Category: United States Attorneys General

Source: United States Attorneys General

Headline: Fitzgerald Drug Distribution Network Dismantled

United States Attorney Charles E. Peeler announces sentences imposed on the defendants listed below January 30, 2018[1], by United States District Court Judge Leslie J. Abrams in Albany, Georgia.

• Deaundrea C. Peal, age 30 of Fitzgerald, Georgia was sentenced to serve 240 months in federal prison.  Peal was designated a Career Offender by the court based on his prior convictions for Possession of Cocaine with Intent to Distribute; Possessing Controlled Substances in School; Possession of Marijuana with Intent to Distribute; and Possessing Marijuana; on September 25, 2005, in the Superior Court of Ben Hill County, Georgia in case number 05CR-176; and Sale of Cocaine; Possessing Controlled Substances Near Schools; Possession of Marijuana with Intent to Distribute; Trafficking In Cocaine; Trafficking in Ecstasy; Possession of Tools for The Commission of Crime on June 14, 2007, in the Superior Court of Ben Hill County, Georgia in case number 06CR-228.
• Dwayne Peal, age 36 of Fitzgerald, Georgia was sentenced to serve 24 months on probation;
• Gwen Peal, age 58 of Fitzgerald, Georgia was sentenced to serve 60 months on probation;
• Marisela Mier, age 27 of Douglas, Georgia was sentenced to serve 48 months in federal prison
• Irvin Falcon, age 23 of Fitzgerald, Georgia was sentenced to serve 260 months in federal prison.  This sentence is to run consecutive to a sentence he is currently serving in the custody of the Georgia Department of Corrections for a prior conviction for Burglary in the First Degree, to end in October 2025;
• Rendell Townsend, age 28 of Fitzgerald, Georgia was sentenced to serve 36 months in federal prison.  His sentence was imposed on January 10, 2018.
• Eujenio Falcon has entered a plea of guilty in the case as well and is scheduled to be sentenced on March 13, 2018.

There is no parole in the federal system.

Each of the defendants plead guilty in this case. Deaundrea Peal, Marisela Mier, Irvin Falcon, Eujenio Falcon and Rendell Townsend plead guilty to possessing, distributing or conspiring to possess and distribute methamphetamine.  Dwayne Peal plead guilty to possessing marijuana with the intent to distribute.  Gwen Peal plead guilty to Misprision of Felony.

At their plea hearings, the Defendants admitted the following facts:

Defendant Irvin Falcon was in the custody of the Georgia Department of Corrections (GDC) at Calhoun State Prison in Morgan, Calhoun County, Georgia and was using a contraband cellular telephone to direct the activities of others in this case.  In Spring 2017, investigators developed a confidential informant who could contact I. Falcon on this contraband phone and arrange to have methamphetamine delivered in the Fitzgerald, Georgia area.  Multiple purchases of ounce and multi-ounce quantities of methamphetamine were arranged through I. Falcon.  I. Falcon arranged for others to deliver the drugs for him including Deaundrea Peal, Marisela Mier, and Eujenio Falcon. Later, investigators arranged for the informant to introduce an undercover agent to Deaundrea Peal for the purpose of the undercover agent obtaining methamphetamine directly from Deaundrea Peal.  On one occasion, Deaundrea Peal arranged for Rendell Townsend to deliver the methamphetamine for him.

As a result of Deaundrea Peal’s sales of methamphetamine to the agent, search warrants were authorized for a residence Deaundrea Peal shared with his brother, Dwayne Peal, and for the residence of Gwen Peal, their mother.  At the residence shared by the brothers, agents located approximately 16 grams of marijuana in multiple balloon-covered suppository-shaped bindles in a container with sexual lubricant and a letter from an inmate addressed to Dwayne Peal.  At Gwen Peal’s residence agents located approximately twelve (12) ounces of methamphetamine inside two (2) cereal boxes in her refrigerator.  Gwen Peal later admitted that she failed to tell the agents everything she knew about the methamphetamine stored at her residence by Deaundrea Peal.

In total agents seized approximately 750 grams of methamphetamine and approximately 16 grams of marijuana as a result of this investigation.

United States Attorney Peeler stated: “This office, with the assistance of our partnering federal and state law enforcement agencies, will prosecute to the fullest extent of the law those persons who choose to engage in the illicit distribution of narcotics such as methamphetamine and marijuana.  The sentences handed down in this case reflect our commitment to holding drug dealers accountable for their actions, whether they choose to sell their drugs directly on the streets of our neighborhoods, or in Irvin Falcon’s case, from the inside of a prison cell.”

Robert J. Murphy, the Special Agent in Charge of the DEA Atlanta Field Division commented on the pleas, “These guilty pleas are a direct result achieved only through the dedicated efforts of local, state and federal law enforcement and the subsequent prosecution by the U.S. Attorney’s Office. The distribution of methamphetamine continues to ravage many communities and marijuana is a dangerous drug that poses a threat to its users who think it is a benign drug. Many communities are much safer because these individuals have been removed from the streets.”

“Criminal activity being carried out from behind the walls of our prisons will not be tolerated, and we are grateful to our State and Federal partners for their assistance in bringing this case to a close,” said GDC Commissioner Gregory C. Dozier.

The case was investigated by the Drug Enforcement Administration, Macon Office the Georgia Bureau of Investigation, Sylvester Office and the Ben Hill County Sheriff’s Office. Assistant United States Attorney Leah McEwen prosecuted the case for the United States.

Questions concerning this case should be directed to Pamela Lightsey, United States Attorney’s Office, at (478) 621-2603.

Source: United States Attorneys General

Headline: Los Angeles Man Convicted For Possessing And Conspiring To Distribute Over One Kilogram Of Heroin

Tampa, Florida – United States Attorney Maria Chapa Lopez announces that a federal jury has found William Harold Wright, Jr. (56, Los Angeles, CA), a/k/a “Flat Top,” guilty of conspiracy to distribute and to possess with the intent to distribute one kilogram or more of heroin, possessing heroin with the intent to distribute it, and of possessing greater than 100 grams of heroin with the intent to distribute it. He faces a maximum penalty of life in federal prison. His sentencing hearing is scheduled for April 30, 2018.

Wright. was indicted on October 4, 2016.

According to testimony and evidence presented at trial, in April 2015, the Federal Bureau of Investigation, the Pinellas County Sheriff’s Office, and the St. Petersburg Police Department began investigating a heroin distribution network in Pinellas County. Law enforcement officers working in an undercover capacity conducted a series of controlled drug transactions from 2015 through 2016, purchasing from one to nine ounces of heroin in a series of transactions. Investigators later discovered that Wright. had been supplying the heroin that the undercover officer had purchased. In June 2016, law enforcement officers observed Wright. and a co-conspirator retrieve a crate in St. Petersburg that had been shipped from California. The crate contained a kilogram of heroin that had been concealed in a countertop. Officers later arrested Wright.

This case was investigated by the Federal Bureau of Investigation, the Pinellas County Sheriff’s Office, the St. Petersburg Police Department, and the Hillsborough County Sheriff’s Office. It was prosecuted by Assistant United States Attorneys James C. Preston and Charlie D. Connally.

Source: United States Attorneys General

Headline: Former Jacksonville Police Officer Sentenced To Life Imprisonment For Sex Trafficking Of A Toddler

Jacksonville, Florida – U.S. District Judge Marcia Morales Howard has sentenced Michael Eugene Williams (61, Jacksonville) to a term of life imprisonment for the commercial sex trafficking of a child, which began when the child was 3 years old. As part of his sentence, the Court also ordered restitution in the amount of $194,905.17 to the minor victim, and ordered the forfeiture of electronic devices used in the commission of the offense, including a cellular telephone, an electronic tablet, and an Internet router.

Williams pleaded guilty to the offense on June 5, 2017.

According to court documents, from at least February 25, 2016, through September 28, 2016, Williams solicited an adult woman in Texas to sexually abuse her 3-year-old daughter, take photographs of the abuse, and sell the photographs to him. An investigation of Williams began in late May 2016, when an Internet Crimes Against Children Task Force detective with Jacksonville Sheriff’s Office (“JSO”) received a cyber tip from the National Center for Missing and Exploited Children. The tip established that Williams was sharing child pornography. JSO obtained a search warrant for Williams’s residence and found more than 450 images and videos of child pornography on his cellular telephone. In addition, a JSO forensic examiner found text communications between Williams and an adult woman in Texas beginning in January 2016, and continuing through July 7, 2016. During this time period, there were approximately 337 messages, mostly sexual in nature, between Williams and the woman about her daughter.

Williams repeatedly requested more explicit pornographic pictures and videos of the minor for money, urging the mother to engage in sexual acts with her child and to have the child perform sexual acts on others and film the activity. Williams sent at least 19 Western Union wire transfers to the mother for the payment of visual depictions of the minor’s sexual abuse, which were funded by Williams’s retirement income from his career as a JSO officer.

Immediately, upon discovery of the depictions of sexual abuse of the then 4-year-old, Homeland Security Investigations and the Jacksonville Sheriff’s Office contacted Texas law enforcement officials and the child was removed from the abusive environment. In an interview with the mother, she indicated she had recently been in contact with Williams via “Kik” messenger and that she had communicated with him as recently as September 2016. On October 21, 2016, a federal search warrant was executed at Williams’s residence, where agents discovered his newly obtained cellular telephone containing additional sexually explicit videos of the 4-year-old child and messages in which Williams indicated his desire to perform sexual acts on the child.

The Texas woman pleaded guilty to two counts of production of child pornography in federal court (Northern District of Texas). She was sentenced to 60 years in federal prison.

“This is one of the most heinous crimes imaginable,” said HSI Tampa Special Agent in Charge James C. Spero. “Thanks to HSI special agents and the Jacksonville Sheriff’s Office, this criminal will no longer be able to sexually abuse children.”

This case was investigated by U.S. Immigration and Customs Enforcement’s Homeland Security Investigations (Jacksonville and Dallas), the Jacksonville Sheriff’s Office, the U.S. Secret Service, and the Cleburne Police Department (Texas). It is being prosecuted by Assistant United States Attorney Kelly S. Karase.

It is another case brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by United States Attorneys Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.

Source: United States Attorneys General

Headline: New Haven Man Sentenced to More Than 6 Years in Federal Prison for Role in Heroin Trafficking Ring

John H. Durham, United States Attorney for the District of Connecticut, today announced that RUBEN GONZALEZ, 39, of New Haven, was sentenced yesterday by U.S. District Judge Jeffrey A. Meyer in New Haven to 77 months of imprisonment, followed by four years of supervised release, for his role in a heroin trafficking ring.

According to court documents and statements made in court, the DEA’s New Haven Tactical Diversion Squad targeted a New Haven-based heroin trafficking organization led by GONZALEZ’s brothers, Bienvenido and Antonio Gonzalez.  The investigation, which included court-authorized wiretaps, controlled purchases of narcotics and physical and video surveillance, revealed that the Gonzalez brothers regularly purchased bulk quantities of heroin from suppliers located in the Bronx, New York, and sold the heroin through a network of redistributors in New Haven and elsewhere.

The investigation resulted in federal charges against 24 individuals.

During the investigation, RUBEN GONZALEZ, who was incarcerated in state custody, instructed his girlfriend, Marimar Roman, to purchase large quantities of heroin from Bienvenido Gonzalez and then distribute the drug RUBEN GONZALEZ’s customers.

On November 6, 2017, RUBEN GONZALEZ pleaded guilty to one count of conspiracy to possess with intent to distribute, and distribution of, heroin.

Judge Meyer ordered GONZALEZ to begin serving his 77-month federal sentence after he completes his state sentence, which is scheduled to conclude in approximately six months.

Bienvenido Gonzalez, Antonio Gonzalez and Marimar Roman previously pleaded guilty to related charges and await sentencing.

The DEA’s New Haven Tactical Diversion Squad includes officers from the Bristol, Hamden, Milford, Monroe, New Haven, Shelton, Wallingford and Wilton Police Departments.  The New Haven, East Haven and West Haven Police Departments, together with the U.S. Coast Guard, provided valuable assistance to the investigation.

This case is being prosecuted by Assistant U.S. Attorneys Natasha M. Freismuth and Patrick F. Caruso.

Source: United States Attorneys General

Headline: Former Hamburg Resident Sentenced For Wire Fraud And Tax Evasion In Connection With Investment Fraud Scheme

CONTACT:      Barbara Burns
PHONE:         (716) 843-5817
FAX:            (716) 551-3051

BUFFALO, N.Y.-U.S. Attorney James P. Kennedy, Jr. announced today that Christopher F. Venti, 49, of Ocala, Florida, formerly of Hamburg, NY, who was convicted of wire fraud and tax evasion, was sentenced by U.S. District Judge Elizabeth Wolford to 46 months in prison. Venti was also ordered to pay approximately $1,700,000 in restitution.

Assistant U.S. Attorney MaryEllen Kresse, who handled the case, stated that the defendant devised and executed schemes to obtain money from individuals by misrepresenting the existence and success of investment opportunities in order to convince those victims to transfer funds to him or to bank accounts he controlled. Venti engaged in three separate investment schemes between May 2011 and February 2014 as a result of which investors were defrauded of approximately $7,700,000. The defendant, without the authorization of the investors, utilized a portion of those investor funds for personal use.

Between 2006 and 2012, Venti also filed individual income tax returns with the Internal Revenue Service on which he willfully evaded the payment of approximately $216,000 in taxes due and owing.

The sentencing is the result of an investigation by Special Agents of the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Adam S. Cohen, and the Internal Revenue Service, Criminal Investigation Division, under the direction of James D. Robnett, Special Agent-in-Charge, New York Field Office.

Source: United States Attorneys General

Headline: Eight Arrested And Charged In Roundup Of Rochester Drug Trafficking Organization

CONTACT:      Barbara Burns
PHONE:         (716) 843-5817
FAX:            (716) 551-3051

BUFFALO, N.Y. – U.S. Attorney James P. Kennedy, Jr. announced today that Carlos Javier Figueroa, a/k/a/ Javi, a/k/a Big Bro, 39, Roberto Figueroa, 42, Leitscha Poncedeleon, 28, and Orlando Yelder, 36, Jose Justiniano-Rodriguez, 18, Jashua Figueroa, 19,  and Obed Torres, 21, all of Rochester, were arrested and charged by criminal complaint with conspiracy to possess with intent to distribute and to distribute five kilograms or more of cocaine, possession with intent to distribute and distribution of five kilograms or more of cocaine, use of a telephone to facilitate drug trafficking and possession of a firearm in furtherance of drug trafficking. The charges carry a mandatory minimum penalty of 15 years in prison and a maximum of life. In addition, Felix Figueroa was arrested and charged in a separate complaint with distribution of cocaine and conspiracy to distribute cocaine, which is punishable by up to 20 years in prison.
Assistant U.S. Attorney Katelyn Hartford, who is handling the case, stated that according to the complaint, Carlos Javier Figueroa is the leader of a Rochester-based drug trafficking organization responsible for distributing numerous kilograms of cocaine in the City of Rochester. The organization was involved in the transportation and sale of cocaine and was also responsible for acts of violence in furtherance of the organization’s drug trade. Various locations throughout Rochester were utilized to receive, store, and sell the supply of illegal narcotics. Carlos Javier Figueroa and his co-conspirators coordinated shipments of cocaine from Puerto Rico, which were sent to locations in Rochester via the United States Postal Service (USPS).
Since September 2017, at least 23 packages have been sent from Puerto Rico to addresses associated with the organization via USPS. Once the packages arrived in Rochester, members of the organization, including Carlos Javier Figueroa, Roberto Figueroa, and Poncedeleon, picked up the packages and took them to another location. The cocaine was then distributed or broken down and packaged for sale in quantities to be further distributed by others. 
In April 2017, members of the Rochester Police Department’s Major Crimes Unit and Special Investigations Section received information from an active member of the organization stating that the individual feared for his/her safety. The individual told investigators that Carlos Javier Figueroa was willing to provide a reward for his/her murder and that Carlos Javier Figueroa has had people killed in the past and he/she was very afraid of him. 
In December 2017, the Rochester Police Department and Bureau of Alcohol, Tobacco, Firearms and Explosives began utilizing court authorized wiretaps and surveilling the area of 6 and 12 Burbank Street in Rochester, believed to be Carlos Javier Figueroa’s residence; 292 Barrington Street in Rochester, believed to be Roberto Figueroa and Poncedeleon’s residence and a stash house where shipments of cocaine are stored; 59 Fernwood Avenue in Rochester, a residence belonging to Carlos Javier Figueroa and the address where at least two packages of suspected cocaine were shipped to from Puerto Rico; and 820 East Main Street in Rochester.
On January 29, 2018, during the execution of state search warrants, law enforcement officers seized more than $600,000 in cash, six assault rifles, two loaded handguns, over three kilograms of cocaine, and a quantity of suspected heroin and fentanyl.   
The complaint is the result of an investigation by the Bureau of Alcohol, Tobacco, Firearms and Explosives Violent Crime Task Force, under the direction of Special Agent-in-Charge Ashan Benedict, New York Field Division; the Rochester Police Department, under the direction of Chief Michael Ciminelli; the Monroe County Sheriff’s Office, under the direction of Sheriff Todd Baxter; the Monroe County District Attorney’s Office, under the direction of District Attorney Sandra Doorley; the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Adam S. Cohen; the Drug Enforcement Administration, under the direction of Special Agent-in-Charge James J. Hunt, New York Field Division; the Greece Police Department, under the direction of Chief Patrick Phelan; the Brighton Police Department, under the direction of Chief Mark Henderson; and U.S. Border Patrol, under the direction of Patrol Agent-in-Charge Gregory Johnson.
The fact that a defendant has been charged with a crime is merely an accusation, and the defendant is presumed innocent until and unless proven guilty.

Source: United States Attorneys General

Headline: Federal Prison Inmate Sentenced for Possessing Weapon

MADISON, WIS. – Scott C. Blader, United States Attorney for the Western District of Wisconsin, announced that Cebrian Omar Sims, currently an inmate at the Federal Correctional Institution in Oxford, Wis., was sentenced this week by U.S. District Judge William M. Conley to 21 months in prison for possessing a weapon in the prison.  Sims pleaded guilty to this charge on November 28, 2017.

On November 1, 2016, FCI-Oxford officials observed Sims in possession of a 5 ½ inch weapon made from half of a pair of scissors.  During a subsequent interview with federal agents, Sims admitted to possessing the scissors blade for approximately one month.

Sims is currently serving a 180-month sentence at FCI-Oxford for a federal felony conviction in Minnesota for being an armed career criminal in possession of a firearm.    The 21-month sentence imposed by Judge Conley will run consecutive to the prison sentence Sims is currently serving.    

The charge against Sims was the result of an investigation conducted by the Federal Bureau of Investigation and the Federal Bureau of Prisons.  The prosecution of the case has been handled by Assistant U.S. Attorney Chadwick Elgersma. 

Source: United States Attorneys General

Headline: U.S. Attorney announces office changes

ATLANTA – U.S. Attorney for the Northern District of Georgia, Byung J. “BJay” Pak, has announced leadership changes designed to address Department of Justice priorities, critical issues in the district, and the vision for the priorities of this Office, to enhance the mission of the office, and better serve the citizens of this district. 

“As the U.S. Attorney I am grateful for the opportunity to lead an office with so many talented and dedicated professionals,” said U.S. Attorney Byung J. “BJay” Pak.  “It is my sincere belief that these changes will energize the office and help us focus on the matters that are the most impactful to the citizens of our district.” 

These changes became effective on January 16, 2018. The Assistant U.S. Attorney (“AUSA”) and administrative leadership announcements are as follows:

• First Assistant U.S. Attorney Kurt Erskine will continue to serve in his current position. 
• AUSA Gentry Shelnutt will become the Deputy U.S. Attorney.   
• AUSA Yonette Buchanan is the new Criminal Division Chief.
• AUSA Lori Beranek is the new Chief of our Civil Division. Additionally, AUSA’s Neeli Ben-David and Darcy Coty will serve as Deputy Civil Division Chiefs.
• AUSA Larry Sommerfeld is our new Appeals & Legal Advice Division Chief.
• Greg Marshall will continue to serve in his current position as our Administrative Officer.
• AUSA Richard Moultrie is the new Chief of the Violent Crime & National Security Section (VCNS). AUSA’s Katherine Hoffer and Ryan Buchannan will serve as Deputy Chiefs of the VCNS Section.
• AUSA Kim Dammers is the new Chief of our new Organized Crime & Gang Section, and AUSA Mike Herskowitz will serve as the Deputy Chief.
• AUSA Beth Hathaway will continue to serve as Chief of the Transnational Organized Crime Section. AUSA’s Lisa Tarvin and Brock Brockington will continue their service as Deputy Chiefs of this section.
• AUSA Doug Gilfillan has been selected to serve as the Chief of the Cyber & Intellectual Property Section. AUSA’s Nathan Kitchens and Kamal Ghali will serve as the Deputy Chiefs of C&IPS.
• AUSA Steve McClain has been selected as the new Chief of the Complex Frauds Section. AUSA’s Jeffrey Brown and Chris Huber will serve as the Deputy Chiefs of the section.
• AUSA Jeffrey Davis is the new Chief of the Public Integrity and Special Matters Section. AUSA Brent Gray will serve as the Deputy Chief of this section.
• AUSA William Toliver is the Chief the new General Crimes Section.
• AUSA Dahil Goss will continue to as the Chief of the Asset Forfeiture and Money Laundering Section (AFML).  AUSA Michael Brown will serve as the Deputy Chief.
• AUSA Tommy Krepp is the new Chief of our Data Analytics Unit in the Criminal Division.
• AUSA Randy Chartash is the new lead criminal division attorney for our Health Care Fraud Unit. 
• AUSA Lena Amati is the new lead civil division attorney for our Health Care Fraud Unit.   
• AUSA Tom Devlin will continue in his role as Senior Trial Counsel.      
• AUSA Charysse Alexander is also transitioning to a Senior Litigation Counsel.
• AUSA Bill McKinnon, a Senior Litigation Counsel who serves as our Gainesville Division Coordinator, will continue in his leadership role in Gainesville.
• In addition to her role as a Deputy Chief of the VCNS section, AUSA Katherine Hoffer will be the new Rome Division Coordinator.
• AUSA Angela Munson will serve as our Newnan Division Coordinator.

For further information please contact the U.S. Attorney’s Public Affairs Office at USAGAN.PressEmails@usdoj.gov or (404) 581-6016.  The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.

Source: United States Attorneys General

Headline: New Port Richey Resident Sentenced To 10 Years In Prison In Connection With Tax Impersonation Scheme

Tampa, FL – U.S. District Judge Mary S. Scriven today sentenced Andrew Corrigan (24, New Port Richey) to 10 years in federal prison for conspiring to commit extortion and money laundering. As part of his sentence, the Court also ordered restitution to the victims and entered a money judgment in the amount of $870,652, representing the proceeds of conspiracy.

Corrigan pleaded guilty on October 25, 2017. 

According to court documents, Corrigan and his co-defendant, David Owen, used individuals to open bank accounts (straw account owners) into which victims of tax impersonation calls deposited money. This money was extorted from the victims by falsely representing that the victims owed federal income tax to the Internal Revenue Service (IRS), to Canadian tax authorities, or other financial obligations. As part of the scheme, victims were threatened that if they failed to pay these obligations, either they or their family members would face arrest, prosecution, or other legal consequences. 

Provided with online access by the straw account owners, Corrigan and Owen monitored the victims’ deposits to ensure timely withdrawals by the straw account owners. In order to make the withdrawals at the bank, the defendants provided the straw account owners with the victims’ names, locations, and deposit amounts. Corrigan and Owen then directed the straw account owners to withdraw the funds in cash, and turn it over to them, often minus a payment to the straw account owner for opening the account or conducting the transaction. Victims were also directed to pay via money transfers and prepaid debit cards, which were collected and deposited by Corrigan and Owen.

Owen pleaded guilty on October 25, 2017. He is scheduled to be sentenced on May 1, 2018.   

This case was investigated by the Internal Revenue Service – Criminal Investigation, Treasury Inspector General for Tax Administration, the Federal Bureau of Investigation, the U.S. Postal Inspection Service, the Pinellas County Sheriff’s Office, the Pasco County Sheriff’s Office, the Largo Police Department, the Gulfport Police Department, the Toronto Police Service, and the Royal Canadian Mounted Police. It was prosecuted by Assistant United States Attorney Kelley Howard-Allen.

Source: United States Attorneys General

Headline: Former U.S. Navy Commander Pleads Guilty to Bribery Conspiracy with Foreign Defense Contractor

Assistant U.S. Attorneys Mark W. Pletcher (619) 546-9714 and Patrick Hovakimian (619) 546-9718

NEWS RELEASE SUMMARY – January 30, 2018

SAN DIEGO – Former U.S. Navy Commander Troy Amundson pleaded guilty today to federal bribery conspiracy charges.  Amundson is the latest U.S. Navy official to plead guilty in the wide-ranging corruption and fraud investigation involving foreign defense contractor Leonard Glenn Francis and his Singapore-based company, Glenn Defense Marine Asia (GDMA). 

Amundson, 50, of Ramsey, Minnesota, pleaded guilty to one count of conspiracy to commit bribery, admitting that he conspired with Francis and others to receive things of value, including entertainment expenses and the services of prostitutes, in exchange for taking official acts for the benefit of GDMA and violating his official duties to the United States Navy. Francis pleaded guilty in 2015 to bribery and fraud charges, admitting that he presided over a massive, decade-long conspiracy involving “scores” of U.S. Navy officials, tens of millions of dollars in fraud and millions of dollars in bribes and gifts – from cash, prostitutes and luxury travel to Cuban cigars, Kobe beef and Spanish suckling pigs.

According to admissions made as part of his guilty plea, which was entered today before U.S. Magistrate Judge William V. Gallo of the Southern District of California, from May 2005 to May 2013, Amundson served as the officer responsible for coordinating the U.S. Navy’s joint military exercises with its foreign navy counterparts. As part of his duties, Amundson was responsible for building and maintaining cooperative relationships with the U.S. Navy’s foreign navy exercise partners.

Amundson admitted that from September 2012 through October 2013, Francis paid for dinner, drinks, transportation, other entertainment expenses, and the services of prostitutes for Amundson and other U.S. Navy officers.  In one instance, Amundson wrote to Francis from a private e-mail account, arranging to provide Francis with internal, proprietary U.S. Navy information:  “Handoff?… [M]y [friend], your program is awesome.  I [Amundson] am a small dog just trying to get a bone… however I am very happy with my small program.  I still need five minutes to pass some data when we can meet up.  Cannot print.”  That night, Francis arranged the services of several prostitutes from Mongolia for Amundson. 

Having passed confidential, proprietary US Navy information to Francis and having taken numerous other actions in favor of GDMA and in violation of his official duties, Amundson was interviewed by federal criminal investigators in October 2013. As part of his plea agreement, Amundson admitted that he deleted all of his private e-mail account correspondence with Francis following his interview with law enforcement agents earlier that same day.

 “Amundson deliberately, methodically, and repeatedly traded his public office for entertainment expenses and the services of prostitutes, and in so doing, aligned himself with a foreign defense contractor over his Navy, his colleagues and his country.” said U.S. Attorney Adam Braverman. “We are pressing forward in this investigation until we are certain that all involved have been held accountable.”

Sentencing is scheduled for April 27, 2018 at 9 a.m. before U.S. District Judge Janis Sammartino.

So far, 20 of 29 defendants charged in the U.S. Navy bribery and fraud scandal have pleaded guilty.

The case is being prosecuted by Assistant U.S. Attorneys Mark W. Pletcher and Patrick Hovakimian of the Southern District of California and Assistant Chief Brian R. Young of the Fraud Section of the Justice Department’s Criminal Division.                   

DEFENDANT                                                           Case Number: 18CR0468-JLS                               

Commander Troy Amundson                                     Age 50           Ramsey, Minnesota

 

SUMMARY OF CHARGES

Conspiracy to Commit Bribery, in violation of 18 U.S.C. § 371

Maximum Penalty: 5 years in prison, a $250,000 fine

 

INVESTIGATING AGENCIES

 

Defense Criminal Investigative Service

Naval Criminal Investigative Service

Defense Contract Audit Agency