Assistant U.S. Attorney Michael DiGiacomo, who handled the case, said that between May 2011 and August 2018, Merritt was the treasurer of Ironworkers Local 470. As treasurer, he embezzled $50,850 in union funds to pay various personal expenses.

“We are living in unprecedented times and each one of us is struggling one way or another,” said Jonathan Larsen, Special Agent in charge of the IRS-CI New York Field Office. “In the coming weeks, the IRS will be issuing economic impact payments meant for hardworking Americans in a time of need and uncertainty. However, ruthless criminals are already preying on people’s fear during this pandemic, orchestrating various schemes to steal your money. Anyone expecting to receive a COVID-19 economic impact payment is at risk and we urge you to protect yourself.”

“Sadly, even during the most difficult of times for our community and Nation, the criminal element is standing by waiting to take advantage of a vulnerable and unsuspecting public,” stated U.S. Attorney James P. Kennedy, Jr. “To my fellow Americans I say, please be as vigilant to protect these payments as you have been in your efforts to help slow the spread of the virus. The IRS is telling you how the process will work and that certain things—such as requests for personal information, contact through social media, or requests for further verification—are not part of that process. To the scammers I say, beware, we will stop at nothing to find you, and once we do, we will administer to you a healthy dose of justice.”

Scammers may try to get you to sign over your economic impact check to them. Alternatively, they may inform you that, in order for the IRS to issue your payment, they must first “verify” your filing information. They will then use this personal information to file a false tax return in your name and claim a fraudulent refund. The tactics may continue to evolve but the goal is the same: to steal your money and personal information to commit other crimes.

Taxpayers should know that the IRS will deposit COVID-19 economic impact payments into the direct deposit account they previously provided on their tax return. Unsolicited phone calls, emails, text messages or other communications pretending to be from the IRS are likely a scam.

The IRS will not:

• Call and ask you to verify your payment details. Do not give out your bank account, debit card or PayPal account information. If you receive an unsolicited call, simply hang up.
• Text, email or contact you via social media to say that you can get your money faster by sending personal information. Don’t open attachments or click on links.
• Mail or deposit a check that requires you to verify the check online or by calling a number. Reports are emerging about bogus checks.
• If you receive a “check” in the mail now, it’s a fraud. It will take about three weeks for the distribution of checks to begin. If you receive a “check” for an odd amount (especially one with cents), or a check that requires that you verify the check online or by calling a number, it’s a scam.

Although criminals may change their tactics, knowing how the IRS will be issuing the COVID-19 economic impact payments can help taxpayers protect themselves. For the latest information visit www.irs.gov/coronavirus.

In coordination with the Department of Justice, Attorney General William Barr has directed U.S. Attorneys to prioritize the investigation and prosecution of Coronavirus fraud schemes.

“My message to those who seek to exploit the pandemic for their own personal gain by stealing others’ money, or identity, or both, is simple,” stated U.S. Attorney Kennedy.  “We have a treatment for you and that treatment includes prosecution and federal prison.  While others may get sick from the virus, most will recover. Sadly, I am not so sure these predators will ever recover from their affliction—as it seems to have rotted their hearts and souls.”

Some examples of these schemes include:

• Individuals and businesses selling fake cures for COVID-19 online and engaging in other forms of fraud.
• Phishing emails from entities posing as the World Health Organization or the Centers for Disease Control and Prevention.
• Malicious websites and apps that appear to share Coronavirus-related information to gain and lock access to your devices until payment is received.
• Seeking donations fraudulently for illegitimate or non-existent charitable organizations.
• Medical providers obtaining patient information for COVID-19 testing and then using that information to fraudulently bill for other tests and procedures.

In a memorandum to U.S. Attorneys issued March 19, Deputy Attorney General Jeffrey Rosen also directed each U.S. Attorney to appoint a Coronavirus Fraud Coordinator to serve as the legal counsel for the federal judicial district on matters relating to the Coronavirus, direct the prosecution of Coronavirus-related crimes, and to conduct outreach and awareness activities. U.S. Attorney Kennedy appointed Assistant U.S. Attorney David Rudroff to serve as Coronavirus Fraud Coordinator for the Western District of New York.

The NCDF can receive and enter complaints into a centralized system that can be accessed by all U.S. Attorneys, as well as Justice Department litigating and law enforcement components to identify, investigate and prosecute fraud schemes. The NCDF coordinates complaints with 16 additional federal law enforcement agencies, as well as state Attorneys General and local authorities.

To find more about Department of Justice resources and information, please visit www.justice.gov/coronavirus.

Scott Aikens

BUFFALO (December 11, 2019) – U.S. Attorney James P. Kennedy, Jr. announced today that Scott Aikens, 61 of Clymer, NY, who was convicted of possession of child pornography involving a prepubescent minor, was sentenced to serve 54 months in prison and five years supervised release by U.S. District Judge Elizabeth A. Wolford.

Assistant U.S. Attorney Charles M. Kruly, who handled the case, stated that in late June 2018, Homeland Security Investigations in Buffalo received information that a user, identified as “EJD,” was active on the Thai based child pornography open website “Boyxzeed2.net.” Investigators traced the email address utilized by “EJD” to Scott Aikens.

On September 14, 2018, Homeland Security Investigations and the New York State Police executed a search warrant at the defendant’s residence on Route 474 in Clymer and interviewed Aikens, who admitted that he viewed child pornography and that child pornography would be found on his computer. Investigators seized the computer and other electronic devices, which were found to contain a total of 683 videos and 22 images of child pornography.

Some of the child pornography possessed by the defendant depicted prepubescent minors or minors less than 12 years of age, and some of the child pornography possessed by the defendant contained sadistic or masochistic conduct or other depictions of violence.

At the time of his arrest, Aikens was a school teacher with the Clymer Central School District.

Today’s sentencing is the result of an investigation by Homeland Security Investigations, under the direction of Special Agent-in-Charge Kevin Kelly, and the New York State Police, under the direction of Major Edward Kennedy.

Assistant US Attorney Michael Adler, Chautauqua County District Attorney Patrick Swanson and US Attorney James Kennedy, Jr.

Chautauqua County District Attorney Patrick Swanson and U.S Attorney James P. Kennedy Jr. have created an Overdose Response Initiative.

Modeled after similar initiatives across the state and country, the program aims to examine overdose deaths in an effort to track down drug dealers and offer support to victims’ relatives. The Overdose Response Initiative aims to coordinate local law enforcement and compile information from a multitude of sources to find the origin of the drugs that lead to overdoses.

“We then will work with our federal partners, including the US Attorney’s Office and the FBI, to put these cases together for federal prosecution,” Swanson said. “Until now, the partnership has been an informal one, however, today, we are formalizing that partnership and making public our efforts to combat overdose deaths.”

The partnership announcement follows a training session, organized by Swanson and presented by Assistant U.S. Attorney Michael Adler, opioid coordinator for the U.S. Attorney’s Office. More than 40 investigators and top level administrators from law enforcement agencies across Chautauqua County attended the training hosted by the State University at Fredonia and Brent Isaacson, new SUNY Fredonia campus police chief.

“The level of participation today is a testament to the commitment by our law enforcement leaders to fight this problem in our community,” Swanson said.

Defendants who sell drugs that lead to an overdose death can be charged federally and face up to life in prison if convicted. For example, in November 2018, in a first of its kind verdict, a federal jury convicted Dontrell Wise of supplying the drugs that led to November 2017 death of a young Cheektowaga woman. Wise was sentenced in March to life in prison. The prosecution resulted from the combined efforts of the FBI, DEA, Buffalo Police, and Cheektowaga Police. Assistant U.S. Attorney Michael Adler handled the prosecution of that case.

“Collaboration at that level is what is needed to bring these peddlers of poison to justice,” Swanson said.

The initiative’s multistep, multi-agency approach, begins when an overdose occurs. Overdoses are being investigated like crime scenes. Investigating officers will work with the newly appointed Chautauqua County narcotics prosecutor to collect facts concerning the time, place and identity of the deceased and whether or not there is evidence of value at the scene. Another component is the cooperation of family and friends of the deceased. Investigators will interview those closest to the victim in hopes of discovering the source of the fatal drugs. All of the information, along with a toxicology analysis, will be compiled and relayed to the District Attorney’s Office, which will then develop a prosecution strategy in conjunction with the U.S. Attorney’s Office.

“I commend District Attorney Swanson for his proactive leadership in seeking to address the opioid crisis in Chautauqua County and the greater Southern Tier region,” Kennedy said. “We know that in areas where public health and public safety come together, death rates are reduced and communities make positive strides in the opioid battle. The residents of Chautauqua County should be encouraged by this new collaborative partnership. However, let this also serve as a warning to those peddling these deadly drugs that we are one team and we will find you and prosecute you.”

“We are able to take these steps because our U.S. Attorney, James P. Kennedy Jr. is committed to holding those who deal drugs accountable for the havoc they wreak,” Swanson said. “This is also possible in part because of an additional attorney being added to my staff. With the right resources we are able to accomplish more. One of my current priorities is to request the funds for an investigator to work side-by-side with my narcotic prosecutor. I am eager to give these cases the attention they deserve. Our citizens are dying and it needs to stop. This initiative is a much needed response to a tragic crisis that is gripping Chautauqua County and destroying countless lives throughout the county.”

Maio is also charged with using and maintaining a drug-involved premises, and possession with intent to distribute methamphetamine on premises where an individual under 18 was present and resided.

“Today we unveil a new weapon which we deploy as part of our effort to protect our community from the scourge that methamphetamine trafficking brings to it,” noted U.S. Attorney Kennedy. “This indictment marks the first time that any person in the Western District of New York has been charged with violating Title 21, United States Code, Section 860a, which requires that the sentencing court impose a mandatory, additional, consecutive term of up to 20 years in prison, whenever a methamphetamine-related drug offenses occurs on a premises at which a child is present. While we have directed much of our recent law enforcement effort to combatting deadly opioids, methamphetamine—though it may be a slower death—also kills. When it comes to protecting our community, new threats warrant new responses.”

Assistant U.S. Attorney Joshua Violanti, who is handling the case, stated that according to the indictment and a previously filed complaint, beginning in March 2018, the Jamestown Police Department Narcotics Unit began investigating Maio and Smith for the distribution of methamphetamine in and around the City of Jamestown. The investigation included controlled purchases of narcotics from defendant Maio.

On January 23, 2019, the Southern Tier Regional Drug Task Force executed a state search warrant at Maio’s residence on Main Street in East Randolph, NY. Maio and Smith were present at the time, along with two other adults and three minor children. Smith attempted to leave the residence but was detained and searched. Investigators recovered suspected crystal methamphetamine and on Smith. They also searched Maio and recovered suspected crack cocaine and a large amount of cash.

During a search of the residence, investigators recovered suspected marijuana, crystal methamphetamine, a digital scale, and other drug packaging and paraphernalia.

The defendants were arraigned this morning before U.S. Magistrate Judge Michael J. Roemer and detained.

The indictment is the result of an investigation by the Jamestown Police Department, under the direction of Chief Harry Snellings, the Drug Enforcement Administration, under the direction of Special Agent-in-Charge Ray Donovan, New York Field Division, and the Southern Tier Regional Drug Task Force, under the direction of Cattaraugus County Sheriff’s Office Lieutenant Ronald Lott.

The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.

Assistant U.S. Attorney Laura A. Higgins stated that beginning in early 2016, the Mercado served as one of the primary mid-level distributors of heroin and cocaine for the Sigfredo Martinez drug organization. Mercado admitted that he was responsible for the “night shift” transactions, and stated that his co-defendant, Bryan Ferrer-Vazquez, distributed during the “day shift.”

The defendant admitted that he received a couple hundred bundles of heroin from Martinez every few days and was tasked with distributing it to smaller dealers and users. Mercado said he would then turn over the proceeds to Martinez and take payment for his role in the distribution. The defendant also directed co-defendant Ferrer-Vazquez to distribute heroin to specific customers and would collect the proceeds earned by Ferrer-Vazquez on behalf of Martinez. During this period of time, Mercado occasionally worked with other uncharged co-conspirators to process bulk quantities of heroin and repackage it for retail sale.

Between November 3, 2016, and March 2, 2017, the Drug Enforcement Administration conducted four controlled purchases of heroin with the defendant. On April 6, 2017, federal search warrants were executed at 385 Buffalo Street, the residence of Ferrer-Vazquez, and 32 Duquesne Street, the residence of Sigfredo Martinez. At each location, law enforcement officers seized numerous ledgers and paper records of drug transactions. A federal search warrant was also executed at Mercado’s residence at 1083 North Main Street in Jamestown where approximately 10 ounces of marijuana and several suboxone strips were recovered.

Ferrer-Vazquez was previously convicted and is awaiting sentencing. Charges remain pending against Martinez.

The sentencing is the result of an investigation by the Drug Enforcement Administration, under the direction of Special Agent-in-Charge James J. Hunt, New York Field Division, the Jamestown Police Department, under the direction of Chief Harry Snellings, and the Southern Tier Regional Drug Task Force.

U.S. Attorney James Kennedy Jr. says 26 year-old Bobby Hunt, Jr. and 29 year-old Amy Dean allegedly threatened to cause bodily injury to an individual in retaliation for information relating to the commission of a federal offense given to a law enforcement officer.  The threats were made near the end of October.

Both Hunt and Dean face charges of conspiracy to retaliate against witnesses, witness retaliation, and taking action harmful to a witness.

The charges carry a maximum penalty of 20 years in prison, and a $250,000 fine.

Beau Jones (left) and Matt Jones, following their arrests in 2016

BUFFALO – U.S. Attorney James P. Kennedy, Jr. announced Tuesday, April 24 that Matthew Jones, 33, and Beau Jones, 31, both of Jamestown, pleaded guilty before U.S. District Judge Lawrence J. Vilardo to conspiracy to possess with intent to distribute, and distribution of, methamphetamine.

Matthew Jones pleaded guilty to a conspiracy involving five grams or more of methamphetamine and faces a minimum penalty of five years in prison, a maximum of 40 years, and a $5,000,000 fine.

His brother, Beau Jones, pleaded guilty to a conspiracy involving 50 grams or more of methamphetamine and faces a minimum penalty of 10 years in prison, a maximum of life, and a $10,000,000 fine.

Assistant U.S. Attorney Laura Higgins, who is handling the case, stated that the defendants were arrested on December 1, 2016, after a shipment of more than 360 grams of methamphetamine was delivered, via the U.S. mail, to the brothers at Matthew Jones’ residence at 70 Colfax in Jamestown.

Shortly after the delivery, Beau Jones was arrested during a car stop by police and the parcel containing the methamphetamine was discovered in the backseat of his vehicle. Matthew Jones was arrested later that day during a separate car stop. A safe was found in the trunk of his car containing an additional quantity of approximately 80 grams of methamphetamine.

The pleas are the result of an investigation by the Drug Enforcement Administration, under the direction of James J. Hunt, Special Agent-in-Charge, New York Field Division; and the Jamestown Police Department, under the direction of Chief Harry Snellings.

Sentencing for Matthew Jones is scheduled for July 30. Sentencing for Beau Jones is schedule for August 7.

34 year old Barrett Johnson was accused of selling the Schedule 1 drug on multiple occasions, at locations which included Johnson’s barbershop.

The defendant would purchase “Molly” from co-defendant Richard Clarke and, in turn, sell the “Molly” to others, including co-defendant Joshua Castro.

Co-defendants Joshua Castro and Richard Clarke have also been convicted.