Month: November 2022

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Virginia man pleads guilty to defrauding the United States

Source: United States Department of Justice News

ALBUQUERQUE, N.M. – Alexander M.M. Uballez, United States Attorney for the District of New Mexico, announced that Jerry Shrock, 47, of Meadowview, Virginia, pleaded guilty on Nov. 28 to conspiracy to defraud the United States. Shrock will remain on conditions of release pending sentencing, which has not been scheduled.

According to court records, beginning in January 2005, David Wellington, 62, of Albuquerque, and his business partner Stacy Underwood, 51, of Albuquerque, operated National Business Services, which promoted, sold and created Limited Liability Companies (LLCs) under New Mexico State Law. For many clients, National Business Services would open bank accounts under the names and IRS employer identification numbers (EINs) of the LLCs, and the clients – whose names were not associated with the bank accounts – would have access to the funds in those accounts. Clients received debit cards, online bank access information and pre-signed checks with Underwood’s signature, which clients could use to access the money despite the bank never associating the client with the account.

In his plea agreement, Shrock admitted that he contacted National Business Services in 2006 for help avoiding federal taxes by incorporating a business in New Mexico. Shrock spoke with Underwood and Wellington, and became a client of National Business Services.

Wellington and Underwood created three LLCs in New Mexico for Shrock: White Top Enterprise LLC; Poultry Enterprises LLC; and TALC Properties LLC. Shrock was not listed on the Articles of Organization. Instead, Underwood was listed as the “Organizer,” and National Business Services was the initial registered agent for each of the three LLCs.

On May 9, 2011, Underwood opened a bank account in the business name of White Top Enterprise, LLC, utilizing the company EIN. Shrock’s name was not on the signature card for the account. Underwood provided Shrock with online access to the bank account and a book of pre-signed checks with her signature. Between May 9, 2011, and June 30, 2015, Shrock caused approximately $4,875,940 to be deposited into the White Top Enterprise LLC bank account, and over the same time period, Shrock and his wife withdrew or caused the withdrawal of approximately $4,875,940. Among the withdrawals was a wire transfer of approximately $352,216 for the purchase of a home.

Prior to his indictment in this case on June 23, 2021, Shrock did not file a personal or business tax return with the IRS reporting the White Top Enterprises LLC income. At the time of the deposits and withdrawals, Shrock had a large outstanding IRS assessment for unpaid taxes, penalties and interest. Because it was not opened in his personal name, the White Top Enterprises LLC bank account enabled Shrock to generate and deposit income while evading the outstanding assessment and avoiding personal and business taxes on the income.

Wellington was arraigned on July 9, 2021, charged with conspiracy to defraud the United States and operation of an unlicensed money transmitting business. Wellington remains on conditions of release pending trial, which is scheduled for June 12, 2023. If convicted, Wellington faces up to 10 years in prison.

On Oct. 23, Underwood pleaded guilty to conspiracy to defraud the United States. Underwood is scheduled for sentencing on Jan. 30, 2023.

Underwood and Shrock face up to five years in prison.

IRS Criminal Investigation investigated this case. Assistant United States Attorney Jeremy Peña is prosecuting the case.

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Defense News: More than Platitudes: Lasting Relationships in the NATO Alliance

Source: United States Navy

Conlan and Lo Re first met in flight school in 2006, when Lo Re was training in the U.S., and became fast friends.

“When you go through something like putting on a uniform and flying together, naturally you develop a tight bond with people,” said Conlan. “Those bonds have a tendency to cross national barriers and underscore that NATO relationship.”

A decade later, while serving as department head of Patrol Squadron (VP) 45, Conlan ran into a challenge when some of the squadron’s pilots found themselves in need of a place to land but nowhere to go except an Italian airfield where no one spoke English. Conlan reached out to his old friend Lo Re for help, who immediately contacted the airfield and translated the pilots’ needs into Italian.

“My officers ended up calling me later that day and said ‘Sir, you wouldn’t believe it. We just had a bunch of Italian guys show up. They knew we needed 30,000 pounds of gas. They fueled the plane and took care of everything,’” said Conlan. “It’s probably the third time in a row I’ve had amazing assistance provided to me and my team that was based on a past relationship with a NATO ally.”

Transiting the Strait of Messina poses unique traffic and ocean current difficulties, and Conlan wanted to put George H.W. Bush in the best position possible so he reached out to Lo Re again. In addition to offering advice to Conlan, Lo Re contacted a former classmate from the Italian Naval Academy, the executive officer of the Italian frigate ITS Carabinere (F 593), already operating with the George H.W. Bush CSG in the Mediterranean.

As a result of that connection, Carabiniere supplied George H.W. Bush with its operations officer, Italian Navy Lt. Cmdr. Cosimo Andria, to assist on the bridge during the transit. Yet again, the years-old personal friendship between Conlan and Lo Re delivered great results for U.S. operations.

“I am proud and honored to have supported your prestigious and glorious aircraft carrier, side by side your outstanding Navigation team,” said Andria. “Our strong cooperation shows once again the importance of being together to strengthen the message of deterrence and defense capabilities for a safe and secure environment at sea.”
Personal and professional investment in the relationships of NATO helps ensure the success for all involved.

“Our cooperation with each other really pays dividends,” said Conlan. “I was able to rely on a decades-long friendship to improve the safety and smoothness of operations today.”

Conlan stresses the importance of continuing combined exercises to build NATO relationships, as well as building understanding of their importance on current and future operations.

“When you’re a junior officer or a junior Sailor, you don’t really know the roots of all this and there’s a tendency to think it’s all just platitudes,” said Conlan. “As your career goes on, you start to encounter bigger problems and fall back on old colleagues and friends. These enduring relationships will be the basis for our success.”

George H.W. Bush is the flagship of CSG-10, George H.W. Bush CSG. CSG-10 is comprised of George H.W. Bush, Carrier Air Wing (CVW) 7, Destroyer Squadron (DESRON) 26, the Information Warfare Commander, and the Ticonderoga-class guided-missile cruiser USS Leyte Gulf (CG 55).

The ships of DESRON 26 within CSG-10 are the Arleigh Burke-class guided-missile destroyers USS Nitze (DDG 94), USS Farragut (DDG 99), USS Truxtun (DDG 103), and USS Delbert D. Black (DDG 119).

The squadrons of CVW-7 embarked aboard the George H.W. Bush are the “Sidewinders” of Strike Fighter Squadron (VFA) 86, the “Jolly Rogers” of VFA-103, the “Nighthawks” of VFA-136, the “Pukin Dogs” of VFA-143, the “Bluetails” of Carrier Airborne Early Warning Squadron (VAW) 121, the “Patriots” of Electronic Attack Squadron (VAQ) 140, the “Nightdippers” of Helicopter Sea Combat Squadron (HSC) 5, and the “Grandmasters” of Helicopter Maritime Strike Squadron (HSM) 46.

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Defense News: Task Force 55 Welcomes New Commander at Pierside Ceremony in Bahrain

Source: United States Navy

Capt. Anthony Webber relieved Capt. Robert Francis as the commander of Task Force 55 and Destroyer Squadron 50 during the pierside ceremony next to guided-missile destroyer USS Delbert D. Black (DDG 119).

Francis assumed command of Task Force 55 in July 2021. During a 16-month tour, he oversaw the decommissioning and of transfer of five Navy patrol coastal ships to Bahrain, integration of the Coast Guard’s newly arrived fast response cutters, and the Navy’s first littoral combat ship deployment to the Middle East.

“The officers and Sailors that [crew] our ships are the true heroes of Task Force 55, and I thank them for making a big difference each and every day,” said Francis. “It has been a true honor to serve as your commodore.”

Francis also served as the first commander of a multinational task force launched by the Combined Maritime Forces in April. Combined Task Force 153 provides maritime security in the Red Sea, Bab al-Mandeb and Gulf of Aden.

Francis is next scheduled to report to the office of the Chief of Naval Operations in Washington, D.C., where he will join the staff for operations, plans and strategy.

Webber assumes command of Task Force 55 after serving as deputy commander. He previously completed a tour in Bahrain as the executive assistant to Vice Adm. Brad Cooper, commander of U.S. Naval Forces Central Command, U.S. 5th Fleet and Combined Maritime Forces.

“We have a mission to execute and we can only do it as a team,” Webber told the task force staff during the ceremony. “Let’s get after it.”

The U.S. 5th Fleet operating area includes 21 countries, the Arabian Gulf, Gulf of Oman, Red Sea, parts of the Indian Ocean and three critical choke points at the Strait of Hormuz, Bab al-Mandeb and Suez Canal.

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Florida Man Pleads Guilty to Bank Fraud in Maine and Oregon and Illegal Gun Possession in Florida

Source: United States Department of Justice News

PORTLAND, Maine: A Fort Lauderdale, Florida man pleaded guilty in federal court today to committing bank fraud, conspiracy to commit bank fraud, aggravated identity theft, and being a felon in possession of a firearm.

According to court records, in November 2020, Leonardo Cameron, 27, and coconspirators broke into unattended vehicles in southern Maine and New Hampshire and stole personal identifying information, such as driver’s licenses and checkbooks. They then used the identifications to cash stolen checks using multiple bank drive-through lanes in southern Maine. As part of the scheme, checks from one theft victim’s account were made payable to another identity theft victim, and a female coconspirator impersonated the identity theft victims to cash the stolen checks. In July 2020, Cameron engaged in similar conduct in Oregon with different coconspirators. When he was arrested in Florida months later on Oregon federal bank fraud and identity theft charges, he possessed a firearm and ammunition. He has a prior felony conviction that precludes him from possessing firearms or ammunition. Cameron agreed to transfer jurisdiction over the Florida and Oregon charges to the District of Maine for the purpose of entering guilty pleas to all pending federal charges.

Cameron faces up to 30 years in prison and a $1 million fine followed by up to five years of supervised release. He will be sentenced after the completion of a presentence investigation report by the U.S. Probation Office. A federal district judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.

The Eliot, Maine Police Department; the FBI in Portland, Maine; the U.S. Department of Homeland Security, Homeland Security Investigations (HSI) in Portland, Oregon; and Homeland Security Investigations (HSI) in Fort Lauderdale, Florida investigated these cases.

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Mogadore Man Sentenced to Prison for Threatening to Retaliate Against Witness

Source: United States Department of Justice News

CLEVELAND  – Andrew F. Dodson, 33, of Mogadore, Ohio, was sentenced today to more than four years – or 55 months – in prison by U.S. District Judge Donald C. Nugent.  Judge Nugent pronounced the sentence after Dodson was convicted by a federal jury on July 27, 2022, of obstructing justice by retaliating against a witness.

“Threatening a witness is a serious offense and, as evident by this sentence, it is a crime that can lead to significant time in a federal prison,” said First Assistant U.S. Attorney Michell M. Baeppler.  “Ensuring the safety of federal witnesses is a critical part of the mission of the Justice Department.”

“The FBI is committed to safeguarding witnesses upholding their civic responsibility.  Today’s sentence serves as a message to others who believe they can skirt the law and subvert the judicial process without implication,” said FBI Cleveland Special Agent in Charge Gregory Nelsen.

According to court records and evidence presented at trial, in July 2021, federal authorities began an investigation into Dodson following his arrest for OVI and possession of chemicals that could be used to make explosive devices.  During the arrest and the impounding of his vehicle, court documents state that authorities discovered a large cache of explosive precursors and a black tactical bag with the words “POLICE” on it containing ear protection and safety glasses. 

Authorities later obtained records that showed Dodson had purchased approximately 50 pounds of explosive materials.  Court documents state that Dodson claimed that these materials were used to make smoke bombs.

During the investigation, federal authorities obtained records that showed Dodson engaged in online conversations with others, including one conversation in which he stated that “people call me the Unabomber.”  Dodson also sent a user a photograph of 157 improvised explosive devices, screenshots of a remote detonator and 12 radio antenna devices.  Court documents state that Dodson told other users in online conversations that he had improvised explosive devices that contained approximately 1,000 BBs per device and later tried to sell users body armor and a flamethrower.

On August 4, 2021, FBI agents executed a search warrant at Dodson’s Mogadore area residence and seized various items, including a tactical vest, a firearm, ammunition and a black flame thrower.  Authorities also searched a storage unit in Akron belonging to Dodson and seized several gas masks, a shirt with a swastika, a detonator with the remote, a box of pyrotechnic signal shells, fusing with safety igniters and a bag of pyrotechnic fuses.  Dodson was later arrested.

During the investigation, court documents state that it was determined that Dodson had lied to federal authorities, and he subsequently pleaded guilty in October 2021 to making false statements to an agency of the United States.

Court records show that Dodson was allowed to remain on bond and in the community following his guilty plea.  During this time, Dodson came into possession of a witness statement given to federal authorities during the prior investigation.  Court records state that Dodson then contacted and threatened the witness with the intent to retaliate due to the witness’s cooperation. 

Dodson’s sentence of 55 months will be served consecutive to his previous sentence of 8 months for making false statements. 

This case was investigated by the Cleveland FBI and was prosecuted by Assistant U.S. Attorneys Brian S. Deckert and Jason W. White.