FEDERAL GRAND JURY RETURNS INDICTMENTS
IN THE EASTERN DISTRICT OF TEXAS
TYLER, TX – A federal grand jury returned several indictments this week on cases of federal violations in the Eastern District of Texas.
RIGOBERO MERCADO TORRES, 47, of Selma, California, was indicted on charges of theft of possession of a controlled substance with intent to distribute. If convicted, he could receive imprisonment of not less than 10 years and a fine of not more than $250,000.
The indictment alleges that on January 13, 2008, the Nacogdoches Police Department stopped a tractor trailer for a traffic violation, received consent to search, and discovered approximately 4,000 pounds of marijuana in the trailer.
This case is being investigated by the Drug Enforcement Administration and the Nacogdoches Police Department. Assistant United States Attorney Lisa Flournoy is prosecuting the case.
HAROLD EARL SCALLON, 60, of Jacksonville, was indicted on charges of distribution of material involving the sexual exploitation of minors and possession of material involving the sexual exploitation of minors. If convicted, he could receive imprisonment for up to 20 years and a fine not to exceed $250,000.00 for each count.
The indictment alleges that on July 6, 2007, at his residence in Jacksonville, Texas, Scallon possessed a personal computer that contained visual depictions involving minors engaged in sexually explicit conduct. On that date, the computer was seized by law enforcement officers pursuant to a federal search warrant. A forensic analysis of the computer by law enforcement officers revealed visual depictions of more than 150 images involving minors engaged in sexually explicit conduct.
This case is part of Project Safe Childhood (PSC). In February 2006, the Department of Justice created Project Safe Childhood, a nationwide initiative designed to protect children from online exploitation and abuse. Led by the United States Attorneys Offices, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend, and prosecute individuals who exploit children via the Internet, as well as identify and rescue victims. For information about Project Safe Childhood, visit www.projectsafechildhood.gov/.
This case is being investigated by the Federal Bureau of Investigation and Longview Police Department. The case is being prosecuted by Assistant United States Attorney Bill Baldwin.
BILLY JOE HUFF, 36, of Phoenix, Arizona, was indicted on charges of conspiracy to possess with intent to distribute more than 100 kilograms of marijuana and possession with intent to distribute and distribution of more than 100 kilograms of marijuana. If convicted, he could receive imprisonment of up to 40 years and a fine of up to $2 million.
The indictment alleges that on January 24, 2008, Huff was stopped by a Smith County Sheriff's Deputy on Interstate 20 near 849 for a traffic violation. A search of Huff's vehicle led to the recovery of approximately 242 pounds of suspected marijuana which was secreted within the legitimate load of lettuce.
This case is being investigated by the Smith County Sheriff's Office and the Drug Enforcement Administration Task Force and is being prosecuted by Assistant United States Attorney Bill Baldwin.
STEVEN BRENT LEMONS, 51, of Arlington, was indicted on charges of bank fraud, wire fraud, misapplication of funds, interstate transportation of stolen funds, and conducting transactions with criminally derived funds. If convicted, he could receive imprisonment of 30 years and a fine of $1 million.
The indictment alleges that from May 2005 through March 2007 Mr. Lemons abused his position as the Senior Vice President of Investments and Financial Advisor at Banc of America Investment Services and President of the Tyler Market of Bank of America by misapplying a client's funds without their knowledge or consent.
This case is being investigated by the Internal Revenue Service and the Federal Bureau of Investigation. Assistant United States Attorney Jim Noble is prosecuting the case.
DENISE WARD, 50, of Overland Park, Kansas, was indicted on charges of sexual exploitation of children. If convicted, she could receive imprisonment of up to 20 years and a fine of up to $250,000.
The indictment alleges that in January and May of 2007, in Upshur and Harrison counties, respectively, Ward provided children for another person to use in the production of sexually explicit videos. The indictment further alleges that she failed to report the sexual exploitation to the minors' parents or federal law enforcement authorities.
This case is being investigated by the Longview Police Department Cyber Crimes Unit and the Federal Bureau of Investigation. The case is being prosecuted by Assistant United States Attorney Jim Noble.
This case is part of Project Safe Childhood (PSC). In February 2006, the Department of Justice created Project Safe Childhood, a nationwide initiative designed to protect children from online exploitation and abuse. Led by the United States Attorneys Offices, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend, and prosecute individuals who exploit children via the Internet, as well as identify and rescue victims. For information about Project Safe Childhood, visit www.projectsafechildhood.gov/.
It is important to note that an indictment should not be considered as evidence of guilt and that all persons charged with a crime are presumed innocent until proven guilty beyond a reasonable doubt.
GLADEWATER MAN SENTENCED FOR FEDERAL DRUG VIOLATIONS IN EASTERN DISTRICT OF TEXAS
(TYLER, TX) United States Attorney John L. Ratcliffe announced today that a 27-year-old Gladewater man has been sentenced to 36 months in federal prison for drug violations in the Eastern District of Texas.
ERIC CHAD AARON pleaded guilty on August 29, 2007 to possession with intent to distribute methamphetamine and was sentenced today by United States District Judge Leonard E. Davis.
According to information presented in court, an ongoing investigation began in January 2003 into the distribution of methamphetamine in East Texas. The operation has resulted in numerous undercover purchases and seizures of both drugs and guns. A federal indictment was returned by the Grand Jury on February 6, 2007 charging 16 individuals, including Aaron, with federal drug crimes.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives, the U.S. Drug Enforcement Administration, the Federal Bureau of Investigation, the Texas Department of Public Safety, the Gregg County District Attorney's Office, the Longview Police Department, and the Gregg County CODE Unit. This case is being prosecuted by Assistant United States Attorney Richard L. Moore.
BEAUMONT POLICE OFFICER SENTENCED FOR MAIL FRAUD
BEAUMONT, TX – United States Attorney John L. Ratcliffe announced today that a former Beaumont Police officer has been sentenced for mail fraud violations in the Eastern District of Texas.
PAUL PERRITT, 54, of Port Neches, pleaded guilty on November 13, 2007 to defrauding the Beaumont Police Officers Association (BPOA) of funds for his own personal use. He was sentenced today to 4 months in federal prison and 4 months home confinement by United States District Judge Thad Heartfield. Perritt was also ordered to pay $142,000.00 in restitution.
According to information presented in court, an investigation revealed that Perritt was employed as a police officer with the Beaumont Police Department from 1976 until May 2007. Perritt assumed the position of Treasurer of the BPOA around January 1994 and maintained that position until March 2007. As treasurer, Perritt had authority to write checks upon the BPOA bank accounts. Those accounts contained union dues deposited directly from the paychecks of Beaumont Police Officers. Although Perritt knew he was not authorized to use those funds for his personal benefit, he has admitted to issuing a check on a BPOA account in the amount of $3,300.00 as payment for his personal credit card. The check was mailed to the credit card company in June 2003. An Information was filed on October 23, 2007 charging Perrit with mail fraud.
This case was investigated by the United States Postal Service and prosecuted by Assistant United States Attorney Joseph R. Batte.
PORT ARTHUR MAN SENTENCED FOR FEDERAL GUN VIOLATION
BEAUMONT, TX -- United States Attorney John L. Ratcliffe announced today that a 41-year-old Port Arthur man has been sentenced to 70 months in federal prison in the Eastern District of Texas for federal firearms violations.
TONY DONDRE WILLIAMS pleaded guilty to being a felon in possession of a firearm on October 9, 2007 and was sentenced today by United States District Judge Thad Heartfield.
According to information provided in court, on October 21, 2006 law enforcement officers responded to a report of shots being fired in the 2700 block of Lakeshore Drive in Port Arthur. Williams was located in the vicinity and a search of his vehicle revealed a pistol and ammunition. Further investigation revealed Williams to be a convicted felon and prohibited by federal law from owning or possessing firearms or ammunition. Williams had previous convictions for possession with intent to distribute a controlled substance in the Eastern District of Texas in 1996, possession of a controlled substance in Jefferson County in 1992, and arson in Jefferson County in 1992.
Williams was indicted by a federal grand jury on June 6, 2007 and charged with being a felon in possession of a firearm.
The case was investigated by the Port Arthur Police Department and the Bureau of Alcohol, Tobacco, Firearms, and Explosives and prosecuted by Assistant United States Attorney Randall L. Fluke.
NEWTON MEN INDICTED BY FEDERAL GRAND JURY FOR BANK ROBBERY
BEAUMONT, TX—United States Attorney John L. Ratcliffe announced today that a federal grand jury has returned an indictment charging four Newton residents with armed bank robbery in the Eastern District of Texas.
The following persons were named in the federal indictment which was returned late yesterday:
EDDIE WAYNE LEVIAS, 43, of Newton;
PATRICK JEROME LEVIAS, 46, of Newton;
FREDERICO JOHNSON, JR., 19, of Newton; and
JOSE FEDERICO CRUZ, 18, of Newton.
According to the indictment, on February 22, 2008, the defendants are alleged to have conspired to rob the McLewis branch of Orange Savings Bank. In addition to being indicted for armed bank robbery and conspiracy, Johnson and Cruz have also been indicted for using firearms to commit the robbery. Due to the quick actions of bank employees, the bank did not suffer a loss and the defendants were quickly apprehended.
The defendants face up to 25 years in federal prison for the bank robbery charge, five years to life for the firearms charge, and five years for the conspiracy charge and a fine not to exceed $250,000.
This case is being investigated by the Orange County Sheriff's Office, the Orange Police Department, the Newton County Sheriff's Office, the Newton Police Department, the Pinehurst Police Department, the West Orange Police Department, the Orange County Constables Offices, the Texas Department of Public Safety, the Texas Rangers, and the Federal Bureau of Investigation. The case is being prosecuted by Assistant United States Attorney Robert L. Rawls.
It is important to note that an indictment should not be considered as evidence of guilt and that all persons charged with a crime are presumed innocent until proven guilty beyond a reasonable doubt.
GEORGIA MAN SENTENCED FOR DRUG VIOLATIONS IN THE EASTERN DISTRICT OF TEXAS
(BEAUMONT, TX) United States Attorney John L. Ratcliffe announced today that a 25-year-old Gainesville, Georgia man has been sentenced to 46 months in federal prison for drug violations in the Eastern District of Texas.
ARTURO HERRERA pleaded guilty on December 20, 2007 to possessing with the intent to distribute cocaine and was sentenced today by United States District Judge Thad Heartfield.
According to information presented in court, on October 23, 2007 Herrera was stopped by an officer with the Beaumont Police Department on Interstate-10 in Jefferson County for a routine traffic violation. A search of Herrera's vehicle revealed 16 bundles wrapped in tape secreted under the body of the vehicle. Forensic analysis determined the bundles contained over ten kilograms of cocaine. Herrera was indicted by a federal grand jury on November 7, 2007.
This case was investigated by the Beaumont Police Department and the Drug Enforcement Administration and was prosecuted by Assistant United States Attorney John Craft.
LEADER OF MASSIVE DRUG CONSPIRACY SENTENCED IN EASTERN DISTRICT OF TEXAS
(BEAUMONT, TX) United States Attorney John L. Ratcliffe announced today that the ring leader in the drug investigation known as "Operation Kings Court" has been sentenced to 275 months in federal prison in the Eastern District of Texas.
JOSE REYES-GARCIA, 32, of Nacogdoches, pleaded guilty on November 20, 2006 to conspiracy to distribute cocaine, cocaine base, and marijuana and was sentenced today by United States District Judge Thad Heartfield.
According to information presented in court, an investigation began in 2002 into a drug ring that spread from the Texas/Mexico border to the Lufkin/Nacogdoches area, and even farther into Oklahoma, Alabama, and Georgia. Undercover law enforcement officers and cooperating individuals purchased weapons and drugs from various co-conspirators up until early summer of 2006.
Numerous conspirators in the drug investigation have already been sentenced to federal prison. These include:
Juan Garcia, 24, of Nacogdoches, 188 months;
Gilberto Vega, 31, of Lufkin, 210 months;
Rodolfo Aguilar, 29, of Lufkin, 235 months;
Jairo Romero Frausto, 27, of Nacogdoches, 97 months;
Raul Gutierrez Perez, Jr., 30, of Lufkin, 188 months;
Oscar Aparicio Solares, 44, of Nacogdoches, 120 months;
Richard Solis, 27, of Lufkin, 70 months;
Christian Moyeda, 20, of Lufkin, 63 months;
Yesika Carrillo, 28, of Nacogdoches, 48 months;
Miguel Canedo, 38, of Houston, 168 months;
Javier Lopez, 29, of Nacogdoches, 33 months;
Ruben Espejo-Lopez, 27, of Nacogdoches, 135 months;
Pablo Pasqual, 25, of Nacogdoches, 30 months;
Victor Scott Ingram, 41, of Arcadia, California, 37 months;
Alfredo Olmeda, 36, of Nacogdoches, 24 months;
Juan Andrade, 31, of Lennox, California, 30 months; and
Juan Antonio Ramos, 20, of Nacogdoches, 57 months.
This case was investigated by the Federal Bureau of Investigation, the Bureau of Alcohol, Tobacco, Firearms, and Explosives, Immigration and Customs Enforcement, the Texas Department of Public Safety, the Nacogdoches Police Department, the Nacogdoches Sheriff's Office and the Lufkin Police Department. This case was prosecuted by Assistant United States Attorney Reynaldo P. Morin.
THREE SENTENCED FOR FEDERAL CRIMES IN EASTERN DISTRICT OF TEXAS
(TYLER, TX) United States Attorney John L. Ratcliffe announced today that three men have been sentenced to federal prison for separate federal violations in the Eastern District of Texas. The sentencing hearings were held today before United States District Judge Michael H. Schneider.
CHANCELLOR GUNTER, 24, of Gregg County, pleaded guilty on November 7, 2007 to bank robbery and was sentenced today to 120 months in federal prison.
According to information presented in court, an investigation revealed that Gunter and a co-defendant robbed the Synergy Federal Credit Union in Longview on October 10, 2006. On December 7, 2006, the Federal Grand Jury issued a grand jury indictment and subsequent arrest warrant for Gunter and the co-defendant.
This case was investigated by the Federal Bureau of Investigation, the East Texas Violent Crimes Task Force, the Longview Police Department and the Gilmer Police Department. This case was prosecuted by Assistant United States Attorney Richard L. Moore.
LUIS RUBEN FLORES, 39, of Alamo, Texas, pleaded guilty on November 1, 2007, to possession with intent to distribute cocaine and was sentenced today to 212 months in federal prison as well as a forfeiture judgment in the amount of $50,000.00.
According to information presented in court, Flores was transporting cocaine in a semi-tractor when he was stopped by Texas Department of Public Safety Trooper Jeremy Fountain in Rusk County on U.S. Highway 59. During the stop, the trooper discovered the cocaine hidden under a load of carrots.
This case was investigated by the Texas Department of Public Safety and prosecuted by Assistant United States Attorney Bill Baldwin.
ROMIE WESLEY BROWN, 33, of Dallas, pleaded guilty on September 5, 2007 to being a felon in possession of a firearm and was sentenced today to 120 months in federal prison.
According to information presented in court, on May 1, 2007, law enforcement officers responded to a call involving a man with a shotgun. Once on the scene, they observed Brown exit a vehicle with a shotgun in plain view on the front seat. Further investigation revealed that Brown had previously been convicted of numerous felony crimes including Evading Arrest/Detention with a Vehicle and Engaging in Organized Criminal Activity. As a convicted felon, Brown is prohibited from owning or possessing firearms or ammunition.
This case was investigated by the Carthage Police Department and the Bureau of alcohol, Tobacco, Firearms, and Explosives and was prosecuted by Assistant United States Attorney Jim Noble.
FEDERAL JURY CONVICTS PAUL QUINN COLLEGE BOARD MEMBER/TREASURER WITH EMBEZZLEMENT AND THEFT FROM THE COLLEGE
DALLAS — Following 20 minutes of deliberation, a federal jury in Dallas has convicted James L. Fantroy, Sr., a former Dallas City Council Member and a former member of the Board of Directors and Treasurer of Paul Quinn College Community Development Corporation (Paul Quinn CDC) in Dallas, on an indictment that charged him with one count of embezzlement and theft from a program receiving federal funds, announced U.S. Attorney Richard B. Roper of the Northern District of Texas. Fantroy faces a maximum statutory sentence of 10 years in prison, a $250,000 fine and restitution. He is scheduled to be sentenced by U.S. District Judge Ed Kinkeade on May 21, 2008.
In 1998, the U.S. Department of Housing and Urban Development (HUD) approved Paul Quinn College for a $250,000 Historical Black Colleges and Universities (HBCU) grant. The college hired Paul Quinn CDC to assist in administering the grant, which included the revitalization of the college’s surrounding area. Paul Quinn College entered into a real estate management agreement with Paul Quinn CDC establishing Paul Quinn CDC as the manager of the Highland Hills Shopping Center, a property owned by Paul Quinn College. It required Paul Quinn CDC to deposit all rental receipts it collected, less any sums properly deducted or otherwise provided for in the agreement, into a trust account for the benefit of Paul Quinn College.
From August 2000 through June 7, 2002, Paul Quinn College received eight disbursements totaling approximately $222,853 from HUD, pursuant to the HBCU grant. During the one year period beginning April 1, 2003, Paul Quinn College received funds from a second HBCU grant, totaling more than $10,000.
The government presented evidence at trial that from April 26, 2003, through July 30, 2003, James L. Fantroy, Sr., acting as an agent for Paul Quinn College, embezzled approximately $21,000 in monies held in trust for Paul Quinn College.
U.S. Attorney Roper praised the investigative efforts of the Federal Bureau of Investigation and the U.S. Department of Housing and Urban Development, Office of Inspector General. The case is being prosecuted by Assistant U.S. Attorneys Marcus Busch and Tammy Reno.