To Kickback Scheme To Defraud Williams Sonoma

component: USAO - California, Northern

body_text: SAN FRANCISCO – Kourosh Mirmehdi pleaded guilty in federal court today to charges related to his role in a multi-million-dollar fraudulent kickback scheme, announced United States Attorney Ismail J. Ramsey and Internal Revenue Service-Criminal Investigation (IRS-CI) Special Agent in Charge Darren Lian. The plea was accepted by the Hon. Richard Seeborg, U.S. District Judge. In his plea agreement, Mirmehdi, 63, of Irvine, Calif., admitted he conspired with two co-defendants to divert and steal millions of dollars in commercial real estate broker commission rebates. Mirmehdi worked for a global logistics company that assisted Williams Sonoma, Inc. (WSI) in securing commercial warehouse space. WSI is a home-goods retailer headquartered in San Francisco that operates brands such as Williams Sonoma, Pottery Barn, and West Elm. As an employee of the global logistics company, Mirmehdi assisted commercial real estate brokers in locating warehouses for WSI to lease. Mirmehdi also assisted in negotiating the lease terms for WSI. As part of the negotiations, WSI often was entitled to receive millions of dollars in broker rebates after entering into commercial leasing agreements. Mirmehdi admitted that, beginning around 2020, he was involved in a conspiracy to divert and steal those rebates. Mirmehdi acknowledged that the scheme involved duping commercial real estate brokers into sending rebates to a co-conspirator’s shell company, rather than to WSI. Mirmehdi and his co-conspirators—one of whom was employed by WSI—falsely represented to commercial real estate brokers that the co-conspirator’s company was connected to WSI. In fact, the company had nothing to do with WSI and was merely a shell company owned by a co-conspirator. Mirmehdi split the diverted payments with his co-conspirators. In total, the scheme to defraud garnered approximately $4.1 million, with more than $1.35 million going to Mirmehdi. Mirmehdi was indicted by a federal grand jury on April 11, 2023. He was charged with one count of wire fraud conspiracy, in violation of 18 U.S.C. § 1349; four counts of wire fraud, in violation of 18 U.S.C. § 1343; and one count of money laundering conspiracy, in violation of 18 U.S.C § 1956(h). Under the plea agreement, Mirmehdi pleaded guilty to the wire fraud conspiracy and the money laundering conspiracy counts. If Mirmehdi complies with his plea agreement, the remaining counts will be dismissed at sentencing. Mirmehdi is currently released on bond. His next appearance is November 14, 2023. Mirmehdi now faces a statutory maximum of 20 years in prison for each of the wire fraud and money laundering conspiracy counts, as well as a $250,000 fine for the wire fraud conspiracy count and a $500,000 fine for the money laundering conspiracy count. As part of any sentence the court also may order Mirmehdi to serve an additional term of supervised release and to pay restitution, if appropriate. However, any sentence will be imposed by the court only after consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. § 3553. Charges against Mirmehdi’s three co-defendants remain pending. Assistant U.S. Attorneys Ross Weingarten and Christiaan Highsmith are prosecuting the case with the assistance of Elizabeth Kim. The prosecution is the result of an investigation by the IRS-CI.


title: New Orleans Man Pleads Guilty to Federal Carjacking  and Weapons Violations

body_text: NEW ORLEANS, LOUISIANA – On May 30, 2023, TEVIS STANTON , age 22, a resident of Orleans Parish, pled guilty to two counts of a four-count indictment for carjacking and weapons violations announced U.S. Attorney Duane A. Evans. Count 1 charged STANTON with a March 22, 2022 carjacking, in the 1200 block of Fern Street in New Orleans, Louisiana. Count 2 charged STANTON with using a firearm in furtherance of a crime of violence. His sentencing is set for September 27, 2023. In Count 1 of the indictment charging STANTON with carjacking, a violation of Title 18, United States Code, Section 2119(1), he faces a maximum sentence of 15 years of imprisonment, a fine of up to $250,000.00, and up to 3 years of supervised release. In Count 2, charging STANTON with using a firearm in furtherance of a crime of violence, a violation of Title 18, United States Code, Section 924(c)(1)(A)(ii) , he faces a mandatory minimum of 7 years up to a maximum of life imprisonment, to run consecutive to any other sentence imposed, a fine of up to $250,000.00, and up to 5 years of supervised release. For each count, STANTON faces payment of a mandatory special assessment fee of $100.00. 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. U.S. Attorney Evans praised the work of the Bureau of Alcohol, Tobacco, Firearms and Explosives, as well as the New Orleans Police Department. The case is being prosecuted by Assistant United States Attorney Inga Petrovich of the Violent Crime Unit .


title: The United States and Montgomery County Based Pharmacy and Pharmacist Reach a Consent Decree Over Allegations of Illegally Dispensed Controlled Substances

component: USAO - Maryland

body_text: Greenbelt, Maryland - U.S. District Judge Peter J. Messitte approved the United States’ consent decree with Abtin Youssefi-Rashti, a Montgomery County based pharmacist, and Upton Care Pharmacy, Inc. (“Upton Care”), resolving the United States’ civil allegations that Youssefi-Rashti and Upton Care violated the Controlled Substances Act (“CSA”) in illegally dispensing controlled substances. Under the consent decree, in addition to paying a $100,000 civil monetary penalty, Youssefi-Rashti agrees to surrender his pharmacist’s license to the Maryland Board of Pharmacy and not to reapply for three years. Additionally, Upton Care agreed to voluntarily surrender its DEA registration to dispense controlled substances for cause. The consent decree was announced by United States Attorney for the District of Maryland Erek L. Barron and Special Agent in Charge Jarod A. Forget of the Drug Enforcement Administration – Washington Field Division. “Under the Controlled Substances Act, pharmacists have a responsibility to ensure the legitimacy of the prescriptions they fill,” said U.S. Attorney Erek L. Barron. “The U.S. Attorney’s Office intends to use all tools at its disposal—criminal and civil—to hold responsible those at every step in the supply chain who violate the CSA and fan the flames of the present opioid epidemic.” Special Agent in Charge Jarod A. Forget stated, “Pharmacists have a crucial role in correctly dispensing controlled substances, safeguarding patients and preventing drug diversion. It’s essential to pay attention to warning signs to prevent the opioid epidemic from getting worse. DEA is dedicated to investigating those who ignore the signs and to ensuring the community is safe.” The government alleges that between 2018 and when Upton Care closed its doors in 2022, Youssefi-Rashti and Upton Care knowingly filled fraudulent prescriptions for controlled substances, ignoring red flags indicating that the prescriptions were not legitimate. For example, the government alleges that Youssefi-Rashti dispensed controlled substances to more than 300 people that traveled more than 180 miles from their homes to Upton Care. Additionally, Youssefi-Rashti dispensed prescriptions for both opioids and stimulants—a dangerous and potentially lethal combination—to the same patient concurrently. Youssefi-Rashti also regularly filled prescriptions for controlled substances that were paid for with cash even though the patient had insurance available to pay for the patient’s prescriptions. Although the Centers for Disease Control and Prevention generally recommends that primary care clinicians should avoid daily dosages of opioids over 90 morphine milligram equivalents (“MME”), Youssefi-Rashti routinely dispensed prescriptions to patients causing their MME levels to be many times that amount—and upwards of 1800 daily MME. The government alleges that Upton Care is liable for these deficiencies. As part of the Consent Decree, Youssefi-Rashti and Upton Care are required to identify certain red flags—including when filling a prescription would cause the patient to take more than 90 daily MME; and when the patient pays in cash despite having insurance available to pay for the prescription. Before filling prescriptions bearing those red flags, the consent decree requires Youssefi-Rashti and Upton Care to document in detail any indications of abuse or diversion and the steps they took to ensure that the prescription was valid and was issued for a legitimate medical purpose, and that the prescription would not be abused or diverted for illegitimate purposes. Additionally, under the consent decree, Youssefi-Rashti and Upton Care are prohibited from filling certain prescriptions, including a combination of an opioid and a stimulant, and prescriptions for buprenorphine without naloxone without reliable documentation from the prescriber that the patient is pregnant, a nursing mother, or has had an actual adverse reaction to naloxone. Under the consent decree, if the DEA determines that Youssefi-Rashti or Upton Care have violated any provision of the consent decree or if Youssefi-Rashti or Upton Care do not implement the corrective action the DEA orders, the DEA can order Youssefi-Rashti and Upton Care to cease ordering, distributing, or dispensing controlled substances immediately. The consent decree is not an admission of liability by Youssefi-Rashti or Upton Care, nor a concession by the United States that its claims are not well founded. The Court’s approval of this consent decree should remind pharmacists and pharmacies of their corresponding responsibility to confirm the legitimacy of the prescriptions that they fill and that that the Department of Justice intends to use all tools at its disposal—both criminal and civil—to combat the controlled substances epidemic which continues to plague our country, including here in Maryland. U.S. Attorney Erek L. Barron commended the DEA Washington Division’s Office of Diversion Control and Diversion Investigator Samantha A. Merriss for their work in the investigation, along with the Montgomery County Police Department and the FBI’s Baltimore Field Office. Mr. Barron thanked Assistant United States Attorney Alan C. Lazerow, who handled the case. For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to report fraud, please visit www.justice.gov/usao-md and https://www.justice.gov/usao-md/report-fraud . # # #


title: Suburban Houstonian sentenced for having over 35,000 child pornography files

component: USAO - Texas, Southern

body_text: GALVESTON, Texas – A 33-year-old Alvin resident has been ordered to federal prison following his conviction of distribution, receipt and possession of child pornography, announced U.S. Attorney Alamdar S. Hamdani. Michael Crisp Jr. pleaded guilty March 31, 2022. Today, Judge Jeffrey V. Brown ordered Crisp to serve 210 months for distributing and receiving child pornography and 120 months for possessing it. They will run concurrently for a total 210-month-term of imprisonment. Before imposing the sentence, Judge Brown emphasized that child pornography is not a victimless crime and that he received more victim impact statements in this case than in any previous case before him. Crips was further ordered to pay a total of $136,500 in restitution to 42 identified victims and must serve 10 years on supervised release following completion of his prison term. During that time, he will have to comply with numerous requirements designed to restrict his access to children and the internet. Crisp will also be ordered to register as a sex offender. “Crisp hoarded and traded files of child rape, suffering and trauma as if they were some kind of collectors’ item - to the order of tens of thousands,” said Hamdani. “Today’s sentence underscores that consumers of child pornography can and will be held to account for how they fuel demand for more and more images of children suffering unspeakable sexual abuse.” “Cases that involve the sexual exploitation of children are some of the toughest cases our agents work,” said Special Agent in Charge James Smith of the FBI Houston Field Office. “Crisp took pleasure from thousands of images and videos depicting the sadistic sexual exploitation, torture and abuse of children, including infants and toddlers. By choosing to receive and disseminate such graphic imagery, Crisp repeatedly re-victimized the victims. While today’s sentence removes one sexual predator from children’s lives, the FBI’s work continues as there are many more like Crisp still out there.” Crisp first came to the attention of law enforcement after he imported a nine-minute video into his cloud storage account of an adult woman sexually abusing a toddler. During the investigation, authorities found over 29,000 images and 6,500 videos of child pornography on multiple devices. The images depicted young children in bondage and included children under the age of five. In addition to possessing child pornography, Crisp utilized messaging applications to trade child sexual abuse material with others. Previously released on bond, Crisp was taken into custody following the sentencing today where he will remain pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future. The FBI conducted the investigation with the assistance of the Pearland Police Department. Assistant U.S. Attorney Stephanie Bauman is prosecuting the case, which was brought as part of Project Safe Childhood (PSC), a nationwide initiative the Department of Justice (DOJ) launched in May 2006 to combat the growing epidemic of child sexual exploitation and abuse. U.S. Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section leads PSC, which marshals federal, state and local resources to locate, apprehend and prosecute individuals who sexually exploit children and identifies and rescues victims. For more information about PSC, please visit DOJ’s PSC page. For more information about PSC, please visit DOJ’s PSC page . For more information about internet safety education, please visit the resources tab on that page .


title: New York Sex Offender Sentenced to 60 Years For Committing Multiple Offenses Against North Carolina Minor

component: USAO - North Carolina, Middle

body_text: GREENSBORO – A New York man was sentenced today to 720 months in prison after pleading guilty to multiple offenses committed in North Carolina announced United States Attorney Sandra J. Hairston of the Middle District of North Carolina (MDNC). According to court records, JOSHUA TIMOTHY MILLER, age 33, of Rochester, New York, traveled to North Carolina on two occasions, first in December 2021 and again in February 2022 and engaged in sexually activity with a fifteen-year-old minor. Miller also recorded videos of the minor engaged in sexually explicit conduct while communicating via video chat. At the time of these offenses, MILLER was a registered sex offender in New York. In 2007, in Monroe County, New York, MILLER was convicted of three counts of first-degree sexual abuse: sexual contact with an individual less than eleven years old and four counts of first-degree attempted sexual act. For these crimes, Miller was sentenced to seven years in prison followed by five years of post-release supervision. Today, MILLER was sentenced to a 720-month term of imprisonment by the Honorable Catherine C. Eagles, United States District Judge in the United States District Court for the MDNC. In addition to prison time, MILLER was ordered to serve a lifetime term of supervised release and to pay special assessments totaling $1,500.00. He pleaded guilty to two Informations on December 19, 2022. In case number 1:22CR396-1, he pleaded guilty to one violation of Title 18, United States Code Section 2252A(a)(5)(B), possession of child pornography. In case number 1:22CR390-1, he pleaded guilty to two violations of Title 18, United States Code Section 2423(b), traveling to meet a minor for sexual activity and two accompanying violations of Title 18, United States Code Section 2260A, committing a felony offense involving a minor while required to register as a sex offender. The case was investigated by the Federal Bureau of Investigation with the assistance of a local law enforcement agency and was prosecuted by Assistant United States Attorneys Lindsey Freeman and Eric Iverson. This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse. Led by United States Attorneys’ Offices and the Criminal Division's Child Exploitation and Obscenity Section (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 www.projectsafechildhood.gov . ###


title: Phenix City Man Sentenced to 20 Years in Federal Prison Following Federal Gun and Drug Convictions

component: USAO - Alabama, Middle

body_text: Montgomery, Alabama – Today, United States Attorney Sandra J. Stewart announced that Dedrick Farold Smith, 40, from Phenix City, Alabama, received a sentence of 240 months in prison after pleading guilty to federal gun and drug charges. According to Smith’s plea agreement and other court records, on May 25, 2021, the Dothan Police Department received information that Smith, who had outstanding arrest warrants, was staying at a hotel in town and had with him methamphetamine and a firearm. When officers attempted to apprehend Smith, he tried to flee by ramming a law enforcement vehicle and leading them on a short high-speed chase. Eventually, Smith crashed his vehicle and officers took him into custody. During the arrest, investigators located a black bag containing plastic baggies of methamphetamine and observed an empty holster on Smith’s left side. On the driver's side of Smith’s vehicle, law enforcement found two handguns. One of the guns had been reported stolen. The methamphetamine was 89 percent pure. Smith has prior felony convictions and is prohibited from possessing a firearm. On November 29, 2022, Smith pleaded guilty to possession of methamphetamine with intent to distribute, possession of a firearm in furtherance of a drug trafficking crime and being a felon in possession of a firearm. Smith’s sentencing occurred on May 25, 2023. The Dothan Police Department and the Drug Enforcement Administration investigated this case, which Assistant United States Attorney John J. Geer, III prosecuted.


title: Goldsboro “Blood” Gang Member Who Shot at Vehicle With Stolen Gun Sentenced to More than 8 Years in Prison

body_text: RALEIGH, N.C. – Sir Calvin Johnson, 26, of Goldsboro, was sentenced to 102 months in prison for possession of a firearm by a convicted felon. He pled guilty to the charge on February 7, 2023. Johnson was on federal supervised release for possession of a firearm by a felon at the time of this offense. “Senseless gun violence in Eastern North Carolina is claiming too many young lives,” said U.S. Attorney Michael Easley. “We are partnering with ATF and local law enforcement to get illegal guns off the streets and putting those who drive violence behind bars. This Blood gang member stole a gun and recklessly fired at the victim’s car before being arrested. The Goldsboro Police Department should be credited for their swift action in this case to keep the community safe, and their commitment to our ongoing partnership.” According to court documents and other information presented in court, on July 23, 2022, Johnson stole a 9mm handgun from a friend and the theft was captured on camera. When the friend found that the gun had been stolen, they left the residence looking for Johnson. The friend found Johnson and confronted him about the gun. Johnson fired the gun and hit the friend’s car. Law enforcement responded to the shots fired call. They found Johnson in the area, and he threw the gun as they approached. Johnson was arrested and the firearm was recovered. According to law enforcement, Johnson was a Blood gang member. Johnson has prior state conviction for firearm by a felon (2017) and a federal conviction for firearm by a felon (2019). Michael Easley, U.S. Attorney for the Eastern District of North Carolina made the announcement after sentencing by U.S. District Judge Terrence W. Boyle. The Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and the Goldsboro Police Departments investigated the case and Assistant U.S. Attorney Timothy Severo prosecuted the case. Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 5:22-CR-00218-BO. ###


title: Richfield Felon Pleads Guilty to Possessing a Glock with Full Auto Switch

component: USAO - Minnesota

body_text: ST. PAUL, Minn. – A Richfield man has pleaded guilty to illegally possessing a firearm with an attached “switch,” making it a fully automatic weapon, announced U.S. Attorney Andrew M. Luger. According to court documents, on October 14, 2022, law enforcement attempted to arrest Vatthana Andy Sengsouriya, 28, on an outstanding warrant. When officers tried to take Sengsouriya into custody in the parking lot of the Eden Prairie Home Depot, he fled in his vehicle. Officers pursued Sengsouriya and were able to stop his vehicle with a Pursuit Intervention Technique (PIT) maneuver, but Sengsouriya fled his vehicle on foot and ran into the woods. After a brief foot chase, law enforcement apprehended Sengsouriya and took him into custody. Officers searched a cross-body bag Sengsouriya was wearing and found 115 grams of cocaine, some of which was packaged into smaller bags meant for distribution, and a Glock Model 21 .45 caliber pistol with a switch attached to it, which transformed the handgun into a fully automatic weapon. Sengsouriya pleaded guilty yesterday in U.S. District Court before Judge Kate M. Menendez to one count of possession of a firearm as a felon. A sentencing hearing will be scheduled at a later date. This case is the result of an investigation conducted by the DEA, the Hennepin County Sheriff’s Office, the Eden Prairie Police Department, and the Southwest Hennepin Drug Task Force. Assistant U.S. Attorneys Albania Concepcion and Lauren O. Roso are prosecuting the case.


title: Corvallis Sex Offender Sentenced to 15 Years in Federal Prison for Attempted Online Enticement of a Child

component: USAO - Oregon

body_text: PORTLAND, Ore.—On May 30, 2023, a previously convicted sex offender residing in Corvallis, Oregon was sentenced to federal prison for attempting to entice a minor online and being a convicted felon in possession of a firearm. Thomas Anthony Lanier, 24, a resident of Corvallis, was sentenced to 15 years in federal prison and a life term of supervised release. According to court documents, in November 2019, Lanier, a convicted sex offender since he was 18, was charged in Sunnyside, Washington with second degree kidnapping and domestic violence after he tried to kidnap the one-year-old child of a woman he met online. Lanier is alleged to have grabbed the infant while the child’s mother was in the shower. When the woman ran outside and yelled for help, Lanier wrapped his arm around her neck and threatened to kill her. Lanier was later released pending trial in Yakima County Superior Court. In June 2020, Lanier met a Keizer, Oregon, woman online. Lanier pressured the woman to solicit babysitting jobs on Craigslist so he could have access to children. Lanier later expressed his desire to have sex with the woman’s 12-year-old cousin who he had seen in a photo. After these exchanges, the woman reported Lanier to law enforcement. On July 9, 2020, at the direction of a police detective from the Salem Police Department, the woman gave Lanier the address of a house in Salem, Oregon where she claimed her minor cousin lived. The house was, in fact, vacant and owned by the City of Salem. Lanier planned to meet the woman and her cousin at the residence, purchase alcohol with them, and engage in sexual activity with both of them. When Lanier arrived at the house, he was met by law enforcement and arrested. On July 8, 2021, a federal grand jury in Portland returned a four-count indictment charging Lanier with attempting to entice a minor online, accessing with intent to view child pornography, illegally possessing a firearm as a convicted felon, and committing a felony offense involving a minor as a registered sex offender. On January 5, 2023, Lanier pleaded guilty to attempting to entice a minor online and illegally possessing a firearm as a convicted felon. This case was investigated by the FBI with assistance from the Keizer and Salem Police Departments. It was prosecuted by Gary Y. Sussman, Assistant U.S. Attorney for the District of Oregon. Anyone who has information about the physical or online exploitation of children are encouraged to call the FBI at 1-800-CALL-FBI (1-800-225-5324) or submit a tip online at tips.fbi.gov . This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Justice Department to combat the growing epidemic of child sexual exploitation and abuse. For more information about Project Safe Childhood, please visit www.justice.gov/psc .


title: Jury finds Maryland man guilty of sexually exploiting Ohio teens

component: USAO - Ohio, Southern

body_text: COLUMBUS, Ohio – A federal jury has convicted a 72-year-old Annapolis, Maryland, man of numerous child exploitation and pornography crimes. The jury announced their guilty verdicts on all eight counts yesterday after deliberating for approximately 45 minutes following the trial against Bernhard Jakits. The trial began on May 22 before U.S. District Judge Edmund A. Sargus, Jr. According to court documents and trial testimony, in January 2019, the Belmont County Sheriff’s Office received information relating to two potential exploitation victims. Forensic examination of cell phones and other electronic devices revealed that Jakits had communicated via text message with two teenaged victims and coerced them to send nude photographs of themselves. In December 2018 and January 2019, Jakits sexually exploited a 15-year-old female to create child pornography. Jakits also attempted to exploit a 13-year-old female in January 2019. The defendant coerced the two teenaged victims and used the chat app TextNow to obtain pornographic images of the minors in exchange for money. Jakits sought to video chat with the victims and offered them thousands of dollars, but the minors declined. Jakits met the minor victims based on his relationship with their mother, during which he paid the mother to engage in sex acts via video chats. Jakits owned homes in both Maryland and California. He traveled extensively around the world on his yacht after running and selling a yacht brokerage business. The defendant was indicted in a superseding indictment by a federal grand jury in January 2023. Jakits faces a minimum prison sentence of 15 years and up to life in prison. Congress sets the minimum and maximum statutory sentences. Sentencing of the defendant will be determined by the Court based on the advisory sentencing guidelines and other statutory factors. Kenneth L. Parker, United States Attorney for the Southern District of Ohio; J. William Rivers, Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Division; and Belmont County Sheriff David M. Lucas announced the verdict. Senior Litigation Counsel Heather A. Hill and Assistant United States Attorneys Emily K. Czerniejewski and Kevin A. Koller are representing the United States in this case. # # #


title: Washington Parish Man Sentenced for Federal Gun and Drug Charges

body_text: NEW ORLEANS, LOUISIANA – JONATHAN LEWIS, age 39, a resident of Bogalusa, Louisiana, was sentenced on May 25, 2023, to serve three concurrent sentences of 60 months in federal prison followed by three years of supervised release after pleading guilty to two counts of distribution of cocaine (Title 21, United States Code, Sections 841(a)(1) and 841(b)(1)(C)) and one count of being a felon in possession of a firearm (Title 18, United States Code, Sections 922(g)(1) and 924(a)(8)), announced U.S. Attorney Duane A. Evans. LEWIS was also ordered to pay a mandatory special assessment fee of $100.00 per count. According to court records, law enforcement officials made two controlled and video recorded purchases of drugs from LEWIS . When they arrested LEWIS , he possessed a firearm that was contained in a satchel. A search of social media sites revealed pictures of LEWIS with the same satchel and firearm dancing in the background of a rap video. 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. This case was investigated by the United States Bureau of Alcohol, Tobacco, Firearms, and Explosives, the Washington Parish Sheriff’s Office, and the Bogalusa Police Department. The prosecution was handled by Assistant United States Attorney Maurice E. Landrieu, Jr. of the Narcotics Unit.


title: Smuggler sentenced after leaving one dead in brush

body_text: CORPUS CHRISTI – A 26-year-old Mexican citizen illegally in the United States has been ordered to federal prison for transporting illegal aliens, announced U.S. Attorney Alamdar S. Hamdani. Jose Carols Arroyo-Secundino pleaded guilty Dec. 28, 2022. Today, U.S. District Judge Nelva Gonzales Ramos ordered Arroyo-Secundino to serve 48 months in federal prison. Not a U.S. citizen, Arroyo-Secundino is expected to face removal proceedings following his imprisonment. At the hearing, the court heard additional evidence regarding the reckless nature of the offense that described the hazardous nature of transporting aliens through the brush in South Texas. In handing down the sentence, the court noted Arroyo-Secundino’s lack of criminal history. On Sept. 11, 2022, law enforcement apprehended Arroyo-Secundino after observing him guide approximately 13 illegal aliens through the brush. After his arrest, a subsequent search of his cell phone led to the discovery of videos depicting a person dying. The videos linked Arroyo-Secundino to a deceased person found in the brush on July 16, 2022. The footage confirmed Arroyo-Secundino guided the group and directed others to leave the victim in the brush. The investigation also revealed the number associated with the cell phone was used to contact the victim’s brother to demand $2,000 in exchange for the GPS coordinates of the body. The information was turned over to law enforcement who ultimately located the deceased person. Arroyo will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future. Border Patrol conducted the investigation with the assistance of Customs and Border Protection. Assistant U.S. Attorney Amanda L. Gould prosecuted the case.


title: Arizona Man Sentenced to 54 Months in Prison

component: USAO - Indiana, Northern

body_text: HAMMOND- Rico Prunty, 41 years old, of Sierra Vista, Arizona, was sentenced by United States District Court Senior Judge James T. Moody after pleading guilty to aggravated identity theft and a criminal violation of the Health Insurance Portability and Accountability Act (HIPAA), announced United States Attorney Clifford D. Johnson. Prunty was sentenced to 54 months in prison followed by 2 years of supervised release and was ordered to pay $132,521.98 in restitution to the victims of the offense. According to documents in the case, between July 2014 and May 2017, Prunty, an employee at an Arizona medical facility, unlawfully accessed medical intake forms containing patients’ individually identifiable health information ( e.g. , names, dates of birth, addresses, employer information, social security numbers, diagnoses, and medical information) and provided that information to his co-conspirators in northwest Indiana. His co-conspirators used the information to open new credit card accounts and access existing credit card accounts without the knowledge, permission, or authority of these patients. Over the course of the scheme, Prunty illegally accessed the individually identifiable health information of almost 500 patients, resulting in a total loss of $132,521.98. Co-conspirators Vincent Prunty, Temika Coleman, and Gemico Childress were previously sentenced for their roles in the scheme to terms of imprisonment of 154 months, 121 months, and 134 months respectively. This case was investigated by the United States Postal Inspection Service. The case was prosecuted by Assistant United States Attorney Steven J. Lupa, and former Assistant United States Attorney Toi Denise Houston.


title: Former West Haven Employee and State Representative Sentenced to Prison for Stealing COVID Relief and Other City Funds

component: USAO - Connecticut

body_text: Vanessa Roberts Avery, United States Attorney for the District of Connecticut, announced that MICHAEL DiMASSA, 32, of West Haven, was sentenced today by U.S. District Judge Omar A. Williams in Hartford to 27 months of imprisonment, followed five years of supervised release, for his involvement in schemes that resulted in the theft of more than $1.2 million dollars in COVID relief funds and other funds from the City of West Haven. Judge Williams also ordered DiMassa to perform 100 hours of community service while on supervised release. According to court documents and statements made in court, DiMassa was a Connecticut State Representative who was also employed by the City of West Haven, most recently serving as the Administrative Assistant to the City Council. In April 2020, the State of Connecticut was allocated money by the U.S. Department of the Treasury through the Coronavirus Relief Fund (“CRF”), which was established by the Coronavirus Aid, Relief, and Economic Security Act (“CARES Act”) for the purpose of helping local governments pay costs incurred in responding to the COVID-19 pandemic. From July 2020 through September 2021, the City of West Haven received approximately $1,150,257 in financial assistance from this fund. DiMassa, who was authorized to approve the designated relief funds for the reimbursement of COVID-related expenditures incurred by West Haven, conspired with others to steal these funds and other West Haven funds through the submission of fraudulent invoices, and subsequent payment, for COVID relief goods and services that were never provided. In one scheme, DiMassa conspired with John Bernardo, who was employed by the City of West Haven as a Housing Specialist in the office of Community Development Administration. In January 2021, DiMassa and Bernardo formed Compass Investment Group, LLC. Beginning in February 2021, Compass Investment Group LLC fraudulently billed the City of West Haven and its “COVID-19 Grant Department” for consulting services purportedly provided to the West Haven Health Department that were not performed. From February 2021 through September 2021, the City of West Haven paid Compass Investment Group a total of $636,783.70. DiMassa made several large cash withdrawals from the Compass Investment Group LLC bank account, some of which were made shortly before or after he made a large cash “buy-in” of gaming chips at the Mohegan Sun Casino. DiMassa also conspired with his now wife, Lauren DiMassa, formerly known as Lauren Knox, through the submission of numerous fraudulent invoices to West Haven for services related to a Youth Violence Prevention Program and for Youth Violence COVID-19 Associated Expenses. These invoices listed charges for in-home counseling, cleaning supplies, special needs hourly service, wi-fi assistance for low/moderate income families, counseling services, license fees, a fall youth clinic, meals, support group supplies, equipment rental, and youth clinic support group. West Haven made at least 16 payments totaling approximately $147,776.10 to Lauren DiMassa, who never provided any services to the City of West Haven. In a third scheme, DiMassa conspired with John Trasacco, of West Haven, through the submission of fraudulent invoices from L & H Company and JIL Sanitation Services, two companies controlled by Trasacco, to West Haven for goods and services, including thousands of units of Personal Protective Equipment (PPE), HVAC maintenance at multiple municipal locations, COVID supplies for the Board of Education, and cleaning services for various municipal and school buildings, including one school building that had been vacant and abandoned for several years. Trasacco’s companies received approximately $431,982 through this scheme. Judge Williams ordered Michael DiMassa to pay $856,844.45 in restitution. Judge Williams noted the sentence takes into account extensive testimony DiMassa provided during Trasacco’s trial. DiMassa was arrested on October 20, 2021. On November 1, 2022, he pleaded guilty to three counts of conspiracy to commit wire fraud. DiMassa, who is released on a $250,000 bond, is required to report to prison on July 31. On June 14, 2022, Bernardo pleaded guilty to one count of conspiracy to commit wire fraud. On March 22, 2023, he was sentenced to 13 months of imprisonment and ordered to pay $58,927.25 in restitution. On July 14, 2022, Lauren DiMassa pleaded guilty to one count of conspiracy to commit wire fraud. On March 23, 2023, she was sentenced to six months of imprisonment and ordered to pay $147,776 in restitution. On December 2, 2022, a jury found Trasacco guilty of one count of conspiracy to commit wire fraud and one count of wire fraud. On April 3, 2023, he was sentenced to 96 months of imprisonment and ordered to pay $143,994 in restitution. This matter was investigated by the Federal Bureau of Investigation and the U.S. Department of Housing and Urban Development – Office of Inspector General for Investigations. The case was prosecuted by Assistant U.S. Attorneys Ray Miller and David Sheldon. Individuals with information about allegations of attempted fraud involving COVID-19 are encouraged to report it by calling the Department of Justice’s National Center for Disaster Fraud Hotline at 866-720-5721, or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form .