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

 

 

Source: United States Attorneys General

Headline: Rosebud Man Sentenced for Escape

United States Attorney Ron Parsons announced that a Rosebud, South Dakota, man convicted of Escape from Custody was sentenced on January 29, 2018, by Chief Judge Jeffrey L. Viken, U.S. District Court.

Marlow Poor Thunder, age 22, was sentenced to 12 months and 1 day of imprisonment, followed by 3 years of supervised release, and ordered to pay a $100 special assessment to the Federal Crime Victims Fund.

Poor Thunder was charged on August 22, 2017, and pleaded guilty on October 20, 2017.  The conviction stems from Poor Thunder leaving the Community Education Center, where he was serving part of a federal sentence, without permission and failing to return in August 2017.

This case was investigated by the U.S. Marshals Service.  Assistant U.S. Attorney Ben Patterson prosecuted the case.

Source: United States Attorneys General

Headline: Eagle Butte Man Sentenced for Assaulting a Federal Officer

United States Attorney Ron Parsons announced that an Eagle Butte, South Dakota, man convicted of Assaulting, Resisting, Opposing and Impeding a Federal Officer, was sentenced on January 23, 2018, by U.S. District Judge Roberto A. Lange.

Matthew Dupris, age 29, was sentenced to 7 months custody, followed by 2 years of supervised release, and a special assessment to the Federal Crime Victims Fund in the amount of $100.

Dupris was indicted by a federal grand jury on June 14, 2017.  He pled guilty on October 5, 2017.

The conviction stemmed from an incident on May 25, 2017, when law enforcement was dispatched to a residence for assistance in removing Dupris from the home due to him being intoxicated.  Dupris had previously been released on Tribal Court charges, and had been ordered not to consume alcoholic beverages while he was out on bond.  Upon law enforcement arrival, Dupris was advised that he was under arrest for violating the conditions of his Tribal Court release from custody.  While walking towards the patrol car, Dupris pulled away from the officer, turned towards them and spit on the officer.  The officer was able to get Dupris into the back of the patrol car and transported him to the Cheyenne River Adult Detention Center, where he was turned over without further incident. 

This case was investigated by the Cheyenne River Sioux Tribe Law Enforcement Service.  Assistant U.S. Attorney Jay Miller prosecuted the case.

 Dupris was immediately turned over to the custody of the U.S. Marshals Service.

Source: United States Attorneys General

Headline: Kentucky man pleads guilty to sex trafficking of a minor

CHARLESTON, W.Va. – A Kentucky man pleaded guilty today to a sex trafficking crime, announced United States Attorney Mike Stuart. David Wayne Young, 47, of Ashland, faces at least 15 years and up to life in federal prison when he is sentenced on May 1, 2018. He also faces at least five years and up to life on federal supervised release once he is released from prison, and he will be required to register as a sex offender.

U.S. Attorney Stuart commended the investigative efforts of the FBI Violent Crimes Against Children Task Force, the West Virginia State Police, the West Virginia Internet Crimes Against Children Task Force, the Ashland Police Department, and the Boyd County Sheriff’s Department.

“Let me be clear – we have zero tolerance for sex trafficking of children. We will continue working with our law enforcement partners and use every tool at our disposal to come after those who put our children in danger,” said U.S. Attorney Stuart. “I want to thank all the officers who work tirelessly day in and day out to protect the children of our community and to keep sexual predators off the street.”

Young admitted that in March 2017, he communicated with his codefendant, Misty Dawn Baisden, and asked Baisden to provide him with a minor under the age of 14 for the purpose of engaging in commercial sexual activity. Young additionally admitted that the communication involved discussion of exchanging money, items, or other things of value for sexually explicit photographs of the minor. He further admitted that subsequent communications with Baisden included discussions that involved Young offering to provide Baisden with a minor for sexual activity in exchange for her providing him with a minor for sexual activity.

Baisden previously pleaded guilty to conspiracy to engage in sex trafficking of a minor, and faces up to life in prison when she is sentenced on February 13, 2018.

Assistant United States Attorney Jennifer Rada Herrald is in charge of the prosecution. The plea hearing was held before United States District Judge John T. Copenhaver, Jr.

This case was brought as part of Project Safe Childhood, a nationwide initiative of the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorney’s 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 those 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: KC Man Sentenced for $1.2 Million Oxycodone Conspiracy

KANSAS CITY, Mo. – Timothy A. Garrison, United States Attorney for the Western District of Missouri, announced that a Kansas City, Mo., man was sentenced in federal court today for his role in a $1.2 million conspiracy to distribute oxycodone that was obtained by using forged and fraudulent prescriptions.

Gary D. Dickinson, also known as “James DeJong,” 50, of Kansas City, was sentenced by U.S. Chief District Judge Greg Kays to 10 years and 10 months in federal prison without parole.

On May 16, 2017, Dickinson pleaded guilty to participating in a conspiracy that lasted from June 2013 to January 2016 to distribute oxycodone. Conspirators obtained prescription-quality paper commonly used by authorized health care providers to write prescriptions. They also obtained the DEA registration numbers of health care providers, which they used to prepare fraudulent prescriptions for oxycodone.

Conspirators took the false prescriptions to pharmacies in Kansas City metropolitan area and elsewhere. They commonly sold the oxycodone 30mg pills for between $15 to $25 per pill.

Following several undercover purchases of fraudulent prescriptions from Dickinson, law enforcement officers executed a search warrant at Dickinson’s residence on Dec. 23, 2013. Detectives recovered several prescription pill bottles and drug paraphernalia (including pipes, syringes and scales). They also recovered two laptop computers, false prescriptions, blank prescription paper, contact lists and other documentation, including what appeared to be a written instructions on what to say if a pharmacist called to confirm the validity of a prescription.

Dickinson said he obtained false prescriptions from co-defendant Robert G. Joy, also known as “Bear,” 34, of Kansas City, Mo. Dickinson said he filled prescriptions for Joy, then gave him the Oxycodone in exchange for $175 to $225. On Dec. 26, 2013, Dickinson was arrested while attempting to fill a false prescription at The Drug Store in Odessa, Mo. Dickinson admitted that he passed, and attempted to pass, fraudulent prescriptions at several more locations in the months following his arrest. Dickinson was arrested on several occasions, including while attempting to pass more fraudulent prescriptions and after a car stop while he was driving a stolen truck and in possession of 65 Oxycodone pills, 6.5 grams of cocaine and .85 grams of methamphetamine.

On May 19, 2014, law enforcement officers executed a search warrant at Dickinson’s room at the Argosy Hotel. Officers found numerous items associated with the manufacture of false prescriptions, including a laptop computer with stored templates for prescriptions and checks, over 200 sheets of blank prescription quality paper, false prescriptions and other items.

Dickinson is among 11 defendants convicted in this case. Joy pleaded guilty and was sentenced to 10 years and 10 months in federal prison without parole. Eight co-defendants have also been sentenced, and one co-defendant awaits sentencing.

This case is being prosecuted by Assistant U.S. Attorney Jess E. Michaelsen. It was investigated by the Kansas City, Mo., Police Department, the Drug Enforcement Administration, the Missouri State Highway Patrol, and the police departments of Riverside, Blue Springs, Independence, Kearney, Odessa, Nevada, Higginsville, Drexel Lee’s Summit and Butler.

Source: United States Attorneys General

Headline: Worcester Man Charged with Marriage Fraud

BOSTON – A Worcester man was arrested yesterday in connection with entering into six fraudulent marriages in order to evade immigration laws. 

 

Peter Hicks, 57, was charged in federal court with one count of marriage fraud. Hicks was released following an initial appearance in federal court in Worcester yesterday. 

 

According to the criminal complaint unsealed yesterday, in 2014 federal law enforcement agents uncovered evidence that Hicks married six foreign national women from Sub-Saharan Africa between 2003 and 2013. Hicks allegedly filed for immigration benefits for four of his six wives. 

 

During a routine interview as part of his application for benefits for a non-citizen spouse, Hicks admitted to marrying three of the women solely to obtain immigration benefits for them. During a second interview with immigration officials, Hicks admitted that he was paid to recruit people for fraudulent marriages. During an interview with federal agents on Jan. 8, 2015, Hicks admitted that he was involved in marriage fraud for approximately 13 years, and that he received payments to marry undocumented African women and to find willing United States citizens to marry illegal aliens for the purpose of allowing the women to establish legal status in the United States. 

 

It is further alleged that on at least one occasion, Hicks was still married to one spouse at the time of his marriage to another spouse. Hicks also fraudulently claimed on an immigration form submitted on behalf of one of his spouses, that he had only one former spouse and that he had only petitioned for immigration benefits for the one former spouse, when, in fact, Hicks had actually been married five times and submitted requests for immigration benefits for a number of his former spouses. 

 

The charge of marriage fraud provides for sentence of no greater than five years in prison, three years of supervised release and a fine of up to $250,000. Sentences are imposed by a federal district court judge based on the U.S. Sentencing Guidelines and other statutory factors.

 

United States Attorney Andrew E. Lelling; Michael Shea, Acting Special Agent in Charge of Homeland Security Investigations in Boston; and Denis C. Riordan, District Director, U.S. Citizenship and Immigration Services, District 1, made the announcement. Assistant U.S. Attorney David G. Tobin of Lelling’s Major Crimes Unit is prosecuting the case.

 

The details contained in the charging documents are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.

Source: United States Attorneys General

Headline: Federal Drug Charges Filed Against Southeast Kansas Man Who Was Arrested After Boat Chase

WICHITA, KAN. – A southeast Kansas man was indicted Tuesday on federal drug and firearm charges, U.S. Attorney Stephen McAllister said.

 

Scott Joseph Skibo, 54, Chetopa, Kan., was charged with one count of possession with intent to distribute marijuana, and one count of unlawful possession of a firearm in furtherance of drug trafficking. The indictment alleges that on Sept. 18, 2017, Skibo possessed fifty or more marijuana plants and a .40 caliber Glock 22 handgun.

 

The Kansas Bureau of Investigation announced in September that agents arrested Skibo for cultivating marijuana on an island in Elmore Park within the city limits of Chetopa, Kan. He attempted to flee law enforcement in a boat before he was arrested.

 

If convicted, Skibo faces not less than five years in federal prison and a fine up to $250,000 on the firearm charge, and up to five years and a fine up to $250,000 on the marijuana charge. The KBI, the Labette County Sheriff’s Department and the Chetopa Police Department investigated. Special Assistant U.S. Attorney Kimberly Rodebaugh is prosecuting.

 

 

OTHER INDICTMENTS

 

Danny Acosta-Zavala, 32, and Cecilia Ann Rios, 36, are charged with one count of possession of more than 12 pounds of heroin. The crime is alleged to have occurred Jan. 1, 2018, in Thomas County, Kan.

 

If convicted, they face not less than 10 years in federal prison and a fine up to $10 million. The Drug Enforcement Administration investigated. Special Assistant U.S. Attorney Kimberly Rodebaugh is prosecuting.

 

Manuel Hernandez, 43, Wichita, Kan., is charged with one count of escaping from custody at the Mirror, Inc., in Wichita.

 

If convicted, he faces up to five years in federal prison and a fine up to $250,000. The U.S. Marshals Service investigated. Assistant U.S. Attorney Alan Metzger is prosecuting.

 

 Rodolfo Moreno-Banuelos, 29, a citizen of Mexico, is charged with one count of unlawful possession of a firearm by an alien illegally in the United States. He was found Jan. 13, 2018, in Sedgwick County, Kan.

 

Immigration and Customs Enforcement’s Enforcement Removal Operations investigated. Assistant U.S. Attorney David Lind is prosecuting.

 

Jesus Benito Vergara-Gonzalez, 24, of Kansas City, Mo., is charged with one count of misusing a Social Security number and one count of aggravated identity theft. The crimes are alleged to have occurred March 21, 2017, in Kansas City, Kan.

 

If convicted, he faces up to five years in federal prison and a fine up to $250,000 on the Social Security charge and a mandatory two years (consecutive) and a fine up to $250,000 on the identity theft charge. The Kansas Department of Revenue investigated. Assistant U.S. Attorney Aaron Smith is prosecuting.

 

William Daniel Wycoff, 32, Wichita, Kan., is charged with one count of unlawful possession of ammunition following a felony conviction. The crime is alleged to have occurred Jan. 13, 2018, in Sedgwick County, Kan.

 

If convicted, he faces up to 10 years in federal prison and a fine up to $250,000. The Bureau of Alcohol, Tobacco, Firearms and Explosives investigated. Assistant U.S. Attorney Aaron Smith is prosecuting.

 

In all cases, defendants are presumed innocent until and unless proven guilty. The indictments merely contain allegations of criminal conduct.

Source: United States Attorneys General

Headline: Chicago Man Sentenced to Four and a Half Years in Federal Prison For Illegally Buying Guns in Indiana and Bringing Them to Chicago

CHICAGO — A Chicago man has been sentenced to four and a half years in federal prison for illegally buying 17 handguns in Indiana and bringing them across the border to Chicago.

RICKY HATCH, also known as “Rick Hatchet” and “Ricky Hatchet,” purchased the firearms from an unlicensed individual in a parking lot in Bloomington, Ind., on three occasions in February 2015.  In the first sale, Hatch recruited a resident of Indianapolis, Ind., to serve as the ostensible buyer.  The seller reviewed the Indiana resident’s driver’s license and listed some of her information on a purported “firearms bill of sale” before selling the guns to Hatch in exchange for cash.  Although the Indiana resident did not accompany Hatch to the next two transactions, Hatch used aliases in those deals to conceal his identity.

After each purchase, Hatch brought the guns to Chicago.  The Chicago Police Department has subsequently recovered five of the guns from individuals other than Hatch.

Hatch, 25, pleaded guilty last year to unlawful interstate transportation of firearms.  On Jan. 18, 2018, U.S. District Judge Ronald A. Guzman imposed a 55-month prison sentence.

The sentence was announced by John R. Lausch, Jr., United States Attorney for the Northern District of Illinois; Celinez Nunez, Special Agent-in-Charge of the Chicago Field Division of the U.S. Bureau of Alcohol, Tobacco, Firearms and Explosives; and Eddie Johnson, Superintendent of the Chicago Police Department.

“The impact of firearms brought from Indiana and sold to individuals in Illinois is well documented,” Assistant U.S. Attorney Brian S. Wallach argued in the government’s sentencing memorandum.  “Defendant’s actions, and those like him who bring gun after gun into this city, are fueling the violence that we read about on a daily basis.”

The government was represented by Mr. Wallach and Assistant U.S. Attorney Katie M. Durick.