Man Arrested on Charge of Interference wth a Flight Crew

Port of Portland Police officers detained and FBI agents arrested Alexander Michael Herrera, age 23, on a charge of interfering with a flight crew after he allegedly attempted to open an emergency exit row door during his plane’s descent into Portland International Airport. The flight, Alaska Airlines #132, was on its descent into PDX at approximately 5:20 a.m. on Monday, May 27, when the incident occurred. Passengers and crew members interviewed by Port of Portland Police officers said the man made unusual statements prior to the incident and then attempted to open the door. Passengers and crew subdued the man, and they restrained him until they landed and Port officers boarded the plane. No one was injured.
The flight originated in Anchorage, Alaska. Investigators believe Herrera is from Arizona.
Herrera is being booked into the Multnomah County Detention Center, and he will likely make his initial appearance on Tuesday, May 28, 2013, before a federal magistrate in Portland.

Oregon Penitentiary Inmate Sentenced in Federal Court for Series of Crimes Against Law Enforcement Personnel

PORTLAND, OR—An inmate of the Oregon State Penitentiary, Andrew Laud Barnett, 32, today received an additional 80-month federal sentence for a series of crimes against law enforcement personnel occurring from 2008 through 2012. U.S. District Judge Marco A. Hernandez ordered that 63 months be served consecutively to the prison term Barnett is currently serving in Oregon state custody.
In January 2008, while serving earlier state sentences for assaulting sheriffs’ deputies in Washington and Marion Counties, Barnett mailed a threatening letter to Washington County Sheriff Rob Gordon and three of his deputies. The letter was in retaliation for Barnett’s earlier assault prosecution and contained explicit threats of sexual assault, injury, and death against the officers.
In August 2011, while awaiting federal court proceedings in the 2008 case, Barnett assaulted a deputy sheriff at the Multnomah County Detention Center. Barnett threw a container of human urine and feces in the face of the deputy.
In April 2012, while awaiting trial in both the 2008 and 2011 cases, Barnett mailed a threatening letter addressed to his federal prosecutor, Assistant United States Attorney Stephen F. Peifer. The envelope contained a white powder that Barnett represented was anthrax. A receptionist at the U.S. Attorney’s Office opened the letter in the course of her duties and inhaled the powder. Hazardous materials personnel and paramedics came to the U.S. Courthouse to investigate and care for the victim. The substance was later determined to be a penicillin-based antibiotic that had been ground into a powder.
In addition to the 2007 assaults against the deputies, Barnett has prior felony convictions for third-degree robbery, first-degree burglary, and vehicle theft in 2000, delivery of a controlled substance in 2004, and assault of a corrections officer in 2004.
Barnett currently has a projected release date of May 2015 after serving his sentence on conviction of the state cases. Therefore, the 63-month portion of his new federal sentences will not commence until his state sentences end.
The federal cases were investigated by the Federal Bureau of Investigation, the U.S. Marshals Service, and the U.S. Postal Inspection Service.

Bank Robber Sentenced to 14 Years in Federal Prison

PORTLAND, OR—James Joseph Bjorne Bennett, 55, most recently of Portland, Oregon, and formerly of Fairbanks, Alaska, was sentenced to 168 months in prison today by United States District Judge Michael W. Mosman for a string of bank robberies Bennett committed in the Portland area in September 2008. On January 4, 2011, Bennett pleaded guilty to five counts of bank robbery and two counts of attempted bank robbery. Upon release from custody, Bennett will serve a three-year period of supervised release.
“Bank robbers endanger and intimidate tellers and bank employees, as well as anyone else who walks into the bank on the wrong day.” said U.S. Attorney S. Amanda Marshall. “This defendant will have many years in prison to reflect upon the harm he caused numerous people in these seven banks who were just trying to do their jobs and their banking.”
Bennett was arrested by the U.S. Marshals Service in September 2008. Bennett has admitted that on September 15, 2008, he robbed the Wells Fargo Bank on SE McLoughlin Blvd. in Milwaukie; on September 19, 2008, he robbed the West Coast Bank on Southwest Pacific Highway in Tigard; on September 22, 2008, he robbed the U.S. Bank on NE Cornell Rd. in Hillsboro; on September 25, 2008, he attempted to rob the Bank of America on SE 82nd Avenue in Happy Valley and the KeyBank on SE McLoughlin Blvd. in Oak Grove, and he successfully robbed the U.S. Bank on SE Third Street in Gresham; and on September 26, 2008, he robbed the Unitus Community Credit Union on SE Washington Street in Portland. Judge Mosman ordered Bennett to pay full restitution to the victim banks in the amount of $14,145.98.
This case stemmed from an investigation by the Federal Bureau of Investigation, with invaluable cooperation and coordination from several local law enforcement agencies. The case was prosecuted by Assistant U.S. Attorneys Craig Gabriel and Stacie Beckerman.

Former Bend-Area Bank Loan Officer Pleads Guilty to $2.6 Million Fraud

EUGENE, OR—Today, Jeffrey Sprague, 50, of Bend, Oregon, appeared before Chief U.S. District Court Judge Ann Aiken and pleaded guilty to conspiracy to make false statements to a financial institution, to commit wire fraud, and to commit bank fraud. The charge arose out of the collapse of Desert Sun Development (DSD), a development and construction company in Bend, Oregon. As part of his guilty plea, Sprague admitted that he caused his former employer, West Coast Bank, to lose more than $2.6 million on fraudulent loans.
According to court documents, Sprague, a loan officer at West Coast Bank at the time, falsified loan applications for DSD employees and others by fraudulently inflating their monthly income and falsely claiming that these homes were going to be the employees’ primary residences when he knew these homes were part of DSD’s flipping scheme. Sprague also knew that these loan files contained forged or scanned signatures and other material misrepresentations and omissions. West Coast Bank approved and funded the loans for DSD employees and others based on the loan applications Sprague falsified as well as the other documents that Sprague submitted to the bank that he knew were false.
Out of the DSD investigation, 13 individuals were charged in five indictments, and, with Sprague’s guilty plea, all 13 defendants have pled guilty. Sprague is scheduled to appear before Chief Judge Aiken for sentencing on September 3, 2013. Sentencing hearings for the co-defendants are scheduled for July 10 and July 31, 2013, before Chief Judge Aiken.
Conspiracy carries a maximum sentence of five years in prison and a $250,000 fine.
This case was investigated by the FBI, IRS-Criminal Investigations, and the Oregon Division of Finance and Corporate Securities. Assistant U.S. Attorney Scott E. Bradford is handling the prosecution of the case.

City Woman Sentenced to 60 Months in Prison for Adoption Scam

OKLAHOMA CITY—Shelly Renee Henson, 40, from Oklahoma City, was sentenced by United States District Judge Stephen P. Friot to serve 60 months in prison for mail fraud related to an adoption scam, announced Sanford C. Coats, United States Attorney for the Western District of Oklahoma. Judge Friot also ordered Henson to serve three years of supervised release upon release from prison and to pay $49,361.47 in restitution to the victims.
According to court filings and information from the plea and sentencing hearings, between July 2008 and June 2011, Henson defrauded at least five adoption agencies and adoption law firms. Henson also defrauded several prospective adoptive parents from throughout the United States, including Florida, Kansas, and Oklahoma. Henson would falsely pose as an expectant mother and then approach the adoption agencies and law firms claiming she wanted to place her purported unborn child for adoption. Throughout the course of her scams, Henson requested and received money for living expenses, including rent, utilities, food, and other personal items. When completing the “birth mother” applications, Henson often provided false information regarding her personal identification, the conception of a child, and the identity of the putative birth father. Henson also provided fraudulent medical documentation such as pregnancy verifications, sonograms, blood work, laboratory results, and other pregnancy-related medical records that she created or altered on her computer.
Henson often initiated contact with the prospective adoptive parents with whom she had been matched by the adoption agencies and law firms. On one occasion, Henson engaged in a lengthy relationship with the prospective adoptive mother, meeting on one occasion, and exchanging approximately 800 text messages over a five-month period. Henson continued to communicate with this prospective adoptive mother up to the day she had falsely claimed she was being induced in Oklahoma City, knowing that this family had traveled from Kansas to Oklahoma City to be present during the delivery. On at least two occasions, Henson requested the prospective adoptive mothers accompany her in the delivery room when she knew that there would not be a delivery. In fact, after her arrest, Henson admitted that she had previously undergone a tubal ligation procedure several years before committing the adoption fraud.
Henson was charged by indictment on August 21, 2012, with 18 counts of mail fraud, wire fraud, and misuse of a Social Security number. Henson pled guilty to mail fraud on January 7, 2013.
This case was investigated by the Federal Bureau of Investigation and was prosecuted by Assistant United States Attorney Charles Brown.

Former Bookkeeper to Serve 24 Months in Prison and Pay More Than $1.8 Million in Restitution for Embezzlement and Tax Evasion

OKLAHOMA CITY—Carolyn Dawson, of Oklahoma City, was sentenced today to 24 months in prison for embezzling from her former employer, American Plant Products, and for evading federal payroll taxes, announced Sanford C. Coats, United States Attorney for the Western District of Oklahoma. In addition, Dawson was ordered to pay $1,843674.42 in restitution.
Until November 2011, Dawson worked as the bookkeeper for American Plant Products, an Oklahoma City wholesaler of greenhouse and garden supplies. Her duties included maintaining payroll, preparing payroll tax returns, and paying withheld taxes to the IRS. According to a criminal information filed on December 18, 2012, Dawson defrauded the business by using interstate wire communications to pay personal credit card expenses from a business bank account without the knowledge of the business or its owners. These payments took place from January 2007 until November 25, 2011, when Dawson was terminated. The information also alleged that Dawson willfully evaded federal payroll taxes by failing to file a 2010 payroll tax return for the company, failing to make payroll withholding payments to the IRS, and altering the books and records of American Plant Products to conceal her failure to make withholding payments.
On January 3, 2013, Dawson pled guilty to both counts.
Today, Chief Judge Vicki Miles-LaGrange sentenced Dawson to 24 months in prison, to be followed by three years of supervised release. The sentence also requires her to pay $1,194,656.15 in restitution to American Plant Products and $649,018.27 to the Internal Revenue Service. The restitution to the IRS is based not only on her evasion of payroll taxes but also on her failure to report the embezzled funds on her personal income tax returns.
This case was the result of an investigation conducted by the Federal Bureau of Investigation and IRS-Criminal Investigation. The case was prosecuted by Assistant U.S. Attorney Scott E. Williams.

Robbery of OU Federal Credit Union in Norman

OKLAHOMA CITY—James E. Finch, Special Agent in Charge of the Oklahoma City Division of the Federal Bureau of Investigation, announced the robbery of the OU Federal Credit Union at 2000 W. Lindsey in Norman, Oklahoma.
At approximately 10:00 a.m. on May 7, 2013, a black male entered the credit union and approached the teller counter. The subject gave the teller a note stating this was a robbery and demanding money. The note indicated the subject had a gun. The teller complied with the demand and the subject placed the money in a white plastic grocery bag. The subject departed on foot with an undisclosed amount of money. No one was injured in today’s robbery.
Surveillance photos and witness descriptions depict the subject as follows:

• Black male
• Early 20s
• 5’9”-6’1” tall
• 185 lbs.
• Wearing a neon yellow hooded sweatshirt, dark pants, and headphones

The robbery is being investigated by the FBI and the Norman Police Department. Anyone with information regarding this robbery should contact the FBI at (405) 290-7770 (24-hour number). You may remain anonymous.

Robbery of Bank of Oklahoma Branch in Oklahoma City

OKLAHOMA CITY—James E. Finch, Special Agent in Charge of the Oklahoma City Division of the FBI, announces the robbery of the Bank of Oklahoma, 3501 N.W. Expressway in Oklahoma City, Oklahoma (inside Buy 4 Less).
At approximately 2:38 p.m., a black male entered the Buy 4 Less and approached the teller counter at the bank. The subject gave the teller a note stating he had a gun and demanded money. The teller complied with the demand, and the subject placed an undisclosed amount of money in a white grocery-type plastic bag with red lettering. The subject departed the Buy 4 Less and was last seen Westbound on NW expressway in a dark blue or black Mwercury Marquise. No one was injured in today’s robbery.
The subject is also suspected of a failed attempt to rob the IBC Bank at 57th and May approximately one hour earlier.
The subject is described as a black male, approximately 30 years of age, 6’-6’2” tall, with a slim build and was wearing a black hooded sweatshirt, black pants, black sunglasses, and pinkie rings.
This bank robbery is being investigated by the FBI and the Oklahoma City Police Department. Anyone with information is requested to call the FBI at (405)290-7770 (24-hour number). Callers can remain anonymous. The Okahoma Banker’s Association offers a reward of up to $2,000 for information leading to the arrest and conviction of those responsible for robbing a member bank.
Questions can be directed to Special Agent Rick Rains, Media Coordinator, at (405) 290-3687.

Robbery of Baxter State Bank Branch in Quapaw

OKLAHOMA CITY—James E. Finch, Special Agent in Charge of the Oklahoma City Division of the FBI, announces the robbery of the Baxter State Bank at 338 S. Main Street in Quapaw, Oklahoma.
At approximately 9:30 a.m. on May 10, a white male entered the Baxter State Bank brandishing a semi-automatic handgun. The subject demanded money from a bank employee, which he placed in a plastic grocery type bag. The subject ordered bank employees into the vault and then departed the bank with an undisclosed amount of cash. No one was injured in today’s robbery.
The subject is described as a white male, approximately 50-60 years of age, 5’6” tall, with a slim build, and was wearing a ball cap and long gray wig, light-colored shirt, and blue jeans.
This bank robbery is being investigated by the FBI and the Quapaw Police Department. Anyone with information is requested to call the FBI at (405) 290-7770 (24-hour number). Callers may remain anonymous. The Oklahoma Banker’s Association offers a reward of up to $2,000 for information leading to the arrest and conviction of those responsible for robbing a member bank.

Bank of Oklahoma Branch in Oklahoma City Robbed

James E. Finch, Special Agent in Charge of the Oklahoma City Division of the Federal Bureau of Investigation, announced the robbery of the Bank of Oklahoma at 11300 N. May Avenue in Oklahoma City, Oklahoma.
At approximately 2:52 p.m. this afternoon, a black male entered the bank and approached the teller counter. The subject was wearing sunglasses and a surgical cap and appeared to have surgical gauze wrapped around his face, which was covered with makeup. The subject demanded money from the teller and stated that he had a weapon, although none was seen. The teller complied with the demand, and the subject departed the bank with an undisclosed amount of money. The subject was last seen on foot, going eastbound from the bank. No one was injured in today’s robbery.
Surveillance photos (below) and witness descriptions depict the subject as follows:

• Black male
• Late 20s or early 30s
• 6’2”-6’5” tall
• 300 lbs.
• Large build
• Wearing a tan sweater over a light-colored shirt, tan pants, white rubber gloves, with a light blue surgical cap. The subject was wearing sunglasses and appeared to have surgical gauze wrapped around his face covered with makeup.

The robbery is being investigated by the FBI and the Oklahoma City Police Department.
Anyone with information regarding this robbery should contact the FBI at (405) 290-7770 (24-hour number). You may remain anonymous. The Oklahoma Banker’s Association offers a reward of up to $2,000 for information leading to the identification, arrest, and/or conviction of anyone robbing a member bank.

Suspect Arrested in Robbery of OU Federal Credit Union in Norman

Special Agent in Charge James E. Finch of the Oklahoma City Division of the Federal Bureau of Investigation (FBI) announced the arrest of Dontae Lamar Galloway, age 23, of Oklahoma City, Oklahoma, for the robbery of the OU Federal Credit Union in Norman last week.
On May 13, 2013, Dontae Lamar Galloway was charged by federal complaint in U.S. District Court, Western District of Oklahoma, with the robbery of the OU Federal Credit Union, 2000 West Lindsey, Norman, Oklahoma on May 7, 2013, and a federal arrest warrant was issued. At approximately 12 p.m. today, officers of the Oklahoma City Police Department located Galloway at an apartment complex in the 2800 block of S.W. 59th Street in Oklahoma City, where he was arrested without incident.
Galloway is also believed to be responsible for the robbery of the Bank of Oklahoma at 3501 N.W. Expressway in Oklahoma City, Oklahoma, on May 9. 2013.
The FBI would like to thank the Oklahoma City Police Department, Norman Police Department, and the Tecumseh Police Department for their assistance in this investigation resulting in today’s arrest.
The public is reminded a charge is merely an accusation, and the defendant is presumed innocent until proven guilty.

Former Dallas Securities Broker Sentenced in Oklahoma to 84 Months in Prison for Role in Stock Manipulation Scheme

WASHINGTON—A former stock broker was sentenced to prison today for his role in an extensive pump-and-dump stock manipulation scheme, announced Acting Assistant Attorney General Mythili Raman of the Justice Department’s Criminal Division, U.S. Attorney Danny C. Williams Sr. of the Northern District of Oklahoma, Special Agent in Charge James E. Finch of the FBI’s Oklahoma City Division, and Internal Revenue Service-Criminal Investigation (IRS-CI) Chief Richard Weber.
Joshua Wayne Lankford, 39, of Dallas, was sentenced by U.S. District Judge James H. Payne in the Northern District of Oklahoma to serve 84 months in prison. In addition to his prison term, Lankford was ordered to forfeit $250,000. Proceeds from forfeited assets will be used to partially restitute victims.
On December 10, 2012, Lankford pleaded guilty to one count of money laundering.
“Mr. Lankford and his co-conspirators took advantage of innocent investors to the tune of millions of dollars, pumping and dumping penny stocks without regard to anything but their wallets,” said Acting Assistant Attorney General Raman. “As this case shows, stockbrokers and other professionals will be punished if they break the law. Lankford now faces substantial time in prison for his manipulation scheme.”
“The U.S. Attorney’s Office and the Department of Justice are committed to identifying and prosecuting criminals who defraud investors and steal their savings,” said U.S. Attorney Williams. “Pump-and-dump schemes like these have a devastating financial impact on the victims and undermine public confidence in our nation’s financial system.”
According to court documents and evidence presented at the 2010 trial, Lankford and his co-defendants manipulated the stocks of three companies: Deep Rock Oil & Gas Inc. and Global Beverage Solutions Inc., formerly known as Pacific Peak Investments, both of Tulsa, Oklahoma; and National Storm Management Group Inc. of Glen Ellyn, Illinois. The defendants devised and engaged in a scheme to defraud investors known as a “pump-and-dump,” in which they manipulated publicly traded penny stocks. A penny stock is a common stock that trades for less than $5 per share in the over the counter market, rather than on national exchanges. Lankford and his co-defendants executed the scheme by obtaining a majority of the free-trading shares of stock of the company they intended to manipulate, using fraudulent and deceptive means to acquire the stock and/or remove the trading restrictions on the shares they obtained.
“Stock manipulation and securities fraud are high investigative priorities of the FBI,” said FBI Special Agent in Charge Finch. “This case is the result of a lengthy investigation which involved outstanding cooperation between the FBI, IRS Criminal Investigations, and the SEC. The FBI will continue to work with our law enforcement partners to protect investors and bring those who commit these types of fraud to justice.”
“Using fraud and deception to jeopardize the financial markets and launder funds are not victimless crimes,” said IRS-CI Chief Weber. “Mr. Lankford and his co-defendants thought they latched onto a clever scheme to reap a vast wealth of illegal profits. Today, justice has been served. IRS-CI works in close alliance with our law enforcement partners, and together we will hold those who engage in similar conduct accountable.”
According to court records, Lankford and other conspirators “parked” their shares with various nominees, such as friends, relatives or other entities that they owned and controlled. Subsequently, they engaged in coordinated trading in order to create the appearance of an emerging market for these stocks, after which they conducted massive promotional campaigns in which unsolicited fax and e-mail “blasts” were sent to millions of recipients. According to evidence presented at the 2010 trial, these blasts touted the respective stocks without accurately disclosing who was paying for the promotions, omitted that the defendants intended to sell their shares, and induced unsuspecting legitimate investors to purchase stock in the companies. The defendants and their nominees obtained significant profits by selling large amounts of shares after they had artificially inflated the stock price. For each of the three manipulated stocks, the conspirators’ sell-off caused declines of the stock price and left legitimate investors holding stock of significantly reduced value.
According to Lankford’s guilty plea, he laundered $250,000 in proceeds derived from the stock manipulation scheme.
Evidence presented in the 2010 trial showed that the overall scheme resulted in illegal proceeds of more than $43 million from more than 17,000 investor victims.
Lankford was originally charged in a 24-count indictment unsealed on February 10, 2009, against five defendants. Prior to trial, Lankford fled to Costa Rica, where he remained until he was extradited to the United States in May 2012. James Reskin, 54, of Louisville, Kentucky, was sentenced today to serve five years of probation for his role in the scheme. Co-defendants George David Gordon and Richard Clark, were convicted by a federal jury in May 2010 for their roles in the scheme. Gordon was sentenced to serve 188 months in prison, and Clark was sentenced to serve 151 months in prison. The fifth defendant, Dean Sheptycki, remains a fugitive.
The case is being prosecuted by Trial Attorneys Andrew Warren and Kevin Muhlendorf of the Criminal Division’s Fraud Section and Assistant U.S. Attorney Catherine Depew for the Northern District of Oklahoma. The case is being investigated by IRS-CI and the FBI. The department wishes to thank the Securities and Exchange Commission, which referred the matter for prosecution. The department also wishes to thank the Criminal Division’s Office of International Affairs, the U.S. Department of State and the U.S. Marshals Service for their work in securing Lankford’s extradition.
This case is part of efforts underway by President Obama’s Financial Fraud Enforcement Task Force (FFETF) which was created in November 2009 to wage an aggressive, coordinated, and proactive effort to investigate and prosecute financial crimes. With more than 20 federal agencies, 94 U.S. attorneys’ offices, and state and local partners, it’s the broadest coalition of law enforcement, investigatory, and regulatory agencies ever assembled to combat fraud. Since its formation, the task force has made great strides in facilitating increased investigation and prosecution of financial crimes; enhancing coordination and cooperation among federal, state, and local authorities; addressing discrimination in the lending and financial markets; and conducting outreach to the public, victims, financial institutions, and other organizations. Over the past three fiscal years, the Justice Department has filed more than 10,000 financial fraud cases against nearly 15,000 defendants including more than 2,900 mortgage fraud defendants. For more information on the task force, visit www.stopfraud.gov.

Robbery of Bank of Oklahoma Branch in Oklahoma City

James E. Finch, Special Agent in Charge of the Oklahoma City Division of the FBI, announces the robbery of the Bank of Oklahoma (inside Buy for Less), 2701 S.W. 29th Street, Oklahoma City, Oklahoma.
At approximately 1:36 p.m., a black male entered the Buy for Less and approached the teller counter at the bank. The subject gave the teller a note stating he had a gun and demanding money. The teller complied with the demand and gave the subject an undisclosed amount of money. The subject departed the Buy for Less and was last seen on foot heading south. No one was injured in today’s robbery.
The subject is described as a black male in his late 30s, 6’-6’2” tall with a slim build, wearing glasses, a gray long-sleeve shirt with button-down collar, blue jeans, and a maroon baseball cap with an unknown white insignia. Photos of the suspect are below.

This bank robbery is being investigated by the FBI and the Oklahoma City Police Department. Anyone with information is requested to call the FBI at (405) 290-7770 (24-hour number). Callers may remain anonymous. The Oklahoma Banker’s Association offers a reward of up to $2,000 for information leading to the identification, arrest, and/or conviction of anyone robbing a member bank.

Suspect Arrested in Robbery of Bank of Oklahoma in Southwest Oklahoma City

Special Agent in Charge James E. Finch of the Oklahoma City Division of the Federal Bureau of Investigation (FBI) announced the arrest of Christy Demelvin Webb, a black male, age 44, of Oklahoma City, Oklahoma, for the robbery of the Bank of Oklahoma in Southwest Oklahoma City last week.
On May 17, 2013, Webb was charged by federal complaint in U.S. District Court, Western District of Oklahoma, with the robbery of the Bank of Oklahoma, 2701 S.W. 29th Street, Oklahoma City, Oklahoma, on May 16, 2013, and a federal arrest warrant was issued. At approximately 11:30 a.m. today, FBI agents and officers of the District 23 District Attorney’s Task Force located Webb at the La Quinta Hotel near I-40 and Harrison in Shawnee, Oklahoma. Webb was arrested without incident.
Webb is also believed to be responsible for the robbery of the Bank of Oklahoma, 7701 S. Western, Oklahoma City, Oklahoma, on May 17, 2013, and the OU Federal Credit Union, 2000 W. Lindsey, Norman, Oklahoma, on May 20, 2013.
This investigation was conducted by the Oklahoma City Police Department, Norman Police Department, and the FBI. The FBI would also like to thank the District 23 District Attorney’s Task Force for their assistance in today’s arrest.
The public is reminded a charge is merely an accusation, and the defendant is presumed innocent until proven guilty.

U.S. Attorney Alerts Public to Beware of Disaster Fraud in Aftermath of Recent Tornadoes

WASHINGTON—U.S. Attorney for the Western District of Oklahoma Sanford C. Coats urged Oklahoma residents and businesses today to be aware of the potential for fraud in the aftermath of the recent devastating tornados. The U.S. Attorney’s Office, along with the Department of Justice, the FBI, and the National Center for Disaster Fraud (NCDF), wants to remind the public that anyone can report fraud involving disaster relief operations through the National Disaster Fraud Hotline, toll-free, at (866) 720-5721 or the Disaster Fraud e-mail at disaster@leo.gov. The telephone line is staffed by a live operator 24 hours a day, seven days a week.
“I urge everyone to exercise caution and due diligence before giving to anyone soliciting donations on behalf of tornado victims,” said U.S. Attorney Coats. “Regrettably, there are people out there that will take advantage of this tragedy and your generosity for their own profit. Scams come in all forms—such as e-mail, phone calls, or mail solicitations. Be vigilant and cautious to whom you are giving your personal information, and if it’s not a well-known, reputable charity, please do some research before making a contribution.”
Before making a donation of any kind, consumers should adhere to certain guidelines, including the following:

• Do not respond to any unsolicited (spam) incoming e-mails, including clicking links contained within those messages, because they may contain computer viruses.
• Be skeptical of individuals representing themselves as surviving victims or officials asking for donations via e-mail or social networking sites.
• Beware of organizations with copycat names similar to but not exactly the same as those of reputable charities.
• Rather than following a purported link to a website, verify the existence and legitimacy of non-profit organizations by utilizing various Internet-based resources.
• Be cautious of e-mails that claim to show pictures of the disaster areas in attached files, because the files may contain viruses. Only open attachments from known senders.
• To ensure that contributions are received and used for intended purposes, make donations directly to known organizations rather than relying on others to make the donation on your behalf.
• Do not be pressured into making contributions; reputable charities do not use coercive tactics.
• Be aware with whom you are dealing when providing your personal and financial information. Do not give your personal or financial information to anyone who solicits contributions. Providing such information may compromise your identity and make you vulnerable to identity theft.
• Avoid cash donations if possible. Pay by debit or credit card or write a check directly to the charity. Do not make checks payable to individuals.
• Legitimate charities do not normally solicit donations via money transfer services.
• Most legitimate charities maintain websites ending in .org rather than .com

If you believe you have been a victim of fraud by a person or organization soliciting relief funds on behalf of tornado victims, if you discover fraudulent disaster relief claims submitted by a person or organization, or if you know about or suspect fraud involving disaster relief operations, you can report it through the National Disaster Fraud Hotline, toll-free, at (866) 720-5721 or the Disaster Fraud e-mail at disaster@leo.gov. The telephone line is staffed by a live operator 24 hours a day, seven days a week.
You can also report suspicious e-mail solicitations or fraudulent websites to the FBI’s Internet Crime Complaint Center at www.ic3.gov.
“Investigators and prosecutors are ready to respond to credible allegations of fraud and abuse,” said U.S. Attorney Coats. “If you suspect fraud, please report it.”

Former Employee of Assisted Living Center Sentenced to 37 Months in Prison for Fraud

OKLAHOMA CITY—Yesterday, James Lester Hausam, Jr., 29, of Oklahoma City, Oklahoma, was sentenced to serve 37 months in prison in connection with a scheme to steal money from a resident at a metro retirement home, announced Sanford C. Coats, United States Attorney for the Western District of Oklahoma.
In 2010, Hausam worked at an assisted-living center in Bethany, Oklahoma. There, he became friends with Monica Michelle Brown, who also worked at the center. Hausam befriended a 96-year-old resident at the center, fraudulently gained access to the resident’s bank account, and stole more than $250,000 belonging to him. Hausam used online banking to write checks to themselves from the resident’s account, forged the resident’s signature on blank checks, and purchased personal items through a PayPal account they set up in the resident’s name.
On September 11, 2012, Hausam was charged in a one-count information with conspiracy to commit mail fraud and to make and possess forged securities. The information alleged that, from January through June 2011, Hausam and Brown conspired to steal tens of thousands of dollars for their personal benefit from a bank account belonging to the assisted-living center resident, without his permission. On September 25, 2012, Hausam pled guilty to the conspiracy count. Hausam admitted that he asked the victim in 2010 for money to help with bills; the resident gave Hausam a $1,000 check and a few blank checks. Hausam later started accessing the resident’s bank account online and writing checks from that account. Hausam admitted he also forged the resident’s name on a blank check that the resident had given him. At the plea hearing, Hausam admitted that he used the funds for his personal benefit, but never told the 96-year-old resident that he and Brown were writing checks for thousands of dollars from the account.
At yesterday’s sentencing, United States District Judge Robin J. Cauthron sentenced Hausam to serve 37 months in federal prison, followed by three years of supervised release. Hausam was also ordered to pay restitution to the victim in the amount of $249,653.38. Hausam was remanded to the custody of the U.S. Marshals Service to begin service of his sentence.
The alleged conspirator, Monica Michelle Brown (a/k/a Monica Agee), 40, from Oklahoma City, was indicted by a federal grand jury on November 7, 2012, and charged with conspiracy to defraud, mail fraud, and forgery of checks. If convicted, Brown faces up to 20 years in prison and a $250,000 fine. The public is reminded that the indictment is merely an accusation and that Brown is presumed innocent unless and until proven guilty.
Brown has not been arrested and remains a fugitive. Anyone with information on her whereabouts should contact the Federal Bureau of Investigation at 405-290-7770.
These cases are the result of an investigation conducted by the Federal Bureau of Investigation and the Bethany Police Department. The cases are being prosecuted by Assistant United States Attorney Chris M. Stephens.

FBI to Support National Children’s Day

Stephen D. Anthony, Special Agent in Charge of the Federal Bureau of Investigation, Cleveland Division, announces the FBI’s continued support of National Missing Children’s Day on May 25. Anthony states, “Nothing is more serious than when a child is missing. We ask that all citizens join law enforcement in remaining vigilant in order to protect our most sacred treasure, our kids. The FBI, along with its partners, will devote all necessary resources and leave no stone unturned to recover any child that is missing.”
“When Amanda Berry, Georgina DeJesus, and Michelle Knight were found, the world celebrated. This instance gives us reason to keep hope alive and have faith that the missing can be found. Together with our law enforcement partners, we will continue to search for our missing until all investigations come to fruition,” says Chief Michael McGrath, Cleveland Division of Police.
The FBI’s Violent Crimes Task Force is one way the FBI and its law enforcement partners combat crimes against children. The FBI’s Violent Crimes Task Force is composed of law enforcement agents from the FBI, Cleveland Police Department, Cuyahoga County Sheriff’s Office, the Cuyahoga Metropolitan Housing Authority, and the Adult Parole Authority. The task force investigates missing and exploited children, child prostitution, and other significant violent crimes.
The FBI was given jurisdiction under the “Lindbergh Law” in 1932 to immediately investigate any reported mysterious disappearance or kidnapping involving a child of “tender age”—usually 12 or younger. However, the FBI goes one step further, as any child missing under the age of 18 the FBI can become involved as an assisting agency to the local police department. There does not have to be a ransom demand, and the child does not have to cross state lines or be missing for 24 hours. Research indicates that the quicker the reporting of the mysterious disappearance or abduction, the more likely the successful outcome in returning the child unharmed.
The FBI’s Violent Crimes Task Force, the Cleveland Police Department, and FBI Citizen Academy Foundation members will be handing out child identification kits on Saturday, May 25, 2013, at Westtown Shopping Center at W. 110th and Lorain, Cleveland, Ohio, from 11 a.m. to 3 p.m. The child identification kit is a proactive measure for parents to complete and keep in their possession hoping that the kit is never utilized. Kits are also available to order from the National Child ID Program or to download from Google Play on Android phones and on iPhones. Additionally, tips for keeping your children safe are listed on www.fbi.gov and www.missingkids.com.
The National Center for Missing and Exploited Children estimates that almost 800,000 children are reported missing in a one-year time period (more than 2,100 children a day). Over 200,000 of these missing children are the victims of family abductions and over 58,000 are victims of family friends or family acquaintances. An estimated 115 children were the victims of kidnappings where the child was abducted by a stranger.
Since 1997 through April 17, 2013, the AMBER alert program has been credited with the safe recovery of 642 children. Each state has an AMBER alert plan.
The FBI is fully committed to support local law enforcement partners investigating missing and endangered children.
Any questions regarding this news release can be directed to SA Vicki D Anderson at the Cleveland Office of the FBI, 216-522-1400 or Vicki.anderson@ic.fbi.gov.

Ohio Man Sentenced to Prison for Internet Extortion Scheme Targeting the University of Pittsburgh

PITTSBURGH—A resident of Loveland, Ohio has been sentenced in federal court to one year plus one day in prison, followed by two years’ supervised release on his conviction of conspiracy to commit Internet extortion, United States Attorney David J. Hickton announced today.
United States District Judge Joy Flowers Conti imposed the sentence on Alexander Waterland, 25, of 2000 Loveland-Madeira Road in Loveland, Ohio.
According to information presented to the court, on April 25, 2012, Waterland downloaded a large amount of data from the University of Pittsburgh server, which was located in the Western District of Pennsylvania. Waterland downloaded this data, which included identifying information of students and faculty, at the suggestion of Brett Hudson, who was his co-worker in Ohio and who sent him the link from where the information could be downloaded. The purpose of this download was to include it in an Internet threat that they would send to the University of Pittsburgh.
On or about April 26, 2012, using a YouTube account they had created in the name of AnonOperative13, the conspirators in Ohio created and posted a video onto YouTube claiming to be members of the hacking group Anonymous, which is a loosely connected international network of computer hackers that have increasingly become associated with international hacktivism, usually with the goal of promoting Internet freedom and freedom of speech. The video claimed that the University’s servers containing confidential student and instructor information had been compromised, that the University’s Hydrogen server had been compromised with 200 gigabytes of data stolen, and that unless the University of Pittsburgh altered their webpage domain to include an apology from the Chancellor of the University, such confidential information would be released. This video threat was received by the University of Pittsburgh staff in the Western District of Pennsylvania.
On or about April 26, 2012, an e-mail was sent by the conspirators in Ohio from an e-mail account they had created at anonoperative@gmail.com to the e-mail address at the University of Pittsburgh at webmaster@pitt.edu that contained the link to AnonOperative13’s YouTube extortionate threat.
On or about April 27, 2012, Brett Hudson set up a Twitter account in the name of AnonOperative13, which was associated with the anonoperative@gmail.com e-mail account and the AnonOperative13 YouTube account.
On or about April 28, 2012, Brett Hudson, from Ohio, posted a link to the April 26, 2012 YouTube video threat against the University of Pittsburgh by AnonOperative13 onto the Twitter account of AnonOperative13. This tweet was received by the administration of the University of Pittsburgh.
On or about May 2, 2012, the conspirators in Ohio posted a comment to the YouTube video of April 26, 2012, which was still up on YouTube. The comment, which was posted in response to numerous other comments posted by other viewers of YouTube who had seen the threat video against the University of Pittsburgh, stated, “We are not going to release this information unless Pitt admins don’t follow our very simple request. We are giving Pitt until Monday, May 6, 2012, and should remain posted for no less than 15 days. To help determine if this threat is real or not, we have posted very little and near useless information but should prove our point. We also would like to mention that we have no ties with the current bomb threats as we do not condone violence or harm to any person. This would directly violate our rules of engagement. Enjoy the information and Pitt can stop the release of information; however, the morning of Monday.” The bomb threats referenced by Hudson and Waterland in the posting were a series of high-profile bomb threats that were sent over the Internet to the University of Pittsburgh administrators from March 30 until April 21, 2012. Similar to Hudson and Waterland’s Internet demands of the administration of the University of Pittsburgh beginning five days later, the perpetrator of the bomb threats also extorted the administration of the University of Pittsburgh. As proof of their seriousness, the conspirators posted personal data they purported to have stolen from the University of Pittsburgh servers.
On May 6, the purported deadline, Hudson texted Waterland, stating, “Dude scan Pitt.edu we need something to post,” indicating the need to download more data from the University of Pittsburgh server in order to make good on their threat.
On or about May 14, 2012, the conspirators in Ohio sent an e-mail to both police@pitt.edu and webmaster@pitt.edu, received on servers in the Western District of Pennsylvania from their e-mail account at anonoperative@gmail.com, which was entitled “proof of recent breech.” The e-mail stated “do what’s best, time is of the essence, so you have seven days to have the public apology to the students released...otherwise user names and passwords are next. We are anonymous. We are legion. We are your brothers and sisters. We are the students and faculty of Pitt. We are your worst nightmare. The Internet is here. You will now expect us.” Again, the e-mail included attachments that purported to be personal information stolen from the University of Pittsburgh’s computer servers in order to prove their credibility.
Assistant United States Attorney James T. Kitchen prosecuted this case on behalf of the government.
U.S. Attorney Hickton commended the Federal Bureau of Investigation (FBI) for the investigation leading to the successful prosecution of Waterland.

Puerto Rican Man Sentenced to Life in Prison for Killing a Federal Witness

WASHINGTON—Xavier Jiménez-Benceví, aka “Xavi,” 28, faces life in prison following his conviction of murdering Delia Sánchez-Sánchez, a federal witness on a drug trafficking case, announced Acting Assistant Attorney General Mythili Raman of the Justice Department’s Criminal Division and U.S. Attorney Rosa Emilia Rodríguez-Vélez.
On April 30, 2013, Jiménez-Benceví was convicted of four counts of murder of a federal witness, possession of a firearm, attempted kidnapping, and possession of a machine gun. According to court records and evidence at trial, on June 21, 2010, Jiménez-Benceví murdered a woman he believed was about to report his drug distribution activities to federal agents. He conspired with others to lure the woman, Delia Sánchez-Sánchez, to a public location, and then he fatally shot her.
The counts of conviction on capital murder charges necessitated a separate penalty phase of the trial, which began on May 1, 2013. Today, the jury announced it was unable to reach a unanimous sentencing verdict. As a result, a sentence of life in prison will be imposed on August 6, 2013. The federal system does not have parole.
The case was investigated by the FBI and the Puerto Rico Police Department and prosecuted by Assistant U.S. Attorneys José Capó-Iriarte, Ilianys Rivera-Miranda, and Luke V. Cass and Trial Attorney James Dennis Peterson of the Capital Case Unit of the Justice Department’s Criminal Division.

Jaddiel Centeno-Cruz and Carlos Catala-Camacho Arrested in Carjacking

SAN JUAN,—On May 12, 2013, Jaddiel Centeno-Cruz and Carlos Catala-Camacho were taken into custody by the FBI. Jaddiel Centeno-Cruz and Carlos Catala-Camacho were charged with carjacking and the use of a weapon during a crime of violence.
A federal complaint states that on May 12, 2013, at approximately 10:30 p.m., E.G.N (victim) was leaving her niece’s apartment with her daughter, B.C.G. (victim #2), and a baby grandchild.
E.G.N. noticed two male individuals acting suspiciously and walking toward her. E.G.N immediately got inside her vehicle and closed the door. Soon after, the two individuals were standing next to the driver side door. One of the individuals, later identified as Jaddiel Centeno-Cruz, knocked on her window and asked E.G.N to roll it down. E.G.N saw the other individual, identified as Carlos Catala-Camacho, standing behind Centeno-Cruz and towards the left rear passenger side of the vehicle.
Centeno-Cruz furnished a nickel-plated pistol and knocked the front passenger window with it, and Catala-Camacho was holding a hammer in his hand. Centeno-Cruz yelled to E.G.N. to open the door. E.G.N. opened the door lock and Centeno-Cruz opened the door while grabbing E.G.N by her shoulder and pulling her out of the vehicle. Once outside the vehicle, Centeno-Cruz yanked a cellular phone out of E.G.N. hand and asked for money. E.G.N, fearing for her life and the safety of her daughter and grandchild, told Centeno-Cruz to take everything and leave. E.G.N started to run away from the vehicle towards her daughter. E.G.N. and her daughter ran towards the entrance of the condominium to call the police.
Centeno-Cruz and Catala-Camacho immediately got inside the vehicle and drove away of the area. While driving, Centeno-Cruz made a right turn and failed to stop at a stop sign. Catala-Camacho was riding as the front passenger. At that moment, a police vehicle from the San Juan Municipal Police Department (SJMPD) noticed the vehicle failed to make the stop and initiated a traffic stop. During the traffic stop, the SJMPD officers detained the two individuals that were inside the vehicle when they heard a female voice screaming for help. A SJMPD officer went to investigate and ran into E.G.N, who indicated she was just carjacked, providing the description of her vehicle and notifying the individuals were armed.
If convicted, the defendants face up to a maximum of 15 years’ imprisonment for taking a vehicle from a person by force and violence or by intimidation (carjacking).
This case is being prosecuted by Special Assistant United States Attorney Normary Figueroa and is being investigated by the Save Our Streets (SOS) Task Force, composed of FBI, Police of Puerto Rico, and the San Juan Municipal Police.
The public is reminded that a criminal complaint contains only charges and is not evidence of guilt. A defendant is presumed to be innocent until and unless proven guilty. The U.S. government has the burden of proving guilt beyond a reasonable doubt.

Joseph Joel Morales-Serrano Arrested, Charged with Cyberbullying

SAN JUAN—On May 17, 2013, Joseph Joel Morales-Serrano was taken into custody by the FBI. Joseph Joel Morales-Serrano was charged with cyberbullying for transmitting in interstate or foreign commerce a communication containing a threat to injure the person of another.
A federal complaint states that on May 6, 2013, at approximately 11:31 p.m., Twitter moniker “Carlito anti Bhatia@leonidapr” wrote the following to Twitter moniker “Pedro Julio Serrano”: “cuidado en la marcha que puede terminar como en Boston pendejo.” This translates into English as “watch out during the demonstration it can end like in Boston, a—hole.”
On May 17, 2013, the FBI served a search warrant at Morales-Serrano’s residence located at Ramos Antonini Housing Project, Building 82, Apartment 845, San Juan, Puerto Rico. Morales-Serrano admitted that he was the owner of the Twitter account @leonidapr and that he frequently changes his Twitter accounts and personal e-mails. Thereafter, Morlaes-Serrano admitted that he made the aforementioned threat to Julio Serrano.
If convicted, the defendant faces up to a maximum of five years’ imprisonment for cyberbullying after transmitting in interstate or foreign commerce a communication containing a threat to injure the person of another.
This case is being prosecuted by Assistant United States Attorney Luke Cass, and is being investigated by FBI.
The public is reminded that a criminal complaint contains only charges and is not evidence of guilt. A defendant is presumed to be innocent until and unless proven guilty. The U.S. government has the burden of proving guilt beyond a reasonable doubt.

Julio E. Gonzalez-Cintron and Deborah Torres-Rosario Arrested for Conspiracy to Commit Kidnapping

SAN JUAN—On May 21, 2013, the FBI executed two federal arrest warrants issued by the District of Massachusetts for Julio E. Gonzalez-Cintrón and Deborah Torres-Rosario. The two individuals were located and arrested in Parcelas Aguilita, Calle del Rio, Juana Diaz, Puerto Rico.
The superseding indictment states that on January 30, 2012, Gonzalez-Cintrón and Torres-Rosario were involved in a kidnapping in Jamaica Plain, Massachusetts. The male victim was kidnapped at gun point in Jamaica Plain, Massachusetts, and driven to Lawrence, Massachusetts, where he was duct taped and held for several days while the kidnappers negotiated with the victim’s family for the ransom demand. The victim was released after the ransom was paid. The same day the victim was recovered, two individuals were arrested. Days later, a third suspect was arrested.
If convicted, the defendants face up to any term of years or for life of imprisonment for conspiracy to commit kidnapping.
This case is being prosecuted by the United States Attorney’s Office of Massachusetts and is being investigated by the FBI, Boston Division.
The public is reminded that a superseding indictment contains only charges and is not evidence of guilt. A defendant is presumed to be innocent until and unless proven guilty. The U.S. government has the burden of proving guilt beyond a reasonable doubt.

Edgardo Bermudez-Ortiz and Pedro Colon-Lozada Arrested for Possession with the Intent to Distribute Controlled Substances, Firearms Offenses, and Aiding and Abetting a Federal Crime

SAN JUAN—On May 25, 2013, Edgardo Bermudez-Ortiz and Pedro Colon-Lozada were taken into custody by the FBI. The prompt investigation and arrest are the result of a joint effort between the United States Attorney’s Office Firearms Initiative and the Federal Bureau of Investigation (FBI). Edgardo Bermudez-Ortiz and Pedro Colon-Lozada were charged with possession with the intent to distribute controlled substances, firearms offenses, and aiding/abetting a federal crime.
A federal complaint states that on May 23, 2013, Edgardo Bermudez-Ortiz and Pedro Colon-Lozada were patronizing the El Presidente Night Club, Ponce De Leon Avenue, Building 1107, Santurce, Puerto Rico. The two were present when a shooting occurred just before 4:00 a.m. inside the establishment that resulted in the death of one victim and injury of another.
Moments after the shooting, off-duty Police of Puerto Rico (POPR) officers were driving through the adjacent area. The officers heard gunshots emanating from the area of El Presidente Night Club; they were driving along Ponce De Leon Avenue and brought their vehicle to a stop near the club’s entrance. The officers observed two men, later identified as Edgardo Bermudez-Ortiz and Pedro Colon-Lozada, acting in a suspicious manner. Bermudez-Ortiz and Colon-Lozada were observed by the officers walking briskly toward a white Jeep Compass parked adjacent to the club along Ponce De Leon Avenue.
One of the officers observed Bermudez-Ortiz open a door of the Jeep Compass, produce a black pistol from his person, and throw the pistol into the back seat compartment of the vehicle. Colon-Lozada was observed attempting to enter the Jeep Compass in the front passenger seat of the vehicle. The officers detained both Bermudez-Ortiz and Colon-Lozada until additional law enforcement arrived to assist in securing the crime scene.
After a search incident to the arrest, the following items were found within the Jeep Compass:

• One Glock pistol containing a large capacity magazine loaded with 13 rounds of .40 caliber pistol ammunition
• Three separate bricks of a white substance consistent with the appearance of one kilogram of powdered cocaine (each brick) wrapped in transparent plastic.
• U.S. currency in the amount of approximately 13,272.

If convicted, the defendants face up to a minimum of 10 years to life imprisonment.
This case is being prosecuted by Special Assistant United States Attorney Max Perez and is being investigated by the United States Attorney’s Office Firearms Initiative and the FBI.
The public is reminded that a criminal complaint contains only charges and is not evidence of guilt. A defendant is presumed to be innocent until and unless proven guilty. The U.S. government has the burden of proving guilt beyond a reasonable doubt.

Former Puerto Rico Police Officers Convicted of Extorting a Defendant for $50,000

WASHINGTON—Two former police officers with the Police of Puerto Rico were convicted of attempting to extort a commonwealth defendant and soliciting bribe payments of $50,000, announced Acting Assistant Attorney General Mythili Raman of the Justice Department’s Criminal Division and U.S. Attorney Rosa Emilia Rodríguez-Vélez of the District of Puerto Rico.
Abimael Arroyo-Cruz, 30, of Rio Grande, Puerto Rico, was convicted by a jury on charges including conspiracy to commit federal programs bribery, bribery, conspiracy to commit extortion, and attempted extortion. Josue Becerril-Ramos, 36, of Carolina, Puerto Rico, pleaded guilty to the same counts during trial.
According to court records and evidence presented at trial, Arroyo and Becerril arrested eight individuals for possession of unregistered firearms and marijuana on August 2, 2012. The officers then solicited from one individual a bribe payment of $50,000 to have his case dismissed. Beginning on September 11, 2012, both officers spoke with the individual multiple times over the telephone, discussing payment details and strategies for dismissing the individual’s case. Arroyo and Becerril collected approximately $35,000 of the $50,000 in two different payment installments.
In exchange for the bribes, Arroyo and Becerril devised a plan whereby the officers would misidentify a co-defendant in court, leading to dismissal of that defendant’s case. When asked under oath at the preliminary hearing to identify the defendant, Arroyo instead identified a co-defendant.
Unbeknownst to the officers, the individuals who dropped off the payments were cooperating with federal law enforcement.
The case was investigated by the FBI’s San Juan Field Office. The case was prosecuted by Trial Attorneys Menaka Kalaskar and Marquest J. Meeks of the Criminal Division’s Public Integrity Section and Assistant U.S. Attorney Timothy Henwood of the District of Puerto Rico.

Orangeburg Man Charged in Murder-for-Hire Scheme Targeting South Carolina Corrections Officer

United States Attorney Bill Nettles stated today that Sean Echols, age 29, of Orangeburg, South Carolina, appeared in court today for an arraignment before United States Magistrate Judge Shiva V. Hodges. Echols was charged in April 2013 in a three-count sealed indictment charging him with (1) conspiring with others to murder South Carolina Corrections Captain Robert Johnson in return for a payment of $6,000 in cash; (2) using facilities of interstate commerce in connection with the attempted murder of Captain Johnson; and (3) using and discharging a firearm in connection with a crime of violence. Mr. Nettles stated that the indictment was unsealed today before Magistrate Judge Hodges.
Mr. Nettles stated Echols faces a maximum sentence of 20-years’ imprisonment if convicted of either count one or count two of the indictment. Count three, the firearms count, carries a mandatory minimum term of 10-years’ imprisonment and a maximum term of life, which must be imposed to run consecutively to any other sentence EChols is serving.
Captain Johnson worked tirelessly to rid the Lee County Correctional Facility of contraband prior to his shooting on March 5, 2010, and, luckily, he survived that shooting. Mr. Nettles commended the efforts of the agents from the Federal Bureau of Investigation (FBI) and the State Law Enforcement Division (SLED) who have worked diligently on this investigation. The case will be prosecuted by Assistant United States Attorneys Mark C. Moore and William Witherspoon of the Columbia Office.
Mr. Nettles stated that, like all defendants, Echols is presumed innocent of the charges unless and until proven guilty.

Service of Remembrance and Hope to Commemorate 10th Anniversary of Blue Ridge Savings Bank Triple Murder in Greer

David A. Thomas, Special Agent in Charge of the FBI in South Carolina, advises May 16, 2013, will be the 10-year anniversary of the unsolved triple murder/bank robbery of the Blue Ridge Savings Bank (BRSB). Beginning at 1:00 p.m. at Greer City Park Amphitheater, there will be a service of remembrance and hope commemorating 10 years of dedication to the victims and continued commitment for justice. (In the event of inclement weather, the service will be held at the Greer First Baptist Church sanctuary at 202 West Poinsett Street in Greer, South Carolina.)
For background, on May 16, 2003, at approximately 1:30 p.m., the BRSB at 330 East Frontage Road in Greer, South Carolina, was robbed by one or more unknown subjects. After arriving on the scene, officers with the Greer Police Department discovered three deceased individuals who had succumbed to gunshot wounds. The victims were subsequently identified as BRSB employee Sylvia S. Holtzclaw (Greer, South Carolina) and two customers, James E. and Margaret Barnes (Boiling Springs, South Carolina).
Law enforcement authorities are seeking information regarding a red vehicle, possibly an Oldsmobile Alero and Chevrolet Impala, which may have been in the area at the time of the robbery. Authorities are also seeking information on the identification of an unknown individual, shown in the sketches on the related flyer, who allegedly was in the bank just prior to the crimes.
Hundreds of leads have been pursued by law enforcement in efforts to arrest those responsible. The public is urged to call their local FBI office (803) 551-4200 with any information concerning this case.
For more information on the service of remembrance, please contact

• Greenville FBI Office for Victim Assistance, (864) 232-3807
• Greer Police Department Victim Assistance, (864) 416-0095

Upstate Attorney Pleads Guilty to Making False Statements in Real Estate Scheme

COLUMBIA, SC—United States Attorney Bill Nettles stated today that Scott C. Allmon, age 38, of Easley, South Carolina, pled guilty today in federal court in Anderson to making false statements in connection with a real estate investment scheme, a violation of Title 18, United States Code, Section 1001. United States District Judge Timothy M. Cain accepted the plea and will impose sentence after he 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 Riviera Estates was a failed real estate development in the upstate of South Carolina. Rufus Revis and William Binnicker, who have already pled guilty, joined forces to put the project together. At base, Riviera Estates was a straw buyer scheme where investors would borrow the funds to construct homes in Riviera Estates and split the profits with Revis and Binnicker upon the completion and sale of the homes. According to one investor, “Rufus and William approached us, [and said] we were going to make $50,000 each. They would pay all costs, we would have no money in at all, they would just use our good credit for the loans. That’s all they needed was our good credit.”
In addition to his interest in Riveria Estates, Binnicker was the loan officer for the loans issued by Wells Fargo and Regions Bank to the investors. Many of the loan applications completed by Binnicker contained false statements including the purpose of loan. Most stated that the property would be a primary or secondary residence, but Binnicker knew that this was an investment project. Several applications also had inflated amounts of income for the borrowers. These false statements were made to induce the banks to approve the loans and to procure favorable interest rates.
During and in relation to the closings of multiple transactions, Revis signed affidavits stating that there were no contacts or side agreements affecting the property, when he knew very well that there existed a Riviera Estates Investor Agreement concerning the property. Hence, bank officials were kept in the dark about the investor agreements. The banks were also unaware that Binnicker had an interest in Riviera Estates.
Scott Allmon was the closing attorney for the loans. Allmon knowingly made false statements about deposits that were allegedly put down on the property. For example, one settlement statement indicated that the purchaser had made a $15,000 deposit when Allmon knew that no such money had changed hands.
Mr. Nettles stated the maximum penalty Allmon can receive is five years’ imprisonment, a $250,000 fine, and a special assessment fee of $100.
The case was investigated by agents of the Federal Bureau of Investigation and the United States Postal Inspection Service. Assistant United States Attorney Bill Watkins of the Greenville office handled the case.

Tenth Anniversary of Blue Ridge Savings Bank Triple Murder in Greer, South Carolina

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David A. Thomas, special agent in charge of the FBI in South Carolina, advises May 16, 2013 is the 10th anniversary of the unsolved triple murder/bank robbery at the Blue Ridge Savings Bank (BRSB) in Greer, South Carolina. Beginning at 1:00 p.m. at Greer City Park Amphitheater, there will be a service of remembrance and hope commemorating 10 years of dedication to the victims and continued commitment for justice. In the event of inclement weather, the service will be held at the Greer First Baptist Church sanctuary, 202 West Poinsett Street, Greer, South Carolina.

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For background, on May 16, 2003, at approximately 1:30 p.m., BRSB, located at 330 East Frontage Road, Greer, South Carolina, was robbed by one or more unknown subjects. After arriving on the scene, officers with the Greer Police Department discovered three deceased individuals who had succumbed to gunshot wounds. The victims were subsequently identified as BRSB employee Sylvia S. Holtzclaw, of Greer, and two customers—husband and wife James E. Barnes and Margaret Barnes, of Boiling Springs, South Carolina.
Law enforcement authorities are seeking information regarding a red vehicle, possibly an Oldsmobile Alero or Chevrolet Impala, which may have been in the area at the time of the robbery. Authorities are also seeking information on the identification of an unknown individual, shown in the sketches on the attached flyer, who allegedly was in the bank just prior to the crimes.
Hundreds of leads have been pursued by law enforcement in efforts to arrest those responsible. The public is urged to call the FBI office in Columbia at (803) 551-4200 with any information concerning this case.

Dallas Woman Sentenced to 78 Months in Federal Prison and Ordered to Pay Approximately $3.43 Million in Restitution for Embezzling from Women’s Southwest Federal Credit Union

DALLAS—Theresa Portillo, 44, of Dallas, was sentenced today by U.S. District Judge Barbara M. G. Lynn to 78 months (six and one-half years) in federal prison and ordered to pay $3,431,000 in restitution, following her guilty plea in January 2013 to a felony information charging one count of embezzlement of funds from a credit union. Portillo voluntarily agreed to forfeit nine parcels of real estate in the Dallas-Fort Worth area; a timeshare in Cabo San Lucas, Mexico; and personal property, including diamond jewelry and four luxury watches. Judge Lynn ordered that Portillo surrender to the Bureau of Prisons on July 16, 2013. Today’s announcement was made by U.S. Attorney Sarah R. Saldaña of the Northern District of Texas.
At this morning’s sentencing hearing, the former chairman of the Women’s Southwest Federal Credit Union (WSFCU) testified that Portillo’s embezzlement scheme caused the credit union to become insolvent and bankrupt. She further explained that the unique mission of the WSFCU was to provide financial assistance to low income women, and, that as a result of the scheme, the credit union failed and is no longer available to help poor women in need of financial aid.
According to documents filed in the case, from 2001 to October 2012, while employed at the WSFCU, including the time she served as its chief executive officer, Portillo used deception to fraudulently obtain at least $3,421,000 from 18 different financial institutions in connection with her sale of several certificates of deposits (CDs). She used online services to contact several financial institutions interested in purchasing CD accounts at the credit union.
When a financial institution was willing to purchase a CD, Portillo gave the financial institution wiring instructions to send the purchase funds to a JP Morgan Chase account in the name of the credit union. Portillo used this Chase account to conceal the embezzlement because she knew that credit union officials thought the account was inactive; the account was not recorded on the credit union’s general ledger; and she had sole control of the account. Portillo also concealed her theft of stolen credit union funds by opening a separate credit union account using a false and fictitious name. Portillo avoided detection of the scheme by writing checks using this fictitious name to disburse stolen credit union funds.
After the financial institutions wired funds into the Chase account, Portillo fraudulently disbursed and used these embezzled and stolen credit union funds to purchase motor vehicles; real property; and jewelry for her personal use, as well as for family and friends. She also used embezzled funds to pay credit card bills; fund many vacations throughout the U.S., Mexico, and Europe; pay family medical expenses; and remodel houses.
The case was investigated by the FBI. Assistant U.S. Attorney David Jarvis prosecuted.

Inmate Charged in Murder-for-Hire Plot Against Federal Judge

FORT WORTH, TX—Phillip Monroe Ballard, 71, has been charged with murder for hire, United States Attorney Kenneth Magidson of the Southern District of Texas announced today.
The indictment, returned just a short time ago, alleges Ballard solicited the murder for hire of a U.S. District Judge in the Northern District of Texas.
Ballard, currently in federal custody on unrelated charges in the Northern District of Texas, will remain in custody pending further criminal proceedings in this case. He is expected to appear before a U.S. Magistrate Judge in Fort Worth in the near future.
If convicted, Ballard faces up to 20 years in prison and a $250,000 fine.
The case is being investigated by the FBI. Assistant U.S. Attorneys Mark McIntyre and Craig Feazel are prosecuting the case.
An indictment is a formal accusation of criminal conduct, not evidence. A defendant is presumed innocent unless convicted through due process of law.

Brothers Plead Guilty to Armed Bank Robbery, Assault on a Federal Officer, and Related Firearms Offenses

DALLAS—This afternoon, Johnny Charles Butler, 45, appeared before U.S. District Judge Jorge A. Solis and pleaded guilty to two counts of armed bank robbery, one count of assaulting a federal officer and one count of using and carrying a firearm during and in relation to a crime of violence. His brother, James Robert Cleveland Butler, 44, pleaded guilty in February 2013 to two counts of armed bank robbery and one count of using, carrying and brandishing a firearm during and in relation to, and possession of a firearm in furtherance of a crime of violence. Both have been in custody since their arrest in August 2012 at their residence in Quinlan, Texas. Today’s announcement was made by U.S. Attorney Sarah R. Saldaña of the Northern District of Texas.
If the court accepts the terms of the plea agreements, the parties agree that the appropriate term of imprisonment is 35 years in federal prison for Johnny Charles Butler and 25 years’ imprisonment for James Robert Cleveland Butler.
According to documents filed in the case, both Johnny Butler and James Butler admitted committing the armed takeover-style robberies of Bank of America, 100 West Highway 80, Forney, Texas, on November 25, 2011 and May 18, 2012.
Johnny Butler also admits firing three shots from a .357 caliber pistol at SWAT agents while they were attempting to execute a federal search warrant at his Quinlan residence on August 2, 2012.
The investigation was conducted by the Safe Street Violent Crime Task Force of the FBI. The case is being prosecuted by Assistant U.S. Attorney Keith Robinson.

Former Bank Executive Sentenced to 37 Months in Federal Prison for Embezzling from Bank of America

LUBBOCK, TX—Donnie Wright, 53, of Lubbock, Texas, was sentenced today by U.S. District Judge Sam R. Cummings to 37 months in federal prison and ordered to pay $385,356 in restitution following his guilty plea in February 2013 to one count of bank embezzlement by a bank employee. Judge Cummings ordered that Wright surrender to the Bureau of Prisons on June 20, 2013. Today’s announcement was made by U.S. Attorney Sarah R. Saldaña of the Northern District of Texas.
According to documents filed in the case, Wright was employed by Bank of America in Lubbock as a branch manager at the 5144 82nd Street location. The factual resume states that Wright was a member of the Board of Deacons and Trustee at Community Baptist Church (CBC) in Lubbock. Beginning in May 2006 and continuing to January 24, 2010, Wright used his position as a Bank of America employee to embezzle funds owned by CBC and entrusted to the custody and care of Bank of America. He employed a variety of methods to embezzle the funds, including embezzling from CBC’s Certificates of Deposits held at the bank; making cash withdrawals from CBC’s accounts using debit (withdrawal) tickets; and fraudulently drawing checks on CBC’s checking account.
The case was investigated by the FBI and the Lubbock Police Department. Assistant U.S. Attorney Amanda R. Burch prosecuted.

Federal Grand Jury Returns Multiple Indictments in Tyler

TYLER, TX—A federal grand jury returned multiple indictments today charging individuals with separate federal crimes in the Eastern District of Texas, announced U.S. Attorney John M. Bales.
James Ray Gilliland, 40, of Kilgore, Texas, was indicted on charges of receiving and possessing child pornography. If convicted, he faces up to 40 years in federal prison. According to the indictment, on December 28, 2012, Gilliland knowingly received images containing child pornography. This case is being investigated by the Federal Bureau of Investigation and prosecuted by Assistant U.S. Attorney Gregg Marchessault.
Travis Van Ayers, 51, of Tyler, was indicted on charges of failure to register as a sex offender. If convicted, he faces up to 10 years in federal prison. This case is being investigated by the U.S. Marshals Service and prosecuted by Assistant U.S. Attorney Gregg Marchessault.
Carlos Gerardo Barroso Lopez, 35, was indicted for being a criminal alien present in the United States after having been previously deported. If convicted, he faces up to 10 years in federal prison to be followed by deportation. This case is being investigated by the HSI-ICE and prosecuted by Assistant U.S. Attorney Allen Hurst.
Roberto Rodriguez-Astorga, 35, was indicted for being a criminal alien present in the United States after having been previously deported. If convicted, he faces up to 20 years in federal prison followed by deportation. This case is being investigated by the HSI-ICE and prosecuted by Assistant U.S. Attorney Allen Hurst.
A grand jury indictment is not evidence of guilt. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.

Gregg County Lawyer Sentenced for Mail Fraud

TYLER, TX—A 55-year-old Longview, Texas lawyer has been sentenced to federal prison for mail fraud in the Eastern District of Texas, announced U.S. Attorney John M. Bales today.
Steven Rushing pleaded guilty on February 15, 2013, to mail fraud and was sentenced to 41 months in federal prison today by U.S. District Judge Michael H. Schneider. Rushing was also ordered to pay restitution in the amount of $929,076.29.
According to information presented in court, beginning in January 2007, Rushing devised a scheme to defraud insurance companies and health care providers using the United States mail to execute the scheme. Rushing’s scheme involved providing legal representation to clients injured in accidents. Rushing negotiated settlements with civil defendants or a potential civil defendant’s insurance provider. While negotiating final settlement amounts, Rushing would represent to his clients and the insurance providers that he would use a portion of the settlement proceeds to pay for some, or all, of his client’s outstanding medical bills. Once Rushing received the settlement check, he would deposit it into his account and provide his client with a “Disclosure Statement” detailing the manner in which the total settlement was to be distributed. Rushing would give a check to the client for the “client net” agreed upon amount and execute checks payable to his client’s medical providers. However, Rushing would not actually send the medical providers their checks, instead converting that portion of the settlement proceeds for his own personal use. For instance, Rushing admitted that on June 20, 2011, he sent a letter to Farmers Insurance representing that he would use funds from a proposed settlement to pay off “any and all hospital, health insurance, and/or Medicaid/Medicare liens” in order to secure a specific settlement in the amount of $6,836, when in fact, Rushing never intended to pay the liens.
This case was investigated by the Longview Police Department and the Federal Bureau of Investigation and prosecuted by Assistant U.S. Attorney Jim Noble.

Midland Man Arrested on Firearms Charges

Midland resident and land surveyor, Steven Leonard Prewit, was arrested Thursday, May 2, 2013, on a sealed criminal complaint charging Prewit with possession of unregistered firearms, announced United States Attorney Robert Pitman, Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) Dallas Field Office Special Agent in Charge Robert Champion and Federal Bureau of Investigation (FBI) Special Agent in Charge Mark Morgan.
Today, Prewit appeared before United States Magistrate Judge David Counts, in Midland, Texas, for his initial appearance, at which time, the complaint against Prewit was unsealed. The complaint alleges that Prewit was in possession of fully automatic firearms, improvised explosive devices, and silencers that did not have the serial numbers or manufacturing markings required by law. Federal law requires that firearms, silencers, and destructive devices be identified by a serial number. Federal law also requires that these items be registered with the ATF National Firearms Branch, which records the identity of the registered owner in the National Firearms Registration and Transfer Record. The complaint alleges that the fully automatic firearms, unmarked silencers, and improvised explosive devices were not registered to Prewit in the National Firearms Registration and Transfer Record, as required by law. Prewit faces a sentence of up to 10 years’ imprisonment on this charge.
He is scheduled to appear before the Honorable Judge Counts on Wednesday, May 8, 2013, for a preliminary and detention hearing. Prewit is being held without bond pending that hearing.
Assistant United States Attorneys LaTawn Warsaw and John Klassen are prosecuting this case on behalf of the Government.
A criminal complaint is merely a charge and should not be considered as evidence of guilt. The defendant is presumed innocent until proven guilty in a court of law.

FBI Seeks Suspect in Connection with Robbery of Community Bank of Texas Branch in Crosby

The FBI’s Bank Robbery Task Force needs help to identify a bank robber who remains on the run after being involved in the bank robbery and shootout at the Community Bank of Texas branch located at 14100 FM 2100, Crosby, Texas, on Tuesday, May 1, 2013.
At approximately 1:30 p.m., two armed bank robbers walked into the bank and brandished handguns. After receiving an undisclosed amount of cash, they left the bank and gunfire was exchanged with a Harris County Sheriff’s deputy who was on duty. No one was physically hurt.
Harris County Sheriff’s deputies arrested Henry Solis Giron, Jr. shortly after the robbery. Giron is charged with one count of aggravated robbery/deadly weapon via the Harris County District Attorney’s Office.
The manhunt continues for the remaining bank robber. He is described as a black male, in his mid 20s, 5’10” tall, with a medium build and facial hair. He wore a red T-shirt, black jacket, dark pants, and a tan checkered cap. Bank surveillance photographs are at the conclusion of this press release.
Crime Stoppers of Houston is offering up to $5,000 for information leading to the charging and arrest of this robber, or any felony suspect. If you have information about this crime, please call the Crime Stoppers tip line at 713-222-TIPS (8477) or the Houston office of the FBI at 713-693-5000.

Backpack Bandit Robs Compass Bank Branch in Houston

The FBI’s Bank Robbery Task Force needs help to identify an individual who robbed the Compass Bank branch located at 11890 Westheimer Road in Houston, Texas. Investigators believe the same person robbed the Compass Bank branch located at 7525 FM 1960 East in Humble, Texas, on March 30, 2013.
At approximately 12:43 p.m., a man walked into the bank and presented a note to a teller demanding money and threatened a weapon. After receiving an undisclosed amount of cash, he left the bank. No one was physically hurt.
The bank robber is described as a black male, 5’9” tall, weighing 200-220 pounds, with a dark complexion and a mustache. He wore a black baseball cap with a polo insignia and black short-sleeved polo shirt and carried a multi-color backpack. Bank surveillance photographs of both robberies are at the end of this press release.
Crime Stoppers of Houston is offering up to $5,000 for information leading to the charging and arrest of this robber, or any felony suspect. If you have information about this crime, please call the Crime Stoppers Tip Line at 713-222-TIPS (8477) or the Houston Field Office of the FBI at 713-693-5000.
May 7, 2013 robbery of Compass Bank, 11890 Westheimer Road, Houston, Texas:

   

March 30, 2013 robbery of Compass Bank, 7525 FM 1960 East, Humble, Texas:

   

Robbery of Wells Fargo Bank Branch in Houston

The FBI’s Bank Robbery Task Force needs help to identify an individual who robbed the Wells Fargo Bank branch located at 10225 Almeda Genoa Road in Houston, Texas, on May 7, 2013.
At approximately 3:40 p.m., a man walked into the bank and passed a note to a teller demanding money. After receiving an undisclosed amount of cash, he left the bank. No one was physically hurt.
The bank robber is described as a white male, 5’10”-5’11” tall, in his late 30s to early 40s, 250 pounds, and heavy set. He wore a blue baseball cap, blue jacket, and blue denim jeans. Bank surveillance photographs are at the conclusion of this press release.
Crime Stoppers of Houston is offering up to $5,000 for information leading to the charging and arrest of this robber, or any felony suspect. If you have information about this crime, please call the Crime Stoppers Tip Line at 713-222-TIPS (8477) or the Houston Field Office of the FBI at 713-693-5000.

Former Nigerian Fugitive Heads to Prison in Multi-Million-Dollar Fraud Scheme

HOUSTON—Godwin Chiedo Nzeocha, 56, a naturalized United States citizen originally from the Federal Republic of Nigeria, has been sentenced to 109 months in federal prison for his role in the multi-million-dollar City Nursing health care fraud scheme, United States Attorney Kenneth Magidson announced today.
Nzeocha entered a guilty plea on October 19, 2012, to one count of conspiracy to commit health care fraud and one count of money laundering. Nzeocha is the eighth person to be convicted in the $45 million Medicare and Medicaid health care fraud conspiracy.
Today, U.S. District Judge Melinda Harmon, who accepted the guilty plea, handed Nzeocha the more than nine-year sentence after giving him credit for 12 months in custody in the Federal Republic of Nigeria. Judge Harmon cited the huge financial loss to the Medicare program as a significant factor in her sentencing decision, along with the use of mass-marketing and the defendant’s role as a manager and supervisor at the fraudulent physical therapy clinic. Nzeocha was further ordered to pay more than $26 million in restitution to Medicare and Medicaid, jointly and severally with his convicted co-conspirators. As part of his October plea, Nzeocha agreed to forfeit $1,098,320 given to him by the owner of City Nursing to the United States.
According to the plea agreement, Nzeocha left the United States in 2009 to avoid arrest after receiving a telephone call from a City Nursing co-conspirator the day Umawa Imo, owner of City Nursing Services of Texas Inc., was arrested. Nzeocha admitted he had an agreement with Imo to sign his name on City Nursing patient documents as the provider of physical therapy services that he knew he was not qualified nor did provide to Medicare beneficiaries. The documents included blank treatment data forms, progress notes, and daily physical therapy records. Nzeocha further admitted to knowing Imo was buying Medicare beneficiary information from recruiters and paying Medicare beneficiaries cash in order to bill for physical therapy services that were not provided. Nzeocha received approximately $1,098,320 from City Nursing.
Between December 3, 2007 and June 26, 2009, when Nzeocha worked at City Nursing, the company billed Medicare and Medicaid for approximately $35,819,508 worth of physical therapy services that were not provided and received approximately $26,233,122 as payment for those services from Medicare and Medicaid.
Nzeocha is the eighth person to be convicted in relation to the City Nursing health care fraud scheme, including Imo, who was sentenced to 327 months in federal prison.
Nzeocha will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
This case has been investigated by the FBI, Internal Revenue Service-Criminal Investigation, the Department of Health and Human Services-Office of Inspector General, and the Texas Attorney General’s Office-Medicare Fraud Control Unit. Assistant United States Attorney Julie Redlinger is prosecuting the case.

Reputed Aryan Brotherhood of Texas Gang Leader Pleads Guilty to Federal Racketeering Charges

WASHINGTON—An alleged general of the Aryan Brotherhood of Texas gang (ABT) pleaded guilty today to racketeering charges related to his membership in the ABT’s criminal enterprise, announced Acting Assistant Attorney General Mythili Raman of the Justice Department’s Criminal Division and U.S. Attorney Kenneth Magidson of the Southern District of Texas.
Charles Lee Roberts, aka “Jive,” 67, of Beaumont, Texas, pleaded guilty before U.S. District Judge Sim Lake in the Southern District of Texas to one count of conspiracy to participate in racketeering activity.
According to court documents, Roberts and other ABT gang members and associates agreed to commit multiple acts of murder, robbery, arson, kidnapping, and narcotics trafficking on behalf of the ABT gang. Roberts and numerous ABT gang members met on a regular basis at various locations throughout Texas to report on gang-related business, collect dues, commit disciplinary assaults against fellow gang members, and discuss acts of violence against rival gang members, among other things.
By pleading guilty to racketeering charges, Roberts admitted to being a member of the ABT criminal enterprise.
According to the superseding indictment, the ABT was established in the early 1980s within the Texas prison system. The gang modeled itself after and adopted many of the precepts and writings of the Aryan Brotherhood, a California-based prison gang that was formed in the California prison system during the 1960s. According to the superseding indictment, previously, the ABT was primarily concerned with the protection of white inmates and white supremacy/separatism. Over time, the ABT expanded its criminal enterprise to include illegal activities for profit.
Court documents allege that the ABT enforced its rules and promoted discipline among its members, prospects, and associates through murder, attempted murder, conspiracy to murder, arson, assault, robbery, and threats against those who violate the rules or pose a threat to the enterprise. Members, and oftentimes associates, were required to follow the orders of higher-ranking members, often referred to as “direct orders.”
According to the superseding indictment, in order to be considered for ABT membership, a person must be sponsored by another gang member. Once sponsored, a prospective member must serve an unspecified term, during which he is referred to as a prospect, while his conduct is observed by the members of the ABT.
At sentencing, scheduled for September 26, 2013, Roberts faces a maximum penalty of life in prison.
Roberts is one of 35 defendants charged with conducting racketeering activity through the ABT criminal enterprise, among other charges. Ben Christian Dillon, 40, of Houston; James Marshall Meldrum, 40, of Dallas; Chad Ray Folmsbee, 30, of Houston; and Chrisopher Morris, 37, of Dallas, each previously pleaded guilty to racketeering conspiracy for their roles in the criminal enterprise.
This case is being investigated by a multi-agency task force consisting of the Bureau of Alcohol, Tobacco, Firearms, and Explosives; the Drug Enforcement Administration; FBI; U.S. Marshals Service; Federal Bureau of Prisons; U.S. Immigration and Customs Enforcement Homeland Security Investigations; Texas Rangers; Texas Department of Public Safety; Montgomery County, Texas Sheriff’s Office; Houston Police Department-Gang Division; Texas Department of Criminal Justice-Office of Inspector General; Harris County, Texas Sheriff’s Office; Atascosa County, Texas Sheriff’s Office; Orange County, Texas Sheriff’s Office; Waller County, Texas Sheriff’s Office; Alvin, Texas Police Department; Carrollton, Texas Police Department; Mesquite, Texas Police Department; Montgomery County District Attorney’s Office; and the Atascosa County District Attorney’s Office.
The case is being prosecuted by the Criminal Division’s Organized Crime and Gang Section and the U.S. Attorney’s Office of the Southern District of Texas.