Category: Security

Source: US FBI

LAS VEGAS – A Waterville, Ohio, resident was sentenced today by United States District Judge Cristina D. Silva to 15 years in prison to be followed by a lifetime term of supervised release for the sexual exploitation of children that he met on social media messaging applications and then coerced them to make and send him child sexual abuse material.

According to court documents, on September 25, 2023, Todd Maxson, 56, began a conversation with a 14-year-old girl in Nevada via Telegram, an internet-based social media application that allows users to privately message each other. Almost daily between September 25, 2023, and October 19, 2023, Maxson ordered, received, and paid for sexually explicit images and videos of the victim via Cash App. Additionally, Maxson sought out females expressing suicidal or depressive tendencies and encouraged the behavior by requesting sexual content depicting self-harm, cutting, and bleeding. He would send knives to the children to help them make the videos.

In October 2024, Maxson pleaded guilty to one count each of sexual exploitation of children, receipt of child pornography, and possession of child pornography. In addition to imprisonment, under the Sex Offender Registration and Notification Act, Maxson must register as a sex offender and keep the registration current.

Acting United States Attorney Sue Fahami for the District of Nevada and Special Agent in Charge Spencer L. Evans for the FBI Las Vegas Division made the announcement.

This case was investigated by the FBI. Assistant United States Attorney Afroza Yeasmin prosecuted the case.

This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the epidemic of child sexual exploitation and abuse launched in May 2006 by the Justice Department. Led by U.S. Attorneys’ Offices and the Child Exploitation and Obscenity Section, 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 to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.

Anyone with information on suspected child sexual exploitation can contact the National Center for Missing and Exploited Children by calling 1-800-THE-LOST (1-800-843-5678) or online at https://report.cybertip.org.

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Source: US FBI

LAS VEGAS – A Las Vegas, Nevada, woman has been charged in a 21-count superseding indictment for allegedly luring older men she met through online dating services and stealing their monies for her personal benefit.

Aurora Phelps, 43, with residences in Las Vegas and Guadalajara, Mexico, is charged with seven counts of wire fraud; three counts of mail fraud; six counts of bank fraud; three counts of identity theft; one count of kidnapping; and one count of kidnapping resulting in death. Phelps is currently in custody in Mexico.

According to allegations contained in the superseding indictment, from July 1, 2021, to December 9, 2022, Phelps would meet older men on dating websites or services, then meet them in-person. It was part of her scheme to drug the older men to gain unauthorized access to and steal money from their financial accounts to personally benefit herself and her family members.

The superseding indictment stems from a two-year investigation by the FBI Las Vegas Division. The superseding indictment was returned by a federal grand jury in September 2023.

Photo of defendant Aurora Phelps, from court document in United States of America v. Aurora Phelps, number 2:23-cr-0167-CDS-DJA, in U.S. District Court for the District of Nevada.

In romance scams, the scammer gains an unsuspecting individual’s affection and trust, then uses the illusion of a romantic or close relationship to manipulate and/or steal from the victim. These schemes not only cause significant financial losses, but also deeply impact the lives of victims.

If convicted on all counts, Phelps faces a maximum statutory penalty of life in prison.

The charges were announced by Acting United States Attorney Sue Fahami for the District of Nevada and Special Agent in Charge Spencer L. Evans for the FBI Las Vegas Division.

The investigation is a result of the close cooperation between the United States and Mexican authorities. The Justice Department’s Office of International Affairs is providing significant assistance in this case. Assistant United States Attorneys Daniel R. Schiess and Steven J. Rose are prosecuting the case.

An FBI website has been established seeking to identify potential victims. Any individuals who believe they or someone they know may have been victimized by Phelps or otherwise have information related to the case are encouraged to contact the FBI at 1-800-CALL-FBI or complete a survey via this website https://www.fbi.gov/how-we-can-help-you/victim-services/seeking-victim-information/seeking-victim-information-in-aurora-phelps-investigation.

If you or someone you know is age 60 or older and has experienced financial fraud, experienced professionals are standing by at the National Elder Fraud Hotline 1-833-FRAUD-11 (1-833-372-8311). This Justice Department hotline, managed by the Office for Victims of Crime, can provide personalized support to callers by assessing the needs of the victim and identifying relevant next steps. Case managers will identify appropriate reporting agencies, provide information to callers to assist them in reporting, connect callers directly with appropriate agencies, and provide resources and referrals, on a case-by-case basis. Reporting is the first step. Reporting can help authorities identify those who commit fraud and reporting certain financial losses due to fraud as soon as possible can increase the likelihood of recovering losses. The hotline is open Monday through Friday from 10:00 a.m. to 6:00 p.m. ET. English, Spanish and other languages are available.

More information about the department’s efforts to help older Americans is available at its Elder Justice Initiative webpage, which can be found at elderjustice.gov. For more information about the Consumer Protection Branch and its enforcement efforts, visit www.justice.gov/civil/consumer-protection-branch. Elder fraud complaints can be filed with the FTC at www.reportfraud.ftc.gov/ or at 877-FTC-HELP. The Justice Department provides a variety of resources relating to elder fraud victimization through its Office for Victims of Crime, at www.ovc.gov.

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

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Source: US FBI

LEXINGTON, SC—The Federal Bureau of Investigation’s Internet Crime Complaint Center (IC3) has released its latest annual report. The 2024 Internet Crime Report combines information from 859,532 complaints of suspected Internet crime and details reported losses exceeding $16 billion—a 33% increase in losses from 2023.

According to the 2024 report, South Carolina ranked 22 out of all states in the number of complaints received by the public. South Carolinians reported $146 million in losses, a $27 million increase from the prior year. As a group, people 60 and older submitted the greatest number of complaints and suffered the most severe financial losses at $58.5 million.

The top three cyber crimes in South Carolina, by number of complaints, reported by victims in 2024 were: Extortion (1,384), phishing/spoofing (1,259), and personal data breaches (924).

The top three cyber crimes in South Carolina reported by financial losses were: Business e-mail compromises ($40.8 million), up from $30.6 million in 2023; investment fraud ($38.4 million), down from $42.5 million the previous year; and confidence/romance scams ($15.1 million), up from $11.3 million in 2023.

“Cyber crime remains a serious and growing threat to South Carolinians, with victims losing millions of dollars annually,” said Reid Davis, acting special agent in charge of the FBI Columbia field office. “The FBI is fully committed to identifying and bringing cybercriminals to justice and empowering the public with the critical tools and awareness. One effort is our outreach to South Carolina seniors, where we engage with groups about current online threats and provide them with security measures they can take to stay ahead of the evolving cyber landscape.”

To promote public awareness, the IC3 produces an annual report to aggregate and highlight the data provided by the public. The quality of the data is a direct reflection of the information the public provides through the IC3 website. The IC3 standardizes the data by categorizing each complaint and analyzes the data to identify and forecast trends in Internet crime. The annual report helps the FBI develop effective relationships with industry partners and share information for investigative and intelligence purposes for law enforcement and public awareness.

The IC3, which was established in May 2000, houses nine million complaints from the public in its database and continues to encourage anyone who thinks they’ve been the victim of a cyber-enabled crime, regardless of dollar loss, to file a complaint through the IC3 website. The more comprehensive complaints the FBI receives, the more effective it will be in helping law enforcement gain a more accurate picture of the extent and nature of Internet-facilitated crimes.

The FBI recommends that everyone frequently review consumer and industry alerts published by the IC3. If you or your business is a victim of an Internet crime, immediately notify all financial institutions involved in the relevant transactions, submit a complaint to www.ic3.gov, contact your nearest FBI field office, and contact local law enforcement.

Learn more about the history of IC3 by listening to this previously released podcast: FBI podcast episode “Inside the FBI: IC3 Turns 20.”

The full 2024 Internet Crime Report can be found here

Source: US FBI

“Operation Gatekeeper 3.0” protects the U.S.-Caribbean border by targeting drug and arms trafficking through the U.S. Mail

Source: US FBI

SAN JUAN, Puerto Rico – A Ponce man was arrested on March 25, 2025, on criminal charges related to various schemes involving bank fraud and money laundering. One company that he operated, Rossy Sport Bar Panorámico, LLC, was also indicted for its role in the bank fraud scheme.

According to court documents, in 2020 and 2022, Melvin E. Rivera-Oliveras, 40, executed a scheme and artifice to defraud multiple federally insured financial institutions in Puerto Rico. Rivera-Oliveras attempted to conduct fraudulent refund transactions for more than $7 million using multiple debit cards at various companies that he managed and operated.

After acquiring point of sale (POS) systems, Rivera-Oliveras conducted fraudulent refund transactions and was able to gain temporary access to the funds and to spend a portion of the funds that did not belong to him.

In July 2022, Rivera-Oliveras submitted fraudulent transactions in an attempt to obtain over $270,000 via fraudulent refund transactions using a debit card associated with Rossy Sport Bar Panorámico, which was another company he was managing. The proceeds of that scheme were deposited into an account held by Rossy Sport Bar Panorámico.

With the proceeds of these crimes, Rivera-Oliveras purchased multiple vehicles, including a Cadillac CTS, a Ford Transit Connect XL, and a Mercedes Benz C Class. In addition, Rivera-Oliveras made multiple bank transactions in excess of $10,000.

“The defendant created and executed a complex scheme to defraud banks and businesses,” said W. Stephen Muldrow, United States Attorney for the District of Puerto Rico. “I commend the FBI agents and law enforcement partners who uncovered this web of illegal financial transactions.”

“These crimes strike at the heart of public trust and financial stability. Bank fraud may not always leave a specific victim with empty pockets, but make no mistake, it erodes the very systems that uphold our economy,” said Devin J. Kowalski, Acting Special Agent in Charge of the FBI’s San Juan Field Office. “Thanks to the outstanding work of our agents and partners, this scheme was uncovered. To those who believe they can conceal their fraud behind layers of deception, know that the FBI will not rest until you are brought to justice.”

If convicted, Rivera-Oliveras faces the following penalties: up to 30 years in prison for bank and wire fraud; and up to ten years for money laundering. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.

The Federal Bureau of Investigation is in charge of the investigation of the case.

Assistant U.S. Attorney Marie Christine Amy from the Financial Fraud & Public Corruption Section is prosecuting the case.

A criminal complaint is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.

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Source: US FBI

St. Croix, VI – United States Attorney Delia L. Smith announced today that Nicole Morales, 48, a California native and resident of St. Croix, was sentenced by District Judge Wilma A. Lewis to 16 months incarceration following her guilty plea in November 2024, to three counts of wire fraud. Judge Lewis also ordered Morales to pay restitution in the amount of $372,496.34, and a special assessment in the amount of $300.00. 

According to court records, in November 2015, Morales was employed by Nichols, Newman, Logan, Grey, and Lockwood, P.C., in St. Croix as the office manager where her duties included processing payroll through Banco Popular. In December 2015, Morales began fraudulently inflating her payroll using QuickBooks accounting software. Thereafter, Morales wired unauthorized funds from her employer’s Banco Popular account into three separate personal bank accounts owned by Morales. After transferring the funds to her personal accounts, Morales would change the inflated amounts in QuickBooks to reflect her correct income and payroll figures. Morales would later generate reports in QuickBooks with the correct payroll figures which were approved by her employer. Morales continued this conduct until January 2019, after having embezzled a total of $372,496.34 from her employer. 

This case was investigated by the Federal Bureau of Investigation and prosecuted by Assistant United States Attorney Daniel H. Huston and Rhonda Williams-Henry.

Source: US FBI

SAN JUAN, Puerto Rico – After a five-day jury trial, Lionel Albino Galindo was found guilty of six counts of child exploitation. United States District Court Judge Maria Antongiorgi-Jordan presided over the trial.

According to court documents, from February 2024 throughout March 19, 2024, Lionel Albino Galindo sexually exploited a 13-year-old female minor. The defendant used a cellular phone as well as internet instant messaging services, to knowingly persuade, induce, entice, and coerce a 13-year-old female minor, to engage in sexual activity, which includes the production of child pornography.

During trial, the government presented evidence to prove that Albino Galindo knowingly transported the female minor to engage in sexual activity on several occasions and produced visual depictions of such conduct. The defendant also received child pornography from the female minor and sent obscene material to the minor.

The jury found Lionel Albino Galindo guilty of one count of coercion and enticement of a minor; one count of transportation of a minor with intent to engage in criminal sexual activity; one count of sexual exploitation of children; one count for receipt of child pornography; one count for possession of child pornography; and one count of transfer of obscene material to a minor.

The defendant faces the following possible sentences: for coercion and enticement and transportation of minor to engage in illicit sexual conduct, the defendant faces a mandatory minimum term of imprisonment of 10 years up to life; for sexual exploitation of children he faces a mandatory minimum term of imprisonment of 15 years up to 30 years; for possession of child pornography and transfer of obscene material  to a minor he faces up to 10 years; and for receipt of child pornography he faces five to 20 years in prison; all charges followed by a term of supervised release of no less than 5 years up to life. The sentencing hearing is scheduled for June 10, 2025, at 9:30 am. The defendant was ordered to remain under the custody of the Bureau of Prisons pending sentencing.

“I commend the prosecutors, and our law enforcement partners for their hard work and dedication in bringing this child predator to justice,” said United States Attorney W. Stephen Muldrow of the District of Puerto Rico.

“The FBI remains steadfast in its commitment to protecting our most vulnerable—our children,” said Devin Kowalski, Acting Special Agent in Charge of the FBI’s San Juan Field Office. “This verdict underscores the seriousness of crimes against minors and reinforces our dedication to holding offenders accountable. We will continue working with our law enforcement partners to ensure that those who prey on children face the full force of justice.”

The FBI investigated the case with the collaboration of the Puerto Rico Police Bureau.

Assistant US Attorney (AUSA) Jenifer Y. Hernández Vega, Chief of the Child Exploitation and Immigration Unit and AUSA Emelina Agrait Barreto prosecuted the case.

This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and the Child Exploitation and Obscenity Section, 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 to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.

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Source: US FBI

SAN JUAN, Puerto Rico – After a five-day jury trial, a federal jury convicted Antonio Pizarro Adorno, a former Puerto Rico Special Investigations Bureau (“NIE” as known in Spanish) officer who was assigned to the U.S. Department of Homeland Security (HSI), for corruptly concealing $170 during a law enforcement seizure. United States District Court Judge Camille Vélez-Rivé presided over the trial.

According to court documents and evidence presented at trial, on April 27, 2023, Pizarro Adorno, took $170 in cash seized by the Puerto Rico Police Bureau (PRPB), with the intent to impair its integrity and availability for use in an investigation being conducted by the U.S. Department of Homeland Security and the U.S. Bureau of Alcohol, Tobacco, Firearms and Explosives related to drug trafficking in a community in San Juan, Puerto Rico.

“The vast majority of law enforcement officers serve the community with honor and valor,” said U.S. Attorney W. Stephen Muldrow of the District of Puerto Rico. “Those who do not, will be prosecuted to the fullest extent of the law.”

“Every act of corruption, big or small, weakens the foundation of justice, and we will not tolerate it,” said Devin J. Kowalski, Acting Special Agent in Charge of the FBI’s San Juan Field Office. “The FBI remains focused on holding accountable those who betray that trust, no matter the amount, no matter the circumstances.”

The FBI San Juan Field Office, Public Corruption Unit is investigating the case, with the collaboration of the Department of Homeland Security and the U.S. Bureau of Alcohol, Tobacco, Firearms and Explosives. Pizarro Adorno is facing up to 20 years in prison. The sentencing hearing is scheduled for June 10, 2025.

Assistant U.S. Attorney Marie Christine Amy prosecuted the case.

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Source: US FBI

CHARLESTON, W.Va. – Luther A. Hanson, 72, of Charleston, was sentenced today to three years of federal probation, including eight months on home detention, and fined $5,000 for willful failure to pay over taxes. The Court previously determined that Hanson owed $146,771.37 to the United States Department of the Treasury as a result of his criminal scheme. Hanson paid the entire $146,771.37 prior to today’s sentencing.

According to court documents and statements made in court, from at least 2015 to September 2020, Hanson willfully and intentionally did not withhold or pay over approximately $149,905.38 in employment taxes to the Internal Revenue Service (IRS) for two employees of his accounting services businesses. Hanson owns, manages, controls and operates The Estate Planning Group Inc. and L.A. Hanson Accounting Services, and the two employees provided accounting and account services for both.

Hanson admitted that some time prior to June 30, 2015, he and the two employees agreed that he would begin treating them as independent contractors. Hanson further admitted that he knew this arrangement would relieve him of paying the employer portion of the employment taxes to the IRA and of withholding the employee withholdings of the two employees.

As a result of this arrangement, Hanson paid gross wages by check to the two employees even though neither changed their job duties or responsibilities. Hanson admitted that he knew that neither was an independent contractor while he paid each by check throughout their continued employment. Hanson further admitted that he did not pay the trust fund taxes to the IRS that were owed and did not pay over the employer’s share of employment taxes for the two employees each quarter during the duration of this arrangement.

One of the employees paid a portion of the taxes owed, resulting in the adjusted figure of restitution owed by Hanson.

Acting United States Attorney Lisa G. Johnston made the announcement and commended the investigative work of the Internal Revenue Service-Criminal Investigations (IRS-CI) and the Federal Bureau of Investigation (FBI).

Senior United States District Judge John T. Copenhaver, Jr. imposed the sentence. Assistant United States Attorney Erik S. Goes prosecuted the case.

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 2:24-cr-119.

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Source: US FBI

BECKLEY, W.Va. – Deona’tre Capri Dowell, 31, of Beckley, was sentenced today to nine years in prison, to be followed by three years of supervised release, for conspiracy to distribute fentanyl. Dowell admitted to a role in a drug trafficking organization (DTO) that distributed methamphetamine, fentanyl and cocaine base, also known as “crack,” in Beckley and elsewhere within the Southern District of West Virginia.

According to court documents and statements made in court, on May 25, 2024, Dowell received an ounce of fentanyl from a co-conspirator at his Beckley residence. Dowell admitted to the transaction and to arranging it earlier that day. Dowell further admitted that he obtained additional quantities of fentanyl during May 2024 from his supplier on consignment, paying the supplier back with the proceeds from distributing it.

On May 30, 2024, law enforcement officers executed a search warrant at Dowell’s residence and found approximately 535 grams of methamphetamine, 1.2 kilograms of fentanyl, a Romarm Micro Draco 7.62mm firearm, and a Glock model 21 .45-caliber semiautomatic handgun. Dowell admitted to possessing the seized controlled substances and intending to distribute them.

Dowell is among 12 individuals indicted on charges alleging the defendants conspired to distribute methamphetamine, fentanyl, and crack within the Southern District of West Virginia from in or about June 2023 to in or about May 2024. All 12 have pleaded guilty, including two defendants who pleaded guilty to separate charges in lieu of the offenses alleged in the indictment.

Acting United States Attorney Lisa G. Johnston made the announcement and commended the investigative work of the Federal Bureau of Investigation (FBI), the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), and the Beckley/Raleigh County Drug and Violent Crime Unit, which consists of officers from the West Virginia State Police, the Raleigh County Sheriff’s Department, and the Beckley Police Department.

Chief United States District Judge Frank W. Volk imposed the sentence. Assistant United States Attorney Timothy D. Boggess and former Assistant United States Attorney Andrew D. Isabell prosecuted the case.

The investigation was part of the Department of Justice’s Organized Crime Drug Enforcement Task Force (OCDETF). The program was established in 1982 to conduct comprehensive, multilevel attacks on major drug trafficking and money laundering organizations and is the keystone of the Department of Justice’s drug reduction strategy. OCDETF combines the resources and expertise of its member federal agencies in cooperation with state and local law enforcement. The principal mission of the OCDETF program is to identify, disrupt and dismantle the most serious drug trafficking organizations, transnational criminal organizations and money laundering organizations that present a significant threat to the public safety, economic, or national security of the United States.

A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 5:24-cr-90.

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