title: Recidivist Drug Trafficker from Duquesne Convicted at Trial for Firearms Offenses Following Earlier Guilty Plea to Related Fentanyl Trafficking Crimes

component: USAO - Pennsylvania, Western

body_text: PITTSBURGH, Pa. - After deliberating for three hours, a federal jury on September 12, 2024, found Courtney Washington of Duquesne, Pennsylvania, guilty of two counts of violating federal firearms laws, United States Attorney Eric G. Olshan announced today. Washington, 30, was tried before United States District Judge Christy Criswell Wiegand in Pittsburgh. According to evidence presented at trial, Washington sold fentanyl to two confidential informants on April 3, 2023, during an ongoing drug trafficking investigation. Two weeks later, on April 17, 2023, law enforcement officers investigating the earlier fentanyl distribution executed a search warrant at Washington’s home and seized about $45,000 worth of fentanyl from a washing machine, where Washington unsuccessfully had attempted to destroy the drugs, along with a loaded and stolen .45 Glock handgun that Washington attempted to conceal in the ceiling rafters about six feet from the washing machine. Testimony established that the Glock was the same firearm that the confidential informants had observed in the console of Washington’s car during the April 3, 2023, transaction. Washington previously had been convicted of a federal drug trafficking felony and is therefore prohibited under federal law from possessing a firearm or ammunition. Prior to trial, Washington pleaded guilty to distribution of fentanyl for the April 3, 2023, conduct, as well as possession with intent to distribute the fentanyl found in the washing machine on April 17, 2023. In addition to finding Washington guilty of possessing a firearm as a convicted felon, the jury concluded that Washington possessed the firearm on April 17, 2023, in furtherance of his drug trafficking activities, another violation of federal law. Recordings of prison calls also revealed that Washington attempted to extort and intimidate the confidential informants following his arrest. Judge Wiegand scheduled sentencing for January 16, 2025. The law provides for a total sentence of not less than five years and up to life in prison, a fine of up to $1,250,000, or both. Under the federal Sentencing Guidelines, the actual sentence imposed is based on the seriousness of the offenses and the prior criminal history of the defendant. As Washington was on federal supervised release for his prior drug trafficking crime at the time he committed these crimes, he faces another sentence for violating the conditions of his supervised release. Assistant United States Attorneys Brendan T. Conway and V. Joseph Sonson are prosecuting the case on behalf of the government. The Bureau of Alcohol, Tobacco, Firearms and Explosives conducted the investigation that led to the prosecution of Washington, with assistance from the Allegheny County Police Department and Duquesne Police Department.


title: Waterbury Gang Member Pleads Guilty

body_text: JUSTIN CABRERA, also known as “J.U.,” 25, of Waterbury, pleaded guilty today before U.S. District Judge Kari A. Dooley in Bridgeport to offenses stemming from his participation in the 960 gang, a violent Waterbury street gang. Today’s announcement was made by Vanessa Roberts Avery, United States Attorney for the District of Connecticut; Maureen T. Platt, State’s Attorney for the Waterbury Judicial District; Robert Fuller, Special Agent in Charge of the New Haven Division of the Federal Bureau of Investigation; James Ferguson, Special Agent in Charge, ATF Boston Field Division; and Waterbury Police Chief Fernando C. Spagnolo. According to court documents and statements made in court, in an effort to address drug trafficking and related violence in Waterbury, the FBI, ATF, and Waterbury Police have been investigating multiple Waterbury-based groups, including the 960 gang. On September 14, 2021, a federal grand jury in Hartford returned a 36-count indictment charging Cabrera and 15 other alleged 960 gang members with racketeering, narcotics trafficking, firearm possession, murder, attempted murder and assault, and obstruction of justice offenses. Cabrera pleaded guilty to one count of attempted murder and assault with a dangerous weapon in aid of racketeering, and one count of carrying and using a firearm during and in relation to a crime of violence. On October 31, 2017, 960 members shot and wounded an individual in an attempt to murder members of a rival gang. In pleading guilty, Cabrera admitted that he operated one of the vehicles used in the shooting. Judge Dooley scheduled sentencing for December 9, at which time Cabrera faces a mandatory minimum term of imprisonment of 10 years and a maximum term of imprisonment of life. Cabrera has been detained since September 16, 2021. This investigation has been conducted by the FBI’s Northern Connecticut Gang Task Force, Waterbury Police Department, ATF, and U.S. Marshals Service, with the assistance of the Southington Police Department, Watertown Police Department, New Milford Police Department, Connecticut State Police, Connecticut Department of Correction, Connecticut Forensic Science Laboratory, and the DEA Laboratory. The case is being prosecuted by Assistant U.S. Attorneys Geoffrey M. Stone, John T. Pierpont, Jr. and Natasha M. Freismuth, and Supervisory Assistant State’s Attorney Don E. Therkildesen, Jr. and Deputy Assistant State’s Attorney Alexandra Arroyo of the Waterbury State’s Attorney’s Office, who have been cross-designated as Special Assistant U.S. Attorneys in this matter. This prosecution is a part of the Justice’s Department’s Project Safe Neighborhoods (PSN) and Organized Crime Drug Enforcement Task Forces (OCDETF) programs. PSN is a program bringing together all levels of law enforcement and the communities they serve to reduce gun violence and other violent crime, and to make our neighborhoods safer for everyone. In May 2021, the Justice Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results. For more information about Project Safe Neighborhoods, please visit www.justice.gov/psn . OCDETF identifies, disrupts, and dismantles drug traffickers, money launderers, gangs, and transnational criminal organizations through a prosecutor-led and intelligence-driven approach that leverages the strengths of federal, state, and local law enforcement agencies. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF .


title: Pittsburgh Resident Pleads Guilty to Bankruptcy, Mail Fraud Charges Related to East Carson Street Property Destroyed by Fire

body_text: PITTSBURGH, Pa. - A resident of Pittsburgh, Pennsylvania, pleaded guilty in federal court to charges of bankruptcy fraud and mail fraud, United States Attorney Eric G. Olshan announced today. Prasad Margabandhu, 48, pleaded guilty to two counts before United States District Judge Christy Criswell Wiegand. In connection with the guilty plea to the bankruptcy fraud charge, the Court was advised that, from March 2019 to June 2022, Margabandhu engaged in a scheme to defraud the bankruptcy court by filing multiple bankruptcy petitions in the names of companies he controlled called “RSP Pittsburgh” and “Shane Tracy Enterprises” solely to delay efforts by creditors such as the mortgage holder and taxing bodies to execute on judgments against a property at 1925 East Carson Street in Pittsburgh. With respect to the guilty plea to the charge of mail fraud, Margabandhu admitted that his insurance claim relating to a June 2022 fire that destroyed the 1925 East Carson Street property was fraudulent. In particular, Margabandhu admitted that he had made several materially false statements to the company that insured the property. Judge Weigand scheduled sentencing for January 14, 2025. The law provides for a total sentence of up to 25 years in prison, a fine of up to $500,000, 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. Assistant United States Attorneys Gregory C. Melucci and Shaun E. Sweeney are prosecuting this case on behalf of the government. The Bureau of Alcohol, Tobacco, Firearms and Explosives; Internal Revenue Service; Federal Bureau of Investigation, and Office of the United States Trustee conducted the investigation that led to the prosecution of Margabandhu.


title: Lynn Man Sentenced to More than Two Years in Prison for Conspiracy to Traffic Counterfeit Pills Containing Fentanyl

component: USAO - Massachusetts

body_text: BOSTON – A Lynn man was sentenced today in federal court in Boston for his role in a North Shore-based drug trafficking organization (DTO) that manufactured and distributed tens of thousands of counterfeit prescription pills containing narcotics. Edward Ortiz, 34, was sentenced by Chief U.S. District Court Judge F. Dennis Saylor IV to 28 months in prison and three years of supervised release. On June 17, 2024, Ortiz pleaded guilty to conspiracy to distribute and possess with intent to distribute controlled substances. Ortiz was among 23 individuals charged in October 2022 in connection with a wide-ranging conspiracy to traffic counterfeit prescription pills. The defendants were subsequently indicted along with two additional alleged co-conspirators in December 2022. According to court documents, the DTO distributed counterfeit oxycodone pills containing fentanyl and counterfeit Adderall pills containing methamphetamine, among other things, to various individuals in the Lynn area. During the investigation, investigators seized from Ortiz approximately 1,000 counterfeit oxycodone pills containing fentanyl that Ortiz had just obtained from one of the co-conspirators in this matter. Acting United States Attorney Joshua S. Levy; Stephen Belleau, Acting Special Agent in Charge of the Drug Enforcement Administration, New England Division; and John E. Mawn Jr., Interim Colonel of the Massachusetts State Police made the announcement today. Valuable assistance was provided by the Bureau of Alcohol, Tobacco, Firearms and Explosives, Boston Field Division and the Beverly, Everett, Peabody, Revere, Salem, Saugus and Swampscott Police Departments. Assistant U.S. Attorney Evan D. Panich of the Narcotics & Money Laundering Unit prosecuted the case. This effort is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/ocdetf . The details contained in the indictment are allegations. The remaining defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.


title: Volusia County Woman Sentenced To Over Nine Years In Prison For Bank Fraud And Aggravated Identity Theft

component: USAO - Florida, Middle

body_text: Orlando, Florida – U.S. District Judge John Antoon II has sentenced Angela Courington (65, Volusia County) to nine years and three months in federal prison for bank fraud and aggravated identity theft. As part of her sentence, the court also entered an order of forfeiture in the amount of $2,201,836.40, the proceeds of the fraud. Courington entered a guilty plea on June 5, 2024. According to court documents, between January 2013 and October 2022, Courington stole more than $2.2 million from her employer and his companies in her role as the companies’ accounting manager. Specifically, Courington made at least 84 company checks payable to herself without authorization by fraudulently forging the signature of the owner of the companies. To conceal her fraud, Courington documented the forged checks in the companies’ accounting systems as legitimate expenses. Additionally, as part of her fraudulent scheme, she used the companies’ credit cards and funds from her employer’s personal bank account for her own benefit, including, in large part, to fund her gambling habit. This case was investigated by Federal Bureau of Investigation. It was prosecuted by Assistant United States Attorney Kara M. Wick.


title: Jamaican National Faces Federal Charge For An Alleged Lottery Scheme That Defrauded Victims Of More Than $9.5 Million

body_text: Baltimore , Maryland – Today, Tavoy Farquharson, age 32, had an initial appearance in the U.S. District Court for the Eastern District of New York on a criminal complaint filed in the District of Maryland, charging the defendant with conspiracy to commit mail fraud in connection with a lottery scheme, The criminal complaint was announced by Erek L. Barron, United States Attorney for the District of Maryland; Postal Inspector in Charge Damon E. Wood of the U.S. Postal Inspection Service - Washington Division; Special Agent in Charge Michael McCarthy of Homeland Security Investigations (HSI) Baltimore; Special Agent in Charge Javan Wilson of the U.S. Treasury, Office of Inspector General (Treasury OIG); and Chief Malik Aziz of the Prince George’s County Police Department. According to the complaint, from at least March 2023 through July 2023, Farquharson and his co-conspirators contacted the victims by mail or over the phone and convinced them that they had won millions of dollars in a lottery or sweepstakes but were required to send payment in advance for taxes and other fees before they could receive their winnings. Farquharson and his co-conspirators caused the victims to send payments for the purported taxes and other fees through wire transfer, by gift card, by sending cash or checks through the U.S. Mail, by other interstate commercial carrier, and by other payment methods. According to the complaint, the victims lost at least $9.5 million to the lottery scheme. Wayne and Dwayne Henry of Landover Hills, Maryland and Jamaican national Nickoy Campbell were charged previously with conspiracy to commit mail fraud as part of the same lottery scheme. If convicted, Farquharson faces a maximum sentence of 20 years in federal prison for the mail fraud conspiracy. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors. A criminal complaint is not a finding of guilt. A person charged by criminal complaint is presumed innocent unless and until proven guilty at some later criminal proceedings. This case is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks. Reporting from consumers about fraud and fraud attempts is critical to law enforcements efforts to investigate and prosecute schemes targeting older adults. If you or someone you know is age 60 or older and has been a victim of financial fraud, help is available at the National Elder Fraud Hotline: 1-833-FRAUD-11 (1-833-372-8311). This Department of Justice Hotline, managed by the Office for Victims of Crime, is staffed by experienced professionals who provide personalized support to callers by assessing the needs of the victim and identifying next steps, including identifying appropriate reporting agencies, providing information to callers to assist them in reporting or connecting them with agencies, and providing resources and referrals on a case-by-case basis. The hotline is staffed from 10:00 a.m. to 6:00 p.m. Monday through Friday. English, Spanish, and other languages are available. More information about the Department’s elder justice efforts can be found on the Department’s Elder Justice website, www.elderjustice.gov . Victims are encouraged to file a complaint online with the FBI’s Internet Crime Complaint Center at this website or by calling 1-800-225-5324. U.S. Attorney Barron commended the U.S. Postal Inspection Service, HSI, Treasury OIG, and Prince George’s County Police Department for their work in the investigation and thanked the Social Security Administration Office of Inspector General, the Maryland State Police, the Baltimore County Police, the Anne Arundel County Police, the New York Police Department, and the Suffolk County Police Department for their assistance. Mr. Barron thanked Assistant U.S. Attorneys Evelyn Lombardo Cusson and Christine Goo, who are prosecuting the federal case. For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to help the community, please visit www.justice.gov/usao-md and https://www.justice.gov/usao-md/community-outreach . # # #


title: Lame Deer woman admits to trafficking meth

component: Drug Enforcement Administration (DEA)

body_text: BILLINGS — A Lame Deer woman admitted today to selling methamphetamine on the Northern Cheyenne Indian reservation, U.S. Attorney Jesse Laslovich said. The defendant, Emma Jewell King, 62, pleaded guilty to possession with intent to distribute meth. King faces a maximum of 20 years in prison, a $1 million fine and at least three years of supervised release. U.S. Magistrate Judge Timothy J. Cavan presided. A sentencing date will be set before U.S. District Judge Susan P. Watters. The court will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors. King was released pending further proceedings. The government alleged in court documents that between December 2020 and January 2021, law enforcement learned that King was selling meth on the Northern Cheyenne Indian Reservation. A source told law enforcement that he or she started purchasing meth from King in early 2019 and would purchase three to four grams per week from her. King’s source of meth was from a home in Lodge Grass and from Washington. In March 2023, law enforcement conducted a controlled purchase of meth from King from King’s house. King told law enforcement in January 2024 that she was a drug dealer and had purchased one ounce of meth every week beginning in about July 2021 through March 2023. The U.S. Attorney’s Office is prosecuting the case. The FBI, Drug Enforcement Administration and Bureau of Indian Affairs conducted the investigation. The case was investigated under the Organized Crime Drug Enforcement Task Forces (OCDETF). OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. For more information about Organized Crime Drug Enforcement Task Forces, please visit Justice.gov/OCDETF . XXX


title: Justice Department Expands Tribal Access Program to Improve the Exchange of Critical Data with Federally Recognized Tribes

component: Office of the Attorney General

body_text: The Justice Department has selected 17 federally recognized Tribes to participate in the continued expansion of the Tribal Access Program for National Crime Information (TAP), a program that provides Tribal governments with means to access, enter, and exchange data with national crime information systems, including those maintained by the FBI Criminal Justice Information Services (CJIS) Division. This announcement follows Attorney General Merrick B. Garland’s trips to Montana , New Mexico , and South Dakota during which he visited with numerous Tribal and federal law enforcement officials and Tribal leaders to discuss the public safety challenges faced by Tribal communities. “Tribal communities deserve safety, and they deserve justice,” said Attorney General Garland. “The Tribal Access Program provides Tribes with the crime information they need to investigate crimes, apprehend suspects, protect vulnerable persons, and ensure justice for victims. It reflects the Justice Department’s steadfast commitment to working with our Tribal law enforcement partners to protect those living in Indian Country.” With this expansion, TAP now supports 149 Tribes and more than 460 Tribal government agencies. “The Tribal Access Program has enhanced our efforts in the administration of criminal justice within the Kickapoo Traditional Tribe of Texas reservation,” said Interim Tribal Police Director Epifanio Ruiz of the Kickapoo Traditional Tribe of Texas. “During the performance of our duties, the Tribal police department has effectively apprehended subjects within the Tribal nation who have outstanding warrants in other jurisdictions thus enhancing the safety and wellbeing of the community.” TAP provides training as well as software and biometric/biographic kiosk workstations to process fingerprints, take mugshots, and submit information to FBI CJIS systems. The Justice Department began TAP in 2015 in response to concerns raised by Tribal leaders about the need to have direct access to federal systems. Using TAP, Tribes have shared information about missing persons; registered convicted sex offenders; entered domestic violence orders of protection for nationwide enforcement; entered orders that prevent dangerous prohibited persons from obtaining firearms; run criminal histories; identified and arrested fugitives; entered bookings and convictions; and completed fingerprint-based record checks for non-criminal justice purposes such as screening employees or volunteers who work with children. The following additional Tribes have been selected for participation in TAP: Catawba Indian Nation Crow Tribe Little Traverse Bay Bands of Odawa Indians Native Village of Gakona Northern Cheyenne Tribe Orutsararmiut Traditional Native Council Quileute Tribe Snoqualmie Indian Tribe Village of Dot Lake Walker River Paiute Tribe Caddo Nation Tuolumne Band of Me-Wuk Indians Augustine Band of Cahuilla Indians Karuk Tribe Shawnee Tribe Yerington Paiute Tribe of the Yerington Colony & Campbell Ranch Kiowa Indian Tribe TAP is managed by the Justice Department’s Office of the Chief Information Officer and the Office of Tribal Justice. It is funded by the Office of Sex Offender Sentencing, Monitoring, Apprehending, Registering, and Tracking (SMART), the Office of Community Oriented Policing Services (COPS), the Office for Victims of Crime (OVC), and the Office on Violence Against Women (OVW). For more information on TAP, visit www.justice.gov/tribal/tribal-access-program-tap .


title: KC Man Convicted of Illegal Firearm

component: USAO - Missouri, Western

body_text: KANSAS CITY, Mo. – A Kansas City, Mo., man was convicted in a federal bench trial today of illegally possessing a firearm. Dale D. Mitchell, Jr., 46, was found guilty of being a felon in possession of a firearm. Kansas City, Mo., police officers contacted Mitchell on Feb. 12, 2023, while he was sitting in his Cadillac XTS in a parking lot at 8025 Hickman Mills Drive. Officers told Mitchell, who was in the driver’s seat, to put the vehicle in park and roll down the window. Instead, Mitchell opened the driver’s door. Officers saw an open bottle of alcohol in the driver’s door panel and a Taurus .38-caliber revolver laying on Mitchell’s right thigh. Officers seized the firearm and removed Mitchell from the vehicle. Under federal law, it is illegal for anyone who has been convicted of a felony to be in possession of any firearm or ammunition. Mitchell has two prior felony convictions for being a felon in possession of a firearm, three prior felony convictions for possession of a controlled substance, a prior felony conviction for distribution/delivery of marijuana, a prior felony conviction for tampering, and a prior felony conviction for robbery. At the conclusion of today’s bench trial, U.S. District Judge Howard F. Sachs ruled that Mitchell was guilty. Under federal statutes, Mitchell is subject to a sentence of up to 15 years in federal prison without parole. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory sentencing guidelines and other statutory factors. A sentencing hearing is scheduled on Jan. 29, 2025. This case is being prosecuted by Assistant U.S. Attorney Ashleigh A. Ragner and Special Assistant U.S. Attorney Jessica Jennings. It was investigated by the Kansas City, Mo., Police Department. Project Safe Neighborhoods This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.


title: Two Members of a Nationwide Drug Trafficking Ring Sentenced for Methamphetamine Trafficking Conspiracy

body_text: BOSTON – Two members of a nationwide drug trafficking ring were sentenced today in federal court in Boston. During the investigation over 160 pounds of pure methamphetamine, as well as an AK-47, a Glock with no serial number, two loaded Smith & Wesson handguns and over 4,200 rounds of ammunition were seized. An illegal marijuana grow operation with hundreds of marijuana plants was also dismantled. Edison Klotz, 48, of Stoughton, Mass., was sentenced by U.S. District Court Judge Nathaniel M. Gorton to 46 months in prison, followed by two years of supervised release after pleading guilty to two counts of a superseding information charging him with conspiracy to distribute and to possess with intent to distribute methamphetamine and distribution and possession with intent to distribute methamphetamine. Brian Keleman, 55, of Woonsocket, Rhode Island, was sentenced by U.S. District Court Judge Nathaniel M. Gorton to 60 months in prison, followed by three years of supervised release after pleading guilty to two counts of a superseding indictment charging him with conspiracy to distribute and to possess with intent to distribute controlled substances and money laundering conspiracy. The superseding indictment also charged 10 other defendants with controlled substance offenses, firearm offenses and money laundering offenses. In approximately October 2020, investigators received information about drug trafficking activities of a large-scale methamphetamine supplier in the Boston area. Over the course of the investigation, a cooperating witness completed controlled purchases from members of the drug trafficking organization, including from Klotz. In November 2020, Klotz distributed over 108 grams of pure methamphetamine to the cooperating witness. In late 2020, co-defendant Reshat Alkayisi was identified as a large-scale methamphetamine trafficker, who distributed multi-pound quantities to distributor customers throughout the New England area. Between October 2020 and April 2021, 12 controlled purchases of methamphetamine were made from the drug trafficking organization—two of which were delivered personally by Alkayisi and one that was negotiated with Alkayisi and delivered by Keleman. The investigation also revealed that Keleman worked for Alkayisi on Alkayisi’s illegal marijuana grow. In addition, Keleman delivered methamphetamine on behalf of Alkayisi and also assisted Alkayisi in laundering his drug proceeds. Klotz and Keleman are the fifth and sixth defendants to be sentenced. All other defendants have pleaded guilty and are awaiting sentencing or have been sentenced. Acting United States Attorney Joshua S. Levy; Jodi Cohen, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division; and Stephen Belleau, Acting Special Agent in Charge of the Drug Enforcement Administration, New England Field Division made the announcement. Valuable assistance was provided by the Massachusetts Department of Correction; Norfolk County Sherriff’s Office; and Concord, Hudson, Peabody, Reading, Watertown and Waltham Police Departments. Assistance was also provided by the Massachusetts, Rhode Island, New Hampshire and Maine State Police. Assistant U.S. Attorneys Alathea Porter and Katherine Ferguson of the Criminal Division are prosecuting the case. This case is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF .


title: South Dakota Surgical Hospital Agrees to Pay More Than $12.7M to Resolve Alleged False Claims Act Violations

component: Civil Division

body_text: Siouxland Surgery Center LLP, doing business as Dunes Surgical Hospital (Dunes), United Surgical Partners International Inc. (USPI) and USP Siouxland Inc. have agreed to pay approximately $12.76 million to resolve alleged False Claims Act violations relating to improper financial relationships between Dunes and two physician groups. Dunes is a surgical hospital located in Dakota Dunes, South Dakota. Since July 1, 2014, USPI has maintained partial ownership of Dunes through USP Siouxland, a wholly owned subsidiary of USPI. Dunes and USPI disclosed the arrangements at issue to the government following an internal compliance review and independent investigation. The settlement resolves allegations that, from at least 2014 through 2019, Dunes made significant financial contributions to a non-profit affiliate of a physician group whose physicians referred patients to Dunes. Those payments allegedly funded the salaries of athletic trainers who generated referrals to both the physician group and to Dunes. The settlement also resolves allegations, that during the same time period, Dunes provided another physician group with free or below-fair-market-value clinic space, staff, and supplies. The United States alleged that these arrangements violated both the Anti-Kickback Statute (AKS) and the Physician Self-Referral Law, commonly known as the Stark Law. The AKS prohibits the provision of remuneration to induce the referral of services or items that are paid for by a federal health care program. The Stark Law prohibits hospitals from billing for certain services referred by physicians with whom the hospital has a financial relationship, unless that relationship satisfies one of the law’s statutory or regulatory exceptions. A claim submitted in violation of the AKS or the Stark Law can also violate the False Claims Act. “The AKS and Stark Law are designed to ensure that decisions about patient care are based on physicians’ independent medical judgment and not their personal financial interest,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “As this settlement reflects, we will hold accountable those who violate these important safeguards, but we will also give to those who disclose their wrongdoing, take appropriate remedial actions and meaningfully cooperate with the government’s investigation.” In connection with the settlement, the United States acknowledged that Dunes and USPI took a number of significant steps entitling them to credit for cooperating with the government. Following an internal compliance review and independent investigation, Dunes and USPI promptly took remedial actions and disclosed the relevant arrangements to the government. Dunes and USPI also provided the government with a detailed and thorough written disclosure and cooperated with the government throughout its investigation. “Illegal kickbacks and self-referrals make healthcare more expensive and create the potential for medical decisions that are not based on what is best for patients,” said U.S. Attorney Timothy T. Duax for the Northern District of Iowa. “Our office welcomes the cooperation of those who self-disclose and will continue to work with our law enforcement partners to ensure that taxpayers do not bear the costs of illegal and unethical practices.” “The U.S. Attorney’s Office is dedicated to fostering a healthcare environment that prioritizes patient well-being above all,” said U.S. Attorney Alison Ramsdell for the District of South Dakota. “We stand firmly against any actions that could undermine the trust and transparency that form the cornerstone of patient care and remain committed to working closely with healthcare professionals and regulatory bodies to promote ethical practices to ensure patients receive the highest standard of care.” “Individuals and entities that participate in the federal health care system are required to obey laws designed to preserve the integrity of program funds and ensure the provision of appropriate, quality services to patients,” said Special Agent in Charge Linda T. Hanley of the Department of Health and Human Services Office of Inspector General (HHS-OIG). “Together with our federal and state law enforcement partners, we remain committed to investigating allegations of improper arrangements that can put patient safety at risk.” The settlement resolves allegations of false billings to the Medicare, TRICARE and Medicaid programs. The Medicaid program is jointly funded by the federal and state governments. In addition to the approximately $12.76 million to be paid to the federal government for alleged violations of the False Claims Act, South Dakota, Iowa and Nebraska will collectively receive approximately $1.37 million for their share of the Medicaid portion of the settlement. The resolution obtained in this matter was the result of a coordinated effort between the Civil Division’s Commercial Litigation Branch, Fraud Section; U.S. Attorney’s Office for the Northern District of Iowa; U.S. Attorney’s Office for the District of South Dakota; and HHS-OIG. The investigation and resolution of this matter illustrates the government’s emphasis on combating health care fraud. One of the most powerful tools in this effort is the False Claims Act. Tips and complaints from all sources about potential fraud, waste, abuse and mismanagement can be reported to HHS at 800-HHS-TIPS (800-447-8477). Trial Attorney Nathan Green, Assistant U.S. Attorney Brandon Gray for the Northern District of Iowa and Assistant U.S. Attorney Alexis Warner for the District of South Dakota handled the matter. The claims resolved by the United States in the settlement are allegations only. There has been no determination of liability. Settlement


component: USAO - South Dakota

body_text: WASHINGTON – Siouxland Surgery Center LLP, doing business as Dunes Surgical Hospital (Dunes), United Surgical Partners International Inc. (USPI) and USP Siouxland Inc. have agreed to pay approximately $12.76 million to resolve alleged False Claims Act violations relating to improper financial relationships between Dunes and two physician groups. Dunes is a surgical hospital located in Dakota Dunes, South Dakota. Since July 1, 2014, USPI has maintained partial ownership of Dunes through USP Siouxland, a wholly owned subsidiary of USPI. Dunes and USPI disclosed the arrangements at issue to the government following an internal compliance review and independent investigation. The settlement resolves allegations that, from at least 2014 through 2019, Dunes made significant financial contributions to a non-profit affiliate of a physician group whose physicians referred patients to Dunes. Those payments allegedly funded the salaries of athletic trainers who generated referrals to both the physician group and to Dunes. The settlement also resolves allegations, that during the same time period, Dunes provided another physician group with free or below-fair-market-value clinic space, staff, and supplies. The United States alleged that these arrangements violated both the Anti-Kickback Statute (AKS) and the Physician Self-Referral Law, commonly known as the Stark Law. The AKS prohibits the provision of remuneration to induce the referral of services or items that are paid for by a federal health care program. The Stark Law prohibits hospitals from billing for certain services referred by physicians with whom the hospital has a financial relationship, unless that relationship satisfies one of the law’s statutory or regulatory exceptions. A claim submitted in violation of the AKS or the Stark Law can also violate the False Claims Act. “The AKS and Stark Law are designed to ensure that decisions about patient care are based on physicians’ independent medical judgment and not their personal financial interest,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “As this settlement reflects, we will hold accountable those who violate these important safeguards, but we will also give to those who disclose their wrongdoing, take appropriate remedial actions and meaningfully cooperate with the government’s investigation.” In connection with the settlement, the United States acknowledged that Dunes and USPI took a number of significant steps entitling them to credit for cooperating with the government. Following an internal compliance review and independent investigation, Dunes and USPI promptly took remedial actions and disclosed the relevant arrangements to the government. Dunes and USPI also provided the government with a detailed and thorough written disclosure and cooperated with the government throughout its investigation. “Illegal kickbacks and self-referrals make healthcare more expensive and create the potential for medical decisions that are not based on what is best for patients,” said U.S. Attorney Timothy T. Duax for the Northern District of Iowa. “Our office welcomes the cooperation of those who self-disclose and will continue to work with our law enforcement partners to ensure that taxpayers do not bear the costs of illegal and unethical practices.” “The U.S. Attorney’s Office is dedicated to fostering a healthcare environment that prioritizes patient well-being above all,” said U.S. Attorney Alison Ramsdell for the District of South Dakota. “We stand firmly against any actions that could undermine the trust and transparency that form the cornerstone of patient care and remain committed to working closely with healthcare professionals and regulatory bodies to promote ethical practices to ensure patients receive the highest standard of care.” “Individuals and entities that participate in the federal health care system are required to obey laws designed to preserve the integrity of program funds and ensure the provision of appropriate, quality services to patients,” said Special Agent in Charge Linda T. Hanley of the Department of Health and Human Services Office of Inspector General (HHS-OIG). “Together with our federal and state law enforcement partners, we remain committed to investigating allegations of improper arrangements that can put patient safety at risk.” The settlement resolves allegations of false billings to the Medicare, TRICARE and Medicaid programs. The Medicaid program is jointly funded by the federal and state governments. In addition to the approximately $12.76 million to be paid to the federal government for alleged violations of the False Claims Act, South Dakota, Iowa and Nebraska will collectively receive approximately $1.37 million for their share of the Medicaid portion of the settlement. The resolution obtained in this matter was the result of a coordinated effort between the Civil Division’s Commercial Litigation Branch, Fraud Section; U.S. Attorney’s Office for the Northern District of Iowa; U.S. Attorney’s Office for the District of South Dakota; and HHS-OIG. The investigation and resolution of this matter illustrates the government’s emphasis on combating health care fraud. One of the most powerful tools in this effort is the False Claims Act. Tips and complaints from all sources about potential fraud, waste, abuse and mismanagement can be reported to HHS at 800-HHS-TIPS (800-447-8477). Trial Attorney Nathan Green, Assistant U.S. Attorney Brandon Gray for the Northern District of Iowa and Assistant U.S. Attorney Alexis Warner for the District of South Dakota handled the matter. The claims resolved by the United States in the settlement are allegations only. There has been no determination of liability.


title: Senior Leaders of Violent Drug Gang Convicted of Drug Trafficking While Armed with Machine Guns

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

body_text: WASHINGTON – Andre Alonte Willis aka “Boogie,” 32, and Broadus Jamal Daniels aka “Wardy,” 29, both of Washington, D.C. were found guilty today of drug and gun charges related to a drug trafficking conspiracy. The verdicts were announced by U.S. Attorney Matthew M. Graves, Acting Special Agent in Charge David Geist of the FBI Washington Field Office Criminal and Cyber Division, Acting Special Agent in Charge James Van Vliet of the ATF Washington Field Division, and Chief Pamela A. Smith of the Metropolitan Police Department. Willis and Daniels were both found guilty of conspiracy to distribute more than 100 kilograms of marijuana, possession with the intent to distribute marijuana, unlawful possession of machine guns, and possessing firearms in furtherance of drug trafficking. Daniels was also found guilty of possessing machine guns in furtherance of drug trafficking and unlawful possession of a firearm by a convicted felon. U.S. District Judge Amy Berman Jackson scheduled sentencing hearings for February 2025. “These guilty verdicts are the latest step in our ongoing effort to federally prosecute those who are driving violence or whose conduct is a magnet for violence,” said US Attorney Graves. “These defendants have been found guilty of illegally possessing numerous firearms and possessing a conversion device that could transform a handgun into a machine gun. We, along with our law enforcement partners, will continue to identify those driving violence within our community and work to hold them accountable for crimes that will remove them from our community for lengthy periods of time.” According to the evidence presented at trial, Willis was a “big homie” in the D.C. street crew known as “Push Dat Shit” or “PDS.” PDS maintained gang territory in the 3300 – 3500 blocks of Wheeler Road, Southeast, and adjacent areas, and operated an open air drug market outside the Holiday Market located at 3509 Wheeler Road, Southeast. In approximately August 2018, PDS became allied with a neighboring street gang known as Jugg Gang, or “JG,” including JG “big homie” Daniels. Between August 2018 and April 2023, members of the allied PDS/JG street crew sold drugs from Holiday Market and from “trap houses” that they maintained in apartment buildings surrounding that location. As their drug business grew, PDS/JG became the target of drive-by shootings conducted by rival gangs – shootings they referred to as “spinning the block.” Beginning in approximately August 2019, a PDS/JG member began assembling AR-Pistol assault rifles from “kits” purchased from online retailers and modifying them to be capable of fully automatic fire. Such firearms are defined as “Privately Made Firearms” by the ATF but are frequently referred to as “ghost guns” on the street. As was proved at trial, PDS/JG members used, carried, and possessed these “ghost gun” AR-Pistol machine guns in order to defend their territory from rival gangs, and also to “spin the block” on rival gangs in order to deter and dissuade their rivals from entering PDS/JG territory. Andre Alonte Willis, also known as “Boogie,” faces a mandatory minimum sentence of 10 years in prison. Willis’ sentencing is scheduled for February 6, 2024. Broadus Jamal Daniels, also known as “Wardy” and “JG Wardy” faces a mandatory minimum sentence of 65 years in prison. Daniels’ sentencing is scheduled for February 14, 2024. This conviction is part of an ongoing joint investigation which has now resulted in 22 convictions and the seizure of two vehicles, 35 firearms, four machine guns, more than 1,000 rounds of ammunition, approximately 60 pounds of marijuana, 41 grams of cocaine base, dozens of oxycodone pills, and approximately $500,000 in cash. The case was investigated by the FBI’s Washington Field Office, the ATF’s Washington Field Division, and the Metropolitan Police Department. It was prosecuted by Assistant U.S. Attorneys James B. Nelson and Justin F. Song and Paralegal Specialist Melissa Macechko. ## 22cr303


title: Cleveland Woman Sentenced to 2½ years in Prison for Forging Power of Attorney to Steal More than $46k from Elderly Victim

component: USAO - Ohio, Northern

body_text: CLEVELAND - Tanya Alahmad, 46, of Cleveland, Ohio, was sentenced by U.S. Judge David A. Ruiz to 30 months of imprisonment and ordered to pay $46,064.30 in restitution. Alahmad pleaded guilty in March 2024 to one count of mail fraud and one count of aggravated identity theft for forging a power of attorney to steal more than $46,000 from an elderly victim. According to court documents, from November 2019, through February 2022, Alahmad befriended the victim and stayed at their residence a few days week. Alahmad assisted the victim by cleaning the house and running errands. Alahmad also created a fraudulent Power of Attorney (POA) that named her as POA by forging the victim’s signature and then used the POA to obtain credit and debit cards in the victim’s name. Alahmad used the fraudulently obtained credit and debit cards to conduct unauthorized purchases and withdrawals. At times, the victim was hospitalized and in a rehabilitation facility while Alahmad continued to write checks from the victim’s bank account without lawful authority. As a result of Alahmad’s conduct, the victim and the bank lost more than $46,000. This investigation was conducted by the United States Postal Inspection Service and was prosecuted by Assistant U.S. Attorney Brian M. McDonough . The U.S. Attorney’s Office for the Northern District of Ohio would like to acknowledge and thank the Cuyahoga County Prosecutor’s Office and the Cleveland Police Department for their cooperation with this matter. The investigation and prosecution of this case is in response to the Elder Justice Initiative Program originating from the Elder Abuse Prevention and Prosecution Act of 2017 (EAPPA). The mission of the EAPPA and Elder Justice Initiative is to support and coordinate the Department of Justice’s enforcement efforts to combat elder abuse, neglect, financial fraud, and scams that target the nation’s elderly population. If you observe something that you believe might be fraudulent conduct involving an older adult, contact the dedicated National Elder Fraud Hotline at 1-833-FRAUD-11 or 1-833-372-8311 and visit the FBI’s IC3 Elder Fraud Complaint Center at IC3.gov to report it.


title: Armenian National Sentenced for Assaulting an Immigration Detention Officer

component: USAO - California, Eastern

body_text: FRESNO, Calif. — Arsen Tonoyan, 48, an Armenian national formerly residing in Los Angeles, was sentenced today to three years and five months in prison and ordered to pay $1,000 in restitution for assaulting a federal officer or employee that inflicted bodily injury, U.S. Attorney Phillip A. Talbert announced. According to court documents, on March 7, 2022, Tonoyan assaulted a detention officer at the Immigration and Customs Enforcement Golden State Annex detention center in Kern County. Tonoyan walked up to the detention officer and hit the officer multiple times. He punched the officer, put the officer into a chokehold, and took the officer down to the ground. The officer suffered bodily injuries as a result of the attack, including a concussion, back injuries, and other injuries requiring immediate medical attention. This case was the product of an investigation by the Federal Bureau of Investigation. Assistant U.S. Attorneys Joseph Barton and Cody Chapple prosecuted the case.


title: Dayton men sentenced to life in prison for murder of DEA task force officer

component: USAO - Ohio, Southern

body_text: DAYTON, Ohio – Two Dayton men were sentenced in federal court here today to life in prison for their roles in the narcotics case that caused the 2019 death of Dayton Police Detective and DEA Task Force Officer Jorge DelRio. While attempting to prevent federal agents from seizing approximately half-a-million dollars in fentanyl and other drugs, Nathan Goddard, 44, murdered Det. DelRio. Goddard was sentenced today to life plus 10 years in prison. Goddard was convicted of murder following a jury trial in March 2024. He and Cahke Cortner, 44, were also convicted of multiple narcotics and firearms charges. Cortner was sentenced today to life plus five years in prison. “Every day DEA Special Agents and Task Force Officers put their lives on the line to protect their communities against dangerous and violent drug traffickers who threaten the safety of the American people. On November 7, 2019, DEA Task Force Officer Jorge DelRio made the ultimate sacrifice while protecting the city of Dayton,” said DEA Administrator Anne Milgram. “Today’s sentences mean these two defendants will never walk free or hurt an innocent person again. DEA is as committed as ever to continuing this fight against violent drug traffickers. We do it in honor of TFO DelRio and all the other narcotics officers who have given their lives for the pursuit of justice.” “We stand with the DelRio family and our law enforcement partners, and we recognize that DEA Task Force Officer Jorge DelRio sacrificed his life to protect this community. As was stated by Deputy Criminal Chief Tabacchi at today’s sentencing, Task Force Officer DelRio ‘was a son of the Dayton community – serving with dignity and selflessness.’ We will never forget his ultimate sacrifice,” said U.S. Attorney Kenneth L. Parker. “This case is a reminder that, as public servants, law enforcement officers do a dangerous job every day. Today’s sentences should also serve as a reminder to perpetrators of violent crime that we see these matters through to the end and we will hold you accountable.” “The Dayton Police Department is pleased to see the sentences imposed against Nathan Goddard and Cahke Cortner in the tragic shooting of Detective Jorge DelRio,” said Dayton Police Chief Kamran Afzal. “They mark a significant step of closure for Detective DelRio's loved ones, our department, and our community. We extend our gratitude to the U.S. Attorney's Office for their diligent efforts throughout this case. It is imperative that those who inflict harm in our community are held accountable.” “Every day, members of law enforcement put their lives on the line to ensure the safety and wellbeing of the public. Mr. Goddard’s actions resulted in the tragic loss of Task Force Officer Jorge DelRio. While this verdict does not bring him back, we hope his family and our community as a whole can find comfort in knowing that Mr. Goddard will spend the rest of his life in a federal prison,” said DEA Detroit Special Agent in Charge Orville O. Greene. “While the FBI is pleased that Goddard and his accomplice will be held accountable for this murder, nothing can make up for the loss of Detective DelRio,” stated FBI Cincinnati Special Agent in Charge Elena Iatarola. “The FBI and our law enforcement partners continue to mourn his death and honor his legacy of service and sacrifice.” “These individuals are responsible for the death of Detective Jorge DelRio, who was working to keep our community safe from dangerous drug traffickers,” stated Daryl S. McCormick, Special Agent in Charge of ATF’s Columbus Field Division. “As a Dayton Police Detective and DEA Task Force Officer, Det. DelRio was a selfless hero who gave his all, and ultimately his life, to protect the citizens of this nation. ATF is honored to have played a role in holding to account those responsible for Det. DelRio’s sacrifice. I hope these sentences bring some measure of closure to the family of Det. DelRio and send a message to criminals that law enforcement will be relentless in our pursuit of justice.” According to court documents and trial testimony, on Nov. 4, 2019, Goddard murdered Det. DelRio while Det. DelRio and others were executing a federal search warrant at 1454 Ruskin Road in Dayton. During the execution of the search warrant, Det. DelRio and other officials announced themselves and entered the home at approximately 6:50pm. Det. DelRio descended the stairway to the basement of the residence, immediately came under gunfire from the basement, and was struck and killed. As the government proved beyond a reasonable doubt at trial, from 2018 until November 2019, Goddard and Cortner participated in a narcotics conspiracy involving kilograms of fentanyl, cocaine and marijuana. The defendants kept firearms – including handguns fitted with laser sights – to protect the illegal drugs and their illicit proceeds. Goddard and Cortner acquired handguns on the black market referred to as “cop killers” because the firearms discharge bullets that can penetrate body armor. The defendants fitted these guns with high-capacity magazines. In the residence they used, officials discovered 10 kilograms of fentanyl and cocaine, 50 to 60 pounds of marijuana, and more than $55,000 in cash. As the government’s sentencing memorandum notes, the amount of fentanyl recovered from the basement represented millions of potential street sales of fentanyl – enough poison to cause the overdose of almost every person in the Miami Valley. Goddard and Cortner were originally charged in this case on Nov. 6, 2019, and were charged by superseding indictment in July 2022. Their co-defendant Lionel Combs III, 45, pleaded guilty just before the start of trial to maintaining a drug premises, a crime punishable by up to 20 years in prison. Kenneth L. Parker, United States Attorney for the Southern District of Ohio; Dayton Police Chief Kamran Afzal; Orville O. Greene, Special Agent in Charge, Drug Enforcement Administration (DEA); Elena Iatarola, Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Division; Daryl S. McCormick, Special Agent in Charge, U.S. Bureau of Alcohol, Tobacco, Firearms & Explosives (ATF); and Montgomery County Prosecutor Mat Heck, Jr. announced the sentences imposed today by U.S. District Judge Michael J. Newman. U.S. Attorney Parker recognized the critical assistance of the Criminal Interdiction Team of Central Oklahoma (CITCO). Deputy Criminal Chief Brent G. Tabacchi, Assistant United States Attorneys Amy M. Smith and Christina E. Mahy, and Special Assistant United States Attorney Erin Claypoole from the Montgomery County Prosecutor’s Office are representing the United States in this case. # # #


title: Irvine Man Pleads Guilty to Scheming to Steal and Resell High-End Violins and to Robbing Irvine Bank Branch Earlier This Year

component: USAO - California, Central

body_text: SANTA ANA, California – An Orange County man pleaded guilty today to federal criminal charges for orchestrating a scheme to steal high-value violins and robbing a bank in Irvine. Mark Meng, 58, of Irvine, pleaded guilty to one count of wire fraud and one count of bank robbery. According to his plea agreement, from August 2020 to April 2023, Meng schemed to steal valuable violins and keep or resell them for his personal gain. Meng – posing as a collector of musical instruments – contacted violin shops across the country to express interest in receiving the violins on loan for a trial period to determine if he wished to buy them. In some cases, he purchased violin bows before asking for the violins on a trial-period basis. After receiving each violin, Meng negotiated a purchase price for it, kept the instrument beyond the trial period, then provided the violin shops with a check or set of checks for the violin, knowing the whole time the checks he wrote to the violin shops would be rejected due to insufficient funds. When a violin shop representative contacted Meng to inform him that the shop’s bank had rejected his checks, he sent a new series of checks, which also later were rejected due to insufficient funds. Sometimes, Meng lied to the violin shops by falsely telling them he had mailed the violin back to them, but that they had been lost in the mail. Eventually, Meng stopped communicating with the violin shops. After fraudulently obtaining the violins, Meng re-sold them to a buyer – often during the trial periods from the violin shops. For example, on February 1, 2023, a victim loaned Meng a Guilio Degani violin – valued at $175,000 – pursuant to a trial-period contract, which required Meng to return or purchase the violin by February 10, 2023. However, Meng sold this violin to a buyer – who was unaware of the violin’s stolen origin. According to court documents, Meng also stole the following: one Lorenzo Ventapane violin, dated 1823, and valued at $175,000; one Guilio Degani violin, dated 1903, and valued at $55,000; one Caressa & Francais violin, dated 1913, and valued at $40,000; one Francais Lott violin bow, stamped “Lupot,” and valued at $7,500; one Gand & Bernardel violin, dated 1870, and valued at $60,000; one French, Charles J.B. Colin Mezin violin, valued at $6,500; and one German, E.H. Roth Guarneri violin, valued at $6,500. Despite knowing that he did not own these violins and violin bows, Meng sold three of these stolen violins and a violin bow to a victim for a total of $44,700. In January 2023, Meng emailed one violin shop in Alexandria, Virginia, to express an interest in obtaining the Ventapane violin and the Degani violin on a trial basis, all the while intending to fraudulently obtain then re-sell them. On April 2, 2024, Meng entered a bank branch in Irvine, wearing a hat, sunglasses, a bandana covering his face, and blue latex gloves. Meng gave the bank teller a note stating “$18,000. - Withdraw. Please. Stay Cool. No harm. Thx.” When the teller told Meng she did not have access to the money he demanded, Meng responded, “Give me whatever you have.” The teller, fearing harm to herself and her coworkers, handed Meng $446. United States District Judge David O. Carter scheduled a February 24, 2025, sentencing hearing, at which time Meng will face a statutory maximum sentence of 20 years in federal prison for each count. Meng has been in federal custody since May 9. The FBI’s Art Crime Team investigated this matter, with assistance from the Irvine Police Department and the Glendale Police Department. Assistant United States Attorneys Laura A. Alexander and Mark A. Williams, both of the Environmental Crimes and Consumer Protection Section, are prosecuting this case.


title: Dallas man charged with federal drug trafficking violation resulting in death  in the Eastern District of Texas

body_text: PLANO, Texas – A Dallas man has been charged with a federal drug trafficking violation related to the death of two women in the Eastern District of Texas, announced U.S. Attorney Damien M. Diggs. Durran Allistair Walker, 46, was named in an indictment returned by a federal grand jury on August 15, 2024, in the Eastern District of Texas. The indictment charges Walker with the distribution of nitazene, a synthetic opioid, resulting in death. Walker made his initial appearance on September 16, 2024, before U.S. Magistrate Judge Bill Davis. According to the indictment, in January of 2024, Walker is alleged to have sold pills to two young women from The Colony, Texas, who overdosed and died from the drugs. Nitazenes are a new type of synthetic opioid which can be up to 40 times stronger than fentanyl. These deaths are the first known nitazene overdoses in this area. A search of Walker’s residence at the time of his arrest led to the seizure of additional pills. If convicted, Walker faces up to life in federal prison. This case is being investigated by the The Colony Police Department; U.S. Postal Inspection Service; and U.S. Drug Enforcement Administration. The case is being prosecuted by Assistant U.S. Attorney Lesley Brooks. A federal indictment is not evidence of guilt. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law. ###


title: Violent Sex Trafficker Sentenced to More than 15 Years in Prison

component: USAO - California, Southern

body_text: NEWS RELEASE SUMMARY – September 16, 2024 SAN DIEGO – Troy Shelvin Cannon of Las Vegas was sentenced in federal court today to 188 months in prison for sex trafficking by fraud, force, or coercion. Cannon was convicted by a federal jury after a three-day trial in April. The jury found that Cannon was sex trafficking an adult female victim and taking the money she earned from engaging in commercial sex acts to use for his own personal profit. Over many months, Cannon coerced the victim to continually engage in prostitution. For example, Cannon texted the victim messages that stated, in part: “And ima choke you so hard” “You making this ass whooping worse” “Bitch make some trap” “Hoe I got accolades and receipts and videos bout my pimping” On December 20, 2023, Cannon followed through on his prior threats, violently assaulting the victim by strangling her and punching her face. Cannon left his victim with multiple serious injuries, which caused, in part, significant swelling to her forehead, bruising on her arms, and abrasions throughout her body. According to evidence presented at trial, this was not Cannon’s first foray into “pimping.” For example, in 2021, Cannon was arrested for pandering in Las Vegas after he tried to traffic a detective who was undercover as a prostitute. “Cannon used violence and intimidation to exploit a human being for profit,” said U.S. Attorney Tara McGrath. “The court imposed a sentence today holding him accountable, and sending a message that this kind of crime for greed will not be tolerated in San Diego.” “HSI is committed to protecting the vulnerable and keeping our communities safe,” said Christopher Davis, acting special agent in charge for HSI San Diego. “Every time HSI and our law enforcement partners are successful at apprehending violent predators, we deliver a strong message - exploitation will not be tolerated, and those who prey on the weak will face the full weight of the law.” This case is being prosecuted by Assistant U.S. Attorney Derek Ko, Katie Grammenidis and Lyndzie Carter. DEFENDANT Case Number 24cr0135-BAS Troy Shelvin Cannon Age: 30 Las Vegas, Nevada SUMMARY OF CHARGES Sex Trafficking by Force, Fraud, and Coercion – Title 18, U.S.C., Section 1591(a) and (b)(1) Maximum penalty: Life in prison and $250,000 fine INVESTIGATING AGENCIES Homeland Security Investigations San Diego Human Trafficking Task Force


title: El Cajon Man Who Sold “Ghost Guns” While Serving as a U.S. Marine Sentenced to Prison

body_text: NEWS RELEASE SUMMARY – September 16, 2024 SAN DIEGO – Christian Ferrari of El Cajon was sentenced in federal court today to 37 months in prison following his admission that he sold 22 “ghost guns” to undercover agents without a license. At the time of the sales, Ferrari was an active-duty U.S. Marine stationed at Camp Pendleton. Privately made firearms, commonly referred to as ghost guns, are made by individuals, like Ferrari, who buy parts and then use various specialized tools to construct and assemble the parts into a functional firearm. Unlike firearms made by licensed firearm manufacturers, ghost guns do not have a serial number, making them virtually untraceable. Ferrari’s arrest was part of the Privately Made Firearm Crime Reduction Project, which ran from February to May of 2023. The Project was initiated to address gun violence and the proliferation of ghost guns in San Diego. Using data analytics to identify trends in areas with heightened gun violence and the recovery of guns used in crimes, the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and the San Diego Police Department (SDPD) employed an intelligence-led policing effort to place resources where they would have the greatest impact. The Project resulted in the seizure of 165 ghost guns and the prosecution of 33 people, including Ferrari. Between March 13 and May 9, 2023, Ferrari sold 22 ghost guns to ATF agents in exchange for $23,000 over four separate transactions. During one of the transactions, undercover agents told Ferrari those guns were going to be taken to Mexico. Ferrari responded, “alright, perfect,” and agreed to sell the agents 10 more ghost guns for $10,000. After the final transaction was completed, Ferrari was arrested. Pictured below are the 22 ghost guns Ferrari manufactured and sold to undercover ATF agents: Following Ferrari’s arrest, agents discovered evidence that Ferrari was manufacturing firearms at a family member’s residence in Lakeside, California. Agents later found a drill press covered in metal shavings consistent with material used to manufacture of firearms. A forensic analysis of Ferrari’s phone revealed numerous other conversations related to manufacturing and selling firearms and parts, which included AR-15 style rifles, silencers for firearms, and “full auto sears,” which convert AR-15s to fire automatically. U.S. District Judge Cynthia A. Bashant told the defendant at today’s hearing: “What you did was an enormous danger to the public.” “By design, ghost guns are made to avoid regulation and slip past law enforcement,” said U.S. Attorney Tara McGrath. “But with intelligence-based efforts like the program used to take these 22 illegal weapons off the street we are prioritizing public safety.” “Dealing firearms without a license oftentimes results in individuals who are prohibited from owning firearms — such as felons, domestic abusers, or individuals with certain mental health conditions — to bypass background checks and obtain weapons,” said Christopher Bombardiere, Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) Special Agent in Charge of Los Angeles Field Division. “These firearms end up in the hands of criminals and are used in violent crimes, including homicides, robberies, and gang-related activities. ATF will continue to work with local and state law enforcement agencies to investigate the criminal possession and other criminal misuse of privately made firearms in the same manner as any other federal firearm offense.” This case is being prosecuted by Assistant U.S. Attorney Shital H. Thakkar. DEFENDANTS Case Number: 23-cr-01091-BAS Christian Ferrari Age: 23 El Cajon, CA SUMMARY OF CHARGES Dealing in Firearms Without a License – Title 18, U.S.C., Section 922(a)(1)(A) Maximum penalty: Five years in prison and $250,000 fine per count INVESTIGATING AGENCIES Bureau of Alcohol, Tobacco, Firearms and Explosives San Diego Police Department


title: COSTA RICAN MAN SENTENCED IN COCAINE TRAFFICKING CASE

component: USAO - Virgin Islands

body_text: St. Thomas, VI – United States Attorney Delia L. Smith announced today that Mainor Salazar Montero, 35, of Costa Rica, was sentenced to 63 months incarceration by Chief District Judge Robert A. Molloy after pleading guilty to conspiracy to possess with intent to distribute cocaine on a vessel subject to the jurisdiction of the United States. According to court records, on November 26, 2020, the United States Coast Guard intercepted a vessel in international waters approximately 115 nautical miles from Isla Malpelo, Colombia. The vessel had no flag flown nor registration documents and was therefore determined to be a vessel subject to the jurisdiction of the United States. On board the vessel were multiple fuel canisters and 333 kilograms of cocaine. Also on board were Salazar-Montero, Eleuterio Murillo Gomez and Randar Vasquez Munoz. Murillo Gomez and Vasquez Munoz also pleaded guilty to cocaine conspiracy and are scheduled to be sentenced on October 11, 2024. The case was investigated by the United States Coast Guard and Drug Enforcement Administration and was prosecuted by Assistant United States Attorney Everard E. Potter.


title: Hugo Resident Pleads Guilty To Drug Conspiracy

body_text: MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announced that Jerry Lana Freeman, age 33, of Hugo, Oklahoma, entered a guilty plea to one count of Drug Conspiracy. The Indictment alleged that beginning on or about June 16, 2023, and continuing until on or about July 17, 2024, in the Eastern District of Oklahoma and elsewhere, Freeman willfully and knowingly conspired with other individuals to distribute and possess with the intent to distribute 50 grams or more (actual) of methamphetamine, a Schedule II controlled substance. The charges arose from an investigation by the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Drug Enforcement Administration, and the Durant Police Department. The Honorable Magistrate Judge Gerald L. Jackson, sitting in the United States District Court for the Eastern District of Oklahoma, accepted the plea and ordered the completion of a presentence investigation report. Freeman will remain in the custody of the United States Marshal Service pending sentencing. Assistant United States Attorney Joshua Satter represented the United States.


title: Tulsa Man Sentenced After Search Warrant Found Fentanyl, a Short-Barreled Rifle and Machine Gun

body_text: TULSA, Okla. – U.S. District Judge John D. Russell sentenced Dai-Shad Le’Sai-Rio Lucas, 26, for Possession of Fentanyl with Intent to Distribute, Illegal Possession of a Machine Gun, and Possession of a Short-Barreled Rifle in Furtherance of a Drug Trafficking Crime. Judge Russell ordered Lucas to 144 months imprisonment, followed by 3 years of supervised release. In October 2023, the Tulsa Police Department executed a search warrant on Lucas’ home. When officers entered the home, Lucas admitted to throwing pills, a short-barreled rifle, a machine gun, and a pistol out of his bedroom window. During an extensive search of the home, officers found cocaine, several pills that contained fentanyl, digital scales, cash, a bulletproof vest, and additional firearms. Further, Lucas admitted that he intended to sell the pills that contained fentanyl. Lucas will remain in custody pending transfer to the U.S. Bureau of Prisons. The Bureau of Alcohol, Tobacco, Firearms and Explosives and Tulsa Police Department investigated the case. Assistant U.S. Attorney Mike Flesher prosecuted the case. This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results. For more information about PSN, please visit Justice.gov/PSN .


title: Cincinnati man sentenced to 10 years in prison for fentanyl crime, money laundering

body_text: CINCINNATI – A Cincinnati man was sentenced in U.S. District today to 120 months in prison for crimes related to trafficking fentanyl and laundering the proceeds. Nathaniel Williams, 45, possessed with the intent to distribute 400 grams or more of fentanyl and committed money laundering. According to court documents, in August 2023, Williams told an undercover agent that he had bulk amounts of cash from trafficking fentanyl and was looking for ways to transfer the money into the banking system. Williams provided cash from his narcotics sales to the undercover agent, who then wired $15,120 of the funds into Williams’s bank account via a wire transfer. Williams withdrew $10,000 of the funds in cash a few days later. On Oct. 18, 2023, agents discovered more than $44,000 in cash at Williams’s residence while executing a search warrant. Officials also recovered approximately 527 grams of fentanyl and fentanyl mixtures in a secret furniture compartment. Williams was indicted by a federal grand jury in November 2023 and pleaded guilty in March 2024. Kenneth L. Parker, United States Attorney for the Southern District of Ohio; Karen Wingerd, Special Agent in Charge, Internal Revenue Service-Criminal Investigation (IRS-CI), Cincinnati Field Office; and Cincinnati Police Chief Teresa Theetge announced the sentence imposed today by U.S. District Judge Matthew W. McFarland. Assistant United States Attorney Timothy S. Mangan is representing the United States in this case, which was investigated by IRS-CI and the Cincinnati Police Department Narcotics Unit. This prosecution is part of an Organized Crime Drug Enforcement Task Force (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, and gangs that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks. # # #


title: New Whistleblower Pilot Program encourages early voluntary self-disclosure of criminal conduct

component: USAO - Virginia, Eastern

body_text: ALEXANDRIA, Va. – The United States Attorney’s Office for the Eastern District of Virginia (EDVA) has created the EDVA Whistleblower Non-Prosecution Pilot Program (Whistleblower Program), designed to encourage early voluntary self-disclosure of criminal conduct by participants in certain non-violent offenses. “Our new Whistleblower Program emphasizes our continued focus on fraud and public corruption cases,” said U.S. Attorney Jessica D. Aber. “We encourage people to come forward, report these crimes, and cooperate with us. In exchange for this information and ongoing cooperation, we promise that eligible whistleblowers will not be prosecuted. And if you choose not to come forward, someone else might.” In exchange for such self-disclosure and cooperation, EDVA will enter into a non-prosecution agreement where certain specified conditions are met, including that the criminal conduct was neither previously made public nor known to the government. Eligible disclosure must relate to the actions of individuals who are equally or more culpable than the whistleblower, cannot be made in response to an inquiry or investigation, and must be complete. Non-prosecution agreements under the program are not available to elected federal or foreign officials, officials or agents of federal law enforcement agencies, or officers who exercise primary control over the operations of the public or private organization where the misconduct occurred. By providing clarity on the requirements and the benefits of such self-disclosure, this published policy – and others across the Department of Justice – incentivize individuals and their counsel to provide timely, actionable information. That, in turn, will help bring more misconduct to light and better protect communities within EDVA. Reporting individuals must also forfeit any benefit or profit they received through their participation in the criminal conduct and make restitution commensurate with their role in the offense. The EDVA Whistleblower Program is different and separate from the Corporate Whistleblower Awards Pilot Program (Whistleblower Awards Program) of the Justice Department’s Criminal Division. EDVA’s pilot program is for individuals who participated in criminal activity and face criminal liability. The Whistleblower Awards Program is for those who did not meaningfully participate in criminal activity that falls within specific subject areas. Information for the Whistleblower Non-Prosecution Pilot Program is available on the EDVA website, including links for the full policy and access to our intake form for voluntary self-disclosure. Completed forms may be submitted to the U.S. Attorney’s Office at USAVAE-WBP@usdoj.gov .


title: Licensed professional counselor indicted in $2 million health care fraud scheme

component: USAO - Texas, Southern

body_text: McALLEN, Texas – A 46-year-old resident of Mission has been taken into custody on charges of health care fraud and aggravated identity theft in connection with a scheme to defraud the Texas Medicaid Program, announced U.S. Attorney Alamdar S. Hamdani. Juan Martin Flores, 46, is set to make his initial appearance before U.S. Magistrate Judge J. Scott Hacker at 9 a.m. The indictment, returned Aug. 7 and unsealed upon his arrest Sept. 12, alleges he submitted or caused the submission of over 15,000 fraudulent claims to Medicaid for services that were never provided. Between 2018 and 2022, the claims resulted in approximately $2 million in Medicaid payments, according to the charges. The indictment further alleges Flores used the personal information of Medicaid beneficiaries without their consent to facilitate the fraudulent billing scheme. According to the charges, Flores submitted claims under his national provider identifier number, representing that he provided counseling services at his office in Brownsville. However, he allegedly never actually rendered those services. The indictment details multiple instances in which he unlawfully used Medicaid beneficiaries' identities in the fraudulent claims. Flores is charged with 10 counts of health care fraud, each carrying a possible 10-year-maximum sentence and up to a $250,000 fine. He is also facing three counts of aggravated identity theft. If convicted, he faces a mandatory two years in federal prison which must be served consecutively to any other sentence imposed. The FBI, Department of Health and Human Services – Office of Inspector General and Texas Attorney General’s Medicaid Fraud Control Unit conducted the investigation. Assistant U.S. Attorney Andrew R. Swartz and Eric D. Flores are prosecuting the case. An indictment is a formal accusation of criminal conduct, not evidence. A defendant is presumed innocent unless convicted through due process of law .


title: Second Canadian resident pleads guilty to massive COVID-19 benefit fraud scheme

component: USAO - Washington, Western

body_text: Tacoma – The second of two Nigerian men residing in Canada pleaded guilty Thursday September 12, 2024, in U.S. District Court in Tacoma to wire fraud and aggravated identity theft for his fraud scheme that stole more than $1.3 million in federal funds, announced U.S. Attorney Tessa M. Gorman. Fatiu Ismaila Lawal, 45, was extradited from Canada in mid-July. U.S. District Judge Robert J. Bryan scheduled his sentencing for December 12, 2024. According to records filed in the case, Lawal, and codefendant Sakiru Olanrewaju Ambali, 45, used the stolen identities of thousands of workers to submit over 1,700 claims for pandemic unemployment benefits to over 25 different states, including Washington State. In total, the claims sought approximately $25 million, but the conspirators obtained approximately $2.7 million, primarily from pandemic unemployment benefits. As part of his plea agreement, Lawal agreed to make restitution of $1,345,472. Lawal admits in his plea agreement that he personally submitted at least 790 unemployment claims using the stolen identities of 790 workers. The co-conspirators allegedly submitted claims for pandemic unemployment benefits to New York, Maryland, Michigan, Nevada, California, Washington and some 19 other states. Lawal also established four internet domain names that were subsequently used for fraud – creating some 800 different email addresses that were used in this scheme. Additionally, between 2018 and November 2022, Lawal used stolen personal information to submit 3,000 income tax returns for $7.5 million in refunds. The IRS detected the fraud and paid just $30,000. Lawal and Ambali also attempted to use the stolen American identities for Economic Injury Disaster Loans (EIDL) to defraud the Small Business Administration (SBA). The pair submitted some 38 applications, but SBA caught most of the fraud and paid only $2,500. Lawal and Ambali had the proceeds of their fraud sent to cash cards or to “money mules” who transferred the funds according to instructions given by the co-conspirators. They also allegedly used stolen identities to open bank accounts and have the money deposited directly into those accounts for their use. Lawal and Ambali also used a Telegram channel to teach others how to commit similar frauds and how to misuse personally identifying information. They instructed others how to purchase such information on the dark web and how to use it to fraudulently apply for benefits from various COVID-19 programs. Prosecutors have agreed to recommend a total of no more than 65 months in prison for Lawal. Judge Bryan is not bound by the recommendation and can impose any sentence allowed by law. Co-defendant Ambali was sentenced to 42 months in prison in March 2024. The National Unemployment Fraud Task Force provided a lead on this case to the investigative team in Western Washington. The case was investigated by the FBI with assistance from U.S. Postal Inspection Service (USPIS) and the Department of Labor Office of Inspector General (DOL-OIG). Also contributing to the investigation were Internal Revenue Service Criminal Investigation (IRS-CI), Washington State Employment Security Division (ESD), and the Small Business Administration (SBA). The case is being prosecuted by Assistant United States Attorney Cindy Chang of the Western District of Washington. DOJ’s Office of International Affairs assisted with extradition on this matter. 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 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 related to COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline via the NCDF Web Complaint Form at https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form .


title: Brockton Man Pleads Guilty to Illegally Receiving a Firearm, Distributing Fentanyl and Possessing Cocaine

component: USAO - Massachusetts

body_text: BOSTON – A Brockton man pleaded guilty yesterday in federal court in Boston to firearm, cocaine, fentanyl and conspiracy offenses. Antonio Denziah Fernandes, 23, pleaded guilty to two counts of illegally receiving a firearm while under indictment, two counts of distributing and possessing with intent to distribute 40 grams or more of fentanyl, one count of possession with intent to distribute 40 grams or more of fentanyl and cocaine, and one count of conspiracy to distribute and possess with intent to distribute 40 grams or more of fentanyl. U.S. District Court Judge Indira Talwani scheduled sentencing for Dec. 10, 2024. In September 2023, Fernandez was indicted by a federal grand jury and on Sept. 11, 2024, additional charges were brought in a Superseding Information. In late 2021, law enforcement learned that Fernandes was trafficking firearms and narcotics in the Brockton area, including large quantities of fentanyl. In January 2022, while under indictment in state court for trafficking more than 10 grams of fentanyl, Fernandes received and sold a Glock Model 48, 9mm pistol for $1,700 in the Taunton area. In each of two subsequent transactions in January and February 2022, Fernandes distributed and possessed with intent to distribute approximately 50 grams of fentanyl, for a total of approximately 100 grams. These two transactions took place in the vicinity of Fernandes’s Brockton residence. Fernandes and a co-conspirator were storing and packaging narcotics in an abandoned van parked outside Fernandes residence and distributing them with a different vehicle. Fernandes was arrested in the passenger seat of the latter vehicle, and a loaded firearm was found wedged against his seat. Fernandes had 2.8g of fentanyl on his person. During a search of the abandoned vehicle, large quantity of drugs was found inside including 174.7 grams of Fentanyl, 51.5 grams of cocaine, 18.2 grams of Percocet pills and eight grams of mushrooms. Twenty-seven rounds of 9mm ammunition also was recovered. The van also contained various packaging materials for narcotics, such as plastic baggies, corner cut bags, a trash bag full of various used drug packaging materials with white residue, mixing bowls with white residue and latex gloves. The charge of illegally receiving a firearm while under indictment provides for a sentence of up to five years in prison, up to three years of supervised release and a fine of up to $250,000. The charges of distributing and possessing with intent to distribute 40 grams or more of fentanyl, possession with intent to distribute cocaine, and conspiracy to distribute and possess with intent to distribute 40 grams or more of fentanyl each provide for a sentence of at least five years and up to 40 years in prison, at least four years and up to a lifetime of supervised release and a fine of $5 million. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case. Acting United States Attorney Joshua S. Levy and James M. Ferguson, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms & Explosives, Boston Field Division made the announcement today. Valuable assistance was provided by the Cape and Islands District Attorney’s Office; the Plymouth County District Attorney’s Office; and the Brockton, Taunton, Whitman, West Bridgewater, East Bridgewater, Bridgewater and Bridgewater State University Police Departments. Assistant United States Attorney Meghan C. Cleary of the Criminal Division is prosecuting the case. 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 gun violence and other violent crime, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results. For more information about Project Safe Neighborhoods, please visit Justice.gov/PSN .


title: U.S. Attorney Lapointe Announces Southern District of Florida Whistleblower Non-Prosecution Pilot Program

component: USAO - Florida, Southern

body_text: Today, U.S. Attorney Markenzy Lapointe announced that the Southern District of Florida has launched its own Whistleblower Non-Prosecution Pilot Program (Whistleblower Program). The Whistleblower Program is designed to encourage voluntary self-disclosure by individual participants in certain types of non-violent criminal conduct involving corporations, to include financial crimes, corporate crimes, health care fraud, and public corruption. In exchange for self-disclosing, fully cooperating with authorities, and paying any applicable victim compensation, restitution, or forfeiture, including returning any ill-gotten gains, the U.S. Attorney’s Office for the Southern District of Florida (USAO-SDFL) will enter into a non-prosecution agreement (NPA) where certain specified conditions are met. One of those conditions is that the government was not previously aware of the criminal conduct that is the subject of the disclosure. The Whistleblower Program provides transparency regarding the circumstances in which the USAO-SDFL prosecutors will offer NPAs to incentivize individuals (and their counsel) to provide original and actionable information. Incentivizing the disclosure of information will: (i) help law enforcement investigate and prosecute criminal conduct that might otherwise go undetected or be difficult to prove; and (ii) encourage companies to create compliance programs that help prevent, detect, and remediate misconduct. “By providing clarity on the requirements and the benefits of self-disclosure, the USAO-SDFL seeks to incentivize individuals and their counsel to provide actionable and timely information. Such disclosures will, in turn, help us continue to bring fraud, misconduct and corruption to light and better protect the diverse communities we serve,” stated U.S. Attorney Markenzy Lapointe for the Southern District of Florida. “We encourage people who qualify for the Whistleblower Program to take advantage of the opportunity to come clean, cooperate, and get on the right side of the law. Our message is clear: contact us before we contact you. Anyone with information can voluntarily self-disclose by emailing USAFLS.WhistleblowerProgram@usdoj.gov .” This announcement comes on the heels of Deputy Attorney General (DAG) Lisa Monaco’s keynote remarks at the American Bar Association's 39th Annual National Institute on White Collar Crime, where she outlined the Justice Department’s approach to corporate criminal enforcement: holding individuals accountable; targeting resources to combat the most serious white-collar criminal conduct; and pursuing tough penalties for repeat corporate offenders. DAG Monaco highlighted the Justice Department’s “carrots and sticks” approach of encouraging companies and individuals to self-report corporate crimes and other financial misconduct and imposing the most significant penalties on those most culpable. To reinforce these efforts, DAG Monaco announced a new Justice Department Corporate Whistleblower Awards Pilot Program , which offers rewards to those who did not meaningfully participate in criminal activity but have information related to one of the following areas: (1) certain crimes involving financial institutions, from traditional banks to cryptocurrency businesses; (2) foreign corruption involving misconduct by companies; (3) domestic corruption involving misconduct by companies; or (4) health care fraud schemes involving private insurance plans. Additional information regarding the Awards Program is available here . For the Corporate Whistleblower Awards Program, the whistleblower must discover and report financial and corporate misconduct not otherwise known to the government – akin to the successful whistleblower programs operated by the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC). If the information a whistleblower submits results in a successful prosecution that includes criminal or civil forfeiture, the whistleblower may be eligible to receive an award of a percentage of the forfeited assets. The USAO-SDFL is committed to carrying out the Department’s mission by upholding the rule of law and protecting victims. For individuals who are aware of crimes being committed, to include fraud and public corruption, and want to make a disclosure, the USAO-SDFL is providing them an avenue to recompense their victims in exchange for a possible NPA. This practice will advance the interests of justice, deter misconduct, and provide victim compensation. The Office’s Whistleblower Program policy is publicly available on the Southern District of Florida website at www.justice.gov/usao-sdfl . USAO-SDFL Whistleblower Non-Prosecution Pilot Program flyer ###


title: Jury convicts Galena man of assault with a deadly weapon

component: USAO - Kansas

body_text: TOPEKA, KAN. – A federal jury convicted a Kansas man of assault with a deadly weapon following an incident on a United States Army installation. In November 2023, Jordan Thompson, 24, assaulted an adult male victim while at Fort Riley in Junction City, Kansas. According to court documents and evidence presented at trial, Thompson was involved in a domestic dispute with his estranged wife. He used a 9 mm caliber pistol to threaten the victim, who was at the home of the child’s mother, and then Thompson left with the minor. Thompson is scheduled to be sentenced on December 12, 2024, and faces a maximum penalty of 10 years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors. The Department of Army Criminal Investigation Division, Fort Riley Department of the Army Civilian Police, Kansas Bureau of Investigation, Federal Bureau of Investigation, Kansas Highway Patrol, and the Butler County Sheriff’s Office investigated the case. Special Assistant U.S. Attorney Robin Graham and Assistant U.S. Attorney Sara Walton are prosecuting the case. ###


title: United States Files Suit For Unpaid Duties and Penalties For Alleged Transshipment of Chinese Aluminum Wire

body_text: The United States has filed a civil lawsuit against Repwire LLC, a Florida Corporation that imports wire and cables. The lawsuit alleges that Repwire made false statements to customs officials in importing aluminum wire into the United States. The lawsuit also names as defendants Repwire’s manager, Jose Pigna, and insurer, American Alternative Insurance Corporation. The United States’ complaint contends that Repwire, through gross negligence or negligence, misrepresented to U.S. Customs and Border Protection (CBP) the imported wire’s classification code and country of origin. Repwire allegedly falsely classified the imported wire from China as aluminum wire with connectors instead of wire without connectors, and after import duties on the former were subsequently raised, Repwire allegedly then falsely identified the country of origin for various entries of its merchandise as Singapore or Korea. Both of these alleged misrepresentations resulted in Repwire failing to pay the appropriate amount of duties owed on its merchandise. “The Justice Department is committed to pursuing individuals and companies who evade customs duties or otherwise engage in unfair trade practices that harm U.S. manufacturers,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “We will continue to employ all of our tools to ensure that U.S. manufacturers are competing on a level playing field.” “CBP takes its trade mission of protecting the U.S. economy very seriously as we strive to maintain fair trade and preserve American jobs from predatory practices,” said Executive Director Susan Thomas of Cargo and Conveyance Security, Office of Field Operations, CBP. “These civil penalties should serve as a warning to those who attempt to do harm to our economy and American businesses.” The complaint alleges that Repwire, acting through Pigna, avoided various duties owed on the imported wire, including Section 301 duties, which are owed on certain Chinese merchandise, including aluminum wires without connectors, and anti-dumping and countervailing duties associated with Chinese aluminum wire. Antidumping and countervailing duties are trade remedies that help protect domestic industries from unfair trade practices by foreign businesses and countries, such as government subsidies or below market sales. The complaint seeks the recovery of over $11 million in import duties and up to $62 million in civil penalties. CBP’s Electronics Center of Excellence and Expertise and Homeland Security Investigations (HSI) Miami investigated the case. CBP and HSI are the agencies responsible for enforcing U.S. laws related to the importation of merchandise into the United States, including the collection of duties and assessment of penalties. Trial Counsel Daniel Hoffman of the Civil Division’s Commercial Litigation Branch, National Courts Section, handled the case. The case, which is filed in the Court of International Trade, is captioned United States v. Repwire LLC, and Jose Pigna, and American Alternative Insurance Corporation , No. 24-00173. To combat trade fraud, including avoidance of import duties, the Justice Department created a Trade Fraud Task Force. The Task Force partners with CBP and other law enforcement agencies to ensure compliance with United States trade laws. The claims in the complaint are allegations only, and there has been no determination of liability. Complaint


title: Michigan Man Sentenced to 60 Months in Federal Prison for Firearms Charge

body_text: COUNCIL BLUFFS, Iowa – A Michigan man was sentenced yesterday to five years (60 months) in federal prison for possessing a firearm as a felon. According to public court documents, Michael Anthony McBride, 30, was stopped for speeding by the Iowa State Patrol in Adair County on July 21, 2023. A search of McBride’s vehicle led to the discovery of user quantities of marijuana and cocaine, a digital scale, and two firearms: a loaded nine-millimeter pistol and a semi-automatic “ghost gun.” McBride admitted to purchasing the firearms for protection. The nine-millimeter pistol had been reported stolen from a residence in Mt. Pleasant, Michigan in June 2023. McBride had been convicted of a felony drug crime in Michigan and was therefore prohibited from possessing firearms. After completing his term of imprisonment, McBride will be required to serve a three-year term of supervised release. There is no parole in the federal system. United States Attorney Richard D. Westphal of the Southern District of Iowa made the announcement. This case was investigated by the Iowa State Patrol, Iowa Division of Narcotics Enforcement, and the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF). This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results. For more information about Project Safe Neighborhoods, please visit Justice.gov/PSN .