title: Grand Jury Indictment Unsealed Against Milwaukee Man Charged with Sex Trafficking a Minor

component: USAO - Wisconsin, Western

body_text: MADISON, WIS. – Timothy M. O’Shea, United States Attorney for the Western District of Wisconsin, announced today the unsealing of an indictment that charges Stelio Kalkounos, 51, Milwaukee, Wisconsin, with sex trafficking of a minor and producing child pornography. The indictment was returned by a federal grand jury sitting in Madison, Wisconsin, on May 15, 2024. The indictment was unsealed today following Kalkounos’ arrest. The indictment alleges that from July 16, 2023, to March 1, 2024, Kalkounos recruited, enticed, and obtained a minor, knowing she would be caused to engage in commercial sex acts. The indictment further alleges that on November 20, 2023, Kalkounos used a minor to engage in sexually explicit conduct for the purpose of producing a visual depiction of such conduct. Kalkounos was arrested yesterday at a hotel in Hollywood, Florida, and made his initial appearance in U.S. District Court for the Southern District of Florida. He is currently being held at the Broward County Jail until he is transported to U.S. District Court in Madison for further proceedings. If convicted, Kalkounos faces a minimum penalty of 10 years and a maximum of life in prison on the sex trafficking charge. He faces a minimum of 25 years and a maximum of 50 years in prison on the production charge. The FBI is asking anyone with information about Stelio Kalkounos to contact the FBI in Milwaukee at 414-276-4684, option 7. If you or someone you know is a victim of human trafficking, please call the National Human Trafficking Hotline at 1-888-373-7888. The charges against Kalkounos were the result of an investigation by the FBI Madison Field Office. FBI Tampa and Miami Field Offices and the Seminole Police Department in Florida provided assistance in arresting Kalkounos. Assistant U.S. Attorney Taylor Kraus is handling the prosecution. You are advised that a charge is merely an accusation and a person named as defendant in an indictment is presumed innocent unless and until proven guilty.


title: Departments of Homeland Security and Justice to Announce “Recent Arrivals” Docket Process for More Efficient Immigration Hearings

component: Office of the Attorney General

body_text: Secretary of Homeland Security Alejandro N. Mayorkas and Attorney General Merrick B. Garland today announced a new Recent Arrivals (RA) Docket process to more expeditiously resolve immigration cases of certain noncitizen single adults who attempt to cross irregularly between ports of entry at the Southwest border. This effort will allow Department of Homeland Security (DHS) and Justice Department to more swiftly impose consequences, including removal, on those without a legal basis to remain in the United States and to more swiftly grant immigration relief or protections to noncitizens with valid claims. The Justice Department also submitted to the Federal Register a final rule to promote efficient case and docket management in immigration proceedings . “Today, we are instituting with the Department of Justice a process to accelerate asylum proceedings so that individuals who do not qualify for relief can be removed more quickly and those who do qualify can achieve protection sooner,” said Secretary of Homeland Security Mayorkas. “This administrative step is no substitute for the sweeping and much-needed changes that the bipartisan Senate bill would deliver, but in the absence of Congressional action we will do what we can to most effectively enforce the law and discourage irregular migration.” “The Justice Department’s immigration courts are committed to the just and efficient enforcement of the immigration laws,” said Attorney General Garland. “These measures will advance that mission by helping to ensure that immigration cases are adjudicated promptly and fairly.” In our current, overwhelmed immigration system, noncitizens arriving at the U.S. Southwest border often wait years before receiving a final decision in an immigration court proceeding. Insufficient resources, including insufficient immigration judges and attorneys, has impeded the swift resolution of claims, and extended the length of the immigration court process. Under the RA Docket process, DHS will place certain noncitizen single adults on the RA Docket, and the Executive Office for Immigration Review adjudicators will prioritize the adjudication of these cases. The RA Docket will operate in five cities: Atlanta, Boston, Chicago, Los Angeles, and New York City. Immigration judges will aim to render final decisions within 180 days, though the time to decision in any particular case will remain subject to case-specific circumstances and due process guarantees, including allowing time for noncitizens to seek representation where needed. In order to support these efforts, today the Justice Department also submitted to the Federal Register a final rule titled, Efficient Case and Docket Management in Immigration Proceedings. The rule codifies procedures and standards for immigration adjudicators across the country to manage their dockets and resolve cases efficiently. The rule allows adjudicators to prioritize cases that are ready to be resolved promptly, enabling them to address their caseloads more efficiently and quickly. This rule is an important step the Justice Department is taking to promote the efficient, expeditious, and fair adjudication of immigration cases, allocate limited resources more efficiently, and protect due process for parties in immigration court. Lastly, the Departments continue to call on Congress to take up and pass the Senate’s bipartisan border security legislation, which if passed would provide DHS and the Justice Department with additional authorities and resources that are critically needed. These resources include more immigration judges, additional asylum officers and support staff, and needed authorities to more quickly adjudicate asylum cases of those arriving at our border, including by granting protection to those with valid claims, and removing those without a lawful basis to remain. Congress should take up and pass this legislation to fix our broken immigration system.


title: Former Central Georgia Teacher Charged with Distributing, Possessing Child Sexual Abuse Material

component: Federal Bureau of Investigation (FBI)

body_text: MACON, Ga. – A former teacher and volunteer leader of a church youth ministry had his initial appearance in federal court this afternoon after a grand jury returned a four-count indictment this week charging him with allegedly distributing and possessing child sexual abuse material (CSAM). Christian Baumgarth, 27, of Atlanta and formerly of Macon, is charged with two counts of distribution of child pornography and two counts of possession of child pornography. If convicted, Baumgarth faces a mandatory minimum of five years in prison up to a maximum sentence of 20 years in prison for each count of distribution of child pornography and a maximum sentence of 20 years in prison for each count of possession of child pornography. In addition, Baumgarth faces a maximum $250,000 fine per count and up to a lifetime of supervised release. The federal grand jury returned the indictment on May 14. The indictment was unsealed today. Baumgarth had his initial appearance this afternoon before U.S. Magistrate Judge Charles H. Weigle. The indictment alleges that Baumgarth distributed digital video files on July 23, 2023, depicting a minor engaging in sexually explicit conduct. The indictment also alleges that Baumgarth possessed child pornography of a prepubescent minor and a minor under the age of 12 years old on his cellular devices on Aug. 1, 2023. Baumgarth was a teacher and coach at First Presbyterian Day (FPD) School in Macon from 2018-2023. Additionally, he was a volunteer small group leader in the student ministry at Northway Church in Macon from 2019-2023. Parents and guardians of children who may have encountered Baumgarth and have concerns related to this investigation can contact Homeland Security Investigations (HSI) at 1-866-347-2423. The case is being investigated by Homeland Security Investigations (HSI) with assistance from the FBI. Deputy Criminal Chief Will Keyes is prosecuting the case for the Government. An indictment is only an allegation of criminal conduct, and all defendants are presumed innocent until and unless proven guilty in a court of law beyond a reasonable doubt.


title: Former Shreveport Police Officer Sentenced on Wire Fraud Charge

body_text: SHREVEPORT, La. – Former Shreveport Police Department officer Jeffrey L. Peters , 55, of Shreveport, was sentenced today for one count of wire fraud, announced United States Attorney Brandon B. Brown. United States District Judge S. Maurice Hicks, Jr. sentenced Peters to 3 years of supervised probation and he was ordered to pay restitution in the amount of $13,084.74. Peters pleaded guilty on January 12, 2024 to the charge which was the result of his actions while employed as a Lieutenant with the Shreveport Police Department (SPD). While working at SPD, Peters was allowed to work overtime on the Community-Based Crime Reduction (CBCR) Program, which is a grant program administered by the U.S. Department of Justice (DOJ) that pays officers at 1.5 times their normal hourly rate for overtime worked. Between January 2020 and January 2021, Peters and a fellow supervisor, James Cisco , devised a scheme to defraud the SPD by claiming overtime for hours they had not worked. Peters and Cisco would each fill out and sign a Report of Overtime which stated they worked a specific time and date on the CBCR grant. Peters, in his role as Cisco’s supervisor, would certify that Cisco had actually worked the dates and times listed on the Report of Overtime. Peters would also create and submit an SPD activity report which would falsely state that he and Cisco were doing patrols in District 3, an area around SPD Headquarters. On these reports, Peters and Cisco were the only officers listed. When in truth and in fact, neither Peters nor Cisco were working overtime for SPD. Peters submitted false Reports of Overtime and Activity Reports on over 50 dates falsely claiming he worked overtime that he had not. He was paid for hours he did not work in is bi-weekly paychecks which were deposited into his own personal account. Peters received a total of $13,084.74 in overtime that he was not entitled to receive. Cisco was also charged in connection with this case and was sentenced to one year of supervised probation and ordered to pay restitution in the amount of $1,681.29 and a fine in the amount of $2,500. The case was investigated by FBI, DOJ-Office of Inspector General, and Internal Revenue Service-Criminal Investigation, and prosecuted by Assistant United States Attorney Seth D. Reeg. # # #


title: Cape Cod Hospital to Pay $24.3 Million to Resolve False Claims Act Allegations Concerning Its Failure to Comply with Medicare Rules for Cardiac Procedures

component: Civil Division

body_text: Cape Cod Hospital, based in Hyannis, Massachusetts, has agreed to pay $24.3 million to resolve False Claims Act allegations that it knowingly submitted claims to Medicare for transcatheter aortic valve replacement (TAVR) procedures that failed to comply with Medicare rules specifying the way in which hospitals were required to evaluate patient suitability for the procedures. Beginning in 2015, Cape Cod Hospital began offering TAVR procedures for patients suffering from aortic stenosis, a serious heart condition that restricts blood flow from the heart to rest of the body. A TAVR procedure involves replacing a patient’s damaged heart valve with an artificial one. Medicare rules at the time required that, prior to performing a TAVR procedure, hospitals engage specified clinical personnel to conduct an independent examination of prospective patients to evaluate their suitability for TAVR, document the rationale for their clinical judgment and make the rationale available to the medical team performing the TAVR procedure. The settlement resolves allegations that from Nov. 1, 2015, through Dec. 31, 2022, Cape Cod Hospital knowingly submitted hundreds of claims to Medicare for TAVR procedures that did not comply with the applicable Medicare requirements. In some instances, not enough physicians examined a patient’s suitability for the procedure, while in other instances the physicians failed to document and share their clinical judgment with the medical team responsible for the TAVR procedure. “Hospitals that participate in the Medicare program must abide by applicable coverage and reimbursement rules,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “The department will hold healthcare providers accountable when they knowingly fail to comply with Medicare reimbursement requirements.” “Medicare permitted coverage for this newly developed cardiac procedure only under certain conditions to ensure patient safety. Cape Cod Hospital ignored those rules and received millions of dollars from Medicare to which it was not entitled. This conduct persisted for years despite internal warnings,” said Acting U.S. Attorney Joshua S. Levy for the District of Massachusetts. “This investigation and settlement ensures that patient safety is prioritized over a hospital’s bottom line.” In connection with the settlement, Cape Cod Hospital has entered into a five-year corporate integrity agreement with the Department of Health and Human Services, Office of Inspector General (HHS-OIG), which provides for an annual review of its paid Medicare claims by an Independent Review Organization. “Health care providers are expected to follow Medicare rules and bill properly,” said Special Agent in Charge Roberto Coviello of HHS-OIG. “We are committed to pursuing allegations of False Claims Act violations as we work to protect the integrity of the taxpayer-funded Medicare program, and we encourage the public to come forward with information about such conduct.” Cape Cod Hospital received credit under the department’s guidelines for taking disclosure, cooperation and remediation into account in False Claims Act cases. Among other actions, Cape Cod Hospital voluntarily produced materials, identified the relevant medical records, admitted that it failed to adhere to the applicable Medicare requirements and implemented appropriate remedial measures. The claims resolved by the resolution announced today include claims that were brought under the qui tam or whistleblower provisions of the False Claims Act by Richard Zelman, a physician formerly employed by Cape Cod Hospital. Under the Act, a private party can file an action on behalf of the United States and receive a portion of any recovery. The qui tam case is captioned United States ex rel. Zelman v. Cape Cod Hospital , No. 1:22-cv-11204 (D. Mass.). As part of today’s resolution, Dr. Zelman will receive approximately $4.36 million. The resolution obtained in this matter was the result of a coordinated effort between the Justice Department’s Civil Division, Commercial Litigation Branch, Fraud Section and the U.S. Attorney’s Office for the District of Massachusetts, with assistance from HHS-OIG and the FBI. The investigation and resolution of this matter illustrates the government’s emphasis on combating health care fraud. One of the most powerful tools in this effort is the False Claims Act. Tips and complaints from all sources about potential fraud, waste, abuse and mismanagement can be reported to HHS at 800-HHS-TIPS (800-447-8477). Trial Attorney Kimya Saied of the Fraud Section and Assistant U.S. Attorney Andrew A. Caffrey, III for the District of Massachusetts handled the matter. Except for the facts admitted by Cape Cod Hospital, the claims in the complaint are allegations only, and there has been no determination of liability. Settlement


title: Former FCI Beckley Correctional Officer Sentenced to Prison for Contraband Crime

component: Office of the Inspector General

body_text: BECKLEY, W.Va. – Cody Adam Bays, 32, of Beaver, was sentenced today to one year and six months in prison, to be followed by three years of supervised release, for providing contraband to an in inmate of a federal prison. According to court documents and statements made in court, between November 7, 2022, and February 14, 2023, Bays was a correctional officer at Federal Correctional Institution (FCI) Beckley when he provided contraband items to FCI Beckley inmates. Bays admitted that he provided various controlled substances including suboxone, marijuana, synthetic marijuana and tobacco. Bays also attempted to smuggle fentanyl into FCI Beckley but sampled the substance, which led to a serious overdose. Bays admitted that he profited from this illicit activity in the amount of $20,800. Bays received approximately $5,000 for the suboxone, $4,000 for the fentanyl substance, $3,500 for the synthetic marijuana and $2,000 for the marijuana. Bays was paid in cash or through financial mobile applications. By accepting these illicit payments, Bays became part of a multi-state drug trafficking criminal enterprise that engaged in a complex system of electronic money transfers to facilitate the sale of illegal drugs in the federal prison system. United States Attorney Will Thompson made the announcement and commended the investigative work of the U.S. Department of Justice-Office of Inspector General (DOJ-OIG). United States District Judge Frank W. Volk imposed the sentence. Assistant United States Attorney Brian D. Parsons prosecuted the case. A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 5:23-cr-165. ###


title: U.S. Department of Justice Honors Two Federal Agents from Arizona During Police Week

component: USAO - Arizona

number: 2024-065_Police Week

body_text: U.S. Attorney’s Office honors fallen heroes Internal Revenue Service Special Agent Patrick Bauer and United States Border Patrol Agent Freddy Ortiz PHOENIX, Ariz.— In honor of National Police Week, the Department of Justice will recognize the service and sacrifice of federal, state, local, and Tribal law enforcement. The week will be observed Saturday, May 11 through Friday, May 17, 2024. “As our country recognizes National Police Week, the Justice Department joins families and communities in remembering the members of the law enforcement community who made the ultimate sacrifice protecting the public,” said Attorney General Merrick Garland. “Policing is difficult and dangerous, yet time and time again, law enforcement officers answer the call, showing up for their communities when they are needed the most. Their devotion to duty is matched only by that of their loved ones who make daily sacrifices to support them. The Justice Department is committed to doing everything in our power to help provide our law enforcement partners with the resources they need to carry out their noble work on behalf of the public.” “We need to carry forward the memories and legacies of our fallen colleagues,” said Gary Restaino, the United States Attorney for the District of Arizona. “Border Patrol Agent Ortiz, a Navy veteran, was vigilant in protecting our border at the Douglas Station. Special Agent Bauer, a veteran of the Arizona Air National Guard, worked to dismantle command and control of criminal organizations throughout his career with Internal Revenue Service, Criminal Investigations. Their names will shine eternally, etched in stone on the National Law Enforcement Officers Memorial in Washington, and also here in Phoenix at the State Capitol.” In 1962, President Kennedy issued the first proclamation for Peace Officers Memorial Day and National Police Week to remember and honor law enforcement officers for their service and sacrifices. Peace Officers Memorial Day, which falls on May 15 every year, specifically honors law enforcement officers killed or disabled in the line of duty. Each year, during National Police Week, our nation celebrates the contributions of law enforcement from around the country, recognizing their hard work, dedication, loyalty, and commitment to keeping our communities safe. On Monday, May 13, the names of more than 280 officers killed in the line of duty in 2024 who have been added to the wall at the National Law Enforcement Officers Memorial were read during a candlelight vigil. To view a recording of the livestream of this event, visit https://nleomf.org/memorial/programs/national-police-week-2024/candlelight-vigil/ . To learn more about National Police Week and the virtual candlelight vigil, please visit www.policeweek.org . RELEASE NUMBER: 2024-065_Police Week # # # For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/ Follow the U.S. Attorney’s Office, District of Arizona, on X @USAO_AZ for the latest news.


title: Former enlistee admits to theft from U.S. Army

component: USAO - Texas, Southern

body_text: HOUSTON – A 26-year-old man has pleaded guilty to selling stolen government property, announced U.S. Attorney Alamdar S. Hamdani. Tamoshion Rucker previously served in the U.S. Army from 2018 to 2022 as a radio and communications security repairer and was a former member of the U.S. Army Reserves. As part of his plea, Rucker admitted he attempted to sell Image Intensifier Tubes (IITs) for personal gain. Manufacture of IITs fulfill government contracts which are not available or authorized for sale to the public. The investigation began in December 2022 when authorities attempted to retrieve stolen IITs Rucker posted for sale on eBay. To safeguard this technology and equipment, IITs require demilitarization at the end-of-life cycle use. The instructions allegedly involve striking them with a ball peen hammer, ensuring destruction and that disposal of the fragments are made in accordance with hazardous waste guidelines. IITs cannot be resold or otherwise transferred to anyone after already being used. Rucker agreed to sell five IITs for $3,000. After the transaction, Rucker then also agreed to exchange the remaining 50 IITs for an additional $32,000. Authorities detained Rucker later that day carrying a box containing 45 IITs bearing contract numbers. The total estimated value of all recovered IITs exceeds $103,000. U.S. District Judge David Hittner accepted the plea and has set sentencing for Aug. 8. At that time, he faces up to 10 years in federal prison and a possible $250,000 maximum fine. He was permitted to remain on bond pending sentencing. The FBI and Army Criminal Investigative Division conducted the investigation with assistance from Texas Department of Public Safety. Assistant U.S. Attorney Carolyn Ferko is prosecuting the case.


title: Smuggler sent to prison in conspiracy resulting in two deaths

body_text: LAREDO, Texas - A 35-year-old citizen of the Dominican Republic has been sentenced to federal prison for conspiracy to transport individuals within the United States resulting in death, announced U.S. Attorney Alamdar S. Hamdani. Wilkin Perez-Perez pleaded guilty Jan. 12, 2023. U.S. District Judge Keith P. Ellison found him to be a leader in the conspiracy and ordered Perez-Perez to serve 135 months in federal prison. Not a U.S. citizen, he is expected to face removal proceedings following his imprisonment. At the hearing, the court heard additional evidence that Perez-Perez was involved in numerous alien smuggling events, engaged in violent conduct both in and outside the scope of this conspiracy, to include the possession of a weapon, and that Perez-Perez fled the United States when he learned of his arrest. “ ‘Two bodies found along the banks of the Rio Grande,’ a tragic and all too often headline made possible by ruthless and reckless human smugglers like Perez-Perez and the transnational criminal organizations that employ the likes of him,” said Hamdani. “We will go to any lengths necessary to prosecute the leaders and members of these organizations who care only about cash and not about they humans they transport. Let this case be an example to anyone thinking about becoming a part of the deadly smuggling industry in the United States, you will be held accountable…no matter how long it takes.” Perez-Perez had been in charge and managing the transportation of people into the United States as well as their harboring in the country. On Sept. 21, 2017, Melvin L. Barahona-Godoy and Yoryi Alexis Perez led several people to the Rio Grande River. Two drowned while trying to cross into the United States. Authorities discovered their bodies along the river bank. The investigation led to Perez-Perez who had returned to the Dominican Republic following the discovery of the deceased individuals. He was determined to being in charge of and managing the U.S. branch of the organization. He had coordinated the transportation of these and other individuals, including the two that died, into the interior of the United States and harboring them in Laredo. Perez-Perez will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future. Barahona-Godoy, 27, Guatemala, and Perez, 34, Dominican Republic, were also charged in relation to the transportation and harboring of the men and others and were later sentenced to 57 and 78 months in prison, respectively. Homeland Security Investigations, Border Patrol and U.S. Marshals Service conducted the investigation. Assistant U.S. Attorney Brandon Scott Bowling prosecuted the case.


title: Zapata resident sent to prison for uploading child sexual assault material to Facebook

body_text: LAREDO, Texas – A 28-year-old man has been sentenced for possessing child pornography and exploiting children, announced U.S. Attorney Alamdar S. Hamdani. Kevin Montemayor pleaded guilty March 28, 2022. U.S. District Judge Keith Ellison has now sentenced Montemayor to 15 years for the possession of child pornography and sexual exploitation of children convictions, respectively. They will run concurrently for a total 180-month-term of imprisonment. Montemayor was further ordered to pay $42,000 in restitution to the victims and will serve five 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. Montemayor will also be ordered to register as a sex offender. Montemayor came to the attention of law enforcement after they learned an IP address associated with him had posted child sexual abuse material over Facebook Messenger. On Aug. 9, 2020, authorities executed a search warrant at Montemayor’s residence and found several electronic devices containing child pornography. Law enforcement then seized the devices and took Montemayor into custody. Authorities later identified a victim who claimed she met Montemayor over the instant messaging application Kik when she was only 15. She claimed Montemayor sexually extorted her for child sexual abuse material by threatening to leak her images if she did not continue to supply Montemayor with more explicit material. Montemayor will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future. Homeland Security Investigations conducted the investigation. Assistant U.S. Attorney Leslie Ann Cortez prosecuted the case.


title: Three men sentenced to years in prison in relation to robbery, kidnapping, and interstate transportation of stolen drug proceed scheme

component: USAO - Florida, Southern

body_text: MIAMI – Dillon Renee Polanco, Anthony William Lamar, a/k/a “Mojo,” and Rahsaan Rolando Robinson, a/k/a “Loso,” were recently sentenced to 130, 346, and 220 months in federal prison, respectively, by U.S. District Judge William P. Dimitrouleas. The sentences imposed follow a long-term investigation by the Bureau of Alcohol, Tobacco, Firearms, and Explosives (“ATF”) into the robbery and kidnapping of a Belle Glade drug dealer in December 2020. On Dec. 14, 2020, the Palm Beach County Sheriff’s Office (PBSO) responded to a 911 call regarding two victims who had been kidnapped in West Palm Beach, Florida. The victims’ hands and feet were bound with zip ties and duct tape. Detectives learned that the victims were kidnapped and robbed by three individuals known to Victim #1 – a drug dealer from Belle Glade. The robbers were identified as Darwin Avila Salgado, a/k/a “Debo,” “Lamar and Robinson. Victim #1 also reported that they stole $70,000 from a safe located at Victim#1’s grandmother’s house in Belle Glade. The investigation revealed that the robbery was planned by Polanco and Salgado following a drug dispute between them and Victim #1. Prior to that, Polanco and Salgado supplied Victim #1 with marijuana from California. Polanco and Salgado, both originally from Oakland, California, directed the shipments of marijuana while residing in Oregon. In the summer of 2020, a dispute over the quality of the marijuana, as well as a kilogram of cocaine, caused dissension with Victim #1. Rather than cut ties, Polanco and Salgado planned to rob Victim #1 in Florida. Polanco financed the robbery and at one point even planned to accompany Salgado and Lamar as an active participant. However, Polanco decided not to travel to Florida and Robinson took his place. Salgado and Lamar flew from Cleveland, Ohio to Fort Lauderdale, Florida on Dec. 9, 2020. The next day, Robinson travelled from Oakland to Miami, Florida. Once in West Palm Beach, the Salgado, Lamar and Robinson stayed at a rental home where they ultimately lured Victim #1. In the days leading to the robbery, Salgado, Lamar, and Robinson planned the attack. They obscured surveillance cameras which were at the rental home, covered door handles with plastic, and added window tint to a rental car. Salgado, using the money supplied by Polanco, also obtained firearms, including an AR-15 style pistol, ammunition, a large capacity drum magazine, and a taser used during the robbery and kidnapping. The investigation further revealed that Salgado, Lamar, Robinson, and Polanco had several profiles and accounts on Instagram. Additionally, their accounts followed, or were followed by Victim #1. On or about Dec. 10, 2020, Victim # 1 posted an image on Instagram. The image depicted Victim #1 holding stacks of United States currency with red and blue money bands. Salgado, Lamar, Robinson and Polanco, using the account of "Deemigo_ 6," commented on the photograph. In the early morning hours of Dec. 14, 2020, Victim #1 and his friend Victim #2 arrived at the rental to meet Salgado and Lamar. Unbeknownst to them, Robinson was lying in wait with the pistol loaded with a drum magazine. Salgado contacted Polanco and was told to “do what he was going to do.” Salgado, Lamar and Robinson attacked the victims with firearms and a taser. The victims were bound and then forced into Victim #1’s vehicle. Victim #2’s personal belongings and jewelry were stolen, including a gold rope chain and gold Jesus pendant. The victims were then transported to Belle Glade where Victim #1’ kept his safe at his grandmother’s house. Salgado and Robinson forced their way inside the residence, with Victim #1 as a hostage. and took $70,000 in drug proceeds from the safe. Victims #1 and #2 were left on the side of the roadway after the robbery. Salgado and Lamar fled to Georgia but were arrested by the U.S. Marshals Service. In their possession was Victim #2’s identification, tape consistent with what was used to bind the victims, and a taser. The $70,000 in stolen money and firearms used during the robbery were found hidden in the rental car they used to flee. Polanco and Salgado recruited two others to travel from Oregon to Georgia to recover the items. Robinson fled to California and was arrested. Victim #2’s, gold necklace and Jesus pendant were recovered from Robinson’s apartment. Salgado pled guilty to conspiracy to commit kidnapping, kidnapping robbery, and possession and use of a firearm in furtherance of a crime of violence. He was sentenced, on Feb. 3, 2023, to 228 months in federal prison. Lamar and Robinson each pled guilty to conspiracy to commit kidnapping, kidnapping, and brandishing and use of a firearm in furtherance of a crime of violence. Lamar was sentenced on April 29 and Robinson on May 2. Polanco pled guilty to conspiracy to commit robbery, robbery, possession and use of a firearm in furtherance of a crime of violence, and interstate transportation of stolen money. He was sentenced on May 6. In addition to their respective terms of imprisonment, each defendant was sentenced to a term of supervised release. U.S. Attorney Markenzy Lapointe for the Southern District of Florida, Special Agent in Charge Christopher A. Robinson of the ATF, Miami Field Division, U.S. Marshal Gadyaces S. Serralta of the U.S. Marshals Service, and PBSO Sheriff Ric Bradshaw announced the sentences imposed. The Office of State Attorney Dave Aronberg for the 15 th Judicial Circuit – Palm Beach County provided invaluable assistance. Assistant U.S. Attorneys Adam McMichael and Shannon O’Shea Darsch prosecuted the case. This prosecution is a part of the U.S. Department of Justice’s Project Safe Neighborhoods (PSN) program. PSN is the centerpiece of the Department’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through the PSN program a broad spectrum of law enforcement and community stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs to reduce violence crime and gun violence, and to make our local neighborhoods safer for everyone. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov under case number 22-cr-80053. ###


title: Memphis Men Plead Guilty to String of  Arsons at Tax Service Businesses

component: USAO - Tennessee, Western

body_text: Memphis, TN – Dantoni Colbert, 35 , and Edward Matthews, Jr., 33 , pled guilty to charges of conspiracy to commit arson, and arson of three separate tax service businesses. The arson crimes occurred in Memphis in February 2023. United States Attorney Kevin G. Ritz announced the guilty pleas today. According to the information presented in court, on February 6 and 7, 2023, Colbert and Matthews conspired to set fire to three different buildings that were occupied by Washington Tax Services in the Memphis area. On February 8, 2024, Matthews pled guilty to all four counts of the indictment before United States District Judge Thomas L. Parker. On May 15, 2024, Colbert also pled guilty as charged to all four counts before Judge Parker. Both defendants face a mandatory minimum sentence of 5 years in prison and a maximum of up to 20 years in federal prison, plus up to a $250,000 fine, and up to 3 years of supervised release. There is no parole in the federal system. This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Memphis Fire Department. United States Attorney Ritz stated: “Arson is a dangerous crime that threatens the safety of the community—and in particular, the safety of first responders in our city. Individuals who commit arson of businesses in West Tennessee will continue to get the full attention of law enforcement.” “The criminal act of arson poses an unnecessary risk to the citizens and the first responders of the city of Memphis as well as having a negative impact on the financial systems of the community,” said ATF Nashville Special Agent in Charge Marcus Watson. “Arson is used to intimidate, harm, or for criminal profit through fraudulent insurance proceeds. ATF is committed to protecting the public and will continue to vigorously investigate these criminal acts.” United States Attorney Kevin Ritz thanked Assistant United States Attorneys Greg Wagner and Stephen Hall, who are prosecuting this case, as well as law enforcement partners investigating the case. ### For more information, please contact the Media Relations Team at USATNW.Media@usdoj.gov . Follow the U.S. Attorney’s Office on Facebook or on X at @WDTNNews for office news and updates


title: Mexico Resident Arrested on Complaint Alleging She Drove Car Containing More Than 90 Pounds of Fentanyl Pills Stored in It

component: USAO - California, Central

body_text: RIVERSIDE, California – A U.S. citizen living in Mexico is expected to make her initial appearance in federal court today on a criminal complaint alleging she possessed more than 90 pounds of fentanyl pills in her car, which was pulled over on Interstate 10 in Indio earlier this week. Adriana Galindo, 34, of San Luis Río Colorado, Mexico, is charged in the complaint with one count of possession with intent to distribute a controlled substance. Galindo is expected to make her initial appearance this afternoon in United States District Court in Riverside. The complaint was filed May 15. According to an affidavit filed with the complaint, Border Patrol agents on May 14 were conducting vehicle stops along I-10 in the Indio area. Agents stopped a 2015 black Chevrolet Malibu in Indio. Galindo, accompanied by her juvenile son, was the car’s driver and she allegedly told agents they were driving to Los Angeles to purchase clothing for a retail store in Mexico and were planning to return home later that day. Galindo consented to a search of the car, and a trained narcotics K-9 conducted a free-air sniff of the vehicle and alerted fellow law enforcement to the presence of narcotics odor, the affidavit alleges. An initial search of the vehicle yielded a single blue pill of suspected fentanyl, the affidavit states. After seizing the vehicle to a nearby Border Patrol station for further search, law enforcement seized approximately 93.3 pounds (42.3 kilograms) of fentanyl pills were discovered in a non-factory compartment located under the car’s front seats. Agents then arrested Galindo. Her son was released to the custody of his aunt, a California resident. A complaint is merely an allegation, and the defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law. If convicted, Galindo would face a mandatory minimum sentence of 10 years in federal prison and a statutory maximum sentence of life imprisonment. The Drug Enforcement Administration and United States Border Patrol are investigating this matter. Assistant United States Attorney Danbee C. Kim of the General Crimes Section is prosecuting this case.


title: Egyptian National Sentenced to 18 Months in Prison for Wire Fraud Scheme to Defraud Former Employer in New Jersey

component: USAO - New Jersey

body_text: CAMDEN, N.J. – An Egyptian national living in New Jersey was sentenced to 18 months in prison for engaging in a fraudulent scheme to misappropriate more than approximately $430,000 belonging to his former New Jersey employer, U.S. Attorney Philip R. Sellinger announced today. Abdelrahman Ahmed-Elkilani, 28, a citizen of Egypt who formerly resided in Florida, and now resides in Woodland Park, New Jersey, previously pleaded guilty before U.S. District Judge Robert B. Kugler to an information charging him with one count of wire fraud. Judge Kugler imposed the sentence on May 15, 2024, in Camden federal court. According to documents filed in this case and statements made in court: From January 2017 through July 2019, Ahmed-Elkilani misappropriated more than $430,000 in funds belonging to his former employer by taking advantage of his role as a marketing manager for the company and his access to other employees’ operator codes, as well as the company’s membership accounts to create and execute multiple false transactions. These transactions enabled Ahmed-Elkilani to misappropriate funds for his own personal use and benefit. Ahmed-Elkilani misappropriated $417,075 held in the company’s deposit account and caused approximately $275,000 of those funds to be transferred to his personal credit or debit cards. He also misappropriated $13,674 in additional company funds through other fraudulent methods. In addition to the prison term, Judge Kugler sentenced Ahmed-Elkilani to three years of supervised release and ordered restitution and forfeiture in the amount of $430,749. U.S. Attorney Sellinger credited special agents of the FBI, under the direction of Special Agent in Charge James E. Dennehy in Newark, with the investigation leading to the sentencing. The government is represented by Assistant U.S. Attorney Jennifer S. Kozar of the Economic Crimes Unit in Newark.


title: Southampton Investment Advisor Convicted of Fraud and Money Laundering Charges

component: USAO - New York, Eastern

body_text: Jeffrey Slothower, a former registered investment adviser and founder of the New York investment advisory firm Battery Private, Inc. (Battery Private), was convicted today by a federal jury in Central Islip of all three counts of an indictment charging him with wire fraud, investment adviser fraud and money laundering in connection with a scheme to misappropriate more than $1 million from clients. The verdict followed a three-day trial before United States District Judge Gary R. Brown. When sentenced, Slothower faces up to 30 years in prison. Breon Peace, United States Attorney for the Eastern District of New York, and James Smith, Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI), announced the verdict. “This case was about greed and betrayal of clients who trusted the defendant and thought their money was safely invested with him,” stated United States Attorney Peace. “Slothower tricked those clients so he could steal their money and lavish himself with a new car, high-end clothing and jewelry, and a membership at an East End country club. Protecting investors from fraudsters like the defendant has always been a priority of this Office and today’s verdict underscores our resolve to vigorously prosecute those who enrich themselves at the expense of victims.” Mr. Peace thanked the Special Agents of the Federal Bureau of Investigation, New York Field Office, for their outstanding investigative work on the case. As proven at trial, Slothower orchestrated a scheme to misappropriate more than $1 million from current and prospective clients. Specifically, while operating Battery Private, Slothower solicited business from Victim-1 and Victim-2, a couple from California whose money Slothower had managed at another financial services firm where he was previously employed. Slothower promised the victims he could beat any rate of return they were receiving and do so without market risk. In 2017, he offered to invest Victim-1’s money into what Slothower described as bonds backed by homeowner’s association fees (the “HOA Bonds”), which would pay an eight percent return. Slothower sent Victim-1 wiring instructions for his investment and attached a document that made additional representations about Victim-1’s purported investment, claiming that Victim-1’s money would be held in the “capital reserves” of Battery Private. Between January 25, 2017 and January 27, 2017, Victim-1 sent more than $500,000 to Slothower at Battery Private to be invested in the purported HOA Bonds. Instead of investing in HOA Bonds or holding the funds in “capital reserves,” Slothower funneled the money into his personal bank accounts, and then used those funds to purchase a $125,000 Mercedes Benz SUV, and membership dues at Long Island National Golf Club, a private East End country club. To further the fraudulent scheme, Slothower made payments to Victim-1 that were falsely represented as quarterly distributions from Victim-1’s “investment.” Later, Slothower solicited Victim-1 to invest additional moneys, including funds controlled by Victim-1’s spouse, who was then a Battery Private client. Enticed by the supposedly steady rate of return, Victim-2 agreed to invest in the same purported HOA Bonds, and in December 2017, Victim-2 sent more than $500,000 to Slothower at Battery Private. However, like Victim-1, Victim-2’s money was not invested in HOA Bonds or held in “capital reserves” as represented by Slothower. Instead, he used that money to pay tens of thousands of dollars in personal credit card debt traced to an approximately $6,500 Chanel purse, an approximately $13,000 Rolex watch, and more than $11,000 in Ralph Lauren clothing, among other things. To further the fraudulent scheme, Slothower made payments to Victim-2 that were falsely represented as quarterly distributions from Victim-2’s investment. In June 2018, still unaware of the fraudulent scheme, Victim-1 made an additional investment of approximately $84,000 into the purported HOA Bonds. Slothower used Victim-1’s money to make purported quarterly payments to Victim-1 and Victim-2 that were falsely represented as their investment returns and to pay membership dues at the private golf club. The government’s case is being handled by the Criminal Section of the Office’s Long Island Division and the Office’s Business and Securities Fraud Section. Assistant U.S. Attorneys Drew G. Rolle, Anthony Bagnuola, Adam Toporovsky and Benjamin Weintraub are in charge of the prosecution, with the assistance of Paralegal Specialists Adam Bernard and Michael Compitello. The Defendant: JEFFREY SLOTHOWER Age: 46 Southampton, New York E.D.N.Y. Docket No. 21-CR-602 (GRB)


title: St. Louis County Cab Driver’s Shooter Sentenced to 22 Years in Prison

body_text: ST. LOUIS – U.S. District Judge Henry E. Autrey on Thursday sentenced a man who fatally shot a cab driver in Hazelwood, Missouri in 2022 to 22 years in prison. Trishawn Jones, 20, was one of four teens involved in the robbery of Dewight Price, 54, on April 24, 2022. All four pleaded guilty and two await sentencing. Coron Dees, 20, and Jeremiah Allen, 20, pleaded guilty to a robbery charge. Jones and Tywon Harris, 20, pleaded guilty to one count of aiding and abetting in the commission of a murder. Judge Autrey sentenced Dees to 17 years in prison in April. After leaving a party in downtown St. Louis, the four teens stopped at a downtown gas station and called for a cab at 5:23 a.m. They planned to take the taxi to a fake address near Allen’s home, then run away without paying. After learning that they would have to prepay, they began discussing plans to rob Price. They told Price to drive to Hazelwood Central High School, thinking there would be no witnesses there at that time. Dees and Jones then robbed Price at gunpoint. Price begged the teens not to shoot. After Price handed cash to Jones, Price grabbed a firearm he kept in his door. Allen warned the others that Price had a gun. Price began to get out of the cab, but Harris opened his door, knocking Price to the ground. Jones saw Price’s gun and fired once, striking Price in the torso. The teens then ran away without rendering aid to Price or calling for help. In a letter to Judge Autrey, one of Price’s daughters wrote that her father “was the happiest joyful person just trying to get his customers to their destinations safely and satisfied.” The St. Louis County Police Department and the FBI investigated the case. Assistant U.S. Attorney Jason Dunkel is prosecuting the case.


title: Two Stockton Residents Indicted for Heroin and Methamphetamine Trafficking

component: USAO - California, Eastern

body_text: SACRAMENTO, Calif. — A federal grand jury returned a four-count indictment, which was unsealed Wednesday, charging Stockton residents Rosalva Angulo Castillo, 53, and Adan Garcia Castillo, 45, with conspiracy to traffic heroin and methamphetamine and with distributing heroin, U.S. Attorney Phillip A. Talbert announced. According to court documents, from January 2018 through May 2023, Angulo Castillo and Garcia Castillo conspired to distribute and possess with intent to distribute heroin and methamphetamine. On Oct. 25, 2019, Garcia Castillo distributed at least one kilogram of heroin, and on Dec. 8, 2020, and July 13, 2021, Angulo Castillo distributed at least 100 grams of heroin. This case is the product of an investigation by the Drug Enforcement Administration, with assistance from the Federal Bureau of Investigation, Homeland Security Investigations, the IRS Criminal Investigation, the California Highway Patrol, and the San Joaquin County Metropolitan Narcotics Task Force. Assistant U.S. Attorneys David W. Spencer and Emily G. Sauvageau are prosecuting the case. If convicted, each defendant faces a minimum of 10 years of prison and a maximum statutory penalty of life in prison. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendants are presumed innocent until and unless proven guilty beyond a reasonable doubt. The case was investigated under the Organized Crime Drug Enforcement Task Forces (OCDETF). OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. For more information about OCDETF, please visit Justice.gov/OCDETF .


title: Louisville Woman Sentenced to Over 1 Year in Federal Prison for CARES Act Fraud

component: USAO - Kentucky, Western

body_text: Louisville, KY – A Louisville, Kentucky, woman was sentenced yesterday to 1 year and 2 months in federal prison for charges related to her submission of four fraudulent Coronavirus Aid, Relief, and Economic Security (CARES) Act applications. U.S. Attorney Michael A. Bennett of the Western District of Kentucky and Kelly K. Moening, Special Agent in Charge, Treasury Inspector General for Tax Administration, Great Lakes Field Division, made the announcement. According to court documents, Darlene McCoy, 67, was sentenced to 1 year and 2 months in prison, followed by a 3-year term of supervised release, for four counts of wire fraud, one count of bank fraud, and two counts of money laundering related to fraud involving the CARES Act financial assistance program. There is no parole in the federal system. McCoy was also ordered to pay $165,416 in restitution. McCoy filed, or caused to be filed, one fraudulent application for an Economic Injury Disaster Loan (EIDL) and three applications for Paycheck Protection Program (PPP) loans between June 18, 2020, and May 19, 2021, seeking more than $182,000 and resulting in the theft of $165,416. McCoy utilized the entities Letz Get It Crackin’, LLC and Darlene McCoy d/b/a Reds Creative Events to file the applications. McCoy organized Letz Get It Crackin’ after the onset of the Covid 19 pandemic and did not register the entity Darlene McCoy with the Commonwealth of Kentucky. McCoy falsely exaggerated the number of employees, revenue, cost of goods sold, and payroll expenses of those entities in the fraudulent applications and provided false tax forms in support of the applications. This case was investigated by the Treasury Inspector General for Tax Administration. Assistant U.S. Attorney Nicole Elver prosecuted the case. On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the Department’s response to the pandemic, please visit https://www.justice.gov/coronavirus. Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form. ###


title: Charges and Seizures Brought in Fraud Scheme, Aimed at Denying Revenue for Workers Associated with North Korea

component: Criminal Division

body_text: The Justice Department unsealed charges, seizures, and other court-authorized actions to disrupt the illicit revenue generation efforts of the Democratic People’s Republic of Korea (DPRK or North Korea). The charges include prosecutions of an Arizona woman, Ukrainian man, and three unidentified foreign nationals who allegedly participated in schemes to place overseas information technology (IT) workers—posing as U.S. citizens and residents—in remote positions at U.S. companies. As alleged in the court documents, DPRK has dispatched thousands of skilled IT workers around the world, who used stolen or borrowed U.S. persons’ identities to pose as domestic workers, infiltrate domestic companies’ networks, and raise revenue for North Korea. The schemes described in court documents involved defrauding over 300 U.S. companies using U.S. payment platforms and online job site accounts, proxy computers located in the United States, and witting and unwitting U.S. persons and entities. This announcement includes the largest case ever charged by the Justice Department involving this type of IT workers’ scheme. Two criminal prosecutions brought by the U.S. Attorney’s Office for the District of Columbia, one in partnership with the Computer Crime and Intellectual Property Section of the Justice Department’s Criminal Division, were unsealed today. As part of the prosecutions, two defendants have been arrested and related seizures and search warrants have been executed in Washington, D.C., and other jurisdictions. The investigations were led by the FBI Phoenix and New York Field Offices and IRS Criminal Investigation (IRS-CI), and coordinated with five other FBI field offices and four other U.S. Attorneys’ Offices, producing arrests in the United States and Poland, the execution of five premises search warrants, and the seizure of illicitly obtained wages and a website domain. “As alleged in the indictment, Chapman and her co-conspirators committed fraud and stole the identities of American citizens to enable individuals based overseas to pose as domestic, remote IT workers,” said Principal Deputy Assistant Attorney General Nicole M. Argentieri, head of the Justice Department’s Criminal Division. “The charges in this case should be a wakeup call for American companies and government agencies that employ remote IT workers. These crimes benefitted the North Korean government, giving it a revenue stream and, in some instances, proprietary information stolen by the co-conspirators. The Criminal Division remains firm in its commitment to prosecute complex criminal schemes like this one.” “Today’s announcement of charges and law enforcement action show our broad approach to attacking funding sources for North Korea across the United States,” said U.S. Attorney Matthew M. Graves for the District of Columbia. “We will continue to vigorously pursue cases against individuals, in the United States and abroad, that use U.S. financial systems to raise revenue for North Korea.” “On the surface, today’s allegations of wire fraud, identity theft, and money laundering may read like a typical white collar or economic crime scheme,” said Assistant Director Kevin Vorndran of the FBI’s Counterintelligence Division. “But what these allegations truly represent is a new high-tech campaign to evade U.S. sanctions, victimize U.S. businesses, and steal U.S. identities. The charges clearly demonstrate how the FBI and its partners will employ every resource at our disposal to bring to justice anyone who helps North Korea evade sanctions.” An indictment was unsealed today in the District of Columbia against U.S. citizen Christina Marie Chapman, 49, of Litchfield Park, Arizona, related to her participation in a scheme to assist overseas IT workers—posing as U.S. citizens and residents—in working at more than 300 U.S. companies in remote IT positions. Chapman was arrested yesterday in Litchfield Park, Arizona. As alleged in the indictment, Chapman and her co-conspirators’ scheme defrauded U.S. companies across myriad industries, including multiple well-known Fortune 500 companies, U.S. banks, and other financial service providers. The identities of more than 60 U.S. persons were compromised and used by IT workers related to Chapman’s cell. In addition to Chapman, the indictment charged three foreign nationals with money laundering for their participation in the scheme. As alleged in the indictment, the department seized wages earned by more than 19 overseas IT workers and will seek forfeiture of the same. Additionally, a criminal complaint was unsealed today in the District of Columbia charging Ukrainian national Oleksandr Didenko, 27, of Kyiv, with a separate years-long scheme to create fake accounts at U.S. IT job search platforms and with U.S.-based money service transmitters. As alleged in the complaint, Didenko sold the accounts to overseas IT workers, some of whom he believed were North Korean, and the overseas IT workers used the false identities to apply for jobs with unsuspecting companies. Several U.S. persons had their identities used by IT workers related to Didenko’s cell, and evidence in the complaint showed that the overseas IT workers using Didenko’s services were also working with Chapman. Polish authorities arrested Didenko on May 6 at the request of the United States, which is seeking Didenko’s extradition from Poland. Didenko’s company’s online domain, upworksell.com, was also seized today by the Justice Department pursuant to a court order, and all traffic diverted to the FBI. Related to the above schemes, the FBI executed search warrants for U.S. based “laptop farms,” residences that hosted multiple laptops for overseas IT workers, wherein U.S.-based facilitators logged onto U.S. company computer networks and then allowed the overseas IT workers to remotely access those laptops through various software applications. The overseas IT workers used the laptop farms’ U.S. Internet Protocol addresses to make it appear as though they were operating inside the United States. Chapman’s residence was searched in October 2023 pursuant to a search warrant issued in the District of Arizona, resulting in evidence that is reflected in the indictment. Search warrants for four U.S. residences associated with laptop farms controlled by Didenko were issued in the Southern District of California, Eastern District of Tennessee, and Eastern District of Virginia, and executed between May 8 and May 10. Concurrent with today’s announcement, the U.S. Department of State announced a reward of up to $5 million for information related to Chapman’s coconspirators: John Doe 1, alias Jiho Han; John Doe 2, alias Haoran Xu; John Doe 3, alias Chunji Jin; and an unindicted coconspirator utilizing aliases “Zhonghua” and “Venechor S.” Chapman Indictment, Money Seizures, and Premises Warrant According to the indictment, the overseas IT workers associated with Chapman, many of whom were tied to North Korea, posed as U.S. citizens using the stolen, false, or borrowed identities of U.S. nationals, and applied for positions at U.S companies, causing the transmission of false documentation to the U.S. Department of Homeland Security (DHS). The overseas IT workers gained employment at U.S. companies, including at a top-five major television network, a Silicon Valley technology company, an aerospace manufacturer, an American car manufacturer, a luxury retail store, and a U.S.-hallmark media and entertainment company, all of which were Fortune 500 companies. Some of these companies were purposely targeted by a group of DPRK IT workers, who maintained postings for companies at which they wanted to insert IT workers. Chapman ran a “laptop farm,” hosting the overseas IT workers’ computers inside her home so it appeared that the computers were located in the United States, and also received and forged payroll checks and received direct deposits of the overseas IT workers’ wages from the U.S. companies into her U.S. financial accounts. The overseas IT workers also attempted to gain employment and access to information at two different U.S. government agencies on three different occasions, although these efforts were generally unsuccessful. The overseas IT workers associated with Chapman’s cell were paid millions for their work, much of which has been falsely reported to the IRS and the Social Security Administration in the name of the actual U.S. persons whose identities were stolen or borrowed. Chapman also allegedly conspired with the John Doe defendants to commit money laundering by conducting financial transactions under aliases to receive money generated by the scheme and transfer those funds outside of the United States, in an attempt to hide that these were proceeds of the IT workers’ fraud. Chapman and her co-conspirators allegedly compromised more than 60 identities of U.S. persons, impacted more than 300 U.S. companies, caused false information to be conveyed to DHS on more than 100 occasions, created false tax liabilities for more than 35 U.S. persons, and resulted in at least $6.8 million of revenue to be generated for the overseas IT workers. The department seized funds related to scheme from Chapman as well as wages and monies accrued by more than 19 overseas IT workers. “Using the stolen identities of U.S. citizens is a crime by itself, but when you use those identities to procure employment for foreign nationals with ties to North Korea at hundreds of U.S. companies, you have compromised the national security of an entire nation,” said Chief Guy Ficco of IRS-CI. “For more than 100 years, IRS Criminal Investigation special agents have been following the money, and their financial expertise has once again stopped criminals in their tracks.” Chapman is charged with conspiracy to defraud the United States, conspiracy to commit wire fraud, conspiracy to commit bank fraud, aggravated identity theft, conspiracy to commit identity fraud, conspiracy to launder monetary instruments, operating as an unlicensed money transmitting business, and unlawful employment of aliens. The John Does are charged with conspiracy to commit money laundering. If convicted, Chapman faces a maximum penalty of 97.5 years in prison, including a mandatory minimum of two years in prison on the aggravated identity theft count, and the John Does face a maximum penalty of 20 years in prison. The FBI Phoenix Field Office and IRS-CI Phoenix Field Office are investigating this case, with assistance from the FBI Chicago Field Office. Assistant U.S. Attorney Karen P. Seifert for the District of Columbia and Trial Attorney Ashley R. Pungello of the Criminal Division’s Computer Crime and Intellectual Property Section are prosecuting this case, with assistance from Paralegal Specialists Brian Rickers and Jorge Casillas. The U.S. Attorney’s Office for the District of Arizona and Trial Attorney Gregory Nicosia of the National Security Division’s National Security Cyber Section also provided valuable assistance. Didenko Complaint, Domain Seizure, and Premises Warrants According to the criminal complaint, Didenko allegedly engaged in a multi-year scheme to create accounts at U.S.-based freelance IT job search platforms and with U.S. money service transmitters in the names of false identities, including identities of U.S. persons, and sold these accounts to overseas IT workers. Didenko ran a website, upworksell.com, which advertised creating, buying, and renting accounts at U.S. websites using false identities, and also advertised “Credit Card Rental” in the European Union and the United States and SIM card rental for cellular phones. Didenko allegedly offered a full array of services to allow an individual to pose under a false identity and market themselves for remote IT work with unsuspecting companies. As stated, Didenko’s domain was seized as part of the case. According to the affidavit in support of the complaint, Didenko is alleged to have managed as many as approximately 871 “proxy” identities, provided proxy accounts for three freelance U.S. IT hiring platforms, and provided proxy accounts for three different U.S.-based money service transmitters. In coordination with his co-conspirators, Didenko facilitated the operation of at least three U.S.-based laptop farms, at one point hosting approximately 79 computers. Didenko sent or received $920,000 in U.S. dollar payments since July 2018. Didenko acknowledged in messages that he believed he was assisting North Korean IT workers. One of Didenko’s overseas IT worker customers also requested that a laptop be sent from one of Didenko’s U.S. laptop farms to Chapman’s laptop farm, showing the interconnectivity of these cells within the DPRK overseas IT worker network. Search warrants of Didenko’s laptop farms were executed in early May. If convicted, Didenko faces a maximum penalty of 67.5 years in prison, including a mandatory minimum of two years in prison on the aggravated identity theft count. The FBI New York Field Office is investigating this case. The FBI Norfolk and San Diego Field Offices and the Jefferson City, Tennessee, Resident Agency provided assistance in executing search warrants. Assistant U.S. Attorneys Karen P. Seifert and Steven Wasserman for the District of Columbia are prosecuting the case, with assistance from Paralegal Specialists Brian Rickers and Jorge Casillas and the U.S. Attorney’s Office for the District of Columbia. The U.S. Attorney’s Offices for the Southern District of California, Eastern District of Tennessee, and Eastern District of Virginia, Justice Department’s Office of International Affairs, and Trial Attorney Jacques-Singer Emory of the National Security Division’s National Security Cyber Section provided valuable assistance as well. *** The FBI, along with the Departments of State and Treasury, issued a May 2022 advisory to alert the international community, private sector, and public about the North Korea IT worker threat. Updated guidance was issued in October 2023 by the United States and the Republic of Korea (South Korea), which includes indicators to watch for that are consistent with North Korea IT worker fraud. An indictment and a criminal complaint are merely allegations. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.


title: Hospice Owner Sentenced to 240 Months Imprisonment and Ordered to Repay $42,000,000 for Defrauding Medicare

body_text: NEW ORLEANS – U.S. Attorney Duane A. Evans announced that on May 15, 2024, U.S. District Judge Lance Africk sentenced SHIVA AKULA (“AKULA”) , age 68, of New Orleans, to 240 months of imprisonment, three years of supervised release and $2,300 in mandatory special assessment fees, in relation to an extensive health care fraud scheme orchestrated by AKULA . In November 2023, a federal jury convicted AKULA of all 23 counts of his underlying indictment. AKULA owned and oversaw the day-to-day operations of Canon Healthcare, LLC, a hospice facility with offices in the New Orleans area, Baton Rouge, Covington, and Gulfport, Mississippi. At sentencing, the Court found that between January 2013 and December 2019, Canon billed Medicare approximately $84 million in fraudulent claims and was paid approximately $42 million relating to these fraudulent claims. The Court ordered that AKULA repay the $42 million of fraudulent proceeds back to Medicare. On November 6, 2023, a jury convicted AKULA on all 23 counts of health care fraud charged in the indictment relating to overbilling for hospice patients for expensive General Inpatient (“GIP”) services and for multiple counts related to manipulating Medicare billing codes, known as Common Procedural Terminology (“CPT”) codes despite such services being medically unnecessary, or despite their inclusion in the daily hospice benefit Canon already received for its patients. “Today’s sentencing signals the end of a long, complicated, and challenging prosecution,” said U.S. Attorney Duane A. Evans. “However, this conclusion exhibits our commitment to fighting health care fraud in our district. Our office, along with our investigative partners, will continue to work diligently to preserve taxpayer confidence in our medical institutions and seek justice for all victims of fraud.” “Shiva Akula showed no regard for quality end-of-life hospice care,” said Jason E. Meadows, Special Agent in Charge at the United States Department of Health and Human Services Office of Inspector General (HHS-OIG). “Instead, Akula’s motivation centered around multiple fraud schemes to maximize profit and steal from American taxpayers. HHS-OIG will continue to work with our federal and state law enforcement partners and the U.S. Attorney’s Office to hold accountable those who steal from Medicare and other federal health care programs.” “Each fraudulent claim filed by Mr. Akula potentially deprived another deserving and suffering individual from the emotional and physical comfort of end-of-life care,” said Special Agent in Charge Lyonel Myrthil of the FBI New Orleans Division. “The FBI thanks its partners the US Attorney's Office for the Eastern District, HHS, and Louisiana's Medicaid Fraud Control Unit for their painstaking work to ensure that justice would be done in this case.” This case was investigated by the Federal Bureau of Investigation, the Department of Health and Human Services Office of Inspector General, and the Louisiana Department of Justice, Medicaid Fraud Control Unit. Assistant U.S. Attorneys Kathryn McHugh, Financial Crimes Unit, and J. Ryan McLaren, Appellate Unit, are in charge of the prosecution, with assistance from Financial Litigation Coordinator, Assistant U.S. Attorney Churita Hansell of the Monetary Penalty and Recovery Unit.


title: Bank Manager Admits Using Position to Steal Hundreds of Thousands of Dollars from Customer

component: Criminal - Money Laundering, Narcotics and Forfeiture Section

body_text: NEWARK, N.J. – A former New York-based branch manager of an international financial institution today admitted using his position to steal more than $208,000 from a customer, U.S. Attorney Philip R. Sellinger announced. James Gomes, 43, of New York, pleaded guilty before U.S. District Judge Esther Salas in Newark federal court to an information charging him with one count of wire fraud affecting a financial institution. According to documents filed in this case and statements made in court: In early 2020, Gomes worked as the branch manager of a New York-based branch of an international bank. Starting in January 2020, Gomes used his position to improperly access bank accounts in the name of a bank customer. Without approval, Gomes enrolled the customer’s accounts in the bank’s online banking services. Gomes linked his personal phone number to the customer’s accounts and created a fraudulent email address containing the customer’s name, which he similarly linked to the customer’s accounts. Gomes also used the fraudulent email address to “correspond” with his official bank email address to make it appear that the customer was sending instructions to the bank. In March and April 2020, Gomes fraudulently transferred a total of $208,939 from the customer’s accounts to Gomes’ personal bank accounts at other financial institutions, to his personal investment account, and to pay his personal cell phone bill. Gomes continued the scheme even after the customer died on April 5, 2020. The charge of wire fraud affecting a financial institution carries a maximum penalty of 30 years in prison and a $1 million fine. Sentencing is scheduled for Nov. 6, 2024. U.S. Attorney Sellinger credited special agents and task force officers of IRS - Criminal Investigation, under the direction of Special Agent in Charge Jenifer L. Piovesan in Newark; and special agents of the Federal Deposit Insurance Corporation – Office of Inspector General, New York Region, under the direction of Special Agent in Charge Patricia Tarasca, with the investigation leading to the guilty plea. He also thanked the Morristown Police Department. The government is represented by Assistant U.S. Attorney Marko Pesce of the Economic Crimes Unit in Newark and Trial Attorneys D. Zachary Adams and Chelsea Rooney of the Justice Department’s Money Laundering and Asset Recovery Section. gomes.information.pdf


title: Sacramento Man Indicted for Methamphetamine Trafficking

body_text: SACRAMENTO, Calif. — A federal grand jury returned a two-count indictment today against Anthony Coates, 28, of Sacramento, charging him with distribution of methamphetamine, U.S. Attorney Phillip A. Talbert announced. According to court documents, Coates distributed 1 pound of methamphetamine in March 2024 and 3 pounds of methamphetamine in April 2024. This case is the product of an investigation by the Drug Enforcement Administration and the U.S. Postal Inspection Service, with assistance from the High-Intensity Drug-Trafficking Area Task Force. Assistant U.S. Attorney Haddy Abouzeid is prosecuting the case. If convicted, Coates faces a maximum statutory penalty for each count of life in prison and a $10 million fine. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.


title: Man Admits Phelps County Carjacking and Gun Store Burglary

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

body_text: ST. LOUIS – A Phelps County, Missouri man on Thursday admitted carjacking someone at knifepoint in 2023 and stealing pistols from a gun store. Martavious Jones, 19, pleaded guilty to one carjacking charge and a charge of stealing a firearm from a federally licensed dealer. He admitted that on Sept. 11, 2022, he and another person broke a window at a Rolla gun store to get inside. They stole four handguns, including an AR-style pistol, as well as a large quantity of ammunition and firearm accessories. Two of the guns were later found in a bag near Jones’ home. Jones also admitted that on March 1, 2023, in Rolla, he asked a man for a ride in his 2013 Nissan Altima. The driver agreed. Once they were moving, Jones pulled out a large knife and held it to the driver’s throat. He told the victim to turn over his keys and get out the car. Jones took the driver’s cell phone, telling him he would drop it out of the window before driving away. Jones did, but also dropped his own phone. He was later spotted by police and fled in the car before fleeing on foot. He left his wallet and the knife behind. Jones is scheduled to be sentenced on August 21. The carjacking charge carries a penalty of up to 15 years in prison, a fine of up to $250,000 or both prison and a fine. The stealing charge carries a penalty of up to 10 years in prison, a $250,000 fine, or both. The Rolla Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives investigated the case. Assistant U.S. Attorney Jennifer Szczucinski is prosecuting the case.


title: Camden County Man Sentenced to 171 Months in Prison for Methamphetamine Trafficking

body_text: CAMDEN, N.J. – A Camden County, New Jersey, man was sentenced today to 171 months in prison for his role in a conspiracy to distribute methamphetamine, U.S. Attorney Philip R. Sellinger announced. Michael Venditti, 39, of Camden, previously pleaded guilty before Senior U.S. District Judge Robert B. Kugler to an information charging him with conspiring to distribute 50 grams or more of methamphetamine. Judge Kugler imposed the sentence today in Camden federal court. According to documents filed in this case and statements made in court: From March 2021 through September 2021, Venditti coordinated an operation by which he received U.S. Postal Service Parcels collectively containing more than 100 pounds of methamphetamine. Venditti distributed the methamphetamine he received to others. On Sept. 20, 2021, Venditti and his conspirators were encountered at a residence in Camden. When law enforcement searched the residence, they seized approximately eight pounds of methamphetamine, approximately $29,000 in U.S. currency, scales, and other drug paraphernalia. In addition to the prison term, Judge Kugler sentenced Venditti to five years of supervised release and ordered him to forfeit $29,433. U.S. Attorney Sellinger credited troopers assigned to the New Jersey State Police Strategic Investigations Unit South, under the direction of Col. Patrick J. Callahan; postal inspectors of the U.S. Postal Inspection Service, Philadelphia Division, under the direction of Acting Inspector in Charge Christopher A. Nielsen; special agents of the FBI’s Atlantic City Resident Agency, under the direction of Special Agent in Charge James E. Dennehy in Newark; agents of the U.S. Postal Service Office of Inspector General, Northeast Area Field Office, under the leadership of Special Agent in Charge Matthew Modafferi; and special agents of Homeland Security Investigations Newark, under the direction of Acting Special Agent in Charge William S. Walker, with the investigation leading to the sentencing. This effort is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF . The government is represented by Assistant U.S. Attorney Daniel A. Friedman of the U.S. Attorney’s Office’s Criminal Division in Camden.


title: Florida Man Charged with Conspiracy to Distribute Oxycodone for Prescription Drug Diversion Scheme

body_text: Earlier today, at the federal courthouse in Central Islip, a three-count indictment was unsealed charging Devin Anthony Magarian with conspiracy to distribute oxycodone and possessing oxycodone with intent to distribute. Magarian is charged with orchestrating a years’ long conspiracy to commandeer physicians’ e-prescribing privileges in order to divert Oxycodone and other controlled substances into the illicit market. Breon Peace, United States Attorney for the Eastern District of New York, Anne T. Donnelly, District Attorney of Nassau County, Frank A. Tarentino, III, Special Agent-in-Charge, Drug Enforcement Administration (DEA) and Patrick Ryder, Nassau County Police Commissioner, announced the indictment and charges. “As alleged, Magarian led the conspiracy to pirate the digital prescription pads of physicians, putting thousands of lives at risk through this illicit diversion scheme,” stated United States Attorney Breon Peace. “This Office will continue doing its part to find and hold responsible individuals at all levels who, motivated by greed, perpetuate the opioid and prescription drug epidemic with careless disregard for the safety of the communities in this district and nationwide.” United States Attorney Peace thanked the New York State Bureau of Narcotic Enforcement for their significant contributions to the investigation. “Devin Magarian was the primary facilitator of a complex narcotics conspiracy, coordinating drug-running operations in dozens of states across the county and maximizing profits for the illicit venture,” said Nassau County District Attorney Anne T. Donnelly. “Tens of thousands of prescriptions for narcotics and other controlled substances were filled in Nassau County and beyond at this defendant’s direction using pirated e-prescribing credentials of unwitting doctors, putting our communities at risk. Magarian was an important cog in a much larger machine – one that we will dismantle piece by piece with our federal partners at the U.S. Attorney’s Office and the Drug Enforcement Administration.” “The indictment against Devin Anthony Magarian for conspiracy to distribute oxycodone through a diverted e-prescription scheme and distribute on the illicit market for the purpose of putting profits above public health is not only reckless and dangerous, but unconscionable” stated DEA New York Special Agent-in-Charge Frank Tarentino. “Trading in lives for profit is a dark path and we will continue to work with our law enforcement partners to make sure those responsible face justice.” As alleged in the indictment, in or around and between December 2022 and March 2024, the defendant was the key driver of a wide-ranging conspiracy in which he and his associates surreptitiously commandeered the e-prescribing credentials of doctors throughout the country, and then used those compromised accounts to issue and fill thousands of prescriptions for narcotics and other controlled substances, including Oxycodone and Promethazine with Codeine syrup, commonly known as Codeine, throughout Nassau County and nationwide. These highly abused substances were then diverted into the illicit market, where the defendant often advertised them for sale to street-level resellers and buyers on his social media accounts and elsewhere. Over the course of this investigation, law enforcement identified dozens of medical practitioners who experienced a similar series of occurrences which ultimately resulted in the defendant and his associates issuing and filling thousands of illicit prescriptions in the names of countless fictitious patients. Many of the physicians experienced unusual activity on their cellphones, including being flooded with text messages in the days leading up to losing control of their cellphones and e-prescribing accounts. Unbeknownst to the physicians, these text messages were related to efforts by the defendant and his associates to “clone” the SIM card of the doctors’ cellphone, thereby giving the defendant full access to the phone, and ultimately, the physicians’ e-prescribing credentials. Once the credentials were compromised, the defendant advertised the prescriptions and controlled substances he had for sale on social media. Using automated “bots,” the defendant would generate and transmit thousands of prescriptions using the compromised doctor’s e-prescribing credentials within a matter of hours. These bots generated fictitious names, dates of birth, and addresses, and sent electronic prescriptions for controlled substances and narcotics to pharmacies in specific areas where the defendant’s associates were waiting. The defendant transmitted thousands of prescriptions, which when filled, resulted in thousands of pills of pharmaceutical grade narcotics being illicitly diverted and re-sold at a premium. The defendant’s profits from the resale of those illegally procured narcotics ranged from $75,000 to $250,000 per month, in the form of payments which were primarily made via cryptocurrency, at the defendant’s request. The government’s case is being prosecuted by the Criminal Section of the Office’s Long Island Division. Assistant United States Attorneys Adam Toporovsky and Kaitlin McTague, and Special Assistant United States Attorney Brian Rodriguez, of the Nassau County District Attorney’s Office, are in charge of the prosecution with assistance from Paralegal Specialists Adam Bernard and Samantha Schroeder. The Defendant : DEVIN ANTHONY MAGARIAN Age: 21 Kissimmee, New York E.D.N.Y. Docket No. 24-CR- 178


title: Colombian National Admits Conspiring to Transport Hundreds of Kilograms of Cocaine into United States

body_text: NEWARK, N.J. – A Colombian citizen today admitted conspiring to import hundreds of kilograms of cocaine into the United States from Colombia, Venezuela, and the Dominican Republic, U.S. Attorney Philip R. Sellinger announced. Edgar Ruiz-Gomez, aka “Gono,” 57, pleaded guilty before U.S. District Judge Esther Salas in Newark federal court to count one of an indictment charging him with conspiracy to import five kilograms or more of cocaine. According to documents filed in this case and statements made in court: From 2016 through January 2020, Ruiz-Gomez and others conspired to import hundreds of kilograms of cocaine. Ruiz-Gomez acknowledged holding a managerial role in this conspiracy, which involved more than five individuals. The count to which Ruiz-Gomez pleaded guilty carries a statutory mandatory minimum sentence of 10 years in prison, a maximum penalty of life in prison, and a fine of up to $10 million. Sentencing is scheduled for Nov. 5, 2024. U.S. Attorney Sellinger credited special agents and task force officers with the Drug Enforcement Administration (DEA), under the direction of Special Agent in Charge Cheryl Ortiz in Newark, and special agents and task force officers with the DEA operating in Colombia, the Dominican Republic, and Puerto Rico, with the investigation leading to today’s guilty plea. He also thanked the Justice Department’s Office of International Affairs; the Narcotic and Dangerous Drug Section’s Judicial Attaché’s Office at the U.S. Embassy in Bogota; Colombian law enforcement authorities; and the U.S. Marshals Service for their assistance. This case is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF . The government is represented by Assistant U.S. Attorney Farhana C. Melo of the OCDETF/Narcotics Unit in Newark. ruizgomez.indictment.pdf


title: District Man Indicted for House Party Shooting

component: USAO - District of Columbia

body_text: WASHINGTON – Darrious Johnson, 23, of the District of Columbia, has been charged in a 10-count indictment for unleashing gunfire into a crowded living room during a house party in the Hillbrook neighborhood in Northeast, D.C., in May 2023, announced U.S. Attorney Matthew M. Graves and Chief Pamela A. Smith, of the Metropolitan Police Department (MPD). A Superior Court grand jury returned the indictment that was filed on May 16, 2024, which charges Johnson with two counts of assault with intent to kill (adults) while armed, one count of assault with intent to kill a minor while armed, aggravated assault while armed, second degree cruelty to children, and related firearm offenses. According to the Government’s evidence, after an argument at the party, Defendant Johnson walked upstairs, retrieved a firearm, walked halfway down the stairs, and fired numerous shots into the crowded living room with adults and children present. One of the bullets hit the arm of an adult victim who was holding an infant, causing serious injuries. This case is being investigated by the Metropolitan Police Department and is being prosecuted by Assistant U.S. Attorneys Anthony Cocuzza, Megan McFadden, and Sabena Auyeung. An indictment is merely a formal charge that a defendant has committed a violation of criminal laws and every defendant is presumed innocent until, and unless, proven guilty.


title: Yakama Man Found Guilty of Assault with a Dangerous Weapon

component: USAO - Washington, Eastern

body_text: Yakima, Washington - Vanessa R. Waldref, United States Attorney for the Eastern District of Washington, announced that a jury returned a verdict on May 15, 2024, following the trial of 43-year-old Joey Anthony Andy. Andy was found guilty of one count of Assault with a Dangerous Weapon. Evidence introduced at trial established that on April 4, 2023, a victim, an enrolled member of the Yakama Nation, was leaving Noah’s Ark Homeless shelter in Wapato, Washington. As the victim was walking away from the shelter, he was confronted by Andy. Andy was upset with the victim because Andy believed the victim had stolen his Bluetooth speaker. Andy shoved then shoved the victim. After the victim stepped back, Andy pulled out a knife, lifted the sleeve on this hooded sweatshirt (presumably to ensure he did not get blood on his clothing), and lifted the knife, and then swung the knife at the victim’s head. As the victim attempted to dodge the blow, the knife hit the victim, leaving a four-inch laceration to the side of the victim’s head. The laceration cut down to the victim’s skull and required fourteen staples to close. The victim ran back to Noah’s Ark for help. There, employees rendered first aid and called police. Wapato Police later located Andy in the neighborhood near Noah’s Ark. Although Andy attempted to flee, officers took Andy into custody without incident after a short chase. United States District Judge Mary K. Dimke presided over the trial, which began on May 13, 2024. Sentencing in this matter is set for September 17, 2024. “Prosecuting violent crime occurring on Tribal land in the Eastern District of Washington is a major priority for the U.S. Attorney’s Office. Mr. Andy carried out a violent attack in broad daylight that left his victim with a serious injury,” stated U.S. Attorney Waldref. “Violent assaults on Native American land are key drivers of the crisis of Missing or Murdered Indigenous People. My office remains committed to prosecuting these and other serious crimes, such as domestic violence, drug trafficking, child exploitation, and sexual violence, which frequently contribute to this ongoing crisis. I commend our federal, tribal and local partners for their investigative work, and the prosecutors from my office who secured a conviction in this case.” “The sudden violence of this assault is alarming and demonstrates that prison is where Mr. Andy belongs.” said Richard A. Collodi, Special Agent in Charge of the FBI’s Seattle field office. “Fortunately, the victim of this attack will recover. The FBI and our partners will continue investigating these cases to make our state’s reservations safer for the people who call them home.” This case was investigated by the Federal Bureau of Investigation. This case was prosecuted by Assistant United States Attorneys Todd Swensen and Bree R. Black Horse.


title: Man Pleads Guilty to Multi-Million Dollar Scheme to Defraud Consumers

component: Federal Bureau of Investigation (FBI)

body_text: PEORIA, Ill. –Jeffrey D. Gibbs, 58, of Farmer City, Illinois pleaded guilty on May 14, 2024, to 6 felony charges related to his scheme to defraud local boat owners and the banks that financed his business. Gibbs and co-defendant Kara M. Wilkey, 49, of Maroa, Illinois, were indicted in December 2020, with multiple counts of wire fraud, bank fraud, mail fraud and aggravated identity theft. Wilkey pleaded guilty to 6 of the charges in August 2021. Sentencings for both Gibbs and Wilkey have been scheduled for September 19, 2024, at 9:00 am in the U.S. Courthouse in Peoria, Illinois before U.S. District Judge James E. Shadid. Gibbs and Wilkey were two employees of the now defunct boat and watercraft dealership, Mid Illinois Boats, Inc., that did business as Clinton Marine II. Gibbs and Wilkey used the dealership to defraud customers and lending institutions out of approximately $4.7 million. In pleading guilty, Gibbs and Wilkey admitted that, from January 2014 to July 2019, they used their positions with Clinton Marine II, which included management of day-to-day operations, to carry out a fraud involving floorplan financing. The fraud included obtaining loans on fictitious boats and on false transactions; taking out loans using forged signatures; selling boats on behalf of customers, but not paying off the customer’s loan or remitting payment to the seller; and, collecting payment for taxes, titles, and fees, but failing to pay those expenses. Both Gibbs and Wilkey were released on statutory conditions of release pending sentencing. Gibbs plead guilty to 3 counts of wire fraud, 2 counts of mail fraud and 1 count of aggravated identity theft. He faces total statutory penalties of up to 102 years’ imprisonment, a fine of $1,250,000, or twice the loss to the victims, and up to 4 years’ supervised release upon completion of imprisonment. Wilkey pleaded guilty to 3 counts of wire fraud, 2 counts of bank fraud and 1 count of aggravated identity theft. She faces total statutory penalties of up to 122 years’ imprisonment, a fine of $3,000,000, or twice the loss to the victims, and up to 5 years’ supervised release upon completion of imprisonment. The case investigation was conducted by the Federal Bureau of Investigation, Springfield Field Office, with the assistance of the DeWitt County Sheriff’s Office; the Illinois Department of Natural Resources; and the Illinois Secretary of State. Assistant U.S. Attorney Douglas F. McMeyer is representing the government in the case prosecution.