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Department of Justice Press Releases

Fresno Man Sentenced to Life in Prison for Engaging in a Child Exploitation Enterprise and Creating Child Sexual Abuse Material

by DOJ Press April 22, 2022
By DOJ Press

          LOS ANGELES – A Fresno man was sentenced today to life in federal prison for engaging in a child exploitation enterprise and creating child sexual abuse material (CSAM) of four young children, including children he abused with his co-defendants who were previously sentenced to lengthy prison terms.

          John Richard Brinson Jr., 28, was sentenced this afternoon by United States District Judge André Birotte Jr. In imposing the life sentence, Judge Birotte said Brinson’s conduct was “evil – I don’t know how else to say it.”

          Brinson pleaded guilty in July 2021 to one count of engaging in a child exploitation enterprise and four counts of production of child [censored]ography, each representing a different victim.

          According to court documents, in 2016 and 2017, Brinson distributed and advertised CSAM on a website dedicated to the sexual abuse of children ages from birth to 5 years old. Brinson – along with co-defendants Arlan Harrell, of Hawthorne, and Moises Martinez, of San Jose – was an active member of this website, which was hosted on Tor, a computer network on the dark web that is specifically designed to facilitate anonymous communication over the internet. Brinson used the website to view CSAM, to advertise and distribute CSAM – including CSAM he produced – and to encourage other members to post more CSAM. Additionally, Brinson used this website to meet like-minded offenders, including Harrell and Martinez, and commit additional offenses against children with them in-person.

          “The life sentence imposed in this case is warranted by the defendant’s callous and violent abuse of children, some of whom were filmed while screaming in pain,” said United States Attorney Tracy L. Wilkison. “The child exploitation enterprise impacted more than 20 victims – children who were sexually assaulted, sometimes repeatedly, solely for the pleasure of this defendant and his cohorts. The Justice Department will continue its effort to protect the most vulnerable among us by aggressively prosecuting the most dangerous predators.”

          “Those who engage in child exploitation enterprises and create child sexual abuse material will be tracked down and held accountable for their heinous conduct,” said Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division. “Preying on children with no regard to the grievous harm abusers cause to their victims and their families will not be tolerated. I commend the prosecution team and our law enforcement partners who worked tirelessly to ensure that these defendants would be held accountable for their crimes and justice sought for the victims.”

          “The depravity of this enterprise was reflected in today’s sentencing,” said acting Special Agent in Charge Eddy Wang of Homeland Security Investigations Los Angeles. “Homeland Security Investigations prioritizes crimes of victimization and will leave no stone unturned to rescue every victim possible and bring every perpetrator to justice. I am very proud of the Homeland Security Investigations special agents from Boston, Fresno, and right here in Los Angeles that worked tirelessly with our partners at the Department of Justice, the U.S. Attorney’s Office, and the Los Angeles Internet Crimes Against Children Task Force to protect our most innocent and remove these predators from our communities.”

          According to court documents, Brinson created child sexual abuse material of children between approximately three to nine years of age. On at least two occasions, Brinson and Harrell met at Brinson’s home to create CSAM depicting their sexual abuse of two of the minors together. On one of those occasions, Harrell secured the custody of another minor and traveled with the minor to Brinson’s house to create CSAM depicting both Harrell and Brinson engaging in the sexual abuse of that minor. On another occasion, Brinson and Martinez arranged to meet at Brinson’s house to create CSAM depicting their sexual abuse of two minors together, one brought by Brinson and one by Martinez.

          In total, Brinson, Martinez and Harrell pleaded guilty to creating CSAM depicting themselves engaging in sexual acts with or otherwise sexually exploiting more than 20 children under the age of nine, including 10 children four years of age or younger.

          The CSAM that Brinson created by himself and with his co-defendants took place in the house he shared with co-defendant Keith Lawniczak. According to court documents, Lawniczak admitted that he offered Brinson a room in his house to live in free of charge and benefitted from Brinson’s abuse of one of the minors because he had an opportunity to view the sexual acts between Brinson and the minor.

          Co-defendant Martinez pleaded guilty to engaging in a child exploitation enterprise and production of child [censored]ography and was sentenced to 55 years in prison, followed by lifetime supervised release. Lawniczak pleaded guilty to conspiracy to commit sex trafficking of a child and was sentenced to 12 years in prison and lifetime supervised release. Harrell pleaded guilty to engaging in a child exploitation enterprise, obtaining custody of a minor for purposes of producing child [censored]ography, production of child [censored]ography and possession of child [censored]ography, and he was sentenced to life in prison in February.

          Homeland Security Investigations’ Los Angeles office, along with HSI’s Fresno and Boston offices, investigated the case. The High Technology Investigative Unit of the Criminal Division’s Child Exploitation and Obscenity Section (CEOS) provided significant assistance.

          Assistant United States Attorneys Devon Myers of the Cyber and Intellectual Property Crimes Section and Kim Meyer of the Violent and Organized Crime Section prosecuted this case in conjunction with Justice Department Trial Attorneys Lauren S. Kupersmith and Kyle P. Reynolds of CEOS

April 22, 2022 0 comments
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Department of Justice Press Releases

Boise Man Sentenced for Selling Methamphetamine, Heroin, and a Stolen Firearm

by DOJ Press April 22, 2022
By DOJ Press

BOISE – A Boise man was sentenced to 66 months in federal prison for selling controlled substances and a stolen firearm.

According to court records, in May 2021, Jason William Czech, 42, arranged to meet with an individual at a store parking lot in Boise to sell controlled substances and a firearm. Unknown to Czech at the time, the buyer was a confidential informant who was working at the direction of the Boise Police Department. Czech met with the confidential informant and exchanged methamphetamine and heroin for cash, then later sold a firearm that had recently been reported stolen.   

U.S. District Judge Scott W. Skavdahl, from the District of Wyoming, sitting by designation, sentenced Czech to 66 months in federal prison followed by three years of supervised release. Czech pleaded guilty to the crime on December 13, 2021. Czech has four prior felony convictions and was on parole at the time he committed the offenses.

U.S. Attorney Rafael M. Gonzalez, Jr., of the District of Idaho made the announcement and commended the cooperative efforts of the Boise Police Department and Bureau of Alcohol, Tobacco, Firearms and Explosives, which led to charges.

This case is being prosecuted as part of the joint federal, state, and local Project Safe Neighborhoods (PSN) Program, the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.

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April 22, 2022 0 comments
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Department of Justice Press Releases

Man Sentenced for Methamphetamine Distribution in Magic Valley

by DOJ Press April 22, 2022
By DOJ Press

BOISE – A Jerome man was sentenced to federal prison this week for distribution and possession with intent to distribute methamphetamine.

According to court records, Jose Luis Rodriguez-Landeros, 40, a Mexican national living in Jerome, was involved in the distribution of methamphetamine in the Magic Valley. Using a confidential informant, officers purchased methamphetamine from Rodriguez-Landeros on three occasions. Some of the transactions occurred at a tire shop Rodriguez-Landeros operated in Jerome, Idaho. In December 2020, Rodriguez-Landeros was stopped by police for not having a properly affixed license plate. A subsequent search of his vehicle revealed over one pound of methamphetamine, a firearm, and other items of drug paraphernalia.  

U.S. District Judge Scott W. Skavdahl, from the District of Wyoming, sitting by designation, sentenced Rodriguez-Landeros to 10 years in federal prison followed by five years of supervised release. Rodriguez Landeros plead guilty to the crime on March 7, 2022.

U.S. Attorney Rafael M. Gonzalez, Jr., of the District of Idaho made the announcement and commended the cooperative efforts of the Idaho State Police, Drug Enforcement Administration, Jerome County Sheriff’s Office, Twin Falls Police Department, Twin Falls County Sheriff’s Office, Minidoka County Sheriff’s Office, Cassia County Sheriff’s Office, and Bureau of Alcohol, Tobacco, Firearms, and Explosives, which led to charges.

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

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April 22, 2022 0 comments
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Department of Justice Press Releases

Brownsville woman handed significant sentence for importing $1.4M in meth

by DOJ Press April 22, 2022
By DOJ Press

McALLEN, Texas – A 54-year-old woman has been sent to federal prison for illegally importing approximately 76 kilograms of meth, announced U.S. Attorney Jennifer B. Lowery.

Ana Luisa Ponce pleaded guilty Nov. 1, 2021.

Today, U.S. District Judge Micaela Alvarez ordered Ponce to serve 262 months in federal prison to be immediately followed by five years of supervised release. At the hearing, the court heard Ponce had admitted to previously transporting narcotics for the same drug trafficking organization. In handing down the sentence, the court noted that Ponce, who has a significant prior criminal record, was arrested with a very large amount of a very dangerous drug.

On Aug. 25, 2021, Ponce attempted to cross into the United States through the Hidalgo Port of Entry. She claimed she was planning to visit a friend in Houston, but a K-9 alerted authorities to the presence of narcotics.

At secondary inspection, an X-ray scan revealed anomalies in the gas tank of Ponce’s vehicle. Law enforcement discovered a plastic pouch containing liquid meth weighing approximately 76 kilograms. She ultimately admitted that she knew she was transporting narcotics.

The drugs had an estimated street value of $1.4 million.

Ponce has been and will remain in custody pending transfer to a U.S. Bureau of Prisons Facility to be determined in the near future.

Homeland Security Investigations and Customs and Border Protection conducted the investigation. Assistant U.S. Attorney Sarina S. DiPiazza prosecuted the case.

April 22, 2022 0 comments
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Department of Justice Press Releases

Florida man who defrauded elderly investors with fake commodities investment scheme sentenced to prison

by DOJ Press April 22, 2022
By DOJ Press

Seattle –A Cocoa Beach, Florida, man was sentenced today in U.S. District Court to 30 months in prison for wire fraud in connection with his million-dollar scheme to pose as a successful commodities trader, announced U.S. Attorney Nick Brown.  Matthew White, 29, accepted $1.29 million in investments from family, friends, and others, promising big gains.  In truth, little was invested, and the profits were non-existent.   At the sentencing hearing, U.S. District Judge Robert S. Lasnik acknowledged that White was working to pay back the money he stole. However, the judge said a prison sentence is important to show there is a price to pay for “targeting vulnerable people and stealing their money.”

According to records filed in the case, between 2011 and 2018, White solicited funds from investors in Florida and Washington State.  White represented that he would use the money to successfully trade in futures contracts first under his own name, and later under the name of his company, M.W. Global Futures LLC, of which he was the sole member.  White claimed to have expertise as a commodities trader, with special training.  He also claimed to be a member of the Chicago Board of Trade.  All of these claims were false.

White provided promotional materials that claimed his trading would provide a high return on investment.  In October 2017, he sent one elderly investor a brochure claiming a return on investment in excess of 16% annually.   Once he got their funds, White sent investors statements purporting to show substantial trading activity and profits.  The statements also showed White’s commissions, which were allegedly tied to the level of profits.  White sent some of these fictitious statements via email, constituting wire fraud.  Very little of the money was actually traded in investment accounts, and the investments that were traded resulted in losses.

Of the $1.29 million, White repaid approximately $425,000 as redemptions and purported profits during the scheme.  In November 2018, White was contacted by investigators from the Commodity Futures Trading Commission.  He then repaid an additional $602,000 to two victims.  White owes the remaining $281,970 in restitution to his victims.  According to White’s defense counsel, he is paying $80,000 towards that restitution amount today, before his prison term.

Speaking in court today, Assistant United States Attorney Benjamin Diggs said White ran his fraud with repetition and persistence.  “It was not a one-time lapse in judgment, for years he sent fake account statements and got new infusions of cash…. He knew the victims were elderly and vulnerable.  They had their own hopes and plans for this money.”

The case was investigated by the FBI and the Division of Enforcement of the Commodity Futures Trading Commission.

The case was prosecuted by Assistant United States Attorney Benjamin Diggs. 

April 22, 2022 0 comments
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Department of Justice Press Releases

Essex County Man Convicted of Using Credit Cards Stolen from U.S. Mail to Defraud Banks and Commit Identity Theft

by DOJ Press April 22, 2022
By DOJ Press

NEWARK, N.J. – An Essex County, New Jersey, man was convicted today for his role in scheming with at least one U.S. Postal Service (USPS) employee and others to steal credit cards from the mail and then steal victims’ identities in order to use the stolen cards to make hundreds of thousands of dollars of retail and online purchases, Attorney for the United States Vikas Khanna announced.

Dashaun Brown, 28, of Newark, was convicted on four counts of the superseding indictment against him: conspiracy to commit bank fraud, bank fraud, receipt and possession of stolen mail, and aggravated identity theft in connection with bank fraud, following a week-long trial before U.S. District Judge Kevin McNulty in Newark federal court. Brown was acquitted on one count of bank fraud and one count of aggravated identity theft.

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

Dashaun Brown, Jahad Salter, 29, and Hakir Brown,­ 28, engaged USPS employees, including Khadijah Banks-Oneal, 31, to steal credit cards from the mail in exchange for compensation. Once they obtained the stolen cards, Dashaun Brown and his conspirators posed as the accountholders of the stolen credit cards when calling the banks that issued the cards and used personal identifying information belonging to the accountholders to activate the cards and to obtain or change information about the stolen credit cards. They then used the stolen credit cards to make purchases at retail stores in New Jersey and elsewhere, resulting in attempted losses of over $1 million.

Salter, Hakir Brown, and Banks-Oneal previously pleaded guilty for their respective roles in this scheme and are awaiting sentencing. Salter pleaded guilty on April 12, 2022, to conspiracy to commit bank fraud and being a felon in possession of a firearm, and his sentencing is scheduled for Aug. 30, 2022. Hakir Brown pleaded guilty on Feb. 25, 2022, to conspiracy to commit bank fraud, and his sentencing is scheduled for July 7, 2022. Banks-Oneal pleaded guilty on March 30, 2022, to receiving bribes as a federal employee, and he is scheduled to be sentenced on Aug. 10, 2022.

The charges of conspiracy to commit bank fraud and bank fraud are each punishable by a statutory maximum sentence of 30 years in prison and a maximum fine of $1 million. The charge of receipt and possession of stolen mail is punishable by a statutory maximum sentence of five years in prison and a maximum fine of $250,000. The aggravated identity theft charge carries a mandatory penalty of two years in prison, which must run consecutively to any other prison sentence imposed. Sentencing is scheduled for Sept. 6, 2022. 

Attorney for the United States Khanna credited postal inspectors of the U.S. Postal Inspection Service in Newark, under the direction of Postal Inspector of Charge Damon Wood, Philadelphia Division; and special agents of the U.S. Postal Service, Office of Inspector General, Northeast Area Field Office, under the direction of Special Agent in Charge Matthew Modafferi, with the investigation leading to today’s guilty verdict. He also thanked the U.S. Marshals Service, District of New Jersey, under the direction of Marshal Juan Mattos Jr.; the U.S. Secret Service, New York Field Office, under the direction of Special Agent in Charge Patrick J. Freaney; the Treasury Inspector General for Tax Administration, Mid-Atlantic Field Division, under the direction of Special Agent in Charge Andrew S. McKay; the Department of Homeland Security, Homeland Security Investigations, Newark Field Office, under the direction of Special Agent in Charge Jason J. Molina; the Livingston, New Jersey Police Department, under the direction of Chief Gary Marshuetz; the Newark Police Department, under the direction of Department of Public Safety Director Brian O’Hara; the Essex County, New Jersey Sheriff’s Office, under the direction of Sheriff Armando B. Fontoura; the New Providence, New Jersey, Police Department, under the direction of Chief of Police Theresa A. Gazaway; and the Berkeley Heights, New Jersey, Police Department, under the direction of Chief of Police Jason Massimino, for their assistance.

The government is represented by Assistant U.S. Attorneys Sara F. Merin and Elaine K. Lou of the Special Prosecutions Division in Newark.

April 22, 2022 0 comments
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Department of Justice Press Releases

Fourth New York Man Charged wth Conspiring to Kidnap New Jersey Man

by DOJ Press April 22, 2022
By DOJ Press

NEWARK, N.J. – A New York man was charged today with conspiring to kidnap and hold for ransom a Fort Lee, New Jersey, resident, U.S. Attorney Philip R. Sellinger announced.

Gabriel Anthony, 34, of Queens, New York, is charged by complaint with conspiring to commit kidnapping. He appeared today before U.S. Magistrate Judge Michael A. Hammer in Newark federal court and was detained.

Three conspirators – Fa Deng, 42, of Staten Island, New York, and Albert Ferrelli, 50, and Chiahao Lee, 30, both of Queens, New York – were charged by complaint on April 7, 2022 with conspiring to commit kidnapping.  

According to documents filed in the cases, and statements made in court:

On April 5, 2022, the four conspirators drove to the victim’s home in Fort Lee. Ferrelli and Anthony entered the victim’s home wearing masks. They bound the victim’s hands, placed duct tape over his eyes and mouth, and forced him into a vehicle. 

Law enforcement received information that kidnappers had sent the victim’s wife a photograph of the victim bound and duct-taped, demanding a ransom of approximately $680,000. When law enforcement responded to the victim’s home, they located what appeared to be duct tape with pieces of latex gloves stuck to it. After reviewing local surveillance footage, law enforcement identified a gray minivan used in the abduction. Other surveillance footage showed the minivan crossing the George Washington Bridge shortly after the kidnapping, and subsequently crossing into the Bronx and then into Queens. 

The following day, New York Police Department personnel responded to Prince Street in Queens, where they encountered Ferrelli guarding the door to a building. When officers approached Ferrelli, they heard a man screaming for help inside the building. Officers entered the building and found the victim with his hands bound, and duct tape over his eyes and mouth.

Law enforcement located the gray minivan used in the kidnapping parked in the driveway of Lee’s home in Queens. Records showed that the minivan had been rented by Lee’s wife at LaGuardia Airport on April 4, 2022.

The maximum penalty for the offense is life imprisonment.

U.S. Attorney Sellinger credited special agents of the FBI, under the direction of George M. Crouch Jr.; the Bergen County Prosecutor’s Office under the direction of Prosecutor Mark Musella; officers of the Fort Lee Police Department, under the direction of Chief Matthew J. Hintze; and the New York Police Department under the direction of Commissioner Keechant L. Sewell with the investigation leading to the charges.

The government is represented by Assistant U.S. Attorney Carolyn Silane of the Economic Crimes Unit in Newark.

The charges and allegations contained in the complaint are merely accusations, and the defendants are presumed innocent unless and until proven guilty.

April 22, 2022 0 comments
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Department of Justice Press Releases

NorCal Man Indicted on Wire Fraud Charges Alleging He Bilked Digital Media Outfit He Ran with Fraudulent Bills from Other Companies

by DOJ Press April 22, 2022
By DOJ Press

          LOS ANGELES – A federal grand jury today indicted the former CEO of a Los Angeles-based digital media company on charges that allege he created a series of companies that defrauded his employer out of at least $3 million by submitting bills for services never provided or at inflated prices.

          Victor Belonogoff, 46, who is believed to reside in San Mateo, California, is charged in the indictment with bilking Render Media, Inc., a Beverly Grove-based company he co-founded and ran until late 2018. Belonogoff is charged in the indictment with conspiracy to commit wire fraud and nine substantive counts of wire fraud.

          Belonogoff, through his attorney, has agreed to surrender to federal authorities on April 26.

          Belonogoff, who held several positions at Render, including chief executive officer, secretly formed six digital media and advertising companies that he used to defraud Render, according to the indictment. Belonogoff allegedly caused Render to pay his fraudulent digital media companies for products and services that were never provided or were sold to Render at inflated prices. Belonogoff is accused of diverting Render’s incoming revenue to his fraudulent digital media companies, using Render’s lines of credit to support them, and using the sham companies to misappropriate Render’s brand and content.

          The indictment specifically alleges that Belonogoff caused Render to pay one of his companies for video content that was never provided. Belonogoff also allegedly caused two of the fraudulent companies to sell Render internet traffic at inflated prices and to re-code internet traffic sold to Render to make it falsely appear as though his companies generated that traffic. Belonogoff also caused one of his companies to post Render’s content while keeping 90% of the revenue generated by that content, according to the indictment.

          To conceal his fraud, Belonogoff allegedly deleted emails from his Render account and later provided false testimony at a deposition in a lawsuit brought against him by Render.

          The indictment alleges that Belonogoff caused Render to pay his fraudulent digital media companies more than $3 million, much of which went to his personal accounts and was used for his personal benefit.

          An indictment contains allegations that a defendant has committed a crime. Every defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.

          If he is convicted of the wire fraud charges in the indictment, Belonogoff would face a statutory maximum sentence of 20 years in federal prison for each of the 10 counts.

          Federal prosecutors previously charged one of Belonogoff’s co-conspirators with conspiracy to commit wire fraud. Aryeh Kluger, 34, of San Antonio, who was a vice president at Render, pleaded guilty to the charge in October 2020, admitting that he and Belonogoff “exploit[ed] Render’s business model by employing a sophisticated embezzlement scheme involving third-party companies they controlled.” United States District Judge Stephen V. Wilson is scheduled to sentence Kluger on October 24.

          The FBI and IRS Criminal Investigation are conducting the investigation in this matter.

          Assistant United States Attorney Gregory Bernstein of the Major Frauds Section is prosecuting this case.

April 22, 2022 0 comments
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Department of Justice Press Releases

Former Owner of Shreveport Tax Preparation Businesses Sentenced on Tax Fraud Charge

by DOJ Press April 22, 2022
By DOJ Press

SHREVEPORT, La. – Latasha Thomas, 44, of Crowley, Texas, was sentenced today in U.S. District Court, announced United States Attorney Brandon B. Brown. Thomas was sentenced by United States District Judge Donald E. Walter to 18 months in prison, followed by 1 year of supervised release, for making and subscribing a false tax return. Thomas was also ordered to pay restitution in the amount of $143,611.

Thomas was the owner and operator of Tax Related, LLC and ASAP Tax Service, LLE, both tax preparation businesses located in Shreveport. She was employed as a Revenue Officer with the Internal Revenue Service (IRS) for two years prior to opening her own tax preparation businesses. She was also the owner of Kidz World Learning Center and Best & Brightest Preschool Center in Shreveport.

Thomas’ primary business was the preparation and electronic filing of individual income tax returns. An investigation by the IRS revealed that Thomas aided and assisted in the preparation of false Forms 1040 for her clients by intentionally creating false Form W-2s to increase the reported income of her clients and she also falsified her personal tax returns. Thomas received the fees for the filing of client’s individual tax returns into business accounts in the name of Tax Related, ASAP Tax and another company owned by Thomas, Diamond Elite Corporation. These accounts were opened and primarily maintained by Thomas. She received but did not report $168,297 in fees in 2016 and $139,736 in fees in 2017. Thomas did not file a business return, nor did she include her business income on her personal tax returns for either tax year. Thomas personally prepared her 2016 and 2017 U.S. Individual Income Tax Returns, Forms 1040, which were verified by a written declaration that they were made under penalty of perjury and were purported to be truthful. When in truth and in fact, Thomas made false statements in both returns and the total income was false. In 2016, Thomas only reported total income of $28,202 and failed to report income totaling $168,297 which she received as tax preparation fees, thus making her 2016 taxes due and owing. In 2017, Thomas only reported total income of $17,475 and failed to report income totaling $139,736 which she received as tax preparation fees, thus making her 2017 taxes due and owing.   

As part of her plea agreement, Thomas agreed to be permanently enjoined from preparing, assisting, advising, or counseling in the preparation of, or filing federal tax returns for anyone other than herself. She is also prohibited from maintaining any association with a tax preparation business, instructing, teaching or otherwise training any person in the preparation of federal tax returns.

The case was investigated by the Internal Revenue Service – Criminal Investigation and was prosecuted by Assistant U.S. Attorney Mary J. Mudrick.

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April 22, 2022 0 comments
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Department of Justice Press Releases

Shreveport Man Sentenced for Trafficking Narcotics

by DOJ Press April 22, 2022
By DOJ Press

SHREVEPORT, La. – A Shreveport man was sentenced today on drug trafficking charges, announced United States Attorney Brandon B. Brown. Timmie Ford, 60, of Shreveport, Louisiana, was sentenced by United States District Judge Donald E. Walter to 120 months in prison, followed by 5 years of supervised release. Ford pleaded guilty on December 21, 2021 to possession with intent to distribute methamphetamine and possession of firearms in furtherance of a drug trafficking crime. 

Law enforcement officers with the Caddo Parish Sheriff’s Office and Shreveport Police Department executed a search warrant on Ford’s home on July 13, 2020. During the search, agents recovered three loaded firearms, along with various rounds of ammunition and high-capacity magazines. Also inside Ford’s home was a bag containing approximately 287 suspected narcotics pills, packaging materials for sale and distribution, and two digital scales.  The pills were chemically analyzed and confirmed that they were comprised of a mixture or substance containing over 50 grams of methamphetamine.

The case was investigated by the FBI, Caddo Parish Sheriff’s Office and Shreveport Police Department and was prosecuted by Assistant U.S. Attorney Mike Shannon.

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April 22, 2022 0 comments
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Financial News

U.S. labor board judge orders union vote at Activision studio

by Reuters April 22, 2022
By Reuters

By Julia Love

SAN FRANCISCO – A regional director for the U.S. National Labor Relations Board on Friday ordered a union election for a group of workers at an Activision Blizzard-owned studio that works on the popular “Call of Duty” franchise, overruling objections from the company.

In a 27-page decision, Jennifer Hadsall, a regional director in Minneapolis, ordered ballots to be mailed to employees on April 29. Workers will have until May 20 to return their ballots, and counting will begin on May 23, per the decision.

The election will cover roughly 21 workers in the quality assurance department at Raven Software in Middleton, Wisconsin. The workers will vote on whether to join the Communications Workers of America, a union that has played an active role in organizing tech employees in recent months.

The vote also comes amid a surge in labor activity by workers in the tech sector. Employees at an Amazon warehouse in Staten Island, New York recently voted to unionize and workers at an Apple store in Atlanta filed a petition for a union election.

An Activision Blizzard spokesperson said the company was “reviewing legal options regarding a potential appeal.”

“We are disappointed that a decision that could significantly impact the future of our entire studio will be made by fewer than 10% of our employees,” the spokesperson said in a statement. “We believe a direct relationship with team members is the best path to achieving individual and company goals.”

Activision had urged the NLRB to dismiss the petition for a union election, citing a recent reorganization, and argued that any vote on unionization should be conducted among a much larger group of employees. But Hadsall ruled that the proposed unit should stand, finding that the QA testers that the union seeks to represent have a “meaningfully distinct collective-bargaining interest.”

In recent months, Activision Blizzard workers have banded together to try to influence the company’s future, including staging a walkout and circulating a petition calling for the removal of Chief Executive Officer Bobby Kotick. Microsoft announced plans to acquire Activision in January.

The NLRB decision was previously reported by Bloomberg.

(Reporting by Julia Love; Editing by Bernard Orr)

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April 22, 2022 0 comments
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Financial News

Indonesia’s Indrawati, former World Bank COO, joins chorus calling for reforms at World Bank

by Reuters April 22, 2022
By Reuters

By Andrea Shalal and David Lawder

WASHINGTON – Indonesian Finance Minister Sri Mulyani Indrawati on Friday joined a growing chorus of officials calling for reforms aimed at better equipping the World Bank to address mounting global challenges such as climate change and the changing nature of its clients.

“We cannot be using the same business-as-usual,” Indrawati, a former managing director and chief operating officer of the multilateral development bank, told Reuters in an interview. “If you ask whether it needs change, yes.”

Indrawati’s comments came a day after both U.S. Treasury Secretary Janet Yellen and a top White House adviser called for major reforms at the World Bank, and major public and private groups also said urgent reforms were needed.

Yellen and the White House adviser argued that the seven-decade-old institution was not built to address multiple and overlapping global crises, including the COVID-19 pandemic, Russia’s war in Ukraine, and climate change.

Indrawati on Friday noted that the World Bank faces far larger and more global challenges than it was created to address, and its client base has been changing to include more middle-income countries.

Civil society groups, developing countries and academics are also clamoring for an overhaul of the “Bretton Woods” institutions, a reference to the conference held in that New Hampshire town in 1941 that led to the creation of the International Monetary Fund and the World Bank.

The public and private groups that called on Thursday for reforms, also said that the infusion of far more private capital was needed to address the multiple, overlapping crises now pushing 250 million people back into extreme poverty.

“In the past, the World Bank’s strength has really been related to the country operations, but when you talk about global public problems, you cannot just talk with a client based on jurisdiction or sovereignty,” Indrawati said.

Indrawati, this year’s chair of the Group of 20 finance officials, said changes were needed to ensure the World Bank has the scale and resources needed to address myriad global crises, and to respond more quickly when crises emerged.

The World Bank’s lending totaled $99 billion in fiscal 2021, but experts estimate trillions of dollars are needed to help countries adapt to changing climate conditions, address rising poverty and prepare for future pandemics.

To help finance the work needed, it would be vital to leverage public resources and attract more private capital, Indrawati said, citing Indonesia’s use of “blended finance” to bring together money from the government, multilateral institutions, bilateral lenders and the private sector.

(Reporting by Andrea Shalal and David Lawder; Editing by Leslie Adler)

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April 22, 2022 0 comments
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Kyiv accuses Moscow of ‘imperialism’ after Russia flags interest in south Ukraine

by Reuters April 22, 2022
By Reuters

By Pavel Polityuk

KYIV/MARIUPOL, Ukraine -Moscow wants to take full control over southern Ukraine, a Russian general said on Friday, a statement Ukraine said gave the lie to Russia’s previous assertions that it had no territorial ambitions.

Rustam Minnekayev, deputy commander of Russia’s central military district, was quoted by Russian state news agencies as saying full control over southern Ukraine would give it access to Transnistria, a breakaway Russian-occupied part of Moldova in the west.

That would cut off Ukraine’s entire coastline and mean Russian forces pushing hundreds of miles west beyond current lines, past the major Ukrainian coastal cities of Mykolaiv and Odesa.

Moscow says it is conducting a “special military operation” to demilitarise Ukraine and liberate its population from dangerous nationalists. Ukraine and its Western allies call Russia’s invasion an unjustified war of aggression.

Ukrainian President Volodymyr Zelenskiy said Minnekayev’s statement showed Russia’s invasion of Ukraine was “intended only as a beginning”.

“And then they want to capture other countries,” he said. “All the nations that, like us, believe in the victory of life over death must fight with us. They must help us, because we are the first in line. And who will come next?”

On Twitter, Ukraine’s defence ministry said Russia had now “acknowledged that the goal of the ‘second phase’ of the war is not victory over the mythical Nazis, but simply the occupation of eastern and southern Ukraine. Imperialism as it is.”

Minnekayev said Russian speakers were oppressed in Transnistria, something Moldova and Western leaders reject.

U.S. State Department spokesperson Jalina Porter declined specific comment on Minnekayev’s statement but said Washington firmly supported Moldova’s sovereignty and was “clear-eyed” about events on the ground. “No one should be fooled by the Kremlin’s announcements,” Porter said.

Kremlin spokesman Dmitry Peskov declined to comment when asked if Russia had expanded the goals of its operation and how Moscow saw the political future of southern Ukraine.

In Washington, Secretary of State Antony Blinken met with Ukrainian Prime Minister Denys Shmyhal and the two discussed Ukraine’s most pressing needs, a statement said.

Zelenskiy said allies were finally delivering the weapons Kyiv had asked for and they would help save thousands of lives.

U.S. President Joe Biden said on Thursday he had authorized a further $800 million in military aid for Ukraine, including heavy artillery, ammunition and tactical drones. Canada said on Friday it had provided heavy artillery to Ukraine.

A senior EU official said the next couple of weeks would likely be decisive.

“This is not a fairy tale with an imminent happy ending,” he told reporters. “We are likely to see a very significant increase in the intensity of Russian military attacks in the east… we are likely to see an intensification of Russian military attacks along the coast.”

Ukraine’s military said Russian forces had increased attacks all along the frontline in the east and were attempting an offensive in the Kharkiv region, north of their main target, the Donbas.

Russia’s defence ministry said its forces had captured a large arms depot in the Kharkiv region. It also reported hitting dozens of targets in the Donetsk and Kharkiv regions on Friday.

In Kharkiv city, shellfire hit the main Barabashovo market. Ambulance services said there had been casualties but gave no details. A wedding hall and a residential building were also struck.

Russia’s defence ministry confirmed for the first time that the crew of its Black Sea flagship Moskva, which Ukraine says it hit with an anti-ship missile, suffered casualties when it blew up and sank last week, a report from RIA news agency indicated.

WAR CRIMES

In Geneva, the United Nations human rights office said there was growing evidence of Russian war crimes, including indiscriminate shelling and summary executions. It said Ukraine also appeared to have used weapons with indiscriminate effects.

Russia denies targeting civilians and says, without evidence, that signs of atrocities committed by its soldiers were faked. Ukraine has previously said it will punish any soldiers found to have committed war crimes. It did not respond immediately to the U.N. office’s remarks.

Russia’s defence ministry said thousands of Ukrainian troops holed up in a huge steel works in Mariupol, the main port of the Donbas, were “securely blockaded”, a day after President Vladimir Putin said the army would not bother rooting them out.

Putin has declared victory in the city after a nearly two-month siege, an announcement dismissed by Pentagon press secretary John Kirby, who told CNN there was still an active Ukrainian resistance.

In a Russian-held section of Mariupol, the guns had largely fallen silent and dazed-looking residents ventured out to a background of charred apartment blocks and wrecked cars. Some carried suitcases.

Volunteers in white hazmat suits and masks roved the ruins, collecting bodies from apartments and loading them on to a truck marked with the letter “Z”, symbol of Russia’s invasion.

Ukraine estimates tens of thousands of civilians have died in Russia’s bombardment and siege of the city and says 100,000 civilians are still there and need full evacuation.

Ukrainian Deputy Prime Minister Iryna Vereshchuk on Friday said “there is a possibility” a humanitarian corridor out of Mariupol could be opened up on Saturday.

Relatives of residents feared the worst. In Lviv, Sofia Telehina said her grandmother in Mariupol had cried constantly when they last spoke by phone and said everything was bombed to pieces. “Since then I’ve not been able to reach her,” she said.

‘DEMOLISHING EVERYTHING’

In Zaporizhzhia, where 79 Mariupol residents arrived in the first convoy of buses permitted by Russia to leave for other parts of Ukraine, Valentyna Andrushenko held back tears as she recalled their ordeal.

“They (Russians) were bombing us from day one. They are demolishing everything.”

Moscow says it has taken 140,000 Mariupol residents to Russia. Kyiv says many were forcibly deported in what would be a war crime.

U.N. Secretary-General Antonio Guterres will visit Moscow on Tuesday to discuss urgently bringing peace to Ukraine, a spokesperson said, adding that Guterres might also visit Kyiv.

The Pentagon said more than 20 countries would attend U.S.- hosted defence talks in Germany next week to consider Ukraine’s long-term defence relationships once the war is over.

(Reporting by by Reuters journalists; Writing by Peter Graff, Philippa Fletcher and David Brunnstrom; Editing by Angus MacSwan, Gareth Jones and Rosalba O’Brien)

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April 22, 2022 0 comments
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U.S. FAA apologizes for failing to alert Capitol police over parachute jump

by Reuters April 22, 2022
By Reuters

By David Shepardson

WASHINGTON -The Federal Aviation Administration (FAA) apologized late Friday for failing to provide advance notification to the U.S. Capitol Police of a small airplane flight that prompted a security scare earlier this week.

The single-engine plane flying the U.S. Army’s Golden Knights parachute demonstration team over a baseball game near the U.S. Capitol on Wednesday was mistaken for a potential security threat.

“We did not provide advance notification of this event to the U.S. Capitol Police,” the FAA said in disclosing its initial review findings. “We deeply regret that we contributed to a precautionary evacuation of the Capitol complex and apologize for the disruption and fear experienced by those who work there.”

U.S. House of Representatives Speaker Nancy Pelosi on Wednesday criticized what she said was an “outrageous and frightening mistake” by the FAA for failing to alert Capitol Police to the pre-planned performance over the Washington Nationals baseball stadium.

The FAA said Wednesday it is “taking immediate steps to ensure that we always coordinate well in advance with other agencies to avoid confusion over future aviation events in the Washington, D.C., area.”

The FAA review is continuing, it added, pledging to “take any additional steps necessary to prevent such incidents from occurring in the future.”

The U.S. Capitol Police on Wednesday first said they were tracking an aircraft that posed a “probable threat” to the Capitol complex, but minutes later said there was no threat.

The Golden Knights parachuted into the Washington Nationals’ baseball stadium, Nationals Park, a little over a mile away from the U.S. Capitol.

Pelosi said Wednesday Congress would review what went wrong. Pelosi’s office did not immediately comment late Friday. She said Congress wanted to know who at the FAA “will be held accountable for this outrageous and frightening mistake.”

Capitol Police said in an email to congressional staff Wednesday seen by Reuters it “will be working with our airspace partners to address the notification issues.”

(Reporting by David Shepardson; Editing by Leslie Adler, Bernard Orr)

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April 22, 2022 0 comments
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Financial News

Wall St slumps as weak earnings, rate hike clarity spook investors

by Reuters April 22, 2022
By Reuters

By David French

(Reuters) – Wall Street tumbled more than 2.5% on Friday, ensuring the three main benchmarks ended in negative territory for the week, as surprise earnings news and increased certainty around aggressive near-term interest rate rises took its toll on investors.

It was the third straight week of losses for both the S&P 500 and the Nasdaq, while the Dow Jones posted its fourth weekly decline in a row.

For the Dow, its 2.82% drop on Friday was its biggest one-day fall since October 2020.

Exaggerated trading swings have become more common recently, as traders adjust to new data points from earnings, as well as when rates will rise again. For the Nasdaq, Friday was the eighth session in April, out of 15 trading days this month, where the index either rose or fell by more than 2%.

“It’s not very common, over the course of my time doing this job, for the market to move 2% in either direction and to think ‘there’s not too much to read into that’,” said Craig Erlam, senior market analyst at OANDA.

“That’s not normal, but that’s just how things have been for such a long time now.”

Concerns about risks from interest rate hikes continued to reverberate after Federal Reserve Chair Jerome Powell’s hawkish pivot on Thursday, where he backed moving more quickly to combat inflation and said a 50-basis-point increase would be “on the table” when the Fed meets in May.

The idea of “front-end loading” the U.S. central bank’s retreat from super-easy monetary policy, which Powell articulated support for on Thursday, has also forced traders to re-evaluate how aggressive subsequent rate rises would be.

The CBOE Volatility index, also known as Wall Street’s fear gauge, jumped on Friday, ending at its highest level since mid-March.

Meanwhile, the latest earnings forecasts to jolt investors came from healthcare, with HCA Healthcare and Intuitive Surgical Inc the worst performers on the S&P 500.

HCA slumped 21.8% after reporting a downbeat profit view, while other hospital operators felt the contagion: Tenet Healthcare, Community Health Systems and Universal Health Services all tumbled between 14% and 17.9%.

Surgical robot maker Intuitive Surgical dropped 14.3% after warning of weaker demand from hospitals due to tighter finances.

All 11 major S&P 500 sectors were down, although the 3.6% slip by healthcare was outdone by materials, which was off 3.7%.

Materials was weighed down by Nucor Corp – down 8.3% after hitting a record high after posting earnings on Thursday – and Freeport-McMoRan Inc, which slipped 6.8% as investors fretted over how interest rate hikes would impact copper miners.

The Dow Jones Industrial Average fell 981.36 points, or 2.82%, to 33,811.4, the S&P 500 lost 121.88 points, or 2.77%, to 4,271.78 and the Nasdaq Composite dropped 335.36 points, or 2.55%, to 12,839.29.

For the week, the Dow dipped 1.9%, the S&P dropped 2.8%, and the Nasdaq declined 3.8%.

The prospect of a more hawkish Fed has led to a rocky start to the year for equities, with Friday’s sell-off taking declines on both the S&P and Dow since the start of the year beyond 10%.

The trend is more pronounced in tech and growth shares whose valuations are more vulnerable to rising bond yields. The Nasdaq is down 17.9% in 2022.

Earnings are due next week for the four biggest U.S. companies by market capitalization: Apple, Microsoft, Amazon and Google parent Alphabet.

The quartet declined between 2.4% and 4.1% on Friday. Meta Platforms Inc, which also has results on deck for next week, dropped 2.1%, taking its losses in the last three days to 15.3%.

Investors are worried after streaming giant Netflix Inc’s dismal earnings earlier this week sent shockwaves through big tech and stay-at-home darlings which benefited from pandemic factors such as lockdown measures.

The volume on U.S. exchanges was 11.66 billion shares, compared with the 11.67 billion average for the full session over the last 20 trading days.

(Reporting by Bansari Mayur Kamdar, Amruta Khandekar and Anisha Sircar in Bengaluru and David French in New York; Editing by Marguerita Choy and Aditya Soni)

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April 22, 2022 0 comments
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Financial News

Air Lease to write off jets stranded in Russia, expects $802 million in charges

by Reuters April 22, 2022
By Reuters

(Reuters) – Air Lease Corp said on Friday it would write off the value of the 27 jets it has remaining in sanctions-hit Russia, a move that is expected to lead to charges of about $802 million.

Global aircraft leasing companies have been scrambling to repossess more than 400 jets worth almost $10 billion from Russian airlines, which have mostly been unresponsive to demands for surrendering the jets.

“It is unlikely that the company will regain possession of the aircraft that have not been returned and that remain in Russia,” Air Lease said in a statement.

The write-off, which includes 21 company-owned jets and six aircraft in Air Lease’s managed fleet, will be reflected in the first-quarter earnings report slated for May 5.

Air Lease said it does not expect the write-off to result in material future cash expenditures and that it was pursuing insurance claims to recover losses relating to the aircraft.

(Reporting by Kannaki Deka in Bengaluru; Editing by Aditya Soni)

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April 22, 2022 0 comments
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Department of Justice Press Releases

District Man Sentenced to Four Years in Prison For Stalking and Assaulting Ex-Girlfriend

by DOJ Press April 22, 2022
By DOJ Press

            WASHINGTON – Kevin Cooke, 22, of Washington, D.C., was sentenced today to four years in prison for a series of incidents in which he stalked and assaulted his ex-girlfriend and set fire to her family’s residence in Southeast Washington, announced U.S. Attorney Matthew M. Graves.

            Cooke pleaded guilty in February 2022, in the Superior Court of the District of Columbia, to charges of arson, attempted assault with a dangerous weapon, stalking, and simple assault. He was sentenced by the Honorable Lynn Leibovitz. Following completion of his prison term, Cooke is to be placed on three years of supervised release.

            According to the government’s evidence, Cooke stalked and harassed his ex-girlfriend and her family between March 2021, when the relationship ended, and October 2021, when he was arrested. He set fire to the exterior of the victims’ apartment building in the 300 block of Anacostia Road SE on multiple dates, terrorizing those in the building. Cooke was under a stay-away and no-contact order issued by the Court barring him from the victim and her family’s apartment building. Nonetheless, on Aug. 30, 2021, at approximately 2 a.m., he lit items on fire and threw them into the victims’ window. Nearly 2 ½ hours later, he also fired approximately 16 rounds at the victims’ building. No one was hurt.

            Cooke also arranged a meeting with his ex-girlfriend by hacking an Instagram account of one of her friends. He surprised his ex-girlfriend on Sept. 12, 2021, at her college residence hall, grabbed her, dragged her into a laundry room, and hit her in the face multiple times. He fled before police arrived. Finally, on Oct. 2, 2021, he was caught on surveillance video using a gas can and accelerant to once again set fire to the exterior of the family’s apartment building. He was arrested on Oct. 4, 2021.

            In announcing the sentence, U.S. Attorney Graves commended the work of those who investigated the case from the D.C. Fire and Emergency Medical Services Department’s Fire Investigation Unit and the Metropolitan Police Department. He also expressed appreciation for the work of those who handled the case at the U.S. Attorney’s Office, including Victim/Witness Advocate Lu Lan, Paralegal Specialist Brenda Williams, and Special Agents Neil D’Cunha and Nelson Rhone of the Criminal Investigation and Intelligence Unit.

            Finally, he commended the efforts of Assistant U.S. Attorney Zach Horton, who investigated and prosecuted the case.

April 22, 2022 0 comments
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Department of Justice Press Releases

New York Man Charged with Aggravated Sexual Abuse of Connecticut Child

by DOJ Press April 22, 2022
By DOJ Press

Leonard C Boyle, United States Attorney for the District of Connecticut, and David Sundberg, Special Agent in Charge of the New Haven Division of the Federal Bureau of Investigation, today announced that a federal grand jury in Hartford returned an indictment yesterday charging ZACHARY WILLIAMS, 35, of Brooklyn, New York, with offenses related to his alleged sexual exploitation of an 11-year-old girl who was living in Connecticut.

As alleged in the indictment, on two occasions in February 2021, Williams crossed state lines with intent to engage in a sexual act with an 11-year-old girl, and engaged in sexual acts with the girl.  He also produced at least three videos of the girl engaged in sexually explicit conduct.

The indictment charges Williams with two counts of aggravated sexual abuse with children, which carries a mandatory term of imprisonment of 30 years and a maximum term of life imprisonment on each count; one count of production of child [censored]ography, which carries a mandatory minimum term of imprisonment of 15 years and maximum term of imprisonment of 30 years; and one count of enticing a minor to engage in illegal sexual activity, which carries a mandatory minimum term of imprisonment of 10 years and maximum term of life imprisonment.

Williams has been detained since March 13, 2021, in New Jersey, where he has been charged with additional federal child exploitation offenses.

U.S. Attorney Boyle stressed that an indictment is not evidence of guilt.  Charges are only allegations, and a defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.

This matter is being investigated by the Federal Bureau of Investigation and the Galloway Township (N.J.) Police Department.  The case is being prosecuted by Assistant U.S. Attorney Nancy V. Gifford.

U.S. Attorney Boyle thanked the U.S. Attorney’s Office for the District of New Jersey for its cooperation in the investigation and prosecution of this case.

This prosecution is part of the U.S. Department of Justice’s Project Safe Childhood Initiative, which is aimed at protecting children from sexual abuse and exploitation. For more information about Project Safe Childhood, please visit www.justice.gov/psc.

To report cases of child exploitation, please visit www.cybertipline.com.

April 22, 2022 0 comments
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Department of Justice Press Releases

by DOJ Press April 22, 2022
By DOJ Press

The Department of Justice, together with the Federal Trade Commission (FTC), today announced a civil enforcement action against defendants Legacy Cremation Services LLC, Funeral & Cremation Group of North America LLC and Anthony Joseph Damiano for alleged violations of the Federal Trade Commission Act (FTC Act) and the FTC’s Trade Regulation Rule Concerning Funeral Industry Practices (Funeral Rule).

According to a complaint filed in the U.S. District Court for the Southern District of Florida, the defendants, who arrange third-party cremation services, made deceptive statements to consumers about pricing for funeral and cremation services, misrepresented the location where services were to be provided and wrongfully withheld loved one’s remains. The FTC Act prohibits unfair and deceptive conduct and false advertising. The Funeral Rule prohibits providing consumers with inaccurate price information and requires certain disclosures to consumers regarding pricing for funeral-related goods.

The complaint seeks monetary relief, civil penalties and injunctive relief to stop defendants from continuing to violate the FTC Act and the Funeral Rule.

“Consumers are particularly vulnerable when a loved one passes,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “The Department of Justice is committed to stopping companies and individuals from profiting off of consumers’ grief by engaging in unlawful and deceptive marketing practices when offering funeral arrangements. The department will continue to partner with the FTC to prevent unlawful and deceptive practices that take advantage of vulnerable consumers.”

“The financial and emotional exploitation of people when they are at their most vulnerable will not be tolerated in this district,” said U.S. Attorney Juan Antonio Gonzalez for the Southern District of Florida. “Together with our federal partners, we will continue to protect South Florida residents through vigorous enforcement of consumer protection laws.”

“Preying on consumers when they are dealing with the loss of a loved one is outrageous, and it’s illegal,” said Director Samuel Levine of the FTC’s Bureau of Consumer Protection. “The FTC is committed to enforcing the Funeral Rule to protect both grieving consumers and honest funeral homes.”

This matter is being handled by Trial Attorneys Cody Matthew Herche and Wandaly Fernández García and Assistant Director Lisa K. Hsiao of the Civil Division’s Consumer Protection Branch, and Assistant U.S. Attorney James A. Weinkle for the Southern District of Florida. Rebecca Plett and Thomas Harris represent the FTC.

April 22, 2022 0 comments
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Department of Justice Press Releases

by DOJ Press April 22, 2022
By DOJ Press

A California man was sentenced today to life in prison for engaging in a child exploitation enterprise and creating child sexual abuse material (CSAM) of four young children, including children he abused with his co-defendants who were previously sentenced.

John Richard Brinson Jr., 28, of Fresno, pleaded guilty on July 23, 2021, to engaging in a child exploitation enterprise and four counts of production of child [censored]ography, each representing a different victim. According to court documents and information stated during court proceedings, in 2016 and 2017, Brinson distributed and advertised CSAM on a website dedicated to the sexual abuse of children ages zero to five years old.  Brinson, along with co-defendants Arlan Harrell and Moises Martinez, was an active member of this website, which was hosted on Tor, a computer network on the dark web that is specifically designed to facilitate anonymous communication over the internet. Brinson used the website to view CSAM, to advertise and distribute CSAM, including CSAM he produced, and to encourage other members to post more CSAM. Additionally, Brinson used this website to meet like-minded offenders, including Harrell and Martinez, and commit additional offenses against children with them in-person.

“Those who engage in child exploitation enterprises and create child sexual abuse material will be tracked down and held accountable for their heinous conduct,” said Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division. “Preying on children with no regard to the grievous harm abusers cause to their victims and their families will not be tolerated.  I commend the prosecution team and our law enforcement partners who worked tirelessly to ensure that these defendants would be held accountable for their crimes and justice sought for the victims.” 

“The sentence imposed in this case is warranted by the defendant’s callous and violent abuse of children, some of whom were filmed while screaming in pain,” said U.S. Attorney Tracy L. Wilkison for the Central District of California. “The child exploitation enterprise impacted more than 20 victims – children who were sexually assaulted, sometimes repeatedly, solely for the pleasure of this defendant and his cohorts. The Justice Department will continue its effort to protect the most vulnerable among us by aggressively prosecuting the most dangerous predators.”

“The depravity of this enterprise was reflected in today’s sentencing,” said acting Special Agent in Charge Eddy Wang of Homeland Security Investigations (HSI) Los Angeles. “Homeland Security Investigations prioritizes crimes of victimization and will leave no stone unturned to rescue every victim possible and bring every perpetrator to justice. I am very proud of the Homeland Security Investigations special agents from Boston, Fresno and right here in Los Angeles that worked tirelessly with our partners at the Department of Justice, the U.S. Attorney’s Office and the Los Angeles Internet Crimes Against Children Task Force to protect our most innocent and remove these predators from our communities.”   

According to court documents and information stated during court proceedings, Brinson created child sexual abuse material of children with ages ranging from approximately three to nine years old. On at least two separate occasions, Brinson and Harrell met at Brinson’s home to create CSAM depicting their sexual abuse of two of the minors together. On one of those occasions, Harrell secured the custody of another minor and traveled with the minor to Brinson’s house to create CSAM depicting both Harrell and Brinson engaging in the sexual abuse of that minor. On another occasion, Brinson and Martinez arranged to meet at Brinson’s house to create CSAM depicting their sexual abuse of two minors together, one brought by Brinson and one by Martinez. In total, Brinson, Martinez and Harrell pleaded guilty to creating CSAM depicting themselves engaging in sexual acts with or otherwise sexually exploiting more than 20 children under the age of nine, including 10 children four years of age or younger. The CSAM that Brinson created by himself and with his co-defendants took place in the house he shared with co-defendant Keith Lawniczak. According to court documents and information stated during court proceedings, Lawniczak admitted that he offered Brinson a room in his house to live in free of charge and benefitted from Brinson’s abuse of one of the minors because he had an opportunity to view the sexual acts between Brinson and the minor. 

Co-defendant Martinez pleaded guilty to engaging in a child exploitation enterprise and production of child [censored]ography and was sentenced to 55 years in prison, followed by lifetime supervised release. Lawniczak pleaded guilty to conspiracy to commit sex trafficking of a child and was sentenced to 12 years in prison and lifetime supervised release. Harrell pleaded guilty to engaging in a child exploitation enterprise, obtaining custody of a minor for purposes of producing child [censored]ography, production of child [censored]ography, and possession of child [censored]ography and was sentenced to life in prison.

Homeland Security Investigations’ (HSI) Los Angeles office, along with HSI’s Fresno and Boston offices, investigated the case. The High Technology Investigative Unit of the Criminal Division’s Child Exploitation and Obscenity Section (CEOS) provided significant assistance.

Trial Attorneys Lauren S. Kupersmith and Kyle P. Reynolds of the Criminal Division’s CEOS and Assistant U.S. Attorneys Devon Myers and Kim Meyer for  the Central District of California prosecuted the case. 

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

April 22, 2022 0 comments
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Department of Justice Press Releases

20th Annual Operation Reach Out Opening Ceremony to Help Mark National Crime Victims’ Rights Week

by DOJ Press April 22, 2022
By DOJ Press

CHARLESTON, W.Va. – National Crime Victims’ Rights Week will be commemorated April 24-30, 2022, and the United States Attorney’s Office for the Southern District of West Virginia is sponsoring its 20th Annual Operation Reach Out Opening Ceremony to promote its observance.

The ceremony will be held at the West Virginia State Capitol on Tuesday, April 26, at 10 a.m. This year’s theme is “Rights, access, equity for all victims,” and underscores the importance of helping crime survivors find their justice by enforcing the rights of victims, expanding access to services, and ensuring equity and inclusion for all.

Stephanie Wilson will share her message of hope and strength for fellow survivors as part of Tuesday’s ceremony. Wilson was only 11 years old when a man posing as a store security guard lured her away from her mother at the South Charleston Target and sexually assaulted her at knifepoint. As a result of his July 2003 crime, the defendant was convicted and sentenced to prison on both federal and state charges. Wilson now advocates for crime victims and encourages them to remember that they are not alone.

“Stephanie is a true profile in courage,” said U.S. Attorney Will Thompson, who will emcee the event. “She has triumphed over a horrific ordeal and her continuing dedication to survivors and their loved ones is an inspiration.”

Thompson will present several awards during the ceremony and is also among the scheduled speakers, who include: West Virginia Supreme Court of Appeals Chief Justice John A. Hutchinson; West Virginia House of Delegates Speaker Roger Hanshaw; West Virginia Legislative Claims Commission Clerk Janet Kawash; and West Virginia Department of Homeland Security Secretary Jeff Sandy.

The ceremony is slated for the State Capitol’s South steps, near Kanawha Boulevard. In the event of inclement weather, the ceremony will be held at the Senate side of the Capitol’s Upper Rotunda.

Each year, the Department of Justice and the United States Attorneys’ offices observe National Crime Victims’ Rights Week nationwide in April, to honor victims of crime and those who advocate on their behalf. Operation Reach Out is a collaborative effort involving local advocacy programs that raise awareness of National Crime Victims’ Rights Week and of the various organizations that provide services to crime victims.

The Department of Justice’s Office for Victims of Crime, within the Office of Justice Programs, leads communities across the country in observing National Crime Victims’ Rights Week. In 1981, President Ronald Reagan proclaimed the first National Crime Victims’ Rights Week to bring greater sensitivity to the needs and rights of victims of crime.

The Office of Justice Programs provides innovative leadership to federal, state, local, and tribal justice systems, by disseminating state-of-the art knowledge and practices across America, and providing grants for the implementation of these crime-fighting strategies. Because most of the responsibility for crime control and prevention falls to law enforcement officers in states, cities, and neighborhoods, the federal government can be effective in these areas only to the extent that it can enter into partnerships with these officers.

More information about the Office of Justice Programs and its components can be found at www.ojp.gov. More information about Crime Victim’s Rights Week can be found at https://ovc.ncjrs.gov/ncvrw. You may also contact the U.S. Attorney’s Office, SDWV, Victim Witness Program at (304) 345-2200.

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia.

 

 

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April 22, 2022 0 comments
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Department of Justice Press Releases

Warren County Man Charged with Violating Child Sexual Exploitation Laws

by DOJ Press April 22, 2022
By DOJ Press

ERIE, Pa. – A former resident of Sheffield, Pennsylvania, has been indicted by a federal grand jury in Erie on charges of violating federal laws relating to the sexual exploitation of children, United States Attorney Cindy K. Chung announced today.

The sixteen-count superseding indictment named Jeffrey Colin Rogers, 59, as the sole defendant.

According to the Superseding Indictment presented to the court, in November 2017, Rogers took sexually explicit photos of two victims who were under the age of eighteen. The Superseding Indictment further alleges that from November 2017 and February 2018, Rogers possessed material depicting the sexual exploitation of a minor.

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

The law provides for a maximum total sentence of 400 years in prison, a fine of $4,000,000, 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 Christian A. Trabold is prosecuting this case on behalf of the government.

The Federal Bureau of Investigation and the Pennsylvania State Police conducted the investigation leading to the Superseding Indictment in this case.

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

April 22, 2022 0 comments
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Department of Justice Press Releases

Jury Convicts in Check Kiting Trial

by DOJ Press April 22, 2022
By DOJ Press

TOPEKA, KAN. – A federal jury convicted a Kansas man of 31 counts of bank fraud, one count of making a false statement in connection with a Small Business Administration guaranteed loan, and one count of making a false statement in a loan or credit card application.

According to court documents and evidence presented at trial, Tyler Gillum, 51, of Plainville owned and operated Plainville Livestock Commission Inc. from 2006 until 2019. Between January 2015 and August 2017, Gillum wrote checks and made wire transfers between various accounts under his control at various banks in a scheme commonly known as check kiting. This is when checks are continually written back and forth to fraudulently inflate account balances tricking banks into honoring checks written with insufficient funds. Gillum’s scheme resulted in losses of more than $10 million to the banking system.

Gillum also applied for and obtained a $1,500,000 loan, secured by the U.S. Small Business Administration, and a $500,000 line of credit from Almena State Bank, while concealing he’d previously signed an approximately $6.1 million promissory note to TBK Bank of Dallas, Texas. 

“Because of the defendant’s crimes, banks suffered millions of dollars in losses. These fraudulent acts should be of concern to everyone, because the stability our nation’s banking system is vital to the financial health of this country,” said U.S. Attorney Duston Slinkard, District of Kansas. 

The FBI, U.S.D.A. Office of Inspector-General, S.B.A. Office of Inspector-General, and F.D.I.C. Office of Inspector-General investigated the case.

U.S. Attorney Duston Slinkard commends the work of Assistant U.S. Attorneys Sara Walton and the late Richard Hathaway in preparing and prosecuting the case.

###

April 22, 2022 0 comments
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Department of Justice Press Releases

Putnam County Narcotics Dealer Arrested In Connection With The Murder Of One Of His Customers

by DOJ Press April 22, 2022
By DOJ Press

Dwayne Pulliam Arrested for Participating in a Conspiracy to Distribute Crack Cocaine and for Traveling Interstate and Using Facilities of Interstate Commerce to Operate a Narcotics Business Enterprise, and Murdering a Customer He Believed Was Stealing from That Business

Damian Williams, the United States Attorney for the Southern District of New York, Michael J. Driscoll, Assistant Director-in-Charge of the New York Office of the Federal Bureau of Investigation (“FBI”), and Kevin McConville, the Sheriff of the Putnam County Sheriff’s Office, announced today the filing of a criminal complaint in White Plains federal court charging DWAYNE PULLIAM, a/k/a “Doc,” with: (1) participating in a crack-cocaine-distribution conspiracy; and (2) traveling between New York and Connecticut, and using cellphones, to operate a narcotics business enterprise—his business selling crack cocaine—and murdering Lori Lee Campbell, a customer he believed was stealing from his business. PULLIAM was arrested yesterday afternoon in the area of New Milford, Connecticut, and was presented yesterday before United States Magistrate Judge Andrew E. Krause. PULLIAM was ordered held without bail.

As alleged in the Complaint[1]:

In or about December 2020, PULLIAM was released from approximately 24 years of prison for murder. Not long afterward, from at least in or about January 2022, PULLIAM engaged with others in the business of selling crack cocaine, traveling between New York and Connecticut to do so, and using phones to do so.

On March 29, 2022, PULLIAM contacted a co-conspirator of his in the drug trade and asked him to help move an Acura that belonged to Lori Lee Campbell. PULLIAM told his co-conspirator that he suspected that Campbell was stealing drugs from him, that PULLIAM confronted Campbell, that Campbell tried to leave but PULLIAM did not let her do so, and that Campbell started screaming. PULLIAM then told his co-conspirator that he “stopped her from screaming” and that this was not the first time he had “done this.”

When the co-conspirator went with PULLIAM back to PULLIAM’s apartment in Patterson, New York, the co-conspirator saw Campbell’s dead body in the apartment, wrapped in a sheet. PULLIAM said “there’s the culprit,” and then directed his co-conspirator to help him move the body, threatening to kill the co-conspirator’s family if the co-conspirator did not do so. The co-conspirator helped PULLIAM move the body to PULLIAM’s Honda Accord, and they then drove to PULLIAM’s mother’s house in North Carolina. PULLIAM and his co-conspirator got shovels, a bag of lime, and plastic wrap from a shed by PULLIAM’s mother’s house, and drove Campbell’s body to a cul-de-sac, where her body was ultimately covered in lime and buried in a shallow grave.

On April 19, 2021, law enforcement officers found and recovered Campbell’s body from the area in North Carolina where PULLIAM’s co-conspirator said it was buried.

*                *                *

DWAYNE PULLIAM, a/k/a “Doc,” 59, of Patterson, New York is charged with one count of traveling in interstate commerce, and using a facility in interstate commerce, with intent to engage in a business enterprise involving narcotics, and thereafter committing murder to further that unlawful activity, and one count of participating in a conspiracy to distribute and possess with intent to distribute 28 grams and more of crack cocaine. The travel act count carries a maximum sentence of life in prison. The narcotics conspiracy count carries a mandatory minimum sentence of five years in prison and a maximum sentence of 40 years in prison.

The maximum potential sentences in this case are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendant will be determined by a judge.

Mr. Williams praised the outstanding work of the FBI Safe Streets Task Force, the FBI Charlotte Division, the DEA New York Division, the Putnam County Sheriff’s Office, the Alamance County Sherriff’s Office, the Connecticut State Police, and the Putnam County District Attorney’s Office. Mr. Williams noted that the investigation is ongoing.

The case is being prosecuted by the Office’s White Plains Division. Assistant U.S. Attorneys Michael D. Maimin and T. Josiah Pertz are in charge of the prosecution.

The charges contained in the Complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.

 


[1] As the introductory phrase signifies, the entirety of the text of the Complaint, and the description of the Complaint set forth herein, constitutes only allegations, and every fact described therein should be treated as an allegation.

April 22, 2022 0 comments
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Department of Justice Press Releases

California Man Arrested and Charged with Making Threats Against LGBTQ Community

by DOJ Press April 22, 2022
By DOJ Press

BOSTON – A California man was arrested on Tuesday, April 20, 2022 and charged in federal court in Springfield, Mass. in connection with making threats against Merriam-Webster, Inc.

Jeremy David Hanson, 34, of Rossmoor, Calif., was charged by criminal complaint with one count of interstate communication of threats to commit violence. Hanson was released on conditions following an initial appearance in federal court in the Central District of California. Hanson will appear before U.S. District Court Magistrate Judge Katherine A. Robertson in federal court in Springfield on April 29, 2022.

“Hate-filled threats and intimidations have no place in our society,” said United States Attorney Rachael S. Rollins. “We believe Hanson sent a multitude of anonymous threatening and despicable messages related to the LGBTQ community that were intended to evoke fear and division. My office and our law enforcement partners will not tolerate threats against members of our communities, no matter what corner of the internet they’re sent from. Perpetrators will be identified, arrested, and held accountable in federal court.”

“Jeremy Hanson is accused of making hate-fueled threats of violence that crossed a line,” said Joseph R. Bonavolonta, Special Agent in Charge of the FBI Boston Division. “Everyone has a right to express their opinion, but repeatedly threatening to kill people, as has been alleged, takes it to a new level. We are always going to pursue individuals who try to intimidate and isolate members of our community by inciting violent, hateful acts. Threats to life are most certainly not protected speech and they cause real fear in victims. Rest assured, the FBI will do everything we can to bring to justice anyone who commits these criminal acts.”

According to the criminal complaint, between Oct. 2 and Oct. 8, 2021, Springfield-based Merriam-Webster, Inc. received various threatening messages and comments demonstrating bias against specific gender identities submitted through its website’s “Contact Us” page and in the comments section on its webpages that corresponded to the word entries for “Girl” and “Woman.” Authorities later identified the user as Hanson. As a result of the threats, Merriam-Webster closed its offices in Springfield and New York City for approximately five business days.

Specifically, it is alleged that on Oct. 2, 2021, Hanson used the handle “@anonYmous” to post the following comment on the dictionary’s website definition of “female”: “It is absolutely sickening that Merriam-Webster now tells blatant lies and promotes anti-science propaganda. There is no such thing as ‘gender identity.’ The imbecile who wrote this entry should be hunted down and shot.”

Hanson also allegedly sent the following threatening message via the website’s “Contact Us” page: “You [sic] headquarters should be shot up and bombed. It is sickening that you have caved to the cultural Marxist, anti-science tranny [sic] agenda and altered the definition of ‘female’ as part of the Left’s efforts to corrupt and degrade the English language and deny reality. You evil Marxists should all be killed. It would be poetic justice to have someone storm your offices and shoot up the place, leaving none of you commies alive.”

It is further alleged that on Oct. 8, 2021, Hanson posted another threatening comment on the dictionary’s website and a threatening message via the “Contact Us” page that threatened to “bomb your offices for lying and creating fake…”. 

The investigation identified numerous related threats, including to the American Civil Liberties Union, Amnesty International, Land O’ Lakes, Hasbro, Inc., IGN Entertainment, the President of the University of North Texas, two professors at Loyola Marymount University and a New York City rabbi.

Individuals or entities who believe they may be victims of this crime should contact the U.S. Attorney’s Office at (888) 221-6023.

The charge of interstate transmission of communications to injure the person of another provides for a sentence of up to five years in prison, three years of supervised release and a fine of $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.

U.S. Attorney Rollins and FBI SAC Bonavolonta made the announcement. Assistant U.S. Attorney Steven H. Breslow of Rollins’ Springfield Branch Office is prosecuting the case. 

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

April 22, 2022 0 comments
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