McALLEN, Texas – A 25-year-old Mexican national has entered a guilty plea to exporting ammunition from the United States to Mexico, announced U.S. Attorney Ryan K. Patrick.

On Nov. 15, 2019, Esteban Ramirez-Torres approached the southbound checkpoint at the Hidalgo Port of Entry. There, authorities noticed boxes of dog biscuits with black tape at the bottom along with bags of dog food that had been stapled shut.

Upon further inspection, they discovered 4,000 rounds of 7.62x39mm caliber ammunition and 30 AK-47 style rifle magazines hidden amongst the dog food and boxes of biscuits.

Ramirez-Torres admitted he knowingly smuggled the ammunition illegally into Mexico. He also acknowledged purchasing the dog food, tape and staples at Walmart prior to returning to Mexico.

U.S. District Judge Randy Crane accepted the plea and set sentencing for April 14. At that time, he faces up to 10 years in federal prison and a possible $250,000 fine.

He has been and will remain in custody pending that hearing.

Immigration and Customs Enforcement’s Homeland Security Investigations conducted the investigation with the assistance of Customs and Border Protection. Assistant U.S. Attorney Claire Nguyen is prosecuting the case.

ALEXANDRIA, Va. – An active duty Air Force colonel was sentenced today to five years in prison for receiving images of child sexual abuse.

According to court documents and admissions made in connection to his plea agreement, Colonel Mark Visconi, 48, of Fairfax, received and attempted to receive child pornography through the Internet. Visconi used an online bulletin board dedicated to the sharing of child pornography that operated on the anonymous Tor network to download child pornography. A forensic review of his laptop showed that Visconi downloaded and viewed numerous child pornographic images and videos.

Visconi also used his cell phone to create hundreds of pictures focused on the clothed buttocks of minor girls. In a smaller subset of these pictures, Visconi appeared to take “upskirting” images of some of the girls. It does not appear that any of the girls were aware that pictures were being taken.

In addition to his prison sentence, Visconi was sentenced to 15 years of supervised release, ordered to pay restitution to the identified victim, and ordered to complete 50 hours of community service by speaking or writing about his experience and conviction.

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 Raymond Villanueva, Special Agent in Charge of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) Washington, D.C., made the announcement after sentencing by Senior U.S. District Judge T.S. Ellis III. Assistant U.S. Attorney Whitney Russell and Special Assistant U.S. Attorney Gwendelynn E. Bills 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 are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:19-cr-258.

CHARLESTON, W.Va. –  Three felons were sentenced to federal prison for gun possession, announced United States Attorney Mike Stuart. 

Shannon Brown, 44, of Charleston, received an enhanced sentence of 46 months in prison for being a felon in possession of a firearm.  Brown previously admitted that on June 6, 2019, he possessed a Smith and Wesson, .40 caliber handgun, in and affecting interstate commerce.  Brown ran from the police and threw the gun and a small amount of cocaine during the chase, both of which were recovered by the police.  The Court increased Brown’s sentence because he possessed both the firearm and cocaine.  Brown has two previous felony drug convictions from 1998 and 2004 in the Circuit Court of Kanawha County, West Virginia, and was aware that he was prohibited from possessing a firearm.  The Charleston Police Department and the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) conducted the investigation.   United States District Judge Irene C. Berger imposed the sentence.  Assistant United States Attorney Steven I. Loew handled the prosecution.

Joshua Adam Dowler, 37, of Wood County, was sentenced to 36 months in prison for possession of a firearm by a convicted felon.  Dowler previously admitted that on April 12, 2018, he possessed a Taurus 9mm pistol while target shooting at a residence on Cain Hill Road.  He was prohibited from possessing the firearm due to having been convicted of burglary in 2007.  He was on parole at the time he possessed the firearm.  The United States Marshals Service, the Wood County Sheriff’s Department, the West Virginia State Police, and the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) conducted the investigation.   United States District Judge Irene C. Berger imposed the sentence.  Assistant United States Attorney Joshua Hanks handled the prosecution.

Dennis Leroy Burns II, 43, of Boone County, was sentenced to 15 months in prison.  He previously pled guilty to being a felon in possession of a firearm.  Burns admitted that on November 12, 2018, he was walking along Mud River Road in Boone County when a trooper with the West Virginia State Police encountered him.  The trooper investigated and ultimately located a loaded, High-Point, Model C9, 9mm pistol in a ditch just behind Burns, which Burns had possessed.   Burns was prohibited from possessing the firearm due to a 2007 felony conviction in Forsyth County Superior Court in Winston Salem, North Carolina, for attempting to obtain money under false pretenses.  The West Virginia State Police and the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) conducted the investigation.  Senior United States District Judge John T. Copenhaver, Jr. imposed the sentence.  Assistant United States Attorneys Ryan A. Keefe and Greg McVey handled the prosecution. 

This cases are part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws. Initiated by the Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence; enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes; improves information-sharing by the Bureau of Alcohol, Tobacco, Firearms and Explosives when a prohibited individual attempts to purchase a firearm and is denied by the National Instant Criminal Background Check System (NICS), to include taking appropriate actions when a prospective purchaser is denied by the NICS for mental health reasons; and ensures that federal resources are directed at the criminals posing the greatest threat to our communities. The United States Attorney’s Office has prosecuted this case with support from the Project Guardian partners listed above.  For more information about Project Guardian, please see: https://www.justice.gov/projectguardian.            

The case against Shannon Brown was prosecuted as part of the Project Safe Neighborhoods (PSN) program, 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.

Follow us on Twitter:SDWVNewsand USAttyStuart

 
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ALEXANDRIA, Va. – A Colombian national was sentenced today to 87 months in prison for his leadership of a seven-year fraud and identity theft conspiracy that victimized more than 350 people and caused losses of nearly $2 million.

“Alberto Cortes Gomez’s crime was successful precisely because it targeted one of the most admirable qualities of its hundreds of victims: their desire to help others,” said G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia. “Cortes Gomez and his co-conspirators targeted innocent retail shoppers by feigning questions or a need for assistance, thus exploiting those victims’ generosity and willingness to give their time and attention to a total stranger. In doing so, Cortes Gomez and his co-conspirators broke society’s trust in a particularly pernicious way, by relying on the best in people in order to do them harm.”

According to court documents, Cortes Gomez, 39, orchestrated a nationwide scheme that targeted unsuspecting retail shoppers in order to steal their credit cards and other identity information. Cortes Gomez would travel from Florida to locations with high volumes of retail activity, such as the I-95 corridor through Virginia. While at a retail location, Cortes Gomez and co-conspirators would distract shoppers with questions seeking assistance, and other conspirators would steal the shoppers’ wallets. After altering means of identification to show the victims’ names but pictures of those working with Cortes Gomez, Cortes Gomez would direct purchases of expensive electronics and other retail goods. The members of the conspiracy would then ship the goods for resale.

“Cortes Gomez exhibited vicious and predatory greed, turning theft into a moneymaking operation at the expense of ordinary people,” said Raymond Villanueva, Washington D.C. Homeland Security Investigations (HSI) Special Agent in Charge. “HSI is committed to investigating fraudsters like Cortes Gomez, whose crimes impacted hundreds of unsuspecting victims.”

“Cortes Gomez planned, schemed, and defrauded hundreds of innocent people for his own personal gain,” said Timothy M. Dunham, Special Agent in Charge of the FBI Washington Field Office’s Criminal Division. “I'd like to thank the men and women of the FBI who work hard every day to identify and apprehend those responsible for breaking the public's trust and taking advantage of people’s altruistic instincts to steal from them.”

G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia; Timothy M. Dunham, Special Agent in Charge, Criminal Division, FBI Washington Field Office; and Raymond Villanueva, Special Agent in Charge of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) Washington, D.C., made the announcement after sentencing by U.S. District Judge Anthony J. Trenga. Special Assistant U.S. Attorney Ryan S. Faulconer and Assistant U.S. Attorney Laura M. Grimes 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 are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:19-cr-189.

            CONCORD - Michael R. Haynes, 39, of Colebrook, pleaded guilty in federal court to distribution of methamphetamine within a school zone, United States Attorney Scott W. Murray announced today. 

            According to court documents and statements made in court, on February 15, 2019, Haynes sold methamphetamine to an individual who was cooperating with law enforcement officers.  The sale occurred within 1,000 feet of an elementary school.

            Haynes is scheduled to be sentenced on May 8, 2020.

            “Methamphetamine presents a growing threat to people throughout New Hampshire,” said U.S. Attorney Murray.  “Communities in all parts of our state have been impacted. In order to maintain public safety, we will continue to work closely with our law enforcement partners to identify and prosecute those who distribute this dangerous drug.”

           This matter was investigated by the DEA, with assistance from the Colebrook Police Department, the New Hampshire State Police, U.S. Customs and Border Protection, the Office of Inspector General of the U.S. Department of Health and Human Services, the Coos County Sheriff’s Office, the New Hampshire Liquor Commission’s Division of Enforcement and Licensing, and the New Hampshire Attorney General’s Office.  The case is being prosecuted by Assistant United States Attorneys Charles Rombeau and John S. Davis.

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St. Louis, MO –Frank Brothers, 30, of St. Louis, MO, was sentenced to 114 months in prison for his role in robbing the Steak and Shake in Maplewood and possessing a firearm in furtherance of a crime of violence.  Brothers appeared in federal court today before United States District Judge Rodney W. Sippel. 

According to court documents, on October 24, 2018, Brothers entered the Steak and Shake located in Maplewood.  Brothers pointed a firearm at the manger, forced her to the floor and then demanded she open the safe.  The manager handed Brothers the U.S. currency in the safe.  Brothers then fled out the rear door to his vehicle.

“This conviction is another shining example of the fantastic working relationship between municipalities like Maplewood, the outstanding men and women of the FBI, and U.S. Attorney’s Office”, said Lieutenant John LeClerc, Maplewood Police Department.

The Maplewood Police Department and the Federal Bureau of Investigation are investigating this case.  Assistant U.S. Attorney Tom Mehan is handling the case.

A former Oakland County lawyer was sentenced yesterday, January 30, 2020, to serve 70 months in federal custody on one count of conspiracy to commit bank fraud, and three counts of bank fraud, United States Attorney Matthew Schneider announced today.

Paul Nicoletti, age 60, received the sentence from the Honorable Victoria A. Roberts, United States District Judge, in Detroit, Michigan. Judge Roberts also ordered that the defendant serve two years on supervised release after his release from federal custody and pay restitution totaling $5,299,751.58. A jury returned guilty verdicts against Mr. Nicoletti on May 5, 2019 after a seven-day trial.  

According to the evidence introduced during the trial, Mr. Nicoletti, a lawyer and owner of a title company in Bloomfield Hills, Michigan, became involved in a scheme to obtain large mortgage loans from Fifth Third Mortgage, Michigan, a lending arm of Fifth Third Bank. Although somewhat complicated, the essence of the scheme involved real estate developers, a corrupt loan officer and Mr. Nicoletti working together to obtain large mortgage loans from Fifth Third Mortgage, Michigan, purportedly for the purchase and development of high-end properties in Bloomfield Hills and Birmingham, Michigan, based on numerous false statements both in the application and closing process of the loans, resulting in Fifth Third Mortgage, Michigan releasing over eight million dollars in loan proceeds.

More specifically, one or more of the conspirators would find and recruit “straw buyers” to serve as mortgage loan applicants for the purchase of real property which the conspirators wanted to purchase and develop. The straw buyers, who viewed themselves as “investors,” were paid a fee for the use of their names and credit histories in the loan applications and real estate transactions, and were promised a portion of the expected profit after the property was developed and resold. The straw buyers had no intention of living at or actually exercising ownership and control of the property, despite representations to the contrary in their applications, and in closing documents. Despite their good credit ratings, the straw buyers did not have the assets or income necessary to qualify for mortgages in the substantial amounts sought. Thus, false information pertaining to their income and assets was included in the mortgage loan applications to qualify them. Mr. Nicoletti’s role was to facilitate the fraudulent loans as the title agent by, among other things, falsely verifying that the borrowers made substantial down payments on the properties. To do so, Mr. Nicoletti obtained cashiers checks, issued after the loan proceeds were released to his Continental Title account and which were funded by the loan proceeds themselves, bearing the names of the straw buyers as “remitters,” which he then re-deposited into his Continental Title account, making it appear as though the borrowers funded the substantial down payments. In fact, the borrowers brought no money to the closings. When the fraud was discovered by authorities, Mr. Nicoletti counseled the destruction of evidence of the fraud and also personally destroyed relevant electronic and paper records.     

Mr. Nicoletti was the sixth person convicted as a result of this investigation. The loan officer, a mortgage broker, an appraiser and several of the real estate developers have previously been sentenced after entering guilty pleas relating to the scheme. The investigation was conducted by the Federal Bureau of Investigation and prosecuted by Assistant United States Attorneys Craig Weier and John Neal.

Tacoma, WA – A 26-year-old man was sentenced today in U.S. District Court in Tacoma to ten years in prison and lifetime supervised release for abusive sexual contact of a child, announced U.S. Attorney Brian T. Moran.  CHARLES EVAN CRAWFORD was 22-years-old when he sexually molested a 6-year-old child who had been left in his care, while other adults ran errands on the base.  At the sentencing hearing, U.S. District Judge Ronald B. Leighton said, “It is imperative that we in the criminal justice system offer protection and stability against future harm. I think Mr. Crawford is a threat.”

According to the stipulated facts admitted at the bench trial, the 6-year-0ld victim and other children were at the duplex on Joint Base Lewis McChord (JBLM) on June 16, 2016, when CRAWFORD’s mother left him in charge while she ran to the grocery store and picked up his step-father from his duty station.

During the period of time CRAWFORD was responsible for supervising the children, he took one 6-year-old child into the bathroom and molested the child.  The victim and other children reported the assault to other adults within hours of the sexual contact.  The child was forensically interviewed at Mary Bridge Children’s Hospital.  The FBI and the Army Criminal Investigative Division (CID) conducted a joint investigation including the retrieval of DNA evidence.  Because the assault occurred on an area of exclusive federal jurisdiction, the case was prosecuted in federal court.

CRAWFORD was arrested on June 17, 2016, and formally charged in federal court on June 20, 2016.  CRAWFORD was convicted at a bench trial on July 8, 2019.  Following his prison term, CRAWFORD will be required to register as a sex offender.

The case was investigated by FBI and Army CID.  The case is being prosecuted by Assistant United States Attorneys Grady Leupold and Marie Dalton.

5 Defendants Sentenced to a Total of 95 Years in Prison for Federal Violent Crime and Drug Offenses

Memphis, TN – Shuntario Johnson, 38, has been sentenced to 371 months in federal prison for his role in a conspiracy to possess with intent to distribute cocaine, the possession of a firearm in furtherance of a crime of violence, carjacking and aiding and abetting an attempted robbery. Overall, a five members and associates of an armed robbery crew and drug trafficking organization have been sentenced to a total of 1,143 months imprisonment for their various roles in a drug conspiracy, possession of a firearms in furtherance of a Violent Crimes and Drug Trafficking Crimes, carjacking and being a felon in possession of a firearm. U.S. Attorney D. Michael Dunavant for the Western District of Tennessee, announced the sentences today.

On August 8, 2019, a federal grand jury returned an 11-count fifth superseding indictment against the following individuals:

Marcus Danner, 39

Quintez Agnew, 34

Shuntario Johnson, 38

John Lott, 30

Crystal Deener. 26

According to information presented in court, Danner, Agnew, Lott, and Johnson were members of an armed robbery crew that targeted narcotics traffickers in the Memphis area. The indictment followed a four-month investigation involving agents with the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) as well as other state and local agencies, in which Johnson and his co-defendants were alleged to have participated

in a conspiracy to rob drug dealers in Memphis. Lott and Deener were also indicted for their roles in a conspiracy to tamper with evidence in the case. During the investigation,

agents seized multiple firearms, approximately $2,000 in U.S. currency, and approximately 28 grams of crack cocaine. See announcement of original indictment: https://www.justice.gov/usao-wdtn/pr/four-members-armed-robbery-crew-have-been-indicted-committing-robberies-throughout

On September 9, 2019, Shuntario Johnson demanded a jury trial on the fifth superseding indictment. Accordingly, the United States presented the following proof at trial:

On January 09, 2018, the victim "R.S." drove Johnson and an unknown male subject, identified as Johnson’s brother-in-law, to acquire marijuana from an apartment complex in Memphis, Tennessee. After acquiring the marijuana, "R.S." stopped at a stop sign at the intersection of Castalia Street and East Mclemore at which time Johnson who was in the front seat, displayed a silver semi-automatic handgun and pointed it at "R.S." head and said "give me what you got.""R.S." stated that the second suspect, sitting in the back seat, also pulled out a black semi-automatic handgun and pointed it at the victim. "R.S." advised Memphis Police Department officers that he gave the suspects his wallet and five dollars and was ordered out of the vehicle. "R.S." stated that once he exited his vehicle he began to run on foot as Johnson exited the vehicle, Johnson fired "multiple shots" at "R.S."

At the crime scene, MPD officers recovered two 9mm shell casings at the location of the shooting. A ballistics examination of the two 9mm shell casings from the crime scene were compared to a firearm recovered from Johnson on January 25, 2019.

On January 25, 2019, during Johnson’s arrest for his involvement in a drug conspiracy, he pointed a firearm at an ATF Agent then fled from the officers, throwing the firearm to the ground before his apprehension. The firearm was recovered during a search of the area, revealing that the firearm was a 9mm Ruger handgun. A ballistics examination of the firearm and the two shell casings recovered from the crime scene of the carjacking revealed that the 9mm Ruger handgun had fired the bullets and matched the 9mm shell casings. Later, Johnson stated to ATF Agents that Danner had given him the 9mm Ruger handgun.

Evidence was also presented that Danner, Agnew, Lott and Johnson attempted to rob "B.B" of his drug proceeds as stated in count six. During this incident, Johnson shot "V.R.""V.R." was not fatally injured and recovered from the gunshot. However, "V.R." died of an unrelated health issue prior to Johnson’s trial.

Evidence was also presented that Danner, Agnew, Lott and Johnson conspired to rob a stash house of cocaine. On January 25, 2019, Danner, Agnew, Lott and Johnson arrived at a location in Shelby County to rob what they believed to be a drug dealer. During this sting operation by the ATF, Danner, Agnew, Lott and Johnson were arrested.

On September 17, 2019, Johnson was convicted by a jury of counts 2, 3, 4 and 8 of the fifth superseding indictment.

On January 30, 2020, United States District Court Judge John T. Fowlkes Jr., sentenced Johnson to a total sentence of 371 months imprisonment followed by 3 years of supervised release for his involvement in these multiple crimes.

On January 10, 2019, John Lott was sentenced to a total sentence of 420 months imprisonment followed by five years’ supervised release, by United States District Court Judge John T. Fowlkes Jr. https://www.justice.gov/usao-wdtn/pr/john-lott-sentenced- 420-months-imprisonment-member-armed-robbery-crew-and-drug

On January 16, 2019, Quintez Agnew pled guilty to counts 5, 7, 8, 9 and 10, before United States District Court Judge John T. Fowlkes Jr. However, prior to sentencing, Agnew died of suicide.

On March 1, 2019, Marcus Danner was sentenced to 352 months imprisonment followed by five years’ supervised release, by United States District Court Judge John T. Fowlkes Jr. https://www.justice.gov/usao-wdtn/pr/marcus-danner-sentenced-352-months-imprisonment-leader-armed-robbery-crew-and-member

On February 21, 2019, Crystal Deener was sentenced to 1 day time served, followed by two years’ supervised release, by United States District Court Judge John T. Fowlkes Jr.

U.S. Attorney Dunavant said, "Armed Robbery crews made up of violent felons will NOT continue to terrorize and endanger our communities in West Tennessee with impunity. We use all available law enforcement and prosecutorial resources to pursue, disrupt, and dismantle groups and conspiracies that are most responsible for violence and drug dealing, and to remove dangerous offenders with firearms from our streets. I commend the great investigative work of ATF and our local partners in neutralizing this violent recidivist and this crew of trigger-pullers and traffickers."

The Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), and the Multi-Agency Gang Unit (MGU) comprised of investigators from the Memphis Police Department and Shelby County Sheriff’s Office investigated this case.

Assistant U.S. Attorneys Jerry Kitchen and Gregory Allen prosecuted this case on behalf of the government.

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LAS VEGAS, Nev. – Claudia Ann Merrill, 61, of Farmington Hills, Michigan, pleaded guilty today to defrauding the U.S. Department of Veterans Affairs out of more than $1.75 million in veterans benefits, announced U.S. Attorney Nicholas A. Trutanich for the District of Nevada.

According to court documents, from on or about January 1, 2014, through October 1, 2019, Merrill devised and executed a scheme to defraud and to obtain money and property from the U.S. Department of Veterans Affairs (VA). Merrill admitted that she submitted false applications in the names of veterans, as well as the surviving spouses of veterans, in connection with VA health care programs known as Veterans Pension and VA Aid and Attendance. In furtherance of the scheme, Merrill altered medical records to ensure that the veteran or surviving spouse’s physical or mental condition rendered them eligible for the benefits. She then fraudulently directed benefit payments into bank accounts she controlled, and concealed the benefits from the veterans and surviving spouses. As a result of the scheme, Merrill fraudulently caused the VA to pay out $1,755,412 in benefits that it otherwise would not have paid but for the scheme.

This case was the product of a joint investigation by the VA’s Office of the Inspector General and the FBI’s Las Vegas Field Office. Assistant U.S. Attorney Patrick Burns is prosecuting the case.

Merrill is scheduled to be sentenced by U.S. District Judge James C. Mahan on May 15, 2020. Merrill faces a maximum penalty of 20 years in prison and a $250,000 fine. As part of her guilty plea, Merrill agreed to pay approximately $1,755,412 in restitution. 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.

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MARTINSBURG, WEST VIRGINIA – Crystal M. Tress, of Martinsburg, West Virginia, has admitted to stealing government property, U.S. Attorney Bill Powell announced.

Tress, age 42, pled guilty to one count of “Theft of Government Property.” Tress admitted to embezzling more $5,309.20 that belonged to the United States government while she was employed at the Veterans Canteen Service. The crime took place from April 2018 to March 2019 in Berkeley County.

Tress faces up to 10 years incarceration.  Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.

Assistant U.S. Attorney Kimberley D. Crockett is prosecuting the case on behalf of the government. The Department of Veterans Affairs Police investigated.

U.S. Magistrate Judge Robert W. Trumble presided.

MARTINSBURG, WEST VIRGINIA – Joseph Tyree Ryles, of Baltimore, Maryland, has admitted to a firearms charge, U.S. Attorney Bill Powell announced.

Ryles, age 30, pled guilty to one count of “Unlawful Possession of a Firearm.” Ryles, having previously been convicted of crimes in the Circuit Court of Baltimore City, Maryland, admitted to illegally possessing a 9mm pistol and a .40 caliber pistol in August 2015 in Jefferson County.

Ryles faces up to 10 years incarceration and a fine of up to $250,000. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.

Assistant U.S. Attorney Kimberley D. Crockett is prosecuting the case on behalf of the government. The Bureau of Alcohol, Tobacco, Firearms and Explosives and the Eastern Panhandle Drug & Violent Crimes Task Force, a HIDTA-funded initiative, investigated.

U.S. Magistrate Judge Robert W. Trumble presided.

SCRANTON - The United States Attorney’s Office for the Middle District of Pennsylvania announced that Anthony Diaz, age 52, formerly of East Stroudsburg, Pennsylvania, was convicted on January 30, 2020 following a jury trial, of wire fraud and mail fraud offenses.  The 12-day trial was held before United States District Court Judge Malachy E. Mannion in Scranton.

According to United States Attorney David J. Freed, the jury returned the guilty verdict on all counts charged in the superseding indictment after approximately eight hours of deliberation.  Diaz was convicted of seven counts of wire fraud and four counts of mail fraud, all stemming from the same scheme.

“Schemes like this one committed by unscrupulous investment advisors seeking to line their own pockets by selling high-risk and high-commission securities to unsophisticated investors based on lies about the safety of the security and net worth of the investor is fraud, pure and simple,” said U.S. Attorney Freed. “I hope this case sends a message to others in the industry that similar misconduct will not be tolerated and will have potential criminal consequences as well as the more common civil consequences.”

The evidence presented at trial showed that from approximately 2008 through April 2015, Diaz owned and operated Financial Planners Group of America, a financial planning business in East Stroudsburg and Scotrun, Pennsylvania.  Diaz persuaded his clients to invest in high risk, illiquid “alternative investment products,” including real estate investment trusts, business development companies, oil and gas drilling companies, and equipment leasing companies.

A dozen of Diaz’s former clients testified at trial that Diaz convinced them to invest their life savings in the alternative investments through a series of false representations, including that the investments were low-risk, with guaranteed protection of principle and guaranteed rates of return, and that the investments were liquid, giving investors access to their funds in an emergency.  Evidence introduced at trial showed that the investments were high-risk and speculative, with no guarantees, and that in some instances, investors lost all of their money.  Evidence at trial also showed that the investments had lengthy holding periods, with no access to funds, and that could be extended indefinitely at the unilateral discretion of the investment company.  Some witnesses testified to having invested money over a decade ago that they still could not liquidate.

At trial, jurors saw extensive client documentation bearing false information about the clients’ assets, risk tolerance, investment experience, and investment objectives.  Clients testified that Diaz regularly had them sign blank documents, with the promise that missing information would be filled in by his office.  Former employees of Diaz testified that he ordered them to add false information to the account forms, inflating clients’ assets, risk tolerance, and investment experience to qualify them as suitable investors for the alternative investments.

Jurors also learned that Diaz was terminated by five broker-dealers and permitted to resign by a sixth broker-dealer.  Clients who asked about the frequent changes to new broker-dealers were told that it was for their benefit.  Diaz’s former employees testified that they were ordered to conceal his firings and lie to the clients about his changes between broker-dealers.

Jurors also learned that Diaz was suspended by the Certified Financial Planners Board of Standards in 2013, and under investigation by the Financial Industry Regulatory Authority and the Pennsylvania Department of Banking, both of whom ultimately barred Diaz from the securities industry in 2015.  Diaz’s clients testified that he failed to disclose his suspension from the Certified Financial Planners Board of Standards, and concealed the nature and severity of the regulatory investigations.

Various industry witnesses testified that Diaz earned commissions on the alternative investments that were often double, or even quadruple the commissions earned on more conventional investments, such as stocks, bonds, and mutual funds.  Documents at trial showed that Diaz regularly earned in excess of $1.5 million in commissions annually.  Witnesses described how Diaz spent his money on expensive automobiles, a dozen properties across the United States, and frequent vacations to exotic locales.

The case was investigated by the Federal Bureau of Investigation.  Assistant United States Attorneys Phillip Caraballo and Robert O’Hara prosecuted the case.

The combined maximum penalty under federal law for Diaz is up to 220 years of imprisonment. There is also a term of supervised release following imprisonment, and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant's educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.

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ALBANY, Ga.– An admitted methamphetamine dealer, who was arrested with pure “ice” methamphetamine in Lee County, Georgia, was sentenced to ten years in prison, announced Charles “Charlie” Peeler, the U.S. Attorney for the Middle District of Georgia. Willie Ware, 22, of Albany, was sentenced by U.S. District Judge Louis Sands on Thursday, January 30, 2020 to serve 121 months in prison and five years supervised release, after pleading guilty to one count of possession with intent to distribute methamphetamine. There is no parole in the federal system.

Mr. Ware admitted that he was arrested by Lee County Sheriff’s deputies in possession of 241.54 grams of 100% pure d-methamphetamine hydrochloride. Mr. Ware was taken into custody on November 24, 2017, during a routine traffic stop in the area of Joiner Drive and North Doublegate Drive. Deputies spotted a jar of marijuana in plain view and a handgun. During a legal search of the car, the methamphetamine was discovered. Mr. Ware told investigators that he had already sold one ounce of methamphetamine prior to his arrest.

“Methamphetamine is a poison in our society, killing users and ruining many lives. Its ripple effect is far reaching, and we will continue to prosecute individuals who choose to deal this dangerous drug in our communities,” said Charlie Peeler, the U.S. Attorney. “I want to thank the Lee County Sheriff’s Department and the DEA for their work in this case.”

“It is a great pleasure to work these types of drug cases and remove both the drugs and the dealers out of our society. Methamphetamine is a hideous drug that makes users paranoid, violent and aggressive, which I feel makes them a serious threat to society and law enforcement. Meth users and sellers are a threat to our children and families, therefore I intend to continue to investigate and arrest people involved in illegal drugs,” said Lee County Sheriff Reggie Rachals.

The case was investigated by the Lee County Sheriff’s Office and the DEA. Assistant U.S. Attorney Leah E. McEwen is prosecuting the case for the Government. Questions 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.

This week Congress passed a bill reauthorizing the temporary ban on deadly fentanyl analogues until May 6, 2021.  Before passage of the bill, DEA’s temporary scheduling of fentanyl analogues was set to expire on February 6, 2020.   The bill—S. 3201, Temporary Reauthorization and Study of the Emergency Scheduling of Fentanyl Analogues Act—extends the ban for another 15 months, which will allow for additional study on the potential permanent scheduling of all fentanyl analogues.  In the near term, it allows prosecutors to continue to bring cases against those involved in the distribution of these lethal substances.  The U.S. Attorney community across the country, including U.S. Attorney Nolan, advocated for passage of this bill in recently-published op-ed articles.  

U.S. Attorney Nolan praised the passage of the bill, calling it “an essential step in saving lives and keeping fentanyl analogues — some of the most lethal narcotics in existence — out of Vermont communities.”  She added:  “Law enforcement encounters with fentanyl analogues fell by fifty percent in the wake of DEA’s temporary ban.  The congressional extension of the prohibition will reduce the presence of fentanyl analogues in the country and give prosecutors a critical tool to break up drug trafficking organizations and bring consequences to for-profit dealers.  We thank our U.S. Attorney colleagues in New England for joining our office in supporting the legislation and we continue to hope for a permanent ban on these lethal drugs.”

The year 2020 marks the 150th anniversary of the Department of Justice.  Learn more about the history of our agency at www.Justice.gov/Celebrating150Years
 

Baltimore, Maryland – U.S. District Judge Catherine C. Blake today sentenced Malik Moseley, age 28, of Baltimore, Maryland, to seven years in federal prison, followed by three years of supervised release, for being a felon in possession of a firearm. Moseley was charged as part of the federal-state initiative announced in December 2018 to combat the fentanyl crisis in Maryland.

Under this initiative, titled the “Synthetic Opioid Surge,” or “SOS” for short, every arrest involving distribution of fentanyl made by law enforcement in Baltimore is reviewed jointly by the State’s Attorney’s Office for Baltimore City, the Drug Enforcement Administration, and the U.S. Attorney’s Office to determine whether the case will be handled in the state or federal system.  The U.S. Attorney’s Office will prosecute more cases involving fentanyl as a result of this new program.  The use of federal resources and statutes, which carry significant terms of imprisonment, is necessary to prosecute those individuals who pose the greatest threat to public safety in distributing lethal doses of fentanyl. 

The sentence was announced by United States Attorney for the District of Maryland Robert K. Hur; Assistant Special Agent in Charge Orville O. Greene of the Drug Enforcement Administration, Baltimore District Office; Commissioner Michael Harrison of the Baltimore Police Department; and Anne Arundel County Police Chief Tim Altomare.

“Law enforcement partners are working together to arrest and prosecute those who peddle deadly fentanyl on our streets and in our neighborhoods—especially those drug dealers who illegally possess guns,” said U.S. Attorney Robert K. Hur.  “Drug traffickers are on notice that dealing in fentanyl increases their odds of federal prosecution.  We must do everything we can to reduce overdose deaths from fentanyl and from all opioids.  I am grateful to Baltimore City State’s Attorney Marilyn Mosby for providing a cross-designated Assistant State’s Attorney to facilitate and coordinate the review of SOS cases.”

According to Moseley’s guilty plea, in September and October 2018, members of the Baltimore Police Department conducted two controlled purchases of drugs from Moseley at a residence in the 400 block of Freeman Street in South Baltimore.  Law enforcement officers also conducted covert surveillance outside the residence and observed Moseley and another individual engage in suspected hand-to-hand drug transactions in front of the home. 

Based on this information, BPD officers obtained a search warrant for the residence, which they executed on October 17, 2018.  At the time, Moseley had an open arrest warrant from Anne Arundel County, Maryland.  While approaching the residence, the officers observed Moseley standing outside, and they immediately apprehended and arrested him.  In a search of Moseley’s person incident to his arrest, the officers recovered a 9mm semi-automatic pistol, loaded with eight rounds of ammunition; a plastic bag containing nine suboxone strips, and $790 in cash.  Moseley had a previous felony conviction and was therefore prohibited from possessing a firearm or ammunition. 

During the search of the residence, the officers recovered bags containing a total of approximately 47 grams of fentanyl; a bag containing approximately 5 grams of a heroin-fentanyl mixture; drug paraphernalia, including three digital scales with drug residue; razor blades with residue; a glass plate with residue; a pill press with residue; and various drug packaging material.  In addition, law enforcement recovered a gun holster; two remote-control surveillance drones; a home surveillance system with two high-definition cameras; $101 in cash, and $30 in counterfeit currency. 

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.  Project Safe Neighborhoods (PSN) 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.

United States Attorney Robert K. Hur commended the DEA, the Baltimore Police Department, and the Anne Arundel County Police Department for their work in the investigation.  Mr. Hur thanked Assistant U.S. Attorney Christina A. Hoffman, who prosecuted the case and thanked Special Assistant U.S. Attorney Jeffrey Hann, a cross-designated Baltimore City Assistant State’s Attorney, for his assistance.

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CHARLOTTE, N.C. – Otequise Lenard Miller, 34, of Concord, N.C. was sentenced today to 240 months in prison and five years of supervised release on drug trafficking conspiracy resulting in an overdose death and money laundering charges, announced Andrew Murray, U.S. Attorney for the Western District of North Carolina. 

Robert J. Murphy, Special Agent in Charge of the Atlanta Field Division of the Drug Enforcement Administration (DEA), which oversees the Charlotte District Office; Ronnie Martinez, Special Agent in Charge of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) Charlotte; Chief Gary J. Gacek of the Concord Police Department; and Interim Chief Terry Spry of the Kannapolis Police Department join U.S. Attorney Murray in making today’s announcement.

According to filed court documents and today’s sentencing hearing, from 2015 until his arrest on August 22, 2018, Miller was part of a drug conspiracy that trafficked bulk crystal methamphetamine and heroin into Mecklenburg County.  During the relevant time period, Miller trafficked approximately seven to nine kilograms of heroin, and 14 to 18 kilograms of crystal methamphetamine.  In addition to drug trafficking, Miller concealed and laundered the drug proceeds.  

Court records show that, in December 2017, Miller sold heroin to a victim identified in court documents as “W.M.,” which resulted in the victim’s overdose death.  As described further in court documents, Miller continued to sell narcotics even after he became aware of the victim’s death.  Miller is a repeat offender, and was previously convicted of drug trafficking charges.

Miller is currently in custody and will be transferred to the custody of the federal Bureau of Prisons upon designation of a federal facility.  All federal sentences are served without the possibility of parole.

This case is part of the U.S. Attorney’s Office initiative to combat the opioid abuse epidemic in the Western District of North Carolina through prosecution, enforcement and prevention. 

In June 2019, U.S. Attorney Murray announced the formation of the Western District’s Heroin and Opioid Prevention and Enforcement (H.O.P.E.) Task Force.  This multi-agency team of experienced federal and state investigators located in the Western District of North Carolina work with federal prosecutors to identify abusive practices by participants in the opioid pharmaceutical supply chain, and to prosecute drug trafficking networks that distribute lethal heroin and opioids into our communities. 

The Task Force focuses on coordinating investigations, information sharing, identifying trends throughout the region, investigating whistleblower complaints, and the creation of cross-agency investigative teams so each agency task force member can bring its area of expertise on investigations.  

The Task Force builds upon existing partnerships between the agencies, and its work reflects a heightened effort to reduce heroin and opioid abuse, to increase prevention through outreach efforts, and to educate the public about the dangers of counterfeit drugs, heroin abuse and opioid addiction.

This prosecution is also part of an extensive investigation by the Organized Crime Drug Enforcement Task Force (OCDETF), targeting the importation of narcotics from Mexico into Western North Carolina. 

OCDETF is a joint federal, state and local cooperative approach to combat drug trafficking and is the nation’s primary tool for disrupting and dismantling major drug trafficking organizations, targeting national and regional drug trafficking organizations and coordinating the necessary law enforcement entities and resources to disrupt or dismantle the targeted criminal organization and seize their assets.

DEA, HSI, the Concord Police Department, and the Kannapolis Police Department investigated the case. 

Assistant U.S. Attorney Sanjeev Bhasker, of the U.S. Attorney’s Office in Charlotte, is in charge of the prosecution.

ALEXANDRIA, Va. – A Maryland man was sentenced today to 30 months in prison for embezzling over $3.2 million from his employer.

According to court documents, Reginald Zayas, 49, of Upper Marlboro, was the Controller at a Virginia-based company. Over the course of almost four years, Zayas embezzled over $3.2 million from the company by unlawfully transferring funds from the company’s bank account to his own bank account, and he then often transferred the money from his account to others. Zayas transferred over $300,000 to accounts controlled by his wife, his girlfriend, and the mother of one of his children.

Zayas used the laundered money to pay for his own personal expenses, including exorbitant credit card bills, car payments, dining expenses and entertainment, and private school tuition.

In addition to the prison sentence, Zayas was also ordered to pay full restitution and forfeiture.

G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia; Timothy M. Dunham, Special Agent in Charge, Criminal Division, FBI Washington Field Office; and Jay N. Lerner, Inspector General of the Federal Deposit Insurance Corporation (FDIC-OIG), made the announcement after sentencing by Senior U.S. District Judge Claude M. Hilton. Assistant U.S. Attorneys Cristina Stam and William Fitzpatrick 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 are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:19-cr-297.

Jacksonville, Florida – United States District Judge Brian J. Davis has sentenced Jason Ryan Fain (38, Jacksonville) to six years in federal prison for possessing a USB thumb drive that contained videos and images depicting the sexual abuse of young children. Fain was also sentenced to serve a 10-year term of supervised release and ordered to register as a sex offender. 

A federal jury had found Fain guilty on October 30, 2019.    

According to testimony and evidence presented at trial, on January 9, 2017, an officer with the Jacksonville Sheriff’s Office (JSO) responded to a citizen complaint at Fain’s residence and recovered a USB thumb drive belonging to Fain. A detective from JSO obtained a search warrant for the thumb drive, which contained 3,614 images and 7 videos depicting the sexual abuse of young children, together with “selfie” photos depicting Fain. 

On October 27, 2017, Fain was arrested in Youngstown, Florida by investigators from the Bay County Sheriff’s Office. During an interview, Fain admitted that the thumb drive belonged to him and that it contained “hundreds” of pornographic images of children that he had obtained from the internet. A forensic analysis of the thumb drive by the FBI confirmed that it had accessed a particular file-sharing network on the internet. The device also contained a document that advocated the legalization of child pornography possession.              

This case was investigated by the Jacksonville Sheriff’s Office, the Bay County Sheriff’s Office, and the Federal Bureau of Investigation. It was prosecuted by Assistant United States Attorney D. Rodney Brown.

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

FORT WAYNE – Odonis Parker, age 29, was sentenced by U.S. District Court Judge Damon Leichty, after being found guilty after a trial for being a felon in possession of a firearm, announced U.S. Attorney Kirsch.

Parker was sentenced to 114 months in prison followed by 2 years of supervised release

According to documents in this case, Mr. Parker was in possession of a firearm on May 26, 2019, after being a twice convicted felon in Allen County Superior Court.  His prior felonies were for Robbery and Theft on separate occasions.  

Parker went to his ex-girlfriend’s house while armed with a semi-automatic rifle containing two loaded 40 round magazines taped together.  After a confrontation, Parker fired multiple times into a car next to where the girlfriend, three minor children and a companion were standing.   Mr. Parker chased the companion, who fled, while firing and grazed the man in the head as he ran.  Parker then hid the firearm in the trunk of a car before fleeing to a nearby apartment.  Fort Wayne Police officers arrived on the scene and were able to locate the firearm and Parker, whom they arrested.        

The case was investigated by Bureau of Alcohol, Tobacco, Firearms and Explosives with the assistance of the Fort Wayne Police Department. The case was handled by Assistant United States Attorney Stacey R. Speith.  

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