Month: September 2022

Source: United States Department of Justice News

Assistant U. S. Attorney Oleksandra “Sasha” Johnson (619) 546-9769

NEWS RELEASE SUMMARY – August 31, 2022

SAN DIEGO – Timothy Ingram of North Hollywood, California, and Joaquin Lopez of Hollywood, Florida, were sentenced in federal court today to significant prison terms – nine years and two years in prison, respectively – for their roles in a large-scale criminal enterprise that engaged in extortion and fraud to swindle about $2 million from more than 70 elderly victims across the nation.  Ten elderly victims who resided in San Diego County lost over $300,000 to the fraud. 

From November 1, 2019, until October 14, 2020, the members of the criminal enterprise targeted elderly Americans, contacting them by phone and feeding them phony stories that their grandchildren were in legal trouble and needed money to cover bail, pay medical expenses for car accident victims, or prevent additional charges from being filed. Members of the conspiracy and their associates obtained money from victims through in-person cash pick-ups, mail or commercial carriers, or wire transfers.  Conspirators laundered the proceeds by transferring the funds or converting from fiat currency to cryptocurrency.

According to court documents, Timothy Ingram’s participation in the conspiracy was lengthy and substantial. For nearly a year, he ran a network of money mules who conducted cash pick-ups and received wire transfers from victims who believed they were sending money to help a grandchild or other close relative or friend.  Ingram provided the mules with details about the victims, including addresses and names.  He coordinated cash pick-ups by his mule network through encrypted messages, instructing the mules on when to approach the victims’ doors, what fake name and occupation to tell the victims, and where to deliver the cash proceeds.

Ingram organized the criminal activity of at least five other participants in California, including co-defendants Anajah Gifford and Jack Owuor.  Although most of Ingram’s activity occurred in California, at times, he directed mules to travel out of state to execute the same scheme elsewhere.  He also recruited mules to receive wire transfers of victim funds into their bank accounts and provided extensive instruction and supervision over how to withdraw the funds to avoid getting caught.  On at least one occasion, Ingram conducted a cash pick-up himself, collecting $42,000 in person from a 76-year-old victim in Burbank, California.  In addition to being sentenced to serve 108 months in custody, Ingram was ordered to forfeit $124,700 in proceeds that he personally received from the offense, and to pay $1,932,507.93 to the victims in restitution. Three California victims spoke at the sentencing hearing.

U.S. District Judge Cathy Ann Bencivengo described the scheme as long term, sophisticated, and one of the most evil manipulations she has ever encountered in her 17 years on the bench. The judge commented that the defendant stole not only the financial security of the victims but exploited their fear and trust.

As part of his plea agreement, defendant Joaquin Lopez admitted that he used bank accounts under his control to funnel victim proceeds for co-defendant Tracy Knowles. Lopez, a resident of Florida, was involved in the scheme from February 2020 until October 2020.  His participation in the conspiracy was crucial:  In exchange for a 20 percent cut, Lopez made bank accounts available to other scheme participants to receive wire transfers from victims and to disperse those proceeds.  As part of his sentence, Lopez was ordered to forfeit $62,700 in proceeds he personally received from the offense.  In sentencing Lopez, the judge said that one cannot go through life blindly laundering money for criminals without having consequences.

This case was investigated by the San Diego Elder Justice Task Force, which is a collaboration between the U.S. Attorney’s Office, the FBI, the District Attorney’s Office and all San Diego County law enforcement agencies. The Elder Justice Task Force was established in February 2021 and is believed to be the first comprehensive law enforcement effort for this purpose anywhere in the country. The case was prosecuted by the U.S. Attorney’s Office and the Department of Justice’s Consumer Protection Branch.

“These defendants were crucial members of a sophisticated criminal organization that shamelessly exploited the grandparents’ love for their grandchildren,” said U.S. Attorney Randy Grossman.  “The long-lasting effects of this crime on our seniors and the community cannot be overstated.  The victims were financially and emotionally devastated by callous people who thought only of enriching themselves. With the convictions and sentences imposed today, the government is securing justice for the victims who fell prey to this heartless crime.” Grossman thanked the prosecution team and investigators for their excellent work on this case.

“Today’s sentencing of two key members of the criminal enterprise targeting our elderly population is a testament to the San Diego Elder Justice Task Force’s continued commitment to bringing fraudsters to justice,” said Special Agent in Charge Stacey Moy of the FBI’s San Diego Field Office. “It is the FBI’s mission to protect the American people and protecting our seniors from financial crimes is imperative to the well-being and safeguarding of our communities. The FBI, along with our law enforcement partners, will not stop until all the defendants are held accountable for their involvement in this complex organized crime.”

As of today, six of the eight defendants charged in the case have pleaded guilty. Two defendants are fugitives and remain at large.

DEFENDANTS                                             Case Number 22cr2216-CAB                                       

Tracy Adrine Knowles                                   30        Orlando, Florida

Fugitive                                                        

Adonis Alexis Butler Wong                           30        Northbay Village, Florida

Fugitive

Timothy Ingram, aka Bleezy                          30        North Hollywood, California

Sentenced today to 108 months in prison                                                                                               

Anajah Gifford                                                24        North Hollywood, California

In custody.  Sentencing set for November 17, 2022

Lyda Harris                                                     74        Laveen, Arizona

Released on bond. Sentencing set for November 17, 2022

Joaquin Lopez                                                 46        Hollywood, Florida

Sentenced today to 24 months in prison

Jack Owuor                                                     25        Paramount, California                                           

Sentenced on August 17, 2022 to 46 months in prison

Tracy Glinton                                                 35        Orlando, Florida

Released on bond. Sentencing set for November 17, 2022

SUMMARY OF CHARGES

Title 18, U.S.C., Sec. 1962(d) – Conspiracy to Conduct or Participate in an Enterprise

Through a Pattern of Racketeering Activity

Maximum penalty: Twenty years in prison and a fine of not more than the greater of twice the amount of gain or loss associated with the offense or $250,000

AGENCY

Department of Justice’s Consumer Protection Branch

San Diego Elder Justice Task Force, which includes:

San Diego FBI

San Diego County District Attorney’s Office

San Diego Police Department

San Diego Sheriff’s Department

Carlsbad Police Department

Oceanside Police Department

Escondido Police Department

Chula Vista Police Department

El Cajon Police Department

La Mesa Police Department

National City Police Department

Coronado Police Department

Source: United States Department of Justice News

Jackson, Miss. – A Pearl woman was found guilty by a federal jury on Wednesday, August 24, 2022, of conspiring to falsify business and income records with the intent to obstruct a federal investigation, announced U.S. Attorney Darren LaMarca and Special Agent in Charge Brad Byerley of the Drug Enforcement Administration.

According to court documents, in December of 2017, Esther Bennett, 49, and co-defendant, Kristy Dier, were intercepted on communications discussing ways to legitimize drug proceeds seized by law enforcement from Kristy Dier.  Bennett constructed a false ledger, claiming the seized money was from hair care services that were never provided.  After Bennett prepared the ledger, she provided it to Dier, who in turn filed the ledger, along with a Petition to Contest Forfeiture, with the Hinds County Clerk’s office in an attempt to recover the funds.    

Bennett will be sentenced on November 29, 2022.  She faces a maximum penalty of five years in prison.  A federal district judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.

The case is the result of an extensive investigation, dubbed “Drama Queen,” which began as an operation targeting illegal drug trafficking in the central Mississippi area. “Drama Queen” 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.

The case was investigated by the Drug Enforcement Administration, Hinds County Sheriff’s Department, and the Richland Police Department.  It was prosecuted by Assistant United States Attorneys Keesha Middleton and Glenda Haynes.

Source: United States Department of Justice

Two defendants were sentenced today to substantial prison time for their participation in a large-scale “grandparent scam.”

According to court documents, Timothy Ingram aka “Bleezy,” 30, of North Hollywood, California; and Joaquin Lopez, 46, of Hollywood, Florida, were part of a network of individuals who, through extortion and fraud, induced elderly Americans across the United States to pay up to tens of thousands of dollars each to purportedly help their grandchild or other loved one. In spring 2022, Ingram and Lopez each pleaded guilty to one count of conspiracy under the Racketeer Influenced and Corrupt Organizations (RICO) Act. Today, the court sentenced Ingram to 108 months in prison and Lopez to 24 months in prison.  

Members of the network contacted elderly Americans by telephone and impersonated a grandchild, other close relative or friend of the victim. They falsely convinced the victims that their relatives or friends were in legal trouble and needed money to pay for bail, for medical expenses for car accident victims, or to prevent additional charges from being filed. The defendants and their co-conspirators then received money from victims via various means, including in-person pickup, the mail, and wire transfer, and then laundered the proceeds, including through the use of cryptocurrency. Ingram, personally and through others, directed a network of money mules in California. Ingram personally picked up cash from victims and recruited others to participate in the scheme. Lopez also received wire transfers from numerous victims and funneled victim proceeds for co-defendant Tracy Knowles, who remains at large.

“The Department of Justice’s Consumer Protection Branch will continue to investigate and prosecute criminals who target elderly Americans and take advantage of their concern for loved ones,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “We are grateful to our partners at the U.S. Attorney’s Office for the Southern District of California and the FBI for their work to advance the department’s efforts against organized elder fraud, and to the San Diego County District Attorney’s Office.”

“These defendants were crucial members of a sophisticated criminal organization that shamelessly exploited the grandparents’ love for their grandchildren,” said U.S. Attorney Randy Grossman for the Southern District of California. “The long-lasting effects of this crime on our seniors and the community cannot be overstated.  The victims were financially and emotionally devastated by callous people who thought only of enriching themselves. With the convictions and sentences imposed today, the government is securing justice for the victims who fell prey to this heartless crime.”

“Today’s sentencing of two key members of the criminal enterprise targeting our elderly population is a testament to the San Diego Elder Justice Task Force’s continued commitment to bringing fraudsters to justice,” said Special Agent in Charge Stacey Moy of the FBI San Diego Field Office. “It is the FBI’s mission to protect the American people and protecting our seniors from financial crimes is imperative to the well-being and safeguarding of our communities. The FBI, along with our law enforcement partners, will not stop until all the defendants are held accountable for their involvement in this complex organized crime.”

The FBI San Diego Field Office and the North County Resident Agency investigated the case with critical assistance from investigators of the San Diego County District Attorney’s Office.

Trial Attorneys Lauren M. Elfner and Wei Xiang of the Justice Department’s Consumer Protection Branch and Assistant U.S. Attorney Oleksandra Johnson for the Southern District of California prosecuted the case.

The department’s extensive and broad-based efforts to combat elder fraud seeks to halt the widespread losses seniors suffer from fraud schemes. The best method for prevention, however, is by sharing information about the various types of elder fraud schemes with relatives, friends, neighbors and other seniors who can use that information to protect themselves.

If you or someone you know is age 60 or older and has been a victim of financial fraud, help is available at the National Elder Fraud Hotline: 1-833-FRAUD-11 (1-833-372-8311). This Department of Justice hotline, managed by the Office for Victims of Crime, is staffed by experienced professionals who provide personalized support to callers by assessing the needs of the victim and identifying relevant next steps. Case managers will identify appropriate reporting agencies, provide information to callers to assist them in reporting, connect callers directly with appropriate agencies, and provide resources and referrals, on a case-by-case basis. Reporting is the first step. Reporting can help authorities identify those who commit fraud and reporting certain financial losses due to fraud as soon as possible can increase the likelihood of recovering losses. The hotline is staffed seven days a week from 6:00 a.m. to 11:00 p.m. ET. English, Spanish and other languages are available.

Additional information about the Consumer Protection Branch and its enforcement efforts may be found at www.justice.gov/civil/consumer-protection-branch. Information about the Department of Justice’s Elder Fraud Initiative is available at www.justice.gov/elderjustice.

Source: United States Department of Justice

Christopher Osborne, 26, a former firefighter and police officer, was sentenced today in federal court in Charleston, West Virginia, to 14 years in prison, five years of supervised release, and registration as a sex offender under the federal Sex Offender Registration and Notification Act. Osborne previously pleaded guilty to violating the civil rights of a minor victim by forcibly raping her in a bunk room at the Danville Fire Department in Danville, West Virginia. 

According to court documents, Osborne previously admitted that on or about Jan. 19, 2021, while he was an officer with the Marmet Police Department in Marmet, West Virginia, and a firefighter with both the Charleston Fire Department in Charleston, West Virginia, and the Danville Volunteer Fire Department, he used his position, authority, and status as a firefighter to forcibly sexually assault the victim. Specifically, Osborne admitted that the victim told him that she did not want to have sex, but he held her down and sexually assaulted her anyway, causing her pain and injury.

“This result is a testament to the courage of the victim who came forward to tell her story,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “The Department of Justice will continue to seek justice for such victims, and to hold accountable perpetrators who abuse their authority to target the vulnerable.”

“The significant sentence imposed illustrates our strong commitment to prosecuting individuals who use their official authority to commit violent sexual assaults against minors,” said First Assistant U.S. Attorney Lisa G. Johnston for the Southern District of West Virginia. “Osborne’s unlawful conduct constitutes a clear deprivation of the minor’s civil rights. I commend the minor victim for the courage and strength she has demonstrated throughout this case. I thank the FBI, the West Virginia State Police and the West Virginia State Fire Marshal’s Office for their outstanding efforts.”

“Mr. Osborne’s actions were inexcusable and appalling,” said Special Agent in Charge Mike Nordwall of the FBI Pittsburgh Field Division. “The FBI will not stand by when people in positions of trust violate their oath and victimize innocent young children. Mr. Osborne abused his power and today’s sentence sends the message that we will continue to work to hold accountable public servants who fail the citizens of their community.”

The FBI Pittsburgh Field Division and its Charleston resident agency investigated this case with the support of the West Virginia State Police and the West Virginia Office of the State Fire Marshal. Trial Attorney Kathryn E. Gilbert of the Justice Department’s Civil Rights Division and Assistant U.S Attorneys Jennifer Herrald and Julie White for the Southern District of West Virginia prosecuted the case.

Source: United States Department of Justice News

Hattiesburg, Miss. – A Texas man was sentenced to 70 months in federal prison for conspiracy to possess with intent to distribute methamphetamine, announced U.S. Attorney Darren LaMarca and Special Agent in Charge Brad Byerley of the Drug Enforcement Administration.   

According to court documents, in July of 2021, Mark Anthony Arellano, 40, of Falfurrias, Texas, conspired with another individual to distribute 5 kilograms of methamphetamine to a confidential source in Hattiesburg, Mississippi.  The investigation revealed that Arellano had also been involved in smuggling drugs in the Corpus Christi, Texas area.  Arellano was indicted by a federal grand jury and pled guilty on May 18, 2022.

In addition to the prison sentence, Arellano was ordered to pay a $3,000 fine.

The case is the result of an extensive investigation, dubbed “Don’t Tell On Me Bro,” which began as an operation targeting illegal drug trafficking in the Hattiesburg, Mississippi area. “Don’t Tell On Me Bro” 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.

The case was investigated by the Drug Enforcement Administration, Lamar County Sheriff’s Office, the Mississippi Bureau of Narcotics, Hattiesburg Police Department, Forrest County Sheriff’s, and Columbia Police Department.  It was prosecuted by Assistant United States Attorney Keesha Middleton.