Category: Legal Issues

Source: United States Attorneys General 7

Source: United States Attorneys General 7

NEW ORLEANS, LOUISIANA – U.S. Attorney Duane A. Evans announced that on February 14, 2023, defendant WILLIAM NELSON, age 21, a resident of South Carolina, pled guilty before U.S. District Court Judge Jay C. Zainey to committing a carjacking in New Orleans, Louisiana on January 2, 2022.

In Count 1 of the indictment, NELSON is charged with a carjacking, in violation of Title 18, United States Code, Section 2119. NELSON faces a maximum sentence of 15 years imprisonment, a fine of up to $250,000, a period of up to 3 years supervised release, and a mandatory special assessment fee of $100.00.  NELSON’S sentencing is scheduled for May 16, 2023.

This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.

U.S. Attorney Evans praised the work of the Federal Bureau of Investigation, the Louisiana State Police, and the New Orleans Police Department. The case is being prosecuted by Assistant United States Attorney Inga Petrovich of the Violent Crime Unit.

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Source: United States Attorneys General 7

NEW ORLEANS, LOUISIANA – U.S. Attorney Duane A. Evans announced that defendant, ARTHUR ALLEN, of Orleans Parish, was sentenced on February 8, 2023 by U.S. District Court Judge Jane Triche Milazzo to 90 months imprisonment, 3 years supervised release, and a $300 mandatory special assessment fee on Counts One, Two, and Four of a four-count indictment. 

Count One of the indictment charges ALLEN with possession with intent to distribute a controlled dangerous substance in violation of Title 21, United States Code, Sections 841(a)(1), (b)(1)(C), and (b)(1)(D).  Count 2 charges ALLEN with possession of a firearm in furtherance of a drug trafficking crime in violation of Title 18, United States Code, Sections 924(c)(1)(A)(i) and 2. Count 4 charges ALLEN with being a felon in possession of a firearm in violation of Title 18, United States Code, Sections 924(g)(1) and 924(a)(2). ALLEN was not charged in Count 3 of the indictment.

On July 29, 2021, New Orleans Police Officers conducted a stop on a vehicle containing three individuals, including ALLEN. During this stop, ALLEN fled the vehicle but was later apprehended by officers. Upon a search of the vehicle, officers discovered illegal drugs and weapons.

This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.

U.S. Attorney Evans praised the work of ­­­­­the Bureau of Alcohol, Tobacco, Firearms, and Explosives, Louisiana State Police, and the New Orleans Police Department.  The case was prosecuted by Assistant United States Attorney Inga Petrovich of the Violent Crime Unit of the U.S. Attorney’s Office.

 

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Source: United States Attorneys General 7

Two Kentucky real estate professionals pleaded guilty today for their roles in a conspiracy to rig bids at an estate auction for farmland and timber rights.

According to a plea agreement filed today in the U.S. District Court for the Western District of Kentucky, Barry Dyer and Mackie Shelton pleaded guilty to conspiring with others to rig bids at a 2018 auction for hundreds of acres of farmland and a tract of timber rights. Dyer and Shelton demanded and accepted a $40,000 payoff from competing auction participants to stop bidding, artificially suppressing the sales price of the farmland.

“The farming industry is vital to the nation’s economy and relies on competitive pricing for the land where crops are grown. Today’s guilty pleas help ensure the integrity of farmland auctions,” said Assistant Attorney General Jonathan Kanter of the Justice Department’s Antitrust Division. “With support from our law enforcement partners, the Antitrust Division will continue to hold accountable anyone who conspires to line their own pockets at the expense of this competitive process.” 

“American farmers are part of the backbone of our country’s economy, and they deserve to run their businesses in a fair market, untainted by corruption,” said Assistant Director Luis Quesada of the FBI’s Criminal Investigative Division. “The FBI and our law enforcement partners are dedicated to protecting the farming industry from bid rigging and other schemes that undermine the success of others and the spirit of competition.”  

Dyer and Shelton were charged with a single-count violation of the Sherman Act. A criminal violation of the Sherman Act carries a statutory maximum penalty of 10 years in prison and a $1 million fine. A federal district court judge will determine the defendants’ sentences after considering the U.S. Sentencing Guidelines and other statutory factors.

The case was investigated and prosecuted by the Antitrust Division’s Washington Criminal I Section, with the assistance of the FBI’s International Corruption Unit and the U.S. Attorney’s Office for the Western District of Kentucky. Anyone with information in connection with this investigation should contact the Antitrust Division’s Complaint Center at 888-647-3258, or visit http://www.justice.gov/atr/report-violations.

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Source: United States Attorneys General 7

Louisville, KY – A federal grand jury in Louisville returned an indictment on November 2, 2022, charging six local men and women with engaging in a long-term drug trafficking conspiracy. One man was also charged with a firearm offense.

U.S. Attorney Michael A. Bennett of the Western District of Kentucky, Special Agent in Charge J. Todd Scott of the DEA Louisville Field Division, Special Agent in Charge Jerry C. Templet, Jr. of the U.S. Department of Homeland Security Investigations, and Chief Erika Shields of the Louisville Metro Police Department made the announcement.

According to court documents, Dion Brown, 29, Raheem Richardson, 30, Jamesha Hickman, 29, Demeeko Johnson, 28, Tyrece Clark, 29, and Hubert Brown, 51, all of Louisville, conspired to distribute 50 grams or more of methamphetamine between May 23, 2022, and November 1, 2022. Brown, Richardson, Johnson, and Hickman also distributed 50 grams or more of methamphetamine on multiple occasions, and Richardson possessed a firearm after having been convicted of a felony. On November 16, 2022, all six defendants were arrested.

The defendants made their initial court appearances on November 17, 2022, before a U.S. Magistrate Judge in the Western District of Kentucky. If convicted, they each face a mandatory minimum sentence of 10 years and a maximum sentence of life in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors. There is no parole in the federal system.

The DEA, the U.S. Department of Homeland Security Investigations, and the Louisville Metro Police Department are investigating the case with assistance from the ATF and IRS Criminal Investigation.

Assistant U.S. Attorney Alicia P. Gomez is prosecuting the case.

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

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Source: United States Attorneys General 7

WASHINGTON – A federal indictment was unsealed today following the arrest of three defendants and their initial appearances in the U.S. District Court in the Western District of Kentucky. Phil Pascoe, 60, of Floyds Knobs, Indiana, Monica Pascoe, 45, of Floyds Knobs, Indiana; Scott Tubbs, 59, of Georgetown, Kentucky; and Quadrant Magnetics LLC were charged with wire fraud, violations of the Arms Export Control Act, and smuggling of goods for their roles in an illegal scheme to send export-controlled defense-related technical data to China and to unlawfully supply U.S. Department of Defense (DOD) with Chinese-origin rare earth magnets for aviation systems and military items.  

The indictment alleges that between January 2012 and December 2018, the defendants conspired to send approximately 70 drawings containing export-controlled technical data to a company located in China without a license from the U.S. government, in violation of the Arms Export Control Act and the International Traffic in Arms Regulations. The technical data drawings were the property of two U.S. companies and related to end-use items for aviation, submarine, radar, tank, mortars, missiles, infrared and thermal imaging targeting systems, and fire control systems for DOD.

The indictment further alleges that Quadrant Magnetics imported rare earth magnets that were smelted and magnetized by a company in China. Quadrant then sold these magnets to two U.S. companies which included them in components sold to DOD for use in the F-16, the F-18, and other defense assets in violation of the Defense Acquisition Regulations System (DFARS). Under the DFARS specialty metal clause, rare earth magnets sold to DOD must be produced and magnetized in the United States or an approved country. China is not an approved country. 

Arraignments will be scheduled before a U.S. Magistrate Judge in the U.S. District Court for the Western District of Kentucky. If convicted, Phil Pascoe, Monica Pascoe and Scott Tubbs face statutory maximum penalties of up to 20 years in prison for each count of wire fraud; 20 years in prison for each count of exporting technical data without a license; and 10 years in prison for smuggling goods from the United States. Monica Pascoe and her co-defendants face a penalty of up to five years for conspiracy to defraud the United States. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.

Assistant Attorney General Matthew G. Olsen of the Justice Department’s National Security Division, U.S. Attorney Michael A. Bennett for the Western District of Kentucky, Assistant Director Alan E. Kohler Jr. of the FBI Counterintelligence Division and Special Agent in Charge Jodi Cohen of the FBI Louisville Field Office made the announcement.

The Defense Criminal Investigative Service, FBI, the Department of Homeland Security, IRS – Criminal Investigation, the Naval Criminal Investigative Service, and the Department of Energy’s Office of Inspector General are investigating the case.

Assistant U.S. Attorneys Joshua Judd and Christopher Tieke for the Western District of Kentucky and Trial Attorneys David Recker and Liz Abraham with the National Security Division’s Counterintelligence and Export Control Section are prosecuting the case. 

An indictment is merely an allegation, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.

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Source: United States Attorneys General 7

Bowling Green, KY – A federal grand jury in Bowling Green returned three indictments today separately charging three men with drug trafficking and firearms offenses. 

U.S. Attorney Michael A. Bennett of the Western District of Kentucky, Special Agent in Charge Jodi Cohen of the FBI Louisville Field Office, Special Agent in Charge R. Shawn Morrow of the ATF Louisville Field Division, and Kentucky State Police Commissioner Phillip Burnett, Jr. made the announcement.

According to court records: 

Forrest Holmes, age 60, of Henderson County, Kentucky, was charged with one count of possession of a firearm by a convicted felon. Holmes had previously been convicted in the Henderson Circuit Court of several felonies, including first-degree possession of a controlled substance (methamphetamine), manufacturing methamphetamine, first-degree trafficking in a controlled substance, convicted felon in possession of a handgun, and tampering with physical evidence. If convicted, he faces a maximum sentence of 10 years in prison.    

Rickey Sutton, age 28, of Daviess County, Kentucky, was charged in a superseding indictment with two counts of distribution of fentanyl, and once count of possession of a firearm by a convicted felon. Sutton had previously been convicted in the Daviess Circuit Court for the felonies of convicted felon in possession of a firearm, receiving stolen property (firearm), and tampering with physical evidence. If convicted, he faces a maximum sentence of 20 years in prison.    

Alan C. Rogers, age 55, of Livingston County, Kentucky, was charged with one count of possession with the intent to distribute 50 grams or more of actual methamphetamine, being a felon in possession of firearms, and possession of a firearm with an altered/obliterated serial number. Rogers had previously been convicted in the Livingston Circuit Court of the felony of complicity to first-degree possession of a controlled substance. If convicted, he faces a minimum sentence of 10 years and a maximum sentence of life in prison.   

A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors. There is no parole in the federal system.

The Daviess County/Owensboro HIDTA Drug Task Force, the FBI, the ATF, and the Kentucky State Police are investigating the cases.

The cases are being prosecuted by Assistant U.S. Attorneys Jo Lawless and Mark J. Yurchisin II.

These cases are part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.

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

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Source: United States Attorneys General 7

Louisville, KY – A convicted felon pleaded guilty yesterday to illegally possessing a handgun and a “Glock switch” device which allows a semi-automatic handgun to function as an automatic. Glock switches are defined as machine guns under federal law.

U.S. Attorney Michael A. Bennett of the Western District of Kentucky and Special Agent in Charge R. Shawn Morrow of the ATF Louisville Field Division made the announcement.

According to court documents, Jeremiah Neal, 30, of Louisville, illegally possessed a handgun equipped with a Glock switch on April 14, 2022. Neal was also a convicted felon who was prohibited from possessing firearms.

Neal pled guilty to possession of a firearm by a prohibited person and to illegal possession of a machine gun. He is scheduled to be sentenced on February 9, 2023, and he faces a maximum sentence of 20 years in prison. There is no parole in the federal system. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.

This case is being investigated by the ATF with the assistance of the Kentucky Department of Probation and Parole.

Assistant United States Attorney Josh Porter is prosecuting this case.  

This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.

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Source: United States Attorneys General 7

PIKEVILLE, Ky. – A Pippa Passes, Ky., man, Tony Minor, 44, was sentenced on Tuesday to 298 months in federal prison, by U.S. District Judge Robert Wier, for possession with intent to distribute methamphetamine and fentanyl, and possession of a firearm in furtherance of drug trafficking.

According to Minor’s plea agreement, on February 10, 2022, law enforcement attempted to stop a vehicle in which Minor was an occupant.  Minor ran from law enforcement, who eventually apprehended him and found baggies, a scale, and over 100 grams of methamphetamine on his person.  Law enforcement then searched Minor’s residence and found additional drugs, including over 40 grams of fentanyl and a loaded firearm.  Minor possessed this firearm to protect himself from the dangers of drug trafficking and was not legally permitted to possess the firearm because he was a convicted felon.

Minor pleaded guilty to the current charges in August 2022.  Minor was previously convicted of a drug trafficking felony in the Knott County Circuit Court.

Under federal law, Minor must serve 85 percent of his prison sentence.  He will be under the supervision of the U.S. Probation Office for eight years after his release from prison. 

Carlton S. Shier IV, United States Attorney for the Eastern District of Kentucky; Jodi Cohen, Special Agent in Charge, FBI Louisville Field Office; and Sheriff Dale Richardson, Knott County Sheriff’s Office, jointly announced the sentence. 

The investigation was conducted by the FBI, KSP, and Knott County Sheriff’s Office.  The United States was represented by Assistant U.S. Attorney Andrew Trimble.

This case was prosecuted as part of the Department of Justice’s “Project Safe Neighborhoods” Program (PSN), which is a nationwide, crime reduction strategy aimed at decreasing violent crime in communities.  It involves a comprehensive approach to public safety — one that includes investigating and prosecuting crimes, along with prevention and reentry efforts.  In the Eastern District of Kentucky, U.S. Attorney Shier coordinates PSN efforts in cooperation with various federal, state, and local law enforcement officials.

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Source: United States Attorneys General 7

LEXINGTON, Ky. – A Georgetown, Ky., man, Ralph Tackett, 66, was sentenced to 33 months in federal prison on Monday, by Chief U.S. District Judge Danny C. Reeves, for wire fraud.

According to the agreed facts presented, Tackett was the treasurer of a church in Georgetown, who embezzled a total of $512,042.00, in part through the commission of wire fraud.  Tackett admitted, among other facts, that from December 2015 until July of 2019, he stole money directly from the church, by transferring funds to pay on his personal credit cards, by issuing checks which he deposited into his own personal and business accounts for his own benefit, and by unlawfully transferring money in other ways, to meet the demands of a third-party.  Throughout this time, Tackett concealed the true nature of the church’s expenditures from the church Pastor and Board members, by exploiting his position of trust and the access he wielded as the organization’s treasurer.  The church endured substantial financial hardship as a result of Tackett’s theft.   

As part of his sentence, Tackett was ordered to pay restitution in the amount of $532,807.46 to the church.  This amount includes the amount of money he embezzled directly, as well as the additional costs the church was found to have incurred as a direct result of Tackett’s crime.

Under federal law, Tackett must serve 85 percent of his prison sentence; and upon his release from prison, he will be under the supervision of the U.S. Probation Office for three years.

Carlton S. Shier, IV, United States Attorney for the Eastern District of Kentucky and Jodi Cohen, Special Agent in Charge, FBI, Louisville Field Office, jointly announced the sentence.

The investigation was conducted by the FBI.  The United States was represented by Assistant United States Attorney Tashena A. Fannin.

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