The Office of the United States Attorney for the District of Vermont stated that Ralph Mariani (a.k.a. “D”), 28, of West Hartford, Connecticut was sentenced on July 20, 2022 in United States District Court in Rutland, Vermont by Chief Judge Geoffrey W. Crawford to 70 months of imprisonment.  Mariani had previously pleaded guilty to conspiracy to distribute heroin, fentanyl, cocaine, and cocaine base in the Rutland, Vermont area.  Judge Crawford also ordered that Mariani serve three years of supervised release by the U.S. Probation Office after he serves his term of imprisonment.  

Mariani’s three codefendants, Cedano Brownswell of Hartford, Connecticut, Rashane Wedderburn of Hartford, Connecticut, and Jasmine Wendell of West Rutland, Vermont, have all pleaded guilty to drug trafficking offenses and are awaiting sentencing.  

According to court records and proceedings, on November 18, 2020, law enforcement executed a federal search warrant for an apartment on Traverse Place in Rutland, Vermont.  Mariani, Wedderburn, Brownswell, and Wendell were all present at the time of this search.  Law enforcement seized approximately 72 grams of powder cocaine, 45 grams of cocaine base, 69 bags of fentanyl, and 52 Oxycodone pills.  The search also resulted in the seizure of four firearms, including a loaded 9mm pistol located on the living room couch.  Law enforcement also seized a total of over six thousand dollars in cash from Mariani, Cedano, and Wedderburn. The government argued that a long sentence was justified because Mariani’s offense involved drug trafficking for profit, possession of firearms, violence, and threats of violence, including his assault of a female drug addict to coerce her into dealing drugs for him in the Rutland area. 

United States Attorney Nikolas P. Kerest commended the joint efforts in this investigation by the Vermont State Police (Narcotics Investigation Unit), the Federal Bureau of Investigation, the Bureau of Alcohol, Tobacco, Firearms, and Explosives, the Rutland City Police, and Homeland Security Investigations. This case is prosecuted by Assistant U.S. Attorney Joseph Perella.  Mariani is represented by Gerald Klein, Esq. of Hartford, Connecticut.

McALLEN, Texas – A South Texas man and woman have been ordered to federal prison for production of child pornography and coercion and enticement of a minor, announced U.S. Attorney Jennifer B. Lowery.

Reid Etheridge, 42, McAllen, and Alicia Cronkhite, 30, Edinburg, pleaded guilty April 1, 2021.

Today, U.S. District Judge Randy Crane ordered Etheridge to serve a life sentence. Cronkhite was ordered to serve 189 months to be immediately followed by a lifetime of supervised release. At the hearing, the court heard additional facts discussing the abuse both minor victims sustained at Etheridge and Cronkhite’s hands. In handing down the sentence, Judge Crane considered and heavily weighed the chances that Etheridge would re-offend in the future should he be released from federal prison. Judge Crane also considered that Etheridge manipulated Cronkhite into participating in their criminal conduct.

“This lengthy sentence is a testament to the repugnant nature of child exploitation crimes, particularly the production of child pornography which only perpetuates the trauma endured by victims,” said Acting Special Agent in Charge Alejandro Amaro of Homeland Security Investigations (HSI) in San Antonio. “HSI agents make it a top priority to protect vulnerable children from victimization by working with their law enforcement partners to investigate predators involved with the production, distribution and possession of child sexual abuse material and ensure they are held accountable for their heinous actions.”

Etheridge had filmed himself committing the sexual abuse and assault of two minor children from on or about Jan. 1, 2020, to approximately Oct. 1, 2020. As part of her guilty plea, Cronkhite admitted she took photographs of one minor victim’s exposed genitals and transmitted those photographs to Etheridge at his request.

The investigation began when authorities identified an IP address in McAllen that had uploaded images and videos depicting minor children engaged in sex acts. On Oct. 2, 2020, law enforcement executed a search warrant and encountered Etheridge at the residence. He soon admitted he had filmed himself sexually assaulting one minor victim.

Further investigation revealed communication between Etheridge and Cronkhite detailing the sexual exploitation of another minor victim. Authorities searched her residence, at which time she admitted she produced multiple images of a minor victim and transmitted the images to Etheridge.

Etheridge and Cronkhite will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.

Homeland Security Investigations - Rio Grande Valley Child Exploitation Investigations Task Force conducted the investigation.

Assistant U.S. Attorney Michael Mitchell prosecuted the case, which was brought as part of Project Safe Childhood (PSC), a nationwide initiative the Department of Justice (DOJ) launched in May 2006 to combat the growing epidemic of child sexual exploitation and abuse. U.S. Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section leads PSC, which marshals federal, state and local resources to locate, apprehend and prosecute individuals who sexually exploit children and identifies and rescues victims. For more information about PSC, please visit DOJ’s PSC page. For more information about internet safety education, please visit the resources tab on that page.

EVANSVILLE – A federal grand jury in Evansville returned an indictment today charging Casey White, 38, of Florence, Alabama, with being a felon in possession of a firearm and a fugitive in possession of a firearm.

According to court documents, on April 29, 2022, White escaped from jail in Lauderdale County, Alabama. On May 9, 2022, White allegedly possessed five firearms in Evansville, Indiana, including four handguns and an AR15 rifle. White was legally prohibited from possessing firearms because he was a fugitive from justice and due to his 2019 felony convictions for attempted murder and kidnapping in Limestone County, Alabama.

White is currently detained in the custody of Alabama authorities on other charges and will make his initial appearance in the Southern District of Indiana at a later date. If convicted, the defendant faces up to ten years in federal prison on each count. Actual sentences are determined by a federal district court judge and are typically less than the maximum penalties.

Zachary A. Myers, U.S. Attorney for the Southern District of Indiana, and Herbert J. Stapleton, Special Agent in Charge of the FBI Indianapolis Field Division made the announcement.

The case was investigated by the Federal Bureau of Investigation. The U.S. Marshals Service and the Vanderburgh County Sheriff’s Office provided valuable assistance.

U.S. Attorney Myers thanked Assistant U.S. Attorney Lauren Wheatley who is prosecuting this case.

An indictment is merely an allegation, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.

PITTSBURGH - After deliberating for approximately one hour, a federal jury of six men and six women found James Taric Byrd guilty of three counts of federal narcotics trafficking and firearms charges, United States Attorney Cindy K. Chung announced today.

Byrd, 45, formerly of Pittsburgh’s Lincoln Park section, was tried before United States District Judge Cathy Bissoon in Pittsburgh, Pennsylvania.

According to Assistant United States Attorneys Brendan T. Conway and Benjamin J. Risacher, who prosecuted the case, the evidence presented at trial established that on February 23, 2015, the McKeesport Police Department, while responding to a call after Byrd threatened to shoot up a house in McKeesport, arrested Byrd. On his person and in his vehicle, officers found a loaded and stolen firearm, a bulletproof vest, and quantities of heroin, cocaine, and marijuana. The defendant has numerous prior felony convictions, including for robbery, kidnapping, aggravated assault, obstruction of justice, and illegal gun possession, and he was therefore prohibited by federal law from possessing firearms and ammunition.

During the trial, the defendant assaulted his counsel, and the trial continued without the defendant. The defendant, however, returned to the courtroom and testified.

Judge Bissoon scheduled sentencing for Dec. 5, 2022. The law provides for a maximum total sentence of life in prison, a fine of $1,500,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based on the seriousness of the offenses and the prior criminal history of the defendant.

The McKeesport Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives conducted the investigation that led to the prosecution of Byrd.

WASHINGTON – A former police chief in Amite City and current Amite City councilmember pleaded guilty yesterday in New Orleans, Louisiana, to criminally violating federal election laws as part of a conspiracy to pay, or offer to pay, voters for voting in a federal election. 

According to court documents, Jerry Trabona, 72, the former Chief of Police in Amite City, and Kristian “Kris” Hart, 49, a current Amite City councilmember, pleaded guilty to conspiring to pay and offering to pay voters residing in Tangipahoa Parish, Louisiana, for voting in the 2016 open primary election and the 2016 open general election. Trabona and Hart admitted that they agreed with each other and others to pay or offer to pay voters during contests in which the defendants were candidates, and in which federal candidates appeared on the same ballot.

In addition to the conspiracy with Trabona, Hart pleaded guilty to three counts of paying and offering to pay voters during both the 2016 and 2020 elections. In both elections, Hart was running for the seat he currently holds on the Amite City Council.

“The Department of Justice is committed to ensuring that illegal voting, including vote buying, has no place in our nation’s electoral system,” said Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division.

“We must have fair elections, free from the taint of corruption, to ensure a fully functional government,” stated U.S. Attorney Duane A. Evans for the Eastern District of Louisiana. “Safeguarding the voting process is of paramount importance to our office and the Department of Justice.”

“Providing a voter with money or something of value in exchange for voting is a federal crime,” said Special Agent in Charge Douglas A. Williams, Jr. of the FBI New Orleans Field Office. “Today’s guilty pleas sends a clear message that individuals like former Amite Chief of Police Jerry Trabona and current Amite City Councilmember Kris Hart, who engaged in voter fraud, will be held accountable. We thank our partners at the Department of Justice Criminal Division’s Public Integrity Section and the United States Attorney’s Office Eastern District of Louisiana for helping disrupt voter fraud and continuing to protect the right to vote.” 

Both defendants are scheduled to be sentenced on Nov. 1 and face up to five years in prison on each count. A federal district court judge will determine any sentence after considering the U.S. Sentencing guidelines and other statutory factors. 

Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division; U.S. Attorney Duane A. Evans of the Eastern District of Louisiana; and Special Agent in Charge Douglas Williams of the FBI’s New Orleans Field Office made the announcement.

The case was investigated by the FBI’s New Orleans Field Office.

Trial Attorneys Michael N. Lang and Rosaleen T. O’Gara of the Criminal Division’s Public Integrity Section and Assistant U.S. Attorney M. Irene González of the Eastern District of Louisiana are prosecuting the case.

Tampa, Florida – United States Attorney Roger B. Handberg announces the return of an indictment charging Raequin Smith (26, Tampa) with possessing a firearm as a convicted felon, possessing with the intent to distribute a controlled substance, and possessing a firearm in furtherance of a drug trafficking crime. If convicted, Smith faces up to 20 years in federal prison for the controlled substance offense, up to 10 years’ imprisonment for possessing a firearm as a convicted felon, and up to 5 years’ imprisonment for possessing the firearm in furtherance of a drug trafficking crime. The indictment also notifies Smith that the United States intends to forfeit all firearms and ammunition recovered as a result of the offense conduct.

According to the indictment, on April 5, 2022, Smith knowingly possessed a Glock .45 caliber pistol and 11 rounds of ammunition, and a Schedule II controlled substance (cocaine). Smith had previously been convicted of aggravated battery on or about September 18, 2014. Therefore, he is prohibited from possessing a firearm or ammunition under federal law.

This is another case prosecuted as part of the Department of Justice’s “Project Safe Neighborhoods” Program (PSN), which is a nationwide crime reduction strategy aimed at decreasing violent crime in communities.  It involves a comprehensive approach to public safety – one that includes investigating and prosecuting crimes, along with prevention and re-entry efforts.  In the Middle District of Florida, U.S. Attorney Roger B. Handberg coordinates PSN efforts in cooperation with various federal, state, and local law enforcement officials.

An indictment is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty. 

This case was investigated by the Bureau of Alcohol, Tobacco, Firearm and Explosives, and the Tampa Police Department.  It will be prosecuted by Assistant United States Attorney Maria Guzman.

Fort Myers, Florida – U.S. District Judge Thomas P. Barber today sentenced Herman Fleming (29, Fort Myers) to 12 years in federal prison for possessing a firearm as a convicted felon, possessing with the intent to distribute methamphetamine and fentanyl, and supervised release violations.  Fleming had pleaded guilty in March 2022.

According to court documents, on August 24, 2021, an undercover ATF agent watched Fleming, a convicted felon, purchase an AK-47 style rifle at a North Fort Myers flea market. The agent recognized Fleming because, in nearly identical circumstances four years earlier, the agent had personally witnessed Fleming illegally purchase a rifle at a North Fort Myers gun show. That investigation resulted in federal charges for Fleming and a three-year federal prison sentence.

Knowing Fleming and that he had recently been released from prison, the undercover ATF agent and deputies from the Lee County Sheriff’s Office followed Fleming from the flea market and conducted a traffic stop on his vehicle. Inside the vehicle, the officers found the AK-47 Fleming had purchased, as well as 25 grams of pure methamphetamine and 10 grams of fentanyl, which Fleming admitted he had intended to distribute to others.

This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives with assistance from the Lee County Sheriff’s Office. It was prosecuted by Assistant United States Attorney Michael Leeman.

This is another case prosecuted as part of the Department of Justice’s “Project Safe Neighborhoods” Program (PSN), which is a nationwide, crime reduction strategy aimed at decreasing violent crime in communities. It involves a comprehensive approach to public safety — one that includes investigating and prosecuting crimes, along with prevention and reentry efforts. In the Middle District of Florida, U.S. Attorney Roger B. Handberg coordinates PSN efforts in cooperation with various federal, state, and local law enforcement officials.

Glenn County Man Indicted for Being a Felon in Possession of Firearms and Ammunition

SACRAMENTO, Calif. — A federal grand jury returned a one-count indictment today against Erick S. Perez, 34, of Orland, charging him with being a felon in possession of ammunition, U.S. Attorney Phillip A. Talbert announced. 

According to court documents, on April 1, 2021, Perez was found to be in possession of 26 rounds of 9 mm ammunition, which was loaded into two “ghost guns.” Ghost guns do not contain serial numbers and are sold without background checks, making them difficult to trace and easy to acquire. Perez is prohibited from possessing firearms or ammunition because he was previously convicted of four felonies, including a 2021 conviction for being a felon in possession of a firearm.

This case is the product of an investigation by the Federal Bureau of Investigation, the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Glenn County Investigations and Narcotics Task Force, the Orland Police Department, and the Glenn County District Attorney’s Office. Assistant U.S. Attorney Emily G. Sauvageau is prosecuting the case.

If convicted, Perez faces a maximum statutory penalty of 10 years in prison and a $250,000 fine. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.

This case is being prosecuted as part of the joint federal, state, and local 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.

ELKINS, WEST VIRGINIA – David Lee Hockenberry, of Fisher, West Virginia, was sentenced today to 120 months of incarceration for a drug charge, United States Attorney William Ihlenfeld announced.

Hockenberry, 49, pleaded guilty in February 2022 to one count of “Possession with Intent to Distribute More Than Five Grams of Methamphetamine.” Hockenberry admitted to having more than five grams of methamphetamine, also known as “crystal meth” and “ice,” in Hardy County in March 2021.

Assistant U.S. Attorney Stephen D. Warner prosecuted the case on behalf of the government. The Potomac Highlands Drug Task Force, a HIDTA-funded initiative, investigated.

Chief U.S. District Judge Thomas S. Kleeh presided.

RICHMOND, Va. – Three individuals pleaded guilty to participating in a conspiracy to use the personal identifying information (PII) of Virginia prison inmates in order to fraudulently obtain COVID-19 pandemic-related unemployment benefits.

According to court documents, Veldreka L. Crockett, 31, of Hopewell, pleaded guilty today, the last of the three defendants in the conspiracy to enter a guilty plea. Crockett was an employee of a company contracted by the Commonwealth of Virginia to provide services related to the Commonwealth's management of its Medicaid program. In this capacity, Crockett worked to determine the Medicaid eligibility of incarcerated individuals in the Commonwealth.  

At the same time, in 2020 and 2021, Crockett conspired with at least two other inmates at Virginia correctional institutions – Clarence Stith III, 38, of Lawrenceville Correctional Center in Lawrenceville, and Andre C. Mason, Jr., 35, of Greensville Correctional Center in Jarratt – to collect the PII of other Virginia inmates. After receiving the inmate information from her co-defendants, Crockett used it to file pandemic unemployment claims on behalf of at least 30 inmates with the Virginia Employment Commission (VEC). The defendants caused the VEC to disburse approximately $318,727 in fraudulent pandemic-related unemployment benefits. The VEC was able to reclaim $25,920 of the disbursed funds after discovering the fraud. 

In order for the claims to be successful, Crockett and her co-conspirators included numerous false statements about the inmates’ addresses, last employers, and employment statuses, including that they were unable to work because of the pandemic. In truth, the inmates could not work and did not qualify for unemployment benefits because they were incarcerated. Crockett and her co-conspirators also filed weekly re-certifications for unemployment claims to ensure that the VEC would continue to pay benefits. Such UI claims caused the VEC to create and send pre-paid debit cards in the name of the Virginia inmates to addresses designated by Crockett and her co-conspirators.

Crockett coordinated with Stith and Mason to ensure that Crockett would receive the pre-paid debit cards in the name of Virginia inmates so that Crockett could take a portion of the funds. As part of the scheme, Crockett also transferred funds from these pre-paid debit cards to Stith via Stith's prison commissary account and to individuals designated by Mason.  

Crockett pleaded guilty to conspiring to commit mail fraud and aggravated identity theft. She faces a maximum sentence of 32 years in prison and a mandatory minimum sentence of two years when sentenced on October 20. Stith pleaded guilty to conspiring to commit mail fraud and aggravated identity theft. He faces a maximum sentence of 32 years in prison and a mandatory minimum sentence of two years when sentenced on October 20. Mason pleaded guilty to conspiring to commit mail fraud. He faces a maximum sentence of 30 years in prison when sentenced on October 13. 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. 

Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia, and Joseph V. Cuffari, Inspector General for the Department of Homeland Security, made the announcement after U.S. Magistrate Judge Mark R. Colombell accepted the plea.Assistant U.S. Attorney Avi Panth is 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 Nos. 3:22-cr-32.

A 72-year-old El Paso man was sentenced today to 15 years in federal prison for attempted bank robbery, announced U.S. Attorney for the Northern District of Texas Chad E. Meacham.

James Earl Green, Jr. was first charged in August 2020. He was convicted at trial in April and sentenced Thursday by U.S. District Judge James Wesley Hendrix.

According to evidence presented at trial, at approximately 7:40 a.m. on Sept. 24, 2019, Mr. Green accosted a First State Bank employee as she was attempting to enter the bank for opening.

Mr. Green held a handgun to the employee’s head and pushed her inside the bank, where he held her for approximately 20 minutes. During that time, surveillance video caught the defendant on camera pacing back and forth with an identifiable limp.

A second bank employee arrived at 7:57 a.m., and a struggle ensued. During the melee, Mr. Green struck the first employee on the head with his handgun. He then fled on foot without obtaining any money, leaving his two duffel bags behind.

At today’s sentencing hearing, one of the employees recounted that she still suffered anxiety stemming from the attack.

“Every single time I walk through the back door or my workplace, I clearly see the robber coming out of the bushes and holding his gun on me.  I can still hear his voice telling me that he was going to kill me if I tried anything.  I can clearly hear him say that if I tried to warn my co-worker, he would kill her and that it would be my fault,” she said in a statement to the court. “Even as time has passed, this crime is still so fresh on my mind, like it happened only yesterday.”

Following the incident, an anonymous tipster notified the Abilene Police Department that a gold Cadillac had been parked across the street from the bank the morning before the robbery. Law enforcement then identified the Cadillac – a four door sedan with its front right hub cap cover missing – in surveillance video pulled from the bank’s vicinity. An employee of the City of Abilene narrowed down gold Cadillacs from a list of more than 11,000 to locate a matching gold Cadillac belonging to Mr. Green. 

After learning that Mr. Green lived in El Paso, officers reached out to an individual there that knew him, who reviewed the bank surveillance video and noted that the robber in the video walked in a similar manner to Mr. Green, who wore a prosthetic leg. She also shared a photo of Mr. Green’s Cadillac, which was gold and missing its front right hub cap cover.

Meanwhile, the Texas Department of Public Safety’s Crime Lab extracted a DNA profile from the duffel bag, ran it through the FBI’s Combined DNA Index System (CODIS), and found a match to a sample from Mr. Green.  Additionally, a member of the FBI’s Cellular Analysis Survey Team obtained historical cell phone data from Mr. Green’s cell phone provider and placed Mr. Green’s cell phone traveling to Abilene from El Paso days before the attempted bank robbery and returning from Abilene to El Paso immediately following the attempted robbery.

The Abilene Police Department, the Federal Bureau of Investigation’s Dallas and El Paso Field Offices, and the Texas Department of Public Safety’s Crime Laboratory conducted the investigation. Assistant U.S. Attorneys Callie Woolam and Ryan Redd tried the case.

SACRAMENTO, Calif. — U.S. District Judge Troy L. Nunley sentenced Liana Karapetyan, 42, of El Dorado Hills, today to 18 months in prison for one count of conspiracy to commit health care fraud and one count of conspiracy to pay and receive health care kickbacks, U.S. Attorney Phillip A. Talbert announced.

According to court documents, Karapetyan and her husband, Akop Atoyan, owned and controlled home health care and hospice agencies in the greater Sacramento area: ANG Health Care Inc., Excel Home Healthcare Inc., and Excel Hospice Inc. On behalf of the agencies, Karapetyan and Atoyan certified to Medicare that they would not pay kickbacks in exchange for Medicare beneficiary referrals to the agencies.

Despite their certifications, from at least July 2015 through April 2019, Karapetyan and Atoyan paid and directed others to pay kickbacks to multiple individuals for beneficiary referrals, including employees of health care facilities, as well as employees’ spouses. The kickback recipients included John Eby, a registered nurse who worked for a hospital in Sacramento; Anita Vijay, the director of social services at a skilled nursing and assisted living facility in Sacramento; Jai Vijay, Anita Vijay’s husband; and Mariela Panganiban, the director of social services at a skilled nursing facility in Roseville.

In total, Karapetyan, Atoyan, and others caused the agencies to submit over 8,000 claims to Medicare for the cost of home health care and hospice services. Based on those claims, Medicare paid the agencies approximately $31 million. Of that amount, Medicare paid the agencies at least $2 million for services purportedly provided to beneficiaries referred in exchange for kickbacks paid to, among others, Eby, Anita Vijay, Jai Vijay, and Panganiban. Because the agencies obtained the beneficiary referrals by paying kickbacks, the agencies should not have received any Medicare reimbursement.

This case was the product of an investigation by the Federal Bureau of Investigation and the Department of Health and Human Services’ Office of Inspector General. Assistant U.S. Attorney Matthew Thuesen prosecuted the case.

In separate cases, Atoyan, Eby, Jai Vijay, Anita Vijay, and Panganiban pleaded guilty for their roles in the kickback scheme. They await sentencing.

      LITTLE ROCK—A federal jury convicted a Little Rock man who distributed the fentanyl that resulted in a person’s overdose death in early 2021. Following a three-day trial and after one hour of deliberation, the jury convicted Jemel Foster, 32, of four federal drug and firearm crimes, including distribution of fentanyl that resulted in death.

      Foster was also convicted of possessing fentanyl with intent to distribute it, being a felon in possession of a firearm, and possessing a firearm in furtherance of a drug-trafficking crime.

      The jury returned the verdict Wednesday evening to United States District Court Judge Billy Roy Wilson. Judge Wilson will sentence Foster, who remains in federal custody, at a later date. The statutory minimum sentence for the distribution of fentanyl resulting in death is 20 years, plus an additional minimum of five years for possessing the firearm in furtherance of a drug-trafficking crime.

      “Drug crime is violent crime. We are very pleased with this verdict that demonstrates the importance of holding drug dealers accountable for the harm they inflict upon others,” stated United States Attorney Jonathan D. Ross. “The senseless death of a young woman is a tragic example of just how violent drug crimes can be, and the defendant who sold her the fentanyl that took her life will now be held accountable for his actions. Thank you to our law enforcement partners who have helped achieve justice in this case.”

      On July 6, 2021, a grand jury charged Foster in a superseding indictment with the four counts he took to trial, all of which related to two January evenings in 2021.

      The evidence at trial revealed that on the evening of January 11, 2021, a woman purchased fentanyl from Foster around 7:22 p.m. in the parking lot of a Little Rock Walgreen’s store. According to testimony from the medical examiner who conducted her autopsy, the woman died from a fatal dose of fentanyl around midnight that evening at her mother’s nearby home. After discovering her body the next morning, the woman’s family contacted the Little Rock Police Department, and eventually the Drug Enforcement Administration (DEA). At trial, the DEA agents involved in the case explained how they were able to identify Foster as the source of the fatal fentanyl from data in the victim’s phone.

      The DEA, believing Foster would not be aware the woman had died, used the victim’s phone to contact Foster on January 12, 2021, and ask if he had any more fentanyl for sale. Foster agreed to meet at the same Walgreen’s parking lot the person he believed would be the woman who purchased fentanyl from him the night before. When Foster arrived at the parking lot, the DEA arrested him and located eight bags of fentanyl in his pants, totaling approximately four grams, and a firearm in his vehicle.

      At trial, the medical examiner testified that there is no safe dosage of illicit fentanyl, and tiny amounts of the substance can kill a person nearly immediately. The medical examiner also located two bags of fentanyl in the victim’s clothing that exactly matched the eight bags of fentanyl Foster had in his pants on January 12. 

      “Fentanyl is an extremely dangerous opioid that has led to numerous overdose deaths across the country, including here in our state,” DEA Assistant Special Agent in Charge Jarad Harper said. “The DEA, along with our local, state, and federal partners have been, and will continue to aggressively investigate and arrest those individuals who profit from the pain and suffering of others. This conviction demonstrates law enforcement’s devotion to working collaboratively and aggressively to combat drug trafficking.”

      The statutory penalties for Foster’s convictions are: distribution of fentanyl resulting in death, 20 years to life imprisonment; possession of fentanyl with intent to distribute, up to 20 years’ imprisonment; felon in possession of a firearm, up to 10 years’ imprisonment; and possession of a firearm in furtherance of a drug-trafficking crime, five years to life imprisonment, consecutive to any other sentence imposed. The drug offenses carry additional penalties of up to a $1,000,000 fine and at least three years of supervised release. The firearm offenses include penalties of up to a $250,000 fine and up to three years of supervised release.

      The investigation was conducted by DEA, with assistance from the Little Rock Police Department and Arkansas State Police. The case was prosecuted by Assistant United States Attorneys Chris Givens and Benecia Moore.

# # #

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

BOSTON – The founder of My Big Coin Pay Inc., (My Big Coin) a purported cryptocurrency and virtual payment services company headquartered in Las Vegas, Nev., was convicted by a federal jury today in connection with a scheme to defraud investors by marketing and selling fraudulent virtual currency. 

Randall Crater, 51, of East Hampton, N.Y., was convicted of four counts of wire fraud, three counts of unlawful monetary transactions, and one count of operating an unlicensed money transmitting business. U.S. District Court Judge Denise J. Casper scheduled sentencing for Oct. 27, 2022. Crater was arrested and charged in February 2019.

“Fraud is fraud. Mr. Crater preyed on investors and offered them false opportunities in the expanding cryptocurrency marketplace to swindle them out of millions of dollars for his own personal use,” said United States Attorney Rachael S. Rollins. “Mr. Crater saw the burgeoning popularity of crypto as a chance to get rich quick through an unscrupulous fraud scheme cloaked by flashy marketing tactics and outright lies. In the end, he is just another fraudster who made his way into the booming world of cryptocurrency. My office will continue to pursue criminals who seek to exploit and victimize investors with proposals based in fraud and deceit. Today’s conviction sends a clear message that we are monitoring the digital currency realm and bad actors will be found and prosecuted.”

“Cryptocurrency scams are on the rise, and today’s verdict proves that Randall Crater orchestrated one when he deceived and defrauded unsuspecting investors out of more than $6 million which he spent on luxury items for himself, including artwork, antiques, and jewelry,” said Joseph R. Bonavolonta, Special Agent in Charge of the FBI Boston Division. “The FBI works diligently to investigate this type of fraud and we thank the jury for their verdict today, and for sending a clear message of the consequences of such greed.”

“The defendant preyed on victims with what appeared to be an unstoppable rise in cryptocurrency values, when in reality investors were only funding his lavish lifestyle,” said Eric Shen, Inspector in Charge of the U.S. Postal Inspection Service’s Criminal Investigations Group. “The U.S. Postal Inspection Service is proud to work on these complex fraud cases, alongside its federal law enforcement partners, to ensure criminals are brought to account.”

Crater founded My Big Coin in 2013, offering virtual payment services through a fraudulent digital currency, “My Big Coins,” which he marketed to investors between 2014 and 2017 using misrepresentations about the nature and value of Coins. Crater and his associates falsely claimed that Coins were a fully functioning cryptocurrency backed by $300 million in gold, oil and other valuable assets. Crater also falsely told investors that My Big Coin has a partnership with MasterCard and that Coins could readily be exchanged for government-backed paper currency or other virtual currencies. Crater promulgated these misrepresentations through social media, the internet, email and text messages.

In reality, Coins were not backed by gold or other valuable assets, did not have a partnership with MasterCard and were not readily transferable. Over the course of the scheme, Crater misappropriated over $6 million of investor funds for his own personal gain and spending on goods, including hundreds of thousands of dollars’ worth of expenses on antiques, artwork and jewelry.

In January 2018, the Commodity Futures Trading Commission (CFTC) announced commodity fraud charges against Crater and My Big Coin Inc. The CFTC also filed civil charges against the Chief Executive Officer of My Big Coin, John Roche, and two of Crater’s associates Mark Gillespie and Michael Kruger. The civil action was stayed on March 8, 2019, pending resolution of the criminal case.

The charge of wire fraud provides for a sentence of up to 20 years in prison, three years of supervised release and a fine of $250,000, or twice the gross gain or loss. The charges of unlawful monetary transactions provide for a sentence of up to 10 years in prison, three years of supervised release and a fine of $250,000, or twice the value of the criminally derived property. The charge of operating an unlicensed money transmitting business provides for a maximum sentence of five years in prison, three years of supervised release and a fine of $250,000, or twice the gross gain or loss. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.

U.S. Attorney Rollins, Kenneth A. Polite, Jr., Assistant Attorney General of the Justice Department’s Criminal Division, FBI SAC Bonavolonta and USPIS Inspector in Charge Shen made the announcement today. The CFTC also provided valuable assistance with the matter.  Assistant U.S. Attorney Christopher J. Markham, of Rollins’ Securities, Financial & Cyber Fraud Unit, and Trial Attorney Babasijibomi Moore of the Criminal Division’s Fraud Section are prosecuting the case.

PITTSBURGH - A suburban Pittsburgh resident has been sentenced in federal court to four years’ probation, 180 days of house arrest, and a fine of $4,000 for his conviction on Interstate Transportation of Stolen Property, United States Attorney Cindy K. Chung announced today. He was also ordered to make full restitution to the University of Pittsburgh.

United States District Judge Arthur J. Schwab imposed the sentence on Christopher D. Casamento, age 43, of the Ross Township area.

According to information presented to the court, Casamento, the former Director of Emergency Management at the University of Pittsburgh, was charged with stealing Personal Protective Equipment from the University, during the height of the Covid pandemic from February 28, 2020, to March 22, 2020. Casamento stole over 13,000 pieces of Aura N95 and other respirator masks and sold them from his eBay vendor page to buyers nationwide at excessive prices in February and March 2020. Casamento earned approximately $18,783.50.

Assistant United States Attorney Gregory C. Melucci prosecuted this case on behalf of the government.

United States Attorney Chung commended the Federal Bureau of Investigation for the investigation leading to the successful prosecution of Casamento.

BOSTON – A Salvadoran man residing in Lynn was sentenced on July 19, 2022 in federal court in Boston for illegally reentering the United States after deportation.

Inmar Samuel Aguiluz-Palacios, 29, was sentenced by U.S. Senior District Court Judge William G. Young to 18 months in prison and three years of supervised release. Aguiluz-Palacios will be subject to deportation proceedings upon completion of his sentence. In March 2022, Aguiluz-Palacios pleaded guilty to one count of illegal reentry.

Aguiluz-Palacios was deported in May 2014. In June 2015, Aguiluz-Palacios was encountered in Texas and determined to be illegally present in the United States. He was convicted in the Southern District of Texas and deported. In December 2015, Aguiluz-Palacios illegally returned to the United States and was again encountered in Texas, determined to be illegally present in the United States, convicted and deported. At some point following this second 2015 removal, Aguiluz-Palacios illegally reentered the United States and was arrested and charged with assault with a dangerous weapon in August 2021 in Lynn. In January 2022, Aguiluz-Palacios was convicted of assault and sentenced to nine months in state prison. In April 2022, Aguilar-Palacios completed his state sentence and was transferred to federal authorities.

United States Attorney Rachael S. Rollins and Todd M. Lyons, Field Office Director, Boston, U.S. Immigration and Customs Enforcement’s Enforcement and Removal Operations in Boston made the announcement today. Assistant U.S. Attorney Kenneth G. Shine of Rollins’ Major Crimes Unit prosecuted the case.

Greenbelt, Maryland – A federal jury late yesterday convicted Jose David Navarro Cervellon, age 41, of Norcross, Georgia, on federal charges related to a murder-for-hire.    

The guilty verdict was announced by United States Attorney for the District of Maryland Erek L. Barron; Special Agent in Charge Thomas J. Sobocinski of the Federal Bureau of Investigation, Baltimore Field Office; Acting Postal Inspector in Charge Tira Hayward of the U.S. Postal Inspection Service - Washington Division; and Chief Malik Aziz of the Prince George’s County Police Department.

According to the evidence presented at his eight-day trial and to court documents, Navarro was an associate of Miguel Angel Ayala Rivera, who was the leader of the Pinos Locos Salvatrucha clique of MS-13.  In November 2016, co-defendant Miguel Antonio Renderos was looking for someone to murder Victim 1 in exchange for $10,000.  Navarro introduced Renderos to Ayala Rivera, who agreed to commit the murder.

The evidence presented at trial proved that Renderos wanted Victim 1 to be killed because in 2012, after Renderos allowed the victim to move into the basement of Renderos’s home, Victim 1 began to have a romantic relationship with Renderos’s wife.  With Navarro serving as the middleman between Renderos and Ayala Rivera, the defendants exchanged phone calls to arrange the murder.

As detailed at trial and in court documents, between November 1 and November 30, 2016, Navarro paid for a hotel room for Ayala Rivera and a co-conspirator at a hotel in College Park.  During that time, Ayala Rivera, Navarro and the co-conspirator conducted surveillance of Victim 1 in and around Victim 1’s residence.  On November 30, 2016, Navarro drove Ayala Rivera and the co-conspirator to Victim 1’s residence, where Ayala Rivera shot and killed Victim 1.  After the murder, Navarro left the area with Ayala Rivera and the co-conspirator and took Ayala Rivera to collect payment from Renderos for the murder of Victim 1.

Navarro faces a mandatory sentence of life prison for the murder-for-hire conspiracy and for the use of interstate commerce facilities in the commission of a murder-for-hire; and a mandatory minimum of 10 years in federal prison, consecutive to any other sentence imposed, and up to life in prison for murder resulting from the use, carrying, brandishing and discharging of a firearm during and in relation to a crime of violence.  U.S. District Judge Paula Xinis has not yet scheduled sentencing for Navarro.

Co-defendants Miguel Angel Ayala Rivera, age 28, of Silver Spring, Maryland, and Miguel A. Renderos, age 47, of Hyattsville, Maryland, each pleaded guilty to their roles in the murder-for-hire and are scheduled to be sentenced on August 5, 2022, at 12:00 p.m. and September 6, 2022, at 10:00 a.m., respectively.  In a related case, Luis Cruz Hernandez, age 28, of Silver Spring, Maryland, previously pleaded guilty to his role in the murder-for-hire and was sentenced to 51 years in federal prison

This case is part of an Organized Crime Drug Enforcement Task Force (OCDETF) investigation.  OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.

United States Attorney Erek L. Barron commended the FBI, the U.S. Postal Inspection Service, and the Prince George’s County Police Department for their work in the investigation and thanked the Montgomery County Police Department and the Prince George’s County State’s Attorney’s Office for their assistance.  Mr. Barron thanked Assistant U.S. Attorneys William D. Moomau and Leah B. Grossi, who are prosecuting the case.

For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to help the community, please visit www.justice.gov/usao-md and https://www.justice.gov/usao-md/community-outreach.

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            WASHINGTON – A Memphis, Tennessee area man was found guilty today by a jury in the District of Columbia of felony and misdemeanor offenses for his actions during the Jan. 6, 2021, Capitol breach. His actions and the actions of others disrupted a joint session of the U.S. Congress convened to ascertain and count the electoral votes related to the presidential election.

            Matthew Bledsoe, 38, of Olive Branch, Mississippi, was found guilty of the felony offense of obstruction of an official proceeding, and four misdemeanor offenses, including entering and remaining in a restricted building or grounds; disorderly and disruptive conduct in a Capitol Building; disorderly conduct in a Capitol Building, and parading, demonstrating, or picketing in a Capitol Building. The jury trial was before Chief Judge Beryl A. Howell in the U.S. District Court.

            According to the government’s evidence, in the days immediately following the Nov. 3, 2020, election, Bledsoe began posting to social media about the presidential election. On Jan. 6, 2021, he attended a rally near the Ellipse. Bledsoe then headed to the Capitol, and illegally entered the Capitol grounds shortly after 2:13 p.m. He then moved to the Capitol Building itself. He scaled a wall at the Upper Northwest Terrace and entered through a fire door at the Senate Wing. Among other things, he yelled, “In the Capitol. This is our house. We pay for this s---. Where’s those pieces of s---at?” He climbed a statue and was outside the corridor to the House Chamber and hallways near the Speaker’s Lobby. He left the building about 2:47 p.m., after approximately 22 minutes inside.

            Within two hours, however, Bledsoe returned, lingering outside the East Rotunda Doors as law enforcement officers worked to secure the building and grounds.

            In the days following the riot, Bledsoe continued to message with friends and family and post on social media regarding what happened on Jan. 6. For example, on Jan. 7, he posted on Facebook photos of Members of Congress taking cover and security officers defending the Members during the riot. One caption read, “How corrupt politicians should feel.”

            Bledsoe, formerly of Cordova, Tennessee, was arrested on Jan. 13, 2021.

            He is to be sentenced on Oct. 21, 2022. The felony obstruction charge carries a statutory maximum of 20 years in prison and potential financial penalties. The four misdemeanor offenses carry a combined statutory maximum of three years of incarceration and potential financial penalties. The Court will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.

            The case is being prosecuted by the U.S. Attorney’s Office for the District of Columbia. Valuable assistance was provided by U.S. Attorney’s Office for the Western District of Tennessee and the Department of Justice’s Criminal Division.

            The case is being investigated by the FBI’s Memphis Field Office. Valuable assistance was provided by the FBI’s Washington Field Office, the U.S. Capitol Police, and the Metropolitan Police Department.

            In the 18 months since Jan. 6, 2021, more than 850 individuals have been arrested in nearly all 50 states for crimes related to the breach of the U.S. Capitol, including over 260 individuals charged with assaulting or impeding law enforcement. The investigation remains ongoing. 

            Anyone with tips can call 1-800-CALL-FBI (800-225-5324) or visit tips.fbi.gov.

Louisville, Kentucky – A federal grand jury in Louisville returned an indictment yesterday charging a local man with thirteen counts of fraud related to various CARES Act financial assistance programs.

According to court documents, between August 5, 2020, and October 5, 2021, Blake Patterson, 37, of Louisville, Kentucky filed eleven fraudulent applications for various CARES Act financial assistance programs, including Paycheck Protection Program (PPP) loans and Economic Injury Disaster Loans (EIDL), resulting in the theft of $133,802 and attempted theft of an additional $608,704.50.  Patterson organized the entities et Propellente, Darke Rose, and Link LLC after the onset of the Covid 19 pandemic.  He then exaggerated the gross revenues, number of employees, and payroll of those entities in the fraudulent applications he filed.  Patterson was granted one EIDL payment in the amount of $67,900 and one PPP loan in the amount of $65,902.  Patterson further submitted a fraudulent application seeking forgiveness of the PPP loan, which was ultimately granted.

The Small Business Administration (SBA) PPP loans were designed to provide a direct incentive for small businesses who were in operation on February 15, 2020, to keep their workers on the payroll. PPP loan proceeds were required to be used by the business on certain permissible expenses.  Interest and principal on PPP loans could be entirely forgiven if the business spent the loan proceeds on the allowable expenses within a designated period of time and used a certain percentage of the PPP loan proceeds on payroll expenses.

The CARES Act authorized the SBA to provide EIDLs of up to $2 million to eligible small businesses experiencing substantial financial disruption due to the COVID-19 pandemic. EIDL proceeds could be used to pay fixed debts, payroll, accounts payable and other bills that could have been paid had the disaster not occurred.   

Patterson is charged with twelve counts of wire fraud in violation of Title 18, United States Code, Section 1343 and one count of bank fraud in violation of Title 18 United States Code Section 1344. The defendant made his initial court appearance today before a U.S. Magistrate Judge in the U.S. District Court for the Western District of Kentucky. If convicted, he faces a maximum penalty of 270 years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.

U.S. Attorney Michael A. Bennett of the Western District of Kentucky and Kelly K. Moening, Special Agent in Charge, Treasury Inspector General for Tax Administration, Great Lakes Field Division, made the announcement.  

The Treasury Inspector General for Tax Administration (TIGTA) is investigating the case. 

Assistant U.S. Attorney Nicole Elver is prosecuting the case.

On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the Department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.

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 (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.

An indictment is merely an allegation, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.

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CAMDEN, N.J. – A Burlington County, New Jersey, woman was sentenced today to one year and one day in prison for her role in a GoFundMe scam that gained nationwide attention, U.S. Attorney Philip R. Sellinger announced.

Katelyn McClure, 32, of Bordentown, New Jersey, previously pleaded guilty before U.S. District Judge Jerome B. Simandle to an information charging her with one count of conspiracy to commit wire fraud. U.S. District Judge Noel L. Hillman imposed the sentence today in Camden federal court.

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

In November 2017, McClure and Mark D’Amico, 43, allegedly created a crowd-source funding page on GoFundMe’s website titled “Paying It Forward.” The campaign solicited donations from the public purportedly for the benefit of a homeless veteran, Johnny Bobbitt, 39, of Philadelphia. McClure and D’Amico posted a story that McClure was driving home from Philadelphia on Interstate 95 and ran out of gas. Bobbitt acted as a “good Samaritan” and rescued McClure by using his last $20 to buy gasoline for her. The website stated that funds were being solicited to get Bobbitt off the streets and provide him with living expenses, setting a goal of $10,000. 

In reality, McClure never ran out of gas and Bobbitt never spent his last $20 for her.  D’Amico and McClure allegedly conspired to create the false story to obtain money from donors. The story was quickly picked up by local and national media outlets and went viral and raised approximately $400,000 from more than 14,000 donors in less than three weeks. 

The donated funds were transferred by D’Amico and McClure from GoFundMe into accounts that they controlled. The majority of the money allegedly was quickly spent by D’Amico and McClure on personal expenses over the next three months.

In mid-November of 2017, when the donations had reached approximately $1,500, D’Amico and McClure told Bobbitt about the campaign and the false gas story. In December of 2017, after setting up a bank account for Bobbitt, D’Amico and McClure deposited $25,000 of proceeds of the scheme into Bobbitt’s account.

In addition to the prison term, Judge Hillman sentenced McClure to three years of supervised release and ordered her to pay $400,000 in restitution. D’Amico previously pleaded guilty and was sentenced in April 2022 to 27 months in prison; Bobbitt pleaded guilty and is awaiting sentencing.

U.S. Attorney Sellinger credited assistant prosecutors and detectives of the Burlington County Prosecutor’s Office, under the direction of Prosecutor Lachia L. Bradshaw; officers of the Florence Township Police Department; special agents of IRS-Criminal Investigation, under the direction of Special Agent in Charge Tammy Tomlins; and special agents of the FBI, under the direction of Special Agent in Charge James E. Dennehy in Newark, with the investigation leading to today’s sentencing.

The government is represented by Assistant U.S. Attorney Jeffrey Bender of the  Criminal Division in Camden.