Category: Michigan

GRAND RAPIDS, MICHIGAN —U.S. Attorney Mark A. Totten announced that on June 24, 2022, U.S. District Judge Paul L. Maloney sentenced Roddrick Montez Wilson, 26, of Muskegon and Grand Rapids, to 23 years in prison for possessing with intent to distribute methamphetamine and possessing a firearm in furtherance of drug trafficking.

During a traffic stop in August 2021, Michigan State Police in Muskegon found Wilson in possession of over 15,000 fake pills that appeared to be Adderall®, an amphetamine used to treat ADHD and narcolepsy, but the pills were in fact methamphetamine. Wilson intended to sell the pills, worth an estimated $75,000, and possessed a loaded, stolen firearm in furtherance of that crime. After further investigation by the Drug Enforcement Administration, investigators learned that law enforcement in Grand Rapids had encountered Wilson in February and June 2021, and on both occasions, found smaller quantities of the same type of fake pills, in addition to a firearm in June and other drugs in February.

“Counterfeit pills pose a significant danger to our communities,” said U.S. Attorney Totten. “There are often devastating consequences for drug users who ingest fake pills bought off the street. My office is committed to raising awareness about this issue, and prosecuting those individuals who seek to profit off the distribution of counterfeit substances.”

According to the DEA,[1] a nationwide surge in fake prescription pills, made and marketed by criminal drug networks, is driving harm, violence, and overdoses across the United States. Fake pills are marked as legitimate prescription pills to deceive the American public, are easy to purchase, and widely available. Between August and December 2021, almost 10 million fake pills were seized by law enforcement nationwide. You should never take prescription medication that was not prescribed to you by your doctor and dispensed by a licensed pharmacist. For more information about the DEA’s “One Pill Can Kill” campaign, visit: https://www.dea.gov/onepill.

“Across the Midwest, law enforcement is seizing methamphetamine pressed into fake-pill form so that it appears to be a less potent substance, such as Xanax or Adderall. This case should serve as a stark reminder to everyone: the only pill anyone should take is one that has been prescribed by a physician and obtained at a legitimate pharmacy,” said Orville O. Greene, Special Agent in Charge of the DEA’s Detroit Division.

The DEA, Michigan State Police, and Grand Rapids Police Department investigated this case, which was prosecuted by Assistant U.S. Attorney Dan McGraw.

William Hallan, president and CEO of the Michigan Retailers Association and USA-IT partner, discusses the need for the Michigan legislature to crack down on organized retail crime and counterfeit goods.

“Over the past two years, videos of ‘smash-and-grab’ robberies have become a regular feature on social media and in the news. This brazen violence and theft continue to put law-abiding citizens at risk, and none of us should accept it as the new normal. Lawmakers in Illinois recently took steps to address this issue, and fortunately Michigan is following close behind on a plan to fight the economic and human impact of this crime wave.”

“Fighting back against this crime requires public and private sector leaders working together. That is why we are proud to be part of a group known as United to Safeguard America from Illegal Trade. It is a public- private coalition of law enforcement, private businesses, associations and others that was formed to shine a bright light on this problem and ultimately stop the proliferation of dangerous retail crime and illicit trade.”

“A proposal recently approved by the Michigan Senate and under review by the Michigan House of Representatives could greatly help this mission by requiring online marketplaces to track who is selling products on their platforms. It also gives law enforcement the tools they need to take down these criminal networks.”

“We have all been through a lot over the past two years, and law-abiding, hard-working Americans don’t deserve these horrible and senseless acts of violence that put us all at risk. To end this growing problem, we urge lawmakers in Michigan to pass this proposal.”

Read more here.

Matt Albence, USA-IT spokesman and former acting director of U.S. Immigration and Customs Enforcement (ICE), discusses how organized retail crime is taking a toll on Michigan businesses and communities:

Listen here.

July was a chart-topping month for the U.S. Customs and Border Protection’s Detroit Field Office.

Officers stationed along the Michigan-Ontario border seized a whopping 8,131 pounds of drugs in that month, more than five times what they seized in all of fiscal year 2019 — 1,555 pounds — and more than twice what they seized in any single month the year before.

The amount of drugs seized on their way across the Michigan international border surged again last year, Detroit Field Operations Director Christopher Perry said Thursday, continuing an upward trend that started after the pandemic hit in 2020. They also found counterfeit consumer goods for babies, football fans and music lovers.

“These numbers far dwarf what an average year’s been for us,” Perry said of drug seizures at Michigan’s U.S.-Canadian border. “If you look at what transpired before the pandemic, say Fiscal Year 19 and previously, we would be seeing a fraction of what you see here.”

Detroit Border Protection officers have seen a 2,800% increase in drug seizures since 2019. The Detroit Field Office oversees crossings at the Ambassador Bridge and Windsor Tunnel in Detroit, the Blue Water Bridge in Port Huron, the International Bridge in Sault Ste. Marie and the Detroit Metropolitan Airport.

The agency announced its annual seizure totals during a press conference Thursday in Detroit.

During the last fiscal year, Oct. 1, 2020 through Sept. 31, 2021, officers seized:

• 14,324 pounds of marijuana. Last year, they seized 9,059 pounds. They seized 496 in 2019.
• 240 pounds of cocaine. Last year, they seized about 212. They seized 601 pounds in 2019.
• 25.5 pounds of methamphetamine. Last year, they seized less than two pounds. They seized 14 pounds in 2019.
• 2.8 pounds of fentanyl, a powerful opioid drug. Last year, they seized 17. They seized 10 pounds in 2019.

They didn’t just find drugs. At the press conference, officers displayed an eclectic mix of illegal and counterfeit goods they snatched over the last year.

There were predictable items — guns, bullets and cash, timeless outlaw accessories.

Some seized items were more peculiar — a cache of gaudy, counterfeit Super Bowl rings, teething necklaces posing an obvious choking hazard, a Diet Coke can cleverly disguising a fistful of weed and thousands of bugs that could devastate crops. The bugs weren’t on display.

Customs officials also seized Bluetooth speakers as well as testosterone and steroids.

Among the final items seized were bottles of the antiparasitic drug behind some of the pandemic’s hottest misinformation — Ivermectin, which the U.S. Food and Drug Administration has not authorized as a COVID-19 treatment.

“Whether it’s guns, marijuana, the counterfeit rings, this all funds criminal enterprises,” Perry said. “Certainly drugs are a big thing for us, keeping those off the streets, but all of this here comes down to funding criminal enterprises and illegality.”

The drugs officers confiscated were mostly on their way into Michigan, although officers also seized some headed into Ontario. Drugs tended to be carried on commercial trucks, Perry said, unlike weapons, which usually are found in personal vehicles.

Border crossings into Michigan had been limited since the pandemic started until November, when the U.S. reopened to vaccinated international travelers.

Perry said he believes there’s a demand for drugs in the U.S. and said illegally smuggled marijuana likely is cheaper than marijuana sold legally for medicinal and recreational purposes.

“There’s certainly a black market for it,” he said. “People try to get it less expensively than through the dispensaries.”

BAY CITY, MI — An alleged drug mule has pleaded guilty to a federal charge of bringing pounds of methamphetamine from Mexico to the Saginaw area.

Alexandra O. Gracia, 37, on the morning of Tuesday, Dec. 7, appeared before U.S. District Magistrate Judge Patricia T. Morris and pleaded guilty to one count of possessing 500 grams or more of methamphetamine with intent to distribute. A conviction of the charge mandates a 10-year minimum prison sentence that can be extended up to life. Following imprisonment, supervised release is to span an additional five years.

In accordance with her plea agreement, Gracia admitted that she drove a meth-loaded Toyota Prius with an Arizona license plate to Michigan. Gracia arrived in the area on the afternoon of Sept. 8, stopping at the Barnes & Noble bookstore parking lot at 3311 Tittabawassee Road in Saginaw Township.

Gracia had acquired the illicit stimulant from a source in Arizona and was to deliver it to another person in Saginaw.

Court records indicate the Michigan State Police in August learned a 35-year-old man in Mexico was planning to send a delivery of drugs to Saginaw. At the time, the 35-year-old man was under investigation by the Bureau of Alcohol, Tobacco, Firearms & Explosive, according to an affidavit authored by an ATF special agent contained in court files.

Law enforcement officials were surveilling the bookstore’s parking lot when Gracia pulled in. They then followed the Toyota when Gracia drove to an abandoned residence at 1319 Irving St. in Saginaw.

Law officers approached the vehicle and arrested Gracia.

In all, officers found four packages of meth in the Toyota, after which the car was towed to a secure parking lot. The next day, officers found two more packets of meth in the vehicle, the affidavit states.

The meth in the six packages added up to 10.1 pounds, the affidavit states.

Gracia requested a lawyer after being read her Miranda rights and was not interviewed by officers, the affidavit states.

U.S. District Judge Thomas L. Ludington is to sentence Gracia at 10:30 a.m. on March 31.

Local law enforcement got special training to stop illegal smuggling, fake products, and black-market crime.

James Tignanelli, president of the Police Officers Association of Michigan and USA-IT partner, discusses why public and private partnerships with law enforcement are crucial in fighting illegal trade:

“Michigan’s law enforcement officials are doing everything in their power to combat all forms of crime, including illegal trade, but these are complex challenges. We need to explore every option and resource that gives us an advantage in eradicating the scourge of criminal organizations plaguing our communities. That is why the Police Officers Association of Michigan (POAM) is excited to partner with United to Safeguard America from Illegal Trade (USA-IT) and join in its efforts to tackle illegal trade and disrupt the flow of money to criminal organizations.”

“Our men and women in blue never back down from a challenge. While illegal trade is a formidable problem facing Michigan’s communities, our law enforcement officials are ready to take on those who pose a threat to our safety and prosperity. POAM is excited to continue supporting these brave men and women in their efforts, and we look forward to working alongside USA-IT to build a safer Michigan for all.”

Read more here.

Investigators Seized Bulk Quantities of Cash, Heroin, Methamphetamines, and Fentanyl, as well as more than 20 Firearms
DETROIT — An investigation out of the Drug Enforcement Administration Lansing Post of Duty has led to charges for 16 individuals for various drug distribution charges, Aug. 4.

U.S. Attorney Andrew Birge announced 16 defendants were arrested and charged with drug-trafficking crimes arising out of the Lansing, Michigan area. Eight defendants were charged in a criminal complaint with conspiring to distribute heroin, fentanyl, and cocaine.

Seven other defendants were charged in a different criminal complaint with conspiring to distribute methamphetamine and fentanyl. One defendant was charged by indictment with possession with intent to distribute methamphetamine, fentanyl, and cocaine base.

During the arrests of the defendants and execution of 15 search warrants, federal, state, and local investigators seized bulk quantities of cash, methamphetamine, heroin, and fentanyl. Investigators also seized more than 20 firearms.

“Anytime we are able to dismantle an organization dealing fentanyl, heroin, methamphetamines and cocaine it’s a big deal,” said DEA Detroit Field Division Special Agent in Charge Keith Martin.

“Working with the Lansing Police Department, we were able to improve the quality of life for law-abiding residents throughout mid-Michigan.”

Further details of the allegations can be found in the indictment, complaints and supporting affidavits, which were unsealed yesterday. Fourteen of the defendants made their initial appearances yesterday, and two defendants made their initial appearances today.

The charges are the result of a multi-agency investigation by federal, state, and local law enforcement. The Drug Enforcement Administration (DEA); Lansing Police Department (LPD), including Lansing Police Department Special Operations Section (LPD SOS); Homeland Security Investigations (HSI); Michigan State Police (MSP); Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF); United States Marshals Service (USMS); and the Internal Revenue Service (IRS) have all supported the investigation. Over 150 federal, state, and local law enforcement officers from Michigan, Illinois, and Ohio assisted with the search warrants and arrests yesterday.

The charges in the criminal complaint are merely accusations and are not evidence of guilt. The defendants are presumed innocent until and unless proven guilty in a court of law. The government has the burden of proving guilt beyond a reasonable doubt.

Illegal trade takes many nefarious forms and is perpetrated by a shadowy web of criminal and terror organizations. Regardless of the commodity, criminals will traffic anything that earns a profit— from items often viewed as “victimless crimes” like counterfeit luxury purses and apparel to dangerous contraband like illicit drugs and weapons. Transnational crime facilitated by illegal trade is a $2.2 trillion-a-year industry and has far-reaching consequences around the globe and across the United States. And Michigan is no exception.

Michigan is best known as the car capital of the world, but it’s less well known for something equally significant: the world’s busiest commercial border crossing where the Detroit River meets Canada.

Though famous as a key industry in Michigan, the U.S automotive industry is also famous amongst black market traffickers as a source of immense profit. Across the country, the industry loses an estimated $3 billion annually due to service parts counterfeiting.

The Detroit border crossing handles more than $206 billion in cross-border commodities annually, with more than 13,000 trucks and 25,000 automobiles driving through every single day. Inevitably, the border crossing has also emerged as a major conduit for transportation of illicit substances from Canada, including large quantities of illegal drugs. But drugs are by no means the only product trafficked by black market criminals. A problem of this magnitude cannot be tackled by a single agency, government, or industry. Curbing illegal trade requires cooperation and public-private partnerships, making full use of existing expertise, information sharing, innovative solutions, and evolving technologies. Public actors, the private sector, and civil society alike all have a role to play.

Often regarded as a global problem, the tenacles of illegal trade are evident in the U.S. and in Michigan.

For years, retailers have been challenged by the growing problem of online counterfeit goods. This problem, ranging from the sale of fake sneakers to pirated software, has been exacerbated by the COVID-19 pandemic. Since the pandemic began, online counterfeited products rose by nearly 40 percent. Criminals even took advantage of customers’ fears and sold mountains of counterfeit personal protective equipment (PPE) to unsuspecting Americans.

Michigan also contends with a formidable trade in illegal tobacco products, which costs the state and its taxpayers $207 million every year. Instead of funding critical services for all Michiganders, those lost millions are profiteered by criminals and often feed directly into other forms of organized crime, including drugs and human trafficking

Despite the best efforts of law enforcement, Michigan is a hot spot for illegal trade. The Office of National Drug Control Policy lists 12 Michigan counties as high intensity drug trafficking areas—Michigan had the seventh-most deaths in the country from cocaine with 768 fatalities in 2018. The state also ranks seventh in U.S. in human trafficking cases, with 1,871 cases since 2007—and those only account for the cases that were reported.

That’s why a coalition of national and state brand enforcement experts, law enforcement agencies, and leading business organizations have come together to form United to Safeguard America from Illegal Trade (USA-IT). USA-IT is providing local officials, law enforcement, and other thought leaders with information and training programs to help tackle illegal trade and raising public awareness of the depth of the problem as well as the severe consequences inflicted on states and municipalities by black market profiteers.

USA-IT is proud to partner with the the Michigan Retailers Association (MRA) in the fight against black market criminality. MRA members provide their customers with high quality products and are on the front lines of the fight against counterfeit or expired products that could negatively impact the lives of customers and their families.

By working together, we can better confront the scourge of illegal trade, hold criminals accountable, and build a safer and more prosperous Michigan.

MIDLAND, Mich. — The Mackinac Center for Public Policy today released its annual estimate of state cigarette tax evasion and avoidance across the country.

As of 2019, New York and California had the highest inbound smuggling rate of all states at 52% and 44%, respectively. In other words, more than 50% of all cigarettes consumed in the Empire State are smuggled. Michigan’s inbound smuggling rate is 19%, or 14th among the states.

“This year’s study continues to show that illicit activity in the cigarette market is a major problem, especially in states with high cigarette taxes,” said Michael LaFaive, lead author of the analysis and senior director of the Morey Fiscal Policy Initiative at the Mackinac Center.

In 18 states, more smokes are smuggled out than smuggled in, making them prime sources of cigarettes for consumers seeking cheaper prices and organized crime cells seeking a profit. For instance, New Hampshire’s outbound smuggling rate is 71%, meaning that for every 100 cigarettes consumed an additional 71 are smuggled out to other states and Canada.

“Cigarette smuggling clearly helps consumers and organized crime save and make a buck,” added co-author Todd Nesbit, an economics professor at Ball State University. “Outright prohibitions on the product or higher taxes at the federal or state levels will only exacerbate this and other unintended consequences.”

The Mackinac Center has published its estimate in partnership with the Tax Foundation of Washington, D.C.

For an explanatory estimate and charts of all state smuggling rates see “America’s Illicit Smokes Market Set to Get Larger” at the Mackinac Center’s web site. Click here for an interactive map of state smuggling rates and estimates of state cigarette tax revenues lost or gained from smuggling.

A federal grand jury returned an indictment today charging former Michigan resident Ylli Didani, 43, with conspiracy to distribute cocaine, announced Acting United States Attorney Saima S. Mohsin.

Mohsin was joined in the announcement by Special Agent in Charge Keith Martin, Drug Enforcement Administration, Detroit Division, Christopher Perry, Director of Fields Operation, US Customs and Border Protection, Acting Special Agent in Charge Kelly Lewis, Internal Revenue Service-Criminal Investigations and Chief Jeff King, Farmington Hills Police Department.

Acting US Attorney Mohsin stated, “This is a very significant and important prosecution of a large scale, well-organized drug trafficking organization involved in the distribution of thousands of kilograms of cocaine worth tens of millions of dollars, across multiple continents. I salute the entire law enforcement team who labored so tirelessly on this case, from prosecutors to police officers, federal agencies to local police departments. Their efforts culminated in today’s indictment and demonstrate cooperation and teamwork at its best.”

Special Agent Martin stated, “This indictment of a major cocaine trafficker is the result of a joint investigation with law enforcement partners from around the globe. Our combined efforts should send a clear message to drug traffickers everywhere that you will be held accountable for your crimes.”

Director Perry stated, “The complexity of this case, which involved so many law enforcement partners throughout the region is a testament to the importance of cooperation among agencies. I’m proud of efforts of our CBP personnel, along with our federal, state, and local partners who played an important role in reaching this indictment.”

“Today’s indictment is a result of the hard work and dedication of our local and federal law enforcement partners. IRS-CI will continue to provide our financial expertise to disrupt and dismantle international drug trafficking organizations,” said Internal Revenue Service – Criminal Investigation, Detroit Field Office, Acting Special Agent in Charge, Kelly Lewis.

Chief King stated, “This is an excellent example of the inter-agency cooperation and capabilities of our investigative taskforce. The Farmington Hills Police Department is extremely proud of our investigator and his tireless commitment toward disrupting and indicting a large scale-international drug trafficking organization.”

As alleged in the indictment, Didani and other unindicted co-conspirators planned and financed the distribution of cocaine from several locations including the Eastern District of Michigan. According to the Indictment, in two transactions that occurred in June 2016 and December 2017, Didani received at least $550,000 from other co-conspirators for the purpose of purchasing bulk cocaine. Allegedly, Didani and other co-conspirators used several means of transportation, including private aircraft and commercial containerships, for purposes of obtaining and distributing the cocaine throughout Europe.

According to a criminal complaint that was unsealed on April 1, 2021, following Didani’s arrest on March 31, 2021 in Charlotte North Carolina, it is alleged that Didani was the leader of an international drug trafficking organization with ties to the United States, Mexico, South America, and Europe. The complaint also alleges that in 2017, a co-conspirator in Didani’s organization was overseeing the design of an underwater drone that would be utilized to transport large quantities of cocaine to Europe. The drone, which was going to be equipped with an underwater modem and GPS antenna, would transport the cocaine while attached to the bottom of a commercial containership. The drone would then be remotely released from the containership off the shore of Europe. The drone and cocaine would then be picked up by a fishing boat controlled by Didani’s organization.

The criminal complaint further alleges that Didani arranged the distribution of several shipments of cocaine from South America to Europe, where the cocaine was seized by law enforcement. In 2019 and 2020, Law enforcement seized over 3400 kilograms of cocaine from Didani’s organization. The seized cocaine has a street value of over $100,000,000.00.

It is important to note that an indictment is merely a charge and should not be considered as evidence of guilt. The defendant is presumed innocent until proven guilty in a court of law.

The case was investigated by the DEA (High Intensity Drug Trafficking Area (HIDTA) Group 6 consisting of both DEA Special Agents and Task Force Officers from Farmington Hills PD, Sterling Heights PD, Troy PD, Novi PD, Dearborn Heights PD, and Northfield Township PD. IRS-CI, and US Customs and Border Protection. The case is being prosecuted by Assistant United States Attorneys Mark Bilkovic, Timothy McDonald and Michael El-Zein.

BISMARCK – United States Attorney Drew Wrigley announced that a federal grand jury has indicted Barry Christopher Brown, Jr., age 28 of Taylor, MI, for Conspiracy to Distribute Controlled Substances and Possession with Intent to Distribute Controlled Substances (oxycodone, fentanyl, and fentanyl-related substance), and Forfeiture Allegation ($66,000 in US Currency).

The Indictment was unsealed yesterday, alleging that in January 2021, law enforcement agents executed a search warrant at Brown’s Bismarck hotel room and seized approximately 2,000 opiate pills that were made and designed to look like actual oxycodone 30mg pills, but contained fentanyl or a fentanyl-related substance. Agents also seized $24,000 in US Currency from the room, and another $42,000 from Brown’s person.

“This seizure of deadly fentanyl with a street value of approximately $160,000 is another direct hit against the poison pushers who we allege have targeted our Native American Communities,” said United States Attorney Drew Wrigley.

Grand jury Indictments are allegations and are not evidence of guilt. The defendant is presumed innocent unless and until he is proven guilt beyond a reasonable doubt at trial.

This case is being investigated by the Drug Enforcement Administration (DEA) and the Metro Area Narcotics Task Force and the case is being prosecuted by the United States Attorney’s office, with Assistant United States Attorney Rick L. Volk assigned to the case.