United States Attorney Randolph J. Seiler announced that a Mission, South Dakota, man convicted of Conspiracy to Distribute a Controlled Substance was sentenced on December 11, 2017, by U.S. District Judge Roberto A. Lange.

Richard William Neiss, age 46, was sentenced to 46 months in custody, followed by 3 years of supervised release, a $1,000 fine, forfeiture of $1,141.76 and ammunition seized by law enforcement on November 24, 2016, and a special assessment of $100 to the Federal Crime Victims Fund.

Neiss was indicted by a federal grand jury on March 15, 2017, for Conspiracy to Distribute a Controlled Substance, Distribution of a Controlled Substance, and Possession with Intent to Distribute a Controlled Substance.  Neiss pled guilty to Conspiracy to Distribute a Controlled Substance (methamphetamine) on September 26, 2017.

Neiss admitted to possessing methamphetamine on three separate occasions, with the intent to further distribute it:  1) on July 22, 2014, Neiss was caught with 4 grams of methamphetamine at the Rosebud Sioux Tribe’s Casino; 2) on November 24, 2016, Neiss was stopped by Rosebud Sioux Tribal Police in Mission, and inside his vehicle was found 2.5 grams of methamphetamine, three digital scales, a large quantity of plastic baggies, $1,147.76 in U.S. currency, and a box of shotgun shells; and 3) on April 8, 2017, in Mission, Niess was arrested with 22.17 grams of methamphetamine, and a pipe and small plastic bowl with methamphetamine residue.

Further, Neiss admitted to distributing 11.1 grams of methamphetamine to another individual in Eagle Butte on February 8, 2017, for $1,050.00.

This case was investigated by the Rosebud Sioux Tribe Law Enforcement Services, the Cheyenne River Sioux Tribe Narcotics Division, and the Northern Plains Safe Trails Drug Enforcement Task Force.  Assistant U.S. Attorney SaraBeth Donovan prosecuted the case.

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

A federal jury in Brooklyn returned a guilty verdict today against Sean Price on four counts of a superseding indictment charging him with interstate and foreign enticement to engage in sexual activity, interstate and foreign transportation of a minor to engage in sexual activity, a Mann Act violation, and attempted sexual exploitation of a child. The verdict came after a four-day trial before United States District Judge Nicholas G. Garaufis.

Bridget M. Rohde, Acting United States Attorney for the Eastern District of New York, Angel M. Melendez, Special Agent-in-Charge, U.S. Immigration and Customs Enforcement (ICE), Homeland Security Investigations New York (HSI), and James P. O’Neill, Commissioner, New York City Police Department (NYPD), announced the verdict.

“The jury has held defendant Sean Price accountable for his predatory conduct, which included luring a teenage girl from her home in Australia across the world to the United States so that he could engage in an illicit sexual relationship with her,” stated Acting United States Attorney Rohde.  “Today’s verdict should send a strong message that this Office, together with our law enforcement partners, will work tirelessly to identify those who would sexually exploit minors and prosecute those abusers to the fullest extent of the law.”  Ms. Rohde expressed her appreciation to the New South Wales Police Force and the Australian Federal Police for their assistance in the investigation and prosecution of this matter, and commends the Australian authorities and the NYPD on the investigation and cooperation that ultimately led to the recovery of the missing girl.

 “Price lured a teenage girl across the globe to satisfy his own sordid desires, taking advantage of her youth and preying on her vulnerability,” stated HSI Special Agent-in-Charge Melendez.  “These cases are a harsh reminder of the importance of educating our young people on the dangers of sexual predators on the internet.  HSI New York’s Trafficking in Persons Unit maintains an unwavering commitment to investigate these crimes around the world, targeting and arresting predators who transport minors for sex.  And we continue to collaborate with our global partners, like the Australian Federal Police, while relying on local partnerships as with the NYPD.”

The evidence at trial established that in the fall of 2016, Price established an online relationship with a 16-year-old girl who lived in Australia.  By January 2017, they were communicating with each other daily through messages on Facebook, with much of the discussion concerning Price’s desire to engage in sex with the girl, and how she could travel from Australia to join Price in New York City without law enforcement or her parents finding out.  The Facebook chat messages demonstrated that Price, who was 39-years-old at the time, openly discussed the girl’s age with her, and Price told her repeatedly that he wanted to be sexually intimate with her.

Price and the girl also discussed obtaining a fake passport so the girl could travel internationally, and Price offered to impersonate her father to help her get through airport security in the United States.  In chat messages, Price told the girl that they would soon be laughing at her parents and when she told Price that she did not need parental permission to fly internationally, Price responded: “So you coming to papa?”  After months of planning, Price wired the girl over $900 to purchase a plane ticket to fly to Los Angeles in late March of this year.  Shortly afterwards, on April 11, 2017, the girl flew on a roundtrip ticket from Sydney, Australia to Los Angeles, California, where Price was waiting for her arrival.  Price hired a rental car, and he drove across the country to Price’s home in Jamaica, Queens. 

Price admitted in a post-arrest statement that he and Jane Doe were involved sexually during their cross-country trip, and while they were living in Queens until she was found by law enforcement in his home four weeks later.  Following her successful recovery by officers of the NYPD, Jane Doe was returned to her family in Australia.

When sentenced, Price faces up to life in prison. 

The government’s case is being prosecuted by Assistant United States Attorneys Taryn A. Merkl and Monica K. Castro.

The Defendant:

SEAN PRICE
Age: 39
Residence: Queens, New York

E.D.N.Y. Docket No. 17-CR-301 (NGG)

SACRAMENTO, Calif. — Xavier L. Johnson, 37, of Sacramento, was sentenced today by U.S. District Judge Garland E. Burrell Jr. to two years and six months in prison and three years of supervised release for trafficking in goods bearing counterfeit trademarks, U.S. Attorney Phillip A. Talbert announced.

According to court documents, from 2008 to 2011, Johnson and co-defendant Kristin Caldwell imported DVDs from China that contained counterfeit versions of children’s movies. They advertised and sold those DVDs throughout the United States using websites on which they claimed that they had obtained limited quantities of the movies. The DVDs bore counterfeit trademarks, including the names of the movies, the names of the movie studios, and other terms that were registered with the United States Patent and Trademark Office.

This case was the product of an investigation by the United States Postal Inspection Service and the Federal Bureau of Investigation. Assistant U.S. Attorneys Matthew Morris and Timothy Delgado prosecuted the case.

Other defendants charged in this case and the status of their charges are:

• Kristin M. Caldwell, 35, of Sacramento, was sentenced by Judge Burrell on August 4, 2017, and was ordered to spend six months on home confinement as a condition of probation.
• William L. Brown, of Sacramento, pleaded guilty on May 5, 2017 to aiding and abetting criminal copyright infringement. He is scheduled to be sentenced on January 19, 2018.

Assistant U. S. Attorneys Alessandra P. Serano (619) 546-8104 or Connie V. Wu (619) 546-8592

NEWS RELEASE SUMMARY– December 15, 2017

SAN DIEGO –Marlin Lee Gougher was sentenced today to 200 months in prison and 20 years of supervised release for distributing, receiving and possessing child pornography.  Gougher, a former substitute teacher in the Temecula School District and private tutor, was convicted after a jury trial in September 2017.  

At trial, Gougher was found to have possessed two laptop computers with over 300 videos of child pornography, some of which depicted children as young as four years of age.  The FBI executed the search warrant on his Oceanside apartment in January 2013 where they located names of children Gougher had privately tutored over several years. To date, no one has come forward claiming any sexual misconduct by Gougher.

In imposing the 200 month sentence, United States District Court Judge William Q. Hayes commented that the images were “the worst I’ve ever seen.” Judge Hayes noted that the “horrific and heart-breaking nature” of the child pornography videos. Some videos depicted children under the age of five being raped by adult males. Judge Hayes said that the victims of child pornography suffer “psychological damage that can’t be undone. They don’t get a determinate sentence.” 

U.S. Attorney Adam L. Braverman said, “All child exploitation cases are heinous, but the actions of this defendant, whose profession afforded him special access to young students, are particularly appalling. We will use the full resources of the Department of Justice to seek the longest sentences possible for those who victimize children.”

“Each video and each image that Mr. Gougher possessed represented the victimization of a child.  This case is particularly disturbing given the defendant’s former position as a teacher and tutor.” said FBI Special Agent in Charge Eric S. Birnbaum.  “We hope the resulting sentence from this investigation sends a clear message to anyone involved in the online sexual exploitation of a child:  the FBI  is steadfast and committed to identifying child predators and protecting the innocence of our children.”

DEFENDANT                                               Case Number 14cr0635-WQH                                            

Marlin Lee Gougher                                       Age: 59           Oceanside, CA

SUMMARY OF CHARGES

Distribution and Receipt of Images of Minors Engaged in Sexually Explicit Conduct – Title 18, U.S.C., Section 2252(a)(2)

Maximum penalty: 20 years’ imprisonment with a mandatory minimum sentence of 5 years. Lifetime of supervised release

Possession of Images of Minors Engaged in Sexually Explicit Conduct – Title 18, U.S.C., Section 2252(a)(4)

Maximum penalty: 20 years’ imprisonment. Lifetime of supervised release

AGENCY

Federal Bureau of Investigation

LEXINGTON, Ky. — Yesterday, Stanford Coleman, 49 of Atlanta, Georgia was convicted of Conspiracy to Distribute Oxycodone. The jury returned its guilty verdict after 4 days of trial.

The evidence at trial established that, between January 2015 and May 2017,  Coleman was supplying large quantities of 30 milligram Oxycodone pills to people in Mt. Sterling and Montgomery County.

United States Attorney Robert M. Duncan, Jr., Special Agent in Charge, Stuart Lowery, ATF Louisville, Commissioner Richard Sanders, Kentucky State Police, and Police Chief David Charles, Mt. Sterling Police Department, jointly announced the verdict.

Coleman was remanded to the custody of the U.S. Marshals and is scheduled to be formally sentenced on March 23, 2018.  The investigation was conducted by the ATF, the KSP, and the Mt. Sterling Police Department.  The United States was represented by Assistant United States Attorney Roger West.

SAN FRANCISCO – Joel Zweig, an attorney who resides in New York, was sentenced to 56 months in prison for obstruction of justice and perjury, announced United States Attorney Brian J. Stretch, Federal Bureau of Investigation Special Agent in Charge John F. Bennett, and U.S. Postal Inspection Service Inspector in Charge Rafael Nuñez.  The sentence was handed down yesterday by the Honorable William H. Orrick, U.S. District Judge, following Zweig’s guilty plea to the charges on September 19, 2017.   

According to the plea agreement, Zweig, 54, admitted he manufactured evidence in an effort to establish damages in the lawsuit Pet Food Express, Limited v. Royal Canin USA, Inc., C09-1483 EMC.  The lawsuit was pending in the Northern District of California.  Zweig admitted he created a phony commercial lease, complete with fake signatures and a fake notarial stamp, as evidence that a business was being established in New York City.  In addition, Zweig acknowledged he directed an architect to visit a property in New York City so the architect could create drawings showing a store was being opened at the property.  Zweig admitted that at the time, he wrote to the architect it was unlikely that the store would be built.  Nevertheless, Zweig then failed to produce his communications with the architect in response to a grand jury subpoena and lied to a postal inspector by denying he knew the phony lease would be used to support a claim for damages in the California litigation.  

On May 17, 2016, a federal grand jury indicted Zweig, charging him with four counts of wire fraud, in violation of 18 U.S.C. § 1343; two counts of obstruction of justice, in violation of 18 U.S.C. § 1503; four counts of perjury, in violation of 18 U.S.C. § 1623(a); one count of aggravated identity theft, in violation of 18 U.S.C. § 1028A; and one count of false statements to a government agency, in violation of 18 U.S.C. § 1001.   A trial on the charges commenced on September 11, 2017, however, on September 19, 2017, Zweig pleaded guilty to the obstruction of justice and perjury counts.  Pursuant to the plea agreement, the remaining counts were dismissed.

Assistant U.S. Attorneys Robin Harris and William Frentzen are prosecuting the case.  The prosecution is the result of an investigation by the FBI and the U.S. Postal Inspection Service.  
 

Assistant U. S. Attorneys Andrew Young (619) 546-7981, Benjamin Katz (619) 546-9714 or Mark W. Pletcher (619) 546-9604

NEWS RELEASE SUMMARY– December 15, 2017

SAN DIEGO – Owen Hanson, the leader of the violent “ODOG” racketeering enterprise, was sentenced to 255 months in prison and a lifetime of supervised release for leading an international drug trafficking, gambling and money laundering enterprise that operated in the United States, Central and South America and Australia from 2012 to 2016. 

According to court records, ODOG trafficked thousands of kilograms of cocaine, heroin, methamphetamine, MDMA (also known as “ecstasy”), marijuana, anabolic steroids and Human Growth Hormone (“HGH”). As Hanson admitted, ODOG’s drug operation routinely distributed controlled substances at wholesale and retail levels, including selling performing enhancing drugs to numerous professional athletes.  The organization also operated a vast illegal gambling operation focused on high-stakes wagers placed on sporting events.  The Enterprise used threats and violence against its gambling and drug customers to force compliance.  One particular victim who owed ODOG more than $2 million described in graphic detail at today’s hearing how Hanson sought to collect the debt by sending DVD’s to the victim and the victim’s wife showing beheadings, as well as a photo of victim’s desecrated family’s gravestone.

United States District Judge William Q. Hayes explained that a severe sentence was warranted because of the “staggering” and “astounding” size and scope of ODOG’s criminal activities.  Noting that Hanson moved hundreds of kilograms of drugs, all over the globe, month after month made him truly an “international drug trafficker.”  Judge Hayes commented to Hanson: “It is difficult to understand how you got here, other than greed.”

According to the government’s sentencing papers, Hanson’s criminal activity started while he was a football player at the University of Southern California, where he “birth[ed] his drug trafficking empire by selling recreational drugs and steroids to his teammates”  of a national championship football team, and used his business degree to “to build a criminal enterprise that exploited people at their lowest moments.”

 “Transnational racketeering organizations like ‘ODOG’ represent a clear and present danger to the safety and security of our communities, our country, and our international partners,” observed United States Attorney Adam Braverman.  “From shipping enormous quantities of dangerous drugs around the globe, to operating illegal bookmaking enterprises, to laundering millions of dollars in criminal proceeds, the breadth and scope of Hanson’s illicit activity was truly staggering, and is directly reflected by the more than two-decades long sentence imposed today.”

“Dismantling major international and national organized criminal enterprises is a longstanding area of Bureau expertise,” said FBI Special Agent in Charge Eric S. Birnbaum. “The goal of the FBI is to bring down entire organizations, especially those with a wide reach. Today's sentence, along with the 21 other convicted co-conspirators, emphasizes that the 'ODOG criminal organization' will no longer traffic drugs on our streets; will no longer run its illegal gambling ring; and will no longer bring violence upon those who are obstacles to their greed and desire to grow an illegal and dangerous enterprise.”

“The long prison sentence handed down today is appropriate and well deserved. Mr. Hanson was held accountable for his brazen actions as a leader and an organizer of a criminal enterprise,” stated Special Agent in Charge R. Damon Rowe of IRS Criminal Investigation.  “The government will now use asset forfeiture as the final lever to seize a significant portion of the illegal proceeds generated by this drug distribution and gambling operation.  IRS Criminal Investigation is proud to provide its financial expertise as we work alongside our law enforcement partners to bring criminals to justice.”

Hanson’s criminal career was ascendant when the FBI took down his operation.  According to sentencing papers, “Hanson showed no signs of stopping this criminal activity.  He bragged to undercover agents about the success of his operation and his aspirations to be even bigger.  In the days leading up to his arrest, Hanson communicated with an undercover FBI agent to coordinate a methamphetamine deal.  The night before Hanson was arrested, the undercover agent sent Hanson a message letting him know the deal was done and that the methamphetamine was ‘fine stuff.’  Hanson replied, ‘Told u – we don’t **** around.’  In response, the undercover agent thanked Hanson and told him to get a good night’s sleep.  Hanson replied, ‘Money doesn’t sleep.’”  Ultimately, the government argued that Hanson’s downfall brought down others, noting that associating with Hanson “turned gamblers into bookies, drug addicts into dealers, and friends into felons.”

In addition to serving more than 21 years in prison, Hanson was also sentenced to pay a criminal forfeiture in the amount of $5 million, including $100,000 in gold and silver coins, a Porsche Panamera, two Range Rovers, luxury watches, homes in Costa Rica, Peru and Cabo San Lucas, a sailboat, and interests in several businesses. 

So far, 21 of the 22 defendants charged in connection with this case have pleaded guilty, including:

• Luke Fairfield, a San Diego based Certified Public Accountant who assisted Hanson with laundering the proceeds of his various illegal endeavors by setting up shell corporations and advising members of the Enterprise on how to structure bank transactions to avoid detection by bank security and law enforcement;
• Derek Loville, a former professional football player, who pleaded guilty to distributing retail quantities of drugs for the ODOG Enterprise in Arizona;
• Daniel Portley-Hanks, a Los Angeles based private investigator who assisted Hanson with tracking down delinquent gamblers and other individuals who owed the enterprise money; and
• Jack Rissell, an “enforcer” who, in one instance, travelled from Southern California to Minneapolis to attack a delinquent gambler

One remaining defendant, Khalid Petras, awaits trial.

The case arose out of a joint investigation by FBI and the New South Wales (Australia) Police Force in conjunction with the New South Wales Crime Commission.  Hanson was initially indicted and arrested on September 9, 2015 after arranging the delivery of five kilograms of cocaine and five kilograms of methamphetamine.  Assistant U. S. Attorneys Andrew P. Young, Benjamin Katz and Mark W. Pletcher are prosecuting the case. 

DEFENDANT                                   Case Number: 15CR2310-WQH

Owen Hanson                                     Age:    34

Luke Fairfield                                     Age:    40

Kenny Hilinski                                    Age:    39

Giovanni Brandolino                          Age:    42

Daniel Portley-Hanks                         Age:    70

Jack Rissell                                          Age:    50

Derek Loville                                      Age:    48

Chalie D’Agostino                              Age:    52

Marlyn Villareal                                  Age:    32

Dylan Anderson                                  Age:    34

Tim Bryan                                           Age:    48

Jim Muse                                             Age:    53

Jeff Bellandi aka “Jazzy”                    Age:    50

Curtis Chen                                         Age:    33

James Duley                                        Age:    41

Dee Foxx                                            Age:    35

Khalid Petras                                      Age:    55

Rahul Bhagat                                      Age:    31

David Kipper                                      Age:    35

Todd Oldham                                      Age:    32

Daniel Ortega                                     Age:    42

SUMMARY OF CHARGES

Count 1

Racketeering Conspiracy to Conduct RICO Enterprise Affairs, 18 U.S.C. § 1962(d)

Maximum penalty: Life in prison, fine of $250,000 or twice the gross gain or loss caused by the offense, forfeiture of any property obtained or operated by RICO enterprise, 5 years’ supervised release.

Count 4

Conspiracy to Distribute Narcotics, 21 U.S.C. § 841(a)(1) and 846

Maximum penalty: Life in prison, fine of $10,000,000 or twice the gross gain or loss caused by the offense, forfeiture of any proceeds, 10 years’ supervised release.

AGENCIES

Federal Bureau of Investigation – San Diego Field Office

Internal Revenue Service – San Diego

Australian Crime Commission

New South Wales Police Force

New South Wales Crime Commission

*As to defendant Khalid Petras, the charges and allegations contained in an indictment are merely accusations, and the defendant is considered innocent unless and until proven guilty.

SAN JOSE- Vilasini Ganesh and Gregory Belcher were convicted of providing false statements to health benefit programs by a federal jury yesterday, announced United States Attorney Brian Stretch and Special Agent in FBI Special Agent in Charge John F. Bennett.  The verdicts followed an eight-week jury trial before the Honorable Lucy H. Koh, U.S. District Court Judge.

The jury found Ganesh, 47, of Saratoga, guilty of five counts of health care fraud and five counts of making false statements relating to claims fraudulently submitted to health care benefit programs.  Belcher, 56, also of Saratoga, was found guilty of one count of making a false statement relating to a health care benefit program.  The defendants were acquitted of conspiracy and money laundering counts, and Belcher was also acquitted of four other health care fraud counts and one other count of making a false statement relating to a health care benefit program.  

Evidence at trial showed that Ganesh submitted false and fraudulent claims to several health care benefit programs for services that she knew were not properly payable, by including claims for days when the patient had not been seen by the provider, and claims that the patients had been seen by another physician provider who was no longer affiliated with her practice.  Evidence at trial further demonstrated that Belcher had on at least one occasion submitted a false claim in connection with a billing matter related to his physical therapy practice.  On July 13, 2017, a federal grand jury indicted the defendants, charging them with one count of conspiracy to commit health care fraud, in violation of 18 U.S.C. § 1349; one count of conspiracy to commit money laundering, in violation of 18 U.S.C. § 1956(h); and multiple counts health care fraud, in violation of 18 U.S.C. § 1347, and 2 and false statement relating to health care matters, in violation of 18 U.S.C. § 1035.   

The defendants are currently out of custody, on a $350,000 bond as to Ganesh and a $250,000 bond as to Belcher. 

Judge Koh scheduled the defendants’ sentencing hearing for April 4, 2018.  The maximum statutory penalty for each count in violation of 18 U.S.C. Section 1347 is 10 years imprisonment and a $250,000 fine plus restitution, if appropriate.  The maximum statutory penalty for each count in violation of 18 U.S.C. Section 1035 is five years imprisonment and a $250,000 fine plus restitution, if appropriate.  However, any sentence will be imposed by the court after consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. § 3553. 

Assistant U.S. Attorneys Patrick Delahunty and Jeff Nedrow are prosecuting the case with the assistance of Susan Kreider and Nina Burney Williams.  The prosecution is the result of a two-year investigation by the Federal Bureau of Investigation.       
 

CINCINNATI – U.S. Attorney Benjamin C. Glassman recognized nine employees of the Southern District of Ohio in four categories for their distinguished public service in his second annual United States Attorney’s Awards in Outstanding Performance.

Outstanding Performance in Legal Support – Leah A. Gezinski

Ms. Gezinski’s support has enabled the Dayton office to successfully investigate and charge those trafficking heroin, fentanyl and other opioids.

“Ms. Gezinski has been invaluable in supporting some of the most labor-intensive investigations, particularly involving wiretaps,” U.S. Attorney Glassman said. “She worked tirelessly, and often at late or early hours, to ensure the success of wires that have been instrumental in charging and convicting opioid traffickers.”

Outstanding Performance by an Assistant United States Attorney – Heather A. Hill

Ms. Hill led three jury trials in the first four months of 2017 that arose from separate child-exploitation investigations.

In January, Thomas A. Sweeney was convicted of all counts, including production of child pornography, attempted coercion/enticement of a minor, receipt of child pornography and commission of a sex offense while registered as a sex offender. He was sentenced in July to serve 55 years in prison for the sex crimes, which involved a 14-year-old.

Joshua D. Chapman-Sexton was convicted of all counts in February. He was on supervised release when he committed the new offenses, which included receipt and possession of child pornography, and was sentenced to 24 years in prison.

In April, Shawn P. Parrish was also convicted of all counts, including receiving and possessing child pornography. He is scheduled to be sentenced next month.

“Assistant United States Attorneys are the best trial lawyers in the world, and no one performed as much or at a higher level in 2017 than Heather Hill,” Glassman said. “First chairing three jury trials in four months is a remarkable feat, and Ms. Hill’s accomplishment is all the more impressive because the defendants were charged with serious child-exploitation offenses, and she convicted them on every count.”

Outstanding Performance by a Litigative Team – Financial Litigation Unit

Assistant United States Attorney Bethany J. Hamilton, Paralegal Specialists Craig A. Black and Cloteal J. Turner, Legal Assistant Nicole Burczyk and Contract Paralegals Stephanie Crosson and Danielle DeLeon Spires were recognized for collecting more than $261 million in fiscal year 2017 – the highest total in the history of the Southern District of Ohio.

“The Financial Litigation Unit accomplished this new record for our District through 4,322 enforcement activities, close coordination with the Criminal and Civil divisions, and teamwork of the highest order,” Glassman said.

Outstanding Performance in Administration – Karen S. Stocker

As the District’s Budget Officer, Ms. Stocker handled a once-in-a-generation type of transition this past year to a new financial management system that was implemented in each U.S Attorney’s Office across the country. 

“Ms. Stocker has been an exemplary Budget Officer for the last decade, and this past year, she not only managed to accommodate within our budget expenses for ambitious investigations and litigation, but she also did so while transitioning to a new national financial management system,” Glassman said. “This transition was among the most significant in many years, but thanks to Ms. Stocker’s diligence and hard work, most litigators in our office probably didn’t even notice.”

# # #

SYRACUSE, NEW YORK – Eric Campbell, age 36, formerly of Lewis County, was sentenced today to 72 months imprisonment for possessing methamphetamine and for possessing pseudoephedrine knowing it would be used to manufacture methamphetamine, announced Acting United States Attorney Grant C. Jaquith, U.S. Drug Enforcement Administration (DEA) Special Agent in Charge James J. Hunt of the New York Division and New York State Police Superintendent George P. Beach II.

The evidence against Campbell established that between January 2014 and November 2015, he and others purchased pseudoephedrine pills weighing more than 100 grams from different drug stores in and around Lewis County.  Campbell knew there were restrictions on the sale of pseudoephedrine, and to avoid scrutiny often rotated the stores where he bought the pills.  Campbell purchased the pseudoephedrine and possessed pseudoephedrine purchased by others knowing it would be used to illegally manufacture methamphetamine.  On November 13, 2015, Campbell possessed approximately 107 grams of a liquid containing methamphetamine, the result of an unfinished methamphetamine “cook.”   

After serving his term of imprisonment, Campbell will be on supervised release for 3 years. 

This case was investigated by the New York State Police (NYSP), including the NYSP Contaminated Crime Scene Emergency Response Team (CCERT) and New York State Intelligence Center (NYSIC), the Lewis County Sheriff’s Office, and the U.S. Drug Enforcement Agency, and was prosecuted by Assistant U.S. Attorney Carl Eurenius.

          GRAND RAPIDS, MICHIGAN– Terrell Churchwell, 27, of Muskegon, Michigan was sentenced to 120 months (10 years) in federal prison for firearm offenses, U.S. Attorney Andrew B. Birge announced today. In addition to the prison term, U.S. District Judge Paul L. Maloney imposed a 3-year term of supervised release that will commence once Churchwell is released from imprisonment.

          Churchwell pled guilty on June 27, 2017, to two counts of being a felon in possession of a firearm. Churchwell admitted at the plea hearing that he possessed a handgun in the summer of 2015 and a rifle in the spring and summer of 2016. Investigation revealed that the handgun was stolen. Churchwell had previously been convicted of two felonies: a drug offense and failing to register as a sex offender.

          In its sentencing memorandum, the U.S. Attorney’s Office noted that Churchwell had an "extensive history of violence – a history that started when he was 14 years old and has continued, unabated to the present." The United States detailed Churchwell’s long history of assaults, threats, and domestic violence, as well as his history of drug offenses, repeatedly failing to register as a sex offender, and other crimes. In addition, the United States proved at sentencing that Churchwell illegally possessed a number of additional firearms, which he used to threaten and intimidate others. The United States further proved that Churchwell obstructed justice in this case by tampering with witnesses. The U.S. Attorney’s Office wrote that Churchwell’s history and conduct warranted a ten-year sentence to "reflect the seriousness of the defendant’s conduct, promote respect for the law, deter future criminal conduct by the defendant, deter others from engaging in similar conduct, and provide just punishment for his criminal conduct."

          U.S. Attorney Birge stated: "The defendant’s sentence sends a clear message that violence and witness tampering will not be tolerated, particularly not in Muskegon."

          The charges in this case are the result of a joint investigation by the Muskegon City Police Department, the Michigan State Police, and the Bureau of Alcohol, Tobacco, and Firearms (ATF). Assistant U.S. Attorney Sean M. Lewis prosecuted the case. The U.S. Attorney's Office, the Muskegon County Prosecutor's Office, and federal, state, and local law enforcement are working closely together to combat violent crime and witness tampering in the Muskegon area.

END

FARGO – United States Attorney Christopher C. Myers announces that on December 15th, 2017, FERNANDO LAUDE SAYASAYA, was extradited to the United States and will face state child sexual abuse charges that were filed in Cass County District Court in December of 2002.  The charges allege the offenses took place between July 1995 and June 1997 for one victim and June 1997 through August 1998 for another victim.

            A federal indictment was returned on Sayasaya for Unlawful Flight to Avoid Prosecution on January 7, 2003, when Sayasaya failed to return to the United States following a visit to the Philippines in 1998.

            Sayasaya was ordered extradited by a court in the Philippines on December 28, 2010 and appealed that order. An appellate court in the Philippines upheld the extradition order on February 29, 2012 and a warrant was issued after Sayasaya failed to appear on a summons. After close coordination with Philippines law enforcement, Sayasaya was arrested on November 19, 2017 in the Philippines and was transported to the United States by the United States Marshal’s Service. The United States will dismiss the federal charges to allow Cass County to proceed with their charges.

            United States Attorney Myers stated: “This case illustrates the close cooperation at the international, federal, and state and local jurisdictions to locate, apprehend and extradite defendants who seek refuge outside of the United States to thwart justice. This successful extradition is a result of twenty years of relentless police work by Det. Greg Warren of the West Fargo Police Department and Philippine authorities. This case exemplifies the strong partnerships we have developed here in North Dakota and worldwide. We would like to express our gratitude for the cooperation provided by Philippine law enforcement agencies, including the National Bureau of Investigation, the Philippine National Police and the Philippines Department of Justice.”

            This case was investigated by the Federal Bureau of Investigation, United States Marshal’s Service, West Fargo Police Department, Cass County State’s Attorney’s office, United States Department of Justice - Office of International Affairs, and law enforcement personnel assigned to the U.S. Embassy in Manila.

            ## The Indictment in this case is not evidence of guilt. The defendant is presumed innocent unless or until proven guilty beyond a reasonable doubt at trial. ##

PROVIDENCE, RI –A Pawtucket resident who admitted to selling substantial quantities of methamphetamine has been sentenced to 5 years in federal prison, announced Acting United States Attorney Stephen G. Dambruch; Warwick Police Chief Colonel Stephen M. McCartney; Pawtucket Police Chief Tina Goncalves; and Mickey Leadingham, Special Agent in Charge of the Boston Field Division of Bureau of Alcohol, Tobacco, Firearms and Explosives.

Christopher Bergeron, 46, pleaded guilty in U.S. District Court in Providence on September 22, 2017, to possession with the intent to distribute 50 grams or more of methamphetamine. He was arrested on May 4, 2017, after Warwick Police seized 15 grams of methamphetamine from Bergeron’s vehicle and Pawtucket Police seized 121 grams of methamphetamine during a court authorized search of his residence.

Bergeron’s drug trafficking activities came to the attention of law enforcement during an unrelated investigation into the methamphetamine trafficking activities of Jon Cascella, 49, of Warwick. A federal court jury recently convicted Cascella on four counts of distribution of methamphetamine, two counts of distribution of 5 grams or more of methamphetamine, and one count each of possession with intent to distribute 5 grams or more of methamphetamine, being a felon in possession of a firearm arm and possession of a firearm in furtherance of drug trafficking. Cascella is scheduled to be sentenced by U.S. District Court Chief Judge William E. Smith on March 2, 2018.

At sentencing, U.S. District Court Chief Judge William E. Smith also ordered Christopher Bergeron to serve 4 years supervised release upon completion of his term of incarceration. The statutorily required minimum sentence of 5 years imposed by the Court is greater than the U.S. Sentencing Guidelines imprisonment range in this matter of 41-51 months. The government recommended the Court impose a sentence of 60 months of incarceration.

The case is being prosecuted by Assistant U.S. Attorney Milind M. Shah, with the assistance of Assistant U.S. Attorney Zechariah Chafee.

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Tampa, FL – U.S. District Judge Virginia Hernandez Covington today sentenced Isidro Diaz-Sanchez (31), a Mexican national, to 30 months in federal prison for illegally reentering into the United States after deportation, and for failing to register as a sex offender. He pleaded guilty on September 28, 2017.

According to court documents, Diaz-Sanchez was previously deported from the United States as an aggravated felon on October 8, 2015. At the time of his deportation, he had been convicted of taking indecent liberties with a child in North Carolina, after having engaged in sexual activity and impregnating a minor child. As a result of his conviction, Diaz-Sanchez was required to register as a sex-offender and maintain his sex offender registration for a period of 30 years.

In January 2017, Diaz-Sanchez reentered the United States illegally and was subsequently found in the Hardee County Jail pending charges of resisting without violence and attempting to use the identification of another person. A review of the Florida Sex Offender Registry revealed that Diaz-Sanchez had failed to register as a sex offender.

“This criminal alien was a dangerous threat to our youth and ICE is proud to increase community safety by putting him behind bars,” said Michael W. Meade, acting field office director for the Miami Field Office of ERO.

This case was investigated by U.S. Immigration and Customs Enforcement’s Enforcement and Removal Operations. It was prosecuted by Assistant United States Attorney Lisa M. Thelwell.

Ocala, Florida – Acting United States Attorney W. Stephen Muldrow announces that a federal jury in Orlando today found Susan J. Gissy (54, Crystal River) guilty of one count of theft of government funds and two counts of concealing a material fact in connection with the receipt of workers compensation benefits.  She faces a maximum penalty of 10 years in prison on the theft charge, and up to five years on each of the concealment offenses. Her sentencing hearing is scheduled for March 5, 2017.

A superseding indictment was returned against Gissy on June 14, 2017.

According to testimony and evidence presented at trial, Gissy was employed as a rural mail carrier with the United States Postal Service. In 2011, she filed a federal workers’ compensation disability claim in connection with a lower back injury. In 2014, based in part on her misrepresentations to her treating physician regarding her back injury, Gissy received a permanent disability impairment rating.  In 2016, federal agents observed Gissy engaging in strenuous physical activity, including scuba diving, boating, and riding 12-meter-tall waterslides. Further investigation revealed that Gissy had systematically misrepresented the extent of her recovery. As a consequence, she had received over $112,000 in workers’ compensation disability benefits to which she was not entitled. Gissy had also knowingly concealed and covered up her recovery by twice filing false documentation in support of her claim.

This case was investigated by the United States Postal Service - Office of the Inspector General. It is being prosecuted by Assistant United States Attorneys William S. Hamilton and Robert E. Bodnar, Jr.

DAYTON – Robert Phelps, 49, of Jackson Center, Ohio, was sentenced in U.S. District Court to 36 months in prison for possessing child pornography.

Benjamin C. Glassman, United States Attorney for the Southern District of Ohio, Angela L. Byers, Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Division, and other members of the FBI’s Child Exploitation Task Force announced the sentence handed down by U.S. District Judge Walter H. Rice.

Phelps was one of three defendants convicted in the Southern District of Ohio as the result of a national FBI investigation, “Operation Pacifier,” which involved the takedown of a “dark web” site dedicated to child pornography. Using a court-approved Network Investigative Technique to pierce through the anonymity provided by the Tor network, agents uncovered IP addresses and other information that helped locate and identify users. Investigators sent more than 1,000 leads to FBI field offices in every state in the country and thousands more to oversees partners.

As a result of the investigation, at least 350 U.S.-based individuals have been arrested, 25 producers of child pornography have been prosecuted, 51 alleged hands-on abusers have been prosecuted and 55 American children who were subjected to sexual abuse have been successfully identified or rescued.

According to court documents in this case, when federal agents executed a search warrant in July at Phelps’s home, on just one computer they discovered more than 6,300 images and 590 videos of minors engaged in sexually explicit conduct. A separate hard drive contained an additional 255,000 images and 120 videos.

Phelps pleaded guilty in April to one count of possessing child pornography.

U.S. Attorney Glassman commended the investigation by the FBI, as well as Assistant United States Attorneys Amy M. Smith and Andrew J. Hunt, who are representing the United States in this case. 

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SAN JUAN, P.R. – On December 14, 2017, a federal grand jury returned a three-count indictment against Andie Nikolany-Geigel for interference with commerce by threats or violence, using a firearm during a crime of violence, and being a prohibited person in possession of a firearm, announced United States Attorney Rosa Emilia Rodríguez-Vélez. The Federal Bureau of Investigation is in charge of the investigation.

The indictment alleges that on or about November 25, 2017, in the District of Puerto Rico, Nikolany-Geigel, while carrying and brandishing a firearm, did take approximately 405 dollars from the TO GO Convenience Store, in the presence of employees, against their will by means of actual and threatened force, violence and fear of injury, threatening the employees with a firearm in order to commit the robbery.

“This defendant threatened the lives of defenseless victims while they were working for the hard earned money during these difficult times,” said US Attorney Rosa Emilia Rodríguez-Vélez. “Through the hard work of federal and state law enforcement and the US Attorney’s Office prosecutors, this defendant will be brought to justice.”  

“The FBI and other federal agencies, along with police departments all across Puerto Rico, are making it a top priority to take violent offenders off the streets. We then work with our partners at the United States Attorney’s Office to see that anyone involved in committing these crimes receives the maximum prison sentences allowed by federal law,” said Douglas A. Leff, Special Agent in Charge of the FBI, San Juan Field Office.

The case is being prosecuted by Assistant United States Attorney Max Pérez-Bouret. If convicted, the defendant faces up to 15 years of imprisonment for the robbery charge (Count One), and up to life imprisonment for the firearms charge (Count Two). Indictments contain only charges and are not evidence of guilt. Defendants are presumed to be innocent until and unless proven guilty.

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WASHINGTON– The last indicted member of the Cowboys gang, a violent street gang that originated in “Eastside” area of Walterboro, South Carolina, was sentenced today to 20 years in prison in federal court in Charleston, South Carolina.

Acting Assistant Attorney General John P. Cronan of the Justice Department’s Criminal Division; Special Agent in Charge C.J. Hyman of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) Charlotte, North Carolina Field Division; Solicitor Duffie Stone of the 14th Judicial Circuit; Solicitor David Pascoe of the First Circuit; Sheriff R.A. Strickland of the Colleton County, South Carolina Sheriff’s Office; Chief Wade Marvin of the Walterboro, South Carolina Police Department; Sheriff Al Cannon Jr. of the Charleston County, South Carolina Sheriff’s Office; Sheriff L. C. Knight of the Dorchester County, South Carolina Sheriff’s Office; Chief Jon Rogers of the Summerville, South Carolina Police Department; Director Jerry Adger of the South Carolina Department of Probation, Parole and Pardon Services; and Chief Mark Keel of the South Carolina Law Enforcement Division made the announcement.

Dashawn Trevell Brown, aka TOB and Shawny, 24, of Walterboro, South Carolina, was sentenced to 240 months in prison by U.S. District Court Judge David C. Norton.  Judge Norton sentenced Brown to three years of supervised release following his prison sentence, and restitution for victims injured as a result of his criminal activity. 

According to the plea agreement, Brown was a member of the Cowboys gang, a violent street gang that originated in the “Eastside” area of Walterboro, South Carolina.  Members of the Cowboys show their allegiance by wearing red, white, and blue clothing, and carrying rags in these colors, including depictions of the American flag.  Further, members of the Cowboys greet each other and show their membership in the gang using a set of hand-signs intended to evoke the shape of a “b.”  This hand sign also shows an affiliation with the “Bloods” gang.  Members of the Cowboys also show allegiance to the gang by having the words “Cowboy(s)” or “GMC” tattooed to some part of their body.  The Cowboys gang was also, for a time, aligned with another violent street gang called the “Wildboys,” that originated out of the Green Pond area of Walterboro.  In addition to sharing a common interest in posting threats, firearms, large amounts of cash, and what purported to be narcotics on Facebook and YouTube, Cowboys and Wildboys shared common enemies.  These shared interests resulted in shootings, aimed at rival gang members, which left innocent by-standers seriously injured.

Brown was sentenced for his role in four shootings committed on behalf of his membership as a Cowboys.  On May 12, 2011, after an encounter with an individual believed to be a member of a rival gang, Brown fired shots at the victim.  The shooting occurred because of an on-going dispute between the Cowboys and the rival gang.  Brown was identified by witnesses to the shooting.  As a result of this, a retaliatory shooting occurred on May 14, 2011, during which, another innocent bystsander was shot and seriously injured.  Brown was also identified as having fired shots during this incident.

Second, Brown was sentenced for his role in a June 30, 2013 shooting in the Druid Hills areas of Walterboro.  Brown, who was in a vehicle occupied by two other members of the Cowboys, participated in a drive-by shooting of individuals believed to be members of a rival gang.  Brown, who fired shots resulting in injuries to the victim’s arm, days later encountered the victim and told him, “I should have killed you.”

Third, Brown was sentenced for his role in the July 14, 2013 shooting at the Starlite Lounge in St. George.  Brown, and other members of the Cowboys, attended a party at the lounge while dressed in Cowboys colors, including displays of red, white, and blue bandanas.  While members of the Cowboys were on stage, members of the Cowboys exchanged words with a patron.  After they believed they were disrespected by the patron, members of the Cowboys left the club and waited outside.  As individuals began to leave the club, Brown and at least four other members of the Cowboys fired guns toward those coming out of the club.  As a result of the shooting, at least three victims were shot and injured. 

Lastly, Brown was sentenced for his role in a Nov. 6, 2015 attempted murder.  Brown, along with co-defendants Khiry Broughton and Quintin Fishburne, attended a drag race outside of Walterboro.  After bets were placed, Broughton questioned the results of the race and demanded the winnings, which were held by one of the race drivers.  Broughton decided to rob the winner of the race and in so doing retrieved a backpack containing firearms from Fishburne’s vehicle.  Broughton provided the firearms to Brown and other members of the Cowboys.  After the winner refused to provide the money, the winner and another innocent bystander were shot and severely injured.  After the shooting occurred, Fishburne, who transported Brown and Broughton, drove Brown and Broughton from the scene to avoid apprehension by the police.

Khiry Broughton, Clyde Naquan Hampton, Matthew Rashuan Jones, William Lamont Cox, Bryant Jameek Davis, Zaquann Ernest Hampton, Christopher Sean Brown, and Quintin Fishburne were all sentenced in November for their roles in criminal activity related to the Cowboys.

In August, Attorney General Jeff Sessions delivered remarks to the 2017 Gangs Across the Carolinas Training Symposium in Winston-Salem, North Carolina.  Since the beginning of this year, the Department of Justice has secured more than 1,260 convictions against gang members.

The case was investigated by the ATF Charleston, in partnership with the Walterboro Police Department; Colleton County Sheriff’s Office; Charleston County Sheriff’s Office; Dorchester County Sheriff’s Office; Summerville Police Department; Fourteenth Judicial Circuit Solicitor’s Office; First Judicial Circuit Solicitor’s Office; South Carolina Department of Probation, Parole and Pardon Services; and the South Carolina Law Enforcement Division.

The case was prosecuted by Trial Attorney Leshia Lee-Dixon of the Criminal Division’s Organized Crime and Gang Section and Special Assistant U.S. Attorney Tameaka A. Legette from the Fourteenth Judicial Circuit Solicitor’s Office, Bluffton, South Carolina.

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CONTACT:      Barbara Burns
PHONE:         (716) 843-5817
FAX:            (716) 551-3051
 
BUFFALO, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that James Nelson, 61, of Tonawanda, NY, was arrested and charged by criminal complaint with possession with intent to distribute, and distribution of, alprazolam and buprenorphine;  possession with intent to distribute marijuana; and possession with intent to distribute oxycodone, hydrocodone, butalbital, buprenorphine, and alprazolam. The charges carry a maximum penalty of 20 years in prison and a $1,000,000 fine.

Assistant U.S. Attorney Laura A. Higgins, who is handling the case, stated that on two occasions on June 8, 2016, Buffalo Police Department Investigators completed  controlled undercover purchases of Alprazolam, a Schedule IV controlled substance, and Buprenorphine from Nelson.

On December 11, 2017, Special Agents with the Drug Enforcement Administration and Investigators of the Town of Tonawanda Police Department executed a search warrant at the defendant’s Fayette Avenue residence in Tonawanda. Nelson was found in the living room area of the residence. Officers recovered oxycodone pills; acetaminophen pills containing butalbital; suboxone strips containing buprenorphine; suboxone pills containing buprenorphine; hydrocodone pills; alprazolam pills; crack cocaine; marijuana; two digital scales; and approximately $1,400 in U.S. currency.

The defendant is being held following a detention hearing this morning.

The criminal complaint is the result of an investigation by the Tonawanda Police Department, under the direction of Chief Jerome Uschold and the Drug Enforcement Administration, under the direction of Special Agent-in-Charge James J. Hunt, New York Field Division.

The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.

PITTSBURGH – On Dec. 13, 2017, a resident of New Castle, Pa., was indicted by a federal grand jury in Pittsburgh on charges of violating federal narcotics laws, Acting United States Attorney Soo C. Song announced today.

The 26-count indictment named Dr. Thomas A. Ranieri, 64, of New Castle, Pa.

According to the indictment presented to the court, from Jan. 2, 2013 to June 26, 2013, Dr. Ranieri prescribed and distributed quantities of Schedule II controlled substances (i.e., Oxycodone, Fentanyl, and Opana ER) outside the usual course of professional practice.

The law provides for a maximum sentence, at each of the 26 counts, of 20 years in prison and a fine of $1,000,000 or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.

Assistant United States Attorney Stephanie L. Haines is prosecuting this case on behalf of the government.

The Federal Bureau of Investigation, Health and Human Services Office of Inspector General, Internal Revenue Service Criminal Investigation, and Pennsylvania Office of Attorney General Medicaid Fraud Control Section conducted the investigation that led to the prosecution of Ranieri.

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