title: North Syracuse Man Pleads Guilty to Mailing Threatening Letters

component: USAO - New York, Northern

body_text: SYRACUSE, NEW YORK – David Backus, age 40, of North Syracuse, New York, pled guilty today to six counts of mailing threatening communications. United States Attorney Carla B. Freedman and Ketty Larco-Ward, Inspector in Charge of the Boston Division of the United States Postal Inspection Service (USPIS) made the announcement. As part of his guilty plea, Backus admitted that between November 2021, and September 2022, he mailed 18 threatening letters to 6 victims using the U.S. Postal Service. In each of those letters, Backus threatened, among other things, “I’m going to kill you dead!!!” Backus admitted that he intended for each of these mailings to be a threat, and he knew that they would be viewed as a threat. At sentencing, scheduled for June 28, 2023, Backus faces up to 5 years in prison on each count, a maximum fine of $250,000, and a term of post-imprisonment supervised release of up to 3 years. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines, and other factors. The United States Postal Inspection Service (USPIS) investigated the case, with the assistance of the New York State Police, the Town of Kirkland Police Department, the Town of New Hartford Police Department, the Village of North Syracuse Police Department, and the City of Oswego Police Department. Assistant U.S. Attorney Matthew J. McCrobie is prosecuting the case.


title: Columbia County man sentenced to federal prison for production of child pornography

component: Federal Bureau of Investigation (FBI)

body_text: AUGUSTA, GA: A Columbia County man has been sentenced to federal prison for creating and possessing images depicting the sexual exploitation of a child. Michael Benjamin Buckner, 39, of Grovetown, Ga., was sentenced to 15 years in prison after previously pleading guilty to Attempted Production of Child Pornography, said Jill E. Steinberg, U.S. Attorney for the Southern District of Georgia. U.S. District Court Judge Dudley H. Bowen also fined Buckner $3,500, ordered him to register as a sex offender and to serve 15 years of supervised release upon completion of his prison term. There is no parole in the federal system. “Investigations and prosecutions of predators continue to be a priority in our efforts to protect the most vulnerable among us,” said U.S. Attorney Steinberg. “We commend our law enforcement partners for their vigilance in following the evidence to hold Michael Buckner accountable.” As described in court documents and testimony, investigators from the Grovetown Department of Public Safety arrested Buckner and his wife, Amber Buckner, 37, in October 2021 on a state charge of cruelty to children after they were alerted by officers from the Columbia County Board of Education Police. In a subsequent search of the contents of Michael Buckner’s cell phone, investigators and FBI agents discovered photos depicting sexually explicit images of children. In addition to his federal sentence, Michael Buckner also faces state prosecution for cruelty to children. Amber Buckner is serving a 10-year prison sentence after pleading guilty in December 2022 to a state charge of cruelty to children. “Our community and its children are much safer with this lengthy prison sentence handed down to Buckner,” said Keri Farley, Special Agent in Charge of FBI Atlanta. “We strive every day to protect our children and will continue to use every law enforcement resource available to identify and prosecute individuals who exploit children in such a manner.” The case was investigated by the FBI, the Grovetown Department of Public Safety, and the Columbia County Board of Education Police Department, and prosecuted for the United States by Assistant U.S. Attorney and Project Safe Childhood Coordinator Tara M. Lyons, Deputy Chief of the Criminal Division of the U.S. Attorney’s Office for the Southern District of Georgia. Anyone with information on suspected child sexual exploitation can contact the National Center for Missing and Exploited Children at 800-843-5678, or https://report.cybertip.org/ .


title: Local leader of violent drug trafficking ring sentenced to 12+ years in prison

component: USAO - Washington, Western

body_text: Seattle – One of the leaders of a violent international drug trafficking organization that distributed heroin, fentanyl, and methamphetamine in the Puget Sound region was sentenced today in U.S. District Court in Seattle to 148 months in prison, announced U.S. Attorney Nick Brown. Jose Elias Barbosa, 37, of Kent, Washington, was sentenced to 5 years of supervised release to follow prison. U.S. District Judge John C. Coughenour said Barbosa had a leadership role in a massive drug trafficking organization that used guns and threats of violence to collect debts. “This cartel connected drug trafficking ring damaged our community with dangerous drugs, and with their guns and threats of violence,” said U.S. Attorney Nick Brown. “Our focus is on curtailing the flow of dangerous and addictive drugs into western Washington. We need the community to work together to reduce the market for these substances.” “Every day the men and women of the DEA in Seattle and throughout the US are working tirelessly to stop dangerous drugs from entering our country,” said Jacob D. Galvan, Acting Special Agent in Charge of the DEA Seattle Field Division. “We will continue with all of our partners in holding those like Mr. Barbosa accountable and protecting our communities from illicit narcotics, guns, and violence.” According to records filed in the case, Barbosa pleaded guilty in August 2022, admitting he was one of the leaders of a transnational drug trafficking organization. Law enforcement has linked the organization to the CJNG cartel in Mexico. In November 2019, the DTO received a shipment of liquid methamphetamine concealed in candles. Barbosa helped DTO members to extract the methamphetamine and cook it into crystal form at a Port Orchard, Washington location. While surveilling the Port Orchard residence, law enforcement heard multiple gunshots and later learned Barbosa had been shot in the collarbone. Members of the drug ring grew concerned law enforcement would arrive at the Port Orchard house, so they loaded the meth infused candle wax into a van. The van was later stopped by law enforcement who seized the meth and the processing equipment. In all, Barbosa was responsible for the distribution of at least 55 pounds of methamphetamine, 600 grams of heroin, and fentanyl throughout Western Washington and elsewhere. The wiretapped phone calls revealed that Barbosa pursued those who owed drug debts to the organization and possessed firearms during the drug conspiracy. According to the plea agreement, on one occasion, Barbosa took a car from another DTO member to satisfy a drug debt. Barbosa later threatened that same DTO member. The wiretapped calls show Barbosa and others talked frequently about kidnappings, assaults, and even murders as ways to get debtors to pay up. This effort is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at www.justice.gov/OCDETF The investigation was conducted by the U.S. Drug Enforcement Administration’s (DEA) Tacoma Resident Office in partnership with Tahoma Narcotics Enforcement Team (TNET), Kent Police Department, Homeland Security Investigations, SeaTac Police Department, Thurston County Narcotics Team (TNT), the Federal Bureau of Investigation, the Bureau of Alcohol Tobacco, Firearms and Explosives (ATF), and Internal Revenue Service- Criminal Investigation (IRS-CI). The case is being prosecuted by Assistant United States Attorneys Amy Jaquette and C. Andrew Colasurdo.


title: Kalamazoo Felon On Parole Sentenced To 70 Months In Federal Prison For Possessing A Firearm

component: USAO - Michigan, Western

body_text: GRAND RAPIDS, MICHIGAN — U.S. Attorney for the Western District of Michigan Mark Totten today announced that Teiun Tyree Walker, 22, of Kalamazoo, Michigan was sentenced to 70 months in federal prison by Chief U.S. District Judge Hala Y. Jarbou for being a felon in possession of a firearm. Chief Judge Jarbou also ordered Walker to spend 3 years on supervised release after his confinement. In imposing the sentence, Chief Judge Jarbou highlighted Walker’s “history of assaultive behavior, firearm possession, and not respecting authority,” along with his extensive criminal history despite his young age. “At a moment when violent crime has increased and communities across Michigan feel the fear and anguish that comes with every senseless death and near-death incident, my office is committed to enforcing our nation’s gun laws and holding people accountable who are prohibited from possessing firearms,” said U.S. Attorney Totten . “No parent, no child, no senior citizen – no one should have to live with the fear of violence.” On May 2, 2022, Kalamazoo Department of Public Safety officers were surveilling the area around Daysha’s Liquor Store in Kalamazoo because several individuals were illegally gambling in the parking lot. Officers seized a stolen, loaded Ruger 9mm pistol from the crossbody bag Walker was wearing. Walker has prior state court felony convictions, including for assault with a dangerous weapon and carrying a concealed weapon, and thus was prohibited from possessing a firearm as a felon under both state and federal law. In February 2022, Walker was released from the Michigan Department of Corrections and was still on parole at the time of the current illegal firearm possession. While he was being arrested, Walker resisted and threatened the police, which Chief Judge Jarbou noted was “unacceptable.” “This case is an example of the FBI’s commitment to working cooperatively with our law enforcement partners to stop felons from illegally possessing firearms,” said James A. Tarasca, Special Agent in Charge of the FBI in Michigan . “I would like to thank the Kalamazoo Department of Public Safety for their work on this investigation, their continued partnership, and their commitment to helping us keep our communities safe.” “Our partnership with the U.S. Attorney’s Office is continuing to keep our community safe,” said Kalamazoo Department of Public Safety Director David Boysen . “As our federal partner, we thank them in their help in the Walker case and all cases that help keep crime off of our streets.” This case was investigated by the Kalamazoo Department of Public Safety, FBI, and ATF, and was prosecuted by Assistant U.S. Attorney Lauren F. Biksacky as part of the Department of Justice’s Project Safe Neighborhoods (PSN) Program. Holding those who are prohibited from possessing firearms accountable through federal prosecution is a centerpiece of the PSN Program, the Department of Justice’s violent crime reduction strategy. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime. ###


title: KC Man Sentenced to 21 Years for Heroin, Cocaine Conspiracy

component: USAO - Missouri, Western

body_text: KANSAS CITY, Mo. – A Kansas City, Mo., man was sentenced in federal court today for his role in a conspiracy to distribute heroin and cocaine after leading law enforcement officers on a high-speed chase through several neighborhoods, past two schools, and into a park. Michael A. Baldwin, 62, was sentenced by U.S. District Judge Greg Kays to 21 years and 10 months in federal prison without parole. Baldwin was sentenced as a career criminal due to his prior felony convictions. Today’s sentence also reflects an enhancement for recklessly creating a substantial risk of death or serious bodily injury to another person in the course of fleeing from a law enforcement officer. On June 2, 2022, Baldwin pleaded guilty (a few days before his trial was scheduled to begin) to one count of conspiracy to distribute cocaine and heroin, one count of possessing heroin with the intent to distribute, and one count of possessing cocaine with the intent to distribute. Baldwin was arrested on Nov. 18, 2019, when a confidential source met him at the Peachtree Restaurant on Eastwood Trafficway in Kansas City, Mo., and delivered cocaine and heroin from co-defendant Darey Enrique Salcido-Dominguez, 39, of Mesa, Arizona. As the confidential source left the area after delivering the cocaine and heroin to Baldwin, law enforcement officers approached Baldwin in police vehicles with their emergency equipment activated. Baldwin, who was driving a 2007 Land Rover, took off at a high rate of speed, fleeing from the officers at speeds up to 70 miles per hour through several neighborhoods and past George Washington Carver Dual Language Elementary School and George Melcher Elementary School. Baldwin ran stop signs and drove through the green space of Vineyard Park before he wrecked his vehicle in a wooded area. Baldwin attempted to flee on foot but was apprehended. When officers searched the Land Rover they found several bundles that contained a total of approximately 3.27 kilograms of heroin and approximately 1.19 kilograms of cocaine. On the same day as the delivery to Baldwin, the confidential source also had been instructed by Salcido-Dominguez to deliver three kilograms of cocaine to co-defendant Kelvin R. Williams, 53, of Kansas City, Mo., one kilogram of cocaine to co-defendant Raleigh G. Austin, Jr., 53, of Kansas City, Mo., and two kilograms of cocaine to co-defendant Terry D. Finch, 53, of Kansas City, Mo. Finch also gave the confidential source $2,000. According to court documents, the confidential source began cooperating with law enforcement after he was stopped by the Kansas Highway Patrol on Nov. 14, 2019. The trooper seized a duffel bag from the vehicle of the confidential source, which contained $269,020. He told federal investigators he worked as a courier for Salcido-Dominguez and had been transporting nine to 18 kilograms of cocaine and black tar heroin every two weeks for the past eight months. He also transported the illicit proceeds of the drug-trafficking conspiracy back to Salcido-Dominguez. He told investigators that Baldwin typically received two or three kilograms of heroin every two weeks. Baldwin has a prior felony conviction for second-degree murder and a prior felony conviction for aggravated robbery/aggravated assault for an armed robbery in which an employee of the victim business was shot. Baldwin is the fourth defendant to be sentenced in this case. Williams was sentenced to 22 years in federal prison without parole. Finch was sentenced to 19 years and seven months in federal prison without parole. Austin was sentenced to six years in federal prison without parole. Salcido-Dominguez pleaded guilty to his role in the drug-trafficking conspiracy and will be sentenced on April 5, 2023. This case is being prosecuted by Assistant U.S. Attorneys Gregg Coonrod and Nicholas Heberle. It was investigated by the FBI and the Kansas City, Mo., Police Department.


title: Former City of Harvey Employee Found Guilty on Five Counts of Facilitating Bribery

body_text: CHICAGO — A federal jury in Chicago has found a former building inspector for the City of Harvey guilty on five counts of using a facility of interstate commerce (a cell phone) to facilitate violations of the Illinois state bribery statute. Evidence at trial revealed that between February to April of 2018, Lester Crowder, 73, of Ohio met nine times with an individual who said he was looking to open a nightclub in Harvey. In those meetings, Crowder communicated that the individual would need to pay up to $50,000 in cash bribes in order to obtain the nightclub property and obtain the necessary permits. Crowder collected approximately $13,000 in bribe payments from the individual, who was cooperating with the FBI and recording their conversations. During the same time, Crowder was captured on court-authorized recordings communicating with another individual confirming their intent to take bribes. Sentencing has not yet been scheduled before the Honorable Martha Pacold. Each count could carry a sentence of up to five years in federal prison. The conviction was announced by John R. Lausch, Jr., United States Attorney for the Northern District of Illinois; Robert W. Wheeler, Jr., Special Agent-in-Charge of the Chicago Field Office of the FBI; and Machelle L. Jindra, Special Agent in Charge of the Housing and Urban Development Office of the Inspector General. The government is represented by Assistant U.S. Attorneys Sean Franzblau and Megan DeMarco.


title: Felon Sentenced for Possessing Firearm Used in Gilpin Court Shooting

component: USAO - Virginia, Eastern

body_text: RICHMOND, Va. – A Richmond man was sentenced today to 78 months in prison for being a convicted felon in possession of a firearm. According to court documents, on February 19, 2021, T'Mar Green, 23, and another person were approached by law enforcement officers in Gilpin Court. When the officers asked if they could speak with them, both individuals began to run from the officers. While running, Green pulled out a firearm that he had in his possession and threw the loaded firearm near one of the residential buildings in the 100 block of St. James Street. Officers then detained Green and recovered the firearm. After officers recovered the firearm, they were able to link it to a shooting which occurred on February 16, 2021, also in Gilpin Court. On that date, Green and others engaged in a shootout where Green shot and wounded another person with the same firearm he possessed on February 19, 2021. The victim was treated for his injuries at a local hospital. Green was previously prosecuted in State Court for the shooting. Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia; Michael Weddel, Acting Special Agent in Charge of the ATF’s Washington Field Division, made the announcement after sentencing by U.S. District Judge David J. Novak. Assistant U.S. Attorney Stephen E. Anthony prosecuted the case. This case is part of Project Safe Neighborhoods (PSN), which is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime. A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 3:22-cr-15.


title: Federal Firearms Licensee Pleads Guilty to 5 Counts of Violating Gun Laws

component: USAO - Pennsylvania, Western

body_text: PITTSBURGH, PA - A resident of Butler, Pennsylvania, pleaded guilty in federal court to charges of violating federal firearm laws, Acting United States Attorney Troy Rivetti announced today. Grant Williams, age 61, pleaded guilty to five counts of failure to make entry in a record by a federal firearms dealer before Chief United States District Judge Mark R. Hornak. In connection with the guilty plea, the Court was advised that Williams held a federal firearm license and sold firearms from his business, Sportsman’s Supply Company, in Butler, Pennsylvania. As a federal firearm licensee, Williams was required to maintain acquisition and disposition books related to the firearms he obtained and sold. When selling a firearm, Williams was required by federal law to record a firearm’s description and the transferee’s name, place of residence, and date of birth. Federal firearm licensees are required to share such records with the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) to determine the disposition of firearms in the course of a criminal investigation. In April 2022, the ATF attempted a firearm trace of a firearm sold by Williams that had been used in a crime. Because Williams’ acquisition and disposition books did not record the disposition of that firearm, the trace was unresolved. Due to a subsequent unresolved firearm trace, the ATF conducted an audit of Williams’ records between May and August 2022. The audit revealed that 2,636 firearm acquisitions were neither in William’s possession nor recorded in his disposition records. The ATF’s investigation revealed that Williams’ annual firearm sales grew to about 50,000 firearms per year during the COVID-19 pandemic. The investigation further revealed that many of Williams’ firearm sales used GunBroker.com, which is an online auction site that operates similar to eBay. Following the close of an auction, the firearm would be mailed from Williams’ possession to a different federal firearm licensee to be transferred to the buyer. However, Williams was still required to record the disposition of those firearms. During the pandemic, Williams’ business was one of the top five sellers on GunBroker.com. At each count, the law provides for a term of imprisonment not more than one year, a fine of $100,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant. Pending sentencing, the court placed Williams on bond. Assistant United States Attorney Brendan J. McKenna is prosecuting this case on behalf of the government. The Bureau of Alcohol, Tobacco, Firearms, and Explosives conducted the investigation that led to the prosecution of Williams.


title: Former Sacramento Man Pleads Guilty to Distributing Methamphetamine

component: USAO - California, Eastern

body_text: SACRAMENTO, Calif. — Julio Adrian Jimenez-Sevilla, 35, formerly of Sacramento, presently residing in Oregon, pleaded guilty today to distributing at least 50 grams of actual methamphetamine, U.S. Attorney Phillip A. Talbert announced. According to court documents, on Oct. 26, 2016, and December 1, 2016, Sevilla distributed methamphetamine to a buyer. In the October deal, Sevilla sold a buyer approximately 226 grams of 85% pure methamphetamine, and in the December deal, Sevilla sold a buyer approximately 226 grams of 97% pure methamphetamine. On Jan. 23, 2017, Sevilla illegally sold a buyer an AR-15 rifle. This case is the product of an investigation by the Federal Bureau of Investigation and the FBI’s Safe Streets Gang Task Force. Assistant U.S. Attorney Aaron D. Pennekamp is prosecuting the case. Sevilla is scheduled to be sentenced on July 11, 2023, by U.S. District Judge John A. Mendez. Sevilla faces a maximum statutory penalty of life in prison and a $10 million fine. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the U.S. Department of Justice launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results. This effort is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at www.justice.gov/OCDETF.


title: Belle Vernon Man Sentenced to 7 Years in Prison for Receipt and Possession of Child Sexual Abuse Material


title: Pascagoula Man Sentenced to 70 months in Prison  for Possession with Intent to Distribute Methamphetamine

body_text: Gulfport, Miss. – A Pascagoula man was sentenced to 70 months in federal prison for possession with intent to distribute methamphetamine, announced U.S. Attorney Darren J. LaMarca and Special Agent in Charge Jermicha Fomby of the Federal Bureau of Investigation. Karlos Laton Brown, 41, was sentenced on February 27, 2023, in U.S. District Court in Gulfport. According to court documents, On September 11, 2018, FBI and MBN agents utilized a confidential informant to purchase methamphetamine from Karlos Brown and his co-defendant in the parking lot of Walmart on Denny Avenue in Pascagoula. Brown was indicted by a federal grand jury on May 17, 2022. He pled guilty on February 17, 2022, to possession with intent to distribute methamphetamine. The case was investigated by the Federal Bureau of Investigation. The case was prosecuted by Assistant U.S. Attorney Erica Rose.


title: Jamaican Man Sentenced for Illegal Reentry

component: USAO - Massachusetts

body_text: BOSTON – A Jamaican man was sentenced yesterday for illegally reentering the United States after two prior removals. Arik Hugh Halliman, 40, was sentenced by U.S. District Court Judge Leo T. Sorokin to time-served (approximately seven months in prison) to be followed by three years of supervised release. Halliman will be subject to removal proceedings. In November 2022, Halliman pleaded guilty to one count of unlawful reentry of a deported alien. In 2008, Halliman was arrested in Worcester County on cocaine trafficking charges, for which he was convicted in 2011 and sentenced to five years in prison. Upon completion of his sentence, Halliman was placed into removal proceedings and deported in June 2013. Sometime after his 2013 removal, Halliman illegally reentered to the United States. In 2018, he was arrested in Worcester County on cocaine trafficking charges and subsequently arrested by immigration authorities after making bail on the state charges. Once in immigration custody, Halliman’s previous order of removal was reinstated and he was deported for the second time in July 2018. Sometime after his 2018 removal, Halliman again illegally reentered to the United States. In July 2022, Halliman was arrested in Dudley, Mass., for motor vehicle violations and using a false ID. Upon making bail, Halliman was arrested by immigration authorities and transferred into federal custody. United States Attorney Rachael S. Rollins and Todd Lyons, Field Office Director, Boston, U.S. Immigration and Customs Enforcement’s Enforcement and Removal Operations made the announcement today. Assistant U.S. Attorney Kenneth G. Shine of Rollins’ Major Crimes Unit prosecuted the case.


title: Federal Jury Finds Precision Lens and Owner Paul Ehlen Liable for Paying Kickbacks in Violation of the False Claims Act

component: USAO - Minnesota

body_text: ST. PAUL, Minn. – A federal civil jury has returned a verdict in favor of the United States for more than $43 million for violations of the False Claims Act and Anti-Kickback Statute. During the six-week jury trial before U.S. District Judge Wilhelmina M. Wright, the United States proved that the Defendants the Cameron-Ehlen Group, Inc., which does business as Precision Lens, and its owner Paul Ehlen paid kickbacks to ophthalmic surgeons to induce their use of Defendants’ products in cataract surgeries reimbursed by Medicare. The jury found that Defendants’ kickbacks caused the submission of 64,575 false claims to the Medicare program between 2006-2015. As proven at trial, Precision Lens and Ehlen provided kickbacks to physicians in various forms, including travel and entertainment. The United States identified multiple examples of trips, including high-end skiing, fishing, golfing, hunting, sporting, and entertainment vacations, often at exclusive destinations. For many of the trips, Precision Lens and Ehlen transported physicians to luxury vacation destinations on private jets. These included trips to New York City to see a Broadway musical, the College Football National Championship Game in Miami, Florida, and the Masters golf tournament in Augusta, Georgia. Precision Lens and Ehlen also sold frequent flyer miles to their physician customers at a significant discount, enabling the physicians to take personal and business trips at well below fair market value. The United States also proved that Precision Lens maintained a fund, referred to internally at Precision Lens as a secret fund or slush fund, in furtherance of its kickback scheme. Precision Lens used money from the secret fund to finance multiple physician trips. “The False Claims Act and the Anti-Kickback Statute provide assurance to the United States and Medicare beneficiaries that healthcare decisions are made based on the best interest of the patient and nothing else,” said Assistant U.S. Attorney Chad Blumenfield. “The jury’s verdict protects the integrity of the Medicare system for patients and those healthcare providers who operate fairly and legally. Companies may not use expensive trips and other items of value to persuade physicians to use their products, and physicians may not accept that remuneration. We thank the jury for its service throughout this lengthy trial.” The United States previously announced a $12 million settlement of related allegations with Sightpath Medical, Inc. and TLC Vision Corporation (collectively “Sightpath”) and their former CEO, James Tiffany. Dr. Jitendra Swarup also resolved claims that he had accepted kickbacks in a settlement agreement of more than $2.9 million. This civil lawsuit was originally brought by a Relator, or whistleblower, under the qui tam provisions of the False Claims Act, which allow private parties to bring suit on behalf of the government for false claims and to share in any recovery. The government often relies on whistleblowers to bring fraud schemes to light that might otherwise go undetected. The whistleblower in this matter, Kipp Fesenmaier, will receive a percentage of the amounts awarded at trial. The case was handled by the Civil Division of the U.S. Attorney’s Office for the District of Minnesota, including AUSAs Chad Blumenfield, Bahram Samie, and Andy Tweeten and paralegals Darcie Boschee and Laura Kolars. The case was investigated with assistance from the Office of Inspector General of the U.S. Department of Health and Human Services and the Federal Bureau of Investigation.


title: Hyde Park Man Pleads Guilty to COVID-Relief and Federal Assistance Benefit Fraud

body_text: BOSTON – A Hyde Park man pleaded guilty yesterday in federal court in Boston to using a stolen identity to fraudulently obtain pandemic relief funds and Supplemental Nutrition Assistance Program (SNAP) benefits, previously known as Food Stamps. Fernando Mateo Valenzuela, 69, pleaded guilty to three counts of mail fraud, two counts of aggravated identity theft and two counts of misrepresentation of a Social Security number. U.S. District Court Judge Leo T. Sorokin scheduled sentencing for May, 24 2023. Valenzuela was charged by criminal complaint in June 2022 and subsequently indicted by a federal grand jury in August 2022. Valenzuela used the identity of a United States citizen to apply for and receive $29,051 in Pandemic Unemployment Assistance (PUA) benefits, made available under the Coronavirus Aid, Relief, and Economic Security (CARES) Act. Valenzuela also used the identity to apply for and receive $7,230 in SNAP benefits. The charges of mail fraud each provide for a sentence of up to 20 years in prison, three of supervised release and a fine of up to $250,000. The charges of aggravated identity theft each provide for a mandatory minimum sentence of two years in prison, one of supervised release and a fine of up to $250,000. The charges of misrepresentation of a Social Security number each provide for a sentence of up to five years in prison, up to three of supervised release and a fine of up to $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case. United States Attorney Rachael S. Rollins; Bethanne M. Dinkins, Special Agent in Charge of the U.S. Department of Agriculture, Office of Inspector General, Office of Investigation, Northeast Region; Matthew B. Millhollin, Special Agent in Charge of Homeland Security Investigations in New England; Jonathan Mellone, Special Agent in Charge of the U.S. Department of Labor, Office of Inspector General; Phillip M. Coyne, Special Agent in Charge for the U.S. Department of Health and Human Services, Office of Inspector General; Ketty Larco-Ward, Postal Inspector in Charge of the U.S. Postal Inspection Service, Boston Division; and John E. Mawn Jr., Interim Colonel of the Massachusetts State Police made the announcement. Valuable assistance was provided by the Social Security Administration, Office of Inspector General, Office of Investigations, Boston Field Division; United States Marshals Service; U.S. Department of State, Diplomatic Security Service; and the Boston Police Department. Assistant U.S. Attorney David Tobin of Rollins’ Major Crimes Unit is prosecuting the case. The investigation was conducted by Homeland Security Investigation’s Document and Benefit Fraud Task Force (DBFTF), a specialized investigative group comprising personnel from various state, local, and federal agencies with expertise in detecting, deterring, and disrupting organizations and individuals involved in various types of document, identity, and benefit fraud schemes. On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the Department’s response to the pandemic, please visit https://www.justice.gov/coronavirus. Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.


title: Staten Island Gang Member Indicted for Sex Trafficking and Sexual Exploitation of Minors

component: USAO - New York, Eastern

body_text: Earlier today, in federal court in Brooklyn, a five-count indictment was unsealed charging Justin Dixon, a member of the Crips street gang, with sex trafficking, coercion and enticement of a minor, sexual exploitation of a minor and felon in possession. On February 6, 2023, Dixon was arraigned on a complaint before United States Magistrate Judge Taryn A. Merkl and a permanent order of detention was issued. Breon Peace, United States Attorney for the Eastern District of New York; Michael J. Driscoll, Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI); and Keechant L. Sewell, Commissioner, New York City Police Department (NYPD), announced the indictment. As set forth in court filings, in January 2023, Dixon allegedly used violence and threats of violence to compel the commission of commercial sex acts by a 14-year-old minor for his financial benefit. Dixon transported the minor victim – as well as other women – to a small geographical area off of Pennsylvania Avenue in East New York, Brooklyn, which is known as the “Penn Track” or the “Blade.” Dixon would then force the women to engage in prostitution and demanded that the proceeds of prostitution be turned over to him. Any resistance from the victims was met with violence. Dixon used social media and other internet applications to establish relationships with potential victims, groom them and manipulate them into working for him as prostitutes. The 14-year-old minor was forced to live in a Staten Island house, along with Dixon and various other women. In that house, Dixon continued to enslave the women by forcing them to clean the house, cook for him and bathe him. The defendant would not allow the women to be clothed inside the house and would physically punish the women if they disobeyed any of these rules. The investigation revealed that the defendant would call Jane Doe “tiny,” presumably due to her petite figure as a small fourteen-year-old. Dixon constantly overfed Jane Doe and consistently told her that she needed to eat more, in order to look older than her current age. The defendant also told Jane Doe he was arranging a trip to Florida for Jane Doe to have plastic surgery, including breast implants, in order to make her appear older than her current age. The charges in the indictment are allegations, and the defendant is presumed innocent unless and until proven guilty. If convicted of sex trafficking of a minor through force, fraud and coercion, the defendant faces a mandatory minimum sentence of 15 years’ imprisonment and a maximum of life in prison. If you are a victim or have information, there are several ways to contact the FBI: send a tip online at https://tips.fbi.gov or call 1-800-CALL-FBI. They are ready to work with you in your native language, regardless of your immigration status. This prosecution is part of Project Safe Childhood, a nationwide initiative led by the Department of Justice to combat the epidemic of child sexual exploitation and abuse. Led by United States Attorneys’ Offices, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov . The government’s case is being prosecuted by Assistant United States Attorney Lauren Elbert and Lorena Michelen. The Defendant : JUSTIN DIXON Age: 32 Staten Island, New York E.D.N.Y. Docket No. 23-CR-90


title: Hickory Man Is Sentenced To 50 Years For Sexual Exploitation Of A Minor And Possession Of Child Sexual Abuse Material

component: USAO - North Carolina, Western

body_text: STATESVILLE, N.C. – Vincent Deritis, 33, of Hickory, N.C., was sentenced today to 50 years in prison and a lifetime of supervised release for the sexual exploitation of a minor and possession of child sexual abuse material (CSAM), announced Dena J. King, U.S. Attorney for the Western District of North Carolina. Deritis was also ordered to register as a sex offender after he is released from prison. Ronnie Martinez, Special Agent in Charge of Homeland Security Investigations (HSI) in North Carolina and South Carolina, and Chief Reed Baer of the Hickory Police Department join U.S. Attorney King in making today’s announcement. According to filed court documents, evidence presented at trial and today’s sentencing hearing, between October 2018 and March 2019, Deritis created child pornography of an unknowing minor victim on three occasions. On April 3, 2019, law enforcement executed a search warrant at Deritis’ residence. A forensic analysis of electronic devices seized from the defendant’s home and files in his cloud storage account revealed that Deritis possessed images and videos of the minor victim naked while getting in or out of the shower, photos of the minor’s genitalia, and thousands of images of child pornography Deritis had downloaded from the internet. On June 22, 2022, a federal jury convicted Deritis of three counts of production of child pornography and one count of possession of child pornography. “Deritis is a child predator who caused a minor victim substantial harm,” said U.S. Attorney King. “Protecting children and holding perpetrators accountable is a priority for my office. Federal prosecutors work hand-in-hand with our law enforcement partners to investigate and prosecute child exploitation cases, and our victim assistance unit ensures that victims and their families receive the support and assistance they need throughout the court process and beyond.” “This sentence sends the message that those who seek to exploit our most vulnerable population, will face accountability for their predatory ways,” said HSI Special Agent in Charge Martinez. “We will continue to work tirelessly with our law enforcement and community partners to protect the children in our communities.” Deritis is currently in federal custody. He will be transferred to the custody of the federal Bureau of Prisons upon designation of a federal facility. In making today’s announcement, U.S. Attorney King commended HSI and the Hickory Police Department for their investigation of the case. Assistant United States Attorney Nick J. Miller, of the U.S. Attorney’s Office in Charlotte prosecuted the case. This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse, launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.


title: Joplin, Webb City Man Indicted for Drug Trafficking, Illegal Firearms

body_text: SPRINGFIELD, Mo. – A Joplin and Webb City, Mo., man was indicted by a federal grand jury today for drug trafficking and illegally possessing firearms. Milan Alexander, 42, who maintains residences in both Joplin and Webb City, was charged in a four-count indictment returned by a federal grand jury in Springfield, Mo. Today’s indictment replaces a federal criminal complaint that was filed against Alexander on Feb. 3, 2023. Today’s indictment alleges that Alexander possessed fentanyl, methamphetamine, and cocaine, all with the intent to distribute, on Feb. 2, 2023. The indictment also charges Alexander with one count of being a felon in possession of firearms. Alexander was allegedly in possession of two Glock 9mm pistols, two Century Arms Mini Draco 7.62-caliber pistols, a Springfield Armory .45-caliber pistol, a Heckler & Koch 9mm pistol, and a Brigade multi-caliber pistol on Feb. 2, 2023. Under federal law, it is illegal for anyone who has been convicted of a felony to be in possession of any firearm or ammunition. Alexander has three prior felony convictions for possession of a controlled substance and two prior felony convictions for resisting arrest, as well as prior felony convictions for being a felon in possession of a firearm, aggravated fleeing from law enforcement, possession of marijuana with the intent to deliver, and possession of a controlled substance with the intent to deliver. According to an affidavit filed in support of the original criminal complaint, detectives with the Ozark Drug Enforcement Team found a total of 649 grams of fentanyl, two firearms, and a box that contained 750 rounds of 9mm ammunition and 320 rounds of 7.62 ammunition in Alexander’s Joplin residence. Detectives also found a duffel bag that contained six firearms at Alexander’s Webb City residence. Following the execution of search warrants at both of his residences, law enforcement officers attempted to conduct a traffic stop to arrest Alexander. Alexander led officers on a high-speed pursuit until his vehicle was disabled by tire deflation devices deployed by Seneca, Mo., police officers. Alexander then fled on foot but, after an extensive search with the assistance of a police support dog, was found hiding in a shed. 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 Cameron A. Beaver. It was investigated by the FBI, the Ozark Drug Enforcement Team, the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Drug Enforcement Administration, the Joplin, Mo., Police Department, the Webb City, Mo., Police Department, the Newton County, Mo., Sheriff’s Department, the Seneca, Mo., Police Department, and the Jasper County, Mo., Sheriff’s Department. Organized Crime and Drug Enforcement Task Force This case is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.


title: Man Convicted of Aggravated Sexual Abuse of a Minor on Fort Polk Sentenced to 50 Years in Prison

body_text: ALEXANDRIA, La. - United States Attorney Brandon B. Brown announced that Bobby Joe Mincey , 30, was sentenced today by United States District Judge Dee D. Drell for sexual abuse of a minor under the age of 12. Mincey was sentenced to 50 years in prison, followed by 10 years of supervised release. A federal jury in Alexandria convicted Mincey of aggravated sexual abuse of a minor under the age of 12 on September 9, 2022, following a trial. Evidence introduced at the trial established that in December 2019, Mincey was living with his wife, who was a soldier in the U.S. Army and stationed at Fort Polk, Louisiana. During this time, Mincey and his wife at the time and her two minor daughters were living in Base Housing at Fort Polk. On December 6, 2019, the two stepdaughters of Mincey, who were ages 6 and 9 at the time, confided to their mother that Mincey had been sexually abusing them. The mother immediately contacted the Fort Polk Military Police and reported the allegations made by her daughters. Agents with the Federal Bureau of Investigation (FBI) began an investigation into the allegations and interviewed both of the female minor victims about the incidents that had taken place. As a result of their investigation, Mincey was indicted in May 2021 and charged with aggravated sexual abuse. The minor victims testified at trial about the sexual abuse that they suffered as a result of Mincey’s actions. “The 50-year sentence handed down today in U.S. District Court sends a clear message that those who take advantage of others by sexually abusing them will lead to strong punishment for their actions,” said U.S. Attorney Brandon B. Brown. “The minor victims in this case did nothing to deserve the abuse inflicted on them by this defendant and we applaud their bravery. This conviction and lengthy sentence are the result of the coordinated efforts of law enforcement agents with the FBI and the U.S. Army, Criminal Investigation Division.” The case was investigated by the FBI and U.S. Army, Criminal Investigation Division, and was prosecuted by Assistant U.S. Attorneys J. Luke Walker and LaDonte A. Murphy. # # #


title: Watertown Man Charged with Several 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 Watertown, South Dakota, man for two counts of Production of Child Pornography and one count of Receipt and Distribution of Child Pornography. Ted Jeffrey Hurkes, age 44, was indicted in February of 2023. He appeared before U.S. Magistrate Judge Mark A. Moreno on February 24, 2023, 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 years of supervised release, and $300 to the Federal Crime Victims Fund. Restitution may also be ordered. The Indictment alleges that on October 2, 2022, and again on November 12, 2022, Hurkes knowingly employed, used, persuaded, induced, enticed, and coerced a minor female to engage in sexually explicit conduct for the purpose of producing visual depictions of such conduct. The Indictment also alleges that between on or about October 2, 2022, and January 13, 2023, Hurkes knowingly received and distributed, and attempted to receive and distribute, any child pornography that had been mailed, shipped, and transported in or affecting interstate or foreign commerce by any means, including by computer. The charges are merely accusations and Hurkes is presumed innocent until and unless proven guilty. The investigation is being conducted by Homeland Security Investigations and the Watertown Police Department. Assistant U.S. Attorney Jeffrey C. Clapper is prosecuting the case. This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse, launched in May 2006 by the Department of Justice. Led by 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 . Hurkes was remanded to the custody of the U.S. Marshals Service pending trial, which has been set for May 2, 2023.


title: Former State Lawmaker Sentenced for COVID-19 Fraud Scheme at Springfield Health Care Charity

body_text: SPRINGFIELD, Mo. – A former Missouri state representative was sentenced in federal court today for a nearly $900,000 COVID-19 fraud scheme, as well as a separate $200,000 fraud scheme in which she made false claims about a fake stem cell treatment marketed through her clinics in southern Missouri, and for illegally providing prescription drugs to clients of those clinics. “This disgraced health care professional exploited her patients, some with terminal illnesses, who came to her for medical care,” said U.S. Attorney Teresa Moore. “This disgraced former public official exploited her constituents as the community struggled during the Covid-19 pandemic by stealing public funds. She lied to her patients, to her community, and to federal agents. Today’s sentence holds her accountable for her fraud and deceit.” Patricia “Tricia” Ashton Derges, 64, of Nixa, Mo., was sentenced by U.S. District Judge Brian C. Wimes to six years and three months in federal prison without parole. The court also ordered Derges to pay $500,600 in restitution to her victims. “Derges exploited her position as an elected official and a medical professional to benefit herself financially with complete disregard, to not only her constituents, but to the oath she took as a health care professional to do no harm,” said Charles Dayoub, Special Agent in Charge of FBI Kansas City. “She not only fraudulently received nearly $300,000 in CARES Act funds, but also deceived patients by marketing fake stem cell treatment and illegally provided drugs to clients of her clinics. Her actions were a betrayal of trust, eroding the very core of our confidence in a system we rely on and damaging the public’s trust not only in our elected officials but in our health care system.” “This official violated the trust of her constituents and her duties as an elected official, by putting personal profit before her community's health and well-being,” said Curt L. Muller, Special Agent in Charge with the Department of Health and Human Services, Office of Inspector General (HHS-OIG). “Her sentencing demonstrates that there are consequences for stealing taxpayer dollars and endangering public health. HHS-OIG will continue to investigate allegations of federal health care fraud and to ensure that these funds are used for their intended purposes.” On June 28, 2022, Derges was found guilty at trial of 10 counts of wire fraud, 10 counts of distributing drugs over the internet without a valid prescription, and two counts of making false statements to a federal law enforcement agent. Derges was elected in November 2020 as a Missouri state representative in District 140 (Christian County) and served one term. Derges, who was never a physician, surrendered her assistant physician’s license on June 29, 2023. Derges formerly operated three for-profit Ozark Valley Medical Clinic locations in Springfield, Ozark, and Branson, Mo. Derges also operated the non-profit corporation Lift Up Someone Today, Inc., with a medical and dental clinic in Springfield. COVID-19 Fraud Scheme Derges was convicted of three counts of wire fraud related to her attempt to fraudulently receive nearly $900,000 in CARES Act funds. Derges actually was awarded $296,574 in CARES Act funds for Lift Up, although Lift Up did not provide any COVID-19 testing services to its patients. In fact, Lift Up’s medical clinic closed at the beginning of the COVID-19 pandemic and remained closed from March to June 2020. Derges sought CARES Act funding for COVID-19 testing that had been provided, and already paid for, at her for-profit Ozark Valley Medical Clinic. Derges requested reimbursement for $379,294 in COVID-19 testing and related expenses, and future funding in the amount of $503,350. In total, Derges applied for $882,644 from the CARES Act Relief Fund on Lift Up’s behalf. Congress passed the Coronavirus Aid, Relief, and Economic Security (CARES) Act in March 2020, which provided $150 billion to states, tribal governments, and units of local government. Missouri was allocated approximately $2.3 billion. Missouri allocated approximately $34 million in CARES Act funds to Greene County. To administer the CARES Act funds it received, the Greene County Commission created the CARES Act Relief Fund to “promote recovery by funding programs and services that support the needs of those impacted by the COVID-19 public health emergency.” An advisory council of 30 citizen volunteers was appointed to review funding requests and make funding recommendations to the Greene County Commission. Derges claimed in her application to the Greene County CARES Act Relief Fund that Lift Up provided COVID-19 testing and she sought reimbursement for “COVID-19 eligible expenses” that Lift Up had incurred. To support her claim, Derges provided invoices totaling $296,574 from Dynamic DNA for more than 3,000 COVID-19 laboratory tests. Derges submitted the Dynamic DNA invoices as Lift Up expenditures, although they were actually for testing done at Derges’s for-profit Ozark Valley Medical Clinic. Lift Up, a non-profit charity, and Ozark Valley Medical Clinic, a for-profit corporation, are separate legal entities. Ozark Valley Medical Center had already received payment from its clients of approximately $517,000 for these COVID-19 tests. Ozark Valley Medical Center charged clients, patients, or their patients’ employers approximately $167 per sample for its COVID-19 testing services. Derges concealed from Greene County that these COVID-19 tests had already been paid for by other payors. In December 2020, the Greene County Commission awarded Lift Up $296,574 in CARES Act funding based upon Lift Up’s fraudulent application and the Dynamic DNA invoices Derges had submitted. Derges deposited the check into Lift Up’s bank account, then transferred the funds into Ozark Valley Medical Center’s bank account. Derges provided several more invoices from Dynamic DNA to Greene County later in December 2020 to further support her application for Lift Up, although the invoices were actually for testing done for clients at Ozark Valley Medical Center, raising the total to $589,143 for 6,177 COVID-19 tests. Derges concealed from Greene County that Ozark Valley Medical Center already had been paid approximately $1 million by clients, patients, or their patients’ employers, for these COVID-19 tests. Stem Cell Fraud Scheme Derges also was convicted of seven counts of wire fraud related to a nearly $200,000 fraud scheme, which lasted from December 2018 to May 2020. Derges marketed a stem cell treatment that actually utilized amniotic fluid that did not contain any stem cells. The federal indictment charged her with defrauding four specific victims, each of whom testified during the trial. Derges exclusively obtained amniotic fluid from the University of Utah, which she marketed under the name Regenerative Biologics. Derges advertised Ozark Valley Medical Clinic as a “Leader in … Regenerative Medicine,” including stem cells, and marketed her “stem cell” practice through seminars, media interviews, and social media. Derges made similar claims in personal consultations. In fact, however, the amniotic fluid Derges administered to her patients did not contain mesenchymal stem cells, or any other stem cells. The amniotic fluid she obtained from the University of Utah was a sterile filtered amniotic fluid allograft (a tissue graft comprised of human amniotic membrane and amniotic fluid components derived from placental tissue). The amniotic fluid allograft was “acellular,” meaning it did not contain any cells, including stem cells. Despite being told by the University of Utah that the University of Utah’s amniotic fluid allograft was “acellular” and did not contain mesenchymal stem cells, Derges continued to tell her patients and the public that the amniotic fluid allograft contained stem cells. Derges administered amniotic fluid, which she falsely claimed contained stem cells, to patients who suffered from, among other things, tissue damage, kidney disease, chronic obstructive pulmonary disease (COPD), Lyme disease, and urinary incontinence. In an April 11, 2020, Facebook post Derges wrote of amniotic fluid allograft: “This amazing treatment stands to provide a potential cure for COVID-19 patients that is safe and natural.” The University of Utah sold its amniotic fluid allograft to Derges for approximately $244 per milliliter and $438 for two milliliters. Derges charged her patients $950 to $1,450 per milliliter. In total, Derges’s patients paid her approximately $191,815 for amniotic fluid that did not contain stem cells. Controlled Substances Act Derges also was convicted of 10 counts of distributing Oxycodone and Adderall over the internet without valid prescriptions. Derges, without conducting in-person medical evaluations of the patients, wrote electronic prescriptions for Oxycodone and Adderall for patients and transmitted them to pharmacies over the internet. Because none of the assistant physicians whom Derges employed at Ozark Valley Medical Clinic could prescribe Schedule II controlled substances, it was the standard practice of the assistant physicians to see a patient and later communicate to Derges the controlled substances they wanted her to prescribe to their patients. Derges, without conducting an in-person medical evaluation of the patients as required by federal law, wrote electronic prescriptions for the patients and transmitted the prescriptions over the internet to pharmacies. False Statements Derges also was convicted of two counts of making false statements to federal agents investigating this case in May 2020. Derges told agents that the amniotic fluid allograft that she used in her practice contained mesenchymal stem cells, which she knew was false. Derges also told federal agents that she had not treated a patient for urinary incontinence with amniotic fluid allograft, which she knew was false. This case was prosecuted by Assistant U.S. Attorney Shannon Kempf and Supervisory Assistant U.S. Attorney Randall D. Eggert. It was investigated by the FBI, Health and Human Services – Office of Inspector General, the DEA and the Missouri Attorney General’s Medicaid Fraud Control Unit.


title: Ava Man Faces Additional Child Pornography Charges

body_text: SPRINGFIELD, Mo. – An Ava, Mo., man previously indicted for producing child pornography after photos of the child victim’s sexual assault were discovered at his former residence now faces additional charges that include victimizing a second child. Harold Lloyd Blair, Jr., 66, was charged in a three-count superseding indictment returned by a federal grand jury in Springfield. Today’s indictment replaces the original indictment returned on Dec. 6, 2022, and includes two additional counts. Today’s superseding indictment retains the original charge against Blair for using a minor to produce child pornography from Dec. 24, 2010, to Dec. 23, 2014. It also includes a second count, involving another child victim allegedly used by Blair to produce child pornography from Oct. 17, 2013, to Oct. 16, 2014. The indictment also charges Blair with one count of possessing child pornography. The investigation began on Dec. 2, 2022, when workers employed by Douglas County, Mo., were tearing down Blair’s former residence after he sold it to the county. The workers discovered a filing cabinet that contained images of child pornography and contacted the Douglas County, Mo., Sheriff’s Department. 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 Stephanie L. Wan. It was investigated by the Douglas County, Mo., Sheriff’s Department, Homeland Security Investigations, the Southwest Missouri Cyber Crimes Task Force, and the West Plains, Mo., Police Department, with assistance from the Douglas County, Mo., Prosecuting Attorney. Project Safe Childhood This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc . For more information about Internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."


title: United States Attorney Alison J. Ramsdell Announces Implementation of New Voluntary Self-Disclosure Policy

body_text: SIOUX FALLS - United States Attorney Alison J. Ramsdell has announced the implementation of the new United States Attorney’s Offices’ Voluntary Self-Disclosure Policy. The policy, which is effective immediately, details the circumstances under which a company will be considered to have made a voluntary self-disclosure (VSD) of misconduct to a United States Attorney’s Office (USAO), and provides transparency and predictability to companies and the defense bar concerning the concrete benefits and potential outcomes in cases where companies voluntarily self-disclose misconduct, fully cooperate and timely and appropriately remediate. The goal of the policy is to standardize how VSDs are defined and credited by USAOs nationwide, and to incentivize companies to maintain effective compliance programs capable of identifying misconduct, to expeditiously and voluntarily disclose and remediate misconduct, and to cooperate fully with the government in corporate criminal investigations. The policy was developed pursuant to the Deputy Attorney General’s September 15, 2022 memorandum, “Further Revisions to Corporate Criminal Enforcement Policies Following Discussions with Corporate Crime Advisory Group” (Monaco Memo), which directed each Department of Justice (DOJ) component that prosecutes corporate crime to review its policies on corporate voluntary self-disclosure and, if there was no formal written policy to incentivize self-disclosure, draft and publicly share such a policy. Under the new VSD policy, a company is considered to have made a VSD if it becomes aware of misconduct by employees or agents before that misconduct is publicly reported or otherwise known to the DOJ, and discloses all relevant facts known to the company about the misconduct to a USAO in a timely fashion prior to an imminent threat of disclosure or government investigation. A company that voluntarily self-discloses as defined in the policy and fully meets the other requirements of the policy, by—in the absence of any aggravating factor—fully cooperating and timely and appropriately remediating the criminal conduct (including agreeing to pay all disgorgement, forfeiture, and restitution resulting from the misconduct), will receive significant benefits, including that the USAO will not seek a guilty plea; may choose not to impose any criminal penalty, and in any event will not impose a criminal penalty that is greater than 50% below the low end of the United States Sentencing Guidelines (USSG) fine range; and will not seek the imposition of an independent compliance monitor if the company demonstrates that it has implemented and tested an effective compliance program. The policy identifies three aggravating factors that may warrant a USAO seeking a guilty plea even if the other requirements of the VSD policy are met: (1) if the misconduct poses a grave threat to national security, public health, or the environment; (2) if the misconduct is deeply pervasive throughout the company; or (3) if the misconduct involved current executive management of the company. The presence of an aggravating factor does not necessarily mean that a guilty plea will be required; instead, the USAO will assess the relevant facts and circumstances to determine the appropriate resolution. If a guilty plea is ultimately required, the company will still receive the other benefits under the VSD policy, including that the USAO will recommend a criminal penalty of at least a 50% and up to a 75% reduction off the low end of the USSG fine range, and that the USAO will not require the appointment of a monitor if the company has implemented and tested an effective compliance program. In cases where a company is being jointly prosecuted by a USAO and another DOJ component, or where the misconduct reported by the company falls within the scope of conduct covered by VSD policies administered by other DOJ components, the USAO will coordinate with, or, if necessary, obtain approval from, the DOJ component responsible for the VSD policy specific to the reported misconduct when considering a potential resolution. Consistent with relevant provisions of the Justice Manual and as allowable under alternate VSD policies, the USAO may choose to apply any provision of an alternate VSD policy in addition to, or in place of, any provision of its policy.


title: Visalia Man Charged with Assault on a Federal Officer

body_text: FRESNO, Calif. — A federal magistrate judge issued an arrest warrant based on a complaint for Angel Uriarte, 35, of Visalia, charging him with assault on a federal officer involving a weapon, discharging a firearm during and in relation to a crime of violence, and being a felon in possession of a firearm, U.S. Attorney Phillip A. Talbert announced. “The shots fired at the ATF agents executing the search and arrest warrants in this case underscore the dangers that our men and women in law enforcement face,” said U.S. Attorney Talbert. “We are forever in the debt of the federal agents who willingly serve and protect us every day. Those who attempt to use deadly force against a federal officer engaged in his or her duties should expect to face a federal prosecution that employs the full resources of the U.S. Department of Justice.” “The FBI is committed to thoroughly investigate any assault on a federal officer, a violation of federal law that falls within our jurisdiction,” said Special Agent in Charge Sean Ragan of the FBI Sacramento Field Office. “Assaults on federal agents and/or task force officers are serious crimes that deserve our full attention. We appreciate the support of all investigative agencies involved to ensure a thorough investigation in pursuit of justice.” “Personnel with the ATF San Francisco Field Division and ATF’s Special Response Team 4 were serving a search and arrest warrant for a defendant connected to the recent six-person homicide in Goshen,” said ATF Acting Special Agent in Charge Joshua Jackson. “During service of these warrants, the defendant responded by shooting at ATF agents. Our team responded with an appropriate level of force and professionalism to disarm and take the defendant into custody, and protect the community from further harm. ATF remains committed to working with our law enforcement partners to protect the community from violent crime and hold those accountable who choose to commit violent crime.” Sheriff Mike Boudreaux stated, “As the Sheriff of Tulare County, I am thankful that all aspects of the Goshen mass shooting are being identified, and the egregious felony acts, including this shooting at agents, are being addressed.” According to court documents, on Feb. 3, 2023, agents of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) assisted in serving warrants related to a January 2023 murder in Goshen in which six victims were killed. One of the warrants was for the arrest of Angel Uriarte on murder charges arising from those murders. The other was for a residence in Visalia where evidence showed Uriarte was located. The ATF Special Response Team (SRT) began efforts to serve the warrant. Prior to making entry into the residence, the SRT announced their presence over a public address system and directed that the residents come out with their hands up. Several residents exited the residence, but Uriarte was not one of them. After a period of time passed, agents began to prepare to make entry into the residence. As this occurred, Uriarte ran through the yard and fired a gun in the direction of the home and ATF agents. He then fired three rounds at an ATF agent, who returned fire striking and wounding Uriarte. Agents rendered medical aid. Agents found a Bersa .380 semi-automatic pistol near where Uriarte fell. Uriarte has a 2014 felony conviction for assault with a firearm on a person for which he had been sentenced to seven years in prison. This case is the product of an investigation by the Tulare County Sheriff’s Office, the ATF, the FBI, the DEA, and other agencies. Assistant U.S. Attorneys Antonio J. Pataca and Stephanie M. Stokman are prosecuting the case. If convicted of assault on a federal officer, Uriarte faces a maximum penalty of 20 years in prison and a fine of up to $250,000. If convicted of discharging a firearm during a crime of violence, he faces a mandatory minimum of 10 years in prison consecutive to any other sentence and a fine of up to $250,000, and if convicted of being a felon in possession of a firearm, he faces 15 years in prison and a fine of up to $250,000. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt. This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the U.S. Department of Justice launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.


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

component: USAO - West Virginia, Southern

body_text: CHARLESTON, W.Va. – Jamie Edward Smith, 36, of Montgomery, was sentenced today to seven years and 10 months in prison, to be followed by three years of supervised release, for distributing methamphetamine and violating his supervised release. According to court documents and statements made in court, on February 22, 2022, Smith sold approximately 18 grams of methamphetamine to a confidential informant on Third Avenue in Montgomery for $350. Smith admitted to selling additional quantities of methamphetamine totaling approximately 51 grams to the confidential informant in Montgomery on two other occasions in February 2022. Smith further admitted to possessing a pistol and showing it to the confidential informant during one of the transactions. Smith was previously convicted of being a felon in possession of a firearm in United States District Court for the Southern District of West Virginia on December 21, 2017. Today’s prison sentence includes 10 months for committing a crime while on supervised release. United States Attorney Will Thompson made the announcement and commended the investigative work of the Metropolitan Drug Enforcement Network Team (MDENT). Senior United States District Judge John T. Copenhaver, Jr. imposed the sentence. Assistant United States Attorney Nowles Heinrich prosecuted the case. A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 2:22-cr-195. ###


title: Central Oregon Woman Sentenced to 20 Years in Federal Prison for Sexually Abusing a Child, Sharing Video of Abuse Online

component: USAO - Oregon

body_text: EUGENE, Ore.—A Redmond, Oregon woman was sentenced to 20 years in federal prison today for sexually abusing a six-year-old child, videorecording the abuse, and sharing the video online with a romantic partner. Selina Wynne Duflo, 35, was sentenced to 240 months in federal prison and 12 years’ supervised release. According to court documents, on a least two occasions in July 2019, Duflo, acting at the direction of her romantic partner—Daniel Seibert, 30, of Lake Forest, California—sexually abused a six-year-old child in her care, recorded the abuse, and sent the recordings to Seibert. In 2019, federal agents executed a search warrant for digital devices in their investigation of Seibert. While searching Seibert’s devices, police recovered videos of Duflo sexually abusing a six-year-old child. One of the videos also included a two-year-old child. On May 4, 2021, a federal grand jury in Eugene returned a four-count indictment charging Duflo with production and transportation of child pornography. On December 1, 2022, Duflo pleaded guilty. On January 21, 2021, Seibert was sentenced in the Central District of California to 292 months in federal prison after previously pleading guilty to producing child pornography, traveling to engage in illicit sex, and using a facility of commerce to induce a minor to engage in criminal sexual activity. This case was investigated by Homeland Security Investigations (HSI) with assistance from Oregon State Police and the Deschutes County Sheriff’s Office. It was prosecuted by Pamela Paaso, Assistant U.S. Attorney for the District of Oregon. Anyone who has information about the physical or online exploitation of children are encouraged to contact HSI at (866) 347-2423 or submit a tip online at report.cybertip.org . Federal law defines child pornography as any visual depiction of sexually explicit conduct involving a minor. It is important to remember child sexual abuse material depicts actual crimes being committed against children. Not only do these images and videos document the victims’ exploitation and abuse, but when shared across the internet, re-victimize and re-traumatize the child victims each time their abuse is viewed. To learn more, please visit the National Center for Missing & Exploited Children at www.missingkids.org . 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. For more information about Project Safe Childhood, please visit www.justice.gov/psc .


title: McMinnville Man Faces Federal Charges After Selling Fentanyl that Caused Seven to Overdose, One Fatally

body_text: PORTLAND, Ore.—A McMinnville, Oregon man is facing federal charges after selling fentanyl he claimed was cocaine that caused seven people to overdose, one fatally. John Kyle Donnahoo, 28, has been charged by criminal complaint with distribution of fentanyl resulting in serious bodily injury and death. According to court documents, on February 10, 2023, Donnahoo sold powdered fentanyl he claimed was cocaine to an individual at a residence in McMinnville for $100. Seven individuals, including the buyer, were present in the residence during the sale. One of the individuals tested the powder twice using fentanyl “test kits,” but neither test produced a positive result. All seven individuals consumed and overdosed on the fentanyl. Four were treated with Narcan at the scene by responding police officers and medical personnel before being rushed to the hospital in critical condition. One of these victims later died and three were admitted to an intensive care unit. Donnahoo took the other three individuals to the hospital himself where they were treated and eventually discharged. Donnahoo made his first appearance in federal court today before U.S. Magistrate Judge Stacie F. Beckerman. Donnahoo was ordered detained as a danger to the community pending further court proceedings. This case is being investigated jointly by the U.S. Drug Enforcement Administration, FBI, McMinnville Police Department, and Yamhill County Sheriff’s Office. A criminal complaint is only an accusation of a crime, and a defendant is presumed innocent unless and until proven guilty.


title: Dr. Charles J. Southall, III Sentenced to 60 Months in Prison for Money Laundering, Obtaining Over $889,000 Through Fraud

body_text: NEW ORLEANS – DR. CHARLES J. SOUTHALL, III, age 65, was sentenced today by United States District Judge Jay Zainey to 60 months in prison, followed by a 3-year term of supervised release, after SOUTHALL previously pleaded guilty to laundering proceeds unlawfully obtained from a wire fraud scheme, in violation of Title 18, United States Code, Sections 1957 and 2 announced U.S. Attorney Duane A. Evans. Additionally, Judge Zainey ordered SOUTHALL to pay $889,565.86 in restitution to the victims of his offenses and a mandatory $100 special assessment fee. According to court documents, SOUTHALL has served as the Executive Pastor of First Emanuel Baptist Church (FEBC) since about 1989. FEBC maintained houses of worship in New Orleans, Louisiana, and Baton Rouge, Louisiana, owned multiple parcels of real property in New Orleans, and created housing ministry entities to provide affordable housing to low-income New Orleans residents and to receive income from renting some of the properties FEBC owned. As Executive Pastor, SOUTHALL led and counseled the FEBC congregation, participated in the administration and operation of charitable organizations affiliated with FEBC, including its housing ministries, and solicited donations purportedly for specific repair, developmental, and charitable projects and tithes in support of FEBC and its mission. SOUTHALL received a salary in accordance with the terms of his employment contract, as well as monetary gifts from the FEBC congregation throughout the year. Exploiting his position as Executive Pastor, SOUTHALL defrauded FEBC and some of its members in several ways. First, SOUTHALL solicited tithes and donations from several members and then improperly diverted the money to his personal use. For example, SOUTHALL solicited a $10,000 tithe from Victim A in July 2019, the proceeds of which he deposited into his personal financial accounts and used to pay for personal expenses. Between August 2016 and July 2020, SOUTHALL solicited multiple donations from Victim B ostensibly for various charitable purposes and the improvement of FEBC’s New Orleans building. SOUTHALL improperly diverted approximately $106,408.38 of the funds Victim B donated to FEBC to financial accounts under SOUTHALL’S personal control and to pay for SOUTHALL’S personal expenses unrelated to FEBC or its mission without the knowledge or authorization of Victim B. Second, SOUTHALL diverted approximately $150,000 of income that resulted from the rental of properties owned by FEBC and its affiliated housing ministries to his personal use and benefit without the knowledge or authorization of FEBC. Third, SOUTHALL developed and implemented a scheme to defraud FEBC by causing real properties owned by FEBC to be sold and diverting a portion of the profit from the sale of the real properties to and for SOUTHALL’S personal benefit without the knowledge or authorization of FEBC or the FEBC Board of Trustees. In total, SOUTHALL improperly caused approximately $537,805.51 of profit from the sale of FEBC-owned real properties located on Amelia Street, Fourth Street, and Baronne Street to be diverted to SOUTHALL’S personal benefit improperly and without authorization. Additionally, SOUTHALL and others created the Spirit of Excellence Academy for the purpose of operating a charter school in New Orleans. In about 2013, SOUTHALL secured funding to create an affiliated school in Baton Rouge. Although Spirit of Excellence received funding in the form of grants and loans, the Baton Rouge school never opened. According to rules promulgated by the State of Louisiana, Board Members of charter schools were prohibited from receiving compensation for providing services to the school other than for reimbursement of actual expenses. As President of the Board of Directors of Spirit of Excellence Academy, SOUTHALL submitted financial statements that represented he had no personal or financial interest with Spirit of Excellence Academy. Notwithstanding these representations, in about September 2013, SOUTHALL hired Person A to be employed and compensated by Spirit of Excellence Academy for consulting work related to the creation of Spirit of Excellence Academy – Baton Rouge. Between about September 2013 and September 2017, Spirit of Excellence Academy paid Person A approximately $220,600, all of which was deposited into a financial account SOUTHALL and Person A jointly controlled. SOUTHALL regularly diverted a portion of the funds paid to Person A to SOUTHALL’S personal use, including by transferring some of the funds from one or more of the accounts he controlled jointly with Person A to other financial accounts under SOUTHALL’S control or causing the funds to be used to pay SOUTHALL’S personal credit card bills. In total, between about September 2013 and September 2017, SOUTHALL improperly caused approximately $85,351.97 of the funds paid to Person A by Spirit of Excellence Academy to be diverted to SOUTHALL’S personal benefit and use in the manner described above. In total, SOUTHALL obtained approximately $889,565.86 through his fraudulent schemes. SOUTHALL then engaged in a series of financial transactions using the proceeds of the criminally derived proceeds he obtained, including negotiating a check in the amount of $11,841 to purchase tickets, using funds originating from the sale of the Fourth Street property in the amount of $100,000 to open and fund a JPMC individual investment account for himself; negotiating a cashier’s check in the amount of $95,000 to purchase a vehicle; and negotiating a cashier’s check in the amount of $10,764.11 for the down payment of another vehicle. U.S. Attorney Evans praised the work of the Federal Bureau of Investigation and Forensic Accountant Josephine M. Beninati, CPA, CFE in this matter. Assistant United States Attorneys Jordan Ginsberg, Chief of the Public Corruption Unit, and Monetary Penalty and Asset Recovery Unit Asset Forfeiture Coordinator Alexandra Giavotella were in charge of the prosecution.


title: San Diego Resident Charged for Maintaining a Steroid Distribution Center in Spring Valley

component: USAO - California, Southern

body_text: SAN DIEGO – The U.S. Attorney’s Office unsealed a complaint today charging San Diego resident Edgar Lopez Feliciano with maintaining a steroid distribution center in Spring Valley. As detailed in the complaint, Feliciano’s network is allegedly involved in the creation and distribution of significant quantities of anabolic steroids throughout the United States. In a coordinated takedown that took place today, federal, state, and local law enforcement agents and officers arrested Feliciano and executed search warrants at the steroid distribution center in Spring Valley and Feliciano’s personal residence in Poway. During the searches, agents seized a large amount of anabolic steroids - estimated to be hundreds of thousands of individual dosage-units. They also seized more than $25,000 in U.S. currency, six Rolex watches and other luxury jewelry, and multiple high-end luxury vehicles including a 2023 Mercedes Maybach S580 and a 2023 Mercedes AMG G63. During the investigation, agents learned that Feliciano allegedly purchases his anabolic steroid powders from sources of supply located in China and Turkey and then uses the steroid powders to create and manufacture anabolic steroids for distribution throughout the United States through the U.S. Mail system. According to postal meter readings, law enforcement officials estimate that Feliciano distributed more than 10,000 parcels containing anabolic steroids between June 2022 and August 2022 and until his arrest continued to distribute anabolic steroids from the distribution center in Spring Valley on a daily basis. According to the complaint, between 2018 and 2021, agents identified multiple financial accounts held by Feliciano with the total amount of deposits into these accounts being approximately $7 million, and more than $2.5 million in wire transfers sent from these accounts to overseas entities believed to be involved in the production and distribution of Schedule III Controlled Substances. “The complaint alleges a national steroid distribution network operating in the San Diego community,” said U.S. Attorney Randy Grossman. “We will continue to work closely with our federal and local partners to prosecute those who traffic in controlled substances using our U.S. mail system.” Grossman thanked the prosecution team and investigating agencies for their excellent work on this case. “According to the complaint, the defendant was manufacturing and trafficking illicitly produced anabolic steroids,” said DEA Special Agent in Charge Shelly Howe. “DEA and our state and local partners will continue to actively pursue drug traffickers whether they are trafficking illicit drugs or controlled substances.” “The best way to disrupt and dismantle any criminal organization is to follow the money and take ill-gotten gains,” said Tyler Hatcher Special Agent in Charge of IRS Criminal Investigation's Los Angeles Field Office, “IRS Criminal Investigation is proud to work with our partners in investigating this case.” “This investigation shows our persistence and dedication in protecting the U.S. Mail from criminal misuse and disrupting the flow of these dangerous drugs being trafficked in our communities,” said Carroll Harris, Inspector in Charge of the Los Angeles Division. “The arrest of Feliciano demonstrates our collaborative efforts to continue to work closely with our partners to identify and prosecute those who are seeking a profit at the expense of the public safety.” This case is the result of ongoing efforts by the Organized Crime Drug Enforcement Task Force (“OCDETF”), a partnership that brings together the combined expertise and unique abilities of federal, state and local law enforcement agencies. The principal mission of the OCDETF program is to identify, disrupt, dismantle and prosecute high-level members of drug trafficking, weapons trafficking and money laundering organizations using an intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks. DEFENDANT Case Number 23MJ0630-BLM Edgar Lopez Feliciano Age: 54 San Diego, CA SUMMARY OF CHARGES Maintaining a Drug-Involved Premises – Title 21, U.S.C., Section 856(a)(1) and (2) Maximum penalty: Twenty years in prison and $500,000 fine AGENCY Drug Enforcement Administration Internal Revenue Service United States Postal Inspection Service *The charges and allegations contained in a complaint are merely accusations, and the defendant is considered innocent unless and until proven guilty.


title: McDonough County, Illinois, Man Sentenced to 188 Months in Prison for Methamphetamine Distribution

component: Department of Justice

body_text: ROCK ISLAND, Ill. – A Bardolph, Illinois, man, Shawn Thomas Connelly, 48 of the 100 block of Jackson Street was sentenced on February 23, 2023, to 188 months of imprisonment, to be followed by five years of supervised release, for conspiracy to distribute methamphetamine and distribution of methamphetamine. At the sentencing hearing, Chief United States District Judge Sara Darrow found that Connelly was involved in a conspiracy to knowingly distribute and possess with intent to distribute 500 grams of “ice” methamphetamine. In sentencing Connelly, Judge Darrow emphasized the devastating impact that methamphetamine has had on communities. Connelly pleaded guilty to the charges on March 23, 2021, and has been in custody since his arrest on September 16, 2020. Connelly’s other co-defendants were sentenced on October 27, 2022, to multi-year terms in federal prison. John William Yates, 56, of the 700 block of North Jackson Street in Bushnell, Illinois, was sentenced to 120 months’ imprisonment, to be followed by a five-year term of supervised release, for conspiracy to distribute methamphetamine. Christopher Allen Yates, 39, of the 1500 block of Jones Street in Joliet, Illinois, was sentenced to 168 months’ imprisonment, to be followed by a five-year term of supervised release, for conspiracy to distribute methamphetamine. Jeanna Rechkemmer, 36, of the 600 block of East Osborne Street in Bushnell, was sentenced to 135 months’ imprisonment, to be followed by a five-year term of supervised release, for conspiracy to distribute methamphetamine. Amber Michelle Phelps, 31, of the 600 block of Sherry Street, in Colchester, Illinois, was sentenced to 120 months’ imprisonment, to be followed by a five-year term of supervised release, for conspiracy to distribute methamphetamine. Jerel Jay Guarin, 44, of the 600 block of Sherry Street in Colchester, was sentenced to 144 months’ imprisonment, to be followed by a five-year term of supervised release, for conspiracy to distribute methamphetamine and distribution of methamphetamine. Amanda Sue Edwards, 42, of the 200 block of Poplar Street in Bardolph, was sentenced to 120 months’ imprisonment, to be followed by a five-year term of supervised release, for conspiracy to distribute methamphetamine. Trenton Lee Sealock, 28, of the 100 block of South Jackson Street in Bardolph, was sentenced to 144 months’ imprisonment, to be followed by a five-year term of supervised release, for conspiracy to distribute methamphetamine and distribution of methamphetamine. The statutory penalty for conspiracy to distribute methamphetamine is a mandatory minimum term of ten years up to a maximum of life imprisonment, to be followed by at least five years of supervised release. The statutory penalty for distribution of methamphetamine is up to a maximum of 20 years in prison, followed by at least three years of supervised release. “This sentencing brings to a close another important methamphetamine prosecution and is an example of the dedication and collaboration of our law enforcement partners,” said Assistant U.S. Attorney Jennifer Mathew. “The scourge methamphetamine can have, especially on smaller rural communities, is reflected in the significant penalties imposed in this case.” “Methamphetamine has plagued our communities and region for many years, and a multitude of adults and children have been negatively impacted by the presence of this substance,” said Jerel Jones, Chief of the Macomb Police Department. “We will tirelessly labor to prevent the usage, sale, and delivery of this drug, as the safety and well-being of our residents remains a priority.” The Macomb Police Department, and the McDonough County Sheriff’s Department investigated this case with the assistance of the Drug Enforcement Administration and the cooperation of the McDonough County State’s Attorney’s Office. Assistant U.S. Attorney Mathew represented the government in the prosecution.


title: HSI Arrested Comptroller of Athletic Club Indicted in $1 Million Wire Fraud Scheme

component: USAO - Puerto Rico

body_text: SAN JUAN, Puerto Rico – A federal grand jury in the District of Puerto Rico returned an indictment on February 23, 2023, charging Zuleika Molina-Orozco with eight counts of wire fraud in violation of Title 18, United States Code, Section 1343. According to court documents, Molina-Orozco was the comptroller of Company A, a not-for-profit sports and social club located at a resort in Humacao, Puerto Rico, and had access and control over Company A’s bank account. Between October 2019 and March 2022, Molina-Orozco fraudulently made thirty-nine (39) unauthorized wire transfers from Company A’s bank account to three (3) of her credit cards and two (2) unauthorized wire transfers to another bank account, all totaling $1,100,283.36. The money the defendant obtained from the fraud scheme was used to pay the defendant’s personal credit card expenses, to purchase a 2020 Ford F-150 truck, and to transfer money to other individuals. The defendant is scheduled for her initial court appearance today at 1:30 p.m. before U.S. Magistrate Judge Marshal D. Morgan of the U.S. District Court for the District of Puerto Rico. If convicted, she faces a maximum penalty of 20 years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors. U.S. Attorney W. Stephen Muldrow of the District of Puerto Rico; and Rebecca C. González-Ramos, Acting Special Agent in Charge of Homeland Security Investigations (HSI) made the announcement. HSI investigated the case. Assistant U.S. Attorney Scott H. Anderson is prosecuting the case. An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law. ###