WASHINGTON – U.S. Transportation Secretary Anthony Foxx today announced that the U.S. Department of Transportation (USDOT) has reached an agreement with the Alabama Law Enforcement Agency (ALEA) to ensure that driver licensing services in the state will be available to all residents, regardless of race, color or national origin, in compliance with Title VI of the 1964 Civil Rights Act.

“The U.S. Department of Transportation took on this issue as part of our responsibility under Title VI to prevent discriminatory behavior, and I’m pleased to have reached this agreement with the State of Alabama,” said U.S. Transportation Secretary Anthony Foxx. “DMVs play a critical role in the day-to-day functioning of the American people, including ensuring their ability to drive to work and other essential services and to get proper identification needed to vote or open a bank account. No one should be prevented from accessing these services based on their race, color or national origin -- Title VI is not optional.”

In late 2015, the State of Alabama announced that it planned to close or reduce service to 31 driver license offices throughout the state. Because its preliminary analysis of the closures suggested that the service modifications would disproportionately impact African American residents in the state’s “Black Belt” region, USDOT opened an investigation into whether this action violated Title VI, which prohibits entities that receive federal funding from discriminating on the basis of race, color or national origin in their programs and activities. The State of Alabama and ALEA, in particular, receive Federal assistance from the Department and, therefore, are subject to Title VI’s nondiscrimination prohibition.

The Department conducted a thorough investigation, including review of data and information related to the operation of the State’s driver licensing program, site visits to the affected areas and interviews with residents impacted by the program. The investigation revealed that African Americans residing in the state’s Black Belt region are disproportionately underserved by ALEA’s driver license services, causing a disparate and adverse impact on the basis of race, in violation of Title VI.

“Today’s agreement between USDOT and ALEA is intended to correct this violation by guaranteeing that driver licensing services will be available to all Alabama residents on an equitable basis without regard to race, color or national origin,” said Yvette Rivera, Associate Director of the Departmental Office of Civil Rights, which conducted the investigation.

Under the agreement, ALEA will ensure that Alabama residents are not, directly or through other means, underserved by ALEA’s driver licensing programs on the basis of race, color or national origin. The agreement also establishes a working relationship between USDOT and ALEA for ensuring that the state’s driver licenses services continue to comply with Title VI in the future.

Specifically, ALEA agreed to:

1. Expand the hours of operation for district and field driver license offices throughout the Black Belt region;
    
2. Appoint a Title VI coordinator who will be responsible for the development and operation of ALEA’s Title VI program, as well as for the provision of Title VI training to ALEA’s staff;
    
3. Prepare and submit a Community Participation Plan within 90 days to achieve robust community participation throughout all stages of the planning and decision-making processes for ALEA’s programs and activities in connection with licensing services to ensure that communities are informed about potential impacts, that they have meaningful input into the process, and that ALEA officials hear and consider diverse views;
    
4. Submit any proposed modifications to field office hours or driver’s license services to USDOT for prior approval.

Press Release posted from here.

            CONCORD, N.H. – Emily Gray Rice, United States Attorney for the District of New Hampshire, announced today that Luis Martin Carvajal Gonzalez, also known as Wilfredo Laboy, pleaded guilty to distributing fentanyl and heroin, as well as possessing fentanyl with intent to distribute.

            According to court documents, Carvajal Gonazalez, 34, sold heroin and fentanyl to an undercover law enforcement officer on multiple occasions in December of 2015.  The transactions occurred at retail stores in Salem, New Hampshire.  On February 9, 2016, the defendant (who previously has used the name Wilfredo Laboy) arrived at a store parking lot in Salem to conduct another drug deal.  When law enforcement officers approached, he ran away and attempted to throw “fingers” of drugs as he fled.  He was apprehended and approximately 156 grams of fentanyl were recovered.

            Carvajal Gonzalez is scheduled to be sentenced on April 11, 2017.

            In announcing the plea, U.S. Attorney Rice said, “The United States Attorney’s Office remains committed to identifying and prosecuting those who attempt to profit from the sales of deadly drugs.  We continue to work each day to stop the flow of fentanyl and heroin into New Hampshire and to reverse the escalating number of drug-related deaths in our state.”

            "Opioid abuse is at epidemic levels in New Hampshire," said Special Agent in Charge Michael J. Ferguson.  "Fentanyl and heroin are causing overdose deaths across the Granite State in record numbers, and DEA is committed to aggressively pursuing Drug Trafficking Organizations and individuals who are coming from out of state to distribute these poisons across New Hampshire in order to profit and destroy people's lives and wreak havoc in our communities.  This investigation demonstrates the strength and continued commitment of our local, state and federal law enforcement partners."

            This matter was investigated by the Drug Enforcement Administration, with assistance from the New Hampshire State Police, and the Salem, Manchester, and Methuen (Massachusetts) Police Departments.  The case is being prosecuted by Assistant United States Attorney John J. Farley.

###

CHARLESTON, W.Va. – A Mexican national pleaded guilty today to an immigration crime, announced United States Attorney Carol Casto. Adan Zamudio-Escalante, also known as Victor Giron, 39, entered his guilty plea to illegally reentering the United States after having previously been removed from the United States on two different occasions. 

Zamudio-Escalante admitted that he had twice been convicted of the federal crime of illegally reentering the United States. The first conviction occurred on April 1, 2005, in Texas. After that conviction, Zamudio-Escalante was removed from the United States to his home country of Mexico. Zamudio-Escalante then illegally reentered the United States. He was convicted for a second time of illegally reentering the United States on January 6, 2010, in West Virginia, and was again removed from the United States. Zamudio-Escalante was subsequently found in Charleston by Department of Homeland Security agents on September 20, 2016, having illegally reentered the United States for a third time.

Zamudio-Escalante faces up to 10 years in federal prison when he is sentenced on February 13, 2017. He is also subject to removal proceedings at the conclusion of the case.

The investigation was conducted by the Department of Homeland Security. Assistant United States Attorney Erik S. Goes is in charge of the prosecution. The plea hearing was held before United States District Judge John T. Copenhaver, Jr.

• Follow us on Twitter:SDWVNews  

SAN JOSE – Bay Sleep Clinic, its related businesses— Qualium Corporation and Amerimed Corporation—and their owners and operators, Anooshiravan Mostowfipour and Tara Nader (collectively, the Defendants) have agreed to pay $2.6 million to settle allegations that they fraudulently billed the Medicare program, announced United States Attorney Brian J. Stretch and U.S. Department of Health and Human Services-Office of the Inspector General (HHS-OIG) Special Agent in Charge, Steven Ryan.  The settlement resolves allegations that the Defendants fraudulently charged the Medicare program for diagnostic sleep tests and medical devices in violation of Medicare payment rules.

The allegations against the Defendants were set out in an amended False Claims Act complaint filed by the United States on August 8, 2016.  According to the complaint, Saratoga, Calif., residents Mostowfipour, 58, and Nader, 58, own Amerimed Corporation (that was doing business as Amerimed Sleep Diagnostics and Amerimed CPAP Specialists) and Qualium Corporation, which operated twenty sleep clinics doing business as Bay Sleep Clinic.  The government alleged that as early as April 2002, Mostowfipour, Nader, and their businesses fraudulently billed Medicare for sleep tests performed by technicians lacking the licenses or certifications required by Medicare payment rules.  In addition, the Defendants billed Medicare for sleep tests that allegedly were conducted at unenrolled and unapproved locations.  Specifically, the government alleged that defendants regularly falsified documents to make it appear that a sleep test had been given at one of the defendants’ two locations which had been approved by Medicare, when, in fact, the test had been conducted at another, unapproved facility.  Additionally, the government alleged the Defendants fraudulently billed Medicare for medical devices in violation of Medicare rules and regulations that prohibit providers of diagnostic sleep tests from supplying medical devices and from sharing a sleep laboratory location with a durable medical equipment supplier. 

“Medicare patients expect to be treated by properly credentialed health care professionals in approved locations,” said U.S. Attorney Stretch.  “When companies treating Medicare beneficiaries violate the rules, they will be held accountable.”  

“Medicare beneficiaries need full confidence their medical professionals are properly licensed and services are provided in fully approved facilities,” said Special Agent in Charge Steven Ryan.  “Patients and taxpayers deserve no less.” 

The whistleblower action, captioned United States ex rel. Dresser v. Qualium Corp., et al., Civil Action No. 12-1745 (N.D. Cal.), was filed under the qui tam provisions of the False Claims Act.  The False Claims Act allows for private persons, such as Elma F. Dresser in this case, to file actions to provide the government information about wrongdoing and then obtain a portion of the government’s recovery.  Dresser will receive approximately $545,000.

As is permitted by the statute, the United States intervened in the action in May 2015 and filed its initial complaint in intervention in September 2015. 

As part of today’s agreement, the defendants have voluntarily terminated their two existing Medicare enrollments and agreed not to re-enroll as providers or suppliers in the Medicare program for a period of three years. 

The claims resolved by this settlement are allegations only and there has been no determination of liability.

Assistant U.S. Attorneys Erica Blachman Hitchings, Robin Wall, Kimberly Friday, and Tom Green handled the case with assistance from Jacqueline Hollar, Tina Louie, Bonny Wong, and Stefania Chin.  The investigation was conducted by the U.S. Attorney’s Office for the Northern District of California and HHS-OIG.

HONOLULU –U.S. Attorney Florence T. Nakakuni announced today that the District of Hawaii collected over $3.9 million in criminal and civil actions in Fiscal Year 2016. Of this amount, approximately $3.6 million was collected in criminal actions and approximately $300,000 was collected in civil actions. Additionally, the Hawaii USAO worked with other U.S. Attorney’s Offices and components of the Department of Justice to collect an additional $1.7 million in civil cases pursued jointly with these offices.

Attorney General Loretta E. Lynch announced on December 14, 2016, that the Justice Department collected nearly $15.4 billion in civil and criminal actions in the fiscal year ending Sept. 30, 2016. The $15,380,130,434 in collections in FY 2016 represents more than five times the appropriated $2.93 billion budget for the 94 U.S. Attorneys’ offices and the main litigating divisions of the Justice Department combined in that same period.

"Every day, the men and women of the Department of Justice work tirelessly to enforce our laws, ensuring that taxpayer dollars are used properly and that the American people are protected from exploitation and abuse," said Attorney General Lynch. "Today’s announcement is a testament to that work, and it makes clear that our actions deliver a significant return on public investment. I want to thank the prosecutors and trial attorneys who made this year's collections possible, and I want to emphasize that the department remains committed to the well-being of our people and our nation."

In April and August 2016, for example, the District of Hawaii recovered $1,225,000 from Doorae Shipping Co., LTD, a South Korean maritime operations company. In April, as a result of convictions on two criminal charges relating to the unauthorized discharge of over 500 gallons of oily machinery space bilge water directly into the ocean, the office recovered $950,000, consisting of a $750,000 fine and $200,000 as a community service payment. In August, the office recovered an additional $275,000 as a result of another conviction relating to failure to document inappropriate storage of 5,400 gallons of oil contaminated bilge water and the location of approximately 8,400 gallons of machinery space oil contaminated bilge water.

The U.S. Attorneys’ Offices, along with the department’s litigating divisions, are responsible for enforcing and collecting civil and criminal debts owed to the U.S. and criminal debts owed to federal crime victims. The law requires defendants to pay restitution to victims of certain federal crimes who have suffered a physical injury or financial loss. While restitution is paid to the victim, criminal fines and felony assessments are paid to the department’s Crime Victims’ Fund, which distributes the funds to state victim compensation and victim assistance programs.

The largest civil collections were from affirmative civil enforcement cases, in which the United States recovered government money lost to fraud or other misconduct or collected fines imposed on individuals and/or corporations for violations of federal health, safety, civil rights or environmental laws. In addition, civil debts were collected on behalf of several federal agencies, including the U.S. Department of Housing and Urban Development, Health and Human Services, Internal Revenue Service, Small Business Administration and Department of Education.

This case was investigated by deputies with the United States Marshal Service and agents with the Federal Bureau of Investigation.  Assistant United States Attorney Sarah Wannarka is prosecuting this case on behalf of the Government.

A complaint is merely a charge and should not be considered as evidence of guilt.  The defendant is presumed innocent until proven guilty in a court of law.

#####

ROCKFORD — The former President of Baytree Investors Inc., a defunct St. Charles company, was sentenced Wednesday by U.S. District Judge Frederick J. Kapala. 

CHRISTOPHER A. JANSEN, 64, of St. Charles, was sentenced to 70 months in federal prison, to be followed by three years of supervised release, and ordered to pay $269,978 in restitution.  Jansen pleaded guilty on Oct. 14, 2008, to charges of wire fraud and evading income taxes.

According to the written plea agreement, Jansen was President of Baytree Investors Inc., an Illinois corporation engaged in acquiring trucking companies.  In 2001 Jansen learned DFC Transportation, a trucking company headquartered in Huntley, was for sale.  Jansen admitted in his plea agreement that he created a Delaware corporation, DFCTC Holding Inc., and arranged for DFCTC to purchase DFC with money Jansen would borrow using DFC receivables as collateral.  Jansen further admitted that he arranged for other individuals to be the owners of DFCTC, some of whom were previous investors in Baytree business acquisitions that had failed.  Jansen also admitted that he represented to others that he was the corporate secretary and controlled both DFCTC and DFC, without appointment or authority, and avoided having shareholder or director meetings. 

After its purchase, Jansen arranged for DFC to use its receivables to borrow more money from a bank, and without authorization ordered employees to transfer money from DFC to DFCTC.  Jansen admitted he then distributed the money to himself and others for their personal use and benefit without disclosing it to the shareholders and directors.  Specifically, on March 22, 2002, Jansen ordered the transfer of $250,000 by wire from a DFC account in Utah to a DFCTC account in St. Charles, for his own personal benefit and the benefit of others, without disclosing it to the shareholders or directors of either corporation.

In pleading guilty, Jansen further admitted that he attempted to evade income tax for the year 2002 that he owed to the United States.  Specifically, Jansen admitted he failed to file a federal income tax return for that year, knowing federal income taxes would be calculated and due.  Jansen also admitted he used a bank account in the name of a dissolved corporation, Talcott Financial Corporation, to receive his income and disburse his expenditures and intentionally failed to have Talcott file informational forms with the IRS for taxable income distributed to him from the account.  Jansen also admitted in the plea agreement that he controlled Baytree and DFCTC and intentionally failed to have those corporations file informational forms with the IRS, such as Form 1099, regarding distributions of taxable income to him.  Further, Jansen admitted he did not have a bank account in his name in order to avoid easy tracing of his income and avoid reporting to the IRS.

The sentencing was announced by Zachary T. Fardon, United States Attorney for the Northern District of Illinois; James D. Robnett, Special Agent-In-Charge of the Chicago Office of the Internal Revenue Service - Criminal Investigation Division; Michael J. Anderson, Special Agent-In-Charge of the Chicago Office of the Federal Bureau of Investigation; and Jeffrey A. Monhart, Regional Director of the Chicago Regional Office of the U.S. Department of Labor, Employee Benefits Security Administration.

The government was represented by Assistant U.S. Attorney Michael D. Love.

WHEELING, WEST VIRGINIA – Betsy Steinfeld Jividen will serve as Acting United States Attorney beginning on January 1, 2017, U.S. Attorney William J. Ihlenfeld, II, announced.
 
“The U.S. Attorney's Office will be in good hands in the new year under the leadership of Betsy Jividen," said Ihlenfeld.  "She has a tremendous amount of experience with the office, both inside and outside of the courtroom, and the public will be well-served with her at the helm.”

Jividen was selected to serve as Acting U.S. Attorney by the Executive Office of United States Attorneys in Washington, D.C. after Ihlenfeld announced his resignation last week. She has held multiple leadership positions with the office over the past three decades, including serving as First Assistant United States Attorney since 2010.  She also is in charge of the reentry efforts in the Northern District and represents the U.S. Attorney's Office in the federal drug court program.
 
Jividen is a 1972 graduate of the University of Wisconsin-Madison and a 1980 graduate of the West Virginia University College of Law. Jividen previously served as Acting U.S. Attorney from September 2009 until April 2010.  She is a Wheeling native, and she and her husband have raised four children together.

CHICAGO — The United States Attorney’s Office for the Northern District of Illinois collected nearly $60 million in criminal, civil and asset forfeiture actions in Fiscal Year 2016, Zachary T. Fardon, United States Attorney for the Northern District of Illinois, announced today. 

The 2016 collections included $16,872,634 in criminal actions, $11,240,052 in civil actions, and $31,823,808 in asset forfeiture actions.  The total of $59,936,494 is more than double the Office’s Fiscal Year 2016 budget of approximately $28.6 million.  The total includes more than $3.6 million in criminally forfeited drug proceeds from convicted members of the Sinaloa Cartel, and more than $200,000 in administrative and criminal forfeitures arising from the prosecution of Steven M. Brazile, a corporate executive who used fraud proceeds to operate a classic car business. 

The Office this year was able to restore $15.4 million to victims of federal crimes.  It also collected $3,584,521 in criminal and civil cases pursued jointly with other U.S. Attorneys’ Offices and components of the U.S. Department of Justice.

“Our attorneys and staff place a high priority on recovering funds for the federal treasury and for victims of federal crimes,” said U.S. Attorney Fardon.  “The Office continues to deliver a valuable return to the taxpayers of our district.”

Nationally, Attorney General Loretta E. Lynch recently announced that the Justice Department collected more than $15.3 billion in civil and criminal actions in Fiscal Year 2016, which ended Sept. 30, 2016.  This figure represents more than five times the approximately $3 billion budget appropriated to the 94 U.S. Attorneys’ offices and the main litigating divisions of the Justice Department in that period.

“Every day, the men and women of the Department of Justice work tirelessly to enforce our laws, ensuring that taxpayer dollars are used properly and that the American people are protected from exploitation and abuse,” said Attorney General Lynch.  “I want to thank the prosecutors and trial attorneys who made this year’s collections possible, and I want to emphasize that the department remains committed to the well-being of our people and our nation.”

The largest collections nationally were from affirmative civil enforcement cases, in which the United States recovered government money lost to fraud or other misconduct, or collected fines imposed on individuals or corporations for violations of federal health, safety, mortgage, financial, civil rights or environmental laws.  In addition, civil debts were collected on behalf of several federal agencies, including the U.S. Department of Housing and Urban Development, Health and Human Services, Internal Revenue Service, Small Business Administration and Department of Education.

Orlando, Florida – United States Attorney A. Lee Bentley, III announces today that federal prosecutions over the past six months in Orlando have removed more than 100 firearms from Central Florida communities. Since 2001, the U.S. Attorney’s Office in the Middle District of Florida has participated in the national strategy to reduce gun-violence in communities – “Project Safe Neighborhoods.”  The strategy involves the coordination and cooperation with local, state, and federal law enforcement partners. To increase the prosecutorial resources necessary to address firearms and violent crime cases, the United States Attorney’s Office, Orlando Division, established a “Gun Unit” earlier this year. The purpose of the Gun Unit is to collaborate regularly with local, state, and federal partners to review and identify firearms and violent crime cases for federal prosecution. 

Since June 1, 2016, the Orlando Division has charged over 40 individuals with firearms or violent crime offenses, reflecting an increase of more than 125% for the same period last year. The charges in those cases vary by defendant, but include possession of a firearm by a convicted felon, possession of a firearm in furtherance of a drug trafficking or crime of violence, possession of a stolen firearm, bank robbery, and Hobbs Act robbery. More than 100 firearms have been seized or recovered from those charged (see attachment). 

U.S. Attorney A. Lee Bentley, III stated, "Over the past six months, we have dedicated additional resources to the Orlando Division to prosecute violent crime and firearms cases. I would like to commend our local, state, and federal partners who have investigated those cases and we pledge to continue working with them to aggressively prosecute those individuals who illegally possess and use firearms in our communities.” In addition, the U.S. Attorney’s Office has worked closely with its community partners to develop youth prevention, intervention, and outreach strategies to address the various issues associated with gun violence.

The cases summarized in the attachment were investigated by the Apopka Police Department, the Brevard County Sheriff's Office, the Casselberry Police Department, the Cocoa Police Department, the Daytona Beach Police Department, the Lake Mary Police Department, the Melbourne Police Department, the Metropolitan Bureau of Investigation, the Orange County Sheriff’s Office, the Orlando Police Department, the Osceola County Sheriff's Office, the Palm Bay Police Department, the Sanford Police Department, the Seminole County Sheriff's Office, the St. Cloud Police Department, the Titusville Police Department, the Volusia County Sheriff's Office, the Winter Park Police Department, the Florida Department of Law Enforcement, the Bureau of Alcohol, Tobacco, Firearms, and Explosives, the Drug Enforcement Administration, the Federal Bureau of Investigation, the United States Marshal’s Service, and the United States Postal Inspection Service.

These cases are being prosecuted as part of the Department of Justice’s “Project Safe Neighborhoods” Program – a nationwide, gun-violence reduction strategy. United States Attorney A. Lee Bentley, III, along with Daryl R. McCrary, Special Agent in Charge, ATF, is coordinating the Project Safe Neighborhoods effort here in the Middle District of Florida in cooperation with federal, state, and local law enforcement officials. State cases are being coordinated and prosecuted by the Eighteenth Judicial Circuit (Brevard County), the Ninth Judicial Circuit (Orange and Osceola Counties), and the Seventh Judicial Circuit (Volusia County).

The federal cases are being prosecuted by Assistant United States Attorneys E. Jackson Boggs, Jr., Chauncey Bratt, Emily C. L. Chang, Vincent S. Chiu, Tiffany L. Cummins, Christina R. Downes, Nathan Hill, Embry Kidd, Andrew C. Searle, Ilianys Rivera Miranda, Shawn P. Napier, Alejandro Salicrup, Sean Shecter, and Kara Wick.

An indictment or criminal complaint is merely a formal charge that a defendant has committed a violation of the federal criminal laws, and every defendant is presumed innocent unless, and until, proven guilty.

For more information about the cases profiled in this release and other Project Safe Neighborhood cases throughout the Middle District of Florida, please visit our website. For more information about Project Safe Neighborhoods, please visit www.psn.gov.

NEWARK, N.J. – A New Jersey auto dealer was charged today for allegedly defrauding more than 140 Russian citizens who were customers of his auto sales business, U.S. Attorney Paul J. Fishman announced.

Sergey Kapustin, 47, of Warminster, Pennsylvania, was arrested today by special agents of the FBI and charged by complaint with one count of wire fraud and conspiring to commit wire fraud. He will appear this afternoon before U.S. Magistrate Judge Joseph A. Dickson in Newark federal court.

According to documents filed in this case and statements made in court:

Kapustin was the owner and president of Global Auto Group, Effect Auto Sales and G Auto Sales, located in Elizabeth, New Jersey. Global bought and sold used cars, typically high-end vehicles that were classified as “salvaged.”

From January 2011 through December 2014, Kapustin allegedly operated business through a scheme to defraud customers, who usually lived in Russia, Ukraine or members of the former Soviet Union. Kapustin had one or more Russian language websites that offered for sale luxury vehicles, including Mercedes and Lexus that were normally priced below market value, that could be shipped to Finland for easy delivery to Russian citizens, if they agreed to pay full price upfront for the vehicle. Kapustin was Russian and his websites were geared to buyers who believed they were getting a “good deal” from a fellow countryman who could be trusted to follow through once the purchase price had been paid.

After the buyers would wire the full price to one or more bank accounts controlled by Kapustin, he would allegedly give them a litany of excuses and reasons for delay in delivery.  Unbeknownst to them, more often than not Kapustin had neither possession of nor title to the vehicles being sold. At some point, the victim would be offered a different, often inferior car, burdened with added shipping and storage costs.  The unsophisticated buyer, desperate to acquire something for money already spent, would oftentimes wire additional money to rescue the car from its storage; all to no avail. Those very few cars that did land in Finland were normally the product of salvage auctions for vehicles that had been immersed in or flooded with salt water and were inoperable. Kapustin allegedly stole approximately $2 million in this manner.

The count with which Kapustin is charged carries a maximum penalty of 20 years and $250,000 fine.

U.S. Attorney Fishman credited the special agents of the FBI, under the direction of Special Agent in Charge Timothy Gallagher in Newark, with the investigation leading to Kapustin’s arrest.

The government is represented by Senior Litigation Counsel V. Grady O’Malley of the U.S. Attorney’s Office Organized Crime/Gangs Unit.

The charge and allegations in the complaint are merely accusations, and the defendant is considered innocent unless and until proven guilty.

Anchorage, Alaska – U.S. Attorney Karen L. Loeffler announced that, yesterday, an Anchorage man was sentenced by Chief District Judge Timothy M. Burgess to serve 12 years in prison for his role in a conspiracy to distribute heroin, cocaine, and crack in Anchorage, to launder thousands of dollars in drug proceeds, and for possession of a firearm in furtherance of the drug conspiracy.  Isaiah Holloway was the last of twelve defendants to be sentenced in the case, which alleged that the defendants were involved in a Fairview gang tied to a set of the “Bloods” street gang in California. 

Isaiah Holloway, a/k/a “Z” and “Zaya,” age 27, previously pled guilty to conspiring with others to distribute drugs and to launder the proceeds.  As part of his guilty plea, Holloway admitted that he sold drugs on multiple occasions with other co-conspirators, and that he traveled with other members of the conspiracy who carried drug proceeds and firearms in order to protect themselves and those proceeds.

Following his release from prison, Holloway will be on supervised release for five years.  As part of the sentence, Judge Burgess ordered forfeiture of the defendant’s interest in the $76,335 of drug proceeds seized during the investigation into the drug trafficking operation.

According to charging and sentencing documents, the conspiracy began in 2013 and continued until December of 2015.  During that time, Holloway acquired drugs, including heroin, cocaine, and crack, and worked with eleven other conspirators to sell the drugs to others.  The members of this conspiracy called themselves the “Fairview Mob” or “326 Mob” and associated with members of the “Campanell Park Piru Bloods” street gang in Compton, California.   The investigation revealed that “326” was code for “Compton to Fairview.”  Several of the defendants were seen on both social media and seized videos flaunting their gang ties to California, making gang signs, and repeating the phrase “Fairview to Compton.”  They also posted music videos on YouTube promoting violence and a gang lifestyle. 

Holloway and several other conspirators maintained a “stash house” in the Government Hill neighborhood, where law enforcement officers found large amounts of drugs and money.  Several defendants also shared a “dope phone” that drug users could call to reach available members to arrange for drug sales.  During the time of this conspiracy, the members were involved in numerous crimes in Anchorage involving the use or possession of firearms, for which several face sentencing or have recently been sentenced in state court. 

During several of the sentencing hearings, Judge Burgess noted the lengthy criminal records of the defendants, despite their relatively young ages.  In fact, on three of the defendants, Judge Burgess imposed sentences greater than those recommended by applicable sentencing guidelines, citing the need to protect the public from the defendants.  Despite their conduct in several videos, almost all of the defendants disclaimed membership in a gang at sentencing.  Regardless, Judge Burgess stated that the members of this conspiracy were living and promoting a dangerous gang lifestyle. He repeatedly stressed the seriousness and dangerousness of the crimes – which not only included the sale of drugs but the use of weapons to protect the conspiracy’s interests.  Judge Burgess stated, “there are only two endings for people who get involved with this type of activity . . . jail or death.”

“Fairview is not Compton, and thanks to the cooperation of federal, state, and municipal agencies, it will never be Compton,” stated Deputy Criminal Chief Frank Russo of the U.S. Attorney’s Office.  “But if you act like a gangster, and commit crimes like a gangster, rest assured that law enforcement and the criminal justice system will treat you like a gangster.”

To date, the following individuals have been sentenced as part of this investigation:

• Ishmael Holloway, 24, of Anchorage, to 10 years in prison for the drug conspiracy and possession of a firearm in furtherance of a drug trafficking crime;
• Lamont Moore, 37, of Compton, California, to 10 years for the drug conspiracy;
• Michael Reynold, 24, of Anchorage, to five years for drug trafficking near a school or playground;
• Dorian Topps, 23, of Anchorage, to four years for drug trafficking;
• Angelo Charter, 27, of Anchorage, to four years for the drug conspiracy;
• Karl Maddox Jr., 26, of Anchorage, to 40 months for drug trafficking;
• Christopher Meeks, 23, of Anchorage, to 22 months for drug trafficking near a school or playground;
• Felton Reynold, 28, of Anchorage, to 20 months for drug trafficking near a school or playground;
• Delano Williams, 26, of Anchorage, to 20 months for drug trafficking near a school or playground;
• Leonard Moore Jr., 27, of Anchorage, to 15 months for receiving a firearm while under felony indictment and providing false statements; and
• Malia Green, 22, of Anchorage, to eight months for drug trafficking.

One charged conspirator remains at large: Dearon Walton, a purported member of the Campanella Park Piru Bloods of California.

This case was investigated as part of the Organized Crime Drug Enforcement Task Force (OCDETF), and led by the FBI Safe Streets Task Force and the Anchorage Police Department.  It was prosecuted by Assistant U.S. Attorney Frank Russo and Special Assistant U.S. Attorney Erin Bennett, a municipal prosecutor on loan to the U.S. Attorney’s Office to address gang crimes.  The Municipality has partnered with the U.S. Attorney’s Office since 2007 by supplying prosecutorial resources to the U.S. Attorney’s Office to assist in drug and violent crime cases in Anchorage.  Since 2007, these municipal prosecutors have been responsible for over 200 federal felony prosecutions involving drug, gun, and violent crime cases.

In announcing the sentence, U.S. Attorney Loeffler also praised the Internal Revenue Service Criminal Investigation Division, which led the financial investigation.  The Bureau of Alcohol, Tobacco, Firearms and Explosives and the Drug Enforcement Administration also provided assistance.      

Orlando, FL – United States Attorney A. Lee Bentley, III announces that a federal jury yesterday found Ricardo Miguel Mayo (49, Titusville) guilty of theft of government money and aggravated identity theft. He faces a maximum penalty of 10 years in federal prison for the money theft, to be followed by 2 years’ imprisonment for the aggravated identity theft charge. His sentencing hearing is scheduled for March 16, 2017.

Mayo was indicted on September 21, 2016.

According to the evidence presented at trial, a fraudulent 2011 federal tax return in the name of an 84-year-old woman from Georgia was filed in January 2012. The fraudulent return requested that a federal tax refund in the amount of $9,874 be issued via a prepaid debit card, and that the debit card be sent to Mayo’s address. After the return was processed, Mayo received the debit card that was issued in the victim’s name.  In February 2012, when the $9,874 tax refund was loaded onto the debit card, Mayo used the card to steal and convert government money in a series of large cash withdrawals and purchases. 

This case was investigated by the St. Cloud Internal Revenue Service-Secret Service Financial Crimes Task Force, a task force comprised of the following federal, state and local law enforcement agencies: Internal Revenue Service - Criminal Investigation; the United States Secret Service; the St. Cloud Police Department; the Osceola County Sheriff’s Office; the Brevard County Sheriff’s Office; the Palm Bay Police Department; the Casselberry Police Department; the Kissimmee Police Department; the Winter Park Police Department; and the Maitland Police Department. It is being prosecuted by Assistant United States Attorney Emily C. L. Chang.

SCRANTON - The United States Attorney’s Office for the Middle District of Pennsylvania announced today that Kelvin Robinson, age 25, of Newport News, Virginia was sentenced by United States District Judge Malachy E. Mannion, to serve 7 years in prison for the armed robbery of the Econo Lodge in Scranton on February 13, 2016.

According to United States Attorney Bruce D. Brandler, Robinson, previously pleaded guilty to the charge of brandishing a firearm in furtherance of a crime of violence.   Robinson was one of four individuals, including Tracy Whiting, age 24, of Newport News, Virginia, Kwa’shon Roane, age 24, of Gloucester, Virginia, and Rodney Whiting, age 23, of Scranton, who were indicted by a grand jury in March 2016 for the armed robbery of the Econo Lodge.  Tracy Whiting, Rodney Whiting and Kwa’shon Roane also entered guilty pleas and are awaiting sentencing. 

The investigation was conducted by the Bureau of Alcohol, Tobacco and Firearms (ATF), the Scranton Police Department, the Pennsylvania State Police, the Lackawanna County District Attorney’s Office and numerous local law enforcement agencies, including the Taylor Borough and Moosic Borough Police Departments. 

The case was prosecuted by Assistant United States Attorney Robert J. O’Hara.           

This case was brought as part of the Violent Crime Reduction Partnership (“VCRP”), a district wide initiative to combat the spread of violent crime in the Middle District of Pennsylvania.  Led by the United States Attorney’s Office, the VCRP consists of federal, state and local law enforcement agencies whose mission is to locate, apprehend, and prosecute individuals who commit violent crimes.           

# # #

Jacksonville, Florida – United States Attorney A. Lee Bentley, III announced today that Richard Daniel Lord (58, Jacksonville) has pleaded guilty to receiving child sexual abuse videos over the Internet. He faces a mandatory minimum penalty of 5, up to 20 years, in federal prison, and a potential life term of supervision. A sentencing date has not yet been scheduled. Lord has been in federal custody since his arrest on September 30, 2016.    

According to court documents, on September 30, 2016, FBI agents executed a federal search warrant at Lord’s Jacksonville residence, while he was at home.  During an interview with agents, Lord admitted to using his cellular telephones to search for, download, and view child pornography, that he was most interested in images and videos of children between the ages of 10-12 years old, and that he searched for child pornography “constantly” and could not control himself. A forensic examination of one of Lord’s cell phones revealed a video that had been downloaded by him on September 16, 2016, depicting a prepubescent minor child being sexually abused.

This case was investigated by the Federal Bureau of Investigation. It is being prosecuted by Assistant United States Attorney D. Rodney Brown.

It is another case brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. For more information about internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."

Greenbelt, Maryland – Joseph Goldman, age 35, of Baltimore has been charged by federal criminal complaint for possessing unregistered firearms and for making a firearm.  Goldman had an initial appearance today before U.S. Magistrate Judge Thomas M. DiGirolamo in U.S. District Court in Greenbelt, and was ordered to be detained pending a detention hearing scheduled for January 3, 2017, at 10:30 a.m.

The charges were announced by United States Attorney for the District of Maryland Rod J. Rosenstein; Special Agent in Charge Daniel L. Board Jr. of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) - Baltimore Field Division; Special Agent in Charge Gordon B. Johnson of the Federal Bureau of Investigation, Baltimore Field Office; Baltimore Police Commissioner Kevin Davis; and Baltimore City State’s Attorney Marilyn Mosby.

“Federal prosecutors work closely with state and local law enforcement agencies to protect the public from dangerous criminals,” said U.S. Attorney Rod J. Rosenstein.

According to the affidavit filed in support of the criminal complaint, on December 19, 2016, Baltimore City Police Department, Criminal Investigation Division Child Abuse Unit executed a search warrant at Goldman’s home as part of an investigation into possible sexual abuse of a minor.  Goldman is facing state charges in connection with that investigation. During the search law enforcement discovered a cache of suspected illegal firearms and contacted ATF for assistance.

The following firearms were recovered from Goldman’s residence and seized by law enforcement: from behind the couch in the first floor living room, a 556 short barrel AR-15 long gun with a silver 6.5 inch silencer attached; from Goldman’s bedroom, a 12 gauge short barrel shotgun and two semi-automatic pistols; and 20 rounds of ammunition, a machine vice, miscellaneous gun parts and tools.  Law enforcement determined that the AR-15, short barrel shotgun and silencer are firearms that are required to be registered under the law, but were not.

If convicted, Goldberg faces a maximum sentence of 10 years in prison for possession of unregistered firearms, and for illegally making a firearm. 

A criminal complaint is not a finding of guilt.  An individual charged by criminal complaint is presumed innocent unless and until proven guilty at some later criminal proceedings.

United States Attorney Rod J. Rosenstein commended the ATF, FBI, Baltimore Police Department and Baltimore City State’s Attorney’s Office for their work in the investigation.  Mr. Rosenstein thanked Assistant U.S. Attorney Paul E. Budlow, who is prosecuting the case.

Memphis, TN – A man who trafficked a female minor for sex has been sentenced to 151 months in federal prison. Edward L. Stanton III, U.S. Attorney for the Western District of Tennessee, announced the sentence today.

According to information presented in court, Harold Davis, 28, of Memphis, Tennessee, trafficked a female minor runaway between May and June 2014. Davis met the minor on the street and took her to his house. After purchasing a cellphone and wig for the teen, Davis posted an image of her on Backpage.com to advertise her for commercial sexual encounters.

The defendant’s criminal activity was discovered when a Shelby County Sheriff’s Deputy stopped Davis’ vehicle for a traffic violation. Upon approaching the vehicle, the deputy noticed a female minor in Davis’ backseat. The deputy also observed an unusually large amount of condoms and female hygiene products. The minor was identified and placed into foster care. However, within days, Davis communicated with the minor via Facebook, provided her with his contact information and helped her run away from her foster home.

During an investigation into the matter, the Federal Bureau of Investigation’s (FBI) Human Trafficking Task Force was able to link the Backpage.com ads to Davis through his phone number and email accounts.

In April 2016, a federal jury convicted Davis on one count of sex trafficking a minor and one count of using the internet to conduct an unlawful activity.

On Thursday, December 29, 2016, U.S. District Judge Samuel H. Mays Jr. sentenced Davis to 151 months in federal prison.

This case was investigated by the FBI and Shelby County Sheriff’s Department.

Assistant U.S. Attorneys Debra Ireland and Kasey Weiland prosecuted this case on the government’s behalf.

Deirdre M. Daly, United States Attorney for the District of Connecticut, and Michael J. Ferguson, Special Agent in Charge of the Drug Enforcement Administration for New England, today announced that PAUL MIGNANI, 51, of Bethel, was arrested last night on cocaine and heroin distribution offenses.  The charges stem from an ongoing statewide initiative targeting narcotics dealers who distribute heroin, fentanyl or opioids that cause death or serious injury to users.

MIGNANI is charged by criminal complaint with possession with intent to distribute, and distribution of, heroin and cocaine.  The charge carries a maximum term of imprisonment of 20 years.  He appeared today before U.S. Magistrate Judge Sarah A. L. Merriam in New Haven and was ordered detained. 

According the complaint, on July 31, 2016, Bethel Police responded to a residence in Bethel on report of a possible heroin overdose and found an unresponsive 54-year-old female.  The victim was pronounced deceased shortly thereafter.  It is alleged that MIGNANI distributed heroin that was consumed by the victim shortly before her death.  In addition, on December 11, 2016, members of the Bethel Police and medical personnel responded to the report of an unresponsive 25-year old female at MIGNANI’s residence.  It is alleged that MIGNANI distributed the controlled substances that were consumed by this victim shortly before her death.

On December 12, 2016, law enforcement conducted a court-authorized search of MIGNANI’s residence and seized approximately three ounces of cocaine.  MIGNANI was arrested on related state charges on that date.

U.S. Attorney Daly stressed that a complaint is only a charge and is not evidence of guilt.  Charges are only allegations, and a defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.

This matter is being investigated by the Drug Enforcement Administration’s New Haven Tactical Diversion Squad, and the Bethel Police Department, with assistance from the States Attorney’s Office for the Judicial District of Danbury.  The DEA Task Force includes participants from the New Haven, Hamden, Greenwich, Shelton, Bristol, Vernon, Wilton, Milford, Monroe, Fairfield and Manchester Police Departments, and the Connecticut State Police.  The case is being prosecuted by Assistant U.S. Attorney Robert M. Spector.

United States Attorney Randolph J. Seiler announced that a McLaughlin, South Dakota, man convicted of Assault by Striking, Beating, and Wounding was sentenced on December 20, 2016, by U.S. Magistrate Judge William D. Gerdes.

Sinjin Cameron, age 23, was sentenced to 180 days in custody, and a $25 special assessment to the Federal Crime Victims Fund.

Cameron was indicted by a federal grand jury on June 14, 2016.  He pled guilty to a Superseding Information on September 19, 2016.

The conviction stemmed from an incident on May 27, 2016, when Cameron had an altercation with the victim.  Though the altercation was mutual, Cameron gained the upper-hand and rendered the victim unconscious, and as the victim laid on the road, Cameron struck the victim on or about the head, causing minor injury to the victim.

This case was investigated by the Federal Bureau of Investigation.  Assistant U.S. Attorney Troy R. Morley prosecuted the case.

Cameron was immediately turned over to the custody of the U.S. Marshals Service.

United States Attorney Randolph J. Seiler announced that a Dupree, South Dakota, man convicted of Distribution of a Controlled Substance was sentenced on December 19, 2016, by U.S. District Judge Roberto A. Lange.

Ptan Clown, a/k/a P’tan Hoksila Clown, age 36, was sentenced to 8 months in custody, 3 years of supervised release, a $1,000 fine, and a $100 special assessment to the Federal Crime Victims Fund.

Clown was indicted by a federal grand jury on July 19, 2016.  He pled guilty on October 4, 2016.

Between May 29, 2016 and June 8, 2016, Clown knowingly and intentionally distributed various amounts of methamphetamine for varying amounts of cash on three separate occasions.  Methamphetamine is a Schedule II Controlled Substance. 

This case was investigated by the Cheyenne River Sioux Tribe Law Enforcement Services.  Assistant U.S. Attorney SaraBeth Donovan prosecuted the case.

Clown was immediately turned over to the custody of the U.S. Marshals Service.