State Official Pleads Guilty to Obtaining Fraudulent Licenses for Illegal Aliens

An employee at a contracted state license office pleaded guilty in federal court Tuesday, December 11, 2012, to conspiracy to unlawfully assist more than 100 illegal aliens obtain fraudulent Missouri driver's licenses.

This guilty plea resulted from an extensive investigation led by U.S. Immigration and Customs Enforcement's (ICE) Homeland Security Investigations (HSI), in cooperation with the Missouri Department of Revenue's Compliance and Investigation Bureau, and numerous other federal, state and local investigative agencies.

Thomas Richard McNamara III, 26, of St. Joseph, Mo., pleaded guilty to participating in a conspiracy to unlawfully produce identification documents, to unlawfully transfer the means of identification of another person, and to commit Social Security fraud.

McNamara was employed at a contracted license office in St. Joseph during the time of the conspiracy. In September 2009, McNamara began conspiring with others to provide Missouri driver's or non-driver's licenses to illegal aliens who were not legally entitled to them based on the false supporting identity documentation provided.

Based on this operation, illegal aliens traveled across the United States to obtain licenses from this license office by using unlawfully obtained birth certificates and Social Security cards. It is estimated that more than 100 Missouri licenses had been unlawfully issued to illegal aliens as part of this conspiracy.

According to McNamara, it was common knowledge among the employees at the license office that co-conspirators were assisting illegal aliens to unlawfully obtain licenses.

McNamara admitted that he was paid $50 to $100 each time he accepted fraudulent documents from illegal aliens, who were escorted to the office by co-conspirators disguised as translators. These fraudulent documents included invalid Puerto Rican birth certificates and certain state-issued birth certificates in the names of other persons. After accepting these documents, McNamara issued licenses to the illegal aliens who had assumed the identities of others. The licenses could then be used by the illegal aliens to remain in the United States, obtain employment, and for other unlawful purposes.

McNamara admitted that he accepted improper documents about two to three times per week, but he didn't do this every week. Co-conspirators often called McNamara before bringing aliens to the license office to make sure he was working, and to inform him they were bringing clients. McNamara met with co-conspirators on numerous occasions during non-work hours at locations other than the licensing office to receive payment.

Under the terms of the plea agreement, McNamara must pay a money judgment of at least $125,000.

Under federal statutes, McNamara is also subject to a sentence of up to five years in federal prison without parole, plus a fine up to $250,000 and an order of restitution. A sentencing hearing will be scheduled after the U.S. Probation Office completes a pre-sentence investigation.

Numerous law enforcement agencies assisted the HSI-led investigation, including the following agencies: Buchanan County (Mo.) Sheriff's Department; the St. Joseph (Mo.) Police Department; the Platte County (Mo.) Sheriff's Department; the Missouri State Highway Patrol; the U.S. Social Security Administration's Office of Inspector General; and the U.S. Postal Inspection Service.

Business Owner Sentenced for Illegal Alien Employment Ring

An Arkansas business owner was sentenced to 30 months in federal prison Monday, September 24, 2012, for providing counterfeit immigration documents and Social Security cards to illegal aliens and then employing them at various locations across three states. The sentence follows an investigation led by U.S. Immigration and Customs Enforcement's (ICE) Homeland Security Investigations (HSI).

Valentin Gutierrez, 53, owner of Action Staffing and Action Labor Contractors in Arkansas, Mississippi and Alabama, was sentenced as a result of his May 10 guilty plea to one count of harboring and shielding illegal aliens for financial gain. In addition to the sentence Gutierrez was ordered to pay $10,000 in fines and to serve two years supervised release upon his release from prison.

HSI special agents received information in November 2008 that Gutierrez was employing illegal aliens and providing them with counterfeit work authorization documents. HSI subsequently arrested 13 foreign nationals associated with the scheme. Investigators also determined from financial records that Gutierrez made at least $6.4 million from May to December 2008 as a result of selling illegal alien labor to various companies. HSI seized Gutierrez's bank accounts and recovered approximately $117,000 in forfeited funds traced to harboring and shielding illegal aliens.

The FBI along with task force officers from the Rogers Police Department, the Washington County Sheriff's Office and the Springdale Police Department assisted with the case.

Scott Crawford, resident agent in charge of the HSI Fayetteville field office said this successful prosecution resulted from a coordinated effort of federal, state and local law enforcement agencies and this case illustrates the serious consequences of harboring and shielding illegal aliens.

"This case shows that individuals who violate immigration laws face significant penalties along with the forfeiture of proceeds gained as a result of their criminal activity," said Crawford. "This sentence serves as a stark reminder that employing illegal aliens or assisting others in doing so is a serious crime that carries serious penalties. Federal, state and local law enforcement partners work vigilantly each day and will continue to identify these criminals and ensure they face justice."

Foreign Nationals Charged with Extensive Drug Trafficking and Identity Fraud Scheme

Eleven foreign nationals were charged Thursday, July 19, 2012, in a 90-count superseding federal indictment alleging they conspired to distribute cocaine and engaged in tax fraud, money laundering, identity theft and other financial crimes.

The indictment comes following a multi-agency Organized Crime and Drug Enforcement Task Force (OCDEF) investigation, stemming from an initial Drug Enforcement Administration (DEA) and Anchorage police drug probe. The magnitude of the financial crimes, money laundering and identity theft, resulted in the Internal Revenue Service (IRS) Criminal Investigations and U.S. Immigration and Customs Enforcement's (ICE) Homeland Security Investigations (HSI) taking a lead role.

According to the indictment, the Dominican and Mexican-national defendants engaged in a conspiracy to defraud the United States by filing false tax returns and illegally claiming millions of dollars in tax refunds. Investigators believe that between January and March the defendants conducted their scheme using names and Social Security numbers of individuals from the Commonwealth of Puerto Rico.

"Today's indictment is a clear warning that anyone who steals the identities of innocent taxpayers and uses the information for personal profit will be aggressively pursued, investigated and prosecuted, in Alaska or throughout the United States," U.S. Attorney Karen Loeffler said. "This case is an example of how interagency cooperation and teamwork can successfully bring down an entire organized criminal conspiracy."

Three laptop computers seized by investigators contained information for approximately $19 million in fraudulent refund claims, 2,600 stolen identities including individual names, Social Security numbers and other identity information. It is also alleged that one or more of the defendants obtained the physical addresses used on the tax returns by stealing mail from mailboxes in and around the Anchorage area.

The defendants obtained Alaska identification cards using the stolen identities, which were necessary to open the numerous bank accounts needed to cash their tax refund checks. They also falsely claimed to be U.S. citizens to obtain the identity documents and open the accounts.

"These criminals illegally posed as U.S. citizens and exploited our financial system for personal gain," said Brad Bench, special agent in charge of HSI Seattle, who oversees HSI investigations in Alaska. "By pooling our unique resources, legal authorities and expertise, HSI and the IRS were able to dismantle a significant scheme to defraud the people of the United States."

"The charges brought forth today against these 11 individuals serve as another reminder that IRS Criminal Investigation is aggressively pursuing those who choose to defraud the government and disrupt the lives of innocent taxpayers," stated Richard Weber, IRS Criminal Investigations chief.

"Drug traffickers' greed clearly has no limits, as evidenced by this investigation," said Douglas James DEA acting special agent in charge. "The DEA is proud of its partnership with the Anchorage Police Department, which brought this case to their federal counterparts, exposing this multi-faceted criminal organization."

The indictment also charges various defendants with submitting false claims for refund, possessing stolen mail, making false claims of U.S. citizenship, committing passport fraud, making false statements to banks and credit unions, and passing forged U.S. Treasury checks, as well as aggravated identity theft.

The fraud charges each carry maximum penalties of between two and 30 years imprisonment, in addition to the five-year mandatory minimum prison term required upon conviction on the drug charges.

The U.S. Postal Inspection Service and U.S. State Department's Diplomatic Security Service also investigated. The case is being prosecuted by the U.S. Attorney's Office for the District of Alaska and the U.S. Department of Justice Tax Division.

An indictment is merely a formal accusation. Defendants are presumed innocent until proven guilty in a court of law.