Pennsylvania Man Sentenced for Assaulting Officers With a Dangerous Weapon During Jan. 6 Capitol Breach

Source: United States Department of Justice News

            WASHINGTON – A Pennsylvania man was sentenced today for assaulting law enforcement officers with a dangerous weapon during the breach of the U.S. Capitol on Jan. 6, 2021. His actions and the actions of others disrupted a joint session of the U.S. Congress convened to ascertain and count the electoral votes related to the presidential election.

            Robert Sanford Jr., 57, a retired firefighter from Chester, Pennsylvania, was sentenced today to 52 months in prison, 36 months of supervised release, $2,000 restitution to the Architect of the Capitol and $3,798 in restitution to the medical expenses of the U.S. Capitol Police officer he injured. Sanford pleaded guilty on September 26, 2022, in the District of Columbia, to assaulting, resisting, or impeding officers using a dangerous weapon.

            According to court documents, on Jan. 6, 2021, Sanford attended a rally at the Ellipse and then walked to the U.S. Capitol grounds, joining others who were gathered there illegally. At about 2:30 p.m., he was part of a group on the Lower West Terrace. While there, he threw a fire extinguisher at a group of U.S. Capitol Police officers, striking three of them in the head. He also threw a traffic cone in the direction of officers. He screamed in the direction of officers that they were “traitors.”

            Sanford was arrested on Jan. 14, 2021.

            This case was prosecuted by the U.S. Attorney’s Office for the District of Columbia and the Department of Justice National Security Division’s Counterterrorism Section. Valuable assistance was provided by the U.S. Attorney’s Office for the Eastern District of Pennsylvania.

            The case was investigated by the FBI’s Washington Field Office. Valuable assistance was provided by the FBI’s Philadelphia Field Office, the Metropolitan Police Department, and the U.S. Capitol Police.

            In the 27 months since Jan. 6, 2021, more than 1,000 individuals have been arrested in nearly all 50 states for crimes related to the breach of the U.S. Capitol, including more than 320 individuals charged with assaulting or impeding law enforcement. The investigation remains ongoing. 

            Anyone with tips can call 1-800-CALL-FBI (800-225-5324) or visit tips.fbi.gov.

Detroit Street Gang Leader Sentenced to Life Imprisonment Following Convictions at Trial for Racketeering and Murder

Source: United States Department of Justice News

DETROIT – A 38-year-old Detroit man was sentenced to life imprisonment today for murder, racketeering, narcotics trafficking, and other gang related crimes, United States Attorney Dawn N. Ison announced today.

Ison was joined in the announcement by James A. Tarasca, Special Agent in Charge of the Detroit Field Office of the Federal Bureau of Investigation.

Evidence at trial showed that Duane Peterson acted as the leader of “It’s Just Us” (IJU), a violent street gang. At its peak, the gang boasted 40 members. IJU terrorized the Detroit community from 2014 through the beginning of 2019 by engaging in violent acts, obstruction of justice, and witness intimidation. In May 2017, IJU ambushed a 33-year-old Detroit man for allegedly disparaging an IJU associate. Peterson chased the man down and executed him, shooting him in the back of the head while he lay dying on the ground.

In March 2018, Peterson and another IJU member opened fire on a carful of innocent bystanders who happened to be stopped at a red light and saw Peterson beating a female in a liquor store parking lot.

Evidence at trial also showed that Peterson ran a heroin/fentanyl drug conspiracy, with at least fifteen IJU members and associates distributing the deadly drugs in Detroit, Jackson, Flint, Ohio, West Virginia, and Kentucky.

Eight defendants were charged in the case. Seven previously pleaded guilty; only Peterson proceeded to trial.

United States District Judge Robert H. Cleland sentenced Peterson to life imprisonment.

“Thanks to a team effort from multiple federal, state, and local agencies, a violent gang leader has been permanently removed from the streets. Violent gang activity and dangerous narcotics trafficking will not be tolerated in our community,” U.S. Attorney Ison said.

“Duane Peterson was found guilty of committing multiple crimes, including murder, as the leader of the IJU street gang, and for those crimes he will spend the rest of his life in prison,” said James A. Tarasca, Special Agent in Charge of the FBI’s Detroit Field Office. “Violent street gangs like IJU threaten the safety and security of everyone in our community. The FBI, alongside federal, state, and local law enforcement agencies across the country, will continue to target and dismantle gangs that wreak havoc on our neighborhoods.”

This case was investigated by the Federal Bureau of Investigation, with assistance from the Drug Enforcement Agency, Detroit Police Department, Jackson County Sheriff’s Office, and many other state and local agencies in Michigan, Ohio, West Virginia, and Kentucky. The case was prosecuted by Assistant U.S. Attorneys Maggie Smith and Eaton Brown.

Restaurateur Sentenced To 57 Months In Prison For Over $6 Million Pandemic Loan Fraud And Interstate Threats

Source: United States Department of Justice News

Damian Williams, the United States Attorney for the Southern District of New York, announced today that restaurateur BESIM KUKAJ was sentenced to 57 months in prison for orchestrating a sprawling loan fraud scheme, including while he was on pretrial release, whereby he fraudulently sought at least $6.14 million and received $1.5 million in Government-guaranteed loans designed to provide relief to small businesses during the COVID-19 pandemic.  KUKAJ was also sentenced for attempting to intimidate a creditor as part of an interstate threats scheme with his already sentenced co-defendant Abduraman Iseni, a/k/a “Diamond.”  U.S. District Judge Andrew L. Carter imposed today’s sentence.

U.S. Attorney Damian Williams said: “Manhattan restaurateur Besim Kukaj took advantage of the hardships created by the COVID-19 pandemic and the federal government’s efforts to help those in need by lining his own pockets with seven figures of illegally obtained funds.  He did this out of pure greed, sending some of this money to a Florida real estate developer and using it to buy luxury items from Cartier and Hugo Boss.  He even continued to commit the same crimes while he was on bail.  And he didn’t stop there.  He directed his co-conspirator to physically threaten a victim to whom he owed money.  For his brazen crimes, Kukaj will serve meaningful time in prison.”

According to court filings and statements made in court proceedings:

The Coronavirus Aid, Relief, and Economic Security (“CARES”) Act is a federal law enacted on March 29, 2020, designed to provide emergency financial assistance to the millions of Americans who are suffering the economic effects caused by the COVID-19 pandemic.  One source of relief provided by the CARES Act was the authorization of hundreds of billions of dollars in forgivable loans to small businesses for job retention and certain other expenses through the Small Business Administration’s Paycheck Protection Program (“PPP”) and additional billions for the separate Economic Injury Disaster Loan program (“EIDL”).  Pursuant to the CARES Act, the amount of PPP funds a business is eligible to receive is determined in significant part by the number of employees employed by the business and their average payroll costs.  The amount of a loan under the EIDL program is determined in part by a formula based on the date the borrower began operating and the borrower’s gross revenue and cost of goods sold during a period before the pandemic.  The loans can be used only for working capital and other normal operating expenses.  Businesses applying for loans under the PPP and EIDL program must confirm the accuracy of their loan statements. 

From at least in or about April 2020 through at least in or about July 2020, KUKAJ, working with others, submitted applications for loans under the EIDL program and the PPP to multiple banks on behalf of various restaurants KUKAJ or a relative of his owned.  He did so on behalf of restaurants that were no longer operating or that had far less revenue and far fewer employees than were listed on the loan applications.  KUKAJ and his co-conspirators applied for dozens of loans, totaling at least $6.14 million, from numerous financial institutions, using many different corporate entities, and they successfully received at least $1.5 million in loans. 

KUKAJ was arrested in October 2020 and charged with bank fraud conspiracy and later indicted for the same charges in December 2020.  He was released on pretrial release under a court order that notified him of the potential effect of committing a crime while on pretrial release.  KUKAJ violated the terms of his bail for continuing to file false loan applications while on pretrial release for the same conduct.  Specifically, in 2021, while on pretrial release, KUKAJ filed additional false loan applications that inflated the businesses’ number of employees and payrolls and falsely claimed that he was not under indictment. 

Separately, on November 6, 2019, at the urging of KUKAJ, co-defendant Abduraman Iseni placed a telephone call to a victim, in which Iseni threatened physical violence against the victim.  KUKAJ instructed Iseni to place this call because KUKAJ owed money to the victim.

*                *                *

In addition to the prison sentence, KUKAJ, 43, of Fort Lee, New Jersey, was ordered to pay forfeiture of $1,500,000 and restitution in the amount of $1,500,000 to the U.S. Small Business Administration.

Mr. Williams praised the outstanding work of the Federal Bureau of Investigation New York’s Balkans and Middle East Organized Crime Squad, as well as the Small Business Administration Office of the Inspector General, the Social Security Administration Office of the Inspector General, and the New York State Liquor Authority for their investigative efforts and ongoing support and assistance with the case.  

The prosecution of this case is being overseen by the Office’s Money Laundering and Transnational Criminal Enterprises Unit.  Assistant U.S. Attorneys David R. Felton and Samuel L. Raymond are in charge of the case.

Troy Man Pleads Guilty to Mail Fraud in Federal Court

Source: United States Department of Justice News

Montgomery, Alabama – Today, Jesse Morgan Hinson, 36, formerly of Troy, Alabama, pleaded guilty to mail fraud, announced United States Attorney Sandra J. Stewart. The Alabama Securities Commission provided valuable assistance in the investigation and prosecution of the case.

According to the plea agreement and other court documents, in 2022, Hinson engaged in schemes to defraud multiple victims by falsely representing himself to be a man of great wealth with the ability to conduct profitable real estate transactions. He convinced victims to give him money based on promises of future financial benefits. However, Hinson had no significant assets and intended to take his victims’ money for his own use. Hinson also failed to let his victims know that he had prior convictions for securities fraud, including convictions on Alabama securities fraud charges as recently as March and April of 2022. Hinson was in custody of the Alabama Department of Corrections as of April 30, 2022.

In his plea agreement, Hinson specifically admitted that, in March of 2022, he defrauded an individual in Butler County by claiming that Hinson could finance real estate purchases for a 10 percent down payment. This was not true. Hinson obtained approximately $66,500.00 from the Butler County victim despite Hinson having no ability to finance real estate purchases, and none of the proceeds were used for the victim’s benefit. Instead, Hinson used much of these funds to pay personal expenses and to pay the debts of a woman with whom he had a romantic relationship. After the Butler County victim began demanding his money back, to discourage him from speaking with law enforcement, Hinson, posing as a New York attorney, telephoned the victim, falsely stated that Hinson would be receiving the proceeds of an $11 million loan, and then threatened to bankrupt the victim by opening competing businesses.

 Additionally, in April of 2022 and continuing after his incarceration on April 30 of that year, Hinson, as he admitted during his plea hearing, defrauded two other individuals from Tuscaloosa. Hinson told the victims that he would provide them with the profits from the sale of land that Hinson claimed to own to Auburn University if the victims would provide money upfront for taxes. During the course of discussions with the Tuscaloosa victims, Hinson had someone make false misrepresentations to the victims claiming that Hinson controlled assets in the range of $2 to $3 billion. This claim was also untrue. The Tuscaloosa victims provided multiple payments to Hinson’s attorney and to Hinson’s girlfriend totaling $124,028.80.

A sentencing hearing will be scheduled in the coming months. At that hearing, Hinson will face a maximum sentence of 20 years in prison, along with substantial fines and restitution.

“Mr. Hinson has a checkered history of engaging in securities fraud schemes,” said United States Attorney Stewart. “I commend the work of the investigators and prosecutors who unraveled the brazen schemes at issue in this case, thus protecting the public from falling victim to Hinson’s lies.”

“Jesse Morgan Hinson has worked hard to build a horrible reputation of deceiving folks,” said Alabama Securities Commission Chief Deputy Director Amanda Senn. “We encourage everyone to research who you invest your hard-earned money with to avoid career criminals like Hinson, who has left a path of financial devastation and destruction in his wake.”

The United States Secret Service and the Alabama Securities Commission investigated the case. Assistant United States Attorney Stephen K. Moulton and Special Assistant United States Attorneys Andrew O. Schiff and Amanda Senn of the Alabama Securities Commission are prosecuting the case.

Assistant Attorney General Kenneth A. Polite, Jr. Delivers Remarks at First Annual Charlotte E. Ray Lecture and White Collar Crime Conference at Howard University School of Law

Source: United States Department of Justice News

Remarks as Prepared for Delivery

Thank you so much, Dean Holley, for that introduction. And thank you to Izzy and Ben for those opening remarks.

It is such an honor to be before you all today. We have an incredible day planned, one that brings together current and former leaders from the Department of Justice, esteemed members of the defense bar, and more. And I am particularly excited that we have gathered here at Howard University School of Law, part of this historic university.

We’re assembled here shoulder to shoulder with the next generation of attorneys – the students – whom I look forward to speaking with later today. Thank you to all who have made this event possible, particularly Lisa Miller, my Deputy Assistant Attorney General, my Senior Counsel Keith Edelman, Steve Solow from Baker Botts, Preston Pugh of Crowell & Moring, Ben Wilson, and of course Dean Holley, her assistant LaShawn Reeder, and our hosts here at Howard.

I am truly humbled to deliver the first annual Charlotte E. Ray Lecture. It is a privilege to be able to speak about such an important figure in the history of our profession, and our country.

As you may know, Ms. Ray was the first Black woman in the United States to graduate from law school, and the first Black woman to be admitted to the D.C. bar. She is also one of this Law School’s many esteemed alums. But although much is not known about her life, what we do know is this – she was a trailblazer.

Ray was born in 1850 in New York. Her father, the Reverend Charles Bennett Ray, was a well-known abolitionist, minister, journalist, and conductor of the Underground Railroad.  He also served as the editor of the Colored American, an abolitionist newspaper.

As former Howard Law School Professor J. Clay Smith Jr. has written, Reverend Ray instilled the importance of education into his children. In fact, all of his children who survived to adulthood were college graduates.

Charlotte Ray enrolled at the Institution for the Education of Colored Youth here in Washington, and then became a teacher at Howard University.

But Ms. Ray yearned for more and began taking classes at Howard’s law school in the evenings, graduating in 1872. Given the incredible animus at the time, some have suggested that to gain admission to the D.C. bar, she applied just using her initials – C.E. Ray – to hide the fact that she was a woman.

Just think about how groundbreaking that accomplishment was.

When Ms. Ray was seven years old, the Supreme Court of the United States decided Dred Scott, holding that African Americans could never be citizens under the Constitution. The highest court in the land, just a few miles from here, wrote those cruel, reprehensible words that African Americans were “beings of an inferior order, and altogether unfit to associate with the white race.”

Just 10 years before Ms. Ray graduated from law school, slavery was legal right here in our national’s capital. The Civil War had ended just seven years before her graduation.

And although she graduated shortly after the Thirteenth, Fourteenth, and Fifteenth Amendments were ratified, the institutional prejudices persisted. Indeed, the year after Ray was admitted to the bar in Washington, the Supreme Court decided Bradwell v. Illinois and held that the state could lawfully prevent women of all races from becoming licensed attorneys.

Justice Joseph Bradley even went so far as to write that “the family institution is repugnant to the idea of a woman adopting a distinct and independent career from that of her husband.” All of the women in my life – my mother, my wife, and my two daughters – would disagree.

Consider the weight and magnitude of those biases, which spanned society and were woven into the laws and the courts – the structural, foundational, and institutional racism and sexism that restrained all but a privileged few.

And yet, Ms. Ray pressed on. She opened her own law practice in Washington, where, according to Professor Smith, she “established a reputation for being one of the best lawyers in the area of corporations law.” She even presented a well-regarded paper on “chancery” at her commencement ceremony that was well received. And that is why I am excited that later today, we will have esteemed panelists discuss current issues in corporate and white collar crime.

To build her new business, Ms. Ray placed an advertisement in the New National Era, Frederick Douglass’ newspaper. But the discrimination against a Black woman was too powerful, and despite her prowess, Ms. Ray could not sustain her practice.

In the mold of her two sisters, she moved to New York and become a teacher in the Brooklyn public school system, where she was an advocate in the women’s suffrage movement until her death in 1911.

That is what we call a trailblazer. In unchartered territories, she forged a way forward, a path that had never been walked before.

But as Ms. Ray’s career shows, those who blaze the trail cannot always walk on it all the way to the end. These figures may create the path, but it is up to all who come after to continue onward – and also to make that path wider and more accessible to those who come next.

And many have done so. From Mary Ann Shadd Cary, another Howard alum of the era; to Jane Bolin, the first female black judge; to Eunice Carter, one of the first Black female prosecutors who helped take down Lucky Luciano; to Judge Constance Baker Motley, of the Southern District of New York; and many, many others.

Like many assembled this morning, I owe my path – one of service, one steeped in white collar matters, and one where I often was the only or the first of my background and experience in the room – to Ms. Ray and the countless others who have come before me.

But it is no secret that despite the many years since Ms. Ray’s time, the work is not done.

Although Dred Scott may no longer be good law, structural inequities persist. The effects of the centuries of slavery continue to reverberate through society. For as many individual success stories you can name, there are countless others who were never able to break through the barriers of our society.

So when we honor trailblazers, we must recognize that there is more to be done. No, a trailblazer may create the path, but we must walk on it. And we must expand it for those who come next.

Make no mistake, the path that Charlotte Ray forged is far broader than simply being the first Black woman attorney in the country. Through her pursuits, she did not just earn her license to earn a living.

No, Ms. Ray did far more with her talents. She used her gifts to effect positive change in a time of great hostility. Take her representation of a battered wife in Gadley v. Gadley. Ray’s client was an illiterate, Black woman who was seeking a divorce against her husband who viciously attacked her.

In Ms. Ray’s pleading for her client – her only known writing to date – she described how, when her client was laying on the floor, the husband took an axe and ripped up the floor planks to try to cause the woman to fall to the floor below, all while threatening to break her neck.

Recall again the laws of the era. Women were afforded few, if any rights. Married women were often considered their husband’s property. But Charlotte Ray never relented on behalf of her client and pursued the case in the D.C. Supreme Court.

When her own practice could not earn enough business to survive due to the discrimination at the time, Ms. Ray continued to effect change. She taught others. She fought for women’s right to vote, continuing to press on for the greater good.

I call on all of us in the room to do the same. No matter your particular role, attorneys have a special, privileged place in our society. Through words on a page, we can lift up our communities. We can provide a voice to those who do not have one. We can detect, deter, and even prevent crime. We can zealously defend clients who need representation. We can help companies succeed while promoting compliance with the law.

We can do what Howard Law Professor Homer LaRue has done in creating the Ray Corollary Initiative. This detailed plan – named after Charlotte Ray – is designed to increase the selection of people of color to serve as arbitrators and mediators.

But there is more to be done. Around this law school, in this community, in this country – there are people who need help. Those struggling in the cycles of poverty. Those without access to basic needs like shelter and food. Those who have been victimized by crime.

So look at the path blazed by Charlotte Ray. See her perseverance. See her determination. See her passion for justice. It is our duty and honor to follow and broaden the path she has blazed for us all.

Thank you for your time today.