ALBANY, NEW YORK – Selvin Joiner, age 29, of Troy, New York, pled guilty today to distributing crack cocaine.

The announcement was made by United States Attorney Grant C. Jaquith and Ray Donovan, Special Agent in Charge of the U.S. Drug Enforcement Administration (DEA), New York Field Division.

Joiner admitted that on June 28, 2020, he sold approximately 26 grams of cocaine base (a/k/a crack cocaine) to a buyer in Troy.

Joiner faces up to 20 years in prison, a term of post-imprisonment supervised release of at least 3 years, and a fine of up to $1 million, when he is sentenced by Senior United States District Judge Fredrick J. Scullin, Jr. on December 9, 2020.  A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines and other factors.

This case was investigated by the DEA and its Capital District Drug Enforcement Task Force, and is being prosecuted by Assistant U.S. Attorney Alicia Giglio Suarez.

WASHINGTON – A federal grand jury in Greensboro, North Carolina, returned an indictment today charging two tax preparers with conspiring to defraud the United States and assisting in the preparation of false client tax returns, announced Principal Deputy Assistant Attorney General Richard E. Zuckerman of the Justice Department’s Tax Division and U.S. Attorney Matthew G.T. Martin for the Middle District of North Carolina.

According to the indictment, Karen Marie Jones owned Jones and Stone Taxes, a tax preparation business in Durham, North Carolina. From 2012 through 2017, Jones and Audrey Renatta Odom allegedly conspired to falsify clients’ tax returns by fabricating education expenses that clients did not incur, in an effort to increase refunds to be paid by the IRS. Jones, Odom, and others allegedly charged some clients up to $3,000 for preparing their return.

If convicted, Jones and Odom each face a maximum sentence of five years in prison for conspiracy and three years in prison on each count of aiding and assisting in the preparation of a false tax return. The defendants also face a period of supervised release, restitution, and monetary penalties.

An indictment or information merely alleges that crimes have been committed. The defendants are presumed innocent until proven guilty beyond a reasonable doubt.

Principal Deputy Assistant Attorney General Zuckerman and U.S. Attorney Martin commended special agents of IRS-Criminal Investigation who conducted the investigation, and Assistant Chief Todd Ellinwood and Trial Attorney Kavitha Bondada of the Tax Division, who are prosecuting the case.

Additional information about the Tax Division and its enforcement efforts may be found on the division’s website.

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Kingstree, South Carolina --- United States Attorney Peter M. McCoy, Jr. announced today that a press conference will be held tomorrow, September 2, 2020, at 11:30 a.m., in the City Council Chambers of the Williamsburg County Public Service Administration (PSA) Building at 201 West Main Street, Kingstree, South Carolina 29556.

Represented at the press conference will be the U.S. Attorney’s Office for the District of South Carolina; South Carolina Law Enforcement Division (SLED); the United States Postal Inspection Service; the 3rd Circuit Solicitor’s Office; and the Williamsburg County Sheriff's Office.

WHEN:      Tomorrow, September 2, in Kingstree at 11:30 a.m.

WHERE:    City Council Chambers of the Williamsburg County Public Service 

                      Administration (PSA) Building

                      201 West Main Street

                      Kingstree, South Carolina 29556

NOTE:  Press inquiries regarding logistics should be directed to Derek A. Shoemake, 843-813-0982.  Members of the media wishing to attend the remarks should gather outside the City Council Chambers of the Williamsburg County Public Service Administration (PSA) Building at 11:00 a.m., 30 minutes in advance.

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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.

PROVIDENCE – A Providence man who was one of twenty-six people indicted by a federal grand jury in September 2018 as the result of a series of ATF Task Force and FBI Safe Streets Task Force undercover Project Safe Neighborhoods investigations targeting individuals illegally obtaining and/or trafficking firearms, and trafficking narcotics, was sentenced today to five years in federal prison for trafficking methamphetamine.

According to court documents, in September 2018, Jason Moriera, 39, of Providence, sold an individual 56.5 grams of methamphetamine for $2,000. The transaction was monitored by members of law enforcement. The drugs were quickly seized by law enforcement.

As the result of the ATF and FBI investigations, twenty-six individuals were indicted and more than two-dozen firearms, including three AK-47 and two AR-15 assault rifles, along with significant quantities of heroin, fentanyl, crack cocaine, and methamphetamine were seized.

Many of the individuals arrested as a result of these Project Safe Neighborhoods were members of or associated with street gangs.

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.

Moreira pleaded guilty on May 22, 2020, to possession with intent to distribute and distributing 50 grams or more of methamphetamine. Appearing today before U.S. District Court Judge William E. Smith, Moreira was sentenced to 60 months in federal prison to be followed by 4 years’ supervised release.

Moriera’s sentence is announced by United States Attorney Aaron L. Weisman, Special Agent in Charge of the FBI Boston Division Joseph R. Bonavolonta, and Special Agent in Charge of the Boston Field Division of ATF Kelly D. Brady.

The case was prosecuted by Assistant U.S. Attorney Terrence P. Donnelly.

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CHICAGO — A former Illinois accountant has been sentenced to more than 16 years in federal prison for misappropriating more than $77 million from individuals and financial institutions.

SULTAN ISSA, 47, of Hinsdale, pleaded guilty earlier this year to wire fraud affecting a financial institution.  U.S. District Judge Andrea R. Wood imposed the 200-month sentence Monday in federal court in Chicago.  Judge Wood also ordered Issa to pay more than $72 million in restitution to the victims.

The sentence was announced by John R. Lausch, Jr., United States Attorney for the Northern District of Illinois; and Emmerson Buie, Jr., Special Agent-in-Charge of the Chicago Field Office of the FBI.  The government was represented by Assistant U.S. Attorney Philip Fluhr.

Issa was a certified public accountant and the Chief Financial Officer of a group of partnerships, corporations, and trusts owned by a Chicago-area family.  From 2010 to 2017, he embezzled at least $45 million of the family’s assets, including money Issa stole from a trust account that was set up to pay medical expenses for a family member suffering from an incapacitating illness.  Issa also fraudulently obtained at least another $5.1 million from individuals in his personal capacity, claiming he would invest their money in legitimate opportunities, including a luxury auto dealership Issa owned in Burr Ridge.

Issa used fraud proceeds to cover personal expenses and to secure fraudulent loans from financial institutions totaling at least $83 million to acquire, among other things, 25 residential properties in Illinois, Montana, Michigan, and Cabo San Lucas, Mexico, two private aircraft, four yachts, approximately 60 firearms, and assorted watches, jewelry, and memorabilia. 

Issa attempted to conceal the scheme by providing financial institutions with fraudulent loan documents and forging authorizations to gain control of funds belonging to the family-owned group.  Issa also created false account statements and made Ponzi-type payments to individual investors.

JONESBORO—A Deputy Prosecuting Attorney in Craighead County has been named a Special Assistant United States Attorney, enabling her to assist in federal prosecutions. Charlene Davidson Henry, a Jonesboro resident who has practiced law in Arkansas since 1999, has been hired by United States Attorney Cody Hiland for the Eastern District of Arkansas.

“Violent crime reduction has been the top priority of our office, and we want to continue by focusing on Craighead County,” U.S. Attorney Hiland said. “We are confident that Ms. Henry’s training and experience will make her an asset to our team and will have an impact in reducing violent crime in Northeast Arkansas.”

United States Attorney’s Offices across the nation have the ability to hire state prosecutors as Special Assistant United States Attorneys (SAUSAs). This equips state prosecutors to work federal cases while maintaining their state position. Since 2017, the Eastern District of Arkansas has emphasized partnerships with SAUSAs in order to carry an increased caseload. In 2018, federal prosecutions increased by 82%, largely based on prosecutions of felons who possess firearms. This increase resulted in federal prosecutors in the Eastern District of Arkansas having the fifth-highest caseload in the nation.

The heavy focus on prosecuting violent crime resulted in a 24% reduction in homicides in Little Rock for 2018. That same year, similar efforts in West Memphis produced a 43% decrease in homicides. Both cities also saw reductions in non-fatal shootings, terroristic acts, and battery cases. “We want these efforts with our state and local partners to continue making a difference in the communities we serve, and Craighead County is no exception,” stated Hiland.

“Ms. Henry is an outstanding lawyer. She is tough but fair, and her experience as a public defender makes her especially qualified to evaluate cases from the prosecution side,” stated Scott Ellington, Prosecuting Attorney for the Second Judicial District. “Our office is proud to participate in this joint endeavor with our federal partners by sharing the talents of one of our best prosecutors.”

Henry currently prosecutes digital crimes, sex crimes, and gun crimes for Craighead County. She has previous experience as a Task Force Coordinator for the Second Judicial Drug Task Force, where she trained Task Force members and coordinated prosecutions between multiple jurisdictions. She now serves as the Task Force Coordinator for the Second Judicial District Organized Criminal Activity Task Force, which investigates offenses including drug trafficking, money laundering, arms trafficking and possession, crimes of violence such as murder and aggravated assault, robbery, and violent street gangs. In her 13 years as a lawyer with the Arkansas Public Defender Commission, she handled cases involving capital murder, murder, rape, computer crimes, and other serious felonies. She is a graduate of East Tennessee State University and the University of South Dakota School of Law.

The firearm investigations that Henry will handle are part of Project Safe Neighborhoods, a nationwide initiative that brings together federal, state, local and tribal law enforcement officials, prosecutors, and community leaders to identify the most pressing violent crime problems in a community and develop comprehensive solutions to address them.

# # #

This news release, as well as additional information about the office of the

United States Attorney for the Eastern District of Arkansas, is available online at

https://www.justice.gov/edar

Twitter:

@EDARNEWS

SALT LAKE CITY – Justin Peck, 47, of Riverton, entered a plea of guilty to one count of operating an unlicensed money transmitting business in federal court in Utah recently, admitting that he owned several companies that were operating as unlicensed money transmitting businesses from as early as 2012 through sometime in 2019.

As a part of a plea agreement reached with federal prosecutors, Peck stipulated that his companies that did not comply with federal law and regulations for money transmitting business registration requirements.

Specifically, Peck admitted he received checks from general contractors for drywall labor.  He cashed those checks and deliver the money to subcontractors or other individuals who were responsible for paying the laborers. For his services, Peck would keep a fee of 6-10% of the contractor’s check.  From 2012 through 2019, Peck transmitted at least $58,248,103.38. 

Investigators believe the purpose of the business was to avoid employment taxes and higher workers compensation premiums.

Peck waived indictment and was charged in a Felony Information filed in July 2020.

Peck earned significant income through his business and failed to report it on his personal taxes. As a part of his plea agreement, Peck agreed to file accurate and complete personal tax returns for the tax years 2012-2017.  He also agreed to forfeit his interest in property.

He faces up to five years in prison when he sentenced Nov. 5, 2020, by U.S. District Judge Howard C. Nielson, Jr. 

Assistant U.S. Attorneys in the Utah U.S. Attorney’s Office are prosecuting the case.  Special agents with IRS-Criminal Investigation are investigating the case.

KANSAS CITY, Mo. – U.S. Attorney Tim Garrison announced today that 355 arrests have been made by local and federal law enforcement officers in Operation LeGend.

Among those arrested since the launch of the operation, 88 are federal defendants in the Western District of Missouri and 21 are federal defendants in Kansas (18) and Texas (3). Among the remaining 246 arrests, 33 were homicide cases and 62 were fugitives with either state or federal warrants for their arrest. The remaining 151 non-fugitive arrests were either supervised release violators or were referred for prosecution in state court.

In addition to the arrests, agents and officers have seized 122 firearms during Operation LeGend.

The U.S. Attorney’s Office is not able to track cases that are referred for prosecution in state court or in other districts. Defendants have been charged in the Western District of Missouri with the following federal crimes: 
-    35 defendants have been charged with being a felon in possession of a firearm;
-    26 defendants have been charged with drug trafficking;
-    Five defendants have been charged with being a drug user in possession of a firearm; 
-    Six defendants have been charged with being in possession of a firearm in furtherance of drug trafficking;
-    Five defendants have been charged with being in possession of a firearm in furtherance of violent crime;
-    Two defendants have been charged with being a felon in possession of ammunition;
-    Four defendants have been charged with armed robbery;
-    Three defendants have been charged with carjacking; and
-    Two defendants have been charged with arson.

Operation LeGend
Operation LeGend is a federal partnership with local law enforcement to address the increase in homicides and violent crime in Kansas City, Mo., in 2020. The operation honors the memory of four-year-old LeGend Taliferro, one of the youngest fatalities during a record-breaking year of homicides and shootings. Additional federal agents were assigned to the operation from the FBI, Drug Enforcement Administration, the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the U.S. Marshals Service.

Columbia, South Carolina --- United States Attorney Peter M. McCoy, Jr., announced today that Brandon Marquis Kimble, 30, and Cravelyn Squilla Davis, 25, both of Rock Hill, were sentenced in federal court after pleading guilty to conspiracy to possess with the intent to distribute controlled substances and money laundering. Kimble was sentenced to 11 years, and Davis was sentenced to 12 years.

Evidence presented to the court showed that this case stemmed from a joint investigation by the Federal Bureau of Investigation (FBI) and the Rock Hill Police Department into individuals who were obtaining large amounts of cocaine, methamphetamine, and marijuana from a distributor in Southern California. Some of these individuals were flying to California and shipping the drugs back to the Rock Hill area, including Charlotte, N.C. Kimble and Davis were a part of this organization, which later began to obtain fentanyl and began to press fake prescription pills that were sold on the streets. 

United States District Judge Mary G. Lewis sentenced Kimble to 132 months in federal prison and Davis to 144 months in federal prison, with both sentences to be followed by a five-year term of court-ordered supervision. There is no parole in the federal system.

The case was investigated by agents of the FBI, Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), Drug Enforcement Administration (DEA), Internal Revenue Service (IRS), Rock Hill Police Department, and York County Sheriff's Office. Assistant United States Attorneys William K. Witherspoon, T. DeWayne Pearson, and Elliott B. Daniels, all of the Columbia office, prosecuted the case.

#####

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.

Columbia, South Carolina --- United States Attorney Peter M. McCoy, Jr., announced today that Candice Johnson Dooley, 40, of Lexington, was sentenced to nearly six years in federal prison after pleading guilty to possession with intent to distribute methamphetamine and cocaine.

Evidence presented in court established that on December 21, 2018, deputies with the Lexington County Sheriff’s Department responded to Dooley’s residence in search of a fugitive.  Dooley allowed law enforcement to look inside the residence, and upon entering, they observed drug paraphernalia in plain view.  Law enforcement obtained and executed a search warrant on the residence and located approximately 241 grams of methamphetamine, approximately two grams of cocaine, baggies commonly used to package drugs for individual sales, and digital scales.  Dooley admitted to possessing the drugs and making drug sales.

United States District Judge Mary G. Lewis sentenced Dooley to 70 months in federal prison, to be followed by a four-year term of court-ordered supervision.  There is no parole in the federal system.

This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and the Lexington County Sheriff’s Department. This case was prosecuted as part of the joint federal, state, and local Project Safe Neighborhoods (PSN), 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. Assistant United States Attorney William K. Witherspoon of the Columbia office, along with Special Assistant United States Attorney Casey Rankin Smith of the 11th Judicial Circuit, prosecuted the case.

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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.

LEXINGTON, Ky. - Sierra Monique Green, 24, and Martinus Shamar Watts, 31, both of Lexington, have pleaded guilty before U.S. District Judge Karen Caldwell, to conspiring with others to distribute 40 grams or more of fentanyl and distribution of fentanyl resulting in serious bodily injury. 

According to court records, including Green’s plea agreement, from March 2019 until September 2019, Martinus Watts, Green, , and Karmon Jamel Watts, 26, conspired to distribute more than 40 grams of fentanyl. Additionally, on March 20, 2019, Martinus Watts and Green delivered approximately one-half gram of fentanyl to a victim. The victim ingested a portion of the substance and lost consciousness. First responders arrived shortly thereafter to find the victim not breathing. After administering several doses of Narcan, the victim was revived, received medical treatment and survived the overdose.

On June 20, 2019, law enforcement executed a search warrant at the residence shared by Martinus Watts and Green. Officers located $67,000 in U.S. currency, 2 loaded firearms, and various controlled substances. In their plea agreements, both Watts and Green admitted that the currency was the proceeds of their drug trafficking activity.

Martinus Watts pleaded guilty in August 2020, and Green entered her guilty plea yesterday. Karmon Jamel Watts pleaded guilty in May 2020.

Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky; Jeffrey Todd Scott, Special Agent in Charge for the Drug Enforcement Administration, Louisville Field Division; and Chief Lawrence Weathers, Lexington Police Department, jointly announced the guilty plea.

The investigation was conducted by the DEA and Lexington Police Department. The United States was represented by Assistant U.S. Attorney Gary Todd Bradbury.   

Martinus Shamar Watts is scheduled to be sentenced on November 19, 2020. Green is scheduled to be sentenced on November 30, 2020. Each face a mandatory minimum of 20 years in prison for the crime of distribution of fentanyl resulting in serious bodily injury, and a mandatory minimum of 5 years for the conspiracy to distribute fentanyl charge. Karmon Watts faces a mandatory minimum of 5 years imprisonment for the fentanyl conspiracy. However, any sentence will be imposed by the Court, after its consideration of the U.S. Sentencing Guidelines and the federal sentencing statutes. 

This case was prosecuted as part of Operation Synthetic Opioid Surge (S.O.S.), a focused enforcement effort that seeks to reduce the supply of deadly synthetic opioids in high impact areas.

— END —

CHICAGO — The former mayor of southwest suburban McCook, who also served as a Cook County Commissioner, pleaded guilty in federal court today to extortion conspiracy and tax charges.

JEFFREY R. TOBOLSKI admitted in a plea agreement that during his tenures as mayor and Cook County Commissioner he agreed to accept multiple extortion and bribe payments totaling more than $250,000.  Tobolski admitted that he abused his elected positions in order to benefit individuals who paid him the money.  One such arrangement cited in the plea agreement involved Tobolski scheming with a McCook police officer to accept cash payments from the owner of a McCook restaurant in exchange for Tobolski’s and the police officer’s permission to host events that involved the sale of alcohol.

Tobolski, 55, of McCook, pleaded guilty to one count of conspiracy to commit extortion, which is punishable by a maximum sentence of 20 years in federal prison, and one count of filing a false tax return, which is punishable by up to three years.  U.S. District Judge Harry D. Leinenweber did not immediately set a sentencing date.

The guilty plea was announced by John R. Lausch, Jr., United States Attorney for the Northern District of Illinois; Emmerson Buie, Jr., Special Agent-in-Charge of the Chicago Field Office of the FBI; and Kathy A. Enstrom, Special Agent-in-Charge of IRS Criminal Investigation in Chicago.  The government is represented by Assistant U.S. Attorneys Christopher J. Stetler and Tiffany A. Ardam.

In regard to the tax charge, Tobolski admitted in the plea agreement that he willfully underreported his income on his tax returns for the calendar years 2012 through 2018.  The conduct caused total losses to the IRS of at least $56,268, and the Illinois Department of Revenue of at least $9,338, the plea agreement states.

PENSACOLA, FLORIDA– United States Attorney Lawrence Keefe, of the Northern District of Florida, today announced that Colin Fisher, a citizen of the United Kingdom, pleaded guilty to federal charges of violating the International Emergency Economic Powers Act (“IEEPA”) and attempted smuggling in relation to exporting power generating equipment to Iran. Fisher was arrested by federal agents when he arrived in Pensacola from the United Arab Emirates earlier this month to consummate the illegal transaction and get equipment for a buyer in Iran. 

Fisher, 45, admitted in United States District Court in Pensacola that from October 1, 2017, to August 7, 2020, he worked to violate the Iranian embargo by attempting to export a Solar Mars 90 S turbine core engine and parts from the United States for delivery to an end user in Iran. This included participating in fraudulent invoicing and using coded language with conspirators to communicate about the illegal transactions. Despite these efforts, law enforcement authorities discovered the plan and were able to seize the turbine before its transatlantic journey to the end user in Iran, a conspirator in Iran who is linked to an Iranian energy company. The intercepted turbine, which was valued at half a million dollars, could be used to provide needed energy to the oil fields of Iran.

“Exporting technology to Iran is prohibited for a very good reason, yet this defendant chose to put his own self-interest above global and national security,” U.S. Attorney Keefe said. “This case should send a clear signal that the United States cannot and will not look the other way when persons endanger the safety of our nation and its people. We will enforce these laws, which are vital to our national security, against those both within the United States and abroad.”

James Meharg, CEO and president of Turbine Resources International, LLC, in Pensacola, was previously convicted of conspiring with Fisher to export a large turbine and parts from the United States to an Iranian recipient in violation of the Iranian Transactions and Sanctions Regulations.  Meharg is currently serving a 40-month sentence in federal prison.

 “The commitment of the Bureau of Industry and Security to protect our nation’s security against terrorist procurement networks in State Sponsors of Terrorism countries such as Iran remains unwavering,” said P. Lee Smith, Performing the Non-exclusive Functions and Duties of the Assistant Secretary for Export Enforcement in the Department of Commerce’s Bureau of Industry and Security. “These continued efforts to bring all conspirators to justice are demonstrated in this most recent guilty plea.”

Assistant United States Attorney David L. Goldberg has prosecuted the case following a joint investigation by the United States Department of Commerce’s Bureau of Industry and Security along with the Federal Bureau of Investigation.

Fisher faces up to 20 years imprisonment for violating the International Emergency Economic Powers Act and up to 10 years imprisonment for attempted smuggling. A sentencing date has been set for November 10, 2020, at 9:00 a.m. at the United States Courthouse in Pensacola.

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

Factual Basis For Guilty Plea C. Fisher

Press Release - Colin Fisher

BILLINGS – Violent crime in Yellowstone County has increased significantly since COVID-19 appeared in Montana, a trend law enforcement attribute to methamphetamine and domestic violence, federal and local law enforcement officials announced today.

Yellowstone County has had 67 more victims of murder, robbery and aggravated assault this year for the months March through July than there were for the same period in the previous year, almost a 21 percent increase. The crimes include eight murders, more than occurred in all of 2019, along with numerous non-fatal shooting and stabbings. Robberies have also increased 44 percent.

U.S. Attorney Kurt Alme, Yellowstone County Attorney Scott Twito, Yellowstone County Sheriff Mike Linder and Billings Police Chief Rich St. John discussed the increasing violence during a press conference on the Yellowstone County Courthouse Lawn.

“Those who push meth will be caught and prosecuted to the full extent of the law. In addition, those with a firearm after committing domestic violence or receiving a restraining order will be prosecuted federally. I want to thank our federal, state and local law enforcement for confronting this violence in spite of risks from COVID, and our prosecutors and staff for their hard work during this time. Now more than ever, I also urge our community to support our crisis and drug treatment services through Yellowstone Substance Abuse Connect,” U.S. Attorney Kurt Alme said.

"Despite the efforts of our law enforcement we continue to see an increase in violent crime in Billings and Yellowstone County.  COVID has added tremendous amounts of stress to this community, including the criminal justice system.  We need the public's help. Please watch out for your neighbor, and if you see a crime, report it immediately," Yellowstone County Attorney Scott Twito said.

“Since before the onset of COVID, we have seen a steady uptick in violent crime.  Now that COVID has fully affected life in Billings, we continue to see increases, especially in domestic assault and weapons cases.  There have been eight murders from March through July. And there was one murder in August. Most all of the homicides have one common denominator, methamphetamine.  It continues to drive crime in Billings.  We remain committed to work with our partners to aggressively pursue, investigate, and arrest offenders.  COVID is a distraction, but it will not deter us from the very important work of keeping the community safe," Billings Police Chief Rich St. John said.

 “Our jail may be crowded, but we will always make room for those who belong in jail," Yellowstone County Sheriff Mike Linder said. "I would just like to remind everyone that the Yellowstone County Detention Facility is open for business. Law enforcement officers in our community remain committed to investigating, arresting and prosecuting the violent criminals in our community. This would include those who continue to sell the drugs that are plaguing our community," Sheriff Linder added.

The law enforcement officials explained that both meth dealing and use have contributed to the increase in violent crime. A July report by Millennium Health showed that since March, positive meth urinalysis tests in Montana have increased almost 34 percent. The nationwide increase for positive meth tests is almost 20 percent. The report also found that nearly half of all Americans believe COVID-19 is harming their mental health.

In response to previous increases in meth-related violent crime in Yellowstone County, in 2018, the U.S. Attorney’s Office, together with federal, state, and local law enforcement reinvigorated Project Safe Neighborhoods (PSN), a U.S. Department of Justice initiative to reduce violent crime.

Since PSN began in Yellowstone County, 270 individuals have been charged with meth distribution, armed robbery and firearms offenses in federal court, 333 pounds of meth and 343 firearms have been seized, including 78 semi-automatic rifles.  In addition, the U.S. Marshal’s Service’s Violent Offender Task Force has arrested 1,334 offenders through July.

The officials also urged support for expanding drug prevention and treatment programs through the community plan created earlier this year by Yellowstone Substance Abuse Connect, a coalition of non-profit and governmental organizations working to reduce the demand for meth.

PSN Yellowstone County’s partners include the U.S. Attorney’s Office; Yellowstone County Attorney’s Office; Montana Department of Justice’s Prosecution Services Division, Highway Patrol and the Division of Criminal Investigation; Montana Department of Correction’s Adult Probation and Parole Division; Billings and Laurel police departments; Yellowstone County Sheriff’s Office; Alcohol, Tobacco, Firearms and Explosives; Drug Enforcement Administration; FBI; Homeland Security Investigations and U.S. Marshal’s Service.

###

Florence, South Carolina --- United States Attorney Peter M. McCoy, Jr., announced today that Terry Shawn Petrill, 48, of Myrtle Beach, was sentenced to two years in federal prison and ordered to pay back more than $340,000 after pleading guilty to theft of federal funds.

“Those who steal from our local governments are raiding the South Carolina taxpayers,” said U.S. Attorney McCoy. “This is unacceptable, and as this case shows we will seek prison time and restitution against those who engage in such theft. I appreciate the dedicated work of our law enforcement partners and government officials in Horry County who provided critical assistance in this case.”

Evidence presented to the court showed that beginning on June 11, 2015, through August 23, 2018, Petrill ordered forty-one Cisco 3850 network switches that were to be installed on the Horry County network.  During this time period, Horry County received federal program funding. When the switches would arrive, Petrill advised that he would handle the installation. Petrill did not install the switches on the network and instead sold them to third parties and kept the proceeds for himself.  Petrill sold several of the switches on eBay and other third-party websites.  Petrill’s actions caused a loss to Horry County of $345,265.57. A spokesperson for Horry County noted that although the situation was unfortunate, the process worked, justice was served, and Horry County was thankful to their federal partners for their help in investigating and prosecuting the case.

Chief United States District Judge R. Bryan Harwell sentenced Petrill to 24 months in federal prison, to be followed by a three-year term of court-ordered supervision. There is no parole in the federal system.

The case was investigated by agents of the Federal Bureau of Investigation (FBI), assisted by the Horry County Police Department. Assistant United States Attorney Everett McMillian prosecuted the case.

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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 – A federal grand jury in Maryland today indicted two Nigerian nationals, Johnson B. Ogunlana, age 24, of Middle River, Maryland, and Samson A. Oguntuyi, age 29, of Atlanta, Georgia, on the federal charges of conspiracy to commit bank fraud and mail fraud, access device fraud, aggravated identity theft, theft of mail by a postal employee and destruction of mail by a postal employee.  

The indictment was announced by United States Attorney for the District of Maryland Robert K. Hur; Special Agent in Charge Imari R. Niles of the U.S. Postal Service, Office of Inspector General; Postal Inspector in Charge Peter R. Rendina of the U.S. Postal Inspection Service - Washington Division; and Special Agent in Charge J. Russell George of the Treasury Inspector General for Tax Administration (TIGTA).

According to the indictment, Ogunlana was a letter carrier for the U.S. Postal Service (USPS) in Brooklyn, Maryland.  Ogunlana understood that his duties and responsibilities as a letter carrier included handling, sorting, collecting, and delivering letter and parcel mail to postal customers residing and conducting business on his assigned postal delivery routes, and preserving and protecting the security of all mail in his custody.

The 30-count indictment alleges that Ogunlana conspired with Oguntuyi and others to steal bank checks, credit cards, and debit cards from the mail, open fraudulent business banking accounts using the names of victim businesses and the stolen identities of victim postal customers negotiate the stolen checks by depositing them into the fraudulent bank accounts, and then conduct transactions with stolen payment cards and with money derived from the stolen checks.

As detailed in the indictment, members of the conspiracy would register fraudulent businesses with state government agencies using the names of victim businesses and the names and identifying information of postal customer identity theft victims as the agents and/or incorporators of the businesses.  Ogunlana and others allegedly used stolen payment cards issued to identity theft victims to pay fees to register some of the fraudulent businesses.  The defendants also allegedly obtained banks checks payable to the victim businesses by intercepting mail sent via USPS, endorsed some of the checks by forging the signatures of identity theft victims, and deposited the checks into the fraudulent business bank accounts the conspirators opened in the names of the victim businesses.  The conspirators then withdrew the money from the accounts through cash withdrawals, debit card purchases and cash back transactions at retail merchants, wire transfers, and by writing checks drawn on the accounts.

The indictment alleges that at least $565,000 was stolen from two victim businesses and that at least eight postal customers were victims of identity theft.

If convicted, Ogunlana and Oguntuyi each face a maximum sentence of 30 years in federal prison for conspiracy to commit bank fraud and mail fraud and for each of 10 counts of bank fraud.  Ogunlana also faces a maximum sentence of 15 years in prison for access device fraud; a mandatory sentence of two years, consecutive to any other sentence imposed for each of five counts of aggravated identity theft; a maximum of five years in federal prison for each of five counts of theft of mail by a postal employee; and a maximum of five years in federal prison for each of eight counts of destruction of mail by a postal employee.  Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.  The defendants are expected to have initial appearance in U.S. District Court in Baltimore, although no date has been scheduled..

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

United States Attorney Robert K. Hur commended the U.S. Postal Service Office of Inspector General, U.S. Postal Inspection Service, and TIGTA for their work in the investigation.  Mr. Hur thanked Assistant U.S. Attorney Matthew J. Maddox, who is prosecuting the case.

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GREENEVILLE, Tenn. – On August 31, 2020, Troy J. McRath, 43, of Elizabethton, was sentenced by the Honorable J. Ronnie Greer, in the United States District Court for the Eastern District of Tennessee at Greeneville.  

On July 17, 2019, McRath was found guilty at trial of conspiracy to distribute 50 grams or more of methamphetamine.  McRath is sentenced to serve 240 months in prison for his role in a conspiracy to distribute methamphetamine in the Eastern District of Tennessee.

In the spring of 2017, multiple local and federal agencies worked together to develop suspects in a methamphetamine distribution conspiracy in Elizabethton, Tennessee.  Through the investigation, McRath was determined to be involved in the drug conspiracy.  McRath purchased methamphetamine and then redistributed the methamphetamine to drug users in Elizabethton.

This investigation was the product of a partnership between the DHS-HSI, DEA, and Elizabethton and Carter County Joint Drug Task Force.  Assistant U.S. Attorneys Meghan L. Gomez and Andrew C. Parker represented the United States in court proceedings.

The investigation resulted from the Department of Justice’s Organized Crime and Drug Enforcement Task Force (OCDETF) program, the centerpiece of the Department of Justice’s drug supply reduction strategy.  OCDETF was established in 1982 to conduct comprehensive, multi-level attacks on major drug trafficking and money laundering organizations.  Today, OCDETF combines the resources and expertise of its member federal agencies in cooperation with state and local law enforcement.  The principal mission of the OCDETF program is to identify, disrupt, and dismantle the most serious drug trafficking and money laundering organizations and those primarily responsible for the nation’s drug supply.

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A Michigan man was arrested today in connection with a wire fraud scheme involving $3.1 million in Paycheck Protection Program (PPP) loans guaranteed by the Small Business Administration (SBA) under the Coronavirus Aid, Relief, and Economic Security (CARES) Act. 

Acting Assistant Attorney General Brian C. Rabbitt of the Justice Department’s Criminal Division, U.S. Attorney Matthew Schneider of the Eastern District of Michigan, Steven M. D’Antuono, Special Agent in Charge of the Detroit, Michigan office of the Federal Bureau of Investigation, and Inspector General Hannibal Mike Ware of the SBA’s Office of the Inspector General (OIG), made the announcement.

Antonio George, 44, of Novi, Michigan, was charged with a criminal complaint, unsealed today, in the Eastern District of Michigan with one count of wire fraud.  He made his initial appearance today before U.S. Magistrate Judge David R. Grand.

The complaint alleges that George was the nexus in obtaining approximately $3.1 million in PPP loans through applications to insured financial institutions, and others, on behalf of 19 different companies.  The complaint alleges that George provided false and misleading documents about certain of the companies’ respective business operations and payroll expenses.  As an example of such false documentation, the complaint alleges that George submitted identical wage information and employee count records for two separate companies. One of those companies has allegedly not been operational since 2015.

“Small businesses across Michigan have received loans from the Paycheck Protection Program, and these loans have kept these businesses alive,” stated United States Attorney Schneider. “Every dollar stolen from the program is a dollar stolen from struggling businesses in need.  So to the scammers, if you think law enforcement isn’t paying attention to the damage you’re doing to Michigan business owners, you’re dead wrong and we will be coming after you.”  

The CARES Act is a federal law enacted March 29.  It is designed to provide emergency financial assistance to millions of Americans who are suffering the economic effects resulting from the COVID-19 pandemic.  One source of relief provided by the CARES Act is the authorization of up to $349 billion in forgivable loans to small businesses for job retention and certain other expenses through the PPP.  In April 2020, Congress authorized over $300 billion in additional PPP funding. The CARES Act also authorizes the SBA to provide Economic Injury Disaster Loans (EIDL) of up to $2 million to eligible small businesses experiencing financial disruption due to the COVID-19 pandemic.

The PPP allows qualifying small businesses and other organizations to receive loans with a maturity of two years and an interest rate of one percent.  Businesses must use PPP loan proceeds for payroll costs, interest on mortgages, rent and utilities.  The PPP allows the interest and principal to be forgiven if businesses spend the proceeds on these expenses within a set time period and use at least a certain percentage of the loan towards payroll expenses.

A criminal complaint is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.

This case was investigated by the FBI and the SBA-OIG.  Trial Attorney Patrick J. Suter of the Criminal Division’s Fraud Section and Assistant U.S. Attorney John K. Neal of the Eastern District of Michigan are prosecuting the case.

Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.

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.

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NEWARK, N.J. – A Morris County, New Jersey, resident was sentenced today to 94 months in prison for perpetrating a sophisticated computer hacking scheme that targeted two companies in New Jersey, U.S. Attorney Craig Carpenito announced.

Ankur Agarwal, 45, of Montville, New Jersey, previously pleaded guilty before U.S. District Judge Susan D. Wigenton in Newark federal court to two counts of obtaining information from computers and one count of aggravated identity theft. Judge Wigenton imposed the sentence today.

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

Beginning in February 2017, Agarwal admitted that he physically trespassed onto a company’s premises in New Jersey (Company One). Agarwal illegally installed hardware key-logger devices onto Company One’s computers. The key-logger devices covertly recorded the keystrokes of the company’s employees and gave Agarwal their usernames and passwords. Agarwal also surreptitiously installed his personal computer and a hard drive onto the company’s computer network. Using the fraudulently obtained logon credentials of company employees, Agarwal hacked into the company’s computer network and targeted various employees, including employees developing an emerging technology. Agarwal admitted that he stole, transferred, and exfiltrated Company One’s data and information, including its emerging technology. Agarwal also created a malicious computer code designed to exfiltrate data, installed it on the company’s computer systems, and executed the code to steal and transfer data to himself.

Agarwal also admitted that he hacked into, targeted, and stole data and information from a second company in New Jersey (Company Two). Using the same general scheme, Agarwal physically trespassed onto Company Two’s premises, illegally installed hardware key-logger devices onto the company’s computers, installed his personal computer and a hard drive onto the company’s computer network, and stole, transferred, and exfiltrated Company Two’s data and information, including an emerging technology that Company Two was developing.

In furtherance of his hacking scheme against Company Two, Agarwal also obtained unauthorized access into an employee’s computer system and then fraudulently created an access badge for himself. This fraudulently obtained access badge, bearing another individual’s name, allowed Agarwal to physically trespass onto Company Two’s premises.

In addition to the prison term, Judge Wigenton sentenced Agarwal to three years of supervised release and fined him $25,000.

U.S. Attorney Carpenito credited special agents of the FBI’s Cyber Division, under the direction of Special Agent in Charge George M. Crouch Jr. in Newark, with the investigation leading to today’s sentencing.

The government is represented by Assistant U.S. Attorney Matthew Feldman Nikic of the Cybercrime Unit in Newark.

John H. Durham, United States Attorney for the District of Connecticut, announced that CARLOS SOTO, also known as “Puchie,” 39, of New Britain, was sentenced today by U.S. District Judge Michael P. Shea in Hartford to 46 months of imprisonment, followed by three years of supervised release, for trafficking firearms.

According to court documents and statements made in court, in 2018, the FBI’s Northern Connecticut Gang Task Force began investigating Ricardo Reyes, also known as “Rick the Ruler,” a member of the Los Solidos street gang who was distributing fentanyl, heroin, cocaine and crack in the area of Park Street and Hungerford Street in Hartford.  During the investigation, law enforcement conducted multiple controlled purchases of narcotics from Reyes.  Court-authorized wiretaps confirmed that Reyes was distributing narcotics to numerous customers, and identified individuals who supplied drugs to Reyes and associates who sold drugs on his behalf.  Intercepted communications also revealed that Norman Klosek of Enfield was acting as a “straw purchaser” of firearms for Reyes.  Klosek, who was addicted to heroin/fentanyl, purchased and then illegally sold, or “loaned,” a total of 47 handguns to support his drug addiction. 

On April 22, 2019, multiple intercepted communications revealed that Reyes and Soto were brokering a gun deal where Julio Martinez, of New Britain, arranged to purchase two firearms from Reyes and Soto for $800.  On that date, Reyes picked up Klosek in Enfield and drove to a licensed gun dealer in Newington where Klosek, who had a valid state firearm permit, purchased two handguns.  Klosek then provided the guns to Reyes.  After the purchase, law enforcement observed Reyes, Soto and Martinez at a location on High Street in New Britain.  Martinez then left the High Street location and traveled by car to a nearby grocery store.  Investigators believed that Martinez was in possession of the two firearms, but Martinez, in fact, had traveled to the grocery store to use an ATM to retrieve cash for the firearms purchase.  Investigators stopped and searched Martinez as he attempted to exit the store.  The search revealed $850 in cash.  Later that day, investigators conducted a traffic stop of Reyes’ vehicle in New Britain and seized the two firearms.

Soto, Reyes, Martinez and several co-defendants were arrested on federal criminal complaints on June 17, 2019.  On that date, investigators seized two additional guns that had been purchased by Klosek.

On June 27, 2019, a grand jury Hartford returned a 32-count indictment charging Soto, Reyes, Martinez and 12 associates with various narcotics trafficking and firearm possession offenses.

Soto has been detained since his arrest.  On December 12, 2019, he pleaded guilty to one count of possession of a firearm by a convicted felon.

Reyes, Martinez and Klosek also pleaded guilty.  On June 30, 2020, Martinez was sentenced to 46 months of imprisonment.   Reyes and Klosek await sentencing.

To date, approximately 11 of the 47 guns purchased by Klosek have been recovered by law enforcement.  One gun was recovered after it was used in a shooting in Hartford on August 22, 2019.

The FBI’s Northern Connecticut Gang Task Force includes members of the Hartford Police Department, East Hartford Police Department, Connecticut State Police and Connecticut Department of Correction.  The Hartford Police Department’s Vice and Narcotics Division and the New Britain Police Department have provided valuable assistance to the investigation.  This case is being prosecuted by Assistant U.S. Attorney Brian P. Leaming.