Seven Arrested, Charged with Selling Illegal Drugs to Veterans Treated at VA Medical Centers in New Jersey

NEWARK, NJ—Seven men with access to two VA medical centers in New Jersey were arrested this morning by special agents of the U.S. Department of Veterans Affairs-Office of Inspector General and the FBI on federal charges alleging they sold illegal drugs to veterans being treated at the centers, U.S. Attorney Paul J. Fishman announced.
The seven defendants were each charged in separate criminal complaints with various counts of distributing controlled substances—including heroin, crack, and hydromorphone—at the VA medical centers in East Orange and Lyons, New Jersey. Five of the men were arrested this morning at the Lyons facility, one was arrested at the East Orange facility, and one was arrested at his home. All are expected to make their initial appearances this afternoon before U.S. Magistrate Judge Mark Falk in Newark federal court.
“According to our charges, these seven men abused their access to VA medical facilities to peddle dangerous drugs to other veterans undergoing treatment,” said U.S. Attorney Fishman. “It is tragic that those who have served their country would exploit their fellow veterans.”
“This investigation was initiated by VA OIG two years ago in response to the fatal heroin overdose of a veteran at the VA medical center in Lyons, New Jersey,” said Jeffrey G. Hughes, Special Agent in Charge, U.S. Veterans Affairs, Officer of Inspector General, Northeast Field Office. “Subsequently, the FBI and VA OIG jointly launched an operation, which focused on combating the sale of heroin and crack cocaine to patients at Lyons. VA management at Lyons, including VA Police, provided invaluable support during the course of this investigation. We hope anyone selling drugs at VA treatment facilities will realize that we will vigorously pursue them to protect veterans seeking treatment.”
“The Federal Bureau of Investigation-Newark Division and the Department of Veterans Affairs Office of Inspector General conducted a joint investigation targeting the distribution of narcotics on the grounds of VA Hospitals in New Jersey,” said FBI Special Agent in Charge Aaron T. Ford. “As a result of this joint investigation, the FBI and VA OIG have been successful in disrupting the criminal activity occurring on the VA grounds. The Newark Division will continue to work in conjunction with our federal, state, and local partners to combat the drug problem.”
The VA medical centers provide a wide range of medical and rehabilitation treatment services to veterans, including drug abuse and additional rehabilitation services, along with vocational training and other social services. According to the complaints, the defendants, each of whom is a veteran with privileged access to the buildings and grounds of the medical centers, sold controlled substances to other veterans receiving services from the centers.
Each count with which the defendants are charged carries a maximum potential penalty of 20 years in prison and a fine of $1 million, or twice the gross gain or loss from the offense. The defendants and counts with which they are charged are as follows:

Defendant	Charges
Phillip Johnson, 52, of Basking Ridge, New Jersey	count one—heroin distribution; count two—cocaine base distribution
Robin Merritt, 55, of Hackensack, New Jersey	count one—heroin distribution count two—cocaine base distribution count three—hydromorphone distribution
Abdul Kareem Muhammad, 50, of Boundbrook, New Jersey	count one—heroin distribution count two—cocaine base distribution
Yusef Muhammad, 59, of North Plainfield, New Jersey	count one—heroin distribution
Thomas Pearson, 66, of Dover, New Jersey	count one—heroin distribution
Christopher Shalaby, 31, of Somerville, New Jersey	count one—heroin distribution
John Stuckey, 49, of Newark	count one—heroin distribution

U.S. Attorney Fishman praised special agents of the Veterans Administration Office of Inspector General, under the direction of Special Agent in Charge Hughes in Newark; and the FBI, under the direction of Special Agent in Charge Ford in Newark, with the investigation leading to the charges. He also thanked the VA Police for their assistance.
The government is represented by Assistant U.S. Attorney David M. Eskew of the U.S. Attorney’s Office General Crimes Unit in Newark.
The charges and allegations contained in the complaints are merely accusations, and the defendants are presumed innocent unless and until proven guilty.

Federal Jury Convicts Providence Man on Heroin Trafficking Charges

PROVIDENCE, RI—Cristian Jimenez, a/k/a Alacran, 32, of Providence, faces between 10 years to life in federal prison at sentencing after a federal court jury on Monday convicted him of one count of conspiracy to possess and distribute heroin and three counts of possession and distribution of heroin, announced Unites States Attorney Peter F. Neronha; Richard DesLauriers, Special Agent in Charge of the FBI’s Boston Field Office; and John J. Arvanitis, Special Agent in Charge of the Drug Enforcement Administration’s New England Field Division.
Jimenez was one of 11 individuals identified by law enforcement as being members of a Dominican organization that trafficked heroin into Rhode Island. The other 10 individuals charged and arrested in this matter previously pled guilty in U.S. District Court in Providence.
The jury acquitted Jimenez of one count of possession of a firearm in furtherance of drug trafficking crimes.
An investigation by the Federal Bureau of Investigation Safe Streets Gang Task Force, the Drug Enforcement Administration Drug Task Force, Rhode Island State Police, and local law enforcement officers assigned to the task forces resulted in the execution of federal search warrants and arrest warrants in May 2012 in Providence, Cranston, North Providence, Pawtucket, and West Warwick, Rhode Island. More than three kilos of heroin, approximately 200 grams of cocaine, approximately $450,000 in cash, a substantial quantity of high-end jewelry, five firearms (four of them loaded), and 12 vehicles (several of which contained “hides”) were seized by law enforcement.
According to the government’s evidence presented at trial, on numerous occasions Jimenez bought and sold significant quantities of heroin and directed the packaging and distribution of the drugs. The government’s evidence showed that Jimenez’s Providence residence was one of the primary locations used by the drug trafficking organization to package and distribute significant quantities of heroin.
Jimenez, who has been detained since his arrest on September 26, 2012, is scheduled to be sentenced by U.S. District Court Judge William E. Smith on September 13, 2013.
The case was prosecuted by Assistant U.S. Attorney Adi Goldstein and First Assistant U.S. Attorney Kenneth P. Madden.
The FBI’s Safe Streets Gang Task Force consists of agents and law enforcement officers from the FBI; Providence, Cranston, and Woonsocket Police Departments; and the Rhode Island National Guard.
The DEA Drug Task Force consists of agents and law enforcement officers from the DEA; Rhode Island State Police; and the Cranston, East Providence, Pawtucket, Providence, Warwick, Newport, and Woonsocket Police Departments.
Agents from the U.S. Department of State Diplomatic Security Service and Internal Revenue Service-Criminal Investigation also played significant roles in the investigation.

Eight Indicted for Stealing Money from ATMs and Prescription Drugs from Pharmacies

MINNEAPOLIS—A federal indictment unsealed recently charges eight individuals in connection with a string of burglaries during which money was stolen from ATMs and prescription drugs were stolen from pharmacies. The indictment, which was filed under seal on June 10, 2013, was unsealed on June 18, 2013, following the defendants’ initial appearances in federal court. It charges Derek Edward Benedict, age 41, of Hugo; Lyle Robert Carpenter, age 40, of Hastings; Julia Jean Julien, age 35, of St. Cloud; Timothy Michael Kielb, age 45, of Fridley; Cherilyn Ann Mayotte, age 35, currently incarcerated in Superior, Wisconsin; Jason Michael Mussehl, age 42, currently incarcerated at the Stanley Correctional Institution in Stanley, Wisconsin; Jennifer Suzann Stanley, age 37, no known address; and Jonathan Roger Quast, age 28, of Lexington, Minnesota, with one count of conspiracy to commit bank burglary, bank larceny, and interstate transportation of stolen money.
In addition, Benedict, Carpenter, Julien, Kielb, Mayotte, Mussehl, and Quast were charged with one count of conspiracy to steal controlled substances. Carpenter, Kielb, Mussehl, and Stanley were also charged with one count of bank burglary and two counts of bank larceny. Benedict, Carpenter, Julien, Kielb, Mayotte, and Mussehl were also charged with one count of burglary involving controlled substances. Carpenter, Kielb, Mussehl, and Quast were also charged with one count of credit union burglary, one count of bank burglary, and one count of burglary involving controlled substances. Benedict, Carpenter, Julien, and Mussehl were also charged with one count of interstate transportation of stolen property.
More specifically, the indictment alleges that between October 2009 and February 2013, the defendants conspired with each other and others to enter and attempt to enter buildings that operated in whole or in part as banks or credit unions, because they housed ATMs. In addition, it alleges that the defendants conspired to transport stolen merchandise and cash between the states of Minnesota and Wisconsin, and Iowa and Minnesota. The indictment also alleges that Benedict, Carpenter, Julien, Kielb, Mayotte, Mussehl, and Quast conspired with each other and others to steal controlled substances from pharmacies.
In addition to those conspiracy charges, the indictment alleges that Benedict, Carpenter, Mussehl, and Stanley stole money from a Bank of America ATM located inside a Robbinsdale Walgreens store on October 24, 2009, and from a Bank of America ATM located inside a Golden Valley Walgreens on November 29, 2009. The indictment further alleges that on July 15, 2012, Benedict, Carpenter, Julien, Kielb, Mayotte, and Mussehl stole various drugs from the Bloomington Drug Store. In addition, Carpenter, Kielb, Mussehl, and Quast allegedly stole money from a credit union ATM located inside the Dakota Convenience store in Prior Lake on August 19, 2012, and money from a U.S. Bank ATM located inside a Circle Pines Walgreens on August 23, 2012. Carpenter, Kielb, Mussehl, and Quast also stole drugs from the Circle Pines Walgreens pharmacy. On September 9, 2012, Benedict, Carpenter, Julien, and Mussehl allegedly drove from Iowa to Minnesota carrying money stolen from a safe and ATM located inside a Walgreens store in Des Moines, Iowa.
If convicted, the potential maximum penalties are 20 years in prison for conspiracy to commit burglary involving controlled substances, bank burglary, credit union burglary, and burglary involving controlled substances; 10 years for bank larceny and the interstate transportation of stolen property; and five years for conspiracy to commit bank burglary, bank larceny, and interstate transportation of stolen property. If convicted, the defendants’ sentences will be determined by a federal district court judge.
This case is the result of an multi-agency investigation conducted by the Internal Revenue Service-Criminal Investigation, the Federal Bureau of Investigation, the Hennepin County Sheriff’s Office, the U.S. Secret Service, the Centennial Lakes Police Department, and the Prior Lake Police Department, with cooperation from the Minnesota Bureau of Criminal Apprehension and the Minnesota Financial Crimes Task Force. It is being prosecuted by Assistant U.S. Attorney Surya Saxena.
An indictment is a determination by a grand jury that there is probable cause to believe that offenses have been committed by a defendant. A defendant, of course, is presumed innocent until he or she pleads guilty or is proven guilty at trial.

Arden Hills Man Pleads Guilty to Conspiring to Distribute 11 Pounds of Methamphetamine

MINNEAPOLIS—Earlier today in federal court, a 35-year-old Arden Hills man pleaded guilty to distributing approximately 11 pounds of methamphetamine. Marcelino Garcia pleaded guilty to one count of conspiracy to distribute 500 or more grams of methamphetamine. Garcia, who was indicted on March 20, 2013, entered his plea before United States District Court Judge John R. Tunheim.
In his plea agreement, Garcia, also known as Moreno Marcelino Garcia and Marcelino Garcia-Moreno, admitted that on March 15, 2013, he made arrangements to sell approximately 11 pounds of methamphetamine to an undercover federal agent at a Target parking lot in Shoreview. Garcia also admitted that during the subsequent execution of a search warrant at his residence, authorities seized a 9mm, semi-automatic pistol and five additional pounds of methamphetamine. According to a law enforcement affidavit filed in the case, authorities learned about Garcia during routine narcotics’ investigations in the Twin Cities.
For his crime, Garcia faces a potential maximum penalty of life in prison. Judge Tunheim will determine his sentence at a future hearing, yet to be scheduled. This case is the result of an investigation by the Twin Cities Safe Streets Violent Gang Task Force, which is led by the Federal Bureau of Investigation and includes the Minneapolis Police Department. The task force’s mission is to investigate and target the most violent gangs operating in the Twin Cities or those gangs engaged in the large-scale trafficking of illegal drugs. The case is being prosecuted by Assistant United States Attorney Julie E. Allyn.

Mexican National Sentenced to More Than 17 Years in Federal Prison for Methamphetamine Trafficking and Firearms Convictions

ALBUQUERQUE—Jesus Omar Lopez-Valle, 28, a Mexican national from Culiacan, Sinaloa, Mexico, was sentenced this morning to 210 months in federal prison, announced U.S. Attorney Kenneth J. Gonzales and Carol K.O. Lee, Special Agent in Charge of the FBI’s Albuquerque Division. Lopez-Valle will be deported after he completes his prison sentence.
Jesus Lopez-Valle; his brother Hector Manuel Lopez-Valle, 24, a Mexican national also from Culiacan, Sinaloa, Mexico; and Adaucto Chavez-Meza, 20, a legal permanent resident from Chihuahua, Mexico, were arrested on criminal complaints in March 2012, after they attempted to sell approximately four pounds of methamphetamine to an undercover officer. At the time, the three men were living in Belen, New Mexico, and the Lopez-Valle brothers were illegally in the United States.
The three men were indicted on March 28, 2012, and charged with conspiracy and possession of methamphetamine with intent to distribute. Jesus Lopez-Valle also was charged with being an illegal alien unlawfully in possession of a firearm. Jesus Lopez-Valle entered a guilty plea to all three charges on March 8, 2013.
According to court filings, on February 21, 2012, Chavez-Meza and the undercover officer discussed the prospect of a methamphetamine deal. Thereafter, on February 23, 2012, Chavez-Meza met the undercover officer at the Sandia Resort and Casino and agreed to sell the officer three pounds of methamphetamine at a price of $14,500 per pound. Chavez-Meza arrived at the meeting site with Jesus Lopez-Valle, who did not participate in the meeting. On March 1, 2013, Chavez-Meza met the undercover officer at a gas station in the vicinity of Montgomery Blvd. NE and Interstate 25 in Albuquerque with the intention of selling four pounds of methamphetamine to the officer. Chavez-Meza arrived in a vehicle driven by Hector Lopez-Valle and Jesus Lopez-Valle arrived at the meeting site in a separate vehicle. After retrieving a package containing methamphetamine from the truck, Chavez-Meza entered the undercover officer’s vehicle, and the officer drove to a nearby apartment complex, followed by Jesus Lopez-Valle and Hector Lopez-Valle. Shortly thereafter, FBI agents arrested Jesus Lopez-Valle, Chavez-Meza, and Hector Lopez-Valle.
On February 25, 2013, Chavez-Meza pleaded guilty to conspiracy and possession of methamphetamine with intent to distribute; he is scheduled for sentencing on July 8, 2013. Hector Lopez-Valle pleaded guilty to the same two charges on March 8, 2013, and is scheduled for sentencing on July 22, 2013. Each faces a mandatory minimum 10 years in prison and a maximum of life in prison. They remain in custody pending their sentencing hearings.
This case was investigated by the Cross Border Drug Violence Squad of the FBI’s Albuquerque Division and the Las Cruces Metro Narcotics Agency, and it is being prosecuted by Assistant U.S. Attorneys Samuel A. Hurtado and Nicholas Jon Ganjei.
The FBI’s Cross Border Drug Violence Squad is a hybrid squad composed of agents with various investigative backgrounds, including narcotics, white-collar, public corruption, and gang expertise, to promote more comprehensive investigations. The FBI created hybrid squads along the Southwest Border that are dedicated to combating Mexican drug cartels and the violent crime threat along the border after Congress passed the Border Security Appropriations Bill in August 2010, which directed and funded the FBI to create these squads. The Albuquerque Division’s Cross Border Violence Squad focuses its investigative efforts on Mexican drug cartels and the major Mexican Drug Trafficking Organizations in New Mexico that support the cartels.

Wilmington Man Sentenced for Heroin Distribution

RALEIGH—United States Attorney Thomas G. Walker announced that in federal court on June 21, 2013, Chief United States District Judge James C. Dever sentenced Terrance Goodman, 23, of Wilmington, North Carolina, to 125 months’ imprisonment (concurrently on each charge), followed by three years’ supervised release.
On March 18, 2013, Goodman pled guilty to conspiracy to possession with the intent to distribute and distribution of a quantity of heroin and four counts of distribution of a quantity of heroin.
During the course of the investigation, the New Hanover County Sheriff’s Office, the Wilmington Police Department, and the Federal Bureau of Investigations Safe Streets Task Force made four undercover purchases of heroin from Goodman between September and December 2012.
The investigation and testimony from the sentencing hearing revealed that Goodman was one of the leaders of a street gang in Wilmington with approximately 40 to 50 members. The gang has been associated with violence and narcotics distributions in the Wilmington, North Carolina area.
This case was brought as a part of an Organized Crime Drug Enforcement Task Force (OCDETF) Operation entitled WoofPack, investigating importers and multi-level distributors of heroin, cocaine, crack cocaine, and gang activity associated with this distribution. So far, 37 persons have been sentenced in federal court as a part of this operation.
Investigation of this OCDETF case is being conducted by the Federal Bureau of Investigation (Safe Streets Task Force); the Bureau of Alcohol, Tobacco, Firearms, and Explosives; the United States Marshal Service; the North Carolina State Bureau of Investigation; the Wilmington, Greensboro, and Greenville Police Departments; the New Hanover and Onslow County Sheriff’s Offices; and the Florence County, South Carolina Sheriff’s Office. Special Assistant United States Attorney Timothy Severo represents the government. Mr. Severo is a prosecutor with the New Hanover County District Attorney’s Office. District Attorney Ben David has assigned him to the United States Attorney’s Office to prosecute federal Organized Crime Drug Enforcement Task Force criminal matters.

Hells Angels Members and Associates Convicted and Sentenced After Joint Investigation Uncovers Racketeering Conspiracy Dealing in Guns, Drugs, Armed Robbery, Arson, and Money Laundering

COLUMBIA, SC—As part of a cooperative federal, state, and local investigation, 16 members and associates of the Hells Angels were convicted in federal court of crimes related to a racketeering conspiracy (Racketeer Influenced and Corrupt Organizations Act, also known as RICO Act, 18 U.S.C. §1962). Today, three full-patch members of the Hells Angels—Hells Angels Charter President Mark “Lightning” Baker, as well as “Gravel” Dave Oiler and Bruce “Bruce-Bruce” Long—were sentenced after having been convicted by a jury of racketeering conspiracy, drug trafficking, money laundering, and firearm offenses. United States District Judge Cameron Currie sentenced Baker to 188 months, Oiler to 200 months, and Long to 168 months. Previously, 12 other members and associates of the Hells Angels were sentenced after having pleaded guilty. One defendant, Carlos Hernandez, remains to be sentenced. United States Attorney Bill Nettles said, “We are pleased to partner with federal, state, and local law enforcement in response to community concerns about outlaw motorcycle gangs. Removing machine-guns, silencers, assault rifles, other illegal firearms, and drugs from our streets while disrupting the trafficking activities of violent gangs, such as the Hells Angels, is and will remain a priority of the United States Attorney’s Office.”
Members and associates of the Hells Angels South Carolina Nomads Charter operated from Lexington to Rock Hill, South Carolina. As part of the coordinated criminal activity, the group engaged in drug dealing, money laundering, firearms trafficking, use of firearms in relation to crimes of violence and drug dealing, attempted armed robbery, arson, and other offenses. The Hells Angels’ leadership coordinated the criminal activity and received kickbacks or cuts of the illicit proceeds generated by members and associates of the Hells Angels. During the investigation, the gang’s leadership transitioned from long-time Hells Angels member “Diamond” Dan Bifield to recent inductee Mark “Lightning” Baker after the charter’s members voted Bifield out as president. Throughout, as Baker and Bifield explained in recorded conversations, members of the Hells Angels were to pay a cut of their profits from illegal activity to the Hells Angels and its leadership.
Though professing to live outside the structure of society’s laws as so-called “outlaws” or “one-percenters” (denoting that they are the one percent that refuses to abide by the law), the investigation showed the Hells Angels to have a highly organized hierarchical chain of command governed by extensive written rules. Membership, which is limited to white males that own an American-made motorcycle, requires more than a year of association with the gang. Only full members may wear the three-piece patch with the winged death head that has become synonymous with the Hells Angels.
The investigation revealed that the Hells Angels trafficked in a wide-array of firearms, knowing that the weapons were being sold to known felons for use in armed robberies of other drug dealers. In excess of one hundred guns were trafficked by the group (including by Bifield, Long, Pryor, Keach, and others) and recovered during the execution of search warrants, including fully automatic machine-guns, silencers, assault rifles with high-capacity magazines, pistols, and sawed-off shotguns.
Members of the organization not only supplied weapons, they also supplied methamphetamine (known as “biker’s coffee”) and cocaine, along with bath salts and prescription pain pills. The evidence showed that the defendants were responsible for more than five pounds of methamphetamine and multiple kilograms of cocaine. For example, Baker and Oiler obtained for re-distribution pounds of high-quality methamphetamine from Kerry Chitwood, a member of the Gastonia, North Carolina-based Southern Gentlemen Motorcycle Club. During their drug trafficking activities, club members traded on the Hells Angels’ infamous reputation to instill fear and obtain the drugs they wanted. Similarly, Bifield and Long distributed more than a kilogram of cocaine and bath salts obtained from a variety of sources. Other members of this drug conspiracy (including “Big” Frank Enriquez and Baker) trafficked in prescription pain pills.
“The Hells Angels are one of the most notorious biker gangs in the United States,” FBI Special Agent in Charge David A. Thomas explained. “Working with our federal, state, and local partners, we are committed to using our resources on the most significant problems facing our state. These convictions send a strong message that the coordinated efforts of law enforcement can disrupt, and hopefully dismantle, organized gang activity.”
After a month-long trial, a federal jury convicted Baker of racketeering conspiracy, narcotics conspiracy, and money laundering; Oiler of racketeering conspiracy, narcotics conspiracy, various counts of narcotics distribution and attempted distribution, money laundering, possession of a firearm in furtherance of drug trafficking and a crime of violence, and illegal possession of a machine-gun and silencer; and Long of racketeering conspiracy, narcotics conspiracy, various counts of narcotics distribution and attempted distribution, money laundering, and sale of firearms for use in drug trafficking and a crime of violence. These three received sentences ranging from 14 years to over 16 years.
Previously, six defendants pleaded guilty to a racketeering conspiracy and were sentenced by the court: “Diamond” Dan Bifield (210 months), David “Yard Owl” Pryor (84 months), Richard “Little Mark” Thrower (27 months), “Big” Frank Enriquez (24 months), Fred Keach (10 months), and Johanna Looper (15 months). Three defendants pleaded guilty to a narcotics conspiracy and were sentenced by the court: Kerry “Gowilla” Chitwood (240 months), “Big” Ron Byrum (51 months), and Trent Brown (24 months). Lisa Bifield pleaded guilty to possession of a firearm in furtherance of drug trafficking and a crime of violence and was sentenced to 84 months in prison. James “Sonny” Rhodus pleaded guilty to money laundering, receiving five years of probation, while Bruce “Diesel” Wilson pleaded guilty to selling a firearm to a known felon and received 18 months in federal prison.
“ATF will continue to work in conjunction with other law enforcement agencies to identify organized violent criminals in our joint effort to protect the public,” said ATF Charlotte Division Special Agent in Charge Wayne Dixie, “The sentencing of members and associates of the Hells Angels Motorcycle Club in federal court should send a loud and clear message to anyone who chooses to engage in this type of criminal activity; it cannot and will not be tolerated and you will be held accountable.”
This multi-agency investigation led by FBI Special Agent Devon Mahoney began in response to community concerns about the infiltration of the Rock Hill community by outlaw motorcycle gangs and the brewing violence developing between members of rival outlaw motorcycle gangs. Ultimately, the investigation—through cooperating individuals, surveillance, search warrants, court‑authorized wiretaps, consensual recordings, controlled buys, stings, and other investigative techniques—provided a window into the Hells Angels’ criminal activities that led to these arrests and convictions. This investigative partnership—the South Carolina Hells Angels Task Force—included officers and agents of the Federal Bureau of Investigation; Bureau of Alcohol, Tobacco, Firearms, and Explosives; Lexington Police Department; Lexington County Sheriff’s Department; York County Sheriff’s Department; Rock Hill Police Department; and the South Carolina State Law Enforcement Division (SLED). The case was prosecuted by Assistant United States Attorneys Jay Richardson and Jim May.