ALEXANDRIA, Va. – A federal jury convicted a Hamilton man today on charges of producing child pornography.

According to court records and evidence presented at trial, in November 2017, Logan Roy McCauley, 25, drove from his residence in Hamilton to West Virginia and picked up a minor he recently had met online. He then drove the minor back to his residence in Hamilton, and, within hours of arriving, engaged in sexual intercourse with the minor for purposes of using a smart phone to record a portion of the sexual encounter. Soon after creating the video, McCauley sent an online message to another person admitting he had made the video that morning. The day after McCauley created the video, law enforcement arrived at McCauley’s residence. At this time, McCauley told law enforcement about the video, which was still on McCauley’s smart phone.

McCauley faces a maximum penalty of 30 years in prison when sentenced on April 26. 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.

This matter was investigated by the FBI Washington Field Office’s Child Exploitation and Human Trafficking Task Force, which is composed of FBI agents, along with detectives from the Fairfax County Police, Arlington County Police, Prince William County Police, Loudoun County Sheriff’s Office, Leesburg Police, Alexandria City Police, Washington Metropolitan Police, Fauquier County Sheriff’s Office, George Mason University Police, United States Marshal’s Service, and agents of various Office of Inspector Generals

This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and the Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.

G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, Brian A. Benczkowski, Assistant Attorney General of the Justice Department’s Criminal Division, and Matthew J. DeSarno, Special Agent in Charge, Criminal Division, FBI Washington Field Office, made the announcement after Senior U.S. District Judge T.S. Ellis III accepted the verdict. Assistant U.S. Attorneys Alexander P. Berrang, Jay V. Prabhu, and Special Assistant U.S. Attorney Gwendelynn E. Bills are prosecuting the case.

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information is located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:18-cr-330.

In San Antonio this morning, federal and state authorities arrested 36-year-old U.S. Border Patrol Agent Vernon Lee Millican of Leakey, Texas, for production of child pornography, announced United States Attorney John F. Bash; FBI Special Agent in Charge Christopher Combs, San Antonio Division; and Special Agent in Charge Javy Pedroza, Department of Homeland Security – Office of Inspector General, El Paso Office.

A federal criminal complaint filed today charged the defendant with one count of production of child pornography. Upon conviction, Millican faces up to 30 years in federal prison. He remains in federal custody pending a detention hearing expected to occur next week in U.S. Magistrate Court in San Antonio.  

The FBI and DHS-OIG are investigating this case. U.S. Customs and Border Protection – Office of Professional Responsibility and the Real County Sheriff’s Office provided valuable assistance with the investigation. Assistant U.S. Attorney Tracy Thompson is prosecuting the case on behalf of the Government.

It is important to note that 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.

The U.S. Attorney’s Office announced that the following persons were arraigned this week before U.S. Magistrate judges and indictments handed down by the Grand Jury were unsealed. Indictments are merely accusations and defendants are presumed innocent until proven guilty:

Appearing in Billings before U.S. Magistrate Judge Timothy J. Cavan and pleading not guilty on Jan. 29 was:

RYAN MCGUIRE, 37, of Mound House, NV, on charges of conspiracy to distribute methamphetamine and distribution of meth. If convicted of the most serious count, McGuire faces a minimum mandatory five years to 40 years in prison, a $5 million fine and four years of supervised release. McGuire was released. The case was investigated by the Drug Enforcement Administration. Pacer case reference. 18-157.

Appearing in Billings before U.S. Magistrate Timothy J. Cavan and pleading not guilty on Jan. 31 was:

ELIZABETH ANN HAZZARD, 33, of Billings, on charges of conspiracy to possess with intent to distribute controlled substances and possession with intent to distribute meth. If convicted of the most serious count, Hazzard faces a minimum mandatory 10 years to life in prison, a $10 million fine and at least five years of supervised release. Hazzard was detained. The case was investigated by the Eastern Montana High Intensity Drug Trafficking Area Task Force. Pacer case reference. 18-153.

If any of the above cases are of interest to your media organization and the community it serves, we encourage you to monitor the progress of the case regularly through the U.S. District Court calendar and the PACER system.

To establish a PACER account, which will allow you to review documents filed in the case, please go to, http://www.pacer.gov/register.html. To access the district court’s calendar, please go to https://ecf.mtd.uscourts.gov/cgi-bin/PublicCalendar.pl.

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            Tuscaloosa, Alabama - U.S. Attorneys Jay E. Town, Louis V. Franklin, Sr., and Richard W. Moore, take time to stop, remember, and recognize all federal, state and local law enforcement officers and pay tribute to their service and sacrifice. Law enforcement has the difficult and dangerous task of making our communities safer, while placing their own lives and well-being at risk.

            Sadly, each year many officers make the ultimate sacrifice and give their lives in performance of their duties. In the State of Alabama, three officers have been shot and killed over the past year, with two of those deaths taking place just last month. Mobile Police Officer Sean Paul Tuder, was shot and killed on January 20, 2019 while attempting to serve an arrest warrant. Just a week before, on January 13, 2019, Sergeant Wytasha Carter of the Birmingham Police, was also shot and killed attempting to make an arrest. Last year, Mobile Police Department Officer Justin Billa was killed while assisting in the apprehension of a murderer.

            We know that law enforcement is the foundation of a safe community. They work diligently each day to maintain order while risking everything for the greater good. Far too many are killed each year for simply doing their jobs. We must also never forget that it is not only the officers that deserve our respect and support, but their families as well. Officers always have our backs and we should always have theirs, including their loved ones.

            “Those willing to commit malicious acts of violence against members of law enforcement would not give a second thought to leveling that same violence against the rest of us,” U.S. Attorney Town said. “An attack on the men and women who wear the badge is an attack on the very foundations of our community and the sanctity of our cities. We should never forget that the line of duty is endowed by sacrifice, selflessness, and courage and we should all take care to honor those whose end of watch came much too soon.” 

            “A law enforcement officer begins each day uncertain as to whether he or she will be asked to make the ultimate sacrifice to protect his or her community,” stated U.S. Attorney Franklin. “Too often, these daily acts of bravery go unnoticed. It should not take the tragic deaths of our officers for all of us to recognize the selfless sacrifices of law enforcement that take place each and every day.”

            “An assault on a police officer is an assault on the rule of law and our democratic principles,” said U.S. Attorney Moore. “The citizens of Alabama have an interest in helping us to get the word out that you do not shoot a police officer. That needs to start at home and in our schools. This has become a national problem that all of us need to address together. The three U.S. Attorneys are committed to doing our part to ‘back the blue.’”

PORTLAND. Ore.—During the recent lapse in appropriations, the U.S. Attorney’s Office was required to curtail some operations pursuant to applicable law and policy. Nevertheless, the office continued to fulfill its law enforcement responsibilities by prosecuting criminal cases. Below is a summary of notable case events that occurred during the shutdown:

U.S. v. Hediger

On January 23, 2019, Pamela S. Hediger, 55, of Corvallis, Oregon, was sentenced to 46 months in federal prison and three years’ supervised release for tax evasion and money laundering. Hediger was also ordered to pay more than $1.9 million in restitution.

According to court documents, between 2010 and 2017, Hediger was an attorney, president, and managing shareholder of a law firm in Corvallis. Hediger focused on personal injury cases and independently managed her own client relationships. During her association with the firm, Hediger systematically embezzled funds from the firm’s client trust and business operating accounts, both of which she had signing authority over. The embezzled funds came from insurance proceeds payable to Hediger’s clients.

Hediger failed to file income tax returns on nearly $2.2 million between 2011 and 2017, evading more than $471,000 in taxes due. Hediger previously pleaded guilty to one count each of attempting to evade or defeat taxes and engaging in monetary transactions with property derived from specific unlawful criminal activity on November 6, 2018.

This case was investigated by IRS-Criminal Investigation (IRS-CI) and prosecuted by Claire M. Fay, Assistant U.S. Attorney for the District of Oregon.

U.S. v. Smith

On January 15, 2019, Victor William Smith, Jr., 45, of Warm Springs, Oregon, was sentenced to 144 months in federal prison and three years’ supervised release for assaulting two Warm Springs Tribal Police detectives serving a deputized federal task force officers. Smith was also ordered to pay $8,305 in restitution.

According to court documents, on June 8, 2017, Smith forcibly assaulted the officers by attempting to run them down with his pickup truck. The officers ultimately apprehended Smith and found a stolen Remington shotgun in his truck. Smith admitted to knowingly possessing the stolen firearm at the time of his arrest.

Smith previously pleaded guilty to two counts of assault with a deadly weapon on a federal officer and one count of felon in possession of a firearm.

This case was investigated by the FBI and the Warm Springs Tribal Police Department and prosecuted by Benjamin Tolkoff, Assistant U.S. Attorney for the District of Oregon.

U.S. v. Britton

On January 23, 2019, Shane Britton, 43, of Pendleton, Oregon, was sentenced to five years’ probation and ordered to pay $1,803 in restitution for abusive sexual contact on the Umatilla Indian Reservation.

According to court documents and evidence presented at trial, in June 2016, Britton was staying at a residence shared by the victim and her mother on the Umatilla Indian Reservation. The victim and her mother are both enrolled members of the Confederated Tribes of the Umatilla Indian Reservation. Britton is not a tribal member.

During his stay, Britton subjected the victim to a series of unwanted and progressively more invasive physical encounters. In a recorded interview, Britton initially denied the allegation of abusive sexual contact, but later admitted he inappropriately touched the victim. Britton eventually told law enforcement officers that “in no way shape or form did [the victim] do anything wrong or provoke” his abusive conduct.

A federal jury in Portland convicted Britton on one count of abusive sexual contact on October 18, 2018.

The FBI investigated this case in partnership with the Umatilla Tribal Police Department. It was prosecuted by Jennifer Martin and Natalie Wight, Assistant U.S. Attorneys for the District of Oregon.

U.S. v. Stevens et al.

On January 8, 2019, a federal grand jury returned a six-count indictment charging Ronnie Stevens aka Tim Ephrem, 49, and Tina Ephrem aka Lisa Ann Peterson, 43, both of Portland, with wire fraud.

The indictment alleges that between September 2016 and December 2018, the couple conspired with one another to defraud an elderly couple, Adult Victim 1 (AV1) and Adult Victim 2 (AV2), of both money and property.

The scheme began in September 2016 when AV1 offered a commercial trailer for sale at his business. Stevens told AV1 that he brokered vehicle sales and could sell the trailer in exchange for a cut of the profit. Stevens did not sell the trailer, but quickly ingratiated himself with AV1 who later described him as “humble and honest” but “down on his luck.” Stevens told AV1 that he supported a wife and teenage daughter, and that he suffered with health issues.

Stevens later approached AV1 with an alleged lucrative investment opportunity. Stevens claimed that a friend named Tammy Ward was set to inherit an estate valued in excess of $100 million from her recently deceased father, but could not come up with the fees and legal costs necessary to release the state. Stevens told AV1 that if AV1 could advance the funds to release the estate, AV1 would be given title to valuable classic cars and vans that were part of the estate.

AV1 gave Stevens approximately $15,000 in cash followed by $25,000 in cash two weeks later. The payments escalated over time as Stevens told AV1 various stories about delays and increased costs associated with the release of the estate. As part of the conspiracy, AV1 and AV2 both spoke to a woman on the phone who claimed to be Tammy Ward. Investigators later revealed this person to by Tina Ephrem. Between 2016 and 2018, Stevens placed more than 5,000 outgoing calls to AV1 and AV2.

Stevens and Ephrem collected more than $1.5 million from AV1 and AV2 over the course of the conspiracy, spending the proceeds on utility bills, restaurants, cigars, retail purchases and travel to locations including Hawaii, Anaheim, California, Las Vegas, Nevada and Spirit Mountain Lodge in Grand Ronde, Oregon.

Stevens and Ephrem were arrested on January 11, 2019. They made their initial appearances in federal court the same day and were ordered detained pending a five-day jury trial beginning on March 12, 2019.

This case was investigated by the FBI and is being prosecuted by Donna Brecker Maddux, Assistant U.S. Attorney for the District of Oregon.

An indictment is only an accusation of a crime, and a defendant is presumed innocent unless and until proven guilty.

U.S. v. Newman

On January 15, 2019, Steven Wayne Newman, 50, of Hillsboro, Oregon, was sentenced to 60 months in prison followed by five years of supervised release for distributing child pornography.

According to court documents, in October 2016, an FBI task force officer identified an IP address offering to share files containing child pornography via the BitTorrent peer-to-peer file sharing network. The officer downloaded ten files from a computer at that IP address, four of which depicted prepubescent children engaging in sexually explicit conduct with adults and with each other. The IP address was later traced to Newman’s home in Hillsboro.

The FBI was not the only law enforcement agency investigating Newman’s IP address. Investigators from the Linn County Sheriff’s Office, the Albany Police Department, and the Benton County Sheriff’s Office also downloaded child pornography from a computer at the same address. A Linn County Sheriff’s Office detective downloaded 247 files containing a total of 91 videos and 426 images of child pornography.

On January 20, 2017, FBI agents executed a federal search warrant at Newman’s home. They seized a laptop and external hard drive, both of which contained contraband material. Agents found 212 videos and 665 images depicting the sexual exploitation of children. Newman’s BitTorrent file sharing software had been run 272 times, most recently on the day prior to the search warrant.

This case was investigated by the FBI’s Child Exploitation Task Force (CETF), the Linn County Sheriff’s Office, the Albany Police Department, and the Benton County Sheriff’s Office. It was prosecuted by Gary Y. Sussman, Assistant U.S. Attorney for the District of Oregon.

U.S. v. Gregory

On January 22, 2019, Rodney Paul Gregory, 64, of Lebanon, Oregon, pleaded guilty to one count each of wire fraud and money laundering for his role in various online romance scams.

According to court documents, between May 2017 and January 2019, Gregory acted as a money mule for online romance scams. As part of the scheme, unknown co-conspirators would target individuals through online dating. These co-conspirators would impersonate military or civilian personnel working overseas, pretending they needed funds for foreign taxes, travel costs, or other false representations. Victims would wire money based on these false statements.

Instead of wiring the money directly overseas, victims were asked to wire money to bank accounts in the U.S. Gregory incorporated companies and opened numerous business bank accounts in order to receive these wires transfers from victims. Upon receipt of the wire, Gregory would send the money to overseas bank accounts.

On May 11, 2017, federal agents interviewed Gregory and he claimed he was not aware that the funds wired to his accounts were the proceeds of fraud. He claimed he did the work as a result of promises of love from the woman he met on an online dating website. Following his interview with investigators, Gregory continued to open new business bank accounts using fraudulent information, continued receiving wires from victims and continued wiring the victim’s money overseas. Between the May interview and the end of August 2017, Gregory wired or otherwise withdrew over $200,000 in fraudulent proceeds.

Gregory faces a maximum sentence of 20 years in prison, a $250,000 fine and three years’ supervised release. Under the terms of his plea agreement, Gregory agreed to pay restitution in full to his victims as ordered by the court at sentencing. He will be sentenced on April 4, 2019.

This case was investigated by the FBI and IRS-Criminal Investigation and is being prosecuted by Gavin W. Bruce, Assistant U.S. Attorney for the District of Oregon.

U.S. v. Burkleo

On January 23, 2019, Bud O’Neil Burkleo, 36, of Warrenton, Oregon pleaded guilty to four counts of communicating a false distress message and one count of making a false statement.

According to court documents, Burkleo made four hoax distress calls to the U.S. Coast Guard between April and November of 2016. In response to each call, the Coast Guard dispatched rescue personnel in an attempt to protect life and property. Burkleo also lied to federal investigators.

Burkleo will be sentenced on May 13, 2019.

This case was investigated by the U.S. Coast Guard Investigative Service and prosecuted by Paul T. Maloney, Assistant U.S. Attorney for the District of Oregon.

U.S. v. Ugwa

On November 14, 2018, a federal grand jury returned a 14-count indictment charging Bob Ibenne Ugwa, 49, of Portland, with seven counts each of cyberstalking and anonymous telecommunications harassment.

The indictment alleges that, between 2003 and 2018, Ugwa used an interstate electronic communication service to engage in conduct reasonably expected to cause substantial emotional distress and made telephone calls without disclosing his identity with the intent to abuse, threaten, and harass seven different individuals.

Each charge of cyberstalking under 18 U.S.C. § 2261A(2)(B) and anonymous telecommunications harassment under 47 U.S.C. § 223(a)(1)(C) is punishable by up to five and two years in prison, respectively.

Ugwa was detained pending trial. A three-day jury trial is scheduled to begin on March 26, 2019.

This case was investigated by the FBI and is being prosecuted by Hannah D. Horsley, Assistant U.S. Attorney for the District of Oregon.

An indictment is only an accusation of a crime, and a defendant is presumed innocent unless and until proven guilty.

CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051

BUFFALO, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Charles E. Woods, 41, of Buffalo, NY, who was convicted of possession with intent to distribute 28 grams or more of crack cocaine, was sentenced to 85 months in prison by U.S. District Judge Richard J. Arcara.

Assistant U.S. Attorney Patricia Astorga, who handled the case, stated that between October 19, 2017, and January 17, 2018, the defendant distribute crack cocaine and cocaine to an individual working with the Drug Enforcement Administration. 

On January 17, 2018, law enforcement officers executed a search warrant at the Woods’ residence in Buffalo. Officers seized a quantity of cocaine, $9,860 in drug proceeds, and a digital scale.

The sentencing is the result of an investigation by the Drug Enforcement Administration, under the direction of Special Agent-in-Charge Ray Donovan, New York Field Division.
 
# # # #

CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051

ROCHESTER, N.Y. -- U.S. Attorney James P. Kennedy, Jr. announced today that Scott Schafer, 39, of Rochester, New York, pleaded guilty before U.S. District Judge Elizabeth A. Wolford to possession with intent to distribute, and distribution of, methamphetamine. The charge carries a maximum penalty of 20 years in prison and a $1,000,000 fine, or both.

Assistant U.S. Attorney Charles E. Moynihan, who is handling the prosecution of the case, stated that in the early morning hours of March 8, 2018, members of the Rochester Police Department arrested Schafer for possessing methamphetamine. The investigation began when officers saw a vehicle illegally parked on a side street off of Monroe Avenue. The vehicle was blocking part of the road, as well as a driveway and the bicycle lane. When law enforcement went to issue traffic tickets, they found Schafer in the bathroom of a nearby restaurant, where they learned Schafer had abruptly retreated when law enforcement approached the location.

Officers found Schafer, who was shaking and appeared nervous, with multiple bags of methamphetamine on him when he was searched. They also found more methamphetamine in the garbage can in the bathroom where the defendant had been when he was first confronted by law enforcement.  

On April 10, 2018, officers again arrested Schafer, this time at a gas station on South Clinton Avenue in Rochester. When officers approached the car to check on the welfare of the occupants, Schafer was in the front passenger seat and the driver was holding a small clear plastic baggie containing several small, white rocks.  Officers believed this substance was methamphetamine, which was confirmed by subsequent testing.

The plea is the culmination of an investigation by the Rochester Police Department, under the direction of Chief Mark Simmons, and the Drug Enforcement Administration, under the direction of Special Agent-in-Charge Ray Donovan, New York Field Division. 
 
Sentencing is scheduled for May 10, 2019, at 3:30 p.m. before Judge Wolford.

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DENVER – A federal jury sitting in Denver convicted a Colorado Springs man of receipt, storage, and/or possession of a stolen firearm and for being a felon in possession of ammunition, announced United States Attorney Jason R. Dunn, Denver FBI Special Agent in Charge Dean Phillips and ATF Denver Special Agent in Charge Debbie Livingston.  Demontrae Wilson, age 22, was convicted in United States District Court on January 31, 2019, of the two above-mentioned felony offenses.  He was acquitted on a third count of being a felon in possession of a firearm.

Evidence presented at trial demonstrated that Wilson had been involved in an altercation between two vehicles, which resulted in shots being fired.  During that incident, he was shot in the head with an AR-15 round, but survived with loss of vision in one eye and other complications.  After the incident, in March 2018, law enforcement agents in Colorado Springs watched Wilson and his associates get into a car that they began to follow.  The car abruptly changed direction to avoid the officers, who then conducted a traffic stop.  Officers found Wilson in the front passenger seat of the car, which was registered in his name.  Inside his car, officers found military grade AR-15 ammunition, a military grade ballistic vest (with damage from two bullet rounds in the chest area) and a stolen AR-15 under a blanket.  Another passenger was carrying a handgun.  Wilson had previously been convicted of a felony and was not allowed to possess any firearm or ammunition. 

Sentencing is scheduled for May 2, 2019, at 10:00AM before United States District Court Judge Raymond P. Moore. 

This case was investigated by the Colorado Springs Police Department, the Colorado Springs Division of the Federal Bureau of Investigation, and the ATF Denver Field Division.  The prosecution was coordinated by the FBI Gang Task Force in Colorado Springs.  Assistant United States Attorneys Jason St. Julien and Garreth Winstead handled the prosecution. 

CASE NUMBER:           18-cr-0263-RM

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     PHOENIX – On Feb. 1, 2019, Silas Deswood Yazzie, 52, of Kayenta, Ariz, a member of the Navajo Nation, was convicted by a jury of assault with a dangerous weapon and simple assault.  Yazzie is scheduled to be sentenced by U.S. District Judge Steven P. Logan in April 2019.

     On two separate occasions, Yazzie assaulted unsuspecting victims with a knife.  Yazzie sought out the first victim in early June 2018, when he grabbed a knife and swung it at the victim’s stomach after saying he would “teach him a lesson.”  The victim had to take a step back to avoid being stabbed.  Less than two weeks later, while loitering at a gas station, Yazzie approached the second victim, and demanded money.  When the victim refused to comply, Yazzie pulled out a knife, followed the victim to where the victim’s car was parked at a gas pump and attempted to stab the victim.  The victim had to evade Yazzie to avoid being stabbed.  The crimes occurred on the Navajo Nation Indian Reservation.

     The investigation in this case was conducted by the Federal Bureau of Investigation and Navajo Nation Department of Public Safety.  The prosecution was handled by Assistant U.S. Attorneys Krista J. Wood and Sharon K. Sexton, District of Arizona, Phoenix.  

CASE NUMBER:          CR-18-8230-PCT-SPL

RELEASE NUMBER:    2019-04_Yazzie

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For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/

Follow the U.S. Attorney’s Office, District of Arizona, on Twitter @USAO_AZ for the latest news.

Anchorage, Alaska – U.S. Attorney Bryan Schroder announced that a Kodiak man has been sentenced to federal prison for possessing a firearm while trafficking drugs that were intended for distribution in Kodiak, Alaska.

Miguel Angel Angulo, 34, of Kodiak, was sentenced yesterday by Chief U.S. District Judge Timothy M. Burgess, to serve seven years in prison, followed by five years of supervised release and 250 hours of community service.  In September 2018, Angulo pleaded guilty to one count of possession of a firearm in furtherance of a drug trafficking offense.

According to court documents, Angulo became the subject of a federal investigation when, in April and May 2018, Angulo began publicly sharing photos and videos on social media, depicting himself possessing and using firearms.  Angulo has a prior state felony conviction for a drug trafficking offense, and was therefore prohibited from possessing firearms.

On June 1, 2018, Angulo attempted to flee his residence in Kodiak when state and federal law enforcement agents arrived to execute a search warrant.  Law enforcement officers detained Angulo and found him in possession of a Springfield .40 caliber semi-automatic firearm, which he carried to protect himself while trafficking drugs, as well as to protect the proceeds of drug trafficking.  Angulo was also in possession of approximately 117 grams of methamphetamine, 61 grams of heroin and an additional 61 grams of cocaine, all with an estimated street value of approximately $100,000.  The investigation revealed that Angulo received the narcotics via mail directly from a source in Mexico with ties to the Sinaloa drug cartel. 

During Angulo’s sentencing hearing, the court heard testimony that the amount of narcotics in Angulo’s possession was enough to support approximately 1,790 individual uses of illegal drugs.  In addition, the presence of the firearm clearly demonstrated Angulo’s major role in the illegal distribution of drugs throughout the remote island of Kodiak.  Judge Burgess highlighted Angulo’s “fundamentally flawed” argument that his actions did not pose a threat to the public because he never intended to harm anyone with the firearm, and that he played an overall minor role in the distribution of narcotics in Kodiak. The judge emphasized the need to protect the community from Angulo because of the ravaging effects of his distribution of illegal narcotics, both on the users who purchase them, and the family members, friends, and members of the community who also suffer the consequences of the drug use and addiction.

The Coast Guard Investigative Service (CGIS), the Drug Enforcement Administration (DEA), the Alaska State Troopers (AST), and the Kodiak Police Department (KPD) conducted the investigation leading to the successful prosecution of this case.  This case was prosecuted by Special Assistant U.S. Attorney Kelley Stevens.

SACRAMENTO, Calif. — Abdul Basier Hashimi, 26, of Elk Grove, was sentenced today by Senior U.S. District Judge Garland E. Burrell Jr. to 12 years and seven months in prison for sex trafficking of a child, U.S. Attorney McGregor W. Scott announced.

On August 31, 2018, Hashimi pleaded guilty to sex trafficking of a child. According to statements made during the hearing, Hashimi met the 13-year-old victim in August 2014 on social media and began communicating with her. After she turned 14, Hashimi caused her to work as a prostitute in Sacramento, Oakland, and elsewhere in Northern California. Hashimi managed the victim’s activities by, among other things, creating an internet advertisement, renting a motel room, and driving her to areas with prostitution activity where he caused her to work as a prostitute. The victim gave Hashimi the money she earned.

“Child sex traffickers often prey upon our community’s most vulnerable minors — runaways, foster kids, children who face difficult circumstances — promising the young victims that they will receive care and support. In actuality, traffickers treat their victims as commodities to acquire and sell, generating profit from exploiting them and leveraging their youth as a selling point,” said Special Agent in Charge Sean Ragan of the FBI Sacramento Field Office. “The FBI, the Sacramento Police Department, and our partners on the Child Exploitation Task Force continue to work tirelessly to identify and disrupt predators like Hashimi to protect the children in our communities. We are also all committed to ensuring the children recovered from exploitation receive the services to move forward with their lives.”

This case was the product of an investigation by the Federal Bureau of Investigation and the Sacramento Police Department. Assistant U.S. Attorney Brian A. Fogerty prosecuted the case.

FRESNO, Calif. — A federal grand jury returned a two-count indictment on Thursday against Kevin Crownover, 46, of Lemoore, charging him with embezzlement and theft of union assets and aggravated identity theft, U.S. Attorney McGregor W. Scott announced.

According to court documents, Crownover was the treasurer for a labor organization consisting of mechanics employed at Lemoore Naval Air Station. Between September 2015 and October 2016, he generated at least 70 unauthorized checks and made unauthorized cash withdrawals from the union’s bank accounts, resulting in a loss to the union of at least $50,879. Furthermore, Crownover did so by forging the signature of the union president, which forms the basis of the aggravated identity theft charge.

This case is the product of an investigation by the U.S. Department of Labor, Office of Labor-Management Standards. Assistant U.S. Attorney Laura D. Withers is prosecuting the case.

If convicted, Crownover faces a maximum statutory penalty of five years in prison and a $250,000 fine. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.

          GRAND RAPIDS, MICHIGAN— On Tuesday, January 29, 2019, Chief U.S. District Judge Robert J. Jonker sentenced Oghenevwakpo Igboba to a total of 162 months’ in federal prison to be followed by three years’ supervised release, $514,823 in restitution, a money judgment of $48,205, and $1800 in court assessments.

          In September 2018, a jury found Igboba guilty of one count of conspiracy to defraud the United States, one count of wire fraud, eight counts of making a false claim to the United States, and eight counts of aggravated identity theft. Igboba used other individuals’ personally identifying information to access tax information using an Internal Revenue Service website. He then took that sensitive tax and personal information and used it to file false federal income tax returns directing the IRS to pay fraudulent refunds to bank accounts he controlled.

           "My office will seek appropriate punishment for those who undermine the functioning of Internal Revenue Service systems and steal refunds owed to other hard-working Americans," said U.S. Attorney Andrew Byerly Birge. "This crime harms the individual tax payers whose identities were stolen in connection with the fraud, but it also harms all Americans who place their trust in the proper functioning of the tax system and expect an orderly and prompt payment of tax refunds. This defendant stole from all of us."

          By filing Form 1040s before the real taxpayers, Igboba managed to direct hundreds of thousands of dollars to himself. IRS systems stopped many of the stolen returns from being issued, but Igboba personally received at least $57,000 as a result of his crime. He used personally identifying information to access tax information for more than 100 individuals through IRS systems. The evidence introduced at trial demonstrated that the defendant conspired with numerous individuals, both in the United States and abroad, to compile personal information and direct the tax returns to numerous bank accounts.

          "The defendant’s theft of hundreds of tax transcripts from the IRS in furtherance of a scheme to enrich himself at the expense of the American people is a grave violation of federal law and cannot be tolerated under any circumstances," said J. Russell George, Treasury Inspector General for Tax Administration. "I am proud of our investigators, including those in our cybercrimes division, for cracking this case, their counterparts at IRS Criminal Investigation, and the U.S. Attorney’s office for helping us bring this individual to justice."

          Special Agent in Charge Manny Muriel, IRS - Criminal Investigation, stated, "This sentencing demonstrates that combating identity theft remains a priority for the IRS. IRS will not tolerate stealing the identities of innocent taxpayers. Stealing from the government and its taxpayers is not acceptable and with the start of the tax filing season, you can rest assured that IRS will be vigilant and work to protect taxpayers’ identities this tax season."

          The case was investigated by the Treasury Inspector General for Tax Administration (TIGTA) and IRS - Criminal Investigation. Assistant United States Attorneys Sally J. Berens and Christopher M. O’Connor prosecuted the case.

END

Tampa, Florida – U.S. District Judge Elizabeth A. Kovachevich today sentenced Shamar Lajuan Thomas (26, Clearwater), a/k/a “Baby,” to 35 years in federal prison for conspiracy to commit robbery, robbery, and using or carrying a firearm in furtherance of a violent crime. A federal jury found Thomas guilty on October 11, 2018. Thomas was the last member of the Polk County-based criminal organization to be convicted of conducting armed robberies of other drug dealers.

According to evidence presented at trial, from at least April 2007, and continuing through July 20, 2017, Marion Dwight, Jr. conspired with Thomas and others to commit multiple armed robberies and burglaries of several local drug dealers. During each of the incidents, they discharged or brandished firearms. To date, the FBI has identified at least 14 armed robberies and 4 armed burglaries that were committed by Dwight and his co-conspirators.

In June 2016, Thomas and his co-conspirator, Fredrick James Burney, Jr. a/k/a “Frido,” forced their way inside of a home in Lakeland in search of narcotics and cash. While inside, they held a male victim at gunpoint, shot at a female victim, and stole cash and a firearm from the victims. During the robbery, Thomas physically attacked the woman and repeatedly hit her in the head with his firearm, causing her to bleed profusely. 

Seven others have pleaded guilty to various offenses. Each faces a maximum penalty of life imprisonment, as noted below:

 This case was investigated by the Federal Bureau of Investigation. It is being prosecuted by Assistant United States Attorneys Lisa M. Thelwell and James Muench.

MACON— A panel of citizen jurors returned a guilty verdict this evening following a one week trial of a man involved in a complex scheme to defraud the Bibb County School System (BCSD), said Charles “Charlie” Peeler, the United States Attorney for the Middle District of Georgia. Dave Carty, 49, of Macon, was found guilty on one count of wire fraud Friday evening. The Honorable Marc Treadwell presided over the trial, which began Monday, January 28, 2019 in Macon federal court. Mr. Carty was charged in connection to the sale of 15,000 NComputing devices for $3.7 million to upgrade classroom technology for BCSD in 2012. A co-defendant, Isaac Culver, was found guilty in July 2018 by a jury of his peers for conspiracy to commit wire and mail fraud, ten (10) counts of wire fraud, one count of mail fraud, and conspiracy to launder the proceeds of unlawful activity. Mr. Culver was sentenced to 87 months in prison and three years supervised release in November. Today’s wire fraud conviction carries a maximum 20 years imprisonment and $250,000 fine. A sentencing date has not been set for Mr. Carty.

“The conviction of Dave Carty affirmatively denounces the greed and corruption of two businessmen who stole from the Bibb County School System. The damage done was more than money. These individuals stole the opportunity for an improved education for Bibb County school children. Mr. Carty will now be held accountable for his crime, just as Isaac Culver, who sits behind bars today, was held accountable for his crimes. Today’s verdict offers our citizens a measure of justice and brings to a close what has been a difficult period for the Bibb County School System and the entire Macon community,” said Charles “Charlie” Peeler, the U.S. Attorney for the Middle District of Georgia.

This case was investigated by the Federal Bureau of Investigation and Internal Revenue Service. Assistant U.S. Attorneys Beth Howard and Danial Bennett are prosecuting the case for the Government with participation and cooperation of Special Assistant U.S. Attorney David McLaughlin from the Georgia Office of the Attorney General.

Questions concerning this case can be directed to Pamela Lightsey, Public Information Officer, United States Attorney’s Office, at (478) 621-2603 or Melissa Hodges, Public Affairs Director (Contractor), United States Attorney’s Office, at (478) 765-2362.

SHREVEPORT, La. – Following a trial that began on Monday, a federal jury returned a verdict of guilty today on all counts charged in the prosecution of a 58-year old Shreveport surgeon for stealing more than $200,000 in Social Security disability payments, announced United States Attorney David C. Joseph.

The jury deliberated for approximately ten hours before finding John T. Owings, Chief of Trauma at Louisiana State University – Health Sciences Center in Shreveport, guilty of 20 counts of theft of government property and one count of concealing or failing to disclose an event affecting right to a government benefit.

The United States presented evidence during trial showing that Owings applied for disability benefits in 2008 and continued to receive those benefits through June of 2017, after returning to work in 2012.  When Owings went back to work as a surgeon at the University of California-Davis in 2012, making $22,000 a month, he failed to tell the Social Security Administration (SSA) about his return to work. In 2013, LSU Health Sciences Center in  Shreveport hired Owings as its trauma chief, paying him over $40,000 a month.  Owings never disclosed his employment at LSU Health Sciences Center to the SSA. Owings took disability insurance benefits throughout his employment at the University of California-Davis and LSU Health Sciences Center that he was not entitled to.

“Protecting taxpayer money from fraud is a priority of my office,” stated U.S. Attorney David C. Joseph.  ”We will hold accountable those who try to defraud the government and wrongfully take money intended for those in need.  This verdict shows the strength of the evidence in this case and underscores the hard work of the Social Security Administration investigators and prosecutors in my office.”

“Today’s guilty verdict affirms Social Security Administration’s, Office of the Inspector General, mission to combat fraud, waste and abuse,” said   Terry L. Brown, Acting Special Agent in Charge, SSA OIG Dallas Field Division. “The dedicated work by OIG agents and the Shreveport United States Attorney’s office resulted in the protection of United States citizens and the Disability Insurance Trust Funds.”

The SSA is responsible for the implementation of the Disability Insurance Benefits Program under Title II of the Social Security Act.  The SSA provides monetary benefits to individuals who have worked and paid taxes to SSA.  To be eligible for monthly cash benefits, individuals must have been deemed medically disabled and must have been unable to maintain gainful employment.

Pursuant to SSA regulations, a claimant must prove to SSA that he or she is disabled by furnishing medical and other evidence with the application. The application and supporting evidence would then be evaluated by SSA to determine the individual’s medical impairments and determine the effect of the impairment on the claimant’s ability to work on a sustained basis.  Recipients of Social Security disability insurance benefits are required by federal law to report any changes in their medical or employment status to SSA, including any work activity, whether compensated or not.  Eligibility for Disability Insurance Benefits is conditioned on the recipient’s lack of employment income during the period when the disability benefits are paid.

U.S. District Judge Elizabeth E. Foote presided over the trial and will sentence Owings on May 29, 2019.  Owings faces up to ten years imprisonment for theft of government property and five years imprisonment for concealing or failing to disclose an event affecting right to a Title II benefit.  Owings also faces up to three years supervised release and a $250,000 fine for each count.            

The Social Security Administration – Office of Inspector General conducted the investigation.  Assistant United States Attorneys Seth D. Reeg and Leon H. Whitten prosecuted the case.

Twelve people from Mahoning County were indicted for their roles in a conspiracy to obtain large amounts of cocaine, which they sold in and around Youngstown.

Named in the 95-count indictment are: Kevin Clinkscale, 32; Keilan Clinkscale, 30; Rochelle Garron, 51; Jeanne George, 48; Deonne Gilbert, 35; Vernon Robinson, 45; Edward Lee DuBose Jr., 37, of Boardman; Edward Lee DuBose Sr., 58; Anthony W. Howell, 30; Jermaine Stroughter, 39; Eric T. Gilford, 27, and Troy Pollard, 35.

All the defendants live in Youngstown except DuBose Jr., who lives in Boardman.

All 12 are charged with conspiracy to possess with intent to distribute and to distribute cocaine.

The DuBoses and Gilbert face additional charges of distribution of crack cocaine. DuBose Jr. faces additional charges of distribution of heroin. Gilbert is charged with maintaining a drug premises on West Judson Avenue in Youngstown. There are additional charges for using telephones in furtherance of drug trafficking activity.

According to the indictment:

Robinson obtained cocaine and distributed it to Gilbert, who cooked some of the cocaine into crack. Gilbert distributed crack cocaine and powder cocaine to the DuBoses, Pollard, Kevin Clinkscale, Garron and Stroughter.

DuBose Jr. sold crack and powder cocaine to Howell, DuBose Sr. and Gilford.

Kevin Clinkscale sold crack and powder cocaine to Keilan Clinkscale, Garron and George.

Gilbert used a home on West Judson Avenue to store and distribute drugs.

This conspiracy took place between May and November 2017.

“These defendants sold crack and powder cocaine all over Youngstown, and used a home in the city to stash and sell their drugs,” U.S. Attorney Justin Herdman said.

“This group of dangerous drug dealers brought violence and fear to Youngstown and the surrounding communities,” said FBI Special Agent in Charge Eric B. Smith “Law enforcement agencies joined efforts and now these menacing individuals will be held accountable and our neighborhoods will be rid of their threatening criminal behavior.”

Youngstown Police Chief Robin Lees said: “This case is an example of local and federal law enforcement working together to make Youngstown safer.”

If convicted, the defendant’s sentence will be determined by the Court after review of factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense and the characteristics of the violations.  In all cases, the sentence will not exceed the statutory maximum and, in most cases, it will be less than the maximum.

This case is being investigated by the FBI’s Mahoning Valley Violent Crimes Task Force. It is being prosecuted by Assistant U.S. Attorney Jason Katz.

An indictment is only a charge and is not evidence of guilt.  A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.

PITTSBURGH, PA – A federal grand jury returned an indictment charging 27 defendants, many of whom are serving federal prison sentences or were recently released from federal prison sentences, with committing drug trafficking and money laundering crimes and with engaging in interstate travel and transmissions in aid of racketeering, United States Attorney Scott W. Brady announced today.

The 8-count Indictment, returned on January 18, 2019, charges 25 defendants with conspiring from January 2017 to January 2019 to distribute large volumes of drugs, including 5 kilograms or more of cocaine, 1 kilogram or more of heroin, fentanyl and a fentanyl analog, oxycodone, synthetic cannabinoids, and buprenorphine, commonly known as SubOxone.

The 25 defendants charged in Count 1 are Noah Landfried (age 34 of Moon Township), Mario Allen (age 40 at USP-Lee in Virginia), Larry Benavides (age 43 at the Clinton County Jail in Pennsylvania), Dashawn Burley (age 20 of Monroeville), Michel Cercone (age 45 of Sewickley), Ahmad Fletcher (age 26 at FCI-Gilmer in West Virginia), Michael S. Frawley (age 47 of Pittsburgh), Christopher Gahagan (age 35 of Ambridge), Richard Georgelos (age 34 of Santa Cruz, Arizona), Nicholas Giammichele (age 34 at FCI-Danbury in Connecticut), Robert Korbe (age 49 at FCI-Loretto in Pennsylvania), Ross Landfried (age 37 at USP-Lee in Virginia), Sterling Marshall (age 24 at USP-Lee in Virginia), Darren Martin (age 30 of Aliquippa), Harold Novick (age 38 of Ambridge), Paul Nuara (age 51 of Erie), Omari Patton (age 39 at FCI-Fort Dix in New Jersey), James Perry (age 52 of Ambridge), John Ramsey (age 47 at FCI-Ray Brook in New York), Donnell Steward (age 49 at FCI-Otisville in New York), Quoc Boa Trinh (age 39 at FCI-Otisville in New York), Terrell Williams (age 39 of Pitcairn), Richard Wood (age 39 of Pittsburgh), Shayla Yates (age 38 of Dinwiddie, Virginia), and Krystian Zarate (age 27 of Santa Cruz, Arizona).

"Thanks to the hard work of a dedicated team of investigators and prosecutors, we have dismantled one of the largest prison drug smuggling rings in the country," said U.S. Attorney Brady. "This drug trafficking organization, which consists largely of repeat offenders, peddled dangerous drugs in prisons and in our communities. If this type of conduct doesn’t demonstrate the need for tougher drug sentences, I don’t know what does."

As part of the drug trafficking scheme, narcotics were smuggled into federal prisons facilities by saturating paper (including into printed court opinions and greeting cards) and mailing the paper to inmates. The prisoners paid for the drugs through an elaborate money laundering scheme involving the inmates’ financial accounts at the prison. The indictment seeks forfeiture of those accounts, among other things. The Indictment charges 9 defendants with conspiring to launder drug trafficking proceeds from January 2017 to January 2019. The nine defendants charged in Count 2 are Noah Landfried, Allen, Benavides, Cercone, Fletcher, Ross Landfried, Marshall, Perry, and Yates.

The Indictment charges Angelo Williams (age 33 of FCI-Cumberland in Maryland) and Priyanka Kumar (age 32 of Potomac, Maryland) in Count 3 with engaging in interstate travel and transmissions in aid of racketeering from January 2017 to January 2019.

Counts 4, 6, and 7 of the Indictment charge Gahagan with distributing cocaine in September 2017, January 2018, and April 2018. Count 5 charges Benavides with possessing a fentanyl analog and synthetic cannabinoids with intent to distribute in November 2017. Count 8 charges Noah Landfried with distributing heroin in June 2018.

The Indictment seeks forfeiture of the proceeds of the crimes as well as property that was acquired with the proceeds or was used to commit the crimes.

The law provides for minimum and maximum sentences for the counts in the Indictment ranging from at least 10 years to up to life in prison for Count 1, up to 20 years for Count 2, up to 5 years for Count 3, and up to 30 years for each of Counts 4 through 8. Fines ranging from $250,000 to up to $20,000,000 may also be imposed. Under the Federal Sentencing Guidelines, the actual sentences imposed would be based upon the seriousness of the offenses and the prior criminal histories, if any, of the defendants.

Assistant United States Attorney Craig W. Haller is prosecuting this case on behalf of the United States.

The Drug Enforcement Administration, the Internal Revenue Service, the federal Bureau of Prisons, and the Pennsylvania Office of Attorney General led the multi-agency investigation that also included the United States Postal Inspection Service, the Beaver County District Attorney’s Office, the Department of Homeland Security/Homeland Security Investigations, the Pittsburgh Police Department, the United States Marshals Service, the Pennsylvania State Police, the Munhall Police Department, the Robinson Township Police Department, the McKees Rocks Police Department, the Stowe Township Police Department, the Etna Police Department, and the Erie County District Attorney’s Office.

The investigation was funded by the federal Organized Crime Drug Enforcement Task Force Program (OCDETF). The OCDETF program supplies critical federal funding and coordination that allows federal and state agencies to work together to successfully identify, investigate, and prosecute major interstate and international drug trafficking organizations and other criminal enterprises.

An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.

TALLAHASSEE, FLORIDA– Lawrence Keefe, United States Attorney for the Northern District of Florida, announced today that he has installed a new management team to assist him in fulfilling his pledge to work with the women and men of our local, state, and federal law enforcement partners in the pursuit of justice for the people of North Florida and the nation.

Jeffrey Tharp will serve as the First Assistant to the U.S. Attorney.  David Goldberg was appointed Senior Litigation Counsel.  Nancy Hess will serve as Criminal Chief, Kathryn Drey as Civil Chief, Karen Rhew-Miller as Appellate Chief, and Eric Mountin as Deputy Criminal Chief.  This group brings a wealth of experience, skill, and knowledge to the management team and looks forward to serving law enforcement and the citizens of North Florida under U.S. Attorney Keefe’s guidance.

The United States Attorney's Office for the Northern District of Florida is one of 94 offices that serve as the nation’s principal litigators under the direction of the Attorney General.  To access public court documents online, please visit the U.S. District Court for the Northern District of Florida website.  For more information about the United States Attorney’s Office, Northern District of Florida, visit http://www.justice.gov/usao/fln/index.html.

Florence, South Carolina ---- United States Attorney Sherri A. Lydon announced today that John Henry Johnson, age 68, of Myrtle Beach, South Carolina, was convicted by a federal jury after three days of trial during the lapse in government appropriations.  The jury found Johnson guilty of one count of conspiracy to distribute heroin and two counts of the attempted distribution of heroin in January and February of 2017.  Johnson faces up to 30 years in federal prison as a result of these convictions. 

The evidence presented at trial revealed that the DEA and the FBI, working in conjunction with state and local law enforcement, began investigating a drug trafficking organization whose members operated in Myrtle Beach, North Myrtle Beach, Atlantic Beach, and Florence, South Carolina, and in southern North Carolina.  Some members of this organization were members of a national criminal gang that sells drugs and firearms, and commits violence to generate illegal revenue.  These gang members worked with other non-gang members of the drug trafficking organization, including Johnson, to enhance profits they made from the sale of heroin, cocaine, fentanyl, and marijuana.

Targeting drug distribution activity and related violent crime in the Myrtle Beach area, federal and state law enforcement agencies engaged in an investigation lasting over two years and used wire and electronic intercepts and other investigative techniques to identify members of this organization, including Johnson.

The evidence showed that Johnson was a mid-level heroin distributor who purchased heroin and fentanyl from the organization’s main source of supply for drugs.  During his participation in the organization, Johnson sold thousands of dollars’ worth of heroin and fentanyl to his customers, sometimes meeting his supplier in the parking lot of drug rehabilitation facilities to buy heroin and fentanyl to sell to his customers. 

The investigation was conducted by the FBI, the DEA, the Horry County Sheriff’s Office, the Horry County Police Department, the Myrtle Beach Police Department, the North Myrtle Beach Police Department, and the Georgetown Police Department.  Assistant U.S. Attorney Justin Holloway from the Florence office and Assistant U.S. Attorney Andy Moorman from the Greenville office prosecuted the case.

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