Council Bluffs, IA- On September 5, 2017, James Lee Palmer, a 56 year-old resident of Missouri Valley, Iowa, was sentenced by United States District Court Judge Rebecca Goodgame Ebinger, to 120 months in prison for possession of child pornography announced United States Attorney Kevin E. VanderSchel. Palmer’s term of imprisonment is to be followed by ten years of supervised release.

On April 20, 2017, Palmer entered a guilty plea to a federal indictment charging Palmer with possession of child pornography on or about May 11, 2016. The charge was the result of an investigation into the posting of an image depicting child pornography upon a cloud based storage service. Law enforcement followed up with a search warrant of Palmer’s residence and located computers that contained over 300 of images of child pornography.

The investigation was conducted by the Iowa Division of Criminal Investigation’s Internet Crimes Against Children Task Force, the Missouri Valley, Iowa Police Department, and the Federal Bureau of Investigation. The case was prosecuted by the United States Attorney’s Office for the Southern District of Iowa.

BOSTON – A Georgia man was sentenced today in federal court in Boston for trafficking oxycodone.

Tony Berry, a/k/a Mazibrawl, 37, of College Park, Ga., was sentenced by U.S. District Court Judge Nathaniel M. Gorton to 70 months in prison and three years of supervised release. In April 2017, Berry pleaded guilty to conspiracy to possess with intent to distribute oxycodone.

Berry, a former Massachusetts resident, was involved in the importation and distribution of close to 5,000 oxycodone pills in Massachusetts, along with other co-conspirators, including his brother Willie Berry. Tony Berry, one of 48 defendants tied to the Columbia Point Dawgs (CPD), was indicted in June 2015 for drug trafficking.

According to documents filed in court, the CPD, also known on the street as “the Point,” was Boston’s largest and most influential city-wide gang. The criminal organization started in the 1980s in the former Columbia Point Housing Development (now Harbor Point) and, over the years, gang members established drug trafficking crews throughout Boston. It is alleged that the CPD was responsible for the distribution of multiple kilo quantities of heroin, cocaine, crack cocaine, and oxycodone throughout Boston and Maine.

Acting United States Attorney William D. Weinreb; Harold H. Shaw, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; Michael J. Ferguson, Special Agent in Charge of the Drug Enforcement Administration, New England Field Division; Mickey D. Leadingham, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives, Boston Field Division; John Gibbons, U.S. Marshal for the District of Massachusetts; Suffolk County District Attorney Daniel F. Conley; Colonel Richard D. McKeon, Superintendent of the Massachusetts State Police; Suffolk County Sheriff Steven W. Tompkins; Boston Police Commissioner William Evans; and Commissioner Thomas Turco of the Massachusetts Department of Correction, made the announcement.

SHREVEPORT/LAFAYETTE, La. –Acting U.S.Attorney Alexander C. Van Hook announced that the U.S. Attorney’s Offices in Shreveport and Lafayette collected more than 294 pounds of food and non-perishable items this week that were delivered to two local food pantries.

In all, federal employees contributed 294 pounds of food to the Food Bank of Northwest Louisiana in Shreveport and FoodNet: The Greater Acadiana Food Bank in Lafayette. The Shreveport U.S. Attorney’s Office gathered 180 pounds of the total, and the Lafayette U.S. Attorney’s Office gathered 114 pounds. Donation boxes for the Feds Feed Families food drive campaign were located at the federal courthouses in Shreveport and Lafayette. The food drive campaign ended September 1, 2017.

“The Feds Feed Families food drive campaign provides federal employees an opportunity to help their communities,” Van Hook stated. “Food pantries are always in need of assistance, and during the summer, sometimes donations and contributions can run low. I want to thank the federal employees in our office as well as the U.S. Courts and other agencies who gave food, time and other resources.”

The Food Bank of Northwest Louisiana began in 1995 when a group of individuals from churches with food pantries and benevolent organizations met to discuss the need to establish a local food bank to serve the parishes of Northwest Louisiana.The Food Bank of Northwest Louisiana is the largest distributor of donated food for the seven-parish area and is one of only five food banks in the state. They sort, warehouse and distribute food to more than 120 non-profit organizations in the seven-parish region, which includes: Caddo, Bossier, Bienville, Claiborne, Desoto, Red River and Webster parishes. For more information about the Food Bank of Northwest Louisiana, visit their website at www.foodbanknla.org or call (318) 675-2400.

FoodNet: The Greater Acadiana Food Bank, a non-profit food bank serving Lafayette Parish, was established in October 1987. FoodNet has distributed tens of thousands of tons of food since opening, and presently serves several agencies including: Faith House of Acadiana women’s shelter, the Children’s Shelter, St. Joseph Shelter for Men, Acadiana Youth Shelter for Girls, St. Joseph Diner, the Red Cross, Alleman Center, Acadiana Cares, St. Francis Foundation for Substance Abuse and the Arc. For more information, visit www.foodnetacadiana.orgor call (337) 232-3663.

In the United States, 50 million people are challenged with hunger, including 17 million children. Feds Feed Families was started when Rep. Frank Wolf (R-Va.) and former Office of Personnel Management Director John Berry realized that food donations were dropping during the summer months because many families were on vacation. The campaign has run every summer since 2009, and to date, it has collected nearly 70 million pounds of food, including more than 12.5 million pounds last year alone.

For more information visit www.usda.gov/fedsfeedfamilies or callthe U.S. Attorney’s Office, Western District of Louisiana, at 337-262-6618.

KANSAS CITY, Mo. – Tom Larson, Acting United States Attorney for the Western District of Missouri, announced that an Independence, Mo., man was sentenced in federal court today for illegally possessing a firearm after he fired at a woman and her children.

Senecca T. Spencer, 41, of Independence, was sentenced by U.S. District Judge Beth Phillips to 10 years in federal prison without parole. Today’s sentence is the maximum penalty provided under the statute.

On Feb. 2, 2017, Spencer pleaded guilty to being a felon in possession of a firearm. Spencer admitted he was in possession of a Jimenez Arms 9mm pistol and ammunition on May 25, 2016.

Independence police officers were called to an Independence residence on a report of a domestic violence disturbance on May 25, 2016. Spencer had pointed and discharged the firearm in the direction of a woman and her two minor children.

Spencer had already left by the time officers arrived at the residence, but he was located later that same evening and stopped in his vehicle near the intersection of 43rd Street and Phelps. As he was being placed under arrest, a police officer found a 9mm cartridge in Spencer’s front left pocket. The loaded 9mm pistol was discovered in the center console area of the vehicle.

Spencer also admitted that he made threatening telephone calls to the victim while he was incarcerated in federal custody. During these telephone calls, Spencer threatened her with violence, harm and death. Spencer also admitted he contacted the victim’s daughter by telephone. Spencer’s telephone calls were intended to coerce, intimidate, and compel her to become an uncooperative witness/victim in hopes of minimizing his potential prison sentence.

Under federal law, it is illegal for anyone who has been convicted of a felony to be in possession of any firearm or ammunition. Spencer has four prior felony conviction for assault with a dangerous weapon and seven prior felony convictions for assault and battery, and prior felony convictions for assault and battery on a police officer, armed robbery and possession with intent to distribute/manufacture a controlled substance.

This case was prosecuted by Assistant U.S. Attorney Bradley K. Kavanaugh. It was investigated by the Independence, Mo., Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives.

            WASHINGTON – A former financial advisor, who provided services and investment advice to current and former professional athletes, was sentenced today to 33 months in prison for stealing more than $1 million from his clients, announced U.S. Attorney Channing D. Phillips and Andrew W. Vale, Assistant Director in Charge of the FBI’s Washington Field Office.

           Brian J. Ourand, 56, now of Chicago, admitted stealing from four athletes, including boxing champion Mike Tyson and former National Basketball Association All-Star Glen Rice. At the time of the offense, Ourand was an executive for a Washington, D.C.-based company.

            Ourand pled guilty in February 2017 to a charge of wire fraud in the U.S. District Court for the District of Columbia. In addition to the prison term, the Honorable Tanya S. Chutkan ordered Ourand to pay $1,002,390 in restitution and an identical amount as a forfeiture money judgment. Following his prison term, Ourand will be placed on three years of supervised release. During that time, the judge ordered, he must provide financial disclosure statements and perform 100 hours of community service.

            “Brian Ourand’s greed came at a cost to the people who trusted him with their money,” said U.S. Attorney Phillips. “Instead of wisely managing his clients’ funds, as he had promised to do, he used the money for hotels, health care memberships, rental cars and other personal expenses. Today’s sentence holds him accountable for his larcenous acts.”

            “Brian Ourand concocted a series of lies with one goal in mind – to enrich himself and others by stealing approximately $1 million and deceiving those who put their trust in him,” said Assistant Director in Charge Vale. “Financial fraud is and continues to be, a high priority for the FBI and we will continue to work closely with our partners to bring these white-collar criminals to justice”

            In his plea, Ourand admitted that he embezzled the funds through various means, including numerous fraudulent checks that he made payable in his own name and to cash, which he later deposited into his personal accounts. Ourand also admitted to stealing his clients’ money for the benefit of others, including his girlfriend and another individual identified in court documents as “Person B.” In one such instance, Ourand obtained a cashier’s check using funds from the bank account of Mr. Rice in the amount of $10,000 in order to pay the registration fee of “Person B” to participate in the 2009 World Series of Poker tournament in Las Vegas. Ourand also used client funds to send numerous wire transfers to his girlfriend and “Person B” via Western Union, at least some of which money was used to pay off Ourand’s gambling debts.

            According to a statement of offense submitted as part of the plea, the criminal activities began as early as 2006 and continued through July 2011. Ourand’s employer, identified in court documents as “Company A,” terminated his employment in August of 2011, after the scheme was uncovered. The company reimbursed the athletes for their losses.

            In his work for the firm, Ourand and the company provided advisory and financial management services to high net-worth individuals, most of whom were current or former professional athletes. For example, Ourand and the company paid invoices and bills, coordinated tax preparation, and provided estate planning on behalf of clients. In that capacity, Ourand managed his clients’ personal and business bank accounts and credit cards, among other financial-related services.

            The criminal charges involved Ourand’s work for Mr. Tyson, Mr. Rice, and two other athletes, identified in court documents as “Athlete C” and “Athlete D.” As part of the plea agreement, Ourand agreed that he abused a position of trust in committing the offense.

            According to the statement of offense, Ourand deposited nearly 100 checks, drawn on the accounts of the four athletes, into a personal bank account, even though he was not authorized to do so. He also initiated numerous wire transfers, drawn on the bank accounts of Mr. Tyson, Mr. Rice and “Athlete C,” for which he had no authorization. As part of his scheme, Ourand also made numerous unauthorized ATM withdrawals and debit card transactions using funds belonging to Mr. Tyson, and obtained credit cards in his own name on the accounts of Mr. Rice and a foundation formed by “Athlete C,” which Ourand used to make unauthorized purchases.

            Ourand sought to conceal his activities by generating documentation falsely claiming the money was used for business-related or otherwise authorized expenses, such as “personal expenses” for the client. His actions caused $546,168 in losses for Mr. Rice; $265,124 for Mr. Tyson; $182,957 for “Athlete C,” and $8,141 for “Athlete D.”

            According to the government’s evidence, Ourand used the money for personal expenses, including to pay ordinary, everyday costs such as groceries and gas stations and to cover more expensive purchases, such as stays at high-end hotels, rental cars, health club membership fees, department store purchases, golf course fees, tanning salons, and fancy restaurants.

            The Securities and Exchange Commission previously announced charges against Ourand, who was later found to have misappropriated funds from client accounts in violation of securities laws. Ourand has been ordered to pay disgorgement of $671,367 plus prejudgment interest and a $300,000 penalty, and he was barred from the securities industry.

            In announcing the sentence, U.S. Attorney Phillips and Assistant Director in Charge Vale commended the work of those who investigated the case from the FBI’s Washington Field Office. They also acknowledged the efforts of those who are working on the case from the U.S. Attorney’s Office for the District of Columbia, including Arvind K. Lal, Chief of the Asset Forfeiture and Money Laundering Section; Special Assistant U.S. Attorney Vesna Harasic-Yaksic, also of the Asset Forfeiture and Money Laundering Section; Supervisory Paralegal Specialist Tasha Harris; and former Paralegal Specialists Heather Sales and Angela Lawrence.

            Finally, they commended the work of Special Assistant U.S. Attorney David A. Last and Assistant U.S. Attorney Peter C. Lallas, who prosecuted the case.

Earlier today, Jonathan Galicia, pled guilty at the federal courthouse in Brooklyn, New York, to one count of soliciting and accepting a bribe as a public official.  The proceeding took place before United States District Judge Eric N. Vitaliano.  At the time of the offense, Galicia was a correctional officer at the Metropolitan Detention Center in Brooklyn, New York (MDC), and has since resigned from his position. 

The plea was announced by Bridget M. Rohde, Acting United States Attorney for the Eastern District of New York, and Ronald G. Gardella, Special Agent-in-Charge, United States Department of Justice, Office of the Inspector General, New York Field Office (DOJ OIG).

According to court filings and facts presented during the plea proceeding, in June 2016, while a correctional officer at the MDC, Galicia accepted a $3,700 bribe payment to smuggle an Apple iPhone into the MDC and provided the contraband phone to an inmate, who thereafter used the phone while incarcerated at the MDC.

 “Motivated by greed, Galicia abused his position of trust within the federal correctional system,” stated Acting United States Attorney Rohde.  “Introducing a smart phone into a federal detention center is a serious dereliction of duty, as it provides an opportunity for inmates to communicate with others on an unmonitored device in order to potentially continue criminal activity, obstruct justice and intimidate witnesses.” 

“When prison staff smuggles a cell phone into prison, they put their colleagues, inmates, and the community at risk,” stated DOJ OIG Special Agent-in-Charge Gardella.  “The OIG will continue to assist the Federal Bureau of Prisons in its efforts to stop contraband from entering federal prisons, and to catch and bring to justice any Justice Department employee involved in a smuggling scheme.”

 At sentencing, Galicia faces up to 15 years in prison, as well as forfeiture of $3,700 and a fine.

 The government’s case is being handled by the Office’s Public Integrity Section.  Assistant United States Attorneys Marisa Seifan and Nadia Shihata are in charge of the prosecution. 

The Defendant:
 

JONATHAN GALICIA

Age:  34

Bronx, New York

E.D.N.Y. Docket No. 17-CR-321 (ENV)

BOSTON – A Winchester woman was charged today with bank fraud after allegedly using forged checks and account numbers to steal nearly a million dollars.

Sager Kopchak, a/k/a Sager Dallai, 34, was charged and has agreed to plead guilty to four counts of bank fraud.

According to court documents, in late 2009, Kopchak contacted an individual she knew, asking to stay with the individual for a few weeks while receiving cancer treatment. Kopchak stayed with the individual from late 2009 until the summer of 2010, and paid no rent or utilities. In reality, Kopchak did not have cancer and was not undergoing cancer treatment. While living with the individual, Kopchak stole a checkbook and, over the next eight years, stole nearly $1 million by forging checks and using the routing numbers from the stolen checks to make charges against the individual’s account. Kopchak allegedly used the stolen money to make high end purchases such as a pair of 2.05 karat diamond earrings ($9,700), five fur coats (totaling $21,297), Chanel purses (totaling $9,649), a Cartier watch ($3,250) and a trip to the Bahamas ($11,166), among other things.

The charging statute provides for a sentence of no greater than 30 years in prison, five years of supervised release and a fine of $250,000 per count, or twice the gross gain or loss, whichever is greater. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.

Acting United States Attorney William D. Weinreb and Harold H. Shaw, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division, made the announcement today. The case was investigated with the assistance of the Boston Police Department. Assistant U.S. Attorney Sara Miron Bloom of Weinreb’s Economic Crimes Unit is prosecuting the case.

BOISE – Jerry Bob Stewart, 50, of Twin Falls, pleaded guilty today in United States District Court to attempted coercion and enticement of a minor, Acting U.S. Attorney Rafael Gonzalez announced.

According to the plea agreement, between July and August of 2015, Stewart communicated online with a ten-year old child located in California. The child told Stewart she was 19 years old, but Stewart proposed they engage in a father-daughter “fantasy” where the child was 14 years old. The communications were sexual in nature, and were discovered by the child’s grandmother. A detective with the Nevada County, California Sheriff’s Office took over the child’s accounts, and began communicating directly with Stewart, posing as the child. Between September and December of 2015, the detective repeatedly told Stewart that she was only 13 years old. Stewart continued to express his desire to have sexual contact with the child, and sent sexually explicit images to the child’s accounts. Stewart acknowledged the child’s age, stating “we can’t get in trouble,” and “let’s just say you are 18 or over . . . if anyone ask[s].”

In November of 2015, Stewart agreed to pay for a bus ticket for the child to travel to Idaho so that he could have sexual contact with the child, and sent an envelope containing $300.00 in U.S. currency to the child via U.S. Mail. On December 10, 2015, Stewart rented a room at a Twin Falls hotel under the child’s name, and traveled to a bus stop in Twin Falls to meet the child. Agents with Homeland Security Investigations contacted Stewart and discovered a box of condoms, two male sexual performance enhancement pills, and a bottle of lubricant in his vehicle.

Sentencing is set for November 28, 2017, before Chief U.S. District Judge B. Lynn Winmill. Attempted coercion and enticement of a minor is punishable by up to 20 years imprisonment, a $250,000 fine, a term of supervised release of not less than five years and up to life, and a $5,100 special assessment. As part of his plea, Stewart also agreed to forfeit a cell phone, tablet, and portable wireless internet device used in the commission of the charged offense.

The case was investigated by Homeland Security Investigations and the Nevada County, California Sheriff’s Office, with assistance from the Idaho Internet Crimes Against Children (ICAC) Task Force, the Twin Falls Police Department, and the Twin Falls County Sheriff’s Office, and was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. For more information about internet safety education, please visit www.usdoj.gov/psc and click on the tab “resources.”

Assistant U. S. Attorney Stephen Wong (619) 546-9464

NEWS RELEASE SUMMARY– September 6, 2017

SAN DIEGO – A well-organized and often violent group of thieves has stolen more than $20 million worth of merchandise from high-end shopping malls here and around the country, according to an indictment unsealed today which charges 22 people.

A contingent of more than 250 officials from local, state and federal law enforcement agencies made 12 arrests today and searched three homes in Lemon Grove, Chula Vista and San Diego. Three defendants were already in custody; seven were fugitives as of 1 p.m. today. The defendants in custody are scheduled to make their first court appearances at 10 a.m. tomorrow before U.S. Magistrate Judge Barbara Lynn Major.

During searches today, agents confiscated approximately $30,000 in cash plus about a dozen large trash bags full of new clothing - with merchandise tags and security devices still attached - from retailers such as Victoria’s Secret, Hollister Co., Guess, Express and Abercrombie & Fitch, and brands such as Calvin Klein, Hurley, Armani, Adidas, Kenneth Cole and Puma. Agents also found piles of new Louis Vuitton shoes and boxes full of security sensors that had been removed from clothing.

The indictment describes how defendants from the San Diego area formed crews of thieves to steal merchandise from retail stores throughout the United States and transport the merchandise across state lines for sale in Mexico. The well-organized teams operated consistently for over a decade. The indictment describes how team leaders assigned each member a specific role, such as team leader, mule or blocker. Team leaders selected stores to target, scouted the stores, and choreographed the actions of other team members using cell phones and hand signals while Mules secreted the stolen merchandise out of stores in “booster bags,” which are shopping bags with metallic linings designed to defeat anti-theft sensors. Blockers prevented store employees from seeing the ongoing theft by obstructing their view with clothing, by distracting the employees, or by physically preventing the employees from responding.

When necessary, the teams used force against store employees, other customers, and law enforcement to escape. For example, the indictment alleges that in November 2009, defendant Sergio Manuel Montano Nava knocked over an infant in its stroller and injured the infant’s father to avoid being arrested for a theft at a Hollister store in Schaumburg, Illinois.

In November 2012, defendants Jose Damazo Herrera, Robin Macias and others drove vehicles through a crowd while fleeing a theft from a Hollister store in the Fashion Valley Mall in San Diego. The thefts alleged in the indictment typically resulted in losses of several thousand dollars in merchandise.

In March 2013, a defendant grabbed a loss prevention officer by the throat and threw her to the ground while running from a theft at Abercrombie & Fitch at the Plaza Bonita Mall in National City.

The indictment lists 38 thefts which occurred at locations around the country at various clothing stores, including Victoria’s Secret, Hollister Co., Abercrombie & Fitch, Banana Republic and Express in the California cities of Escondido, San Diego, National City, San Clemente, Ventura, Oxnard, Camarillo, City of Industry, Orange, Mission Viejo, Northridge, Canoga Park; and outside the state in Las Vegas, Nevada; Frederick, Maryland; Vancouver, Washington; and Schaumburg, Illinois.

The indictment said that on October 23, 2013, defendant Maria Angelica Mendez Valdivia had $482,275 worth of merchandise - stolen from at least 57 retailers - which was being transported to Mexico. The thieves sold the stolen merchandise to an alleged “fence,” defendant Sara Portilla, who is accused of selling the stolen merchandise from a store she operates in Tijuana.

“The mall is supposed to be a safe place for families to shop, eat and enjoy themselves,” said Acting U.S. Attorney Alana Robinson. “Instead, a prolific and violent group of thieves has stolen millions of dollars in merchandise as well as peace of mind from mall employees and customers. With today’s action, we are protecting customers and businesses both physically and economically, and we are restoring and preserving the safety of our community gathering spots.”

“Homeland Security Investigations, together with its law enforcement partners, has worked tirelessly to investigate and ultimately dismantle this theft ring,” said David Shaw, special agent in charge of HSI San Diego. “Not only does organized retail crime have a major financial impact on businesses and consumers, but the brazen acts allegedly committed by these defendants also posed a very real threat to public safety. HSI is committed to holding individuals involved in this criminal activity accountable for their actions.”

“Crimes that cross jurisdictional lines can be challenging for any one agency to investigate,” said San Diego Police Chief Shelley Zimmerman. “It takes a partnership and commitment from agencies at all levels to collapse the most sophisticated crime rings that exist today. The collaboration we have here in San Diego between law enforcement agencies is second to none. I am so proud of the efforts in this complex case to bring these thieves to justice.”

DEFENDANTS                                           Case Number 17cr2511-GPC

Sara Portilla                                                  Age: 39                San Diego, CA

Maria Angelica Mendez                               Age: 43                San Diego, CA

Jose Mora                                                     Age: 49                Oceanside, CA

Julio Gabriel Lopez Moreno                        Age: 41                Chula Vista, CA

Alejandro Madrinan                                     Age: 43                San Diego, CA

Araceli Razo                                                 Age: 42                Imperial Beach, CA

*Eduardo Madrinan                                      Age: 22                Lemon Grove, CA

*Carlos Gomez Daza                                    Age: 32               San Diego, CA

Karina Yvette Saman Rojas                         Age: 29                San Diego, CA

Juan Manuel Juarez Herrera                         Age: 41                San Diego, CA

James Sanabria                                             Age: 31                San Diego, CA

*Josue Antonio Damazo Herrera                 Age: 26                San Diego, CA

Jose Damazo Herrera                                   Age: 28                San Diego, CA

Brandon Ramirez Salas                                Age: 22                Mexico

*Jesus Raymundo Razo Del Angel              Age: 23                San Diego, CA

Jacob Palacios                                              Age: 24                San Diego, CA

Robin Macias                                               Age: 33                Chula Vista, CA

*Giovani Razo Alvarez                                Age: 33                San Diego, CA

*Adrian Razo                                               Age: 29                Atlanta, Georgia

Sergio Manuel Montana Nava                     Age: 31                San Diego, CA

*Vanessa Medina Munguia                         Age: Unknown    San Diego, CA

Adrian Ulices Reyna Rodriguez                  Age: 21               San Diego, CA

*Fugitive

SUMMARY OF CHARGES

Conspiracy to Transport stolen goods across state and international borders, – Title 18, U.S.C., Sections 371 and 2314

Maximum penalty: Five years in prison and $250,000 fine

Receiving stolen goods that have crossed state and international borders – Title 18, U.S.C., Section 2315

Maximum penalty: Ten years in prison and a $250,000 fine

Illegal re-entry of a removed alien – Title 8, U.S.C., Section 1326

Maximum penalty: Twenty years in prison and $250,000 fine

Maximum penalty: Twenty years in prison and $500,000 fine

AGENCIES

Homeland Security Investigations

Orange County Sheriff’s Department

San Diego Police Department

Carlsbad Police Department

Escondido Police Department

National City Police Department

U.S. Border Patrol

ICE/Enforcement and Removal Operations

U.S. Customs and Border Protection

U.S. Marshals Service

San Diego Harbor Police Department

*The charges and allegations contained in an indictment or complaint are merely accusations, and the defendants are considered innocent unless and until proven guilty.

ALEXANDRIA, Va. – A Springfield man pleaded guilty today to attempting to entice an eight-year-old minor to engage in sex during his trip to the Philippines in 2013.

According to the statement of facts filed with the plea agreement, Carl Sara, 63, participated in live-streaming webcam sessions depicting minors engaged in sexually explicit conduct and engaged in sexually explicit chatting with minors. During some of these chats, which occurred in or about May 2013, Sara attempted to have a woman in the Philippines assist him in enticing her eight-year old daughter to have sex with him during a 2013 trip to the Philippines. He paid her $200 dollars via Western Union as a down-payment and offered to pay her an additional $300 after he had sex with the eight-year-old.

Sara faces a mandatory minimum sentence of 10 years and a maximum penalty of life in prison when sentenced on December 8. 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.

Dana J. Boente, U.S. Attorney for the Eastern District of Virginia, and Andrew W. Vale, Assistant Director in Charge of the FBI’s Washington Field Office, made the announcement after U.S. District Judge Liam O’Grady accepted the plea. Special Assistant U.S. Attorney James E. Burke IV and Assistant United States Attorney Nathaniel Smith III are prosecuting the case.

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

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information is located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:17-cr-54.

BATON ROUGE, LA – Acting United States Attorney Corey Amundson and Acting Assistant Attorney General John Gore of the Justice Department’s Civil Rights Division announced that a former supervisory correctional officer at Louisiana State Penitentiary in Angola, Louisiana, pleaded guilty today to participating in the beating of a handcuffed and shackled inmate, conspiring to cover up his misconduct by falsifying official records, and lying to internal investigators about what happened.

John Sanders, 30, of Marksville, Louisiana, admitted during his plea hearing that he punched the inmate repeatedly in the head in retaliation for an earlier incident; that he witnessed other officers use excessive force against the inmate and failed to intervene; that he conspired with other officers to cover up the beating by engaging in a variety of obstructive acts; and that he personally falsified official prison records in order to cover up the beating.

Scotty Kennedy, 48, of Beebe, Arkansas, pled guilty in November 2016 for his role in the beating and cover up. Two co-defendants, Daniel Davis and James Savoy, remain scheduled for trial in January 2018.

Acting U.S. Attorney Corey Amundson stated, “Our office remains committed to prosecuting violations of the federal criminal civil rights laws whenever sufficient evidence exists to do so. No one is above the law.”

“Another former correctional supervisor has admitted abusing a person in state custody and then lying to cover up his on-duty misconduct,” said Acting Assistant Attorney General John Gore of the Civil Rights Division. “The Justice Department will continue to vigorously prosecute correctional officers who use their official position to commit and to cover up violations of federal criminal law.”

This case is being investigated by the FBI’s Baton Rouge Resident Office and is being prosecuted by Assistant U.S. Attorney Frederick A. Menner, Jr. of the Middle District of Louisiana and Trial Attorney Christopher J. Perras of the Civil Rights Division’s Criminal Section.

BOSTON – A Colombian National was sentenced today in federal court in Boston for his role in a conspiracy to launder money from various international locations back to Colombia.

Pedro Mejia Salazar, 73, of Medellin, Colombia, was sentenced by U.S. District Court Judge Allison D. Burroughs to 50 months in prison and three years of supervised release. Mejia is subject to deportation after serving his sentence. On May 3, 2017, Mejia traveled from Colombia to the United States to plead guilty to the charges against him. The following day, Mejia appeared in federal court in Boston where he was charged with - and pleaded guilty to - one count of conspiracy to launder money.

Mejia used a family business, which he ran, to launder drug proceeds for and on behalf of the criminal syndicate La Oficina de Envigado, based in Medellin, Colombia. Between May 2009 and June 2012, Mejia laundered at least $768,586 in drug proceeds at the direction of Colombian-based money brokers working for La Oficina.

This case is part of Operation Powerplay, an international undercover investigation targeting Colombia-based money brokers who launder drug proceeds for international drug trafficking organizations. The investigation targeted drug traffickers who import drugs into the United States and money launderers who use the international financial system and the Black Market Peso Exchange to return drug proceeds collected in the United States and other countries to Colombia. To date, the investigation has resulted in the seizure of approximately $15.2 million, 3,967 kilograms of cocaine, 32,000 doses of MDMA, nine kilograms of methamphetamine, 1,183 kilograms of marijuana and 7.8 kilograms of heroin.

Acting United States Attorney William D. Weinreb; Joel P. Garland, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigation, Boston Field Division; and Michael J. Ferguson, Special Agent in Charge of the Drug Enforcement Administration, New England Field Division, made the announcement today. Assistant United States Attorneys Leah B. Foley and Nathaniel R. Mendell of Weinreb’s Narcotics and Money Laundering Unit prosecuted the case.

BOSTON – A Rhode Island man agreed to plead guilty today in federal court in Boston for his role in a wide-ranging operation that distributed cocaine and heroin throughout Bristol County, Mass., and Providence, R.I.

Jorge Luis Sanchez-Lopez, 43, of Pawtucket, R.I., agreed to plead guilty to one count of conspiracy to distribute and possess with intent to distribute five kilograms of cocaine. U.S. District Court Judge Rya W. Zobel deferred accepting the plea until the sentencing hearing which is scheduled for Nov. 29, 2017.

Sanchez-Lopez was one of 10 individuals involved in a drug trafficking operation headed by Luis Lopez that imported hundreds of kilograms of cocaine from Puerto Rico to New Bedford and Fall River, as well as distributed heroin, fentanyl, and acetyl fentanyl in Bristol County. Sanchez-Lopez coordinated shipments of cocaine through the U.S. Mail with the assistance of co-defendant Chindy Diaz, who received cocaine-filled packages on Luis Lopez’s behalf and delivered it to Luis Lopez at his Fall River residence. Co-conspirator Israel Santiago also helped coordinate the receipt of cocaine on behalf of Luis Lopez, who then sold the cocaine to other drug dealers, including Nuno Fonseca and Tyson Britto.

In June 2016, the 10 defendants were charged for their individual roles in the operation. All of the conspirators have pleaded guilty and five have been sentenced. In June 2017, Fonseca was sentenced to 130 months in prison. In April 2017, Tyson Britto and Israel Santiago were sentenced to 78 months in prison and two years in prison, respectively. In January 2017, Luis Lopez was sentenced to 15 years in prison and Sharik Mendes was sentenced to 30 months in prison. Chindy Diaz pleaded guilty in October 2016 and is awaiting sentencing. In July 2017, Tyson Depina and Eric Desousa were sentenced to six years in prison and three years in prison, respectively.

The charge provides for a sentence of no greater than life in prison, five years to life of supervised release and a fine of up to $20 million. If the Court accepts the plea, Sanchez-Lopez will be sentenced to 10 years in prison.Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.

Acting United States Attorney William D. Weinreb; Michael J. Ferguson, Special Agent in Charge of the Drug Enforcement Administration, Boston Field Division; Joel P. Garland, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigation in Boston; and Shelly Binkowski, Inspector in Charge of the U.S. Postal Inspection Service, made the announcement. Assistant U.S. Attorney Eric Rosen of Weinreb’s Narcotics and Money Laundering Unit is prosecuting the cases.

Acting U.S. Attorney Duane A. Evans announced that DARYL ALEX, age 51, of LaPlace, pled guilty today to one count of conspiracy to commit wire fraud.

According to court documents, ALEX and his wife, SHAWANDA NEVERS, conspired together to unjustly enrich themselves by using and attempting to use bank accounts and credit cards issued in the name of NEVERS’s deceased father and to steal funds and obtain property to which they were not entitled. Although NEVERS’s father had died on May 5, 2017, on or about May 23, 2016, ALEX placed a telephone call to a credit card company, claiming to be NEVERS’s father. ALEX falsely stated to the credit card company that he had lost his credit card and asked that a replacement card be mailed to his new address in LaPlace. ALEX also made purchases with bad checks drawn on the bank account of NEVERS’s father, using Social Security Administration funds that were deposited after the father’s death.

ALEX faces a statutory maximum sentence of twenty years in prison, to be followed by three years of supervised release, and a maximum fine of $250,000. ALEX also faces monetary penalties and restitution. U.S. District Judge Susie Morgan set sentencing for December 7, 2017.

Acting U.S. Duane A. Evans commended Special Agents of IRS-Criminal Investigation and the United States Secret Service, New Orleans Field Office for investigating this matter. Assistant U.S. Attorneys Hayden Brockett and Loan “Mimi” Nguyen, and Trial Attorney Grace Albinson of the Department of Justice, Tax Division, are in charge of the prosecution.

BOSTON – A Taunton man was sentenced today in federal court in Boston for trafficking heroin and fentanyl in southeastern Massachusetts.

Oniel Rivera, 30, was sentenced by U.S. District Court Judge George A. O’Toole Jr. to five years in prison and three years of supervised release. In May 2017, Rivera pleaded guilty to conspiracy to possess with intent to distribute heroin and fentanyl.

In October 2015, Rivera was arrested and charged along with 24 others in connection with a heroin trafficking ring operating in southeastern Massachusetts; an April 2016 superseding indictment brought the number of defendants charged in the case to 26. The charges were the result of a 15-month investigation into heroin and drug trafficking in the Taunton area.

The investigation revealed that Rivera purchased heroin from co-defendant Dedwin Cruz-Rivera, who received the drugs from three other co-defendants: Eric Matos, a former heroin and fentanyl supplier based in Lawrence; Manuel Romero-Gonsalez, a former heroin supplier based in Providence, R.I.; and Jonathan Ruiz, a former Lawrence drug supplier, among others.

On July 28, 2017, Matos was sentenced to 121 months in prison; in April 2017, Romero-Gonsalez was sentenced to 66 months in prison and will be subject to deportation upon completion of his sentence; Ruiz pleaded guilty and is scheduled to be sentenced on Sept. 28, 2017. In July 2017, Cruz-Rivera pleaded guilty to conspiracy to possess with intent to distribute and to distribute one kilogram or more of heroin and 40 grams or more of fentanyl. He will be sentenced on Oct. 12, 2017. Numerous other defendants in this case have pled guilty and been sentenced.

Acting United States Attorney William D. Weinreb and Michael J. Ferguson, Special Agent in Charge of the Drug Enforcement Administration, Boston Field Division, made the announcement today. Assistant U.S. Attorneys Thomas E. Kanwit and Karen Beausey of Weinreb’s Narcotics and Money Laundering Unit are prosecuting the cases.

BOSTON – A former New Hampshire stockbroker pleaded guilty today for his role in a market manipulation scheme which was actually part of an undercover operation.

Robert Raffa, 57, of Penacook, NH, pleaded guilty to one count of conspiracy to commit securities and wire fraud, one count of securities fraud, and three counts of wire fraud. U.S. District Court Chief Judge Patti B. Saris scheduled sentencing for Dec. 6, 2017. In April 2016, Raffa and a co-conspirator were arrested and charged in connection with their role in a scheme to manipulate the market for the publicly traded securities of Green Energy Renewable Solutions, Inc., a penny stock company that claimed to be in the business of developing and operating waste processing and recycling facilities near Detroit, MI.

In early 2012, the conspirators used four foreign entities to covertly acquire nearly all of Green Energy’s unrestricted stock without reporting their controlling interest as required by law. They then hired a promoter to send blast e-mails touting Green Energy to potential investors, all while selling shares without disclosing that they had orchestrated the campaign encouraging investors to buy.

The initial promotion enabled the conspirators to sell more than 1.5 million shares of Green Energy stock for proceeds of over $900,000. However, as the conspirators continued to control a substantial amount of Green Energy stock after the promotion ended, they used manipulative trading techniques to stabilize Green Energy’s stock price while they searched for another promoter to run a second touting campaign. Their search led them to a stock promoter who was secretly cooperating with federal agents and an undercover agent who claimed to have access to a network of corrupt stockbrokers who would buy their shares in exchange for kickbacks. Raffa and his co-conspirator executed a trade in which they sold 174,000 shares of their Green Energy stock to an account purportedly controlled a corrupt broker, which was in fact controlled by federal authorities. Following the trade, the conspirators wired a $6,000 kickback payment to an account they believed to be controlled by the corrupt broker, but which was actually controlled by federal authorities.

In a parallel action, the Securities and Exchange Commission (SEC) previously charged Raffa with securities fraud in connection with the scheme.

These charges arose out of a multi-year investigation focusing on preventing fraud in the microcap stock markets. Microcap companies are small publicly traded companies whose stock often trades at pennies per share. Fraud in the microcap markets is of increasing concern to regulators as such markets have proven to be fertile grounds for fraud and abuse. This is, in part, because accurate information about microcap stocks may be difficult for the average investor to find, since many microcap companies do not file financial reports with the SEC.

Today’s charges follow a series of cases filed by the U.S. Attorney for the District of Massachusetts and the SEC in which more than 30 individuals have been criminally charged and convicted for using kickbacks and other schemes to trigger investment in, or manipulate the stock of, thinly-traded stocks.

The charge of conspiracy provides for a sentence of no greater than 25 years in prison, five years of supervised release and a fine of $250,000, or twice the gain or loss. The charge of securities fraud provides for a sentence of no greater than 25 years in prison, five years of supervised release and a fine of $250,000, or twice the gain or loss. The charges of wire fraud provide for a sentence of no greater than 20 years in prison, three years of supervised release, and a fine of $250,000, or twice the gain or loss. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.

Acting United States Attorney William D. Weinreb and Harold H. Shaw, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division made the announcement today. The United States Attorney’s Office received valuable assistance from the SEC. Assistant U.S. Attorney Vassili Thomadakis of Weinreb’s Criminal Division and SEC Attorney Andrew Palid, who was appointed as a Special Assistant U.S. Attorney, are prosecuting this case.

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

BOSTON – A Lowell man was sentenced today in federal court in Boston in connection with defrauding the Commonwealth of Massachusetts of tobacco excise taxes between 2012 and 2014.

Neetal Shah, 41, was sentenced by U.S. District Court Judge Allison D. Burroughs to three years of probation, the first six of months of which is to be served in a halfway house, and the remaining six months is to be served under home confinement. Shah is also ordered to pay restitution of more than $276,000 to the Commonwealth of Massachusetts.

In May 2017, Shah pleaded guilty to wire fraud in connection with a scheme to avoid paying excise taxes on tobacco products – including cigars, smoking tobacco and smokeless tobacco (such as snuff and chewing tobacco) – and other non-tobacco items that Shah sold to convenience stores, gas stations and other retail businesses through his Lowell wholesale business between approximately April 2012 and November 2014.

Under state law, smokeless tobacco wholesalers must file an excise tax form monthly and pay a 210% excise tax on smokeless tobacco brought into Massachusetts. Cigar wholesalers must file an excise tax form quarterly and must pay a 40% excise tax on cigars brought into Massachusetts.

In order to evade tobacco taxes, Shah made regular purchases of loose smoking tobacco and smokeless tobacco for his business from two distributors in Pennsylvania, where these tobacco products are not taxed, and either drove the tobacco products or had them shipped to Massachusetts, where he resold them through his wholesale business without paying the requisite state taxes.

Acting United States Attorney William D. Weinreb and Joel P. Garland, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigation in Boston, made the announcement today. Valuable assistance was also provided by the Massachusetts Department of Revenue. Assistant U.S. Attorney Stephen Heymann of Weinreb’s Economic Crimes Unit is prosecuting the case.

BOSTON – A Dominican national was sentenced today in federal court in Worcester for his role in a heroin and cocaine trafficking conspiracy.

Hugo Santana-Dones, a/k/a Raphael Jose Ventura, 43, a Dominican national previously residing in Leominster, was sentenced by U.S. District Court Judge Timothy S. Hillman to 80 months in prison and will face deportation upon completion of his sentence.

In May 2017, Santana-Dones pleaded guilty to one count of conspiracy to possess with intent to distribute, and to distribute, 100 grams or more of heroin and 500 grams or more of cocaine; one count of distribution and possession with the intent to distribute 100 or more grams of heroin; and one count of possession with the intent to distribute 500 or more grams of cocaine and 100 or more grams of heroin.

Santana-Dones is the first of five co-defendants to be sentenced for their roles in the heroin and cocaine trafficking conspiracy which occurred primarily in Worcester County. Osvaldo Vasquez, 49, of Worcester; Jose Federico Vasquez, 55, a Dominican national residing in Providence, R.I.; Elvis Genao, 27, of Fitchburg; and Feliz Melendez, 41, of Leominster, have all pleaded guilty to their involvement in the conspiracy and will be sentenced later this month.

In the late summer of 2014, federal agents began investigating narcotics trafficking activities by Osvaldo Vasquez and his associates, Federico Vasquez, Melendez, Genao, and Santana-Dones. Between November 2014 and July 2015, with the help of a cooperating witness, agents made numerous recorded purchases of heroin - sometimes laced with fentanyl - from members of the conspiracy, seizing over 400 grams of heroin as a result.

During a court-authorized wiretap, Vasquez and his co-defendants were heard discussing the purchase and sale of multiple kilograms of narcotics, and, demonstrated an awareness of the potential deadly consequences of the narcotics they were distributing. On May 7, 2016, Osvaldo Vasquez, Melendez, and Federico Vasquez were intercepted discussing how the high number of heroin overdose deaths occurring at the time were cutting into their sales.

In August 2015, federal agents executed a search warrant at the conspirators’ homes. At Osvaldo Vasquez’s home in Worcester, agents found 679 grams of heroin and 723 grams of cocaine, as well as a Taurus PT .380 semi-automatic handgun. The telephone that was the subject of the wiretap, cutting tools, and over $7,000 in cash was also recovered in the home. At the residence of Santana-Dones in Leominster, agents found 224 grams of heroin, 110 grams of cocaine, and 8.9 grams of cocaine base (crack cocaine), along with cutting tools, a hydraulic kilogram press, over $1,300 in cash, and two phones that had been intercepted on the wiretap. At the residence of Melendez, who was on parole for state firearm and narcotics charges at the time, 3.1 grams of cocaine, a digital scale, over $1,000 in cash, and a phone that had been intercepted on the wiretap was recovered. At the residence of Jose Federico Vasquez in Providence, agents found 3.4 grams of cocaine.

Acting United States Attorney William D. Weinreb; Michael J. Ferguson, Special Agent in Charge of the Drug Enforcement Administration, New England Field Division; Colonel Richard D. McKeon, Superintendent of the Massachusetts State Police; Worcester Police Chief Steven M. Sargent; Fitchburg Police Chief Ernest F. Martineau; and Leominster Interim Police Chief Michael Goldman, made the announcement today. Assistant U.S. Attorney Mark J. Grady of Weinreb’s Worcester Branch Office is prosecuting the case.

Groomed aspiring young artists to send him explicit images

PRESS RELEASE

Indianapolis – United States Attorney Josh J. Minkler announced today the sentencing of an Indianapolis man for his role in enticing two teen-aged girls to produce and send sexually explicit images. Jefferson Darin Smith, 37, Indianapolis, was sentenced to 408 months (34 years) of imprisonment by U.S. District Judge Tanya Walton Pratt. In 2012, Smith pleaded guilty to Criminal Attempted Sexual Assault of a Child in Colorado. In that case, Smith attempted to have sexual contact with a 14-year-old child who he met on a website where artists and art enthusiasts collaborate.

Less than a year after Smith completed probation on the Colorado case, and using the same website from his previous case, Smith began online conversations with a 14-year-old artist from South Dakota. Smith claimed to be a professional photographer and attempted to get the child to send nude images of herself to him. Smith told the child that he was going to come to her town and that he would “cuddle the heck out of her.” Smith was able to convince this child to send some images to him; however, before he could receive explicit images, the child’s parents intercepted the communication and told Smith that they were going to notify the police.

Smith also communicated with a 15-year-old aspiring artist from California on this same website. This child posted images of her art as well as a profile photo of herself on the site. Smith initiated communication with the child, again posing as a professional photographer. Over a two-month period, the two exchanged online communications. Smith told the child that he loved her, that she was beautiful and that she was his girlfriend. Smith enticed and coerced the child to send sexually explicit photos of herself, knowing that she was 15 years old, and she eventually complied. The communication ended when the child’s parents discovered the images and notified the police.

“While the Internet offers children the chance to advance and explore their talents, sadly, it also offers predators a hunting ground, where they will exploit the innocence and trust of these same children. When adults make the decision to manipulate, abuse, and sexually exploit children online, they should know this: we will investigate you, prosecute you, convict you and send you to federal prison for a very long time.” said Minkler.

This case was investigated by FBI, IMPD, Los Angeles County Sheriff’s Department and South Dakota Division of Criminal Investigation.

"I am proud of the dedicated work and swift action of our agents and task force officers, as well as our law enforcement partners in California and South Dakota. This speaks to the phenomenal teamwork that exists between the FBI and our partner organizations, even across state lines," said W. Jay Abbott, Special Agent in Charge of the FBI's Indianapolis Division.

"Protecting our children will remain an important effort of enforcement for IMPD," said Chief Roach. "Individuals who prey on the most innocent and vulnerable, our children, we are confident will be held accountable for their actions."

According to Assistant United States Attorney Kristina Korobov who prosecuted this case for the government, Smith must serve 15 years of supervised release following his prison term.