Two Tax Shelter Promoters Sentenced to 25 Years and 23 Years in Billion-Dollar Syndicated Conservation Easement Tax Scheme; Two More CPAs Plead Guilty

Source: United States Department of Justice

Two men were sentenced today for crimes arising from their organization, promotion and sale of abusive syndicated conservation easement tax shelters.

Jack Fisher, a certified public accountant (CPA) who began selling units in his abusive tax shelters at least as early as 2008, was sentenced to 25 years in prison. James Sinnott, an attorney who joined Fisher’s scheme in 2013 and oversaw the massive expansion of the tax shelters’ fraudulent deduction amounts claimed from the IRS, was sentenced to 23 years in prison. Also today, Victor Smith and William Tomasello, both Atlanta-area CPAs, pleaded guilty to conspiracy to defraud the United States.

“Using inflated appraisals, backdated documents and other sham actions, these conspirators generated more than $1.3 billion in fraudulent syndicated conservation easement tax deductions, causing hundreds of millions of dollars in losses to the U.S. Treasury,” said Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division. “The significant sentences and convictions obtained are the direct result of the skill and tenacity of career prosecutors and agents, whose multiyear investigation pulled back the curtain on this massive criminal scheme.”

“Today’s message should be a clear one: IRS CI Special Agents will use their financial investigative expertise to hold those involved in abusive tax shelter schemes accountable,” said Chief Jim Lee of IRS Criminal Investigation (IRS CI). “As this complex investigation continues to evolve, today’s judicial actions illustrate our resolve to hold responsible every individual involved in tax evasion schemes.”

Jack Fisher and James Sinnott

According to court documents and evidence presented at trial, Fisher, Sinnott and their co-conspirators sold over $1.3 billion in fraudulent tax deductions, leading to a tax loss to the IRS of over $450 million. Five other tax professionals involved in Fisher’s scheme previously pleaded guilty. Fisher was not only a pioneer in the conservation easement industry, but also one of its biggest promoters across the country. Fisher and Sinnott each made millions of dollars promoting and selling their tax shelters to wealthy taxpayers. The two men also used fraudulent deductions generated by their tax shelters on their own personal income tax returns to reduce the taxes they owed on the millions earned.

A federal jury sitting in Atlanta convicted Fisher and Sinnott on Sept. 22, 2023, of conspiracy to defraud the United States, conspiracy to commit wire fraud, aiding and assisting the filing of false tax returns and subscribing to false tax returns arising out of their fraudulent tax shelter scheme involving syndicated conservation easements dating back nearly two decades. Fisher was also separately found guilty of money laundering. One of the appraisers who was charged with Fisher and Sinnott pleaded guilty and was sentenced in November 2023. Fisher’s primary assistant, Kate Joy, who was also indicted, remains a fugitive.

The evidence proved that Fisher and Sinnott designed, marketed and sold to high-income clients abusive syndicated conservation easement tax shelters based on fraudulently inflated charitable contribution tax deductions, promising them deductions 4.5 times the amount the taxpayer clients paid to buy the deductions.  

Fisher and Sinnott used the funds raised from their taxpayer clients to buy land through their property holding companies and then had the tax shelters cause those companies to donate the land or a conservation easement over the land – often within days or weeks of the land’s purchase. To reach the inflated fair market value of the donations, Fisher and Sinnott primarily used appraisals of the conservation easements and fee simple land donations at valuations often more than 10 times higher than the price Fisher and Sinnott actually paid to acquire the property.

The evidence further showed that Fisher and Sinnott backdated and instructed others to falsely backdate documents to be presented to the IRS, including subscription agreements, payment documents, engagement letters and other records. Fisher’s accountant, a partner at the accounting firm Fisher started, testified at trial and previously pleaded guilty for his role in the scheme. Along with Fisher and Sinnott, he oversaw the preparation of false tax returns, which claimed charitable contribution tax deductions based upon the false appraisals. The evidence demonstrated that Fisher, Sinnott and others received more than $41 million in payments from the sale of units in these tax shelters that involved backdated documents or untimely payments, which were paid to claim fraudulent and inflated tax deductions.

The government proved that Fisher and Sinnott personally made millions from their scheme. Fisher, specifically, used the illegal proceeds to purchase luxury items, including a Mercedes Benz car, a Recreational Vehicle and trailer and a private jet. Fisher also used proceeds of the scheme to purchase homes and condos in the United States and on the Caribbean Island of Bonaire, which the jury found to be forfeitable.

In total, the defendants sold over $1.3 billion in fraudulent tax deductions to wealthy taxpayers through this scheme.

In addition to the terms of imprisonment, U.S. District Chief Judge Timothy C. Batten for the Northern District of Georgia ordered both Fisher and Sinnott to serve three years of supervised release. He also ordered Fisher to pay approximately $457,855,755 in restitution to the United States and Sinnott to pay approximately $443,760,035 in restitution to the United States.

Victor Smith and William Tomasello

According to court documents and statements made in court, Smith served as a CPA and founding partner of an Atlanta-based accounting firm. Beginning at least in 2014 and through at least 2019, Smith promoted and sold tax deductions to his wealthy clients in the forms of units in illegal syndicated conservation easement tax shelters organized and created by co-defendants Fisher, Sinnott and Joy. For his part, beginning at least in 2015 and through at least 2019, Tomasello also promoted and sold units in the Jack Fisher syndicated conservation easement tax shelters to his wealthy clients at another firm.  

Tomasello earned approximately $525,072 in commissions from Fisher and Sinnott for his role in promoting and selling the illegal tax shelters to clients, and his accounting firm received approximately $2,430,301 in commissions. Smith earned approximately $491,400 in commissions from Fisher and Sinnott for his role in promoting and selling the illegal tax shelters to clients.

Smith and Tomasello each face a maximum sentence of five years in prison. They also face a period of supervised release, restitution and monetary penalties. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.

To date, in addition to the convictions of Fisher and Sinnott and today’s guilty pleas of Smith and Tomasello, six additional defendants have pleaded guilty to criminal conduct related to Fisher and Sinnott’s syndicated conservation easement tax shelters, including appraiser Walter Douglas “Terry” Roberts, CPAs Stein and Corey Agee, CPA Ralph Anderson, CPA James Benkoil and CPA and Attorney Randall Lenz.

Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division, U.S. Attorney Ryan K. Buchanan for the Northern District of Georgia and Chief Jim Lee of IRS Criminal Investigation made the announcement. They thanked U.S. Attorney Dena J. King for the Western District of North Carolina for her office’s assistance.

IRS Criminal Investigation and the U.S. Postal Inspection Service investigated the case.

Trial Attorneys Richard M. Rolwing, Parker Tobin, Jessica Kraft, Grace Albinson and Nicholas J. Schilling Jr. of the Justice Department’s Tax Division and Assistant U.S. Attorney Christopher Huber, Deputy Chief of the Complex Frauds Section for the Northern District of Georgia, are prosecuting the case.

Readout of Pardon Attorney Elizabeth Oyer’s Visit to Federal Correctional Institution Dublin

Source: United States Department of Justice

On Jan. 9, Pardon Attorney Elizabeth Oyer and members of her team visited Federal Correctional Institution (FCI) Dublin, which has a low-security Federal Bureau of Prisons (FBOP) facility for women with an adjacent minimum security camp, located in Dublin, California. The Pardon Attorney and her team provided a series of educational sessions about the federal clemency process and answered questions from inmates and staff. The Pardon Attorney and her team met with over 300 inmates and staff during their visit.

The visit to FCI Dublin was the fifth in a series of quarterly educational events that the Pardon Attorney is conducting for inmates and staff at different FBOP locations.

The first took place at FCI Fort Dix, a low-security institution in New Jersey, in January. During that visit, the Pardon Attorney and her team met with over 700 inmates and staff in a day-long series of trainings throughout the facility. The second took place at U.S. Penitentiary Lewisburg, a medium-security institution in Pennsylvania, in April. During that visit, the Pardon Attorney and her team met with over 300 inmates and staff in a day-long series of trainings throughout the facility. The third took place at FCI Aliceville, a low-security institution for women in Alabama, in July. During that visit, the Pardon Attorney and her team met with over 500 inmates and staff in a day-long series of trainings throughout the facility. The fourth took place at FCI Petersburg, a medium-security and low-security facility for men with an adjacent minimum security camp. During that visit, the Pardon Attorney and her team met with over 300 inmates and staff in a day-long series of trainings throughout the facility.

These educational sessions within the FBOP are part of an initiative by the Office of the Pardon Attorney to increase the accessibility and transparency of the clemency process through education and community engagement. 

Former Oregon State Employee Pleads Guilty to Federal Civil Rights Charges After Violating Civil Rights of a Woman with Disabilities

Source: United States Department of Justice

A former Oregon Department of Human Services employee, Zakary Glover, 30, pleaded guilty today to violating the civil rights of a woman with developmental disabilities who was in his care by engaging in sexual misconduct with her.

“This defendant engaged in sexual misconduct with a woman entrusted to his care who was suffering from significant cognitive impairments,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “The Justice Department will pursue and prosecute government officials who abuse their power by sexually exploiting people under their care and custody, and we will do our utmost to vindicate the rights of survivors of sexual violence.”

“Using a position of trust and authority to violate the civil rights of another person is a serious federal crime and will never be tolerated by the Justice Department,” said U.S Attorney Natalie Wight for the District of Oregon. “We thank our partners at the FBI, Oregon State Police and Civil Rights Division for their commitment to seeking justice in this case.”

“There is an expectation that public servants will act with care, compassion and respect, especially when responsible for some of our most vulnerable community members,” said Acting Special Agent in Charge Matt Schlegel of the FBI Portland Field Office. “The FBI, its law enforcement partners and the U.S. Attorney’s Office will continue to vigorously pursue any individual who violates that trust and hold them accountable for their heinous actions.”

According to the plea agreement, at the time of the offense, Glover worked as a direct support crisis specialist for the Office of Developmental Disabilities Stabilization and Crisis Unit. On Nov. 2, 2021, Glover transported an adult woman in his care to an outing in Salem, Oregon. The victim suffers from severe autism and epilepsy, cognitive delays and very limited verbal ability. Staff members responsible for her care communicate by showing her picture books, displaying YouTube videos or drawing pictures.

During the outing, Glover detoured down a dead-end road in Aumsville, Oregon. Glover parked the van and then, using force, attempted to and did cause the victim to engage in a sexual act without her consent. After doing so, Glover forcefully grabbed her and then positioned his body in a way that allowed him to attempt to force her into another non-consensual sexual act. Glover admitted that the victim did not consent to any of the sexual activity. Among other offenses, his conduct constituted attempted aggravated sexual abuse.

A sentencing hearing is set for April 30. Glover faces a maximum penalty of life in prison and a fine of up to $250,000. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.

The FBI Portland Field Office investigated the case.

Assistant U.S. Attorney Gavin Bruce for the District of Oregon and Trial Attorney Daniel Grunert of the Civil Rights Division’s Criminal Section are prosecuting the case.

Virginia Animal Breeders Surrender Approximately 200 Dogs and Cats

Source: United States Department of Justice

Two North Chesterfield, Virginia, animal breeders, Elena Mikirticheva and Andrey Mikirtichev, recently surrendered approximately 200 dogs and cats following court-ordered injunctive relief secured by the Justice Department, on behalf of the U.S. Department of Agriculture (USDA), for alleged, pervasive mistreatment of the animals in their possession.

U.S. District Judge David J. Novak for the Eastern District of Virginia ordered the relief to replace a temporary restraining order after considering a joint agreement by the United States and the defendants. Following entry of the court order, around 45 dogs and cats were surrendered to USDA, which placed the animals in Virginia shelters and rescue organizations for adoption. The agencies then worked with the Virginia Attorney General’s Office, which seized the remaining animals, more than 150, and placed them with the Humane Society of the United States.

Subsequently, the Justice Department filed a consent decree in the U.S. District Court for the Eastern District of Virginia to permanently ban Mikirticheva and Mikirtichev from Animal Welfare Act (AWA) licensure or registration. The USDA filed a corresponding consent decision and order in its administrative enforcement proceeding that includes more than $300,000 in civil penalties and permanent AWA license revocation. Both filings were approved.

In August, the Justice Department filed a complaint and motion for temporary restraining order alleging that Mikirticheva and Mikirtichev, licensed under the AWA, had received over 50 AWA citations for failing to provide adequate shelter, medical and other care, and access to USDA APHIS inspectors, thereby placing the health of their animals in serious danger. The filings alleged that, over the course of two years, APHIS inspectors repeatedly found animals in need of veterinary care. The defendants would delay seeking veterinary care, and, even when animals were seen by a veterinarian, the defendants would fail to follow the veterinarian’s advice. The filings further alleged that APHIS inspectors found animals in cages smaller than AWA requirements and others that were seemingly dehydrated or malnourished due to dominant or aggressive behavior displayed by animals with whom they should not have been housed. APHIS inspectors also allegedly observed junk, waste and/or hazardous materials in areas accessible to the animals.

Assistant Attorney General Todd Kim of the Justice Department’s Environment and Natural Resources Division and Deputy Administrator Dr. Roxanne Mullaney of the USDA’s Animal and Plant Health Inspection Service (APHIS) Animal Care Program made today’s announcement.

USDA APHIS investigated and referred the case as well as removed and secured placement for animals surrendered to it from the facility. The Environment and Natural Resources Division’s Wildlife & Marine Resources Section filed the complaint, preliminary injunction motion, and consent decree in the U.S. District Court for the Eastern District of Virginia.

The federal case is United States v. Elena Mikirticheva and Andrey Mikirtichev, No. 3:23-cv-552.

Justice Department Advances Proposed Rule to Improve Access to Medical Care for People with Disabilities

Source: United States Department of Justice

The Justice Department today sent to the Federal Register for publication a notice of proposed rulemaking under Title II of the Americans with Disabilities Act (ADA) that aims to improve access to medical diagnostic equipment (MDE) for people with disabilities. MDE includes equipment like medical examination tables, weight scales, dental chairs, x-ray machines and mammography equipment. 

Accessible MDE is essential for people with disabilities to have equal access to medical care. The rule proposes to adopt technical standards that clarify how public entities that use MDE, such as hospitals and health care clinics operated by state or local governments, can meet their existing obligations under the ADA. The department has received many complaints from individuals with disabilities that health care providers have not provided them with basic, vital health care — for example, not obtaining an accurate weight when administering anesthesia before surgery — because of the lack of accessible MDE.

“Individuals with disabilities often experience great difficulty obtaining routine or preventative medical care because of inaccessible medical diagnostic equipment. From examination tables to weight scales to mammography equipment, accessible MDE is critical to ensuring equal access to medical care,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “This groundbreaking rule marks a significant milestone in the Justice Department’s efforts to remove barriers that people with disabilities face when accessing medical care.”

The department is eager to hear from the public and get input from stakeholders on our proposed rule. The proposed rule will soon be available for review on the Federal Register’s website at www.federalregister.gov. A fact sheet that provides information about the proposed rule will soon be available on www.ada.gov. The department invites the public to submit their comments on the proposed rule once it is published. The comment period will be open for 30 days from the date the proposed rule is published. Public comments can be submitted on www.regulations.gov.

For more information on the Civil Rights Division, please visit the department’s website. For more information on the ADA, please call the department’s toll-free ADA Information Line at 800-514-0301 (TDD 833-610-1264) or visit the ADA website

Pennsylvania Woman Sentenced on Felony and Misdemeanor Charges for Actions During Jan. 6 Capitol Breach

Source: United States Attorneys General 4

           WASHINGTON – A Pennsylvania woman was sentenced today on nine total felony and misdemeanor charges for her actions during the breach of the U.S. Capitol on Jan. 6, 2021. Her 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 2020 presidential election.

           Rachel Marie Powell, 43, of Sandy Lake, Pennsylvania, was sentenced to 57 months in prison and 36 months of supervised release by U.S. District Judge Royce C. Lamberth. Judge Lamberth also ordered Powell to pay more than $8,000 in restitution, fines, and fees.

           Powell was found guilty on July 18, 2023, following a bench trial before Judge Lamberth of civil disorder; obstruction of an official proceeding and aiding and abetting; entering and remaining in a restricted building or grounds with a deadly or dangerous weapon; disorderly and disruptive conduct in a restricted building or grounds with a deadly or dangerous weapon; engaging in physical violence in a restricted building or grounds with a deadly or dangerous weapon; destruction of government property; disorderly conduct in a Capitol building; act of physical violence in the Capitol grounds or buildings; and parading, demonstrating, or picketing in a Capitol building.

           According to court documents and evidence presented during the trial, Powell was one of the first rioters to break through onto Capitol grounds near the Peace Circle. At the West Plaza, Powell pushed against barricades and encouraged other rioters to attack the police line. After the West Plaza was breached, Powell climbed up to the Lower West Terrace (LWT), and eventually entered the Capitol itself through a broken window. Powell later used an ice axe and a battering ram to break through a different window and breach the Capitol at a different location, encouraging other rioters to enter the Capitol. After the riot, instead of remorse, Powell continued to call for political violence.

           On Jan. 6, 2021, Powell first attended former President Trump’s rally before joining rioters at the Capitol building and grounds. She was wearing a pink hat, black jacket, and carried a bullhorn. She ignored numerous police orders to leave the grounds. Instead, she repeatedly pushed against the barricades using her hands, shoulders, and back. At approximately 2:28 p.m., rioters breached the police line at the West Plaza and pushed forward toward the Capitol, violently assaulting law enforcement officers along the way. Powell participated in this breach by shoving a barricade against an officer as the police line broke.

           Powell is seen in multiple videos and photographs using the bullhorn to further instruct others on how to gain control of the Capitol. One video of Powell depicts a group of individuals inside a room of the Capitol discussing how to penetrate the building further. One individual is heard asking, “What’s the floor plan?” Another shouts, “We just need a plan. We need enough people. We need to push forward.”

           Shortly after, Powell is clearly seen speaking through the bullhorn and giving very detailed instructions about the layout of the building to others in the room. Powell can be heard stating that she had just been inside an adjacent room and that they should “coordinate together if you are going to take this building.” Powell also notes that they “have another window to break.”

           Law enforcement authorities identified multiple images and videos of Powell during the day’s events, including instances of her using an ice axe to breach windows of the Capitol. Video footage from inside the Capitol building shows Powell entering the building at 2:41 p.m. through the West Lower Terrace exterior door along with a large crowd of rioters. At 5:01 p.m., Powell returned to the left side of the tunnel as part of an effort to coordinate a breakthrough into the Capitol building. That attempt failed when officers emerged from the tunnel and successfully dispersed Powell and the rioters from the area at 5:05 p.m.

           On January 7, she posted on social media: “we have given you all a chance to help us settle this peacefully. We have been patient. The time is up.”

           In the following days, Powell repeatedly bragged about the aggressive behavior of rioters, their violence towards law enforcement, and the eventual retreat of officers. For example, on January 7, Powell wrote: “IT WAS F–ING WAR TO GET IN. IF YOU WERE NOT HERE THEN STFU.” In another post, she wrote: “There were lots of security. They had to retreat into the building and fight back because patriots were relentless.” In another, Powell replied, “They didn’t open the gates. The people trampled them. It was war.”

           The FBI arrested Powell on Feb. 4, 2021, in Pennsylvania. On Apr. 5, 2023, a federal grand jury returned a superseding indictment charging Powell with nine counts.

           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 Western District of Pennsylvania. 

           This case was investigated by the FBI’s Pittsburgh and Washington Office, which identified Powell as BOLO (Be on the Lookout) #110 on its seeking information photos. Valuable assistance was provided by the Metropolitan Police Department and the U.S. Capitol Police.

           In the 33 months since Jan. 6, 2021, more than 1,100 individuals have been charged in nearly all 50 states for crimes related to the breach of the U.S. Capitol, including more than 400 individuals charged with assaulting or impeding law enforcement, a felony. The investigation remains ongoing.

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

Two Men from Mississippi and Alabama Sentenced for Actions During Jan. 6 Capitol Breach

Source: United States Attorneys General 4

            WASHINGTON — Two cousins from Mississippi and Alabama were sentenced today on felony and misdemeanor charges for their actions during the Jan. 6, 2021, Capitol breach. Their 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 2020 presidential election.

            Thomas Harlen Smith, 45, of Mathiston, Mississippi, was sentenced to 108 months in prison and 36 months of supervised release by U.S. District Judge Reggie B. Walton. A jury convicted Smith of 11 charges, including nine felonies and two misdemeanors, on May 5, 2023.

            Donnie Duane Wren, 44, of Athens, Alabama, was sentenced to 12 months and one day in prison and 24 months of supervised release by Judge Walton. A jury convicted Wren of two felonies and one misdemeanor on May 5, 2023.

            According to evidence presented during the trial and court documents, on Jan. 5, 2021, Smith traveled from his home in Mississippi to Washington, D.C., to attend a rally held by former President Trump the next day and picked up his cousin, defendant Wren, from his home in Alabama along the way. On the morning of Jan. 6, 2021, Smith and Wren attended the rally and afterward made their way toward the U.S. Capitol building. Before entering Capitol grounds, Smith climbed a column near the African American History Museum with the outdated Mississippi state flag.

            Smith and Wren arrived on the restricted Capitol grounds and observed other rioters climbing scaffolding erected around the stage for the Presidential Inauguration. The two then climbed the structure and made their way to the Lower West Terrace Tunnel. Smith pushed toward the front of a group of rioters and used a flagpole like a spear to try to break a window next to the Lower West Terrace doors. Smith thrust his flagpole at the window five times. He then surged through the doorway, where he and a mass of other rioters pushed into a line of Metropolitan Police Department (“MPD”) officers attempting to hold the door shut.

            Smith then exited the Tunnel and reunited with his cousin, Wren, who had witnessed the violence directed by other rioters against police officers in the area. The two posed for a photograph together on the Lower West Terrace. Smith and Wren then climbed up a railing to the Upper West Terrace and confronted a line of police officers using riot shields and attempting to clear the area. Smith and Wren pushed back against the police line, placing their hands on the officer’s shields and leaning back into the police. Wren leaned all his weight into the riot shield, preventing the police officer from advancing. Wren’s push against the riot shield was an early assault on the Terrace that instigated the fight between rioters and police attempting to clear the area.

            While this occurred, Smith witnessed an object fly past him and hit an officer. Smith yelled at the officer, “You deserve that, you piece of s—!” At 4:35 p.m., Smith kicked an MPD officer in the back—sending the officer to the ground. Smith then picked up a metal pole-like object and threw it toward the line of police, striking two MPD officers in the head.

Later that day, on Facebook, Smith described the assault on the Capitol: “Patriots stood together and battled the tyrannical cops throughout the entire afternoon.”

            Smith was convicted of 11 charges at trial, including felony offenses of assaulting officers with a dangerous weapon; obstruction of an official proceeding; two counts of civil disorder; two counts of assaulting, impeding, or resisting officers; entering and remaining in a restricted building or grounds with a deadly or dangerous weapon; disorderly and disruptive conduct in a restricted building or grounds with a deadly or dangerous weapon; and engaging in physical violence in a restricted building or grounds with a dangerous weapon. He was also convicted of two misdemeanors: disorderly conduct in the Capitol grounds or buildings and an act of physical violence in the Capitol grounds or buildings.

            Wren was convicted of civil disorder and assaulting, impeding, or resisting officers, both felonies, and a single misdemeanor charge of entering and remaining in a restricted building or grounds.

            This case was prosecuted by the U.S. Attorney’s Office for the District of Columbia and the National Security Division’s Counterterrorism Section. Valuable assistance was provided by the U.S. Attorney’s Offices for the Northern District of Mississippi, the Northern District of Alabama, and the Southern District of Florida.

            This case was investigated by the FBI’s Washington and Birmingham Field Offices and the Homestead, Florida and Oxford, Mississippi Resident Agencies, which listed Wren as #219 on their seeking information photos. Valuable assistance was provided by the U.S. Capitol Police, the Metropolitan Police Department, and the Prince George’s County Police Department.

            In the 33 months since Jan. 6, 2021, more than 1,100 individuals have been charged in nearly all 50 states for crimes related to the breach of the U.S. Capitol, including more than 400 individuals charged with assaulting or impeding law enforcement, a felony. The investigation remains ongoing.

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

Last of 17 Defendants Pleads Guilty in Southeast Washington Drug Trafficking Conspiracy

Source: United States Attorneys General 4

            WASHINGTON – Corenzo Mobery, 40, of Washington, DC,  pleaded guilty today to participating in a drug trafficking network based in Southeast Washington that sold cocaine, crack cocaine, fentanyl, PCP, and marijuana, announced United States Attorney Matthew M. Graves, FBI Special Agent in Charge Wayne A. Jacobs, of the Washington Field Office Criminal and Cyber Division, and Acting Chief Pamela Smith, of the Metropolitan Police Department (MPD).

            Mobery, aka “Snowman,” pleaded guilty in U.S. District Court in the District of Columbia to five counts of a superseding indictment that included unlawful possession with intent to distribute cocaine; carrying a firearm in furtherance of a drug trafficking offense; and unlawful possession of a firearm by a convicted felon.

            Mobery was indicted with 16 co-defendants (listed below) who all have pleaded guilty. Nearly all have been sentenced to prison terms ranging from 24 months to 114 months based on their criminal conduct and criminal histories. Mobery is scheduled to be sentenced on Jan. 26, 2024, by U.S. District Judge Dabney L. Friedrich.

            The case stems from an investigation by the MPD Violent Crime Suppression Division’s Violence Reduction Unit and the FBI into the “MLK Crew” — a group of individuals who were operating an open-air drug market in and around the 2900 block of Martin Luther King Jr. Ave., SE, Washington D.C.

            The investigation began in response to numerous citizen complaints about rampant drug trafficking and accompanying incidents of violence in the area. In addition to numerous citizen complaints, MPD targeted this area as one of the most notorious in the city in terms of recent shootings and shots fired, as well as for the area’s high numbers of arrests—particularly offenses involving drugs and firearms.

            As part of its investigation, MPD and FBI began conducting surveillance, obtaining search warrants, and making controlled buys of narcotics from suspected members of the conspiracy.

            The investigation revealed that MLK Crew members openly engaged in the sale of various drugs (including PCP, crack, fentanyl, and marijuana) and took over the area and, effectively, some of the neighborhood’s businesses. MLK Crew members would often go into the neighborhood businesses to complete sales and constantly loitered outside of these businesses to engage in sales. As part of its investigation, MPD and FBI obtained video of defendants openly conducting narcotics transactions in these businesses and even displaying firearms. Throughout the case, law enforcement seized at least 10 firearms (many of which were privately manufactured firearms or “ghost guns”) from MLK crew members and/or stash houses and a sizeable quantity of various narcotics.

            The MLK Crew’s drug trafficking contributed to numerous incidents of drug-related violence in and around the 2900 Block of MLK Ave., including multiple assaults, shootings, robberies, and murders—most notably, the murder of a six-year-old girl who was the daughter of one of the co-defendants in this case. 

            In July 2021, a few months after opening the investigation, MPD and FBI arrested 11 initial defendants and seized 10 firearms, along with PCP, crack cocaine, powder cocaine, heroin, pills, and over $2,500 in cash. The additional six defendants were charged in September 2021 and were arrested shortly thereafter.  

DEFENDANT

STATUS

Ricky Lyles, Accokeek, MD

Sentenced to 114 months for conspiracy to distribute cocaine and possessing a firearm

Nico Griffin, Washington, DC

Sentenced to 37 months for conspiracy to distribute cocaine

Dandre Shorter, Washington, DC

Sentenced to 37 months for conspiracy to distribute cocaine

Wesley Leake, Washington, DC

Sentenced to 40 months for conspiracy to distribute cocaine

Leon Lindsay, Washington, DC

Sentenced to 57 months for conspiracy to distribute cocaine

Dezmond Cunningham, Washington, DC

Sentenced to 48 months for conspiracy to distributecocaine

Divine Chappell, Washington, DC

Sentenced to 76 months for possession of a firearm in furtherance of drug trafficking and conspiracy to distribute cocaine

Shawn Wooden, Washington, DC

Pleaded guilty on Sept. 11 to unlawful possession of a firearm by a felon.
To be sentenced on Nov. 28, 2023

Barry Tyson, Washington, DC

Sentenced to 73 months for possession of a firearm in furtherance of drug trafficking and conspiracy to distribute  cocaine

Delonta Chappell, Washington, DC 

Sentenced to 48 months for conspiracy to distribute cocaine

Anthony Graves, Washington, DC

Sentenced to 27 months for conspiracy to distribute cocaine

Deshawn Loggins, Temple Hills, MD 

Sentenced to 42 months for conspiracy to distribute cocaine

Kevonte Randall, Washington, DC

Sentenced to 46 months for conspiracy to distribute 2 cocaine and possessing a firearm

Corenzo Mobery, Washington, DC 

Pleaded guilty October 16th.
To be sentenced on Jan. 24, 2024

Rico Griffin, Washington, DC

Sentenced to 66 months for conspiracy to distribute cocaine

Shahborne Scales, Washington, DC 

Sentenced to 66 months for conspiracy to distribute cocaine

Luther McDuffie, Washington, DC

Sentenced to 24 months for conspiracy to distribute cocaine

            The prosecutions followed a joint investigation by the FBI Washington Field Office’s Cross Border Safe Streets Task Force in partnership with MPD’s Violence Reduction Unit (VRU). This partnership targets the most egregious and violent street crews operating in the District of Columbia. Assistance was provided by the U.S. Drug Enforcement Administration, the U.S. Park Police, and the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF). The case is being prosecuted by Assistant U.S. Attorneys David Henek, Andy Wang, and Matthew W. Kinskey of the Violence Reduction and Trafficking Offenses (VRTO) Section of the U.S. Attorney’s Office for the District of Columbia.

            The investigation had the sponsorship and support of the federal Organized Crime Drug Enforcement Task Force (OCDETF). OCDETF specializes in the investigation and prosecution of drug trafficking and money laundering organizations and related criminal enterprises.

Kansas Man Pleads Guilty to Felony Charges for Actions During Jan. 6 Capitol Breach

Source: United States Attorneys General 4

            WASHINGTON – A Kansas man pleaded guilty today to two felonies related to his actions 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 2020 presidential election.

            William Chrestman, 49, of Olathe, Kansas, pleaded guilty in the District of Columbia to obstruction of an official proceeding and threatening a federal officer, both felonies. U.S. District Judge Timothy J. Kelly accepted the plea and scheduled a sentencing hearing for Jan. 12, 2024.

            According to court documents, as of January 2021, Chrestman, a second-degree member of the Proud Boys in the organization’s Kansas City chapter. Around that time, Chrestman made plans with other members to travel to Washington, D.C. to, among other things, show their support for then-President Trump and protest Congress’ certification of the Electoral College vote. On Jan. 5, 2021, Chrestman and other Proud Boys members arrived in Arlington, Virginia where they stayed at a rental home that Chrestman described as the “safe house.”

            On Jan. 6, 2021, Chrestman traveled from Arlington to Washington, D.C., with others and met up with a larger group of Proud Boys near the Washington Monument. Chrestman was wearing a tactical vest and protective gloves and carried a gas mask and a wooden axe handle with a flag attached to it.

            After joining the large group of Proud Boys, Chrestman marched with them in the street near the U.S. Capitol while shouting, among other things, “Whose streets? Our streets.” The group ultimately made their way to the west side of the Capitol’s grounds, outside of the restricted, fenced-off perimeter made up of barricades guarded by uniformed United States Capitol Police (USCP) officers.

            At about 1:00 p.m., the crowd breached the line of barriers and surged toward the Capitol building. Chrestman and other Proud Boys he had been marching with moved forward as part of this crowd surge during this initial breach. Chrestman then moved to the front of the crowd, where he encouraged other rioters by waving them forward and shouting, “Go! Go! Go!”

            Chrestman remained on the West Front of the Capitol for more than one hour, failing to leave the area and remaining unlawfully on the restricted grounds. For much of this time, he remained at the front of the crowd. While positioned here, Chrestman stood directly next to a line of USCP officers attempting to hold a perimeter. Behind that police line, from an elevated position, other USCP officers were firing less-lethal “pepper-ball” rounds at specific agitators in the crowd who were physically engaging with police.

            Court documents say that Chrestman pointed his finger at the officers armed with less-lethal munitions, gestured toward them with his axe handle, and shouted in their direction, “Hey, if you shoot, I’ll f— take your a— out.” When the defendant shouted this, he stood several feet away from multiple USCP officers.

            Chrestman eventually entered the Capitol building via the Senate Wing Door at approximately 2:25 p.m. Once inside, he and others, including other members of the Proud Boys, moved about the building and made their way to the Crypt. Here, Chrestman and others took steps to ensure that a large metal overhead door nearthe Crypt would remain open, allowing other rioters to move freely about the building. Specifically, Chrestman used his axe handle to prop open the door. After successfully obstructing the barrier, Chrestman and others progressed into the Capitol Visitor Center and eventually left the building via the Senate Wing Door.

            At the Capitol Visitor Center, an altercation broke out between police officers and a rioter that the officers attempted to arrest. Chrestman pulled at the rioter, after which the rioter broke free from the police officers and escaped arrest.

            Chrestman later said of his actions, “We had the cops running through the f— State Building [sic], dude, trying to slam the emergency doors, like, the big garage door-type ones that segregate off the rooms, and we were throwing f— chairs under there to block it dude, to keep going down… The cops were legitimately scared for their f— lives.”

            This case was prosecuted by the U.S. Attorney’s Office for the District of Columbia with assistance provided by the Justice Department’s National Security Division. Valuable assistance was provided by the U.S. Attorney’s Office for the District of Kansas.

            This case was investigated by the FBI’s Washington and Kansas City Field Offices. Valuable assistance was provided by the U.S. Capitol Police and the Metropolitan Police Department.

            In the 33 months since Jan. 6, 2021, more than 1,100 individuals have been charged in nearly all 50 states for crimes related to the breach of the U.S. Capitol, including more than 400 individuals charged with assaulting or impeding law enforcement, a felony. The investigation remains ongoing.

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