Category: US Department of Justice

Source: United States Department of Justice Criminal Division

This week, Deputy Attorney General (Deputy AG) Lisa Monaco hosted the sixth convening of the Justice AI Initiative, which she launched earlier this year to inform the Justice Department’s AI policy, including how AI will impact the Department’s mission to uphold the rule of law, keep the nation safe, and protect civil rights. Justice AI brings together stakeholders across civil society, industry, academia, and law enforcement to share expertise and a wide range of perspectives on both the promise of AI and the perils of its misuse.

The Deputy AG welcomed organizations and advocates focused on privacy and consumer protection to the Justice Department to discuss opportunities for AI to advance the Department’s mission to protect the rights of consumers, while also addressing AI’s potential to magnify and accelerate risks to privacy and consumer rights as well as the Department’s obligation to ensure appropriate guardrails around use of AI. The conversation covered a range of topics, including algorithmic discrimination, the use of AI to target vulnerable populations, concerns about bulk data collection, and biometric privacy.

Earlier this summer, the Deputy AG convened an international meeting of the Justice AI Initiative with Member of the European Parliament (MEP) Eva Maydell and other leaders from the European Parliament. In addition to discussing how AI is changing the way crimes are committed, the Deputy AG and the MEPs discussed the threat posed by malign nation-state actors using AI to undermine elections across the globe this year. The Deputy AG underscored that the Justice Department will remain vigilant to foreign adversaries abusing AI to accelerate online hate and disinformation, imitate trusted sources of information, and proliferate deepfakes.

The Deputy AG and the Department’s Criminal Division also recently convened compliance executives to hear how companies are using AI and how compliance departments are addressing its risks. This discussion will inform updates to the Criminal Division’s Evaluation of Corporate Compliance Programs.

All the Justice AI convenings inform the Department of Justice’s work as part of Executive Order 14110 on Safe, Secure, and Trustworthy Development and Use of Artificial Intelligence. You can read about previous Justice AI convenings here.

Source: United States Department of Justice Criminal Division

A Missouri woman was arrested this morning on federal charges in connection with an alleged scheme to defraud Elvis Presley’s family of millions of dollars and steal the family’s ownership interest in Graceland, the former home of Elvis Presley, located in Memphis, Tennessee.

Lisa Jeanine Findley, also known as Lisa Holden, Lisa Howell, Gregory Naussany, Kurt Naussany, Lisa Jeanine Sullins, and Carolyn Williams, 53, of Kimberling City, Missouri, was charged in a criminal complaint unsealed today after her arrest. Findley will make her initial appearance later today in the U.S. District Court for the Western District of Missouri.

“As alleged in the complaint, the defendant orchestrated a scheme to conduct a fraudulent sale of Graceland, falsely claiming that Elvis Presley’s daughter had pledged the historic landmark as collateral for a loan that she failed to repay before her death,” said Principal Deputy Assistant Attorney General Nicole M. Argentieri, head of the Justice Department’s Criminal Division. “As part of the brazen scheme, we allege that the defendant created numerous false documents and sought to extort a settlement from the Presley family. Now she is facing federal charges. The Criminal Division and its partners are committed to holding fraudsters to account.”

“As a Memphian, I know that Graceland is a national treasure,” said U.S. Attorney Kevin G. Ritz for the Western District of Tennessee. “This defendant allegedly used a brazen scheme to try to defraud the Presley family of their interest in this singularly important landmark. Of course, all homeowners deserve to have their property protected from fraud, and the Department of Justice will vigorously prosecute anyone who commits financial crimes or identity theft.”

According to court documents, Findley allegedly posed as three different individuals affiliated with a fictitious private lender named Naussany Investments & Private Lending LLC (Naussany Investments). Findley allegedly claimed falsely that Elvis Presley’s daughter had borrowed $3.8 million in 2018 from Naussany Investments, pledged Graceland as collateral for the loan, and failed to repay the debt. To settle the purported claim, Findley allegedly sought $2.85 million from Elvis Presley’s family. Findley allegedly fabricated loan documents on which Findley forged the signatures of Elvis Presley’s daughter and a Florida State notary public. Findley then allegedly filed a false creditor’s claim with the Superior Court of California in Los Angeles, and a fake deed of trust with the Shelby County Register’s Office in Memphis. Findley also allegedly published a fraudulent foreclosure notice in The Commercial Appeal, one of Memphis’s daily newspapers, announcing that Naussany Investments planned to auction Graceland to the highest bidder on May 23. Finally, when Naussany Investments was sued by Elvis Presley’s family in Tennessee state court as part of an effort to stop the sale of Graceland, Findley allegedly submitted false court filings.

After the scheme attracted global media attention, Findley allegedly wrote to representatives of Elvis Presley’s family, the Tennessee state court, and the media to claim falsely that the person responsible for the scheme was a Nigerian identity thief located in Nigeria.

“Fame and money are magnets for criminals who look to capitalize on another person’s celebrity status,” said Inspector in Charge Eric Shen of U.S. Postal Inspection Service (USPIS) Criminal Investigations Group. “In this case, Ms. Findley allegedly took advantage of the very public and tragic occurrences in the Presley family as an opportunity to prey on the name and financial status of the heirs to the Graceland estate, attempting to steal what rightfully belongs to the Presley family for her personal gain. Postal Inspectors and their law enforcement partners put an end to her alleged scheme, protecting the Presley family from continued harm and stress. This is an example of our relentless investigative work and commitment to bringing criminals to justice for their illegal activity.”

“Today’s announcement of charges and law enforcement action shows our broad approach to investigating allegations of identity theft and mail fraud, which can affect people from all walks of life,” said Special Agent in Charge Joseph E. Carrico of the FBI Memphis Field Office. “We will continue to vigorously pursue cases against individuals, in the United States and abroad, who would steal an identity and use fraud to benefit themselves personally.”

Findley is charged with mail fraud and aggravated identity theft. If convicted, she faces a mandatory minimum of two years in prison for aggravated identity theft and a maximum penalty of 20 years in prison for mail fraud.

USPIS and the FBI Memphis Field Office are investigating the case with significant assistance from the FBI Kansas City Field Office.  

Assistant Chief Cory E. Jacobs and Trial Attorney Christopher Fenton of the Criminal Division’s Fraud Section and Assistant U.S. Attorney Carroll L. André III for the Western District of Tennessee are prosecuting the case, with significant assistance from the U.S. Attorney’s Office for the Western District of Missouri.

A criminal complaint is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.

Source: United States Department of Justice Criminal Division

The Justice Department shared $300,921.09 in forfeited criminal assets with Bonaire, a special Dutch Caribbean municipality within the country of the Netherlands, in recognition of Bonaire’s assistance to the Drug Enforcement Administration (DEA)’s investigation of, and the department’s forfeiture of criminal proceeds derived from, the operation of an unlicensed money transmitting business that was active in the black market for exchanging Venezuelan bolivars for U.S. dollars.

This transfer marks the first international sharing of forfeited assets involving the Governments of the United States and Bonaire. Bonaire’s Public Prosecutors Office intends to use the funds to support ongoing criminal justice efforts.

The funds transferred are a share of net assets forfeited by U.S. authorities from an investigation into the operation of an unlicensed money transmitting business run by Hjalmar Gibelli Gomez. A U.S. law enforcement investigation revealed that Gibelli was engaging in unlicensed money transmitting through his business, a Venezuelan insurance agency called Resguardo Sociedad de Corretahe. The unlicensed money transmitting business exchanged Venezuelan bolivars for U.S. dollars on a black market currency exchange in violation of U.S. law. The funds were used to promote Gibelli’s illegal money transmitting business and were utilized in money laundering transactions. As part of his illegal scheme, Gibelli transferred $2,486,525 from the scheme to purchase a luxury yacht named the “Navigante,” among other transactions.

On Dec. 22, 2017, the U.S. Attorney’s Office for the Eastern District of Missouri filed a civil forfeiture complaint against the yacht and other assets held by Gibelli. As described in court documents, the yacht is subject to forfeiture as property involved in a transaction or attempted transaction in violation of U.S. money laundering statutes, or as property traceable to such property. Bonaire authorities provided important law enforcement assistance in the seizure and forfeiture by restraining the Navigante in their territory, safely offloading the yacht’s crew, and assisting in the yacht’s transfer to the United States. Gibelli consented to the forfeiture of the Navigante and other property. 

Assistant U.S. Attorney Stephen Casey for the Eastern District of Missouri prosecuted the case, with substantial assistance from the Justice Department’s Office of International Affairs and U.S. Marshals Service. The DEA and IRS Criminal Investigation conducted the investigation.

The Criminal Division’s Money Laundering and Asset Recovery Section (MLARS) provided assistance in connection with the international sharing process.  

The Criminal Division, through MLARS’ International Unit, administers the department’s international asset forfeiture sharing program. Pursuant to federal law, and in coordination with the Departments of the Treasury and State, the department may share proceeds of successful forfeiture of property with foreign countries that participate in the seizure or forfeiture of the property.

Source: United States Department of Justice Criminal Division

A former Daleville, Alabama, Police Department sergeant, Ryan Phillips, pleaded guilty yesterday to depriving an arrestee of his civil rights under color of law. 

“When police officers violate the law and abuse their power, it erodes the community’s trust in the ability of law enforcement to keep them safe and to preserve their rights,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “This defendant abused his power by entering the cell of an arrestee to violently strike him in the face and upper body without cause or reason. The Justice Department is steadfast in its determination to protect the civil and constitutional rights of all Americans, including people who are incarcerated, and to hold accountable law enforcement officials who use excessive force.”

“Although police officers are granted authority to maintain law and order, that authority has its limits,” said U.S. Attorney Jonathan S. Ross for the Middle District of Alabama. “The defendant lost his composure and beat an arrestee inside his cell. This type of excessive force cannot be tolerated. By holding accountable those who disparage the profession by breaking the law, we will protect the reputations of the countless officers who serve honorably.”     

“Ryan Phillips clearly violated his position of public trust,” said Acting Assistant Director Jodi Cohen of the FBI’s Criminal Investigative Division. “Law enforcement officers take an oath to protect and serve all people and Phillips betrayed that trust. The law enforcement community relies on each other to uphold that sacred oath, and the FBI remains committed to holding those accountable should that oath be violated.””

According to documents submitted and statements made in court, Phillips willfully used unreasonable force against an arrestee identified as D.M. Specifically, while D.M. was inside a jail cell, he and Phillips had a verbal altercation. Phillips removed his badge and firearm, entered D.M.’s cell and hit D.M. in the upper body and face multiple times resulting in bodily injury to D.M., including lacerations and bruising. With the plea agreement, Phillips admitted that he had no legitimate law enforcement purpose for engaging in this conduct, that he acted willfully and that D.M. suffered bodily injury.

A sentencing hearing will be scheduled at a later date. Phillips faces a maximum penalty of 10 years in prison. A federal district court judge will determine any sentence based on the U.S. Sentencing Guidelines and other statutory factors.

The FBI Mobile Field Office investigated the case.

Trial Attorney MarLa Duncan of the Justice Department’s Civil Rights Division and Assistant U.S. Attorney Eric Counts for the Middle District of Alabama are prosecuting the case. 

Source: United States Department of Justice Criminal Division

Attorney General Merrick B. Garland met yesterday with Tribal leaders and Tribal law enforcement officials from the nine South Dakota Tribal Nations at a roundtable held at the Yankton Sioux Nation to discuss public safety issues. The Attorney General was joined by Senator Mike Rounds. The visit highlighted the Department’s efforts to address public safety and justice in Tribal communities across South Dakota, including combating violent crime and drug-related crime, and the crisis of missing or murdered Indigenous persons.

The roundtable discussion also included representatives from the offices of Senator John Thune and Representative Dusty Johnson. Representatives from the nine South Dakota Tribal Nations, including the Yankton Sioux Tribe, Oglala Sioux Tribe, Flandreau Santee Sioux Tribe, Lower Brule Sioux Tribe, Crow Creek Sioux Tribe, Cheyenne River Sioux Tribe, Rosebud Sioux Tribe, Sisseton Wahpeton Oyate, and Standing Rock Sioux Tribe, discussed the public safety challenges facing each of their communities. Acting Director Daron T. Carreiro of the Justice Department’s Office of Tribal Justice and U.S. Attorney Alison J. Ramsdell for the District of South Dakota also participated in the roundtable. Discussion topics included the Department’s efforts to address pressing public safety needs, including violent and drug-related crime experienced by the Tribes.

Recognizing that progress on public safety issues depends on successful partnerships, the Department — primarily through the FBI, Drug Enforcement Administration (DEA), and U.S. Attorney’s Office — has launched joint operations to address violent and drug-related crimes in Tribal communities. These include FBI’s Safe Trails Task Forces to conduct joint investigations to combat drug trafficking in Tribal communities; FBI’s Operation Not Forgotten to surge resources into Tribal communities to address unsolved crimes; and the Missing or Murdered Indigenous Persons (MMIP) Regional Outreach Program, which provides for the placement of an MMIP Assistant U.S. Attorney and an MMIP Coordinator in five designated regions with Indian Country across the United States, including South Dakota.

In addition to increased operational support, since 2021, the Department has provided over $19 million in funding specifically for Tribes in South Dakota to support Tribal public safety programs. This funding has gone toward hiring, equipping, and training officers; improving the handling of child abuse cases; combating domestic and sexual violence; supporting Tribal youth programs; and strengthening victim services in Tribal communities.

Addressing the crises of missing or murdered Indigenous people and human trafficking of Indigenous people continues to be a priority for the Justice Department. In addition to rolling out the MMIP Regional Outreach Program and addressing cold cases through the FBI’s Operation Not Forgotten, the Department continues to be guided by the recommendations in the Not Invisible Act Commission’s final report. The Departments of Justice and the Interior issued a joint response in March and are working to implement new commitments and strengthen ongoing efforts.

Other topics raised during the Attorney General’s visit to Indian country included the need for increased public safety and justice finding and improvements to grant resources and officer training.

Earlier in the day, Attorney General Garland met with prosecutors and federal, state, local, and Tribal law enforcement partners from the U.S. Attorney’s Office for the District of South Dakota. During the meeting the Attorney General highlighted the Department’s work to decrease violent crime and combat the fentanyl epidemic. The Attorney General met with U.S. Attorney Ramsdell and discussed her office’s work to address violent crime and public safety in Indian Country.