United States Attorney Ron Parsons announced that a California man convicted of Interstate Communications of Threats to Injure was sentenced on February 4, 2019, by U.S. District Judge Roberto A. Lange.

Zackary Anthony Mitchell, age 23, was sentenced to time served through February 6, 2019, 1 year of supervised release, and a special assessment to the Federal Crime Victims Fund in the amount of $100. As part of the supervised release plan, he will return to California and be on home confinement to his father’s home for 5 months.

Mitchell was indicted by a federal grand jury on October 16, 2018.  He pled guilty on January 3, 2019.

The conviction stemmed from an incident that occurred between December 23, 2017, and January 14, 2018, when Mitchell repeatedly texted the victim threatening harm and injury to her and threats of killing her family.

This case was investigated by the Federal Bureau of Investigation.  Assistant U.S. Attorney Michael J. Elmore prosecuted the case.

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

United States Attorney Ron Parsons announced that a St. Francis, South Dakota, woman convicted of Involuntary Manslaughter and Criminal Contempt was sentenced on February 4, 2019, by U.S. District Judge Roberto A. Lange.

Omalewin Neck, age 25, was sentenced to 36 months in federal prison for Involuntary Manslaughter, and 2 months in federal prison for Criminal Contempt, with the sentences to be served consecutively, followed by 3 years of supervised release.  Neck was also ordered to pay a special assessment to the Federal Crime Victims Fund in the amount of $110, and to pay restitution of $1,500.  Additional restitution may apply.

Neck was indicted by a federal grand jury on the Involuntary Manslaughter charge on January 17, 2018.  She pled guilty on August 7, 2018. 

The Involuntary Manslaughter conviction stemmed from an incident that occurred near St. Francis on the evening of October 1, 2017.  On that date, Neck had been consuming alcohol, and was driving a car northbound on BIA 1 south of St. Francis.  The victim, an adult female, was seated in the front passenger seat.  As Neck approached St. Francis at a high rate of speed, she lost control of the vehicle and left the roadway.  The vehicle rolled multiple times, causing Neck and the victim to be ejected from the vehicle.  The victim died as a result of injuries suffered in the wreck. Neck sustained serious injuries in the wreck and was hospitalized. 

On December 1, 2018, Neck was in custody pending sentencing for Involuntary Manslaughter, and was granted a furlough to attend a funeral.  She did not go to the funeral and instead went to the Ft. Randall Casino Hotel in Lake Andes, South Dakota, and consumed alcoholic beverages.  She was arrested later that day at the Ft. Randall Casino Hotel.  Based on the foregoing, on December 11, 2018, Neck was indicted by a federal grand jury on the Criminal Contempt charge.  She pled guilty on January 23, 2019.

The cases were investigated by the Rosebud Sioux Tribe Law Enforcement Services, the U.S. Marshals Service, and the Yankton Sioux Tribe Law Enforcement Services.  Assistant U.S. Attorney Kirk Albertson prosecuted the cases.   

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

Jacksonville, Florida – U.S. District Judge Timothy J. Corrigan has sentenced Christine Alyce Slayman (28, Jacksonville) to 40 years in federal prison for producing child pornography. Slayman was ordered to serve a life term of supervision, following her release from prison. She had pleaded guilty to two counts of producing child pornography on August 30, 2018.

According to court documents, over a several month period in 2015, Slayman sexually abused a 6-year-old child in King William, Virginia. She recorded the abuse using her cellphone. The Jacksonville Sheriff’s Office found the videos in Slayman’s Jacksonville home, after receiving a tip. Slayman had filmed herself engaged in sexual activity with the child, which included Slayman directing the child to engage in sex acts. Federal agents located 18 different video files of Slayman sexually abusing the child.

“While today’s sentencing marks an end to the investigation and prosecution of this criminal, it is important to remember that a child will carry the scars of this crime for their lifetime,” said HSI Tampa Special Agent in Charge James C. Spero.

This case was investigated by U.S. Immigration and Customs Enforcement’s Homeland Security Investigations and the Jacksonville Sheriff’s Office. It was prosecuted by Assistant United States Attorneys Kelly S. Karase and Ashley Washington.

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 United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS), 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.justice.gov/psc.

NORFOLK, Va. – A previously convicted felon was sentenced today to seven years in prison for possession with intent to distribute heroin and being a felon in possession of a firearm.

According to court documents, Earl Jerome Joyce, 34, of Norfolk, was stopped for speeding by Norfolk Police in December 2017. During the stop a detective observed marijuana in plain view and Joyce was arrested. Police searched the vehicle and the other passengers and located approximately $82,000 in cash in the possession of the two passengers. After Joyce was transported to the Norfolk Police station, police discovered a plastic bag containing approximately 14 grams of heroin on the floorboard where Joyce had been seated.

While NPD was conducting surveillance outside Joyce’s residence in Norfolk, they observed a man and woman arrive in separate vehicles and enter Joyce’s residence. The man later exited Joyce’s residence carrying a safe, which Norfolk Police later discovered contained three loaded pistols, two of which were stolen. The woman later admitted to leaving Joyce’s residence with a large money-counting machine and a digital scale with drug residue.

Joyce was previously convicted of felony distribution of heroin in Norfolk Circuit Court.

This case is part of Project Safe Neighborhoods (PSN), which is the centerpiece of the Department of Justice’s violent crime reduction efforts.  PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.

G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, Michael K. Lamonea, Assistant Special Agent in Charge of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) Norfolk, and Larry D. Boone, Chief of Norfolk Police, made the announcement after sentencing by Senior U.S. District Judge Henry Coke Morgan, Jr. Assistant U.S. Attorney Darryl J. Mitchell prosecuted 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. 2:18-cr-130.

Earlier today, at the federal courthouse in Brooklyn, Andres Lopez Elorez, a veterinarian who surgically implanted liquid heroin in puppies on behalf of Colombian drug traffickers, was sentenced by United States District Judge Sterling Johnson, Jr. to 72 months’ imprisonment.  In September 2018, Elorez pleaded guilty to conspiring to import heroin into the United States.  Upon completion of his sentence, the defendant will be deported.

Richard P. Donoghue, United States Attorney for the Eastern District of New York, and Ray Donovan, Special Agent-in-Charge, Drug Enforcement Administration, New York Division (DEA), announced the sentence.

“Every dog has its day, and with today’s sentence, Elorez has been held responsible for the reprehensible use of his veterinary skills to conceal heroin inside puppies as part of a scheme to import dangerous narcotics into the United States,” stated United States Attorney Donoghue.  “This Office and our law enforcement partners will continue to investigate and prosecute drug trafficking organizations, operating here and abroad, to reduce the availability of opioids and save American lives.”  Mr. Donoghue extended his grateful appreciation to the U.S. Drug Enforcement Administration, New York and Miami Divisions and Bogota and Madrid Country Offices; the United States Marshals Service; the Colombian National Police; the Government of Spain and the Spanish Guardia Civil for their assistance in the investigation, extradition and prosecution. 

“This sentencing closes the case on a trafficking organization that used live puppies to smuggle drugs from Colombia to New York,” stated DEA Special Agent-in-Charge Donovan.  “Today, the veterinarian responsible for surgically implanting packets of liquid heroin in puppies has been sentenced to 72 months in federal prison.  I commend our law enforcement partners and U.S. Attorney’s Office, Eastern District of New York, for their diligent efforts throughout this 14-year investigation.”   

According to court filings and facts presented during court proceedings, Elorez and his co-conspirators, based in Colombia, smuggled heroin into the United States using various methods to conceal the narcotics from law enforcement.  Specifically, between September 8, 2004 and January 1, 2005, Elorez leased a farm in Medellin, Colombia, where he secretly raised dogs and surgically implanted bags of liquid heroin in nine puppies for importation into the United States.  On January 1, 2005, law enforcement searched the farm and seized 17 bags of liquid heroin weighing nearly three kilograms, including 10 bags that were removed from the puppies.  Three of the puppies died after they contracted a virus following the surgeries. 

Elorez was a fugitive until he was arrested in Spain in 2015.  Elorez was extradited to the United States in May 2018.

The government’s case is being handled by the Office’s International Narcotics and Money Laundering Section.  Assistant United States Attorneys Nathan D. Reilly and Alicia N. Washington are in charge of the prosecution.

The Defendant:

ANDRES LOPEZ ELOREZ
Age:  39
Country of Birth: Colombia

E.D.N.Y. Docket No. 05-CR-835 (SJ)

Portland, Maine:  United States Attorney Halsey B. Frank announced thatSean Trim, 33, of Stoughton, Massachusetts, and Tishon Singh, 28, of Queens, New York, were sentenced in U.S. District Court on credit card fraud charges.  On January 25, 2019, Chief Judge Jon D. Levy sentenced Trim to 40 months in prison and 3 years of supervised release for using a counterfeit credit card, possessing 15 or more counterfeit credit cards and conspiracy to commit credit card fraud. Trim was also ordered to pay over $23,000 in restitution.  Yesterday, Chief Judge Levy sentenced Singh to 11 months in prison and 3 years of supervised release for using a counterfeit credit card and possessing 15 or more counterfeit credit cards.  The Court deferred for 90 days its determination about the amount of restitution Singh will be ordered to pay.  Trim pled guilty on June 21, 2018.  Singh pled guilty on May 11, 2018.

Court records reveal that between November 2016 and February 2017, Trim and Singh conspired to commit credit card fraud.  On January 6, 2017, officers from the Windham Police Department conducted a traffic stop of a car occupied by Trim and Singh.  Inside the car, the officers found a black toiletry bag containing over 160 credit cards, many of which were counterfeit.  Subsequent investigation revealed that both men had used counterfeit credit cards to make purchases at a Hannaford Store in North Windham.  On February 16, 2017, law enforcement executed a search warrant at a residence in Stoughton, Massachusetts, that was occupied by Trim and Singh.  The police seized from the residence over 500 counterfeit credit cards, materials used for manufacturing counterfeit credit cards, nearly $7,000 in cash, and laptop computers and a thumb drive that contained credit card data.

This case was investigated by the U.S. Secret Service, the Windham and Biddeford, Maine Police Departments, and the Stoughton, Massachusetts Police Department. 

A San Antonio couple that was the most prolific dark net fentanyl vendor in the world at the time of their arrest last year were sentenced to prison.

Matthew Roberts, 36, was sentenced to 135 months in federal prison. Holly Roberts, 35, was sentenced to 96 months in federal prison.

The Roberts’ operated MH4LIFE and a variety of other dark net marketplace accounts. They previously pleaded guilty to conspiracy to distribute controlled substances, money laundering, identity theft and other crimes.

According to court documents:

The Roberts’ created and operated several dark net marketplace accounts, including MH4LIFE, TRAPPEDINTIME, FASTFORWARD and MRHIGH4LIFE. They operated these accounts on nearly a dozen dark net marketplaces including Dream Market, Silk Road, AlphaBay, Darknet Heroes League, Nucleus and several others.

They used these accounts between 2013 and May 12, 2018 to possess and distribute fentanyl, MethoxyAcetylFentanyl (MAF), other fentanyl analogues, heroin, cocaine, methamphetamine, MDMA, LSD, marijuana, Xanax, Oxycodone and other drugs.

The Roberts’ MH4LIFE vendor account on Dream Market had 2,800 verified transactions with a 4.89/5 rating as of May 2018. Dream listed that MH4LIFE had 500 verified transactions on the Agora marketplace and 719 transactions on the Nucleus marketplace. The only products listed for sale by MH4LIFE were illegal narcotics. The majority of available reviews detailed customers purchasing fentanyl and fentanyl analogues.

MH4LIFE had the highest number of verified transactions worldwide of any fentanyl vendor based upon a review of Dream Market.

The Roberts’ used private messaging, encryption software, Virtual Private Networks and proxies through the TOR network to provide security for the criminal organization. They used decoys, such as glow bracelets and other mundane items, to hide the fact they were mailing narcotics. They also purchased postage from third parties with cryptocurrency in an effort to conceal their activities.

Customers used digital currency to purchase narcotics, which the defendants sent to digital currency exchanges, where the funds were converted into official fiat currency and spent on person goods and services, as well as prepaid Visa and gift cards. The Roberts’ also used advanced identity theft techniques to hide their identity from cryptocurrency and other financial institutions, in order to thwart Know Your Customer protocols.

At the time of arrest, law enforcement found Matthew Roberts in a hotel room surrounded by fentanyl, other narcotics, devices used to access the dark net, cryptocurrency wallets, drug ledgers and cash. Holly Roberts was found in their home, which also contained drug ledgers and narcotics.

“The mechanics of drug dealing has changed, and law enforcement has changed with it,” U.S. Attorney Justin E. Herdman said. “These cases demonstrate that those who think they are hiding behind a cloak of anonymity on the dark net will be uncovered and brought to justice for selling the drugs killing our friends and neighbors.”

“This investigation and today’s sentencing marks a final blow to what we now know was one of the largest fentanyl distributors operating on the dark web,” said Homeland Security Investigations Special Agent in Charge Steve Francis. “As this case makes clear, HSI and our partners are united in our resolve to protect our communities and our country from the scourge of drug trafficking. We stand ready to use every tool and resource at our disposal to attack and dismantle these organizations, regardless of where they operate.”

“The U.S. Postal Inspection Service is fully dedicated to protecting the American public,” said Inspector in Charge Tommy D. Coke.  “One of the ways we fulfill this mission is by working tirelessly with other law enforcement agencies in operations just like this one to keep dangerous drugs out of the communities we serve.”

"The Roberts’ utilized the dark web in an attempt to keep their dangerous drug dealing behavior hidden from law enforcement,” said FBI Special Agent in Charge Eric B. Smith. “This significant sentence should serve as notice to anyone dealing illegal drugs online that law enforcement will join efforts and bring their reign to an end."

These cases are the result of Operation Darkness Falls, a joint investigation involving Homeland Security Investigations, U.S Postal Inspection Service, the FBI and the Internal Revenue Service – Criminal Investigations. Federal agents around the country, including in the Western District of Texas, Western District of Pennsylvania, Middle District of Florida and elsewhere, have assisted in the ongoing operation.

These cases are being prosecuted by Assistant U.S. Attorney Matthew J. Cronin and Daniel J. Riedl.

          A known member of the Callejones Escondidos Sureños (CES), a violent street gang based in King County’s South Park neighborhood, was sentenced today in U.S. District Court in Seattle to 66 months in prison, announced U.S. Attorney Brian T. Moran. MARIO PARRA-CETINO, 28, of Kent, Washington pleaded guilty to conspiracy to distribute heroin and being a felon in possession of a firearm.  PARRA-CETINO dealt drugs while he was on state probation for domestic violence, including residential burglary, assault, and harassment.  At the sentencing hearing U.S. District Judge James L. Robart said this defendant “seems to have no respect for the law... distributing heroin, with children in close proximity.  When arrested he ran from police with a handgun in his pocket.”

            “Under the guise of being a devoted father, this defendant pedaled heroin throughout south King County – putting a child at risk of exposure to heroin and the violence that comes with drug dealing,” said U.S. Attorney Brian T. Moran.  “Federal and local law enforcement have joined forces in a concerted effort to target gang and gun violence in King County.  These successful prosecutions are taking dangerous felons off the streets.”

            According to records filed in the case, PARRA-CETINA was identified for federal prosecution after he was arrested for illegally possessing a firearm in June 2017, shortly after his release from prison.  While that state charge was pending, PARRA-CETINA repeatedly sold heroin to a person working with law enforcement.  On August 9, 2018, PARRA-CETINA was arrested while headed to a drug deal, with a 22-month old child riding in the car.  In front of the child’s car seat was 65 grams of heroin.  In the child’s diaper bag, adjacent to a sippy cup, officers found another 72 grams of heroin.  A search of PARRA-CETINA’s residence turned up two firearms as well as additional heroin.

           PARRA-CETINA was arrested in Operation East Watch.  All eight defendants in Operation East Watch have pleaded guilty.  Three of the eight await sentencing later this year.

• Anthony Ripley, 46, of Tacoma, was sentenced in November 2018, to ten years in prison for drug and gun possession crimes. 
• Eddie Tarik Musa Bell, Jr was sentenced in November to four years in prison for distribution of methamphetamine and being a felon in possession of a firearm.
• Devon Parramore, 50 of Kent, was sentenced last month to 33 months in prison for distribution of methamphetamine.
• Allen Betts III, 40, of Kent, pleaded guilty of conspiracy to distribute methamphetamine and unlawful possession of a firearm and was sentenced last month to four years in prison.
• Anthony Colbert, 48, of Seattle, pleaded guilty to conspiracy to distribute methamphetamine and is scheduled for sentencing February 22, 2019.
• Neal Stringer, 46, of Kent and Des Moines, pleaded guilty to conspiracy to distribute methamphetamine and being a felon in possession of a firearm. He is scheduled for sentencing in April 2019.
• Kenyon Taylor, 39, of Federal Way, pleaded guilty in December 2018, to distribution of methamphetamine and possession of a firearm in furtherance of a drug trafficking crime. He is scheduled sentencing in March 2019.

          This case was brought as part of Project Safe Neighborhoods (PSN), a program that has been historically successful in bringing together all levels of law enforcement to reduce violent crime and make our neighborhoods safer for everyone.   The Department of Justice has made turning the tide of rising violent crime in America a top priority.   In October 2017, as part of a series of actions to address this crime trend, DOJ leadership announced the reinvigoration of PSN and directed all U.S. Attorney’s Offices to develop a district crime reduction strategy that incorporates the lessons learned since PSN launched in 2001.

          The operation was led by the Bureau of Alcohol, Tobacco, Firearms & Explosives’ (ATF) Puget Sound Regional Crime Gun Task Force and the Kent Police Department.  The task force contains agents and officers from King County Sheriff’s Office, Washington State Department of Corrections, Washington State Patrol, Drug Enforcement Agency, U.S. Marshals Service, Seattle Police Department, and Valley Narcotics Enforcement Team.

            The cases are being prosecuted by Assistant United States Attorney Amy Jaquette and Special Assistant United States Attorney Jessica Manca. Ms. Manca is a Senior Deputy King County Prosecutor specially designated to prosecute gun crimes in federal court.

“When offenders attack law enforcement officers, they attack the individuals who protect us and help maintain law and order in our nation.  Each account of a fallen officer is an indescribable tragedy for the family, colleagues, and friends of the officer.  As community members, we share this pain and sense of loss.  Unfortunately, the headlines describing these attacks are becoming all too common.  In Utah, officers are no less immune to violence than those injured in recent weeks in Houston and Denver; or those who lost their lives in Sacramento and Mobile in January or in Milwaukee this week. 

“Utah officers David Romrell of South Salt Lake and Joseph Shinners of Provo offered the ultimate sacrifice for our state and nation in December and January. These tragedies do not need to happen.  Their families should not have to bear this heavy burden.  As a nation, state, and community, we cannot tolerate attacks on those who protect our property and us.  We must work together for answers to help curb violence against law enforcement officers.

“I am joining a chorus of other United States Attorneys across our nation to renew our pledges this week to support the men and women of law enforcement, to remember their sacrifices, and to hold accountable those who dare focus violence upon them.  In Utah, we should look for opportunities to express gratitude to law enforcement officers; and to encourage respect for them in our communities and within our families.  Law enforcement professionals protect us every day.  We should return the favor and have their backs, too.  #BackTheBlue.”

NEW BERN— The United States Attorney for the Eastern District of North Carolina, Robert J. Higdon, Jr., announced that today, United States District Judge Louise W. Flanagan sentenced Travis Ladon Fulton, 42, of Fayetteville to 117 months’ imprisonment, followed by 5 years of supervised release.  On October 17, 2018, FULTON pled guilty to three counts: possession with intent to distribute quantities of heroin, cocaine, and marijuana; possession of a firearm in furtherance of a drug trafficking crime; and possession of a firearm by a convicted felon. 

In August 2017, the Fayetteville Police Department learned through a confidential informant that FULTON was selling controlled substances out of a house in Fayetteville.  Over the course of the next few weeks, law enforcement successfully directed the informant to make three controlled buys of drugs from FULTON at the residence – the first two of heroin and the third of cocaine.  

On October 5, 2017, members of the Fayetteville Police Department executed a search warrant at the residence.  Hidden in a small popcorn machine, officers found quantities of cocaine, crack cocaine, heroin, and marijuana.  Officers found several other drug-related items throughout the kitchen: a digital scale with cocaine residue, Suboxone and Fentanyl patches, a razor blade knife with cocaine residue, and both unused and torn plastic sandwich bags.  In a tool bag by the front door, officers found a loaded Glock .40 caliber handgun.  The confidential informant had described seeing FULTON with the gun during one of the controlled buys.  It had previously been reported to law enforcement as having been stolen. 

This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone.   Since 2017 the United States Department of Justice has reinvigorated the PSN program and has targeted violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.

That effort has been implemented through the Take Back North Carolina Initiative of The United States Attorney’s Office for the Eastern District of North Carolina.  This initiative emphasizes the regional assignment of federal prosecutors to work with law enforcement and District Attorney’s Offices on a sustained basis in those communities to reduce the violent crime rate, drug trafficking, and crimes against law enforcement.

The investigation of this case was conducted by the Fayetteville Police Department, and the Bureau of Alcohol, Tobacco, Firearms & Explosives (ATF).  Assistant United States Attorneys Jake D. Pugh represented the government.   

RALEIGH— The United States Attorney for the Eastern District of North Carolina, Robert J. Higdon, Jr., announced that today, Chief United States District Judge Terrence W Boyle sentenced Cheyne Martin Potrafka, 35, of Burgaw to 220 months’ imprisonment, followed by a lifetime of supervised release.  POTRAFKA pled guilty to one count of receipt of child pornography on November 1, 2018. 

The charge arose from a state probation search.  On August 9, 2016, Potrafka began a term of state post-release supervision, following a 2013 conviction on two counts of Indecent Liberties with a Child in Pender County Superior Court.  Not long after POTRAFKA began post-release supervision, his probation officer became concerned about POTRAFKA’s compliance.  Specifically, the officer learned that POTRAFKA admitted during sex-offender treatment to having sexually abused multiple children in the past and that members of Potrafka’s church had begun complaining about him lingering near children.

On March 1, 2017, probation conducted a warrantless search of POTRAFKA’s residence, pursuant to the terms of his supervision agreement.  His computer and hard drives were examined on site and found to contain over 150 images and a video of child pornography.  A later forensic examination revealed additional files that had been deleted.  In an interview, Potrafka admitted to possessing child pornography.  He also admitted to sexually abusing approximately 14 children during his lifetime, describing in detail the multiple incidents of past sexual abuse. 

Mr. Higdon commented: “Cases like this one are among the most important we handle as federal prosecutors.  This case alone revealed how pervasive this problem is and how offenders like this defendant often leave many victims in their wake-here, by the defendant’s own admission, 14 children plus those victimized in the videos and pictures he possessed.  The Justice Department remains firmly committed to protecting our most vulnerable citizens-our children, by aggressively investigating and prosecuting these cases wherever we find them.”

This case is part of the Project Safe Childhood initiative, a national program aimed at ensuring that criminals exploiting children are effectively prosecuted by making full use of all available law enforcement resources at every level.  For more information about this important national initiative, go to www.projectsafechildhood.gov.

The investigation of this case was conducted by the Pender County Sheriff’s Office, the North Carolina State Bureau of Investigation, and the Federal Bureau of Investigation.  Assistant United States Attorney Jake D. Pugh represented the government.    

PITTSBURGH, PA – A Beaver County resident has been charged in a Superseding Indictment by a federal grand jury in Pittsburgh, Pennsylvania, with violating federal narcotics laws, United States Attorney Scott W. Brady announced today.

The eight-count Superseding Indictment, returned on Feb. 5, named Rickee Dawkins, 52, of Aliquippa, PA, as the sole defendant.

According to the Superseding Indictment, from July 2016 to July 2017, in the Western District of Pennsylvania, Dawkins conspired to distribute and possess with intent to distribute a quantity of cocaine. In addition, on various dates during the course of the conspiracy, Dawkins distributed and possessed with intent to distribute quantities of cocaine.

The law provides for a maximum total sentence of 20 years in prison, a fine of $1,000,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.

Assistant United States Attorney Robert C. Schupansky is prosecuting this case on behalf of the government.

This prosecution is part of a long-term investigation by the FBI Greater Pittsburgh Safe Streets Task Force (GPSSTF), which targeted a large scale Drug Trafficking Organization operating in Butler, Beaver and Allegheny Counties. The GPSSTF is comprised of dedicated law enforcement professionals from the Wilkinsburg Police Department, Pennsylvania Attorney General’s Bureau of Narcotics Investigations, Allegheny County Sheriff’s Office, Allegheny County Police Department, Pittsburgh Bureau of Police and the FBI. The GPSSTF and the United States Attorney’s Office, Western District of Pennsylvania, would like to recognize the significant contributions made to this investigation by the Pennsylvania State Police, United Sates Postal Inspection Service, Cranberry Township Police Department and the New Brighton Police Department. The Department of Homeland Security Investigators also assisted in the investigation leading to the Superseding Indictment in this case.

This 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.

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

BOSTON – A Bedford, Mass. man was arrested late last night on a federal arrest warrant in Key West, Fla., and charged in connection with a kidnapping that began in Concord, Mass., and ended in Connecticut.

Julian Field, 24, was charged with one count of kidnapping and will appear in federal court in Key West, Fla., on Friday, Feb. 8, 2019. Field will be brought to Massachusetts at a later date.

According to court documents, on the evening of Feb. 3, 2019, Field broke into the home of a Concord resident and forced the victim to drive him to a train station in Connecticut, first stopping in Springfield, Mass., to attempt to procure illegal drugs.  Field ultimately allowed the victim to leave. Authorities subsequently tracked Field to Florida, where he was arrested. 

The charge of kidnapping provides for a sentence of up to life in prison, up to five years of supervised release and a fine of $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.

United States Attorney Andrew E. Lelling; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation Boston Field Division; Concord Police Chief Joseph O’Connor; and Bedford Police Chief Robert Bongiorno made the announcement today. FBI Miami and the Monroe County (FL) Sheriff’s Office provided valuable assistance with the investigation. Assistant U.S. Attorney Anne Paruti with Lelling’s Criminal Division is prosecuting the case.

The details contained in the charging documents are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.

Geoffrey S. Berman, the United States Attorney for the Southern District of New York, James P. O’Neill, the Commissioner of the New York City Police Department (“NYPD”), Ruth M. Mendonça, Acting Inspector-in-Charge of the New York Field Division of the United States Postal Inspection Service (“USPIS”), and Angel M. Melendez, the Special Agent-in-Charge of the New York Field Office of United States Immigration and Customs Enforcement’s Homeland Security Investigations (“HSI”), announced today that DANIEL BORER and JOSEPHINE McLAUGHLIN, who is an employee of the United States Postal Service, have been charged with importing synthetic cannabinoids from China and then using them to manufacture and distribute massive wholesale quantities of smokeable synthetic cannabinoids (“SSC”) throughout the United States.  Both defendants were arrested this morning, and will be presented this afternoon before United States Magistrate Judge David H. Hennessey in Boston, Massachusetts.  The case has been assigned to United States District Judge Naomi Reice Buchwald.  In addition, Mr. Berman announced today that JONATHAN RIENDEAU, who operated several websites on which he sold SSC, pled guilty and is cooperating with the Government.

U.S. Attorney Geoffrey S. Berman said:  “Trafficking of synthetic cannabinoids – sometimes called K2 or Spice – poses a serious threat to public health and safety.  Packaged attractively to appeal to teenagers and young adults, synthetic cannabinoids are in reality a toxic cocktail that can be very dangerous to consume.  As alleged, Daniel Borer and Josephine McLaughlin imported massive quantities of synthetic cannabinoids and distributed them in smokeable form to retail dealers throughout the United States.  Thanks to our law enforcement partners, Borer and McLaughlin have been arrested and their dangerous business has been dismantled.”

USPIS Acting Inspector in Charge Ruth M. Mendonça said:  “Josephine McLaughlin’s alleged violation of the employee code of conduct and ethics rules is appalling.  As an employee, she is entrusted to uphold the sanctity of the U.S. Mail and her alleged breach of trust has led to today’s arrest.  United States Postal Inspectors are committed to protecting the U.S. Mail and will ensure that those who violate this sanctity are brought to justice.”

HSI Special Agent-in-Charge Angel M. Melendez said:  “These two defendants are alleged to distribute large quantities of synthetic cannabinoids, a dangerous product that could affect the brain much more powerfully than marijuana.  When it comes to a synthetic drug, it is rarely a harmless alternative.  Borer and McLaughlin are now out of business, making the communities we serve that much safer.”

According to the allegations in the Superseding Indictment[1]:

From at least February 2014 until February 2019, BORER and McLAUGHLIN operated a scheme to import synthetic cannabinoids from China and then use them to manufacture and distribute massive wholesale quantities of SSC, containing controlled substances and controlled substance analogues, throughout the United States.  SSC, which can be addictive, are often marketed as safe, legal alternatives to marijuana.  In fact, SSC are not safe and may affect the brain much more powerfully than marijuana; their actual effects can be unpredictable and, in some cases, more dangerous or even life-threatening.

BORER and McLAUGHLIN shipped SSC, colloquially referred to as “K2” or “Spice,” through the U.S. Mail to locations throughout the Unitd States.  Some of the SSC distributed by the scheme were branded with colorful graphics and distinctive names, including “Dead Man Walking,” “Klimax,” “Zero Gravity,” “Twilite,” “Psycho,” and “Get Real.”  The branded SSC were sometimes marked “not for human consumption,” or “potpourri.”  Other of the SSC were distributed in bulk quantities. 

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On January 31, 2019, JONATHAN RIENDEAU, 38, of Port Saint Lucie, Florida, pled guilty before Judge Buchwald to six counts: three counts of conspiracy unlawfully to distribute controlled substances and controlled substance analogues; two counts of unlawful importation of controlled substances and controlled substance analogues; and one count of unlawfully distributing a controlled substance.  Each count carries a maximum sentence of 20 years in prison. 

BORER, 42, of Adams, Massachusetts, and McLAUGHLIN, 65, of Stoneham, Massachusetts, are each charged with three counts of conspiring unlawfully to import and distribute controlled substances and controlled substance analogues.  Each count carries a maximum sentence of 20 years in prison.  The maximum potential sentences in this case are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendants will be determined by the judge.  

Mr. Berman praised the outstanding investigative work of NYPD, USPIS, and HSI, and thanked the United States Postal Service’s Office of the Inspector General, the Berkshire County (Massachusetts) Law Enforcement Taskforce, the Berkshire County (Massachusetts) District Attorney’s Office, and the Massachusetts State Police for their assistance.  The long-term investigation of this case was partially funded by the New York/New Jersey High Intensity Drug Trafficking Area (“HIDTA”), which is a federally funded crime fighting initiative and part of the Organized Crime Drug Enforcement Task Force program.

The prosecution is being handled by the Office’s Narcotics Unit.  Assistant United States Attorney Robert B. Sobelman is in charge of the prosecution. 

The charges contained in the Superseding Indictment are merely accusations, and the defendants are presumed innocent unless and until proven guilty.

NEW ORLEANS –  U.S. Attorney Peter G. Strasser announced that PASCAL CALOGERO, III, age 59, a resident of Metairie, Louisiana, pleaded guilty yesterday before United States District Judge Sarah S. Vance to the one-count bill of information pending against CALOGERO, which charged him with conspiracy to commit sex trafficking of a minor, in violation of 18 U.S.C. ' 1594(c).

          CONCORD – Kenneth Dunn, 60, of Nashua, was sentenced to 36 months of probation and 6 months of home confinement for making false statements to obtain federal employee disability benefits, announced United States Attorney Scott W. Murray.

          The United States Department of Labor, Office of Workers’ Compensation Program (“OWCP”) provides workers’ compensation benefits to employees of the federal government, including the United States Postal Service (USPS), who are totally or partially disabled due to injuries sustained during the course of their employment.  While receiving the benefits, a disabled employee is required to report all employment for which he or she received a salary, wage, or payment of any kind in annual reports submitted to the OWCP.  A disabled employee is also required to provide documentation from a medical doctor to demonstrate his or her continued eligibility for the benefits and report any improvements to his or her physical condition.

           According to documents and statements made in court, Dunn was hired as a Rural Letter Carrier in April 1985.  In November 2010, Dunn began to receive OWCP disability benefits due to employment-related injuries to his neck, back, and arm.  While receiving the disability benefits, Dunn repeatedly reported to the OWCP that was not able to work in any capacity and he was not engaged in any employment activity.

          However, from 2010 through 2017, Dunn conducted thousands of transactions related to the purchase and sale of comic books on the internet, and failed to report the business activity to the OWCP.  In addition, on several occasions from October of 2016 to February of 2018, a Special Agent from the Office of Inspector General for the USPS observed Dunn engaged in physical activities inconsistent with his reported symptoms and alleged total disability.  The activities included: entering and exiting his car; clearing substantial amounts of snow off, and from around, his car; driving; walking up and down a flight of 30 stairs; conducting personal and business-related errands for several hours; and lifting and carrying items of various size, shape, and weight.  Dunn was able to perform these tasks without any apparent physical limitation, pain, or discomfort and in conflict with medical documentation from Dunn’s treating physician.

          At a Comicon event in Manchester on September 17 and 18, 2016, Dunn set up a vendor booth and repeatedly bent over to place or pick up large boxes filled with comic books.  He set up and dismantled a comic book display, sold comic books for cash, and stood and sat for long periods without any apparent physical limitation or discomfort.  Dunn repeated the same activities at the Comicon event in Manchester on September 16 and 17, 2017.

          The court documents also reveal that Dunn provided false information about his physical condition to a doctor in February 2017 and March 2018, and false information about his physical condition and work-history to the OWCP in February 2017 and 2018 in order to receive the disability benefits.  Because of this fraudulent conduct, Dunn received disability benefits totaling $87,736 from September of 2016 through July of 2018.

          Dunn pleaded guilty on September 20, 2018.

          “Workers’ compensation benefits are an important source of financial support for people who are truly unable to work due to their disabilities,” said U.S. Attorney Murray.  “Those who seek to defraud the workers’ compensation system undermine the integrity of the program in an effort to obtain benefits they do not deserve.  Federal law enforcement agencies will remain vigilant to detect and prosecute fraudsters, ensuring that benefits only go to those who deserve to receive them.” 

          “The federal Workers’ Compensation program was created to help those who are recovering from injuries obtained on-the-job,” stated USPS-OIG Special Agent-in-Charge Matthew Modafferi.  “When a former Postal Service employee defrauds the Workers' Compensation program, the Special Agents of the U.S. Postal Service Office of Inspector General will work tirelessly with the U.S. Attorney’s Office to protect the integrity of this federal benefit program.”

          The case was investigated by the United States Postal Service, Office of Inspector General.  The case is being prosecuted by Assistant U.S. Attorney Robert M. Kinsella.

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Six people from Ohio were indicted in federal court for their roles in a health care fraud conspiracy in which Medicaid was billed $48 million for drug and alcohol recovery services which were not provided, not medically necessary, lacked proper documentation, or had other issues that made them ineligible for reimbursement.

Named in the 60-count indictment unsealed in U.S. District Court in Cleveland are: Ryan P. Sheridan, 38, of Leetonia; Jennifer M. Sheridan, 40, of Austintown; Kortney L. Gherardi, 29, of Girard; Lisa M. Pertee, 50, of Sunbury; Thomas Bailey, 44, of Poland, and Arthur H. Smith, 54, of Austintown.

All six are charged with conspiracy to commit health care fraud related to their work at Braking Point Recovery Center, which operated drug and alcohol rehabilitation facilities in Austintown and Whitehall, Ohio.

Additional counts include health care fraud, money laundering, operating a drug premises, conspiracy to distribute controlled substances, use of a registration number issued to another to obtain controlled substances, and other offenses.

According to the indictment:

Ryan Sheridan was the sole owner of Braking Point Recovery Center, which operated drug and alcohol rehabilitation centers in Austintown and Whitehall, Ohio, that provided detox, intensive outpatient treatment, day treatment and residential living rehabilitation.

Sheridan also owned and operated numerous other businesses, including Breaking Point Health and Fitness LLC and Braking Point Recovery Housing LLC, which owned recovery houses (or “sober houses”) for individuals attempting to maintain abstinence from drugs and alcohol.

As part of being a certified provider, Sheridan agreed to follow the rules and regulations of the Ohio Medicaid Program and the Ohio Department of Mental Health and Addiction Services.

Between January 2015 and October 18, 2017, various defendants submitted or caused to be submitted billings to Medicaid for drug and alcohol services that were: coded to reflect a service more costly than was actually provided; without proper documentation; without proper assessment documents containing valid diagnosis; billings for patients whose records did not contain diagnosis by a physician; related to treatment at unlicensed inpatient beds; billings related to Bailey dispensing of Suboxone even though Bailey did not have the authority to do so; for case management services when, in fact, the clients were working out at Sheridan’s gym; billings based on quotas provided to the nurses by the defendants to bill four to five hours of treatment daily, even if the services were not medically necessary; billing for in-patient detox and drug treatment services that were, in fact, provided in an out-patient setting, among other violations.

Braking Point submitted approximately 134,744 claims to Medicaid for more than $48.5 million in services it claimed to provide between May 2015 and October 2017. The claims caused Medicaid to pay Braking Point more than $31 million. Medicaid suspended payments to Braking Point on October 18, 2017.

The Sheridans, Gherardi, Bailey and Smith are also accused of conspiring to develop a standard protocol of distributing the same amount of Suboxone to every patient seeking drug treatment immediately upon entering Braking Point’s detox program without being evaluated by a properly licensed physician to determine the medical necessity for the use of Suboxone.

The Sheridans, Gherardi and Bailey used Smith’s DEA data waiver license to dispense more than 3,000 doses of Suboxone in 2017 alone without Smith having seen the patients. Smith held himself out to be Braking Point’s medical director but only went to Braking Point approximately twice a month.

Ryan Sheridan is also accused of making numerous financial transactions involving money derived from unlawful activities, including health care fraud and conspiracy to commit health care fraud.

Prosecutors are also seeking for forfeit property and proceeds obtained as a result of these crimes, including nearly $3 million, property in Columbiana, Mahoning and Trumbull counties, and eight automobiles, including replicas of vehicles used in the movies “Back to the Future,” “Ghostbusters” and “Batman.”

“These defendants are accused of stealing tens of millions of dollars from taxpayers through fraudulent billing and other crimes,” U.S. Attorney Justin Herdman said. “Treatment for people struggling with drug and alcohol addiction is vitally important, but these defendants profited off the suffering of others. We will hold accountable anyone who tries to illegally take advantage of the drug epidemic.”

“Individuals who are recovering from opioid and alcohol abuse that seek assistance need to have the utmost confidence and trust in those who are providing their care”, said Lamont Pugh III, U.S. Department of Health & Human Services, Office of Inspector General – Chicago Region.  “That trust and confidence was violated by these defendant’s in order to pursue their own financial gain and waste vital taxpayer dollars. The OIG will continue to work with our federal, state and local partners to ensure that those who commit criminal acts to unjustly enrich themselves are held accountable.”

“While patients from the community were receiving treatment for their addictions, these individuals were allegedly engaged in fraudulent billing and other financial schemes to bilk taxpayers out of millions of dollars,” said FBI Special Agent in Charge Eric B. Smith. “The FBI will continue to work with our law enforcement partners and healthcare industry to identify those illegally cheating the system for the benefit of their own pockets.”

“The conduct detailed in this indictment is egregious and exposed these defendants for who they really are, thieves. They defrauded the health care system for their own personal gain," stated Ryan Korner, Special Agent in Charge, IRS-Criminal Investigation, Cincinnati Field Office. “IRS-CI is committed to collaboratively working to unravel complex fraud and money laundering schemes and ensuring those responsible are deprived of the fruits of these crimes.”

“While the vast majority of the healthcare professionals in this country are committed to saving lives, there are a few who are merely drug dealers hiding in plain view, and driven by greed,” said DEA Special Agent in Charge Timothy J. Plancon. “These arrests reiterate the Drug Enforcement Administration’s commitment to making our communities safer from illicit drugs, diverted pharmaceuticals, and fraud.”

“These scams are a sucker punch in the face to every family with loved ones struggling with addiction,” Ohio Attorney General Dave Yost said.  “We will work with our partners to achieve justice — and get our money back.”

This case was investigated by the U.S. Department of Health and Human Services – Office of Inspector General, the Federal Bureau of Investigation, the Internal Revenue Service – Criminal Investigations, the Drug Enforcement Administration and the Ohio Attorney General’s Medicare Fraud and Corruption Unit. It is being prosecuted by Assistant U.S. Attorneys Mark Bennett and Maritsa Flaherty and Special Assistant U.S. Attorney Jonathan Metzler.

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 records, if any, the defendant’s role in the offense and the characteristics of the violation.  In all cases, the sentence will not exceed the statutory maximum and in most cases it will be less than the maximum.

An indictment is only a charge, and the defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law. 

Twelve Foreign Nationals Extradited to the United States

WASHINGTON – According to court documents unsealed today, 20 people, including 16 foreign nationals, have been charged for their roles in an international organized crime group that defrauded American victims through online auction fraud causing millions of dollars in losses.

Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division, U.S. Attorney Robert M. Duncan, Jr. of the Eastern District of Kentucky, Director Randolph D. Alles of the U.S. Secret Service (USSS), Commissioner Richard W. Sanders of the Kentucky State Police, Chief of Police Lawrence Weathers of the Lexington Police Department, Chief Don Fort of IRS Criminal Investigation and Inspector in Charge Tommy Coke of the U.S. Postal Inspection Service Pittsburgh Division made the announcement.

“The defendants allegedly orchestrated a highly organized and sophisticated scheme to steal money from unsuspecting victims in America and then launder their funds using cryptocurrency,” said Assistant Attorney General Benczkowski.  “As the charges and arrests announced today demonstrate, the Criminal Division and our law enforcement partners will vigorously pursue cybercriminals who defraud the American public, regardless of where those criminals may reside.”

“This prosecution stems from a multi-year investigation initiated in Kentucky led by the U.S. Secret Service, in cooperation with several local, state, federal, and international law enforcement partners,” said U.S. Attorney Duncan.  “Cooperation of this kind is essential, if we are to be effective in disrupting organized cybercrime, which costs victims from across the United States millions of dollars and has become an increasingly prevalent means for criminals to prey on the public.  I commend the exceptional work done by our law enforcement partners, and we are proud to join this cooperative effort to combat cyber fraud schemes.”

“Today’s announcement demonstrates the success of the collaborative efforts of our worldwide network of law enforcement partners.  It sends a powerful message and demonstrates the transnational investigative capabilities of the Secret Service,” said Secret Service Director Randolph “Tex” Alles.  “This is a shared win for law enforcement across the globe.  I would like to thank the more than a dozen law enforcement agencies worldwide who helped us investigate this case, each played a vital role in its success.”

On July 5, 2018, a federal grand jury in Lexington, Kentucky returned a 24-count indictment charging 15 foreign nationals with RICO conspiracy, wire fraud conspiracy, money laundering conspiracy, and aggravated identity theft.  Those charged include Andrei-Cătălin Stoica, 28, of Romania; Victor-Aurel Grama, 29, of Romania; Liviu-Sorin Nedelcu, 33, of Romania; Ionuţ Ciobanu, 28, of Romania; Marius-Dorin Cernat, 35, of Romania; Alexandru Ion, 30, of Romania; Ştefan-Alexandru Păiuşi, 33, of Romania; Eugen-Alin Badea, 34, of Romania; Cristişor Olteanu, 31, of Romania; Adrian Mitan, 34, of Romania; Bogdan-Ştefan Popescu, 29, of Romania; Florin Arvat, 24, of Romania; Alin-Ionuţ Dobrică, 26, of Romania; Vlad-Călin Nistor, 31, of Romania, and Rossen Iossifov, 51, of Bulgaria. On Feb. 6, a federal grand jury in Lexington returned an 11-count indictment charging an additional foreign national and four Americans for their roles in the criminal enterprise. Those charged include Beniamin-Filip Ologeanu, 29, of Alexandria, Romania; Austin Edward Nedved, 27, of Northborough, Massachusetts; Dimitrious Antoine Brown, 37, of Macon, Georgia and Rashawd Lamar Tulloch, 30, of Newnan, Georgia.  Andrew Gilbert Ybarra II, 25, of Patterson, California, was also charged with conspiracy to commit money laundering.  In all, 15 Romanian nationals and one Bulgarian national were charged in these two indictments.  Of these, 12 have been extradited to the United States and are awaiting trials, which are currently set for June 18, 2019 and Aug. 7, 2019.

The indictment alleges that these defendants participated in a criminal conspiracy primarily located in Alexandria, Romania that engaged in a large-scale scheme of online auction fraud.  Specifically, Romania-based members of the conspiracy and their associates posted false advertisements to popular online auction and sales websites—such as Craigslist and eBay—for high-cost goods (typically vehicles) that did not actually exist.  According to the indictment, these members would convince American victims to send money for the advertised goods by crafting persuasive narratives, for example, by impersonating a military member who needed to sell the advertised item before deployment. The members of the conspiracy are alleged to have created fictitious online accounts to post these advertisements and communicate with victims, often using the stolen identities of Americans to do so.  They are alleged to have delivered invoices to the victims bearing trademarks of reputable companies in order to make the transactions appear legitimate.  Once victims were convinced to send payment, the indictment alleges that the conspiracy engaged in a complicated money laundering scheme wherein domestic associates would accept victim funds, convert these funds to cryptocurrency, and transfer proceeds in the form of cryptocurrency to foreign-based associates. The indictment alleges that these foreign-based money launderers include Vlad-Călin Nistor, who owns Coinflux Services SRL, and Rossen Iossifov, who owns R G Coins. According to the indictment, Nistor and Iossifov exchanged cryptocurrency into local fiat currency on behalf of the Romania-based members of the conspiracy, knowing that they were exchanging bitcoin that represented the proceeds of fraud.

Some of the fraud schemes alleged in the indictments include:

• Nedelcu persuaded victims to send money for the advertised goods by creating fictitious but legitimate sounding entities through which he purported to sell vehicles.  For example, he used email address, foiaol2015@gmail.com, belonging to Aol Autos, to communicate with victims by email with subject lines like, “America Online Autos Financial Department [Order # 099106592090].”  The email would contain messages appearing to be legitimate invoices for payment for the advertised item purported to be sold.
   
• Ciobanu and his coconspirators used the email address judithlane82@gmail.com to communicate with victims about the sale of vehicles, signing the emails as “Sgt. Judith Lane,” and created a Facebook profile for Judith Lane, who was depicted as a member of the Air Force. Ciobanu, acting as “Judith Lane,” also posted two Facebook advertisements for the sale of automobiles.
   
• Cernat and his coconspirators sent victims invoices that appeared to be from eBay Motors and provided an eBay Motors Support Department phone number and email address of ebay@processing-secure.com.  These invoices provided instructions for payment and included reassuring language for secure transactions, such as, “Through OneVanilla Prepaid Visa services we can guarantee you 100 percent protection and insurance in this transaction.  eBay Payments will secure the payment until the buyer receives, inspects, and accepts the item.  Or, if it will be the case, eBay will refund the payment to the buyer.”
   
• Păiuşi also convinced victims to send money for the advertised goods by sending them invoices for payment that appeared legitimate. … [One such] invoice appeared to be sent from “eBay^TM Buyer Protection,” provided the victim with an email address for questions, described the seller as a “certified eBay^TM  third-party seller,” and explained that the buyer will be refunded if he or she refuses the merchandise.
   
• The coconspirators then communicated with the victims via email, often signing their emails by posing as a member of the military, like “Sgt. Logan Burdick.”  Other emails purported to be from the online auction company, like eBay.  The emails often communicated convincing information about the item being sold and the reason payment was required before shipping or viewing the item. 

Adrian Mitan, who was charged in the July 5, 2018 indictment, was also charged in a separate indictment unsealed today with money laundering offenses arising from a credit card phishing and brute-force attack scheme, likewise designed to steal money from Americans.  The indictment explains that phishing is an attempt to acquire personal information by masquerading as a trustworthy entity through electronic communications, and brute force is a cryptological trial-and-error methodology used to obtain information such as personal identification numbers for credit cards. Mitan allegedly phished for credit/debit card information of U.S. customers, hacked into the electronic systems of American businesses, and then conducted a brute force attack on their point-of-sale systems for the purpose of stealing the remaining credit/debit card information.  According to the indictment, Mitan then directed American money launderers to create “dummy” credit/debit cards with the stolen information, which were used to extract money from the customers’ accounts.  These fraudulent proceeds were then returned to Mitan in the form of bitcoin.

The investigation was conducted by the U.S. Secret Service, Kentucky State Police, Lexington Police Department, IRS Criminal Investigation and U.S. Postal Inspection Service, and supported by the Justice Department’s Organized Crime Drug Enforcement Task Forces (OCDETF) and the International Organized Crime Intelligence and Operations Center (IOC-2).  Assistance was provided by the Romanian National Police (Service for Combating Cybercrime) and the Romanian Directorate for Investigating Organized Crime and Terrorism (Agency for Prosecuting Organized Crime).  The Justice Department’s Office of International Affairs provided significant support with the defendants’ extradition.  This case is being prosecuted by Assistant U.S. Attorneys Kathryn M. Anderson and Kenneth R. Taylor of the Eastern District of Kentucky and Senior Trial Attorney Timothy Flowers and Senior Counsel Frank Lin of the Criminal Division’s Computer Crime and Intellectual Property Section with assistance from the Criminal Division’s Money Laundering and Asset Recovery Section. 

Individuals believing they may be victims of the advanced fee and online auction fraud or brute-force attack schemes described herein are encouraged to visit the following website to obtain more information: https://justice.gov/usao-edky/information-victims-large-cases.  Tips to avoid becoming a victim of online auction fraud can be found here on the U.S. Secret Service’s website.            

For the RICO conspiracy and wire fraud conspiracy charges, each defendant faces up to 20 years in prison, a fine of $250,000, and three years of supervised release.  The same penalties apply to the money laundering conspiracy charges, except that the fine may be up to $500,000.  Additionally, if convicted of identity theft, Brown faces a term of 15 years in prison, a fine of $250,000, and three years of supervised release, and if convicted of aggravated identity theft, those charged face a mandatory-minimum sentence of two years in prison, to be served consecutive to any term of imprisonment ordered for the other counts of conviction. However, any sentence following a conviction would be imposed by the Court, after its consideration of the U.S. Sentencing Guidelines and the federal statutes. 

The charges in the indictment are merely allegations, and the defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.

St. Louis, MO – Larry Weeden, Jr., 39, of St. Louis, pleaded guilty to possession of one or more firearms as a previously convicted felon and possession with intent to distribute more than 400 grams of fentanyl today in United States District Court in St. Louis. The charges stem from the execution of a search warrant for an apartment in the 3700 block of Wisconsin in St. Louis City.  Weeden appeared before Federal District Judge Ronnie L. White, who accepted his guilty plea and set his sentencing for May 8, 2019. 

According to the guilty plea agreement, investigators learned Weeden was distributing fentanyl and storing significant amounts of the drug in the apartment, causing them to seek a state-level search warrant in July of 2018.

During the execution of the warrant, investigators located six (6) loaded semi-automatic pistols, including a Glock 23 .40 caliber handgun with an extended magazine and a Springfield XD .45 caliber handgun which was later determined to have been stolen.

Investigators recovered approximately 740 grams of fentanyl in total, including a large compressed brick of fentanyl and baggies of fentanyl packaged in smaller quantities, and approximately 130 grams of methamphetamine in powder and pill form.  They also located drug trafficking paraphernalia including a gas mask, cutting agents, and digital scales, as well as a money counting machine and approximately $46,000 in United States currency.

Weeden faces up to ten years imprisonment for the felon in possession charge and up to life imprisonment for possession with intent to distribute fentanyl, which also carries a ten-year mandatory minimum term due to the quantity of fentanyl involved.

This case was investigated by the St. Louis Metropolitan Police Department and the Federal Bureau of Investigation.  

PROVIDENCE - A Providence man today admitted in federal court to participating in a conspiracy to sell fentanyl and firearms to a person assisting the FBI Rhode Island Safe Street Task Force in a Project Safe Neighborhoods investigation.

Appearing before U.S. District Court Chief Judge William E. Smith, Agustin Navedo, 30, admitted to the Court that on five occasions between April 3 and May 11, 2018, he sold an individual approximately 10 grams of fentanyl for between $650 and $750 dollars.

Additionally, Navedo admitted that on May 11, 2018, he sold the individual a .40 caliber pistol and a .380 caliber pistol for $1,350.

Navedo today pleaded guilty to conspiracy to possess with the intent to distribute and distribution of 40 grams or more of fentanyl, five counts of possession with the intent to distribute and distribution of fentanyl, conspiracy to engage in unlicensed dealing in firearms, and unlicensed dealing in firearms.

 Navedo’s guilty plea is announced by United States Attorney Aaron L. Weisman and Joseph R. Bonavolonta, Special Agent in Charge of the FBI Boston Division.

Navedo, who is detained in federal custody, is scheduled to be sentenced by U.S. District Court Chief Judge William E. Smith on April 26, 2019.

Two co-defendants arrested and charged in this matter, Yerry Abreu-Jimenez, 26, and Emmanuel Miamen, 24, of Providence, are awaiting trial in federal court.

The case is being prosecuted by Assistant U.S. Attorneys Terrence P. Donnelly and Helen H. Lee.

 Project Safe Neighborhoods is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.

The FBI Safe Street Task Force is comprised of members of law enforcement from the Central Falls Police Department, Cranston Police Department, Pawtucket Police Department, Providence Police Department, Woonsocket Police Department, and Adult Correctional Institutions.

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