title: Isleta Village Man Pleads Guilty to Federal Firearms Offense

component: USAO - New Mexico

body_text: ALBUQUERQUE – A Isleta Village man was charged by criminal complaint with assault with a dangerous weapon under the major crimes act. Vincent Jerome Martinez , 18, an enrolled member of the Pueblo of Isleta, appeared before a federal judge today and pled guilty to a criminal information charging him with to assault with a dangerous weapon. According to court documents, on December 14, 2023, Isleta Pueblo officers responded to a report of shots fired in a residential area. When they arrived on scene, Officers observed Martinez , dressed in black clothing, running behind a shed. After taking Martinez into custody, a search incident to the arrest revealed three 12-gauge shotgun rounds in Martinez ’s pocket and a modified shotgun with an obliterated serial number hidden under a railroad tie near the shed. The shotgun had one spent shell in the ejection port and one live round in the chamber. Officers also found two additional spent shotgun casings nearby. According to the victim, Martinez came out of a residence shortly after the victim arrived to provide transportation and pointed a shotgun at the victim while threatening to kill him. Martinez then fired the shotgun in the air, causing the victim to drive away. As the victim drove away in his vehicle, Martinez fired several rounds at the victim before fleeing from the scene to hide behind a nearby shed where he was later arrested. At sentencing, Martinez faces up to 10 years in prison. He will remain in custody pending sentencing, which has not been scheduled. U.S. Attorney Alexander M.M. Uballez made the announcement today. The Bureau of Indian Affairs investigated this case with assistance from the Isleta Police Department. Assistant United States Attorney Jesse Pecoraro is prosecuting the case. # # #


title: United States Attorney Kevin G. Ritz Announces Several Federal Indictments for Firearm Crimes Involving "Switches" and Related Offenses

component: USAO - Tennessee, Western

body_text: United States Attorney Kevin G. Ritz today announced the recent indictments of nine individuals charged in federal court for violations of federal gun laws. United States Attorney Ritz also reinforced his commitment to federal prosecution of individuals who illegally possess machine gun conversion devices (also known as “switches” or “auto sears”) and who commit other federal firearm offenses. “Our citizens deserve to feel safe in their city, and that’s why there is no higher priority for the U.S. Attorney’s Office than reducing violent crime in Memphis,” said United States Attorney Ritz. “As these recent indictments show, federal authorities in the Memphis area are vigorously enforcing federal firearms laws, including the laws prohibiting highly dangerous machine gun conversion devices. Those individuals who are driving the violence in our city will face significant federal penalties where the evidence establishes violations of federal law.” Among the indictments returned by the federal grand jury in Memphis are a multi-count indictment charging a convicted felon with possession of firearms, one of which was converted to a machine gun with a conversion device, commonly known as a “switch”. Wayne Sanders , 31, of Memphis, Tennessee was indicted on June 11, 2024, after a federal criminal complaint was filed against him on April 24, 2024. The indictment alleges that on or about February 24, 2024, Sanders possessed a Romarm Cugir 7.62 caliber pistol; a Glock .45 caliber pistol; and a Glock 9mm caliber pistol, which had been converted to a machine gun. If convicted of these offenses, Sanders faces up to fifteen years of imprisonment. According to information presented in court, the United States Marshal Service Task Force Officers attempted to arrest Sanders pursuant to an arrest warrant based on the criminal complaint when Sanders pointed another illegally possessed firearm at one of the task force officers before fleeing. Officers recovered the firearm, and Sanders was subsequently arrested without further incident. The following defendants were also charged with federal crimes involving switches: Jeremy Walker , 32. Walker was indicted on March 12, 2024, for drug and gun crimes, including possessing a firearm with a switch. Leon Moore , 26. Moore was indicted on May 30, 2024, for being a felon in possession of a firearm and possession of a machine gun. Camron Taylor , 21. Taylor was indicted on May 30, 2024, for possessing a machine gun. Montez Carr , 20. Carr was indicted on May 30, 2024, for possessing a machine gun. The following defendants were charged with other firearm or violent crime related offenses: Jocquel Williams , 28. Williams was indicted on May 30, 2024, for being a convicted felon in possession of a firearm. Al Kendrick Malone , 22. Malone was indicted on May 30, 2024, for carjacking and for brandishing a firearm during and in relation to a crime of violence. Cedric Arnold , 35. Arnold was indicted on May 30, 2024, for being a convicted felon in possession of ammunition. Jartavius Lewis , 20. Lewis was indicted on May 30, 2024, for possessing a machine gun. These cases are being investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives, the Drug Enforcement Administration, and the Project Safe Neighborhoods (PSN) Gun Task Force. Anyone with information about switches or other federal gun crimes can call 1-800-ATF-GUNS (1-800-283-4867). The charges and allegations contained in the indictments are merely accusations of criminal conduct, not evidence. The defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt and convicted through due process of law. If convicted, each defendant’s sentence will be determined by the Court after review of the factors unique to the case, including the defendant’s prior criminal records (if any), the defendant’s role in the offense, and the characteristics of the violation. These indictments are part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, using data-driven methods to set focused and strategic enforcement priorities, and measuring the results. # # # 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: Second Superseding Indictment Charges One of Two District Brothers Accused in Fentanyl and Cocaine Conspiracy with Causing the Deaths of Two Men

component: Drug Enforcement Administration (DEA)

body_text: WASHINGTON – One of two brothers, Jevaughn Mark, was charged earlier today in a second superseding indictment in connection with distributing fentanyl and cocaine, on December 26, 2023, that resulted in the deaths of two men, Brandon Román and Robert Barletta. The Mark brothers, Jevaughn “Ledo” Mark, 32, and Angelo Mark, 30, previously were charged on April 9 in a 17-count superseding indictment for participating in a conspiracy that distributed large amounts of fentanyl and cocaine in the metropolitan area. The charges were announced by U.S. Attorney Matthew M. Graves, Drug Enforcement Administration (DEA) Special Agent in Charge Jarod Forget of the Washington Division, and Chief Pamela A. Smith of the Metropolitan Police Department (MPD). Jevaughn Mark is currently being held on charges that include eight counts of unlawful distribution (of fentanyl, cocaine, and heroin) and distributing 40 grams or more of fentanyl between January 10, 2024, and March 13, 2024. The charges stem from six controlled purchases in which undercover DEA and MPD taskforce officers (UC-DEA/MPD) contacted Jevaughn Mark and purchased narcotics. In each instance, the UC-DEA/MPD agents requested to buy “Special K” or ketamine from Jevaughn Mark. In every instance, Jevaughn Mark supplied a mixture of fentanyl and other substances, including heroin, but not ketamine. After obtaining an indictment against Jevaughn Mark, law enforcement executed a search warrant at his residence in connection with his arrest. From his residence, agents recovered two firearms, cocaine, fentanyl, about $38,000 in cash, body armor vests, and drug trafficking paraphernalia. The same day, law enforcement executed another search warrant at a second residence tied to Jevaughn Mark, in which they located his brother, Angelo Mark. From Angelo Mark’s bedroom, law enforcement recovered seven firearms, 900 rounds of ammunition, dozens of pills, cocaine, fentanyl, drug trafficking paraphernalia, and about $50,000 in cash. Based on the evidence, both brothers were indicted in the first superseding indictment. On April 9, both Jevaughn Mark and Angelo Mark were charged with conspiracy to possess with intent to distribute 40 grams or more of fentanyl and 500 grams or more of cocaine between January 2021 and March 2024. Separately, Angelo Mark was charged in the first superseding indictment with possession with intent to distribute fentanyl and cocaine, possession of a firearm in furtherance of drug trafficking, and unlawful possession of a firearm by a felon. In addition to the new count of distribution of fentanyl resulting in death, Jevaughn Mark previously was charged with possession with intent to distribute fentanyl and heroin, possession with intent to distribute cocaine, possession of a firearm in furtherance of drug trafficking, and unlawful possession of a firearm by a felon. The case is being investigated by the DEA’s Washington Division and the Metropolitan Police Department. It is being prosecuted by Assistant U.S. Attorneys Iris McCranie and Special Assistant U.S. Attorney Timothy Coley, of the Violence Reduction and Trafficking Offenses (VRTO) section. An indictment is merely an allegation, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law. 24cr143


title: Indictment Charges Carjacking of Uber Eats Driver in Northwest

component: USAO - District of Columbia

body_text: WASHINGTON – Guilbert Rojas Villarroel, 39, of Alexandria, Va., was arraigned today before the Honorable Heidi Pasichow of the Superior Court of the District of Columbia on a Superior Court indictment arising from a September 2023 carjacking, announced U.S. Attorney Matthew M. Graves and Chief Pamela A. Smith, of the Metropolitan Police Department (MPD). The grand jury returned its indictment on Wednesday, May 29, 2024, charging Villarroel with armed carjacking, robbery while armed, threats to injure/kidnap, and first-degree theft. According to the government’s evidence, on September 9, 2023, an Uber Eats driver stopped in the 2000 block of K Street NW to pick up an order, leaving his friend, the victim, in the car. Villarroel jumped in the driver’s seat and ordered the victim out of the car. The victim refused, and Villarroel drove off with him still in the car. After a short distance, Villarroel stopped the car and threatened to shoot and kill the victim if he did not get out, and reached toward his waistband, making the victim believe he had a gun. The victim got out of the car and started to call 911 as he walked away. Villarroel eventually abandoned the vehicle and began walking towards the victim. Villarroel approached the victim and threatened to kill him if he called 911. Villarroel then ran away. MPD officers arrived immediately, and arrested Villarroel a short distance away. This case was investigated by the Metropolitan Police Department and the U.S. Attorney’s Office for the District of Columbia. It is being prosecuted by Assistant U.S. Attorney Shaniqua Butler. 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: U.S. Attorney Joins With Special Agents In Charge Of FBI And DEA To Announce Law Enforcement Surge Combatting Nighttime Fentanyl Trafficking In The Tenderloin District Of San Francisco

component: USAO - California, Northern

body_text: SAN FRANCISCO – U.S. Attorney Ismail J. Ramsey joined with Special Agent in Charge Brian Clark of the Drug Enforcement Administration and Special Agent in Charge Robert Tripp of the Federal Bureau of Investigation to announce a surge in nighttime activities in the Tenderloin District of San Francisco. The surge is in furtherance of “All Hands on Deck,” a law enforcement initiative to address endemic drug dealing in the area. The law enforcement officials also released a video regarding the surge that can be seen here . In November of 2023, U.S. Attorney Ramsey convened a press conference and circulated a press release announcing the new joint initiative. The press conference was attended by numerous federal, state, and local officials and dignitaries all of whom pledged to contribute resources to All Hands on Deck. The initiative, designed to change the basic cost/benefit analysis for fentanyl dealers throughout the Northern District of California, included several programmatic elements including the following: • ramping up arrests of street dealers and suppliers of fentanyl who sell fentanyl near federal buildings (including near the James R. Browning U.S. Courthouse at 7th and Mission Streets, the Nancy Pelosi Federal Building on 7th and Mission Streets, and the Phillip Burton Federal Building and U.S. Courthouse at 450 Golden Gate Avenue); • expanding efforts to track down and hold accountable suppliers of fentanyl; • bringing additional charges against persons operating money services operations who turn a blind eye to drug trafficking and money laundering transactions on their networks; • using targeted wiretaps, arrests, and searches throughout the Bay Area to enable drug seizures and to stem the flow of drugs and dealers coming into San Francisco from nearby counties; • conducting regular joint federal and SFPD “jump out” operations in the Tenderloin to make on-the-spot arrests for open-air drug dealing; • “fast-tracking” certain federal cases so that they take as little as a month from time of arrest to disposition; and • federal “adoption” of state cases to raise the stakes by holding drug dealers accountable in the federal system. As part of today’s announcement, U.S. Attorney Ramsey confirmed that “since November, we have announced numerous lengthy sentences handed down to drug dealers, extraditions of alleged drug dealers from Honduras, the prosecution of persons operating money services operations who had turned a blind eye to drug trafficking and money laundering transactions on their networks, and the federalizing and fast tracking of certain cases traditionally handled by local governments.” In addition, Special Agent in Charge Clark stated that in recent weeks, law enforcement officials have “ramped up night operations.” “Federal agents are now being deployed to hold drug dealers accountable regardless of the time of day. Our presence makes it clear there is no time to be safe from law enforcement in our neighborhoods,” he said. The night operations have resulted, thus far, in more than 20 federal criminal complaints as well as the seizure of pounds of drugs (including more than 11 lbs. of fentanyl and more than 5 lbs. of methamphetamine) and over $20,000 in seized cash. Referring to the unveiling of All Hands on Deck, Special Agent in Charge Tripp stated, “As we stated last November, our objective is to change the equation for drug dealers. As the consequences of choosing to supply drugs in the Tenderloin become more severe, dealers and suppliers are going to have to reassess their risk. Is it worth it? We aim to show the answer is no.” Since the inception of the initiative in November of 2023, the U.S. Attorney’s Office has charged over 90 individuals for drug distribution activities in the Tenderloin District of San Francisco. As of this week, over 70 of those cases have resulted in federal convictions.


title: Former University City High School Teacher Pleads Guilty to Attempted Enticement of a Minor

component: USAO - California, Southern

body_text: NEWS RELEASE SUMMARY – June 13, 2024 SAN DIEGO – Sean Stevenson, a former high school science teacher at University City High School, pleaded guilty in federal court today, admitting that when he was still a teacher, he sought commercial sex with a 16-year-old girl. Stevenson was arrested in October 2023 when he arrived for what he thought would be a sexual rendezvous with the underage girl. At the time he was unaware that he was communicating online with an undercover agent. Stevenson’s alleged illicit activity was discovered during another sex trafficking investigation. According to his plea agreement, Stevenson used a voice-over-internet protocol (VOIP) line to negotiate by text message for commercial sex with a woman who identified herself as “Kash.” Stevenson offered Kash a fee to find a female under the age of 18 for Stevenson. In pertinent part, Stevenson made these statements to Kash via text: “I don’t suppose you know in[sic] younger girls I could pay u a premium for?”; “I pay u a finders fee and I pay her”; “The younger the better”; and “Just keep it in mind if you come across any high school age girls.” When Kash suggested an 18-year-old girl, Stevenson replied: “Not young enough.” When Kash was arrested as part of the sex trafficking investigation, an undercover officer continued the online conversation with Stevenson. Believing he was still speaking with Kash, when the undercover officer offered a 16-year-old cousin for commercial sex with Stevenson, he replied: “Oh ... yes!” Stevenson continued to exchange messages with the undercover officer, negotiating $150 for a “bbbj” (oral copulation without a condom); $100 for manual genital stimulation; a “car date” (a commercial sex encounter that occurs inside a vehicle). The exchange continued, with Stevenson stating, “Ok. Well I’m interested in her for sure!” He asked for a “sexy pic,” negotiated a $140 fee and arranged to meet up. On October 24, 2023, at approximately 7 a.m., Stevenson arrived at the pre-arranged meet up location. He drove to a parking lot where he had a full unobstructed view of the meeting location. He then drove laps around a nearby apartment complex where he expected to meet the 16-year-old. Stevenson was stopped by law enforcement officials and placed under arrest. During the arrest, $140 was located in the driver’s side door storage area of Stevenson’s Mazda Miata. “Instead of a protector, this teacher became a predator,” said U.S. Attorney Tara McGrath. “These despicable acts betray the trust of students, parents, and the entire community. Yet through swift justice in this case we have continued to protect children from being exploited, trafficked, and abused.” “Mr. Stevenson was a trusted member of the community who preyed upon our most vulnerable youth,” said Christopher Davis, acting special agent in charge for HSI San Diego. “HSI is fully committed to working with our law enforcement partners to rescue victims and aggressively investigate allegations of human trafficking and sexual exploitation of children. We encourage anyone who has information related to human trafficking and sexual exploitation of children to report it to law enforcement immediately.” Stevenson is scheduled to be sentenced on September 5, 2024, at 9 a.m. before U.S. District Judge Anthony J. Battaglia. This case is being prosecuted by Assistant U.S. Attorneys Derek Ko and Andrew Sherwood. Anyone with information about this case is urged to contact San Diego County Crime Stoppers (888-580-8477) and the National Human Trafficking Hotline (888-373-7888). DEFENDANTS Case Number Sean Stevenson Age: 58 San Diego, CA SUMMARY OF CHARGES Attempted Enticement of a Minor– Title 18, U.S.C., Section 2422(b) Maximum penalty: Life in prison, 10-year mandatory minimum INVESTIGATING AGENCIES Homeland Security Investigations San Diego Human Trafficking Task Force


title: Dominican Republic Resident Pleads Guilty to Conspiring to Traffic Cocaine

component: USAO - Pennsylvania, Western

body_text: PITTSBURGH, Pa. – A citizen of the Dominican Republic pleaded guilty in federal court to a drug trafficking charge, United States Attorney Eric G. Olshan announced today. Adelin Hernandez Amparo, 31, pleaded guilty before United States District Judge William S. Stickman IV to one count of conspiracy to distribute and possess with intent to distribute five kilograms or more of cocaine. In connection with the guilty plea, the Court was advised that federal, state, and local law enforcement operating under the High Intensity Drug Trafficking Areas (HIDTA) program in Beaver County conducted a joint investigation into the Kijana Lowe drug trafficking organization. On November 8, 2021, law enforcement conducted a surveillance operation at the Greyhound Bus Station in downtown Pittsburgh, and observed Hernandez Amparo and another individual exit the bus station with two suitcases and get into a vehicle driven by a co-defendant. Mobile surveillance followed the vehicle to a motel in Coraopolis. Surveillance observed Lowe enter the motel room occupied by Hernandez Amparo and the two co-defendants, and then back outside, accept one of the suitcases transported from the bus station. Law enforcement detained the individuals and executed search warrants on the suitcase, the motel room, and Lowe’s vehicle. The suitcase contained nearly 10 kilograms of cocaine, a Schedule II controlled substance. Lowe’s vehicle contained over $280,000 that was to be used to purchase the seized cocaine. A search of cell phones revealed text messages from Lowe in which Lowe complained about having to pay three people for the drug re-supply, referring to Hernandez Amparo and his associates. Judge Stickman scheduled sentencing for October 16, 2024. The law provides for a maximum total sentence of not less than 10 years and up to life in prison, a fine of up to $10 million, or both. Under the federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offense and the prior criminal history, if any, of the defendant. Pending sentencing, the Court remanded Hernandez Amparo to the custody of the U.S. Marshals Service. Assistant United States Attorney Brendan J. McKenna and Special Assistant United States Attorney Kara Cotter are prosecuting this case on behalf of the government. The Pennsylvania Office of Attorney General and Drug Enforcement Administration conducted the investigation that led to the prosecution of Hernandez Amparo.


title: Kearney Man Sentenced for Post Office Burglary

component: USAO - Nebraska

body_text: United States Attorney Susan Lehr announced that Tyrelle Smiley, 26, of Kearney, Nebraska, was sentenced on June 13, 2024, in federal court in Lincoln, Nebraska for burglary of a United States Post Office. Senior United States District Court Judge John M. Gerrard sentenced Smiley to 22 months’ imprisonment. There is no parole in the federal system. After Smiley’s release from prison, he will begin a 3-year term of supervised release. On November 17, 2019, two people broke into the U.S. Post Office branch in Rockville, Nebraska. When U.S. Postal employees arrived at work on Monday, November 18, they discovered several items had been taken, including items that were being mailed, U.S. currency belonging to the Post Office, and coils of postal stamps. Two persons, including the Smiley, were found to have been responsible for other burglaries in the area and became suspects in this burglary. A Postal Inspector met with Smiley. Smiley eventually admitted that he had entered the post office. The Postal Inspector also interviewed a person who lived in the same apartment as Smiley. That person consented to a search of the apartment. Some of the stolen property was discovered, including a coil of stamps. Those stamps were later examined for fingerprints and Smiley’s fingerprints were found on the coil of stamps. Judge Gerrard originally sentenced smiley to 30 months’ imprisonment on June 28, 2023. There was a mistaken understanding of when the post office burglary took place relative to other burglaries Smiley had been convicted of committing in state court. That error was discovered on appeal. The Eighth Circuit Court of Appeals then remanded the case for resentencing. This case was investigated by the United States Postal Inspection Service.


title: Omaha Man Pleads Guilty to Possession With the Intent to Distribute Methamphetamine

component: USAO - Iowa, Northern

body_text: A man who possessed methamphetamine with the intent to distribute pled guilty on June 12, 2024, in federal court in Sioux City. Jose L. Velez, Sr., age 39, from Omaha, Nebraska, was convicted of one count of possession with intent to distribute a controlled substance, methamphetamine. At the plea hearing, Velez admitted on or about February 23, 2024, he knowingly and intentionally possessed with intent to distribute 500 grams or more of a mixture or substance containing a detectable amount of methamphetamine and 50 grams or more of actual (pure) methamphetamine. Sentencing before United States District Court Chief Judge Leonard T. Strand will be set after a presentence report is prepared. Velez remains in custody of the United States Marshal and will remain in custody pending sentencing. Velez faces a mandatory minimum sentence of 10 years’ imprisonment and a possible maximum sentence of life imprisonment, a $10,000,000 fine, and 5 years of supervised release following any imprisonment. The case is being prosecuted by Assistant United States Attorney Kevin C. Fletcher and was investigated by the North Central Iowa Drug Task Force, the Cerro Gordo Sheriff’s Office, the Clear Lake Police Department, the Iowa Division of Narcotics Enforcement, the Mason City Police Department, the Iowa State Patrol, the Iowa DCI Laboratory, and the Cerro Gordo County Attorney’s Office. Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl . The case file number is 24-CR-03018. Follow us on Twitter @USAO_NDIA.


title: Clive Insurance Salesperson Sentenced to 19 Years for Fraud and Contempt

component: USAO - Iowa, Southern

body_text: A Clive man was sentenced on June 12, 2024, to 18.5 years in federal prison for wire fraud and an additional six months for criminal contempt of court. He also was ordered to pay over $2.4 million in restitution to the victims of his fraud. According to public court documents and evidence presented at sentencing, Zachary James Flaherty, 48, conducted a vast fraud over the course of seventeen years. From 2006 to 2023, Flaherty defrauded over thirty individuals out of all or portions of their retirement savings and other monies—in all, Flaherty’s victims lost over $3 million. Flaherty’s victims were from Iowa, Kansas, Missouri, and Nebraska; nearly all the victims were elderly, with the oldest being ninety-three years old at the time of the fraud. Most of the victims had limited financial knowledge. Flaherty developed close relationships with his victims—he took them out to eat, bought them gifts, and helped with chores around their house. At least six of Flaherty’s victims were recently widowed when he exploited them, and Flaherty assisted with funeral arrangements or related matters for multiple victims’ spouses. To gain access to his victims’ monies, Flaherty lied to his victims about numerous matters, including information about the returns and bonuses they could receive by investing with him, their ability to make penalty-free withdrawals of their funds, and the losses they could incur. Once his victims had “invested” with him, he continued to misrepresent and conceal information about the returns the victims were earning, the amount of money victims had invested, and the costs and penalties associated with the investments. Flaherty primarily used two approaches to defraud his victims. His first approach was to encourage his victims to write checks to him or one of his businesses and promise his victims that he would invest the funds on their behalf. Victims trusted Flaherty’s statements and wrote him numerous checks. But Flaherty did not invest the funds on his victims’ behalf as he had stated; instead, he spent the money on himself, his family, and his businesses. Flaherty’s second approach was to invest his victims’ funds into annuities. Flaherty was licensed to sell annuities in multiple states, and by purchasing annuities for his clients, Flaherty received over $1 million in commission payments from insurance companies. To obtain annuities on his victims’ behalf, however, Flaherty submitted documents to insurance companies which contained false misrepresentations, including forged signatures for his victims. Flaherty’s elderly victims were not financially situated to invest in annuities. Annuities are long-term investments which typically take years to fully vest. If the owner of the annuity withdraws or cancels the annuity before it vests, then the owner usually must pay penalties, taxes, and other fees. Flaherty misrepresented the extent of the penalties, taxes, and fees his victims would suffer by investing with him, and he repeatedly encouraged his victims to withdraw funds and cancel annuities. Taking Flaherty at his word, his victims withdrew money and cancelled annuities, resulting in victims suffering massive amounts of losses. Numerous victims spoke at sentencing about how Flaherty’s actions had betrayed their trust in him, shattered their faith in other people, and left them with limited financial resources. Several victims lost nearly all their life savings; others can no longer afford medical or assisted-living care. Victims also reported suffering health problems as a result of the increased anxiety and stress caused by Flaherty’s crimes. Flaherty’s conviction for criminal contempt of court resulted from his violations of court orders issued in February 2024. Those orders prohibited Flaherty from selling or dissipating his personal property, which could be used to pay some of the money back to victims. Yet, Flaherty sold and attempted to sell and conceal several assets in March and April 2024, including guitars. Evidence at sentencing established that since being charged with federal crimes in April 2023, Flaherty repeatedly violated court orders applicable to him. “Elder financial fraud causes devastating losses to its victims. Zachary Flaherty’s actions targeting the retirement savings and fixed incomes these victims spent a lifetime earning were an unprecedented betrayal of the trust they placed in him. The severity of Flaherty’s 228 months’ sentence, and $2.4 million in restitution, only partially compensates for the deep financial harm caused by his conduct. The heartbreaking impact of this type of crime can leave victims fearful for the future and wondering who to trust. Some helpful keys to combat these crimes are accountability and awareness,” said United States Attorney Richard D. Westphal for the Southern District of Iowa. United States Attorney Richard D. Westphal of the Southern District of Iowa made the announcement. The Iowa Insurance Division’s Fraud Bureau and the Federal Bureau of Investigation investigated this case, with assistance from the Ankeny Police Department, the Clive Police Department, the Des Moines Police Department, and the Iowa Department of Public Safety’s Division of Criminal Investigation. To report elder fraud, contact the dedicated National Elder Fraud Hotline at 1-833-FRAUD-11 or 1-833-372-8311 and visit the FBI’s IC3 Elder Fraud Complaint Center at https://www.ic3.gov . To learn more about the Department of Justice elder justice efforts please visit the Elder Justice Initiative page: https://www.justice.gov/elderjustice .


title: VIRGIN ISLANDS GOVERNMENT OFFICIALS CHARGED IN $4 MILLION DOLLAR HUD FRAUD SCHEME

component: USAO - Virgin Islands

body_text: St. Croix, VI – United States Attorney Delia L. Smith announced today that Department of Education Director of Maintenance, Davidson Charlemagne, 50, and his wife Sasha Charlemagne, 44, both of St. Croix, were arrested after a federal grand jury returned an indictment charging the pair with government program fraud, wire fraud and money laundering conspiracy. The indictment also charges former Virgin Islands Housing Finance Authority (“VIHFA”) Chief Operating Officer Darin Richardson, 56, of St. Thomas, with criminal conflict of interest and making materially false statements. “As alleged, these defendants exploited hurricane recovery efforts in order to develop and carry out a $4 million scheme to defraud taxpayers,” said U.S. Attorney Delia L. Smith. “The indictment levied against these individuals sends a clear message that the Department of Justice and our law enforcement partners followed the money and will continue to hold public officials seeking to profit from natural disasters accountable for their crimes. I commend the diligent work done by Housing and Urban Development Office of Inspector General, Federal Bureau of Investigation and the Small Business Administration Office of Inspector General who worked tirelessly to uncover this conspiracy to defraud the citizens of our Territory.” According to court documents, the charges stem from a two-year investigation involving a VIHFA contract for storage and management of wood that was shipped to the Territory to be used for the reconstruction of commercial and residential buildings following Hurricanes Irma and Maria in 2017. After both hurricanes, Federal Emergency Management Agency (“FEMA”) mobilized resources, including a large consignment of wood, to rebuild public and private infrastructure in the Virgin Islands. As part of those efforts, VIHFA received funding through the Department of Housing and Urban Development (“HUD”) Community Development Block Grant Disaster Recovery program to pay for the storage and management of the wood. Initially, VIHFA stored the St. Croix consignment of wood at Sunshine Mall in Frederiksted, St. Croix. However, in 2020, the owner of Sunshine Mall requested that the Government of the Virgin Islands remove the St. Croix woodpile from his commercial property. On May 12, 2020, VIHFA issued a public request for proposals seeking bids for a contract to store and manage the woodpiles on both islands. On June 2, 2020, VIHFA received a proposed bid from ISG and D&S Trucking, a company owned and operated by Davidson Charlemagne, at a cost of $2,993,500.00, over a three-year period. The proposal included cost estimates for four employees, including a warehouse manager at $120,000.00 per year, a forklift driver at $100,000.00 per year, a shipping and receiving clerk at $80,000.00 per year, and an administrative staffer. These estimates for labor were vastly inflated and above the labor costs estimated by VIHFA. By comparison, according to the United States Bureau of Labor Statistics, salaries for forklift drivers, shipping and receiving clerks, and administrative support personnel average approximately $41,000.00 per year, and a manager of warehouse employees earns on average $64,000.00 per year. As required by HUD and VIHFA, Charlemagne certified in the proposal that his company, D&S Trucking, had general and automotive insurance that expired on December 18, 2020. No evidence exists, however, that Charlemagne had insurance he claimed to have at the time he submitted the bid certification. Without insurance, Charlemagne’s company, D&S Trucking, was ineligible to serve as subcontractor on the woodpile storage and management contract. Charlemagne also failed to disclose in his bid that he was employed as Director of Maintenance for the Virgin Islands Department of Education or that he would be obtaining rent-free warehouse space at Henderson Elementary School, a property owned by the Virgin Islands Government. Essentially, ISG’s bid proposed that D&S Trucking would collect vastly inflated annual fees from one government agency to store and manage the St. Croix woodpile rent-free at another government agency where Charlemagne is employed. VIHFA received a second request for proposal from Infrastructure and Disaster Recovery Group (“IDRG”), a company incorporated in the state of Texas, in response to VIHFA woodpile management contract. IDRG, however, was not registered with the federal government’s System for Award Management (“SAM”), a prerequisite for companies seeking government contracts, nor a Dun & Bradstreet (“DUNS”) account number. The absence of a SAM registration and DUNS account number should have raised significant red flags to VIHFA, the absence of which effectively rendered IDRG ineligible to be awarded a federal contract. The investigation later revealed that IDRG’s bid proposal was altered by unknown co-conspirators after it was submitted to VIHFA which resulted in IDRG’s bid being less competitive than ISG and D&S Trucking’s bid. In June 2020, VIHFA COO Darin Richardson convened a Bid Evaluation Committee meeting to review the bids submitted by ISG and IDRG. On July 7, 2020, Richardson, who had total authority over all procurement and contract related decisions at VIHFA, gave ISG’s bid higher ratings across all technical factors, as compared to the bid submitted by IDRG. On January 27, 2021, Richardson formally awarded ISG and D&S Trucking the contract for the storage and management in the amount of $2,993,500.00, commencing on February 1, 2021, and ending January 31, 2024. Pursuant to the Federal Acquisition Regulations which govern all contracts utilizing federal funds, it was unlawful for Richardson to formally award the contract to ISG and D&S Trucking after evaluating and rating proposals from companies. Federal regulations contemplate a bifurcation of these two duties, and Richardson violated the regulations by performing both roles. On February 1, 2021, Charlemagne, through ISG and D&S Trucking, began collecting payments from VIHFA averaging $83,000.00 per month. Charlemagne, in his capacity as Director of Maintenance for Department of Education, arranged for rent-free storage of the St. Croix woodpile at Henderson Elementary School. Despite receiving payments under the contact from February 2021, Charlemagne did not remove the St. Croix woodpile from Sunshine Mall to Henderson Elementary School until August 2021, seven months after he began receiving payments under the contract. Accordingly, Charlemagne received over $582,000.00 in payments from VIHFA before beginning any work that he had contractually agreed to perform. During the period of February 8, 2021, through November 3, 2022, ISG and D&S Trucking billed VIHFA $1,526,743.00 for labor costs despite paying only $461,379.00 in payroll costs to employees who were purportedly managing the St. Croix and St. Thomas woodpiles. This sum represents a 331% profit to Charlemagne for labor under the contract. Moreover, of the $461,379.00 in payroll paid by D&S Trucking, $67,037.00 was paid to Sasha Charlemagne. No record exists with the Virgin Islands Department of Labor that Sasha Charlemagne has ever been employed with or earned a salary from D&S Trucking, as required by Virgin Islands Law. Charlemagne also reported hiring an additional 21 individuals to allegedly work under the terms of the woodpile contract on St. Croix and St. Thomas. However, no record exists with the Department of Labor that Charlemagne employed 21 individuals nor paid employer payroll taxes for those employees, as required by the laws of the Virgin Islands. The investigation further revealed that the Charlemagnes used federal funds to pay for a variety of personal and business expenditures, including over $365,000.00 in credit card bills, car loans, and bank lines of credit; approximately $100,000.00 in equipment purchases; over $120,000.00 in cash transfers to themselves; and over $35,000.00 on fireworks. On June 7, 2021, while serving as COO, and in that capacity, managing and supervising all procurement related decisions for VIHFA, Richardson increased the value of ISG’s contract to $4,043,100.00. The purported justification for the $1,000,000.00 increase was that the length of the contract term was increased from 2.8 years to 3.0 years. This justification, however, was false as the contract term was originally set for a three-year term which would not have expired until January 2024, more two-and-a-half years later. Again, on August 20, 2021, while serving as COO of VIHFA, Richardson increased ISG’s contract to $4,319,816.50, an increase of $276,416.50 in two months. For a third time in eight months, Richardson, in his capacity as COO of VIHFA, again increased the value of ISG’s contract to $4,423,644.50, on October 13, 2021. On February 7, 2022, Richardson, while serving as COO for VIHFA, received a payment in the amount of $107,000.00 from ISG. On February 14, 2023, after resigning as COO from VIHFA, Richardson was interviewed by HUD Office of Inspector General during which he falsely stated that he had recused himself from all VIHFA matters related to ISG, and that he was pursuing a business relationship with ISG. Richardson’s statement was false as he was, in fact, instrumental reviewing and awarding ISG and D&S Trucking the woodpile contract. In fact, a review of relevant documents revealed that Richardson never executed any document with HUD nor VIHFA to formally recuse himself from matters related to ISG. “The indictment related to theft of HUD disaster relief program funds meant to benefit low-income families is a signal that we take seriously allegations of illegally obtained taxpayer dollars through fraudulent schemes,” said HUD OIG Southeast Region Acting Special Agent-in-Charge, George Richardson. “HUD OIG remains committed to working with our law enforcement partners to protect the integrity of HUD’s programs and to ensure vulnerable people in our communities are provided critical resources upon which they can rely.” "The indictment and arrests announced today are a clear demonstration of the FBI's unwavering commitment to justice and the responsible use of government funds. We will not tolerate those who seek to defraud the government and hinder the crucial assistance for those in need. We will continue to vigorously pursue justice for the American people and ensure that disaster relief funds are used as intended," said Joseph Gonzalez, Special Agent in Charge of the FBI San Juan Field Office. "We call on the people of the U.S. Virgin Islands to join us in this fight by reporting these crimes to our main line at 787-987-6500. Your tips are invaluable, and we assure you that we will do our utmost to protect your identity and investigate every lead." “Our office is committed to investigating fraud across all SBA programs,” said SBA OIG’s Eastern Region Special Agent in Charge Amaleka McCall-Braithwaite. “We leverage our agent’s expertise to uncover complex fraud schemes, including those that arise during pandemic fraud investigations. Our collaboration with the U.S. Attorney’s Office and our law enforcement partners is essential in protecting taxpayer interests in the U.S. Virgin Islands.” In January 2024, VIHFA renewed ISG’s woodpile contract for an additional three-year term with payments averaging over $120,000.00 per month to Davidson and Sasha Charlemagne. Since the inception of the contract in February 2021, VIHFA has paid ISG and D&S Trucking over $3,600,000.00 in federal funds, of which approximately $3,177,000.00 has been credited to bank accounts owned and controlled by Davidson and Sasha Charlemagne. The woodpiles in St. Croix and St. Thomas, however, remain almost entirely unused and stacked on pallets outdoors and exposed to the elements for more than three years, and homes across the Territory remain in need of repairs from damage caused by Hurricanes Irma and Maria in September 2017. This case is being investigated by Housing and Urban Development Office of Inspector General, Federal Bureau of Investigation and the Small Business Administration Office of Inspector General and is being prosecuted by Assistant United States Attorney Evan Rikhye. U.S. Attorney Smith reminds the public that an indictment is merely a formal charging document and is not evidence of guilt. Every defendant is presumed innocent until proven guilty beyond a reasonable doubt.


title: Athens, Georgia, Woman Indicted on Cyberstalking and Threat Offenses

component: Criminal - Computer Crime and Intellectual Property Section

body_text: NASHVILLE – An Athens, Georgia, woman is facing federal criminal charges in the Middle District of Tennessee after law enforcement officers executed multiple search warrants, including a search warrant on her home, announced United States Attorney Henry C. Leventis. The indictment, returned on May 15, 2024, by a federal grand jury, charges Gabryele “Gabby” Watson, 26, with two counts of cyberstalking and one count of interstate transmission of threats to kidnap or injure. Watson is accused of cyberstalking by engaging in an adoption scam targeting a couple living in the Middle District of Tennessee and transmitting an interstate threat during her communication with the couple. If convicted, Watson faces a maximum sentence of five years in federal prison for each count. This case was investigated by the Federal Bureau of Investigation, Nashville Resident Agency, Memphis Field Office. Assistant U.S. Attorney Monica R. Morrison of the Middle District of Tennessee and Senior Trial Attorney Mona Sedky of the Computer Crime and Intellectual Property Section of the Department of Justice are prosecuting the case. If you believe that you or someone you know may be a victim of, or have any information about, the conduct alleged in the indictment, please contact your local FBI field office or visit the FBI's website at www.fbi.gov/WatsonAdoptionFraud or the United States Attorney’s Office’s website at www.justice.gov/usao-mdtn/victim-witness-assistance/gabryele-watson . An indictment is merely an allegation. The defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law. # # # # #


title: Georgia Residents Charged with $1 Million Wire Fraud

component: USAO - West Virginia, Northern

body_text: MARTINSBURG, WEST VIRGINIA – Two Georgia residents have been charged with causing a Gilmer County business to send them three fraudulent wires totaling over $1 million as part of a business email compromise scheme. United States Attorney William Ihlenfeld announced that Chisom Okonkwo, age 27, and Prince Boateng Adjei, age 30, both of Lawrenceville, Georgia, have been indicted on 18 counts of wire fraud. According to the indictment, Okonkwo and Adjei created an email address which spoofed that of an employee at a Gilmer County business, causing a vendor to send more than $1 million to a bank account controlled by the defendants in Georgia. Before investigators uncovered the crime, Okonkwo and Adjei are alleged to have expended more than $600,000 of the stolen funds. “Business email compromise fraud continues to be a problem in West Virginia and throughout the country,” said U.S. Attorney Ihlenfeld. “The good news is that it can be prevented with the training of employees, the implementation of email authentication protocols, and verifying the sender of the email through another form of communication.” Assistant U.S. Attorney Jarod Douglas is prosecuting the case on behalf of the government. The United States Secret Service investigated the case. An indictment is merely an allegation, and each defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.


title: Pittsburgh Man Sentenced to 15 Years in Prison for Committing Series of Armed Robberies

body_text: PITTSBURGH, Pa. - A resident of Pittsburgh, Pennsylvania, was sentenced in federal court on June 10, 2024, to 180 months of incarceration, to be followed by three years of supervised release, and ordered to pay $26,583.43 in restitution on his conviction of robbery and firearms violations, United States Attorney Eric G. Olshan announced today. United States District Judge Robert J. Colville imposed the sentence on Richard James, 33. According to information presented to the Court, in April and May of 2021, James committed a series of armed robberies of cellular phone stores in the Pittsburgh area, during each of which James brandished a pistol at store employees. During one robbery, James ordered a store employee to the ground at gunpoint before demanding that the employee put cell phones in his bag. At another robbery, James rushed an employee as she was entering the back storage area of the store and then dragged her into the room. While holding that employee at gunpoint, James demanded that a second employee fill his bag with cell phones. The Court was also informed that James was found in illegal possession of a firearm in August 2021. As a previously convicted felon, James is prohibited under federal law from possessing a firearm or ammunition. “The successful investigation and prosecution of Richard James for his commission of several violent armed robberies was a collaborative effort between our office, the ATF, Pittsburgh Bureau of Police, Swissvale Police Department, and Wilkinsburg Police Department,” said U.S. Attorney Olshan. “Among the results of that collaboration is that James will be spending the next decade and a half in federal prison. The United States Attorney’s Office will continue to work with our law enforcement partners at the federal, state, and local levels to help protect our communities from gun violence and prosecute those who attempt to carry out such crimes.” “Stopping firearms-related violent crime and bringing justice for its victims is core to ATF’s mission,” said Eric DeGree, Special Agent in Charge of the ATF Philadelphia Field Division. “I hope the sentencing of Richard James brings closure and helps restore a sense of security to his victims and the communities he terrorized.” Assistant United States Attorney Douglas C. Maloney prosecuted this case on behalf of the government. United States Attorney Olshan commended the Bureau of Alcohol, Tobacco, Firearms and Explosives, Pittsburgh Bureau of Police, Wilkinsburg Police Department, and Swissvale Police Department for the investigation leading to the prosecution of James.


title: Albuquerque Man Pleads Guilty to Manufacturing and Selling Machinegun Conversion Devices

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

body_text: ALBUQUERQUE – An Albuquerque man pleaded guilty in federal court to engaging in the business of dealing firearms without a license and possession of a machine gun conversion device. According to court documents, in December 2022, the ATF identified an Instagram user as possibly being in possession of and selling illegal machine gun conversion devices, which modify firearms to make them fire fully automatic. The ATF identified the user as Joe Jasso , 20, by the distinctive tattoo on his hand. In January 2023, the account was deleted. A new Instagram account was identified by the ATF in January 2023, which appeared to belong to Jasso based on the same hand tattoos being visible on posts on the account. On February 3, 2023, undercover detectives from the Albuquerque Police Department contacted Jasso through Instagram and set up a controlled purchase of machine gun conversion devices from Jasso and his mother, Rachael Jasso. During the transaction, Jasso explained to the undercover detective how to install the conversion device onto a firearm and confirmed that it would allow the firearm to shoot fully automatic. Jasso also offered to obtain an assault rifle auto sear to sell to the undercover officer. On February 16, 2023, federal law enforcement agents and local law enforcement executed a search warrant at Jasso ’s residence in Albuquerque. Inside the home, law enforcement located and seized: Approximately ten firearms, Five machine gun conversion devices, A large amount of ammunition, Numerous ammunition magazines (both loaded and unloaded), and A 3D printer. As part of his guilty plea, Jasso admitted he knew the conversion devices met the federal definition of a firearm and that he did not have a license to engage in the business of selling firearms. The Court ordered that Jasso remain in custody pending sentencing, which has not been scheduled. At sentencing, Jasso faces up to 10 years in prison. Upon his release from prison, Jasso will be subject to up to three years of supervised release. Jasso ’s co-defendant, Rachel Jasso, is currently scheduled to stand trial on July 8, 2024. U.S. Attorney Alexander M.M. Uballez and Brendan Iber, Special Agent in Charge of the Phoenix Field Division of the Bureau of Alcohol, Tobacco, Firearms and Explosives, made the announcement today. The Bureau of Alcohol, Tobacco, Firearms and Explosives investigated this case with assistance from the Albuquerque Police Department. Assistant U.S. Attorney Samuel A. Hurtado is prosecuting the case. Machine gun conversion devices and auto sears are illegal devices designed to modify a semi-automatic firearm so it is capable of fully automatic fire, that is, continuous firing with a single trigger pull. The possession, manufacture, and/or sale of machine gun conversion devices without proper licensing is a federal offense punishable by severe penalties, including up to 10 years in prison and fines up to $250,000. The use of machinegun conversion devices poses a significant public safety risk, as they transform semi-automatic firearms into dangerous machine guns capable of causing catastrophic harm. # # #


title: Former Department of Corrections Officer Pleads Guilty in COVID-19 Fraud Scheme

component: USAO - North Carolina, Eastern

body_text: RALEIGH, N.C. – Tana Eguasa Hill, 43, pled guilty pursuant to a criminal information to theft of government funds for fraudulently submitting North Carolina Housing Opportunities and Prevention of Evictions (NC HOPE) loan applications for emergency rental assistance. As part of her fraud scheme, the defendant, a correctional officer with the North Carolina Department of Corrections (NCDOC), submitted fictitious tenant lease agreements for multiple properties in Hertford County as part of her NC HOPE loan applications. She faces up to 10 years in prison. On March 27, 2020, Congress enacted the Coronavirus Aid, Relief, and Economic Security (CARES) Act, which was designed to provide emergency financial assistance to millions of Americans who were suffering the economic effects caused by the Covid-19 pandemic. One source of relief provided by the CARES Act was the authorization of $5 billion in Community Development Block Grant (CDBG) programs as flexible federal funding to states and localities earmarked to prevent, prepare for, and respond to the coronavirus pandemic. The United States Department of Housing and Urban Development (HUD) administers the CDBG program as a source of flexible federal funding for economic and community development, as well as to direct long-term recovery funding to states and localities in response to disasters and emergencies. The State of North Carolina’s Office of Recovery and Resiliency (NCORR), a division of the North Carolina Department of Public Safety, utilized federal funds made available in the CARES Act to assist North Carolina renters stay in their homes during COVID-19 by preventing evictions and the loss of utility services. The NC HOPE program utilized an initial $51.5 million allocation of CDBG funds from the CARES Act to provide housing and utility assistance. The State of North Carolina also received CRF funds from the CARES Act, of which $66 million was allocated to pay administrative costs associated with the NC HOPE program. In November 2023, Ms. Hills’ husband, Sean Dillard (2:23-CR-00011), was sentenced for the same crime. Michael Easley, U.S. Attorney for the Eastern District of North Carolina, made the announcement after sentencing by United States Magistrate Judge Robert B. Jones, Jr. accepted the plea. Sentencing will occur before United States District Judge Louise W. Flanagan later this year. The FBI is leading the investigation, and Assistant U.S. Attorney Ethan Ontjes is prosecuting the case. Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for 2:24-CR-00003-FL.


title: Former IRS Employee Indicted for Fraudulent Tax Returns

component: USAO - Missouri, Western

body_text: KANSAS CITY, Mo. – A former IRS employee has been indicted by a federal grand jury for preparing fraudulent tax returns that illegally claimed more than $200,000 in refunds for her clients. Sandra D. Mondaine, 64, of Grandview, Mo., was charged in a 39-count indictment returned by a federal grand jury in Kansas City, Mo., on Tuesday, June 11. Mondaine previously worked for the IRS as a contact representative before retiring. The fedeal indictment charges Mondaine with 39 counts of aiding and assisting in the preparation and filing of false and fraudulent income tax returns. The indictment alleges that Mondaine assisted at least 11 individuals to file at least 39 false and fraudulent income tax returns for the tax years 2018 through 2021. The tax loss associated with those false returns is approximately $237,329. The federal income tax returns prepared by Mondaine allegedly included Fraudulent Filing Status, Fraudulent Schedules A - Itemized Deductions, Fraudulent Schedules D - Capital Gains and Losses and Fraudulent Forms 5695, Residential Energy Credits. By including these and other fraudulent items on the client’s tax returns, the indictment says, Mondaine was able to manufacture substantial refunds to her clients that they would not have been entitled to if the returns had been accurately prepared. The charges contained in this indictment are simply accusations, and not evidence of guilt. Evidence supporting the charges must be presented to a federal trial jury, whose duty is to determine guilt or innocence. This case is being prosecuted by Assistant U.S. Attorney Paul S. Becker. It was investigated by IRS-Criminal Investigation.


title: Seventeen Federal Agencies Recognize Decade of Federal Progress Addressing Elder Abuse

component: Office of the Attorney General

body_text: At a meeting of the Elder Justice Coordinating Council (EJCC) on Wednesday, June 12, 17 federal agencies including the Justice Department and the Department of Health and Human Services (HHS) will look back on a decade in which the federal government has significantly expanded efforts to combat elder abuse, neglect, and exploitation — including in the areas of enforcement, public education, training, interagency collaboration, research, and support for older adults who experience or are at risk of experiencing abuse. “We know that the vast majority of elder abuse cases go unreported. And that too many victims remain unseen,” said Attorney General Merrick B. Garland. “That is why the Department of Justice has aggressively targeted perpetrators of elder fraud and abuse, while providing victims with the support they need. In the last five years, the Department has pursued more than 1,500 criminal and civil cases involving conduct that targeted or disproportionately affected older adults. We have provided services to more than 1.5 million older victims. And we have returned hundreds of millions of dollars to elder fraud victims. The Elder Justice Coordinating Council has played a key role in our work.” “The Biden-Harris Administration is committed to supporting the health, well-being, and independence of older adults and to advancing equity for all Americans. Elder justice is a crucial element of both,” said HHS Secretary Xavier Becerra. “Today, we celebrate the progress we have made advancing elder justice. But we will not rest until every older person lives with dignity and without fear of abuse or neglect.” “We know that it will take an all-of-government approach to make our shared vision of elder justice and community inclusion a reality, and in the last decade, the federal response to elder abuse has become more robust and coordinated,” said Alison Barkoff, who leads the Administration for Community Living. “It is incredible to reflect on the progress we have made in the years since the EJCC first convened. We have a lot of progress to build upon and so many opportunities to do more. The work of advancing elder justice has never been more important, or more urgent.” The EJCC was established by the 2010 Elder Justice Act to coordinate federal activities related to elder abuse, neglect, and exploitation across the federal government. Today’s meeting looked back on accomplishments in the decade since the EJCC adopted Eight Recommendations for Increased Federal Involvement in Addressing Elder Abuse, Neglect, and Exploitation as a common set of priorities to guide federal efforts. Highlights include: HHS’ Administration for Community Living awarded the first-ever federal formula grants to support state adult protective services (APS) programs and established the first-ever federal regulations to improve quality and consistency of APS services. Until recently, APS programs had been funded and administered wholly at the state or local level. The Justice Department expanded its critical efforts to identify and combat transnational elder fraud schemes and, over just the past five years, has pursued over 1,500 criminal and civil cases involving conduct that targeted or disproportionately affected older Americans. It also significantly enhanced the capacity of state and local elder justice professionals to identify, investigate, and address elder abuse, neglect, and financial exploitation. The Justice Department, FBI, U.S. Postal Inspection Service, and five other federal law enforcement agencies undertake an annual Money Mule Initiative, targeting networks of individuals through which international fraudsters obtain proceeds of fraud schemes. These individuals, sometimes referred to as money mules, receive money from fraud victims and forward the illicit funds, often to overseas perpetrators. Since 2020, U.S. law enforcement has taken to address over 14,000 money mules through the annual initiative; enforcement actions have occurred in every state in the country. The HHS’ Administration for Community Living developed the National Adult Maltreatment Reporting System (NAMRS), a first-of-its-kind effort to systematically collect from APS programs across the country standardized data about the incidence of elder maltreatment. Participation is voluntary, but all states, territories, and the District of Columbia submit data each year. The Social Security Administration (SSA) launched Slam the Scam Day in 2020 to raise awareness about government imposter scams. In addition, SSA has created a variety of resources to train its employees, representative payees, and others on to recognize elder abuse and financial exploitation. The Federal Trade Commission established the Senior Scams Prevention Advisory Group of government partners, consumer advocates, and industry representatives to collaborate, develop ideas, share suggestions, and insights and identify actions that can be taken to help older adults spot, avoid, and report scams. The advisory group’s four subcommittees focus on expanding consumer education efforts; improving industry training on scam prevention; identifying innovative or high-tech methods to detect and stop scams; and developing research on consumer or employee engagement to reduce fraud. In addition to leaders from HHS and the Justice Department, speakers at today’s EJCC meeting will include four pioneers of the elder justice movement whose hard work has made the progress of the last decade possible: Marie-Therese Connolly, President, RISE Collaborative; Former Coordinator, Elder Justice Initiative and Former Senior Trial Counsel, Civil Fraud Section, Commercial Litigation Branch, Civil Division, Justice Department Kathy Greenlee, Senior Director of Elder Justice Initiatives, Advancing States and Former Assistant Secretary for Aging, Administration for Community Living, HHS Sidney Stahl, former Chief, Individual Behavioral Processes Branch, National Institute on Aging, National Institutes of Health Edwin Walker, former Deputy Assistant Secretary for Aging at HHS’ Administration for Community Living. By statute, the EJCC is chaired by the HHS Secretary, and the Attorney General is a permanent member. HHS has assigned responsibility for implementing the EJCC to the Administration for Community Living. Since it was created, the EJCC has grown from nine to 17 members, with each new agency bringing unique knowledge and resources to address the complex issue of elder maltreatment. Research shows that at least one in 10 older adults who live in the community experiences some form of maltreatment each year — and this is likely an undercount, because only one in 14 cases is reported. People who experience abuse have higher rates of depression, hospitalization, and institutionalization — and they are more likely to die prematurely. They also may experience deteriorated family relationships, diminished autonomy, and institutionalization as the direct result of maltreatment.


title: Carmel Man Sentenced to 22 Years in Federal Prison for Sexual Exploitation and Possession of Child Sexual Abuse Material

component: Federal Bureau of Investigation (FBI)

body_text: INDIANAPOLIS- Thomas Cade Martin, 27, of Carmel, Indiana, has been sentenced to 275 months in federal prison, followed by 20 years of supervised release, after pleading guilty to distribution of visual depictions of minors engaged in sexually explicit conduct and possession of child sexual abuse material. He also admitted to sexually exploiting a minor victim in Carmel. Martin was also ordered to pay $10,000 in restitution and must register as a sex offender wherever he lives, works, or goes to school. According to court documents, in late 2022, Carmel Police Department officers received a report of sexual exploitation of a male minor victim. The report found that Thomas Martin asked Minor Victim 1, a 15-year-old male, to meet in-person after being introduced through Grindr, an online dating application. Martin continued conversations with MV1 through Instagram and Snapchat, initially lying about his identity and age in order to groom MV1. Over the course of three weeks, Martin met MV1 in-person on multiple occasions at his Carmel apartment and other public locations to engage in sexual intercourse. Martin also engaged in grooming behaviors, such as purchasing clothes and dinners for MVI, and even buying the child a birthday cake when he turned 16 years old. A search of Martin’s cellphone recovered multiple sexually explicit “live photos” produced by Martin of the victim, as well as other images taken of the two together at local restaurants and public meeting spots in Carmel. “Martin sexually abused and exploited a 15-year-old boy, having gained his adoration and trust online. Taking advantage of vulnerable teens for sexual gain is a despicable crime that merits significant prison time,” said U.S. Attorney for the Southern District of Indiana, Zachary A. Myers. “The sentence imposed today should serve as a warning to would-be groomers and offenders: if you solicit and exploit minors for sex, you will spend many years in federal prison.” “This defendant earned his lengthy prison sentence by propagating the online victimization of minors and by seeking out and abusing a victim here in Indiana,” said Special Agent in Charge Herb Stapleton of the Indianapolis Federal Bureau of Investigation. “Thanks to the dedication of our crimes against children investigators, in partnership the Carmel Police Department, this individual will be behind bars for a very long time.” “The Carmel Police Department has teams dedicated to preventing and solving child exploitation. We are proud to work closely with our federal and local partners in bringing justice to those who are victims of these cases. The work done by all involved in Mr. Martin’s case shows our dedication to protecting our most valuable asset, our children. This type of heinous crime simply will not be tolerated,” said Carmel Police Chief, Drake Sterling. The Federal Bureau of Investigations and Carmel Police Department investigated this case. The sentence was imposed by U.S. District Court Judge James P. Hanlon. U.S. Attorney Myers thanked Assistant United States Attorney Tiffany J. Preston, who is prosecuting this case. This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorneys’ Offices and the Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc This investigation was conducted by the Indiana Internet Crimes Against Children (ICAC) Task Force, a multiagency task force led by the Indiana State Police that investigates and prosecutes persons who use the internet to sexually exploit or entice children. Each year, Indiana ICAC investigators evaluate thousands of tips, investigate hundreds of cases, and rescue dozens of children from ongoing sexual abuse. Visit https://www.in.gov/isp/icactf/ to learn more about their efforts. ###


title: Jacksonville Man Sentenced To More Than 8 Years In Federal Prison For Distributing Methamphetamine

component: USAO - Florida, Middle

body_text: Jacksonville, Florida – U.S. District Judge Marcia Morales Howard has sentenced Sule Pedro (47, Jacksonville) to eight years and four months in federal prison for the distribution of methamphetamine. Pedro entered a guilty plea on April 13, 2023. According to court documents, Pedro was a known drug trafficker selling methamphetamine and fentanyl out of a carwash in the Jacksonville area. Between January and August 2022, Pedro sold approximately 230 grams of methamphetamine and 23 grams of fentanyl to a cooperating defendant. On September 27, 2022, federal and state law enforcement executed a search warrant at the carwash, where they recovered two firearms and approximately 325 grams of methamphetamine, 57 grams of fentanyl, 268 grams of alpha-PVP (also known as “flakka”), hydrocodone pills, and other narcotics. “This sentencing emphasizes the severity of exploiting a legitimate business to fuel the scourge of narcotics trafficking in our communities,” said Homeland Security Investigations (HSI) Tallahassee Assistant Special Agent in Charge Nicholas Ingegno. “HSI’s partnerships with Nassau County Sheriff’s Office and the Jacksonville Sheriff’s Office are instrumental in combating drug trafficking and safeguarding the well-being of our communities.” This case was investigated by Homeland Security Investigations, the Nassau County Sheriff’s Office, and the Jacksonville Sheriff’s Office. It was prosecuted by Assistant United States Attorney David B. Mesrobian.


title: Jury Convicts Kentucky Man of Multiple Terrorism Charges

component: USAO - Kentucky, Western

body_text: WASHINGTON – A federal jury in Bowling Green, Kentucky, convicted a Kentucky man yesterday of providing material support to the Islamic State of Iraq and al-Sham (ISIS), conspiring to provide material support to ISIS and receiving military-type training from ISIS. ISIS is a designated foreign terrorist organization. According to court documents and evidence presented at trial, on June 3, 2014, Mirsad Hariz Adem Ramic, 34, and two co-conspirators coordinated their departure from the United States, arriving separately in Istanbul, Turkey. They abandoned the rest of their purchased travel itineraries, and purchased tickets to fly to Gaziantep, Turkey. Gaziantep is located near the Turkey-Syrian border, and from there, Ramic and the two co-conspirators crossed into Syria and joined ISIS. The evidence at trial established that after joining ISIS, Ramic attended an ISIS training camp, where he received military-type training. A photograph of Ramic, posted on social media, depicted him, among other things, wearing camouflage clothing and standing in front of a truck outfitted with an anti-aircraft gun and the ISIS flag. After joining ISIS, Ramic and his co-conspirators remained in contact with each other and discussed, among other things, his use of an anti-aircraft weapon to shoot at planes. Ramic and his co-conspirators also discussed jihad, martyrdom and fighting for ISIS. Ramic, a dual U.S.-Bosnian citizen, joined an ISIS fighting unit comprised primarily of Bosnian foreign fighters, and participated in an ISIS offensive in Kobane, Syria. Ramic has been in federal custody since December 2021, after being deported to the United States from Turkey. Ramic is scheduled to be sentenced on Sept. 5 and faces a maximum penalty of 50 years in prison, a fine of $750,000 and a term of supervised release up to life. A federal district judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors. Assistant Attorney General Matthew G. Olsen of the Justice Department’s National Security Division, U.S. Attorney Michael A. Bennett for the Western District of Kentucky and Executive Assistant Director Larissa L. Knapp of the FBI’s National Security Branch made the announcement. The FBI is investigating the case. Trial Attorneys Kevin C. Nunnally and Jessica Fender of the National Security Division’s Counterterrorism Section and Assistant U.S. Attorneys Joshua Judd and Christopher Tieke for the Western District of Kentucky are prosecuting the case. ###


title: Gallup Woman Sentenced for Drunken Rollover Crash That Killed Unrestrained Infant

body_text: ALBUQUERQUE – A Gallup woman was sentenced to a five-year term of probation after pleading guilty to involuntary manslaughter for drunkenly rolling her vehicle and killing an 8-month-old boy who was ejected from the vehicle. According to court document, on February 11, 2022, Mariah Chapo , 27, an enrolled member of the Navajo Nation, two friends, and 8-month-old John Doe traveled to collect firewood. When they arrived, the group began drinking alcohol. During this time, John Doe was unrestrained in the back seat. An argument between the other two members of the group caused C hapo to drive off at high speed with John Doe. A mile down the road, Chapo failed to navigate a turn and rolled the vehicle. John Doe was ejected from the backseat and killed. C hapo 's BAC was 0.12 and 0.11, and an empty vodka bottle was found at the scene. U.S. Attorney Alexander M.M. Uballez and Raul Bujanda, Special Agent in Charge of the Federal Bureau of Investigation, made the announcement today. The Gallup Resident Agency of the FBI Albuquerque Field Office investigated this case with assistance from the Navajo Nation Police Department and the Navajo Department of Criminal Investigations. Assistant United States Attorney Matthew J. McGinley is prosecuting the case. # # #


title: Sioux Falls Man Charged with Multiple Counts of Child Pornography

component: USAO - South Dakota

body_text: SIOUX FALLS - United States Attorney Alison J. Ramsdell announced that a federal grand jury has indicted a Sioux Falls, South Dakota, man for six counts of Attempted Production of Child Pornography, three counts of Production of Child Pornography, and seven counts of Transfer of Obscene Materials to Minors. Justin Preuschl, age 27, was indicted in June of 2024. He appeared before U.S. Magistrate Judge Veronica L. Duffy on June 7, 2024, and pleaded not guilty to the Indictment. The maximum penalty upon conviction is up to 30 years in federal prison and/or a $250,000 fine, life of supervised release, and up to $1,600 to the Federal Crime Victims Fund. Restitution may also be ordered. The Indictment alleges that starting in October of 2023 and continuing in 2024, Preuschl engaged in sexually explicit communications with multiple juvenile female victims. Preuschl pretended to be a 15-year-old male and pressured the victims into sending him sexually explicit materials. Preuschl also sent pictures of male genitals to the victims. He was employed as a teacher at Whittier Middle School in Sioux Falls at the time of many of the charged offenses. The charges are merely accusations and Preuschl is presumed innocent until and unless proven guilty. This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse, launched in May 2006 by the Department of Justice. Led by the U.S. Attorneys’ Offices and the DOJ’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who exploit children, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc . The investigation is ongoing. If you or someone you know has had contact with the Snapchat accounts cpiper9696, justinpreuschl1, swilliams69420, swilliams420696, justin99696, or justin9996, or cambam7276 on TikTok, call the HSI Tipline at 1-877-4-HSI-TIP. The public can also contact HSINorthland@hsi.dhs.gov . The investigation is being conducted by Homeland Security Investigations, Sioux Falls Police Department, South Dakota Division of Criminal Investigation, and the North Liberty Iowa Police Department. Assistant U.S. Attorney Jeffrey C. Clapper is prosecuting the case. Preuschl was remanded to the custody of the U.S. Marshals Service pending trial. A trial date has not been set.


title: White Swan Woman Pleads Guilty to Murder on the Yakama Nation

component: USAO - Washington, Eastern

body_text: Yakima, Washington - Vanessa R. Waldref, United States Attorney for the Eastern District of Washington, announced today that Tahsheena Stacy Sam, 35, of White Swan, Washington, pleaded guilty to Second Degree Murder in Indian Country for the murder of Destiny Lloyd, who was an enrolled member of the Yakama Nation. United States District Judge Mary K. Dimke accepted Sam’s guilty plea and scheduled a sentencing hearing for September 17, 2024, in Yakima, Washington. In the plea agreement accepted by the court, and in information disclosed during court proceedings, on December 25, 2017, the victim, Destiny Lloyd, who was 23 years old at the time, was socializing with a group of friends. The Defendant, whom Lloyd did not know, also joined the group. Later that evening, Sam, and others who were with her, decided to rob Ms. Lloyd. The group drove to an area near Harrah Road and Marion Drain Road on the Yakama Nation Indian Reservation. There, money was forcibly taken from Lloyd, and Lloyd was then left on the side of the road. After the assault, members of the group became concerned that Lloyd might report the incident. They then drove back to where they left her and used a flashlight to follow her tracks in the snow. Sam found Lloyd. She then obtained a large wrench from another member of the group and used the wrench to strike Lloyd several times on the head. Sam and the others left Lloyd’s body where it was discovered by a passing motorist a few days later. “My heart breaks for the victim and her family. Ms. Lloyd’s loss leaves a hole that cannot ever be filled,” stated U.S. Attorney Waldref. “This case involved a lengthy investigation and witnesses that were not always forthcoming with law enforcement. Yet, the FBI and Yakama Nation Tribal Police remained undeterred and continued investigating this case – following available leads, which ultimately led to Ms. Sam. While federal law enforcement often is unable to disclose to the public each step in an investigation, the U.S. Attorney’s office, FBI, and Yakama Nation have remained committed to securing justice for victims of violent crime, including for Ms. Lloyd and her family. We work tirelessly with our law enforcement partners to pursue those who cause harm in our community and to address the root causes leading to the crisis of murdered or missing Indigenous people.” “It is hard to comprehend the wanton violence of this case,” said Kelly M. Smith, Assistant Special Agent in Charge of the FBI Seattle field office. “I am grateful that Ms. Sam has now taken responsibility for her role in Ms. Lloyd’s tragic death. Now the process of healing can begin for the loved ones of the victim. The FBI will continue working to ensure the safety of our state’s reservations.” This case was investigated by the FBI and the Yakama Nation Tribal Police. It has been prosecuted by Assistant United States Attorneys Todd Swensen, Timothy J. Ohms, and Ian Garriques. Charges remain pending for a co-defendant in this case. Those charges are merely allegations, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.


title: Former Columbus police officer pleads guilty to stealing, selling cocaine

component: USAO - Ohio, Southern

body_text: COLUMBUS, Ohio – John Castillo, 31, of Grove City, pleaded guilty in U.S. District Court here today to possession with intent to distribute five kilograms or more of cocaine. According to court documents, Castillo was a Columbus police officer assigned to investigate drug crimes. In February 2021, he conspired with another officer to steal and sell approximately 10 kilograms of cocaine. Castillo and the other officer took approximately 10 kilograms of cocaine from a house on North Everett Avenue and did not turn it into evidence. They planted two additional kilograms of cocaine for law enforcement discovery later that day at the house. The 10 kilograms of cocaine were stored in the other officer’s basement before they were given to another individual to sell. Possession with intent to distribute five kilograms or more of cocaine is punishable by at least 10 years and up to life in prison. Kenneth L. Parker, United States Attorney for the Southern District of Ohio; and Elena Iatarola, Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Division, announced the plea entered before U.S. District Judge Edmund A. Sargus Jr. Assistant United States Attorneys Peter K. Glenn-Applegate and Elizabeth A. Geraghty are representing the United States in this case. The case was investigated by the FBI’s Southern Ohio Public Corruption Task Force, which includes special agents and officers from the FBI, Ohio Attorney General’s Bureau of Criminal Investigation, the Ohio Auditor of State’s Office and the Columbus Division of Police. # # #


title: Brooklyn Man Charged With Firearms Trafficking Conspiracy

component: USAO - New York, Eastern

body_text: Earlier today, at the federal courthouse in Brooklyn, a four-count indictment was unsealed charging Tony Terry with conspiring to illegally traffic firearms from Georgia to Brooklyn, New York. Terry was arrested this morning and is scheduled to be arraigned this afternoon before United States Magistrate Judge Peggy Kuo. Breon Peace, United States Attorney for the Eastern District of New York, Bryan Miller, Special Agent-in-Charge, Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and Edward A. Caban, Commissioner, New York City Police Department (NYPD), announced the arrest and charges. “As alleged, the defendant brought deadly weapons from Georgia to the streets of East New York, Brooklyn, a community that has suffered terribly from gun violence,” stated United States Attorney Peace. “My Office and our law enforcement partners are working tirelessly to investigate, prosecute and disrupt the flow of illegal guns along the Iron Pipeline, and keep them out of the hands of criminals who have no respect for the law or human life.” Mr. Peace thanked the United States Attorney’s Office for the Southern District of Georgia for their assistance in the case. “This indictment underscores the unwavering commitment of the Bureau of Alcohol, Tobacco, Firearms and Explosives to disrupt the flow of illegal guns into our streets,” stated ATF Special Agent-in-Charge Miller. “Those who purchase and traffic guns to sell to those who cannot legally obtain them are a threat to our community. Disrupting firearms trafficking schemes like this is a top priority for us. The ATF NY/ NYPD’s Joint Firearms Task Force Joint is dedicated to ensuring the safety of our communities. We extend our gratitude to our colleagues in ATF Atlanta’s Savannah Field Office & Eastern District of New York for their assistance. For those engaging in gunrunning conspiracies in NY, justice will be served in court.” “This indictment underscores the NYPD’s commitment to eradicating the illicit firearms supply chain that continues to threaten our communities,” stated NYPD Commissioner Caban. “I commend the diligent efforts of our NYPD investigators, especially our brave undercover officer in this case, along with our colleagues at the ATF and the office of the U.S. Attorney for the Eastern District for their critical role in removing these guns—and those who peddle them—from New York City’s streets.” As set forth in the indictment and other filings, on November 22, 2022 and November 28, 2022, Terry traveled to Savannah, Georgia where members of his family served as straw purchasers for multiple firearms from licensed firearm dealers. Terry then returned to Brooklyn where a co-conspirator sold two of the firearms. On December 6, 2022, Terry sold a Taurus 9mm G2e handgun to an undercover NYPD officer in East New York, Brooklyn. The straw purchasers, Jose Marrero and Jacqueline Christmas, were indicted and prosecuted by the United States Attorneys’ Office for the Southern District of Georgia for an additional 15 firearms they purchased on behalf of the defendant. Marrero pleaded guilty and was sentenced in May 2024 to 18 months in prison. Christmas pleaded guilty in March 2024 and is awaiting sentencing. The charges in the indictment are allegations, and the defendant is presumed innocent unless and until proven guilty. Assistant United States Attorney Raffaela S. Belizaire is in charge of the prosecution. The Defendant : TONY TERRY Age: 35 Brooklyn, New York E.D.N.Y. Docket No. 24-CR-244 (CBA)


title: Essex County Tax Preparer Sentenced to 57 Months in Prison for $4.4 Million Conspiracy to Defraud IRS

component: USAO - New Jersey

body_text: NEWARK, N.J. – An Essex County, New Jersey, tax preparer was sentenced today to 57 months in prison for conspiring to obtain over $4.4 million by defrauding the IRS, U.S. Attorney Philip R. Sellinger announced Omar Khater, 33, of Fairfield, New Jersey, pleaded guilty before U.S. District Judge Brian R. Martinotti in Newark federal court on Jan. 23, 2024, to an information charging him with one count of conspiracy to commit wire fraud and one count of conspiracy to defraud the IRS. Khater’s conspirator, Walid Khater, 38, of Arizona, pleaded guilty on May 23, 2024, to an information charging him with one count of conspiracy to commit wire fraud and one count of conspiracy to defraud the IRS. “Omar Khater has admitted his role in an elaborate scheme that used stolen personal identifying information and fabricated tax returns to bilk the IRS of millions of dollars. He and a relative submitted tax documents falsely claiming that the taxpayers listed on those documents had earned certain income or won thousands – and in some cases millions – of dollars in gambling and lottery winnings. Working with our law enforcement partners, we will root out these illegal and dangerous schemes, and those who perpetrate them can expect the same result as this defendant.” U.S. Attorney Philip R. Sellinger “Omar Khater used stolen identities to file fraudulent tax returns for illicit personal financial gain,” Jenifer L. Piovesan, Special Agent in Charge, IRS - Criminal Investigation, Newark Field Office, said. “He was caught and is now a convicted felon with a prison sentence to serve. IRS - Criminal Investigation will continue to vigorously investigate individuals who attempt to steal taxpayer money from the U.S. Treasury.” According to documents filed in this case and statements made in court: Omar and Walid Khater were relatives who worked together and with others to steal victims’ identities, which they used to file false tax returns and fraudulently receive tax refunds from the IRS. They electronically submitted tax documents to the IRS falsely claiming that the individual taxpayers listed on those documents had earned certain income or won thousands – and in some cases millions – of dollars in gambling and lottery winnings. The false filings also claimed tax withholdings on the purported income or gambling winnings that entitled the tax filer to refund payments from the IRS. The Khaters and others typically submitted these fraudulent tax filings using the names and personal identifying information of victims without the victims’ knowledge or permission. The fraudulent filings caused the IRS to pay lucrative tax refunds, which the Khaters and others directed to various bank accounts that they controlled. This scheme caused the U.S. Treasury to issue tax refunds $4.49 million, which the Khaters and others diverted to bank accounts they controlled in New Jersey and elsewhere. In addition to the prison term, Judge Martinotti sentenced Omar Khater to three years of supervised release and ordered restitution of $4.49 million. U.S. Attorney Sellinger credited special agents of IRS-Criminal Investigation, under the direction of Special Agent in Charge Piovesan in Newark; and special agents of FBI-Newark, under the direction of Special Agent in Charge James E. Dennehy, with the investigation leading to today’s sentencing. The government is represented by Assistant U.S. Attorneys Fatime Meka Cano of the Economic Crimes Unit and Katherine M. Romano of the Health Care Fraud Unit in Newark.


title: Canadian national accused of attempted coercion and enticement, child pornography crimes

body_text: BILLINGS — A Canadian national who is accused of traveling to Montana to engage in illicit sexual conduct and was arrested in Billings in an undercover investigation appeared for arraignment today on charges, U.S. Attorney Jesse Laslovich said. The defendant, Andrew Scott Brown, 43, of Sylvan Lake, Alberta, Canada, pleaded not guilty to an indictment charging him with attempted coercion and enticement, three counts of distribution of child pornography and travel with the intent to engage in illicit sexual conduct. If convicted of the most serious crime, Brown faces a mandatory minimum of 10 years to life in prison, a $250,000 fine and five years to a lifetime of supervised release. U.S. Magistrate Judge Timothy J. Cavan presided. Brown was detained pending further proceedings. In court documents, the government alleged that from Jan. 27 through May 6, at Billings and in Canada, Brown used the internet and a cellular telephone to attempt to entice and coerce an individual he believed had not attained the age of 18 to engage in sexual activity. Brown also is accused of sending images that contain Child Sexual Abuse Material to an undercover law enforcement persona. In January, an undercover detective with the Yellowstone County Sheriff’s Office posted a message on a social media site, and a suspect with the username of “Eagle_Tiger” responded. The undercover persona identified herself as a 12-year-old girl, while “Eagle_Tiger” identified himself as a 42-year-old named Andrew, from Alberta, Canada. As further alleged, conversations led to Andrew discussing wanting to have sex with the persona and sending CSAM to the persona. Law enforcement arrested Brown on May 6 when he traveled to Billings to meet with the undercover persona. An indictment is merely an accusation, and a defendant is presumed innocent until proven guilty beyond a reasonable doubt. The Yellowstone County Sheriff’s Office, Billings Police Department and the FBI conducted the investigation. This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys' Offices and CEOS, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit Justice.gov/PSC . PACER case reference. 24-80. The progress of cases may be monitored through the U.S. District Court Calendar and the PACER system. To establish a PACER account, which provides electronic access to review documents filed in a case, please visit http://www.pacer.gov/register.html . To access the District Court’s calendar, please visit https://ecf.mtd.uscourts.gov/cgi-bin/PublicCalendar.pl . XXX


title: Missouri Man Pleads Guilty to Fraud and Tax Offenses

component: USAO - Connecticut

body_text: Vanessa Roberts Avery, United States Attorney for the District of Connecticut, today announced that LYELL CHAMPAGNE, JR., 24, of St. Louis, Missouri, pleaded guilty yesterday before U.S. District Judge Sarala V. Nagala in Hartford to charges stemming from two different fraud schemes. According to court documents and statements made in court, between approximately March 2021 and April 2022, Champagne conspired with Kristian Gupta to obtain online bank account credentials from potential victims, and then transfer money from victims’ bank accounts to cryptocurrency accounts controlled by Champagne and Gupta. As part of the scheme, Gupta provided Champagne with personal identifying information of victims, and Champagne used that information to open email accounts and accounts at a cryptocurrency exchange. Champagne and Gupta attempted to recruit bank “insiders” to participate in their scheme, but were disrupted by an undercover law enforcement investigation and failed to transfer any funds from compromised accounts. In a second scheme, Champagne filed wholly fictitious tax returns for “Shireberk International,” which had no actual business operations, for the 2018 through 2021 tax years. The returns resulted in a refund of $3,449,935. Champagne pleaded guilty to one count of conspiracy to commit bank fraud, which carries a maximum term of imprisonment of 30 years, and one count of filing false claims with the IRS, which carries a maximum term of imprisonment of five years. Champagne has agreed to pay restitution of $111,738.52. The remaining funds were recovered by law enforcement. Judge Nagala scheduled sentencing for September 10. Champagne is released on a $200,000 bond pending sentencing. On April 19, 2024, Gupta, of Port Charlotte, Florida, pleaded guilty to conspiracy to commit bank fraud. He is released on a $100,000 bond pending sentencing, which is scheduled for September 19. This matter is being investigated by the Federal Bureau of Investigation and the Internal Revenue Service – Criminal Investigation Division. The case is being prosecuted by Assistant U.S. Attorney Edward Chang.


title: Burlington County Man Sentenced to 33 Months in Prison for $4 Million Money Laundering Scheme

body_text: CAMDEN, N.J. – A Burlington County, New Jersey, man was sentenced today to 33 months in prison for illegally laundering the proceeds of a mail fraud scheme, U.S. Attorney Philip R. Sellinger announced. Pablo Estrada, 27, of Florence, New Jersey, previously pleaded guilty before Chief U.S. District Judge Renée Marie Bumb to an information charging him with one count of money laundering. Judge Bumb imposed the sentence today in Camden federal court. According to documents filed in this case and statements made in court: From August 2020 through January 2023, Estrada received money from victims of various scams, including a lottery scam – an advance fee fraud which begins with victims receiving an unexpected notification that they have won large sums of money in a lottery, but are required to pay various fees and expenses before their winnings can be released to them. Estrada deposited the money into various bank accounts that he maintained for purposes of receiving criminal proceeds. He transferred the funds to other bank accounts, keeping a percentage for himself. Estrada laundered more than $4 million in this manner. In addition to the prison term, Judge Bumb sentenced Estrada to three years of supervised release and ordered to pay restitution of $4.21 million. U.S. Attorney Sellinger credited postal inspectors with the U.S. Postal Inspection Service in Newark, under the direction of Inspector in Charge Christopher A. Nielsen, Philadelphia Division; special agents of the U.S. Attorney’s Office, under the direction of Special Agent in Charge Thomas Mahoney; and special agents of IRS-Criminal Investigation, under the direction of Special Agent in Charge Jenifer L. Piovesan in Newark, with the investigation leading to today’s sentencing. He also thanked the Burlington County Prosecutors Office under the direction of LaChia L. Bradshaw and the Florence Township Police Department under the direction of Brian Boldizar. The government is represented by Assistant U.S. Attorney Daniel A. Friedman of the U.S. Attorney’s Office’s Criminal Division in Camden.