Donald S. Boyce, United States Attorney for the Southern District of Illinois, announced that on January 12, 2018, Marc Biggs, 34, of Pontoon Beach, Illinois, was sentenced for felon in possession of a firearm. The Honorable Nancy J. Rosenstengel sentenced Biggs to 30 months in federal prison, to be followed by three years of supervised release and a $100 special assessment. Biggs also agreed to forfeit the illegal firearm that he possessed.

Court proceedings revealed that officers with the Madison Police Department responded to an apartment building in reference to a call about removing squatters from an apartment. During a search of the apartment officers found Biggs, a previously convicted felon, hiding in a bedroom. Officers also discovered a rifle in the same bedroom.

The case was investigated by the Madison Police Department and prosecuted by Assistant United States Attorney Christopher Hoell.

Donald S. Boyce, United States Attorney for the Southern District of Illinois, announced that on January 11, 2018, Leon Johnson, 28, of Granite City, Illinois, was sentenced after being convicted of one count of felon in possession of a firearm. At the time of his arrest, Johnson was on supervised release in a prior federal case involving a conviction for felon in possession of a firearm. A petition to revoke his supervised release was filed in that case after Johnson’s arrest. Pursuant to a sentencing agreement, the Honorable Nancy J. Rosenstengel sentenced Johnson to a total of 37 months in federal prison on the new conviction as well as the supervised release revocation case. Johnson’s prison sentence is to be followed by three years of supervised release and a $100 special assessment. Johnson also agreed to forfeit the illegal firearm that he possessed.

Court proceedings revealed that on November 9, 2016, East St. Louis police officers responded to a call regarding shots being fired in the Norman E. Owens Housing Projects. Officers discovered Johnson sitting on a park bench with a loaded pistol on the ground at his feet. A Housing Authority officer identified Johnson as the individual who had been firing the pistol in the air moments earlier.

The case was investigated by the East St. Louis Police Department and prosecuted by Assistant United States Attorney Christopher Hoell.

GAINESVILLE, Ga. - Matilda Lynn Prince has been convicted by a federal jury of twenty-nine counts of health care fraud for filing fraudulent claims with Medicare and the Georgia Medicaid program for optometry and ophthalmology services that were never provided to patients.

“Prince stole hundreds of thousands of dollars from the Medicare and Medicaid programs by submitting fraudulent claims for services that were not performed,” said U.S. Attorney Byung J. “BJay” Pak.  “Through our partnership with the Georgia Attorney General’s office, we will continue to fight the costly effects of healthcare fraud in this state that divert critical resources away from citizens who truly need these services.”

“When Matilda Lynn Prince launched her audacious million-dollar fraud scheme by billing Medicare and Medicaid for services she and her associates never provided, she threatened the integrity of these important health care programs and fraudulently pocketed taxpayer funds,” said Special Agent in Charge Derrick L. Jackson of the HHS Office of Inspector General.  “Along with our law enforcement partners, we will continue to hold such fraudsters accountable for their scams.”

“The Medicaid Program is designed to provide benefits to some of the most vulnerable members of our community and depends on the integrity and honesty of those providers who bill Medicaid.  When a provider bills Medicaid for services they did not provide, they victimize and take advantage of the people who need it the most.  Our office will continue to work hand-in-hand with our federal and state partners to investigate these kinds of egregious cases,” said Georgia Attorney General Christopher M. Carr.

According to U.S. Attorney Pak, the charges and other information presented in court:  Prince owned Pickens Eye Clinic in Jasper, Georgia, and operated Eye Gallery 20/20 in Calhoun, Georgia. From September 2011 to February 2014, Prince submitted false claims to Medicare and Medicaid for optometry and ophthalmology services that were never provided to patients.

Despite being previously excluded from the Medicare and Medicaid programs in September 2011, and informed of her ineligibility to be employed or involved with any entity that receives Medicare or Medicaid funds, Prince operated under a new eye service company named Eye Gallery 20/20 to bill Medicare and Medicaid for services that were not rendered.  As part of the scheme, Prince targeted her advertising towards senior citizens and disabled populations in housing complexes and community centers, offering on-site eye exams and prescription glasses at no charge to patients on Medicare and Medicaid. Prince contracted with two licensed optometrists to provide basic eye exams.  The optometrists would sometimes travel with Prince to perform these exams.

Although the patients received only basic eye exams and measurements for prescription glasses, Prince often billed for complex ophthalmological procedures involving the surgical insertion of medical devices called “punctal plugs” into patients' tear ducts to treat dry eye conditions.  Prince then used the identities of these two optometrists to bill Medicare and Medicaid repeatedly for this procedure.  On some occasions, she billed for the same patient as many as seven times on the same claimed date of service, even though the procedures were never performed.  Prince fraudulently submitted over $1.2 million in insurance claims to Medicare and Medicaid for services never rendered.

On January 9, 2018, after a jury trial, Matilda Lynn Prince, 41, of Mineral Bluff, Georgia, was convicted of twenty-nine counts of health care fraud.  A sentencing date for Prince has not yet been set.  

This case was investigated by the U.S. Department of Health and Human Services, Office of the Inspector General and the Georgia Medicaid Fraud Control Unit.

Assistant U.S. Attorneys Bernita B. Malloy and Nekia S. Hackworth prosecuted the case.

For further information please contact the U.S. Attorney’s Public Affairs Office at USAGAN.PressEmails@usdoj.gov or (404) 581-6016.  The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.

NEWNAN, Ga. - Ramiro Hermosillo-Salazar has been sentenced to 30 years in prison for violations of federal drug and firearm laws.  Law enforcement uncovered a methamphetamine “superlab” containing approximately 400 pounds of crystal and liquid methamphetamine at Hermosillo’s residence in Palmetto, Georgia, along with several loaded firearms.      

“Methamphetamine is the most trafficked illegal drug in Georgia, and it has devastated the lives of many of our fellow citizens,” said U.S. Attorney Byung J. “BJay” Pak.  “Hermosillo produced hundreds of pounds of the drug in a ‘superlab’ in his home where his young children resided.  Thanks to the efforts of the DEA and local law enforcement partners, this cache of drugs is off our streets.  Our effort to aggressively confront the methamphetamine problem continues, and we will seek lengthy sentences for those who peddle this poison.”

“The dangers associated with meth remain one of the most significant drug threats facing our community,” said DEA Atlanta Field Division Special Agent in Charge Robert J. Murphy.  “In that regard, DEA Atlanta will continue to work with our law enforcement partners fighting drug trafficking organizations such as this to keep this poison off our streets.”   

“The dangers this lab presented to those children that had to live in this and also to the surrounding community was without a doubt a senseless, selfish

criminal act by someone who has no conscious for anyone and flaunts the law. I am proud of the officers, both local and federal, for the tremendous job they did getting this person and the poison he produced off the streets and out of our neighborhoods. Our job is to provide security and safety to our citizens and this was a job done well,” said Coweta County Sheriff Mike Yeager. 

According to U.S. Attorney Pak, the charges and other information presented in court: Following a multi-month DEA investigation, agents identified Ramiro Hermosillo-Salazar as a likely member of a methamphetamine trafficking organization.  On June 15, 2017, DEA agents, aided by the Coweta County Sheriff’s Office S.W.A.T. team, executed a federal search warrant at Hermosillo’s residence in Palmetto.  Law enforcement encountered the defendant in the residence and arrested him.  They discovered that Hermosillo was also living at the residence with his three minor children, ages five, eight, and nine. 

During the search, agents discovered a methamphetamine “superlab” in a separate building several yards from the house.  The lab contained approximately 300 pounds of highly pure crystal methamphetamine, as well as several gallons of liquid methamphetamine that, if converted to its crystal form, would have yielded an additional 100 pounds of the drug. 

Inside the residence, agents also found a second, smaller methamphetamine lab in a room next to the kitchen.  There they discovered several more kilograms of crystal methamphetamine, and over $12,000 in U.S. currency.  Hermosillo had placed three loaded rifles at points throughout the home, one of which was equipped with a high-capacity magazine. 

Other evidence of Hermosillo’s drug trafficking included a bulletproof vest and a video surveillance system to monitor the property.  A search of the stored surveillance video revealed that Hermosillo had been operating the “superlab” for at least several months. 

On October 4, 2017, Hermosillo pleaded guilty to the following charges: conspiracy to possess methamphetamine with intent to distribute; possession of methamphetamine with intent to distribute; possession of methamphetamine with intent to distribute on premises where minor children resided; and possession of firearms in furtherance of drug trafficking crimes. 

U.S District Judge Timothy C. Batten, Sr., sentenced Ramiro Hermosillo-Salazar, 30, of Palmetto, Georgia, to 30 years in prison to be followed by five years of supervised release.  Hermosillo was also ordered to pay restitution to the government for the cost of dismantling the superlab.  Following his term of imprisonment, Hermosillo, a citizen of Mexico, will be deported from the United States. 

This case was investigated by the Drug Enforcement Administration.

Assistant U.S. Attorney Trevor C. Wilmot prosecuted the case.

The U.S. Attorney’s Office in Atlanta recommends parents and children learn about the dangers of drugs at the following web site: www.justthinktwice.gov.

For further information please contact the U.S. Attorney’s Public Affairs Office at USAGAN.PressEmails@usdoj.gov or (404) 581-6016.  The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.

BOSTON – An individual identified as a member of the Orchard Park Trailblazers Gang pleaded guilty today in federal court in Boston to selling crack cocaine in and around Roxbury’s Orchard Gardens Housing Development.

Tyree Draughn, a/k/a “TY,” 25, of Boston, pleaded guilty to one count of distribution of cocaine base within 1,000 feet of a school. U.S. District Court Senior Judge Douglas P. Woodlock scheduled sentencing for April 27, 2018.

On May 10, 2017, Draughn sold cocaine base to a cooperating witness near a school in Roxbury. Draughn is the 11^th of 12 defendants charged in June 2017 to plead guilty.  The arrests followed a nearly two-year investigation into the high concentration of crime in and around the Orchard Gardens Development, the largest publically funded housing development in Roxbury, which is also adjacent to area schools and Dudley Square. According to court documents, the crime stems, in part, from the illegal activities of the members and associates of the Orchard Park Trailblazers, who allegedly have active feuds with rival gangs throughout the city, which has produced numerous crimes of violence.

The charge of distribution of a controlled substance within 1,000 feet of a school provides for a mandatory minimum sentence of one year and no greater than 40 years in prison, a minimum of six years and up to a lifetime of supervised release and a fine of up to $2 million. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.

United States Attorney Andrew E. Lelling; Mickey D. Leadingham, Special Agent in Charge of the Bureau of Alcohol Tobacco, Firearms and Explosives, Boston Field Division; and Boston Police Commissioner William Evans made the announcement today. 

SAN FRANCISCO – Amir Bakhtiari, Arlette Casino, and Austin Caba were arrested today for their respective roles in an alleged conspiracy and fraud scheme, announced Acting United States Attorney Alex G. Tse; Federal Bureau of Investigation (FBI) Special Agent in Charge John F. Bennett; and Internal Revenue Service, Criminal Investigation (IRS-CI), Special Agent in Charge Michael T. Batdorf.  

According to the indictment, from at least 2010 to 2016, Bakhtiari, 50, a resident of Newport Beach, Calif. and formerly of Marin County, Calif., orchestrated an embezzlement scheme at Sonnen Motorcars (“Sonnen”).  Sonnen owned and operated three car dealerships in Marin County—Sonnen Volkswagen, Audi Marin, and Porsche Marin.  From 2009 to 2016, Bakhtiari managed the Volkswagen and Audi dealerships.  Bakhtiari allegedly used his role to initiate a scheme wherein Sonnen made payments on fraudulent invoices to fake advertising vendors who then forwarded the majority of the proceeds from Sonnen back to Bakhtiari.  The indictment alleges that Casino, 47, a resident of Santa Rosa, Calif., who served as controller of Sonnen from 2013 to 2016, and Caba, 38, a resident of Burlingame, Calif., who controlled one of the fake advertising vendors, conspired with Bakhtiari and participated in the scheme since at least 2013. 

According to the indictment unsealed today, Bakhtiari caused others to create shell entities with names suggesting that the shell companies were in the business of advertising.  The shell companies were controlled by friends or associates of Bakhtiari’s, including Caba.  These entities were Advision Advertisers, Elite Marketing and Advertising, Pacific Blue Advertising, and ARC Sierra Promotional & Incentive Co. (ARC Sierra).  The indictment alleges ARC Sierra was controlled by Caba.  Bakhtiari then allegedly created or caused the creation of fake invoices from each of the fake advertising vendors to Sonnen, purporting to bill Sonnen for advertising work.  Along with the controller, which from 2013 to 2016 was Casino, Bakhtiari approved the payments on these fake invoices from Sonnen’s bank accounts, in the form of checks written to the fake vendors.  In sum, the indictment alleges that from 2010 to 2016, Bakhtiari directed approximately $6.3 million in fraudulent transfers in this manner.   When the money reached the vendor bank accounts, the individuals who controlled these accounts wrote checks back to Bakhtiari for a majority of the funds.  In total, Bakhtiari received approximately $3.6 million via checks in this manner.   Caba also allegedly used funds embezzled from the ARC Sierra bank account to pay the balance on an American Express credit card account that he shared with Bakhtiari.  The indictment alleges Bakhtiari and Caba spent approximately $1.7 million on this American Express credit card account.  

According to the indictment, Bakhtiari and Casino also initiated other fraudulent payments to themselves, including bonuses that Bakhtiari falsely claimed were funded by the corporate offices of Volkswagen or Audi.  Bakhtiari and Casino approved the payment of these fraudulent bonuses, knowing they were not authorized by the majority owner of Sonnen Motorcars.  

Bakhtiari, Casino, and Caba were all charged with conspiracy to commit wire fraud, in violation of 18 U.S.C. § 1349, and wire fraud, in violation of 18 U.S.C. § 1343.  Bakhtiari and Caba were also charged with conspiracy to engage in monetary transactions in property derived from specified unlawful activity, in violation of 18 U.S.C. § 1956(h), and engaging in monetary transactions in property derived from specified unlawful activity, in violation of 18 U.S.C. § 1957.  

An indictment merely alleges that crimes have been committed, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt.  If convicted, the maximum penalty for each count of conspiracy to commit wire fraud and wire fraud is twenty years’ imprisonment and a $250,000 fine.  The maximum penalty for each count of conspiracy to engage in monetary transactions in property derived from specified unlawful activity and engaging in monetary transactions in property derived from specified unlawful activity is ten years’ imprisonment and a $250,000 fine.  Any sentence following conviction would be imposed by the court only after consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. § 3553.

All three defendants were arrested today in California by the FBI – Bakhtiari was arrested in Newport Beach, Caba was arrested in Burlingame, and Casino was arrested in Santa Rosa.  

Assistant U.S. Attorney Benjamin Kingsley is prosecuting the case with the assistance of Bridget Kilkenny.  The prosecution is the result of an investigation by the FBI and the IRS-CI.  
 

Orlando, FL – The owner of an Orlando, Florida-area pharmacy, a medical doctor and a patient recruiter were convicted today for their role in a kickback scheme involving pain and scar creams that resulted in the payment of approximately $4.3 million in false and fraudulent claims to TRICARE.  TRICARE provides coverage for active duty military and their families, as well as retired veterans.

Acting Assistant Attorney General John P. Cronan of the Justice Department’s Criminal Division, U.S. Attorney Maria Chapa Lopez of the Middle District of Florida, Special Agent in Charge Eric Sporre of the FBI’s Tampa Field Office and Resident Agent in Charge Brooke M. Harris of the U.S. Department of Defense Office of Inspector General (DOD-OIG) Defense Criminal Investigative Service made the announcement.

Larry Howard, 53, of Oviedo, Florida; Nicole Bramwell, M.D., 52, of Apopka, Florida; and Raymond Stone, 57, of Orlando, were convicted after a five-day trial of one count of conspiracy to pay health care kickbacks and paying and receiving kickbacks.  Howard was also convicted of two counts of paying health care kickbacks, and Bramwell and Stone were convicted of one count each of receiving health care kickbacks.  In addition, Howard was convicted of two counts of money laundering.

According to evidence presented at trial, Howard was the owner of Fertility Pharmacy, located in Oviedo.  The evidence showed that Howard paid illegal health care kickbacks to Raymond Stone, who in return referred patients to doctors previously selected by Howard.  The doctors then prescribed expensive pain and scar creams to the patients, which Howard then billed to TRICARE.  The evidence also showed that Howard paid illegal health care kickbacks to Dr. Nicole Bramwell, who in return wrote prescriptions for the expensive creams.  The creams could cost up to $17,000 per bottle.  Between October 2014 and May 2015, TRICARE paid Fertility Pharmacy over $4.3 million procured through illegal kickbacks.

The case was investigated by the DOD-OIG and the FBI and was brought as part of the Medicare Fraud Strike Force, under the supervision of the Criminal Division’s Fraud Section and the U.S. Attorney’s Office for the Middle District of Florida.  Senior Litigation Counsel John Michelich and Trial Attorneys Timothy Loper and Alexander Kramer are prosecuting the case.  Former Senior Trial Attorney Christopher Hunter previously prosecuted the case. 

The Fraud Section leads the Medicare Fraud Strike Force.  Since its inception in March 2007, the Medicare Fraud Strike Force, now operating in nine cities across the country, has charged nearly 3,500 defendants who have collectively billed the Medicare program for more than $12.5 billion.  In addition, the HHS Centers for Medicare & Medicaid Services, working in conjunction with HHS-OIG, are taking steps to increase accountability and decrease the presence of fraudulent providers.

To learn more about the Health Care Fraud Prevention and Enforcement Action Team (HEAT), go to: www.stopmedicarefraud.gov. 

Montgomery, Alabama – On Wednesday, January 10, 2018, Kidiamond Sharagnes Pearson, 25, of Montgomery, Alabama received a sentence of 54 months in prison for her participation in a scheme to steal identities and then file fraudulent tax returns, announced United States Attorney Louis V. Franklin, Sr. There is no parole in the federal system.

Through her job position, Pearson had access to identifying information of individuals who applied for jobs with her employer. The identifying information included names, dates of birth, and Social Security numbers. Pearson would steal paperwork containing the identifying information from her employer, and give the documents to a co-conspirator, James Vernon Battle. Battle, also from Montgomery, then used the stolen information to file fraudulent federal income tax returns claiming more than $400,000 in undue tax refunds.

After committing her offense, Pearson pled guilty to wire fraud and aggravated identity theft. James Battle was previously sentenced to 61 months in November of 2016 for his role in the scheme.

This case was investigated by the Internal Revenue Service’s Criminal Investigation Division, with assistance from the United States Secret Service. Assistant United States Attorney Jonathan S. Ross prosecuted the case.

Columbia, South Carolina ---- United States Attorney Beth Drake stated that Chris Anthony Bellamy, age 34, and Andre Matrel Rogers, age 40, both of Myrtle Beach, pled guilty in federal court in Florence to possession with intent to distribute and distribution of cocaine base, in violation of Title 21, United States Code, Section 841(a)(1) and 841(b)(1)(C). United States District Judge R. Bryan Harwell of Florence, accepted the guilty pleas and will impose sentence after he has reviewed the presentence reports, which will be prepared by the U.S. Probation Office.

The evidence presented at the guilty plea hearing established that, pursuant to a joint federal and state drug trafficking investigation in the Myrtle Beach area, law enforcement officers made a controlled purchase of cocaine base from Bellamy on August 20, 2015. Investigators later made a controlled purchase of cocaine base from Rogers on September 18, 2015.

Both men both face enhanced penalties on the drug charges based on prior state convictions for drug trafficking crimes. Bellamy and Rogers each face a maximum of 30 years imprisonment, a fine of $2,000,000 and a term of supervised release of at least 6 years on the drug charges.

The case was investigated by the Federal Bureau of Investigation (FBI) and the Fifteenth Circuit Drug Enforcement Unit (DEU). Assistant United States Attorney Christopher D. Taylor of the Florence office handled the case.

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ATLANTA - Former MARTA Senior Director of Operations Joseph J. Erves has been sentenced to two years, nine months in federal prison for orchestrating a false invoicing scheme that resulted in MARTA paying more than $500,000 for maintenance work that was never performed and for then funneling most of that money into his personal bank accounts.

“Given his executive management position, it is clear that MARTA placed great trust and faith in Erves,” said U.S. Attorney Byung J. “BJay” Pak.  “Unfortunately, instead of serving the public interest and taking his civic duty seriously, Erves chose to indulge his desire for money and a fancy car.  His quest for personal enrichment has earned him this sentence and time to reflect on his dishonesty.”

“The vast majority of public servants are honest and dedicated people who strive to do the right thing for their constituents and their communities. Unfortunately there are a few, like Mr. Erves, who are only concerned about themselves,” said David J. LeValley, Special Agent in Charge of FBI Atlanta. “His actions hit at the heart of government and erode public confidence. That’s why the FBI makes public corruption our top criminal priority.”

“Mr. Erves dishonored his position and violated the trust of the Authority and the communities we serve,” said MARTA Police Chief Wanda Dunham.  “This sentence is proof that no one is above the law. The MARTA Police Department continues to take these types of crimes seriously and we will aggressively pursue criminal prosecution.”

According to U.S. Attorney Pak, the charges, and other information presented in court: the Metropolitan Atlanta Rapid Transit Authority (“MARTA”) is the principal public transportation operator in the Atlanta metropolitan area, providing fixed rail and bus service to more than 500,000 passengers per weekday. Formed in 1965, MARTA is a multi-county governmental agency with a 2016 annual budget of more than $880 million.

From 1993 to 2017, Erves worked for MARTA, ultimately serving as its Senior Director of Operations.  In that position, Erves oversaw the maintenance of all MARTA buses and rail cars and had the authority to approve payments of up to $10,000 to vendors for work performed on behalf of MARTA.

Beginning in 2010, Erves retained three different vendors purportedly to perform maintenance projects for MARTA, including repairing brake testing equipment and fixing various MARTA tools and equipment. From approximately June 2010 to December 2016, Erves had fake invoices prepared on behalf of the three vendors for more than 40 maintenance projects for which no work was performed.

Erves then used the false invoices as bases to authorize payments to the three vendors.  In many cases, Erves personally approved payments to the vendors knowing that the vendors had not performed any work for MARTA.

After receiving payment, the three vendors funneled most of the money they received from MARTA into Erves’s personal bank accounts.  Subsequently, Erves used the money deposited into his accounts to pay personal expenses, such as multiple purchases at high-end department stores and the purchase of a Porsche 911.  Based on Erves’s authority and representations, MARTA paid the three vendors more than $500,000 for maintenance projects where no work was actually performed.

Joseph J. Erves, 53, of Lithonia, Georgia, has been sentenced to two years, nine months in federal prison, and ordered to pay $522,825.45 in restitution.  On August 24, 2017, Erves pleaded guilty to one count of Federal Program Theft.

The Federal Bureau of Investigation and the MARTA Police Department are investigating this case.

Assistant U.S. Attorneys Jeffrey W. Davis and Alison Prout are prosecuting the case.

For further information, please contact the U.S. Attorney’s Public Affairs Office at USAGAN.PressEmails@usdoj.gov or (404) 581-6016.  The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.

Columbia, South Carolina------United States Attorney, Beth Drake, announced today Soeuth Ath, 45 and Sean Ath 53, of Spartanburg, South Carolina, were convicted of conspiracy to distribute and distribution of methamphetamine and marijuana and conspiracy to launder drug proceeds, violations of Title 21, United States Code, Sections 841(a)(1), 846 and Title 18, United States Code Section 1956(h), in federal court in Anderson, South Carolina, following a week-long trial. The indictment also alleges the brothers used the United States Mail to facilitate a felony drug trafficking crime, a violation of Title 21, United States Code, Section 843(b) and felon in possession of a firearm, a violation of Title 18, United States Code, Section 922(g)(1). Soeuth Ath and Sean Ath each face a mandatory minimum sentence of ten years and maximum sentence of life in prison. Both men are await sentencing.

In September 2016, federal, state and local law enforcement executed multiple search and arrest warrants in Spartanburg County, Greenville County, and in Bakersfield, California, which led to the arrests of sixteen individuals, including six South Carolina Department of Corrections (SCDC) inmates, for their roles in the wide-ranging drug and money laundering conspiracy that stretched from South Carolina to Los Angeles, Fresno and Bakersfield, California. In September 2017, after a week-long trial, two Department of Corrections inmates, Sok Bun, 28, and James Robert Peterson, 29, were found guilty of conspiring to distribute and distribution of methamphetamine following a week-long trial in federal court. In that case, the defendants also used the mail to facilitate felony drug offenses. The Ath brothers are the last two defendants to be convicted. All other defendants pleaded guilty and are awaiting sentencing. 

The convictions are a result of a multi-year Organized Crime Drug Enforcement Task Force (OCDETF) investigation. The OCDETF Program is a partnership between federal, state and local law enforcement agencies. Its principal mission is to identify, disrupt and dismantle the most serious drug-trafficking organizations primarily responsible for the nation’s illegal drug supply.  The investigation was conducted by the Federal Bureau of Investigation with the assistance and cooperation of the United States Postal Service, Internal Revenue Service-Criminal Investigations, South Carolina Law Enforcement Division, South Carolina Department of Corrections, Spartanburg County Sheriff’s Office, Spartanburg City Police Department, Cherokee County Sheriff’s Office, Oconee County Sheriff’s Office, Bureau of Alcohol, Tobacco, Firearms and Explosives, Greenville County Sheriff’s Office and ICE - Homeland Security Investigations, Drug Enforcement Administration and the United States Marshals Service.  Assistant United States Attorney Leesa Washington and Jeanne Howard, of the Greenville office, are prosecuting the case.

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Charleston, South Carolina --- United States Attorney Beth Drake announced today that Brantley Thomas, 61, of Hanahan, South Carolina, pled guilty to a total of twenty federal charges involving Embezzlement, Money Laundering and Public Corruption.  Evidence provided at the guilty plea established that Thomas, as the Berkeley County School District (BCSD) CFO, was responsible for paying BCSD vendors.  When payment was due to certain vendors, Thomas would intentionally overpay the vendors so that a refund check would be issued back to BCSD by the vendor.  Thomas then converted the refund checks issued to BCSD to his own use.   Thomas’ scheme involved sometimes depositing the refund checks into a personal bank account, and other times converting the checks into money orders, which he would then deposit into a personal account.  Thomas converted approximately $450,000.00 of School District money this way, spending the money on things such as travel and private club memberships.

Thomas also pleaded guilty to ten counts of Public Corruption.  Thomas admitted to taking sixteen kickbacks of $2,000.00 each, for a total of $32,000.00, from an insurance vendor in exchange for BCSD business.

The Embezzlement and Money Laundering counts each carry up to ten years imprisonment. The Public Corruption charges each carry up to twenty years imprisonment.  United States District Court Judge David C. Norton took the plea.  A sentencing date has not yet been set.

The charges are the result of an investigation conducted by the Federal Bureau of Investigations and South Carolina Law Enforcement Division.  Assistant United States Attorney Nathan Williams and Assistant Attorney General Creighton Waters are prosecuting the case. 

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Columbia, South Carolina ---- United States Attorney Beth Drake stated today that Philip E. Williams, age 57, of Williamston, pled guilty in federal court in Greenville, to mail fraud, a violation of Title 18, United States Code, Section 1341.  United States District Judge Bruce H. Hendricks, of Charleston, accepted the plea and will impose sentence after she has reviewed the presentence report which will be prepared by the U.S. Probation Office.

Evidence presented at the change of plea hearing established that prior to his disbarment, Williams was an attorney practicing in the upstate of South Carolina.  A large part of his practice was the probate of estates. Records indicate that he used money in his trust account to pay for living and personal expenses rather than to pay devisees and others for estates that he was handling.  To try to hide his wrongdoing, he would wait for another estate’s funds to be deposited and then try to pay off the devisees from the first estate.  This happened with at least four or five estates and snowballed into something of a pyramid scheme where he depended on estates from new clients to pay off the devisees of previous clients. 

For example, on October 24, 2012, Williams mailed in an accounting of an estate wherein he reported to the probate court that his trust account was flush with client money.  This was false because he had taken most of the money to pay personal living expenses.  In fact, what money he did have in the account came from another estate that had nothing to do with the estate he was reporting on. 

Ms. Drake stated the maximum penalty Williams can receive is a fine of $250,000 and/or imprisonment for 20 years, supervised release of up to life, plus a special assessment of $100. 

The case was investigated by agents with the United States Postal Inspection Service. Assistant United States Attorney Bill Watkins of the Greenville office handled the case.

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            CONCORD, N.H. - Jason Stone, 39, of Greenland, New Hampshire, pleaded guilty in federal court to possessing child pornography, Acting United States Attorney John J. Farley announced today.

            According to court documents and statements made in court, law enforcement officers executed a search warrant at the defendant's residence in October 2016.  A review of various electronic devices found in the residences showed that they contained more than 100 images and videos of child pornography.     

            Stone is scheduled to be sentenced on May 1, 2018.

            “Child pornography crimes jeopardize the innocence of young people,” said Acting U.S. Attorney Farley.   “Through the Project Safe Childhood initiative, the U.S. Attorney’s Office works closely with our law enforcement partners to identify and prosecute those who possess child pornography, as well as those who produce or distribute this material.”

               This matter was investigated by the Homeland Security Investigations.  The case is being prosecuted by Assistant U.S. Attorney Charles L. Rombeau.

            In February 2006, the Department of Justice introduced Project Safe Childhood, a nationwide initiative designed to protect children from online exploitation and abuse.  Led by the United States Attorney’s Offices, 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.projectsafechildhood.gov           

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            CONCORD, N.H. – Acting United States Attorney John J. Farley announced that Toribio Guerrero Marte, a/k/a Luis Rodriguez Lugo, a/k/a Boss, 32of the Dominican Republic was sentenced to 120 months in federal prison for heroin trafficking.

            Documents filed with the court established that Guerrero Marte participated in a drug trafficking organization between June 2015 and October 2016.  This organization distributed heroin to customers from Massachusetts and New Hampshire.  The defendant admitted that he delivered drugs to customers of the organization on a daily basis. 

            The defendant pleading guilty to conspiracy to distribute and to possess with the intent to distribute heroin on August 7, 2017.  After serving his prison sentence, he will be on supervised release for 3 years.   He also faces possible deportation to the Dominican Republic after he has served his sentence.

            The investigation and prosecution of Guerrero Marte was part of a Drug Enforcement Administration (DEA) effort to address heroin distribution in New Hampshire.  In addition to Toribio Guerrero Marte’s prosecution, his brother Alberto Guerrero Marte, 38, received a 15-year sentence, Allison DeJesus, age 19, received a sentence of five years of probation.  Jonaly DeJesus, 22, received a sentence of time served and five years of supervised release, and Allan Raymond Pimentel, 21, received a sentence of 57 months in prison.  Michell DeJesus, 34, Maria Miguelina Lara Lara, 33, Santo Rodolfo Garcia Mendez, 33, Wilkin Andres Beltre Arias, 39, Edward Garcia, 31, and Luis Colon, 30, are all awaiting sentencing.    In a related case, Mark Gagnon, 54, of Candia, was sentenced to 48 months in prison.

           “Members of the law enforcement community in New Hampshire are united in our effort to stop the flow the flow of heroin and other deadly drugs into the Granite State,” said Acting U.S. Attorney Farley.  “Those who attempt to profit from the sale of these drugs will be identified and prosecuted.  I salute the law enforcement agencies whose teamwork made this prosecution possible.”

           “Those suffering from the disease of opioid addiction need access to treatment and recovery,” said DEA Special Agent in Charge Michael J. Ferguson.  “But, those responsible for distributing lethal drugs like heroin to the citizens of New Hampshire need to be held accountable for their actions.  DEA pledges to aggressively pursue Drug Trafficking Organizations or individuals who are coming from out of state to distribute this poison in order to profit and destroy people’s lives.  This investigation would not have been a success without the continued commitment of our local, state and federal law enforcement partners.”

            This matter was investigated by the DEA; Homeland Security Investigations; the Massachusetts State Police; the Haverhill Police Department; the United States Marshals Service; the New Hampshire State Police; the Manchester Police Department; the Lawrence Police Department; the Lowell Police Department, the Methuen Police Department, and the Hillsborough County Drug Task Force.  Assistant United States Attorney Donald Feith prosecuted the case.

            This case was supported by the Organized Crime Drug Enforcement Task Force (OCDETF).  The OCDETF program is a federal multi-agency, multi-jurisdictional task force that supplies supplemental federal funding to federal and state agencies involved in the identification, investigation, and prosecution of major drug trafficking organizations.  

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            CONCORD, N.H. – Acting United States Attorney John J. Farley announced today that  Paul Channel, 27, of Belmont, was sentenced to  41 months in federal prison for possession of a firearm by a convicted felon, possession of a firearm with an obliterated serial number and possession of a controlled substance – fentanyl.

            According to court documents and statements made in court, on March 25, 2017, after a telephone call from a concerned citizen, an officer with the Manchester Police Department stopped Channel while he was driving a vehicle on Elm Street.  The officer conducted a pat- frisk of Channel and located three syringes and a clear plastic baggie containing a controlled substance that subsequently tested positive for fentanyl.  Channel did not have a prescription for the fentanyl.  The police also located a firearm with an obliterated serial number in Channel’s vehicle.  Channel is prohibited from possessing a firearm because he is a convicted felon.

            Channel previously pleaded guilty on October 2, 2017.  In addition to the 41 month prison sentence, the Court ordered Channel to serve 3 years of supervised release.

            “Stopping violent crime is one of the highest priorities of the U.S. Attorney’s Office,” said Acting U.S. Attorney Farley.  “Through the Project Safe Neighborhoods program, we work with our law enforcement partners to keep guns out of the hands of criminals.  By prosecuting those who possess guns illegally, we will reduce the risk of violent crime and make our communities safer.”

               This case was investigated by the Manchester Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF).  Assistant U.S. Attorney Debra M. Walsh prosecuted the case.

            The case is part of ATF’s Project Safe Neighborhoods initiative, which is a federally-funded program intended to reduce gun violence through law enforcement training, public education, and aggressive law enforcement efforts to investigate and prosecute gun-related crimes.              

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Columbia, South Carolina ---- United States Attorney Beth Drake stated today that Donna Arledge, age 43, of Greer, pled guilty in federal court in Greenville, to a conspiracy to commit mail theft, a violation of Title 18, United States Code, Section 371.  United States District Judge Bruce H. Hendricks, of Charleston, accepted the plea and will impose sentence after she has reviewed the presentence report which will be prepared by the U.S. Probation Office.

Evidence presented at the change of plea hearing established that Arledge and others stole mail in and around Greenville County in an effort to obtain bank account numbers, routing numbers, and identification information.  Once in possession of this material they would create counterfeit checks, or simply alter legitimate checks taken from the mail, and negotiate them to obtain money. 

The conspirators opened bank accounts in the names of others and used the accounts to deposit and withdraw stolen money. 

Ms. Drake stated the maximum penalty Arledge can receive is a fine of $250,000 and/or imprisonment for 5 years, plus a special assessment of $100.

The case was investigated by agents of the United States Postal Inspection Service and the Greenville County Sheriff’s Office. Assistant United States Attorney Bill Watkins of the Greenville office handled the case.

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LEXINGTON, Ky. – Three Lexington men, Arian L. Brown, Marion L. Brown, III, and Steven D. Harvey, were sentenced for their involvement in separate heroin and fentanyl distribution crimes.  A fourth Lexington man, Christopher D. Washington, was sentenced for being a convicted felon in possession of a firearm. Each was formally sentenced by U.S. District Judge Danny C. Reeves, on Friday, January 12, 2018.   

Arian L. Brown, 34, was sentenced to 30 years in prison for possession with intent to distribute 40 grams or more of fentanyl and heroin.

Arian Brown previously admitted that, in August 2016, he possessed 57 grams of fentanyl and 67 grams of heroin that he intended to distribute.  Arian Brown had also previously been convicted, in 2010, of attempting to possess with the intent to distribute 500 grams or more of cocaine. Arian Brown pleaded guilty to the heroin and fentanyl charges in September of 2017.

Marion L. Brown, III, 29, was sentenced to 40 years in prison and 4 years of supervised release for distributing fentanyl resulting in serious bodily injury and being a convicted felon in possession of firearms.

In April 2017, Marion Brown acknowledged selling a quantity of fentanyl that resulted in a non-fatal overdose.  Law enforcement officers executed a search warrant at Brown’s residence and discovered drug trafficking paraphernalia, two pistols, and a rifle.  Marion Brown admitted that he had previously been convicted of trafficking in heroin.  Marion Brown pleaded guilty in July 2017.  

Steven D. Harvey, 33, was sentenced to over 18 years (220 months) in prison and 8 years of supervised release for possession with intent to distribute 100 grams or more of heroin.  According to court records, in June 2017, Harvey was found in possession of 798 grams of heroin, which was intended for distribution.  Harvey pleaded guilty in September 2017. 

Christopher D. Washington, 23, was sentenced to 33 months in prison and 3 years supervised release for being a convicted felon in possession of a firearm.  Washington previously admitted that, in June 2017, while in the company of Steven D. Harvey, Washington unlawfully possessed a .40 caliber semiautomatic pistol.  Washington pleaded guilty in September 2017.

Under federal law, each must serve 85 percent of his prison sentence.

“Combatting the opiate and opioid epidemic and reducing the potential for violent crime, by removing firearms from convicted felons, are top priorities for the Department of Justice,” said United States Attorney Robert M. Duncan, Jr.  “The sentences imposed should serve as a deterrent and send a strong message that such conduct is not tolerated in the Eastern District of Kentucky.  I want to commend the investigative agencies involved in each of these cases.  As a result of the hard work of dedicated law enforcement professionals, dangerous drugs were removed from our streets, firearms were seized from those who were illegally possessing them, and lives were potentially saved.”                     

United States Attorney Duncan and Darrell Christopher Evans, Special Agent in Charge, DEA Louisville, jointly announced the sentences.

The investigations were conducted by the DEA Lexington Task Force and the Lexington Police Department.  The United States was represented by Assistant United States Attorney Cynthia T. Rieker, in the Arian Brown case, and by Assistant United States Attorney Gary Todd Bradbury, in the Marion L. Brown, III, Steven D. Harvey, and Christopher Washington cases.

These cases were prosecuted as part of Project Safe Neighborhoods (PSN), a program that has been historically successful in bringing together all levels of law enforcement to reduce violent crime and make our neighborhoods safer for everyone.   Attorney General Jeff Sessions has made turning the tide of rising violent crime in America a top priority.   In October 2017, as part of a series of actions to address this crime trend, Attorney General Sessions announced the reinvigoration of PSN and directed all U.S. Attorney’s Offices to develop a district crime reduction strategy that incorporates the lessons learned since PSN launched in 2001.

KANSAS CITY, KAN. – A Kansas City, Kan., man was sentenced Tuesday to 92 months in federal prison for unlawful possession of a 9 mm handgun that was used in a robbery, U.S. Attorney Tom Beall said.

Joshua J. Flaugher, 32, Kansas City, Kan., pleaded guilty to one count of unlawful possession of a firearm by a convicted felon. In his plea, Flaugher admitted that investigators seized a loaded 9 mm handgun with a 30-round extended magazine from his residence. Flaugher was arrested at his aunt’s home in the 2400 block of Everett Avenue. Because he had a prior felony conviction in Wyandotte County District Court on a charge of aggravated battery, he was prohibited by federal law from possessing a firearm.

Beall commended the Kansas City, Kan., Police Department, the Bureau of Alcohol, Tobacco, Firearms and Explosives, Assistant U.S. Attorney Sheri Catania and Assistant U.S. Attorney Terra Morehead for their work on the case.

This prosecution was brought under Project Safe Neighborhoods (PSN), a Justice Department program aimed at prosecuting convicted felons who violate a federal ban on possession of firearms. Attorney General Jeff Sessions has directed U.S. Attorney’s Offices nationwide to emphasize PSN prosecutions as part of a national strategy to reduce violent crime.

Portland, Maine:  United States Attorney Halsey B. Frank announced that Robert E. DeAngelis, 38, of Newington, New Hampshire, pled guilty to filing a false claim for a federal income tax refund for the 2014 tax year.         

According to the charging document and evidence introduced at the plea hearing, DeAngelis filed a federal tax return claiming a refund of $31,615 to which he was not entitled, and the Internal Revenue Service issued a tax refund in that amount.

DeAngelis faces imprisonment of up to five years and a fine of up to $250,000, and payment of full restitution.  He will be sentenced after the completion of a presentence investigation report by the U.S. Probation Office.

The investigation was conducted by the Criminal Investigation division of the Internal Revenue Service.