NewzIntel.com

Category: Intelligence Agencies

  • MIL-OSI Security: Omak Man Sentenced to Five Years in Federal Prison for Violently Assaulting His Intimate Partner

    Source: Office of United States Attorneys

    Spokane, Washington – Acting United States Attorney Richard R. Barker announced that Louis Lee Zacherle, age 37, of Omak, Washington, was sentenced for Assault Resulting in Substantial Bodily Injury to a Spouse, Intimate Partner, or Dating Partner in Indian Country. Zacherle was convicted on August 13, 2024, following a jury trial. United States District Judge Thomas O. Rice imposed a sentence of 60 months in federal prison to be followed by three years of supervised release.

    According to court documents and information presented at the trial and sentencing, on the evening of December 7, 2023, Zacherle began arguing with his intimate partner at a home on the Colville Indian Reservation. During the argument, Zacherle went out to the shed, grabbed an ax, came back into the kitchen, and began smashing the kitchen cabinets. Zacherle then hit his intimate partner in the face, knocking her down. Zacherle, who was wearing boots, proceeded to kick the victim several times as she was lying on the ground.

    At the hospital, doctors treated the victim for injuries to her face and scalp, as well as two broken ribs.  The victim also had to be treated for a condition in which air leaked out of her lung and into her chest wall.

    “Domestic violence is one of the root causes underlying the Missing or Murdered Indigenous Persons crisis impacting Native American Communities,” stated Acting United States Attorney Rich Barker. “Through DOJ’s Office on Violence Against Women, our office has a dedicated Special Assistant United States Attorney, Michael Vander Giessen, who handles many of the domestic violence cases that arise on Tribal land in Eastern Washington. With SAUSA Vander Giessen in this role – and as a result of our close partnerships with the Kalispel, Spokane, and Colville Tribes – the U.S. Attorney’s Office is able to seek justice in more of these cases, ensuring domestic violence victims are heard before it is too late.”

    “What began as a disagreement quickly turned into a brutal assault resulting in serious injury.” said W. Mike Herrington, Special Agent in Charge of the FBI’s Seattle field office. “Fortunately, the victim survived and stood up for herself, leading to Mr. Zacherle being held accountable for his violence with a federal prison sentence. The FBI and our partners will not tolerate domestic violence on our state’s reservations, and it is a crime we will vigorously investigate.”

    This case was investigated by the FBI and the Colville Tribal Police Department. It was prosecuted by Special Assistant United States Attorney Michael L. Vander Giessen and former Assistant United States Attorney Timothy J. Ohms.

    2:24-cr-00044-TOR

    MIL Security OSI –

  • MIL-OSI Security: Executive Pleads Guilty to a Seven-Count Indictment Two Weeks Before Trial, Admits to Longstanding Antitrust and Wire Fraud Conspiracies Affecting Wildfire Services

    Source: United States Attorneys General 1

    The owner of a contractor company that provided fuel truck services to the U.S. Forest Service’s wildfire fighters pleaded guilty to a seven-count indictment yesterday for his role in schemes to rig bids, allocate territories, and commit wire fraud over an eight-year period. Kris Bird, 62, pleaded guilty to all charges against him two weeks before trial, with no assurances from the government as to the sentence prosecutors will recommend to the judge. The plea follows a judicially authorized wiretap investigation that led to the indictment of two executives in December 2023. Both executives pleaded guilty and are now scheduled to be sentenced in June 2025.

    As set out in the factual basis filed in the U.S. District Court for the District of Idaho, Bird admitted to conspiring with Ike Tomlinson, 61, and others to rig bids and allocate territories in the market for wildfire-fighting fuel truck services for certain dispatch centers of the U.S. Forest Service’s Great Basin wildfire dispatch region between March 2015 and March 2023, in violation of Section 1 of the Sherman Act. Bird further admitted to conspiring to commit wire fraud during the same period, and to committing five acts of wire fraud. At the change-of-plea hearing, Bird also admitted to the forfeiture allegations in the indictment.

    “Bid-rigging and other collusive, anticompetitive agreements are neither sophisticated nor lawful. As the defendants have now conceded, they selfishly damaged essential taxpayer-funded services critical to protecting the American public from wildfires,” said Assistant Attorney General Abigail Slater of the Justice Department’s Antitrust Division. “The meticulous investigation led by the Antitrust Division’s Procurement Collusion Strike Force and its law enforcement partners left the defendant with little choice but to plead to the indictment. The Justice Department will not treat bid-rigging as business as usual.”

    “Citizens and Idaho businesses must have access to fair competition for government contracts,” said Acting U.S. Attorney Justin Whatcott for the District of Idaho. “The guilty pleas in this case help ensure equal opportunities for all Idaho businesses and protects taxpayers from paying inflated contract prices.”

    “The defendant illegally profited from American taxpayer money,” said Special Agent in Charge Mehtab Syed of the FBI Salt Lake City Field Office. “The FBI and our partners are committed to rooting out fraud and protecting fair competition in the bidding for government contracts.”

    “We will continue working with our law enforcement partners to fight fraud in federal contracting,” said Assistant Inspector General for Investigations James Adams of the General Services Administration Office of Inspector General.

    A violation of the Sherman Act carries a maximum penalty of 10 years in prison and a $1 million fine for individuals and a maximum penalty of a $100 million fine for corporations. The maximum fine may be increased to twice the gain derived from the crime or twice the loss suffered by victims if either amount is greater than the maximum. A violation of the wire fraud statute carries a maximum penalty of 20 years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.

    The Antitrust Division’s San Francisco Office, U.S. Attorney’s Office for the District of Idaho, FBI Salt Lake City Field Office, Boise Resident Agency, and General Services Administration Office of Inspector General investigated the case. Assistant Chief Christopher J. Carlberg and Trial Attorneys Elena A. Goldstein, Daniel B. Twomey, and Matthew Chou of the Antitrust Division’s San Francisco Office, and Assistant U.S. Attorney Sean M. Mazorol for the District of Idaho are prosecuting the case.

    Anyone with information about this investigation or other procurement fraud schemes should notify the PCSF at www.justice.gov/atr/webform/pcsf-citizen-complaint. The Justice Department created the PCSF in November 2019. It is a joint law enforcement effort to combat antitrust crimes and related fraudulent schemes that impact government procurement, grant and program funding at all levels of government—federal, state and local. For more information, visit www.justice.gov/procurement-collusion-strike-force.

    MIL Security OSI –

  • MIL-OSI Security: International Law Enforcement Cooperation Leads to Takedown of U.S.- and Brazil-Based Alien Smugglers and Immigration Arrests

    Source: United States Attorneys General 7

    View the criminal complaint.

    Earlier today, extensive coordination and cooperation efforts between U.S. and Brazilian law enforcement and prosecution authorities culminated in a significant enforcement operation to dismantle a transnational criminal organization allegedly responsible for the illicit smuggling of hundreds of individuals from Brazil to the United States. The enforcement operation included the arrest on U.S. charges of a previously convicted alien smuggler who allegedly re-entered the United States illegally after deportation to Brazil and was residing in Worcester, Massachusetts. The Brazilian Federal Police (PF) executed multiple search warrants in Brazil and arrested an alleged Brazil-based human smuggler.

    Flavio Alexandre Alves, also known as “Ronaldo,” 41, was arrested in Worcester, Massachusetts on a criminal complaint charging him with conspiracy to bring aliens to and transport aliens within the United States for the purpose of commercial or financial gain in violation of law. Alves will appeared in federal court in Worcester earlier today and was temporarily detained pending a detention hearing on Friday.

    According to court documents, Alves conspired with others to transport aliens from Brazil, through Mexico, and then into the United States. Once the aliens arrived in the United States, Alves allegedly purchased airline tickets for the aliens to other U.S. destinations. Alves also allegedly transferred money from the United States to aliens and smugglers located in Mexico to pay for expenses associated with transit into the United States and collected fees from aliens for being smuggled into the United States. Alves was previously convicted of human smuggling in the Central District of California in 2004 and was deported to Brazil in February 2005. Court documents indicate that Alves has been residing in the United States without immigration status after illegally re-entering the United States.

    It is alleged that between May 2021 and August 2022, Alves purchased more than 100 individual airline tickets from Tucson or Phoenix to destination cities in Massachusetts and Pennsylvania (Boston, Pittsburgh, Harrisburg and Philadelphia). Some of these purchases were for migrants who had recently had encounters with U.S. Customs and Border Protection (CBP) officers or were recently released from detention.

    Additionally, HSI offices in Pittsburgh, Harrisburg, and Philadelphia, supported by other partner law enforcement agencies, detained four individuals today associated with the alien smuggling organization on administrative immigration violations.

    The investigation and arrest of Alves was coordinated under Joint Task Force Alpha (JTFA) and the Extraterritorial Criminal Travel Strike Force (ECT) program. JTFA, a partnership with the Department of Homeland Security (DHS), has been elevated and expanded by the Attorney General with a mandate to target cartels and transnational criminal organizations to eliminate human smuggling and trafficking networks operating in Mexico, Guatemala, El Salvador, Honduras, Panama, and Colombia that impact public safety and the security of our borders. JTFA currently comprises detailees from U.S. Attorneys’ Offices along the southwest border. Dedicated support is provided by numerous components of the Justice Department’s Criminal Division, led by the Human Rights and Special Prosecutions Section (HRSP) and supported by the Money Laundering and Asset Recovery Section, the Office of Enforcement Operations, and the Office of International Affairs (OIA), among others. JTFA also relies on substantial law enforcement investment from DHS, the FBI, the Drug Enforcement Administration, and other partners. To date, JTFA’s work has resulted in more than 355 domestic and international arrests of leaders, organizers, and significant facilitators of alien smuggling; more than 315 U.S. convictions; more than 260 significant jail sentences imposed; and forfeitures of substantial assets.

    The ECT program is a partnership between the Justice Department’s Criminal Division and HSI and focuses on human smuggling networks that may present particular national security or public safety risks or grave humanitarian concerns. ECT has dedicated investigative, intelligence, and prosecutorial resources. ECT also coordinates and receives assistance from other U.S. government agencies and foreign law enforcement authorities.

    HSI New England led U.S. investigative efforts, working in concert with HSI Brasilia, Pittsburgh, Harrisburg and Philadelphia and the HSI Human Smuggling Unit in Washington, D.C. HSI received substantial assistance from CBP’s National Targeting Center International Interdiction Task Force. OIA provided crucial assistance in this matter.

    Trial Attorney Alexandra Skinnion and Acting Deputy Chief Frank Rangoussis of the Criminal Division’s Human Rights and Special Prosecutions Section and Assistant U.S. Attorney Kristen Noto for the District of Massachusetts are prosecuting the case.

    A criminal complaint is merely an allegation. The defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.

    MIL Security OSI –

  • MIL-OSI USA: Ricketts Discusses Importance of Indo-Pacific Allies like the Philippines in Deterring Communist China

    US Senate News:

    Source: United States Senator Pete Ricketts (Nebraska)

    WASHINGTON, D.C. – Today, U.S. Senator Pete Ricketts (R-NE), the second-ranking Republican on the Senate Foreign Relations Committee, discussed the importance of maintaining America’s alliances in the Indo-Pacific. Ricketts focused on how America’s key alliance with the Philippines has helped deter Communist China. During the hearing, Senator Ricketts said the following:

    “Since the signing of the 1951 Mutual Defense Treaty, the Philippines has been one of our key allies in the Indo-Pacific. However, in recent years, the alliance has grown both more important and even more key as far as our strategic alignment. Despite being outmatched militarily and economically, the Philippines has demonstrated incredible resolve in resisting Beijing’s unlawful aggression in the South China Sea,” Ricketts said. “It [the Philippines] is also able to act as an important voice within the ASEAN against Communist China’s other pressure campaigns as you all have been talking about. But most important is what the alliance provides us militarily… and the expansion of the EDCA bases and the 9 strategic sites that they’ve given us access to to enhance our ability to deter Communist China in the Taiwan Strait, South China Sea and other key theaters.”

    Ricketts made the comments in a hearing of the Senate Foreign Relations Committee. The hearing was entitled: “Shared Threats: Indo-Pacific Alliances and Burden Sharing in Today’s Geopolitical Environment.”The Committee heard testimony from Victor Cha, President of the Geopolitics and Foreign Policy Department and Korea Chair at CSIS; Oriana Skylar Mastro, Center Fellow at the Freeman Spogli Institute for International Studies; and Randy Shriver, Chairman of the Board of the Project 2049 Institute.

    Click here to watch the questioning.

    MIL OSI USA News –

  • MIL-OSI Security: Joshawa Max Estrada Sentenced to Federal Prison for His Role in the Murder of Jedidah Iesha Moreno

    Source: Office of United States Attorneys

    Yakima, Washington – Acting United States Attorney Richard R. Barker announced today that Chief United States District Judge Stanley A. Bastian sentenced Joshawa Max Estrada, age 27, to 100 months in federal prison on one count of Accessory After the Fact for his role in the October 2018 murder of Jedidah Iesha Moreno.

    According to court documents and evidence presented at the sentencing hearing, Jedidah Iesha Moreno shot and killed Rosenda Strong on or about October 5, 2018, following an argument at a residence, known as the House of Souls in Wapato, Washington. Following the murder, Moreno asked for help disposing of Strong’s body, which was placed in a freezer and dumped near a towing service in Toppenish, Washington.

    The following day, October 6, 2018, Moreno and Andrew Norris Zack got into an argument at a residence known as the Estrada Ranch located in Wapato, Washington. Moreno took out a gun and fired multiple gunshots into a garage, where Zack was in the bathroom.  One of these shots struck Zack’s hand.

    Around the same time that Zack was shot, Uriel Balentin Badillo was at Legends Casino. Badillo received a call that Zack was in trouble, and Badillo drove out to the residence, where he found Moreno standing in a field. When Badillo asked about Zack, Moreno was unresponsive. Badillo then drove Moreno to the House of Souls (where Rosenda Strong had been killed the day before), to look for Zack.  When Badillo and Moreno arrived, a female came out of the House of Souls and said, “gag the bitch up.” After a sock was placed into Moreno’s mouth, Badillo and the female drove Moreno back to the Estrada Ranch.  There, Moreno was physically restrained, bound with a cargo strap and duct tape, and forced into a Chevrolet Impala. Badillo then shot into the trunk of the car several times with a .45 caliber pistol, striking Moreno.  Later that day, two juveniles transported Moreno’s body to another location on the Yakama Nation.  One of the juveniles then fired additional rounds into Moreno’s body.

    The next day, Estrada spoke to Badillo, Zack, and the juvenile.  When Estrada learned that Badillo had murdered Moreno and that her body had been dumped in a non-discrete location.  Estrada teased the juvenile for dumping the body in such a visible place. Badillo then asked Estrada to move Moreno’s body and get rid of the cargo strap around her body because Badillo was worried he might have left his DNA and/or fingerprints on the cargo strap. Estrada and the one of the juveniles then located Moreno’s body and moved it to a more secluded location near White Swan, Washington. As directed by Badillo, Estrada also removed the cargo strap from Moreno’s body.  After moving the body to a more concealed location, the juvenile fired additional gunshots into Moreno’s body.

    Later that same day, Estrada and the juvenile traveled back to Wapato to meet with Zack and Badillo. Estrada handed Badillo the cargo strap that had been removed from Moreno’s body so that Badillo could destroy the evidence.

    On November 28, 2018, a citizen discovered Moreno’s remains and immediately contacted law enforcement.

    “The families in the Rosenda Strong and Jedidah Iesha Moreno cases have waited years to obtain some measure of justice on behalf of their loved ones,” stated Acting U.S. Attorney Barker.  “I am grateful for the eyewitnesses, who came forward in this case and helped the FBI and Yakama Nation Tribal Police identify those responsible for these terrible murders.  To those who have information about unsolved missing or murdered indigenous people cases, I implore you to come forward and help bring a measure of closure to the families that continue to grieve.”

    “Mr. Estrada is yet another defendant to be held accountable in this tragic case, which the FBI and our partners have been investigating since 2018.” said W. Mike Herrington, Special Agent in Charge of the FBI’s Seattle field office. “While prison sentences can bring justice and a sense of closure for loved ones, ultimately nothing can bring back the victims of the multiple homicides in which the defendant played a role.  I commend the investigators in this case and others involving violent crime on our state’s reservations. They consistently pursue justice, no matter how long it takes.”

    This case was investigated by the Federal Bureau of Investigation with assistance from the Yakama Nation. It was prosecuted by Assistant United States Attorneys Thomas J. Hanlon and Michael D. Murphy.

    Defendants Andrew Norris Zack, Jamaal Antwan Pimms, Kevin Todd Brehm, and Uriel Balentin Badillo have all pleaded guilty to charges in this case. Michael Lee Moody pleaded guilty to charges in this case and was sentenced to 87 months in federal prison. 

    MIL Security OSI –

  • MIL-OSI Security: Deforest Business Owner Sentenced to 9 Years for Cocaine Trafficking

    Source: Office of United States Attorneys

    MADISON, WIS. – Timothy M. O’Shea, United States Attorney for the Western District of Wisconsin announced that Luis Angel Rios, 50, of DeForest, Wisconsin, was sentenced today by Chief U.S. District Judge James D. Peterson to 9 years in federal prison for attempting to distribute a large quantity of cocaine and maintaining a place for storing and distributing cocaine. Rios pleaded guilty to these charges on January 10, 2025.

    In late 2022 and early 2023, investigators with the U.S. Drug Enforcement Administration began investigating a cocaine trafficking organization operating in Dane County. During an investigation that included the interception of communications between Rios and other participants in the trafficking, investigators determined that Rios was obtaining and selling multiple kilograms of cocaine, and at times cooperating with another local kilogram-level cocaine trafficker to assist in maintaining a drug supply. On June 1, 2023, as a result of phone interceptions and surveillance, investigators intercepted a half-kilogram delivery of cocaine intended for one of Rios’s customers.

    Rios was the owner of a cleaning and maintenance business in DeForest. During the sentencing, Judge Peterson credited Rios with being a hard-working family man, with no criminal history, but observed that the investigation demonstrated that he also applied his hard-working efforts to managing his ability to secure and distribute large quantities of cocaine. The court found that Rios brought more than 15 kilograms of cocaine into the community in a short period of time, which exploited those who had addictions and served to feed other crimes created by drug use.

    Rios’s co-defendant, Braulio Martinez Salazar, was sentenced by Judge Peterson on March 11, 2025, to 3 years for his role in the cocaine trafficking operation.   

    The charges against Rios were the result of an investigation conducted by the Drug Enforcement Administration, FBI, Wisconsin Department of Justice Division of Criminal Investigation, Dane County Narcotics Task Force, and Madison Police Department. Assistant U.S. Attorneys Robert Anderson and William M. Levins prosecuted this case.

    The investigation was conducted and funded by the Organized Crime Drug Enforcement Task Force (OCDETF), a multi-agency task force that coordinates long-term narcotics trafficking investigations.

    MIL Security OSI –

  • MIL-OSI Security: United States Files Civil Forfeiture Complaint for $47 Million in Proceeds from the Sale of 1 Million Barrels of Iranian Oil

    Source: United States Attorneys General 1

    A civil forfeiture complaint was filed today in the U.S. District Court for the District of Columbia alleging that $47 million in proceeds from the sale of nearly one million barrels of Iranian petroleum is forfeitable as property of, or affording a person a source of influence over, the Islamic Revolutionary Guard Corps (IRGC) or its Qods Force (IRGC-QF), designated Foreign Terrorist Organizations (FTOs).

    The forfeiture complaint alleges a scheme between 2022 and 2024 to facilitate the shipment, storage, and sale of Iranian petroleum product for the benefit of the IRGC and IRGC-QF. The facilitators used deceptive practices to masquerade the Iranian oil as Malaysian, including by manipulating the tanker’s automatic identification system (AIS) to conceal that it onboarded the oil from a port in Iran. The facilitators presented falsified documents to the Croatian storage and port facility, claiming that the oil was Malaysian. The facilitators paid for storage fees associated with the oil’s storage in Croatia in U.S. dollars, transactions that were conducted through U.S. financial institutions that would have refused the transactions had they known they were associated with Iranian oil. The petroleum product was sold in 2024, and the United States seized $47 million in proceeds from that sale.

    The civil forfeiture complaint further alleges that the petroleum product constitutes the property of the National Iranian Oil Company (NIOC), which has perpetuated a federal crime of terrorism by providing material support to the IRGC and IRGC-QF. As alleged, profits from petroleum product sales support the IRGC’s full range of malign activities, including the proliferation of weapons of mass destruction and their means of delivery, support for terrorism, and both domestic and international human rights abuses.

    Funds successfully forfeited with a connection to a state sponsor of terrorism may in whole or in part be directed to the U.S. Victims of State Sponsored Terrorism Fund.

    FBI Minneapolis Field Office and Homeland Security Investigations New York are investigating the case.

    Assistant U.S. Attorneys Karen P. Seifert, Maeghan O. Mikorski, and Brian Hudak for the District of Columbia and Trial Attorney Adam Small of the National Security Division’s Counterintelligence and Export Control Section are litigating the case. They received assistance from former Paralegal Specialist Brian Rickers and the Justice Department’s Office of International Affairs.

    A civil forfeiture complaint is merely an allegation. The burden to prove forfeitability in a civil forfeiture proceeding is upon the government.

    MIL Security OSI –

  • MIL-OSI Security: Starkville Man Sentenced to Ten Years for Violating Federal Firearms Laws

    Source: Office of United States Attorneys

    Greenville, MS – A Starkville man was sentenced today to 10 years in prison for violation of federal firearms laws.

    According to court documents, Antonio Johnson, 49, pled guilty to possession of one or more firearms by a previously convicted felon as well as possession of firearms in furtherance of a drug trafficking crime. U.S. District Judge Debra M. Brown sentenced Johnson today to 120 months in prison followed by five years of supervised release. Johnson was remanded to the custody of the U.S. Marshals following sentencing.

    “The public has every right to expect repeat offenders to receive significant sentences, and this defendant will now have 10 years in a federal prison to reconsider his actions,” said U.S. Attorney Clay Joyner. “AUSA Robert Mims and our partners at the FBI, ATF and Starkville Police Department worked seamlessly to bring justice to an individual who earned every day of this sentence.”

    “Protecting the safety of our communities is one of the cornerstones of what ATF seeks to accomplish every day,” said ATF New Orleans Special Agent in Charge Joshua Jackson. “To convicted felons and others making our streets unsafe with gun violence and drugs – law enforcement is here. No matter how long it takes, we will investigate, arrest, prosecute and ensure you are held accountable for your actions.”

    “Mr. Johnson’s sentencing demonstrates a steadfast commitment of the FBI and our law enforcement partners to protect the public from those individuals who illegally possess firearms in furtherance of drug trafficking crimes,” stated FBI Jackson Field Office Special Agent in Charge Robert Eikhoff. “Criminals possessing and using firearms in the commission of any crime are threats to our communities, for those who seek to threaten and intimidate Mississippians through these egregious crimes will be aggressively pursued by the FBI and brought to justice.  We will continue our collective efforts through the Project Safe Neighborhoods program, to reduce violent crime and gun violence in our communities across Mississippi.”

    “Strong convictions matter; they have a lasting impact and require hard work,” said Chief Mark Ballard of the Starkville Police Department. “Our community is safer as a result of these agencies’ efforts. On behalf of the Starkville Police Department, we are very thankful for our working relationship with FBI Jackson, the ATF New Orleans, and the U.S. Attorney’s Office for the Northern District of Mississippi.”

    This case was investigated by the FBI, the Starkville Police Department, and the Bureau of Alcohol, Tobacco, Firearms, and Explosives.

    Assistant U.S. Attorney Robert Mims prosecuted the case.

    This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.

    MIL Security OSI –

  • MIL-OSI USA: Durbin Statement On The National Security Failures Of Senior Members Of The Trump Administration

    US Senate News:

    Source: United States Senator for Illinois Dick Durbin

    March 26, 2025

    WASHINGTON – U.S. Senate Democratic Whip Dick Durbin (D-IL), Ranking Member of the Senate Judiciary Committee, today released the following statement regarding senior members of the Trump administration discussing classified military operations via unsecured text chains, which jeopardizes our national security and endangers the lives of American service members:

    “It is outrageous to suggest that what was shared on this Signal text chain was not classified material. We are talking about an attack on another country and the possible endangerment of the men and women in the United States’ military. This is a serious life and death matter and should be treated as such.

    “I believe that DNI Director Gabbard and CIA Director Ratcliffe intentionally misled Congress yesterday in trying to make us believe that this was a casual conversation. This was a war plan, and American lives were at risk. We should deal with it in that seriousness.

    “This matter must be investigated by the Department of Justice. To dismiss it, as the President tried yesterday, is incredible and not fair to our men and women in uniform.”

    This morning, Durbin joined U.S. Senate Democratic Leader Chuck Schumer (D-NY) and top Senate Democrats on national security committees in sending a letter to President Trump for answers after The Atlantic revealed that an unsecured text chain with at least 18 senior-level Trump administration officials was used to coordinate and share classified information about sensitive military planning and operations.

    -30-

    MIL OSI USA News –

  • MIL-OSI: Precision Drilling Corporation 2025 First Quarter Results Conference Call and Webcast

    Source: GlobeNewswire (MIL-OSI)

    CALGARY, Alberta, March 26, 2025 (GLOBE NEWSWIRE) — Precision Drilling Corporation (Precision) intends to release its 2025 first quarter results after the market closes on Wednesday, April 23, 2025, and has scheduled a conference call to begin at 11:00 a.m. MT (1:00 p.m. ET) on the next day, Thursday, April 24, 2025.

    To participate in the conference call please register at the URL link below. Once registered, you will receive a dial-in number and a unique PIN, which will allow you to ask questions.

    https://register-conf.media-server.com/register/BIfac587dca2994a30be564b41d99b43ac

    The call will also be webcast and can be accessed through the link below. A replay of the webcast call will be available on Precision’s website for 12 months.

    https://edge.media-server.com/mmc/p/gifawh57

    About Precision

    Precision is a leading provider of safe and environmentally responsible High Performance, High Value services to the energy industry, offering customers access to an extensive fleet of Super Series drilling rigs. Precision has commercialized an industry-leading digital technology portfolio known as Alpha™ that utilizes advanced automation software and analytics to generate efficient, predictable, and repeatable results for energy customers. Our drilling services are enhanced by our EverGreen™ suite of environmental solutions, which bolsters our commitment to reducing the environmental impact of our operations. Additionally, Precision offers well service rigs, camps and rental equipment all backed by a comprehensive mix of technical support services and skilled, experienced personnel.

    Precision is headquartered in Calgary, Alberta, Canada and is listed on the Toronto Stock Exchange under the trading symbol “PD” and on the New York Stock Exchange under the trading symbol “PDS”.

    Additional Information

    For more information about Precision, please visit our website at www.precisiondrilling.com or contact:

    Lavonne Zdunich, CPA, CA
    Vice President, Investor Relations
    403.716.4500

    800, 525 – 8th Avenue S.W.
    Calgary, Alberta, Canada T2P 1G1
    Website: www.precisiondrilling.com

    The MIL Network –

  • MIL-OSI: Usio Announces Improved Profitability; Fourth Quarter GAAP Earnings of $0.02 per share and Full Year GAAP Earnings of $0.12 per share

    Source: GlobeNewswire (MIL-OSI)

    Full Year Revenues up in each of ACH & Complementary Services, Card and Output Solutions Business Units

    Record Full Year 2024 Dollar Processing Volume of $7.1 Billion, a 33% Increase Compared to Fiscal 2023; Transactions Processed also up a Strong 26% Year-over-Year

    Cash Position Increases to Record High of $8.1 Million

    SAN ANTONIO, March 26, 2025 (GLOBE NEWSWIRE) — Usio, Inc: (Nasdaq: USIO), a leading FinTech company that operates a full stack of integrated, cloud-based electronic payment and embedded financial solutions, today announced financial results for the fourth quarter and year ended December 31, 2024.

    Louis Hoch, Chairman and Chief Executive Officer of Usio, said, “We are delivering on our commitments as profitability improved, cash flow was strong, and revenue grew in each of our ACH & Complementary Services, Card and Output Solutions businesses in both the fourth quarter and full year 2024. We also delivered another year of positive Adjusted EBITDA1. Results were driven across Usio by a 33% increase in total dollar processing volume, which rose to $7.1 billion from $5.3 billion in 2023, while transactions processed reached record levels on 26% year-over-year growth. We attribute this solid revenue performance to our innovative technology and complementary business strategy while the bottom line continues to improve as we implement our disciplined cost control and enhance our results through operating leverage that our business model provides.

    “For the quarter, we reported top line growth as well as our third consecutive quarter of positive GAAP net income, approximately $0.6 million, or $0.02 per share. For both the quarter and the year, revenues were up in three of our business units, and in the fourth, prepaid revenues were up when excluding the COVID incentive programs that was essentially wound down in fiscal 2023. Cash flow remains strong, enabling us to bolster our balance sheet, which provides us with resources to support our growth initiatives. In addition, cash flow in 2024 was also used to repurchase $1.4 million of our stock. And, today, the Board reauthorized a new repurchase agreement of $4 million which further illustrates our confidence in the business’ long-term prospects. Together, this is a strong set up for what we believe will be another year of both top line and Adjusted EBITDA1 growth in 2025.”

    Momentum continues to accelerate in ACH and complementary services, with revenues up 17% in the quarter and 12% for the year, in large part reflecting success cross-selling ACH into existing Card and Prepaid accounts. Card revenue growth remains solid, up 6% for the quarter and 3% for the year, led by PayFac, where revenues were up 29% in the quarter, and 22% on the year. Output Solutions had a strong fourth quarter, growing revenues a healthy 13%, which drove the business to full year growth after facing headwinds in prior quarters during the year. Total dollars loaded on prepaid cards exceeded $111 million in the fourth quarter, the sixth consecutive quarter of over $100 million in prepaid card loads. Fiscal 2024 revenues comparisons in prepaid continue to reflect last year’s expiration of COVID incentive programs, but we believe that Prepaid should begin to benefit from the over 90 client agreements signed in 2024 and a more concerted focus on recurring revenue, ‘evergreen’ clients.”

    Gross profits and margins were down modestly for both the quarter and the year, due primarily to product mix. Selling, general and administrative expenses were up just 3% for the year, reflecting continued strong expense control. The Company closed the 2024 fiscal year with $8.1 million cash on hand compared to year end cash of $7.2 million in 2023. The Company expects this trend of positive cash growth to continue in fiscal 2025.

    Mr. Hoch concluded, “In 2024 our various growth initiatives enabled us to regain nearly all of the revenue lost with the planned expiration of large COVID related card programs while improving profitability and further strengthening our financial position. More importantly, we are fully embarking on our new One Usio strategy, better integrating all of our various product offerings so that we approach the market as a unified force with a portfolio of capabilities that can meet our customer’s various electronic payment and associated needs. Already, we are seeing success selling multiple, complementary Usio products to an increasing number of clients who benefit from the synergies and efficiencies that arise from consolidating their relationships. While this has always been one of our competitive advantages, in 2025 we are redoubling our efforts and organizing around this concept to better unlock the inherent value of this strategy. At the same time, we believe we have the infrastructure to support our growth initiatives such that we can expect to see continued improvement in our operating leverage. We believe 2025 will be another year of growth as we create value for our shareholders.”

    Fiscal 2025 Guidance

    The Company continues to expect strong 14 – 16% growth in revenue in 2025 while also anticipating Adjusted EBITDA1 margins in the 5 – 7% range. Guidance is conditioned on no appreciable deterioration in economic conditions.

    Fourth Quarter 2024 Financial Summary

    Revenues were $20.6 million for the fourth quarter, up 2% compared to $20.1 million in the same period in 2023.

        Three Months Ended December 31,  
        (in millions, except percentages)  
        2024     2023     $ Change     % Change  
                                     
    ACH and complementary service revenue   $ 4.6     $ 3.9     $ 0.7       17 %
    Credit card revenue     7.2       6.9       0.4       6 %
    Prepaid card services revenue     3.0       4.0       (1.0 )     (24 )%
    Output Solutions revenue     5.1       4.6       0.6       13 %
    Interest – ACH and complementary services     0.2       0.2       (0.1 )     (22 )%
    Interest – Prepaid card services     0.3       0.5       (0.2 )     (41 )%
    Interest – Output Solutions     0.0       0.0       0.0       73 %
    Total Revenue   $ 20.6     $ 20.1     $ 0.4       2 %
     

    Revenue growth was primarily attributable to 17% growth in our ACH and complementary services revenue, alongside 13% growth in Output solutions, helping offset a 24% decrease in Prepaid revenues associated with the anticipated wind down of COVID incentive programs in 2024. Credit card revenues also saw a 6% increase, due to the success of our PayFac portfolio achieving 29% growth in the quarter, mitigating the continued attrition of our legacy credit card portfolios.

    Gross profits were $5.1 million, down 4% from $5.3 million for the in 2023. Gross margins were 24.6% compared to 26.1% in the same period in 2023. Gross margins in the quarter primarily reflect a shift in revenue mix, and a decline in interest revenues versus the prior year period due to the lower interest rates in the period. 

    The Company had an operating loss of $0.6 million, compared to an operating loss of $0.0 million from the same period in 2023. 

    Adjusted EBITDA1 was positive $0.5 million in the quarter, down $0.5 million from $1.1 million in the same period in 2023, due primarily to lower gross profit margins, and an 8% increase in SG&A expense.

    For the quarter, the Company generated $0.5 million of interest revenue compared to $0.8 million in the year ago quarter.

    Net income for the fourth quarter of 2024 was $0.6 million, or $0.02 per share, compared to net income of $0.03 million or $0.00 per share for the same period in 2023. Results in the current quarter primarily by the receipt and recognition of approximately $1.5 million in funds related to the employee retention tax credit made available through the CARES Act, and extended through the American Rescue Plan Act.

    During the quarter, the Company repurchased 331,222 shares of its stock at an average price of $1.46 for a total cost of $482,426 as part of its share buyback program.

    1 See reconciliation of non-GAAP financial measures below.

    Financial Results for Full Year 2024

    Revenues for 2024 were $82.9 million, down 1% from $84.1 million for the same period in 2023.

        Year Ended December 31,  
        (in millions, except percentages)  
        2024     2023     $ Change     % Change  
                                     
    ACH and complementary service revenue   $ 16.7     $ 14.9     $ 1.8       12 %
    Credit card revenue   29.3       28.5       0.8       3 %
    Prepaid card services revenue     14.1       18.7       (4.6 )     (25 )%
    Output Solutions revenue     20.6       20.5       0.1       1 %
    Interest – ACH and complementary services     0.8       0.5       0.3       59 %
    Interest – Prepaid card services     1.3       0.9       0.4       44 %
    Interest – Output Solutions     0.2       0.0       0.1       220 %
    Total Revenue   $ 82.9     $ 84.1     $ (1.1 )     (1 )%
     

    The Company experienced strong revenue growth in its ACH and complementary services business segment, seeing an $1.8 million, or 12% increase over 2023. This revenue growth, alongside a 55% increase in aggregate interest revenues, helped to offset the 25% decline in our prepaid card services, as we saw the anticipated wind down of revenues associated with COVID incentive programs in 2024. Strong net new customer and organic growth, specifically in our corporate and commercial card programs, generated over $7 million of revenues in 2024, greatly offsetting the revenues in 2023 associated with those COVID programs. Credit card revenues were also up 3%, with PayFac growing 22% in 2024, mitigating attrition in our legacy credit card lines of business. Revenues associated with our PayFac portfolio now exceed 50% of total credit card processing revenues, and performance associated with our PayFac model is anticipated to become more representative of overall credit card revenue growth. Output Solutions revenues were up 1%, as we fully implemented our new processing equipment through the year in order to position the business unit for continued growth in 2025 due to the increased capacity, efficiency, and speed our new equipment provides.

    Gross profit for the year ended December 31, 2024 was $19.6 million, down 2% from $20.1 million in fiscal 2023. Gross margins were 23.7% for the year ended December 31, 2024 compared to 23.9% in fiscal 2023, generally reflecting a shift in business mix over the year.

    The Company reported $2.9 million in Adjusted EBITDA1 for the year ended December 31, 2024, a $1.0 million decline versus $3.9 million in 2023, due primarily to slightly lower revenues and gross margin, alongside a 3% increase in SG&A expense in 2024. The Company increased its cash balance by $0.9 million, while utilizing $1.4 million on share repurchases in 2024. The Company significantly improved its net income for the year by $3.8 million to $3.3 million compared to a loss of $0.5 million for fiscal 2023 due to the recognition of an approximate $3.1 million federal tax benefit. The Company reported earnings of $0.12 per share, a significant improvement compared to loss of $(0.02) per share, in fiscal 2023. 

    Conference Call and Webcast

    Usio, Inc.’s management will host a conference call with a live webcast Wednesday, March 26, 2025 at 4:30 pm Eastern time to provide a business update. To listen to the conference call, interested parties within the U.S. should call +1-844-883-3890. International callers should call + 1-412-317-9246. All callers should ask for the Usio conference call. The conference call will also be available through a live webcast, which can be accessed via the company’s website at www.usio.com/invest.

    A replay of the call will be available approximately one hour after the end of the call through April 10, 2025. The replay can be accessed via the Company’s website or by dialing +1-877-344-7529 (U.S.) or +1-412-317-0088 (international). The replay conference playback code is 2388192.

    About Usio, Inc.

    Usio, Inc. (Nasdaq: USIO), is a leading Fintech that operates a full stack of proprietary, cloud-based integrated payment and embedded financial solutions in a single ecosystem to a wide range of merchants, billers, banks, service bureaus and card issuers. The Company operates credit/debit and ACH payment processing platforms, as well as a turn-key card issuing platform to deliver convenient, world-class payment solutions and services to their clients. The company, through its Usio Output Solutions division offers services relating to electronic bill presentment, document composition, document decomposition and printing and mailing services. The strength of the Company lies in its ability to provide tailored solutions for card issuance, payment acceptance, and bill payments as well as its unique technology in the prepaid sector. Usio is headquartered in San Antonio, Texas, and has a development office in Austin, Texas.

    Websites: www.usio.com, www.payfacinabox.com, www.akimbocard.com and www.usiooutput.com. Find us on Facebook® and Twitter.

    About Non-GAAP Financial Measures

    This press release includes non-GAAP financial measures, EBITDA, adjusted EBITDA, and adjusted EBITDA margins, as defined in Regulation G of the Securities and Exchange Act of 1934, as amended. The Company reports its financial results in compliance with GAAP, but believes that also discussing non-GAAP financial measures provides investors with financial measures it uses in the management of its business. The Company defines EBITDA as operating income (loss), before interest, taxes, depreciation and amortization of intangibles. The Company defines adjusted EBITDA as EBITDA, as defined above, plus non-cash stock option costs and certain non-recurring items, such as costs related to acquisitions. These measures may not be comparable to similarly titled measures reported by other companies. Management uses EBITDA, adjusted EBITDA, and adjusted EBITDA margins as indicators of the Company’s operating performance and ability to fund acquisitions, capital expenditures and other investments and, in the absence of refinancing options, to repay debt obligations. 

    In previous periods, the Company reported the non-GAAP financial measure of adjusted operating cash flows, which excluded certain items from operating cash flows to provide a measure of cash generated from its core operations. Beginning with the current reporting period, the Company is no longer presenting adjusted operating cash flows as a non-GAAP financial measure. The decision to discontinue reporting adjusted operating cash flows is due to changes in the presentation of certain assets, specifically the movement of assets held for customers, into the financing activities section of our cash flow statement. As a result of this reclassification, the need for the adjusted operating cash flows measure is no longer required, as the adjustments previously made to exclude these amounts are not necessary. 

    Management believes EBITDA, adjusted EBITDA, and adjusted EBITDA margins are helpful to investors in evaluating the Company’s operating performance because non-cash costs and other items that management believes are not indicative of its results of operations are excluded. 

    EBITDA, adjusted EBITDA, and adjusted EBITDA margins should be considered in addition to, not as a substitute for, or superior to, financial measures calculated in accordance with GAAP. They are not measurements of our financial performance under GAAP and should not be considered as alternatives to revenue, or net income, as applicable, or any other performance measures derived in accordance with GAAP and may not be comparable to other similarly titled measures of other businesses. EBITDA, adjusted EBITDA, and adjusted EBITDA margins have limitations as analytical tools and you should not consider these Non-GAAP measures in isolation or as a substitute for analysis of our operating results as reported under GAAP.

    1 See reconciliation of non-GAAP financial measures below.

    FORWARD-LOOKING STATEMENTS DISCLAIMER

    Except for the historical information contained herein, the matters discussed in this release include forward-looking statements which are covered by safe harbors. Those statements include, but may not be limited to, all statements regarding management’s intent, belief and expectations, such as statements concerning our future and our operating and growth strategy. These forward-looking statements are identified by the use of words such as “believe,” “could,” “should,” “intend,” “look forward,” “anticipate,” “schedule,” and “expect” among others. Forward-looking statements in this press release are subject to certain risks and uncertainties inherent in the Company’s business that could cause actual results to vary, including such risks related to an economic downturn, the realization of opportunities from the IMS acquisition, the management of the Company’s growth, the loss of key resellers, the relationships with the Automated Clearinghouse network, bank sponsors, third-party card processing providers and merchants, the security of our software, hardware and information, the volatility of the stock price, the need to obtain additional financing, risks associated with new legislation, and compliance with complex federal, state and local laws and regulations, and other risks detailed from time to time in the Company’s filings with the Securities and Exchange Commission including its annual report on Form 10-K for the fiscal year ended December 31, 2024. One or more of these factors have affected, and in the future, could affect the Company’s businesses and financial results in the future and could cause actual results to differ materially from plans and projections. The Company believes that the assumptions underlying the forward-looking statements included in this release will prove to be accurate. In light of the significant uncertainties inherent in the forward-looking statements included herein, the inclusion of such information should not be regarded as a representation by us or any other person that the objectives and plans will be achieved. All forward-looking statements made in this release are based on information presently available to management. The Company assumes no obligation to update any forward-looking statements, except as required by law.

    Contact:

    Paul Manley
    Senior Vice President, Investor Relations
    Paul.Manley@usio.com
    612-834-1804

    USIO, INC.
    CONSOLIDATED BALANCE SHEETS
     
        December 31, 2024     December 31, 2023  
    ASSETS                
    Cash and cash equivalents   $ 8,056,891     $ 7,155,687  
    Accounts receivable     5,053,639       5,564,138  
    Accounts receivable, tax credit     1,494,612       —  
    Settlement processing assets     47,104,006       44,899,603  
    Prepaid card load assets     25,648,688       31,578,973  
    Customer deposits     1,918,805       1,865,731  
    Inventory     403,796       422,808  
    Prepaid expenses and other     585,500       444,071  
    Current assets before merchant reserves     90,265,937       91,931,011  
    Merchant reserves     4,890,101       5,310,095  
    Total current assets     95,156,038       97,241,106  
                     
    Property and equipment, net     3,194,818       3,660,092  
                     
    Other assets:                
    Intangibles, net     881,346       1,753,333  
    Deferred tax asset     4,580,440       1,504,000  
    Operating lease right-of-use assets     3,037,928       2,420,782  
    Other assets     357,877       355,357  
    Total other assets     8,857,591       6,033,472  
                     
    Total Assets   $ 107,208,447     $ 106,934,670  
                     
    LIABILITIES AND STOCKHOLDERS’ EQUITY                
    Current Liabilities:                
    Accounts payable   $ 1,256,819     $ 1,031,141  
    Accrued expenses     3,366,925       3,801,278  
    Operating lease liabilities, current portion     612,680       633,616  
    Equipment loan, current portion     147,581       107,270  
    Settlement processing obligations     47,104,006       44,899,603  
    Prepaid card load liabilities     25,648,688       31,578,973  
    Customer deposits     1,918,805       1,865,731  
    Current liabilities before merchant reserve obligations     80,055,504       83,917,612  
    Merchant reserve obligations     4,890,101       5,310,095  
    Total current liabilities     84,945,605       89,227,707  
                     
    Non-current liabilities:                
    Equipment loan, non-current portion     571,862       718,980  
    Operating lease liabilities, non-current portion     2,534,017       1,919,144  
    Total liabilities     88,051,484       91,865,831  
                     
    Commitments and Contingencies                
    Stockholders’ Equity:                
    Preferred stock, $0.01 par value, 10,000,000 shares authorized; -0- shares issued and outstanding in 2024 and 2023     —       —  
    Common stock, $0.001 par value, 200,000,000 shares authorized; 29,902,415 and 28,671,606 issued and 26,609,651 and 26,332,523 outstanding in 2024 and 2023 (see Note 12)     198,317       197,087  
    Additional paid-in capital     99,676,457       97,479,830  
    Treasury stock, at cost; 3,292,764 and 2,339,083 shares in 2024 and 2023 (see Note 12)     (5,770,592 )     (4,362,150 )
    Deferred compensation     (6,914,563 )     (6,907,775 )
    Accumulated deficit     (68,032,656 )     (71,338,153 )
    Total stockholders’ equity     19,156,963       15,068,839  
                     
    Total Liabilities and Stockholders’ Equity   $ 107,208,447     $ 106,934,670  
       
    USIO, INC.
    CONSOLIDATED STATEMENTS OF OPERATIONS
     
        Three Months Ended (unaudited)     Twelve Months Ended  
        December 31, 2024     December 31, 2023     December 31, 2024     December 31, 2023  
    Revenues   $ 20,560,088     $ 20,130,642     $ 82,931,840     $ 84,066,245  
    Cost of services     15,495,310       14,871,207       63,317,396       63,992,417  
    Gross profit     5,064,778       5,259,435       19,614,444       20,073,828  
                                     
    Selling, general and administrative:                                
    Stock-based compensation     564,300       545,711       2,093,406       2,222,969  
    Other expenses     4,547,694       4,195,580       16,728,081       16,216,690  
    Depreciation and Amortization     555,581       521,932       2,263,302       2,081,533  
    Total operating expenses     5,667,575       5,263,223       21,084,789       20,521,192  
                                     
    Operating loss     (602,797 )     (3,788 )     (1,470,345 )     (447,364 )
                                     
    Other income:                                
    Interest income     116,558       103,337       464,746       219,986  
    Other income     1,476,272       —       1,737,685       50,000  
    Interest expense     (12,267 )     (3,614 )     (53,802 )     (5,202 )
    Other income, net     1,580,563       99,723       2,148,629       264,784  
                                     
    Income (loss) before income taxes     977,766       95,935       678,284       (182,580 )
                                     
    Federal income tax expense (benefit)     109,613       —       (3,076,440 )     —  
    State income tax expense     239,227       70,000       449,227       292,524  
    Income tax expense (benefit)     348,840       70,000       (2,627,213 )     292,524  
                                     
    Net Income (Loss)   $ 628,926     $ 25,935     $ 3,305,497     $ (475,104 )
                                     
    Earnings (Loss) Per Share                                
    Basic income (loss) per common share:   $ 0.02     $ 0.00     $ 0.12     $ (0.02 )
    Diluted income (loss) per common share:   $ 0.02     $ 0.00     $ 0.12     $ (0.02 )
    Weighted average common shares outstanding                                
    Basic     27,162,675       26,503,251       26,852,129       26,490,868  
    Diluted     27,162,675       26,503,251       26,852,129       26,490,868  
     
    USIO, INC.
    CONSOLIDATED STATEMENTS OF CASH FLOWS
     
        December 31, 2024     December 31, 2023  
    Operating Activities                
    Net income (loss)   $ 3,305,497     $ (475,104 )
    Adjustments to reconcile net income (loss) to net cash provided (used) by operating activities:                
    Depreciation     1,391,315       1,209,506  
    Amortization     871,987       872,027  
    Loss on disposal of equipment     18,340       —  
    Deferred federal income tax     (3,076,440 )     —  
    Employee stock-based compensation     2,093,406       2,190,369  
    Vendor stock-based compensation     —       32,600  
    Non-cash revenue from return of treasury stock     —       (156,162 )
    Changes in operating assets and liabilities:                
    Accounts receivable     510,499       (1,192,498 )
    Accounts receivable, tax credit     (1,494,612 )     —  
    Prepaid expenses and other     (141,429 )     6,318  
    Operating lease right-to-use assets     (617,146 )     374,701  
    Other assets     (2,520 )     —  
    Inventory     19,012       84,547  
    Accounts payable and accrued expenses     (208,675 )     252,689  
    Operating lease liabilities     593,937       (403,506 )
    Merchant reserves     (419,994 )     400,594  
    Customer deposits     53,074       311,609  
    Net cash provided by operating activities     2,896,251       3,507,690  
                     
    Investing Activities                
    Purchases of property and equipment     (991,881 )     (834,964 )
    Sale of equipment     47,500       —  
    Net cash used by investing activities     (944,381 )     (834,964 )
                     
    Financing Activities                
    Payments on equipment loan     (106,807 )     (56,992 )
    Proceeds from issuance of common stock     97,663       —  
    Purchases of treasury stock     (1,408,442 )     (456,961 )
    Assets held for customers     (3,725,882 )     6,570,747  
    Net cash provided (used) by financing activities     (5,143,468 )     6,056,794  
                     
    Change in cash, cash equivalents, customer deposits and merchant reserves     (3,191,598 )     8,729,520  
    Cash, cash equivalents, customer deposits and merchant reserves, beginning of year     90,810,089       82,080,569  
                     
    Cash, Cash Equivalents, Settlement Processing Assets, Prepaid Card Load Assets, Customer Deposits and Merchant Reserves, End of Year   $ 87,618,491     $ 90,810,089  
                     
    Supplemental disclosures of cash flow information                
    Cash paid during the period for:                
    Interest   $ 53,802     $ 5,202  
    Income taxes     290,144       116,204  
    Non-cash operating activities:                
    Right of use assets obtained in exchange for operating lease liabilities   $ 1,156,543     $ –  
    Non-cash investing and financing activities:                
    Issuance of deferred stock compensation   $ 1,497,300     $ 2,650,505  
    Non-cash transaction for acquisition of equipment in exchange for note payable     —       811,819  
                     
    USIO, INC.
    STATEMENT OF CHANGES IN STOCKHOLDERS’ EQUITY
     
        Common Stock     Additional Paid- In     Treasury     Deferred     Accumulated     Total Stockholders’  
        Shares     Amount     Capital     Stock     Compensation     Deficit     Equity  
                                                             
    Balance at December 31, 2022     27,044,900     $ 195,471     $ 94,048,603     $ (3,749,027 )   $ (5,697,900 )   $ (70,863,049 )   $ 13,934,098  
                                                             
    Issuance of common stock under equity incentive plan     1,731,506       1,731       3,619,315       —       (2,650,505 )     —       970,541  
    Reversal of deferred compensation amortization that did not vest     (115,000 )     (115 )     (188,088 )     —       103,091       —       (85,112 )
    Deferred compensation amortization     —       —       —       —       1,337,539       —       1,337,539  
    Non-cash return of treasury stock     —       —       —       (156,162 )     —       —       (156,162 )
    Purchase of treasury stock     —       —       —       (456,961 )     —       —       (456,961 )
    Net loss     —       —       —       —       —       (475,104 )     (475,104 )
                                                             
    Balance at December 31, 2023     28,661,406     $ 197,087     $ 97,479,830     $ (4,362,150 )   $ (6,907,775 )   $ (71,338,153 )   $ 15,068,839  
                                                             
    Issuance of common stock under equity incentive plan     1,189,050       1,178       2,130,336       —       (1,497,300 )     —       634,214  
    Issuance of common stock under employee stock purchase plan     66,959       67       97,596       —       —       —       97,663  
    Reversal of deferred compensation amortization that did not vest     (15,000 )     (15 )     (31,305 )     —       31,320       —       —  
    Deferred compensation amortization     —       —       —       —       1,459,192       —       1,459,192  
    Purchase of treasury stock     —       —       —       (1,408,442 )     —       —       (1,408,442 )
    Net income     —       —       —       —       —       3,305,497       3,305,497  
                                                             
    Balance at December 31, 2024     29,902,415     $ 198,317     $ 99,676,457     $ (5,770,592 )   $ (6,914,563 )   $ (68,032,656 )   $ 19,156,963  
     
    RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES
     
        Three Months Ended (unaudited)     Twelve Months Ended  
        December 31, 2024     December 31, 2023     December 31, 2024     December 31, 2023  
                                     
    Reconciliation from Operating Income/(Loss) to Adjusted EBITDA:                                
    Operating income (loss)   $ (602,797 )   $ (3,788 )   $ (1,470,345 )   $ (447,364 )
    Depreciation and amortization     555,581       521,932       2,263,302       2,081,533  
    EBITDA     (47,216 )     518,144       792,957       1,634,169  
    Non-cash stock-based compensation expense, net     564,300       545,711       2,093,406       2,222,969  
    Adjusted EBITDA   $ 517,084     $ 1,063,855     $ 2,886,363     $ 3,857,138  
                                     
                                     
    Calculation of Adjusted EBITDA margins:                                
    Revenues   $ 20,560,088     $ 20,130,642     $ 82,931,840     $ 84,066,245  
    Adjusted EBITDA     517,084       1,063,855       2,886,363       3,857,138  
    Adjusted EBITDA margins     2.5 %     5.3 %     3.5 %     4.6 %

    The MIL Network –

  • MIL-OSI Video: Ahead of the Threat Podcast: Episode Eight – Scott Aaronson

    Source: Federal Bureau of Investigation (FBI) (video statements)

    Class is in session! Professor Scott Aaronson, a leading researcher in quantum computers, takes time away from his teaching at the University of Texas at Austin to give Ahead of the Threat a detailed overview of quantum theory and the applications of what a quantum computer could do—when one is invented. Though a real quantum computer remains unlikely for a few more years, its potential to unravel nearly all known encryption has led to the development of post-quantum encryption to protect sensitive data.

    In the episode’s Top Three segment that highlights current cybersecurity news, hosts Bryan Vorndran, assistant director of the FBI’s Cyber Division, and Jamil Farshchi, FBI strategic engagement advisor, discuss Google’s acquisition of the cloud computing company Wiz for $32 billion; the European Union’s Artificial Intelligence Act, and a new ransomware attack at Jaguar Land Rover.

    You can read an FBI Joint Cybersecurity Advisory on Medusa Ransomware at https://www.cisa.gov/news-events/cybersecurity-advisories/aa25-071a. You can also read NIST’s Post-Quantum Cryptography Standardization Overview at https://csrc.nist.gov/projects/post-quantum-cryptography.

    Listen to Ahead of the Threat episodes, read the transcripts, and find related material at https://www.fbi.gov/aheadofthethreat.
    —————————————————
    Subscribe to Ahead of the Threat wherever you get your podcasts:
    Apple Podcasts: https://podcasts.apple.com/us/podcast/ahead-of-the-threat-the-fbi-cyber-podcast/id1774312272
    Spotify: https://open.spotify.com/show/7nV7uYsEK4nH87ADpooAyA
    More ways to follow us: https://ahead-of-the-threat.transistor.fm/subscribe

    Follow us on social media:
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    https://www.youtube.com/watch?v=WB9bvr_Nf4w

    MIL OSI Video –

  • MIL-OSI Video: Inside the FBI Podcast: My Mission Miniseries – Kelly Walker

    Source: Federal Bureau of Investigation (FBI) (video statements)

    On this My Mission episode of the Inside the FBI Podcast, we’ll meet Kelly Walker, an elementary school teacher-turned-Hazardous Devices School curriculum specialist who helps the Bureau prepare the nation’s civilian public-safety bomb techs to protect communities from explosive threats.

    For a full transcript and additional resources, visit https://www.fbi.gov/news/podcasts.

    You can visit https://www.fbi.gov to learn more about how our field offices support our mission and help keep Americans safe. You can also visit https://www.fbi.gov/mymission to hear other FBI personnel reflect on their unique missions within the Bureau. Finally, you can visit https://www.fbi.gov/tactics to learn more about the FBI’s Critical Incident Response Group.
    —————————————————
    Subscribe to Inside the FBI wherever you get your podcasts:
    Spotify: https://open.spotify.com/show/4H2d3cg…
    Apple Podcasts: https://podcasts.apple.com/us/podcast…
    More ways to follow us: https://inside-the-fbi.transistor.fm/…

    Follow us on social media:
    X: https://twitter.com/fbi
    Facebook: https://facebook.com/FBI
    Instagram: https://instagram.com/fbi
    YouTube: youtube.com/user/fbi

    https://www.youtube.com/watch?v=IfT7HFBSFOY

    MIL OSI Video –

  • MIL-OSI Security: Air Force Member Charged with Sexual Exploitation of a Nine-Year-Old Child on Long Island

    Source: Office of United States Attorneys

    Defendant was Paying the Child to Send Him Sexually Explicit Photos and Videos of Herself

    This morning, in federal court in Central Islip, David Ibarra was arraigned on an indictment charging him with sexual exploitation of a child, coercion, and enticement.  Ibarra, an active-duty senior airman in the United States Air Force, was initially charged by complaint in February 2025 and ordered detained in Anchorage, Alaska, before his transfer to the Eastern District of New York.  Today’s proceeding was held before United States District Court Judge Joanna Seybert who ordered the defendant detained pending trial.

    John J. Durham, United States Attorney for the Eastern District of New York and Leslie Backschies, Acting Assistant Director in Charge, Federal Bureau of Investigation, New York Field Office (FBI), announced the charges.

    “As alleged, the defendant, a 31-year-old man posing as a 13-year-old boy, manipulated a vulnerable child into producing and sending him sexually explicit images and videos of herself via text message in exchange for money,” stated United States Attorney Durham.  “My Office will continue its relentless pursuit of sexual predators who target children and work to secure lengthy prison sentences in these cases to protect our community and children from such conduct.”

    “As alleged in the indictment, this individual targeted and then repeatedly coerced a child into sending him sexually explicit photos and videos of herself—produced at his specific direction—in exchange for money,” stated FBI Acting Assistant Director in Charge Backschies. “The FBI is committed to finding and arresting the monsters who prey on vulnerable children, and we will continue to work with our partners to ensure these predators are off the streets and behind bars where they can no longer pose a danger to our communities.”

    As set forth in court filings, law enforcement identified Ibarra from cell phone records obtained for an individual who was communicating, via text message, with a 9-year-old girl living in Suffolk County, New York, and soliciting sexually explicit images and videos from her in exchange for money.  During these communications, Ibarra, who claimed to be a 13-year-old boy named “Dave” living in Texas, repeatedly pressured the victim to send him more images and gave her specific directions as to what sexually explicit poses he wanted her to record (“Can we be a little dirty before we go to sleep?  Pls and I’ll send money…”).  Ibarra made approximately 17 payments to the victim’s Apple Pay account to induce her to continue producing sexually explicit images for the defendant’s gratification.  

    This prosecution is part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse.  Led by 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 to identify and rescue victims.  For more information about Project Safe Childhood, please visit https://www.justice.gov/psc

    The charges in the indictment are allegations and the defendant is presumed innocent unless and until proven guilty.  If convicted of the charges, Ibarra faces a mandatory minimum sentence of 15 years in prison and up to 30 years in prison. 

    The government’s case is being handled by the Criminal Section of the Office’s Long Island Division. Assistant United States  Attorney Paul G. Scotti is in charge of the prosecution.

    The Defendant:

    DAVID IBARRA
    Age:  31
    Anchorage, Alaska

    E.D.N.Y. Docket No. 25-CR-90 (JS)

    MIL Security OSI –

  • MIL-OSI Security: Former federal employee sentenced to prison for mishandling classified materials

    Source: Office of United States Attorneys

    Defendant illegally removed documents from secure facility

    AUGUSTA, GA:  A former employee of a U.S. Department of Defense component agency was sentenced to federal prison for mishandling sensitive documents.

    Margaret Anne Ashby, 26, of Henderson, Nevada, was sentenced to 36 months in prison and a fine of $15,000 after pleading guilty to Unauthorized Removal/Retention of Classified Documents, said Tara M. Lyons, Acting U.S. Attorney for the Southern District of Georgia. U.S. District Court Judge J. Randal Hall also ordered Ashby to serve three years of supervised release upon completion of her prison term.

    There is no parole in the federal system.

    “This sentence should serve as a reminder to all personnel who handle sensitive government documents that their proper handling is of paramount importance,” said Acting U.S. Attorney Lyons. “Margaret Ashby is being held accountable for violating the laws that govern those entrusted to work with these materials.”

    As described in court documents and testimony, Ashby was hired in March 2020 as a civilian employee of a Department of Defense component agency located in the Southern District of Georgia. As required for her employment, Ashby possessed a Top Secret security clearance.

    From February 2022 to May 2022, Ashby, without authority, knowingly removed documents and materials containing classified information described in the plea agreement as “concerning the national defense or foreign relations of the United States.” She did so “with the intent to retain them at unauthorized locations, including her residence in the Southern District of Georgia and in digital files saved via a personal computing device located in the Southern District of Georgia.”

    “Certain responsibilities are mandatory to individuals with access to Top Secret information and when the trust placed on them to protect our national intelligence is violated, they put our country at risk,” said Paul Brown, Special Agent in Charge of FBI Atlanta. “We will continue work with our partners to protect the American people and uphold the constitution by safeguarding our country’s classified information.”

    The case was investigated by the FBI, and prosecuted for the United States by Southern District of Georgia Assistant U.S. Attorneys L. Alexander Hamner and Darron J. Hubbard, and Trial Attorney David J. Ryan with the U.S. Department of Justice Counterintelligence and Export Control Section.

    MIL Security OSI –

  • MIL-OSI Security: HIGH SPRINGS MAN SENTENCED TO FEDERAL PRISON FOR WIRE FRAUD

    Source: Office of United States Attorneys

    GAINESVILLE, FLORIDA – Sean Walker, 34, of High Springs, Florida, was sentenced to 42 months in federal prison for wire fraud in connection with COVID-19 relief fraud. The sentence was announced by Michelle Spaven, Acting United States Attorney for the Northern District of Florida.

    “Our office will continue to eliminate waste, fraud, and abuse of taxpayer money, including holding those accountable who conspired to falsely obtain government funds during the COVID‑19 pandemic,” said Acting United States Attorney Spaven.

    Court documents reflect that Walker obtained over $20,000 in unemployment insurance benefits from the State of California, which were funded in part by the Coronavirus Aid, Relief, and Economic Security (CARES) Act. These funds were intended to provide emergency financial assistance to the millions of Americans who were suffering from the economic effects caused by the COVID-19 pandemic. Walker’s benefits application contained materially false and fraudulent statements. Walker knew that he had never lived or worked in that state and was not entitled to unemployment insurance benefits from California.

    In addition to his prison sentence, Walker was also ordered to pay $21,690 in restitution to California’s Employment Development Department. Walker’s imprisonment will also be followed by three years of supervised release.

    Walker is one of nine defendants who were convicted of similar COVID-19 relief fraud as a result of a joint investigation by the Federal Bureau of Investigation and the Internal Revenue Service-Criminal Investigation (IRS-CI). The case was prosecuted by Assistant United States Attorneys Adam Hapner and David P. Byron.

    “While many were facing hardship and uncertainty, these defendants sought to exploit government programs intended to help those in need,” said Special Agent in Charge Ron Loecker, of the IRS-CI, Tampa Field Office. “Their actions were driven by greed and a blatant disregard for the law, undermining the purpose of critical relief efforts. We remain committed to holding accountable those who abuse these programs for personal gain and ensuring that justice is served.”

    “The sentencing of Sean Walker conveys the important message that you cannot steal money from Americans without consequence,” said Kristin Rehler, Special Agent in Charge of the FBI Jacksonville Division. “The funds stolen by this defendant and other co-conspirators add to the massive amount of COVID-19 relief fraud that will ultimately be paid for by taxpayers. The FBI’s investigation into these schemes exemplifies our commitment to hold thieves accountable, and we will continue to work in coordination with our partners to protect the pocketbooks of hard-working Americans.”

    The COVID-19 Fraud Enforcement Task Force marshals the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the department’s response to the pandemic, please visit Justice.gov/Coronavirus and Justice.gov/Coronavirus/CombatingFraud.

    Anyone with information about allegations of attempted fraud involving COVID-19 relief funds can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline via the NCDF Web Complaint Form.

    The United States Attorney’s Office for the Northern District of Florida is one of 94 offices that serve as the nation’s principal litigators under the direction of the Attorney General.  To access public court documents online, please visit the U.S. District Court for the Northern District of Florida website. For more information about the United States Attorney’s Office, Northern District of Florida, visit http://www.justice.gov/usao/fln/index.html.

    MIL Security OSI –

  • MIL-OSI Security: River Hills Man Sentenced to 21 Months’ Imprisonment for Paying Health Care Kickbacks

    Source: Federal Bureau of Investigation (FBI) State Crime Alerts (c)

    Richard G. Frohling, Acting United States Attorney for the Eastern District of Wisconsin, announced that, on March 21, 2025, Justin Drew Hanson was sentenced to 21 months’ incarceration for paying healthcare kickbacks in violation of the Anti-Kickback Statute.  Hanson was also ordered to pay over $2.2 million in restitution to Medicaid and Medicare as well as a $75,000 fine.

    According to court records, Hanson and his co-defendant, Mohammed Kazim Ali, owned a Milwaukee-area clinical laboratory called Noah Associates.  Beginning in 2017, Ali and Hanson engaged in a three-year-long scheme to pay kickbacks to the owner of a Milwaukee substance use treatment clinic in exchange for referrals of Medicaid and Medicare patients for urine drug testing performed by Noah Associates.  Hanson and Ali procured sham agreements that further concealed their fraud, ultimately paying over $400,000 in kickbacks to procure the tests.  The tests, however, were not ordered by any physician and were not medically necessary for the treatment of patients.  As a result of the scheme, Medicaid and Medicare paid Noah Associates over $2.2 million for the unnecessary tests.  Hanson personally received hundreds of thousands of dollars from Noah Associates during the scheme. 

    At sentencing, United States District Judge J.P. Stadtmueller emphasized the seriousness of Hanson’s crime, including Hanson’s manipulation and breach of trust of the Medicaid and Medicare programs to receive millions of dollars that were not truly earned.  Judge Stadtmueller further noted that Hanson’s criminal conduct was significant and detrimental because he stole “from every taxpayer citizen in the United States.”  In addition to his sentence, Hanson will also be excluded from participation in the Medicaid and Medicare programs and has shut down Noah Associates.  His co-defendant, Ali, also pleaded guilty for paying healthcare kickbacks and was sentenced to 15 months’ imprisonment earlier this year.

    “Mr. Hanson’s kickbacks resulted in Medicaid and Medicare – and taxpayers – repeatedly paying for unnecessary services,” said Acting U.S. Attorney Frohling.  “Rather than bill the government for tests that patients truly needed, Hanson abused the Medicaid and Medicare programs for his own benefit.  The United States Attorney’s Office is committed to working with its law enforcement partners to hold individuals who engage in these schemes accountable for their actions.”

    “The FBI will relentlessly pursue individuals like Mr. Hanson whose actions defrauded the American people and wasted taxpayer money,” said Special Agent in Charge Michael Hensle of the FBI Milwaukee Field Office. “The FBI will continue to work with our local, state, and federal law enforcement partners to ensure those responsible for schemes to defraud the American people are brought to justice.”

    “HHS-OIG is dedicated to protecting the integrity of Medicare and Medicaid and to ensure taxpayer money is used as intended to serve vulnerable populations,” said Special Agent in Charge Mario M. Pinto of the U.S. Department of Health and Human Services Office of Inspector General (HHS-OIG).  “The kickback scheme in this case undermined the public’s trust in our nation’s health care system and can interfere with impartial medical decision-making. We will continue to work with our law enforcement partners to hold accountable those who manipulate taxpayer-funded health programs to boost their profits.” 

    The Federal Bureau of Investigation and the Office of the Inspector General, Department of Health and Human Services investigated the case.  Assistant United States Attorneys Michael Carter and Julie Stewart handled the prosecution.     

    ###

    For further information contact:

    Public Information Officer

    Kenneth.Gales@usdoj.gov

    (414) 297-1700

    Follow us on Twitter

    MIL Security OSI –

  • MIL-OSI Security: Medical Device Manufacturer And Its Owner Agree To Pay $550,000 To Resolve False Claims Act Allegations

    Source: Office of United States Attorneys

              GRAND RAPIDS – The United States has reached a settlement agreement with The Prometheus Group (Prometheus), a New Hampshire manufacturer of rectal therapeutic systems and probes, and Richard Poore, its president and sole owner, to resolve a civil lawsuit filed against them. The lawsuit alleges that the defendants violated the False Claims Act by causing health care providers to bill Medicare for services in which the providers improperly re-used single-user rectal sensors and single-use catheters on multiple patients.  As part of the settlement, Prometheus and Poore will pay $550,000 to resolve the claims against them.  

              “Medicare beneficiaries deserve treatment that is reasonable and safe,” said Acting U.S. Attorney for the Western District of Michigan Andrew B. Birge. “Device manufacturers and medical practitioners cannot flaunt the rules and jeopardize the wellbeing of patients in our community.”

              “Manufacturers and providers must ensure that medical devices are utilized in a manner that ensures the safety of patients and complies with Federal laws and regulations,” said Mario M. Pinto, Special Agent in Charge of the U.S. Department of Health and Human Services, Office of Inspector General – Chicago Region.  “Our agency, working in conjunction with our law enforcement partners, will always work to hold those accountable who jeopardize patient safety or submit false claims to Federal health care programs.”

              “The FBI is committed to investigating bad actors and protecting the public from healthcare professionals and top executives who exploit the trust of patients by prioritizing greed and convenience over safe health practices,” said Cheyvoryea Gibson, Special Agent in Charge of the FBI in Michigan. “The FBI remains dedicated to safeguarding public health and maintaining the integrity of the medical system.”

              Prometheus manufactures and sells device systems for use in pelvic muscle rehabilitation (PMR), a non-surgical therapy to eliminate or reduce symptoms of pelvic floor disorders, including urinary and fecal incontinence. Specifically, Prometheus has manufactured and marketed the Pathway CTS 2000 Pelvic Floor Training System and the Morpheus System.  Both systems required the use of a rectal pressure probe that is inserted into a patient’s rectum during therapy. Prometheus manufactured its own sensor for use with the Pathway System and encouraged its customers to use a competitor’s anorectal manometry catheter with the Morpheus System.

              The U.S. Food and Drug Administration (FDA) cleared the Prometheus rectal pressure sensor to be used as a single-user device and the anorectal manometry catheter to be used as a single-use device.  For example, the instructions for use identify the rectal pressure sensor as “a potential bio-hazard” and state: “This sensor is restricted for single person use only. Use by another person is strictly prohibited by Federal Regulations.” Similarly, the anorectal manometry catheter was cleared by the FDA as a disposable single-use device, with packaging that states: “Do not re-use.”

              According to the United States’ complaint, the defendants knew of these restrictions, but for years encouraged and instructed health care providers to reuse the rectal pressure sensors and anorectal manometry catheters on multiple patients, using a glove or condom to cover the probes, as a way to reduce the overhead costs associated with Prometheus’s systems.  The government alleged that using the devices in this manner, which exposed patients to unnecessary risk of infections, was not reasonable or necessary, and thus was ineligible for Medicare coverage. 

              The resolution obtained in this matter was the result of a coordinated effort between the Justice Department’s Civil Division, Commercial Litigation Branch, Fraud Section, and the United States Attorney’s Office for the Western District of Michigan, with assistance from the Department of Health and Human Services, Office of Inspector General, the FDA’s Office of Criminal Investigations, and the Federal Bureau of Investigation.

              The investigation and resolution of this matter illustrates the government’s emphasis on combating healthcare fraud.  One of the most powerful tools in this effort is the False Claims Act.  Tips and complaints from all sources about potential fraud, waste, abuse, and mismanagement, can be reported to the Department of Health and Human Services at 800-HHS-TIPS (800-447-8477).

              The lawsuit, which was filed in the U.S. District Court for the Western District of Michigan, is captioned United States v. The Prometheus Group., et al., No. 22-cv-446 (W.D. Mich.).  The lawsuit was handled by Senior Trial Counsel Jay D. Majors and former Assistant U.S. Attorney Andrew J. Hull. 

    The claims resolved by the settlement are allegations only, and there has been no determination of liability. 

    ###

    MIL Security OSI –

  • MIL-OSI Security: Pittsburgh Felon Sentenced to Prison for Possessing and Attempting to Prevent the Seizure of Firearms

    Source: Office of United States Attorneys

    PITTSBURGH, Pa. – A resident of Pittsburgh, Pennsylvania, has been sentenced in federal court to 45 months of imprisonment, to be followed by three years of supervised release, on his convictions of possession of firearms and ammunition by a convicted felon and attempting to take action to prevent seizure, Acting United States Attorney Troy Rivetti announced today.

    United States District Judge Marilyn J. Horan imposed the sentence on Javon Pope, 36.

    According to information presented to the Court, on the morning of November 19, 2019, agents from the Federal Bureau of Investigation discovered Pope inside a Wilkinsburg residence at which another individual had just been arrested and officers had observed several firearms in plain view. The agents detained and searched Pope, finding a digital scale, a small amount of marijuana, and a cellular telephone. Upon the execution of a search warrant for the residence, agents found four firearms, but in different locations from where they had been initially observed by officers. A search warrant for Pope’s cellular telephone revealed an internet search for “how long does it take to get a search warrant” during the morning of November 19 while the FBI would have had the house secured pending the warrant, as well as a picture of the defendant with several of the firearms found in the residence. Pope has a prior felony conviction, and federal law prohibits possession of a firearm or ammunition by a convicted felon.

    The cell phone also revealed several telephone calls between Pope and a resident of the home beginning around the time the Pittsburgh S.W.A.T. Team arrived at the residence, during which Pope was informed that federal agents were at the home and intending to search it. It is a violation of federal law to attempt to take action to prevent seizure of items pursuant to a federal search warrant.

    Assistant United States Attorney Brendan T. Conway prosecuted this case on behalf of the government.

    Acting United States Attorney Rivetti commended the Federal Bureau of Investigation and Pittsburgh S.W.A.T. Team for the investigation leading to the successful prosecution of Pope.

    This prosecution is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.

    MIL Security OSI –

  • MIL-OSI Security: Humble man sentenced in relation to scheme to illegally ship firearms to Iraq

    Source: Office of United States Attorneys

    HOUSTON – A 53-year-old local resident has been sentenced to federal prison for providing false information on federally mandated firearms records, announced U.S. Attorney Nicholas J. Ganjei.

    Yashab Idnan Sandhu, Humble, pleaded guilty July 24, 2023.

    U.S. District Judge Andrew Hanen has now ordered Sandhu to serve 42 months in federal prison to be immediately followed by three years of supervised release.

    “The Southern District of Texas is pleased to have worked with the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) to have intercepted this shipment of guns before they reached Iraq, and used for whatever unknown purpose,” said Ganjei.

    “Being a responsible gun dealer is not just a matter of business; it’s a fundamental duty to safeguard public safety and uphold the trust placed in our agency by the American people,” said ATF Special Agent in Charge Michael Weddel. “ATF puts great trust in Federal Firearms Licensees (FFLs), to include ‘responsible persons,’ as they carry significant responsibility. When that trust is violated, it undermines the confidence the public has in the system. ATF Houston is committed to maintaining public safety, which includes holding these FFLs and their associated employees responsible when the laws and regulations are not followed.”

    The investigation began March 13, 2020, when authorities discovered a cache of handguns concealed in a shipping crate addressed to Iraq at a Port of Houston warehouse. They recovered approximately 473 handguns, 38 of which were pistols with obliterated serial numbers.

    Law enforcement ultimately traced 38 pistols with obliterated serial numbers to R’s Golf & Guns, an FFL for whom Sandhu was a “responsible person.”

    A responsible person is someone who has the authority and power to direct firearm compliance decisions and operations for an FFL.

    The investigation revealed Sandhu had sold these firearms to a suspected firearms smuggler. As part of his plea, Sandhu admitted he went back to previously completed forms and added the firearms, falsely reporting they had been sold to other innocent persons. 

    Sandhu was permitted to remain on bond and voluntarily surrender to a U.S. Bureau of Prisons facility to be determined in the near future.

    ATF conducted the investigation with the assistance of the FBI and Bureau of Industry and Security. Assistant U.S. Attorneys Steven Schammel and Heather Winter prosecuted the case.

    MIL Security OSI –

  • MIL-OSI Security: Former Controller of Shelton, Washington outdoor equipment manufacturer sentenced to 12 months and one day in prison for wire fraud

    Source: Office of United States Attorneys

    Seattle – The former Controller of a Shelton, Washington, outdoor equipment company was sentenced today to 12 months and one day in prison and three years of supervised release for his embezzlement scheme that stole more than $665,000 from the company, announced Acting U.S. Attorney Teal Luthy Miller. Jesse Arden Sherman, 63, of Elma, Washington illegally diverted company funds to his own accounts between 2012 and 2018. In addition, Sherman failed to pay taxes on his ill-gotten gain, resulting in a tax debt of $202,196. At the sentencing hearing U.S. District Judge Tiffany M. Cartwright emphasized the economic and non-economic losses experienced by the victim company and its employees.

    According to records filed in the case, Sherman began working for Sims Vibration Laboratory Inc. in 2008. In his role as controller, he had complete access and control of the company accounting systems and banking functions. In 2012, he began abusing the trust the company had placed in him, by using a variety of schemes to steal from the company. Sherman made false representations to the company’s owner and President, he created false business records, and he created payroll checks and other checks that he deposited in his own accounts. In some instances, he noted in the company books that the check was “void” even though he had cashed it.

    Sherman’s fraud resulted in a loss to the company of at least $665,840. As a Certified Public Accountant Sherman knew that he owed taxes on the money he obtained by fraud, but he failed to pay the $202,196 he owed on his taxes between 2013 and 2018.

    In asking the court for an 18-month prison sentence, prosecutors noted that Sherman betrayed his employer’s trust month after month with each fraudulent check or entry in the company books. “Despite personal and professional privileges, Sherman elected to create a multi-faceted fraud scheme, which he deployed repeatedly over the years to unjustly enrich himself. Although he claims his gambling drove his behaviors, Sherman had the means and self-recognition to address this issue and instead of doing so he instead re-committed to his scheme over and over again to the detriment of SVL, SVL employees, SVL business partners, and Sherman’s family.”

    Sherman has agreed to make restitution to the company of $665,840 and to the IRS of $202,196. 

    The case was investigated by the Internal Revenue Service Criminal Investigation (IRS-CI), the FBI and the Mason County Sheriff’s Office.

    The case was prosecuted by Assistant United States Attorney Brian Wynne.

    MIL Security OSI –

  • MIL-OSI Security: Anchorage man sentenced to 16 years for producing child pornography

    Source: Office of United States Attorneys

    ANCHORAGE, Alaska – An Anchorage man was sentenced yesterday to 16 years in prison and will serve 15 years on supervised release for exploiting a 16-year-old minor to produce child pornography.

    According to court documents, in 2019, the minor female victim moved from Oregon to Alaska and began living with Donteh Devoe, 46. At some point after the victim began living with him, Devoe started sexually abusing her and convinced her that because she was 16, the sexual abuse was legal.

    The victim confided in a friend, explaining that she and Devoe were “dating and having sex.” The victim also disclosed instances where Devoe physically abused her and texted her sexually graphic images during the school day. The victim’s friend promptly reported the alleged abuse to law enforcement and an investigation began.

    In February 2020, law enforcement obtained a search warrant for accounts on Devoe’s and the victim’s devices. Law enforcement reviewed those accounts and discovered sexually explicit conversations between Devoe and the victim. During conversations on Sept. 30, and Oct. 1, 2019, Devoe directed the victim to take sexually explicit photos and send them to him.

    On Nov. 15, 2024, Devoe pleaded guilty to one count of production of child pornography.

    “Mr. Devoe used emotional and physical manipulation to carry out his sexual abuse and get what he wanted. The harm that he caused with his conduct is lasting,” said U.S. Attorney Michael J. Heyman for the District of Alaska. “I want to thank the investigators and prosecutors who were essential in securing a serious penalty for the crime he pleaded guilty to, and the witness for promptly coming forward to report the abuse. I also want to commend the victim for showing extraordinary bravery and resilience in bringing this perpetrator to justice. Our office will continue our strong partnerships with law enforcement to investigate and prosecute anyone who threatens the safety of children.”

    “Through manipulation and a betrayal of trust, Devoe emotionally, physically, and sexually abused a minor in our community, including the production of CSAM,” said Special Agent in Charge Rebecca Day of the FBI Anchorage Field Office. “The sexual abuse and exploitation of children is inexcusable and will not be tolerated by Alaska’s law enforcement community.”

    “The Anchorage Police Department remains committed to ensuring justice for victims and their families. Our officers and investigators worked diligently to bring this case to a resolution, and we appreciate the collaboration with our law enforcement partners and the judicial system. Today’s sentencing is a testament to the dedication of those who seek justice and uphold the safety of our community,” said Christopher Barraza, Deputy Director, Community Relations Unit for the Anchorage Police Department.

    The FBI Anchorage Field Office and Anchorage Police Department investigated this case as part of the FBI’s Child Exploitation and Human Trafficking Task Force.

    Assistant U.S. Attorneys Jennifer Ivers and Ainsley McNerney prosecuted the case.

    This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and CEOS, 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 https://www.justice.gov/psc.

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  • MIL-OSI Security: U.S. Marshals, Partner Agencies Launch Manhunt for 2 Murder Suspects Wanted in Moses Lake, Wash., Drive-By Shooting

    Source: US Marshals Service

    Spokane, WA – The U.S. Marshals Pacific Northwest Violent Offender Task Force (PNVOTF), are working closely with the Moses Lake Police Department, the Bureau of Alcohol, Tobacco, Firearms and Explosives, Washington State Department of Corrections, U.S. Border Patrol, and the FBI to locate and apprehend two fugitives suspected in a drive-by shooting March 21 in Moses Lake that claimed the life of a 14-year-old boy and left four others—three juveniles and one adult — critically injured.

    A reward of up to $10,000 ($5,000 per fugitive) is available for information leading directly to their arrests. The suspects should be considered armed and dangerous.

    The Moses Lake Police Department identified three suspects and recovered an abandoned vehicle linked to the crime. On March 22, the U.S. Marshals Service PNVOTF was requested to adopt the fugitive investigation.

    On March 24, at the request of the U.S. Marshals, the Richland Police Department arrested a juvenile suspect was arrested at Kadlec Regional Medical Center in Richland. The suspect, who had sustained a self-inflicted gunshot wound to the leg, is charged with first-degree murder.

    Arrest warrants for the two remaining fugitives were issued March 25, charging both with murder in the first degree, five counts of assault in the first degree, drive-by shooting, and felon in possession of a firearm.

    Anyone with information is urged to contact the nearest U.S. Marshals office or local law enforcement, the U.S. Marshals Service Communications Center at 1-800-336-0102, or at USMS Tips.

    The Pacific Northwest Violent Offender Task Force is a U.S. Marshals-led partnership comprising federal, state, and local law enforcement officers from Washington, Oregon, and Alaska. The task force’s primary mission is to locate, arrest and return to the justice system the most violent and egregious federal and state fugitives.

    MIL Security OSI –

  • MIL-OSI Security: Missoula Man Sentenced to 10 Years in Prison for Trafficking Methamphetamine and Fentanyl

    Source: Federal Bureau of Investigation (FBI) State Crime Alerts (c)

    MISSOULA — A Missoula man who trafficked methamphetamine and fentanyl was sentenced today to 120 months in prison, to be followed by five years of supervised release, U.S. Attorney Kurt Alme said.

    Andrew David Ambler, 27, pleaded guilty in November 2024 to possession with intent to distribute controlled substances.

    U.S. District Judge Donald W. Molloy presided.

    The government alleged in court documents that on May 24, 2024, Ambler was arrested by members of the Montana Regional Violent Crime Task Force on a parole violation for suspected drug trafficking and firearm-related offenses. Prior to being taken into custody, Ambler attempted to flee on foot while trying to get to his vehicle and discarded a backpack and a bag that were on his person.  The backpack and bag contained a loaded .22 caliber pistol, methamphetamine, and fentanyl.  A search of Ambler’s vehicle resulted in the seizure of approximately 5,000 fentanyl pills, which he admitted he intended to distribute.

    The U.S. Attorney’s Office prosecuted the case.  The FBI’s Montana Regional Violent Crime Task Force conducted the investigation.

    This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results. For more information about Project Safe Neighborhoods, please visit https://www.justice.gov/psn.

    XXX

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  • MIL-OSI Security: St. Louis man sentenced to 12+ years’ imprisonment in $1.7 million check fraud scheme

    Source: Office of United States Attorneys

    BENTON, Ill. – A southern Illinois district judge sentenced a St. Louis man to 145 months in federal prison for his involvement in a vehicle sale scheme using fake cashier’s checks and targeting victims in Madison, Jasper, Bond and Fayette counties.

    Valentino Colic, 34, pleaded guilty in September to one count of conspiracy to commit wire fraud, two counts of wire fraud, two counts of interstate transportation of property taken by fraud and six counts of aggravated identity theft. Following imprisonment, he will serve three years of supervised release.

    The 11-count indictment also named co-conspirators Alen Saric, 36, Almir Palic, 25, and Emad Hasanbegovic, 34, all of St. Louis. Saric pleaded guilty in January to one count of conspiracy to commit wire fraud, one count of interstate transportation of property taken by fraud and one count of aggravated identity theft. His sentencing hearing is scheduled for May 7.

    Palic was sentenced to 51 months in February. Hasanbegovic is facing one count of conspiracy to commit wire fraud and one count of identity theft. He is scheduled for a court hearing in May.

    An indictment is merely a formal charge against a defendant. Under the law, a defendant is presumed to be innocent of a charge until proved guilty beyond a reasonable doubt to the satisfaction of a jury.

    “Criminals are skilled at creating fake checks to look real and defraud victims, so it’s critical for the public to authenticate checks from people not personally known to them by confirming with the issuing bank or waiting until checks are accepted into their bank account before transferring property or otherwise sending funds,” said U.S. Attorney Steven D. Weinhoeft.

    According to court documents, the co-conspirators participated in a scheme to defraud private vehicle sellers on Facebook marketplace and Craigslist with fake cashier’s checks from 2018 until August 2023. The checks were printed on security-enhanced check paper with the names and logos of real banks with fake routing numbers.

    Once the fraudsters possessed a vehicle, they would then resell the vehicle to another individual for cash before the original victim could try to cash the check and realize it was worthless. The conspirators issued at least $1,710,999 in fake cashier’s checks.

    “This investigation is a testament to the strength of collaboration across local, state, and federal law enforcement,” said FBI Springfield Special Agent in Charge Christopher Johnson. “This sentencing as well as the upcoming sentencing of co-conspirators highlights efforts the FBI and our partners are making to ensure those who attempt to exploit others for personal gain will be held accountable.”

    To keep the co-conspirators’ names out of the chain of title, they used the names of prior victims to buy and sell the vehicles and forged signatures to complete documents such as titles and bills of sale. When posing as the victims, they often used copies of their photo IDs they had received during the previous sales. By writing bad checks from prior victims, the conspiracy caused even more financial hardship by revictimizing the same people repeatedly.  

    The fraudsters bought and resold vehicles from more than 100 victims across five states. Colic and Saric admitted to driving the vehicles over state lines to benefit the scheme.

    The FBI Springfield Field Office, the Metro East Auto Theft Task Force, Missouri State Highway Patrol, Illinois State Police, Illinois Secretary of State Police, Jefferson County (Missouri) Sheriff’s Department and several local police departments contributed to the investigation. Assistant U.S. Attorney Peter T. Reed is prosecuting the case.

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  • MIL-OSI: No. 11/2025 – Update financial calendar 2025/2026

    Source: GlobeNewswire (MIL-OSI)

    Nasdaq Copenhagen                                                                                   
    Nikolaj Plads 6
    DK-1067 Copenhagen K   

    Copenhagen, 26 March 2025
    ANNOUNCEMENT no. 11/2025

    UPDATE FINANCIAL CALENDAR 2025/2026

    The financial calendar for 2025/2026 has been scheduled as follows:

    2025:                           

    25.02.2025  Annual Report 2024                           

    26.03.2025  Annual General Meeting

    27.08.2025 Interim Report, H1 2025                    

    2026:

    25.02.2026 Annual Report 2025                           

    24.03.2026  Annual General Meeting

    Cemat A/S 

    Frede Clausen
    Chairman of the Board

    This announcement has been prepared in a Danish-language and an English-language version. In case of doubt, the Danish version prevails.

    Attachment

    The MIL Network –

  • MIL-OSI: Paperclip joins forces with White Swan to Streamline and Digitize the Insurance Sales Process with Seamless Data Integration

    Source: GlobeNewswire (MIL-OSI)

    HACKENSACK, N.J., March 26, 2025 (GLOBE NEWSWIRE) — Paperclip (OTCMKTS:PCPJ), a publicly traded leader in insurance data management and automation, has announced a strategic integration with White Swan, an AI-powered, no-code platform transforming insurance distribution. This partnership enhances insurance application processing, data workflows, and multi-carrier submissions, reducing administrative friction for agents and financial services firms.

    Through this collaboration, Paperclip’s Mojo—a cutting-edge solution for processing and automating insurance data management—now seamlessly connects with White Swan’s AI-powered sales platform, bringing together the best in data automation and modernized insurance distribution.

    “At Paperclip, we’re committed to modernizing insurance workflows through automation and intelligent data management,” said Bill Weiss, CEO at Paperclip. “Partnering with White Swan expands the impact of our technology, bringing seamless front-end digital distribution to our industry-leading back-end automation.”

    This integration enables:

    • Seamless, data-driven insurance sales – White Swan’s marketing, education, and quoting tools help advisors engage clients, while Paperclip ensures structured, accurate data processing throughout the application journey.
    • Faster, more efficient application workflows – White Swan enables a frictionless digital application process, while Paperclip automates document structuring and carrier submissions, reducing administrative efforts.
    • Integrated with major agency management systems (AMS) – Paperclip ensures smooth data flow to AMS platforms like iPipeline, AgencyBloc, SmartOffice, Salesforce, Agency Integrator, and NetX360.
    • Compliance-ready and scalable – White Swan’s intelligent application system ensures a pleasant client experience, while Paperclip automates processing, compliance, and secure document handling for long-term scalability.

    “White Swan’s mission is to make insurance sales frictionless,” said Pontus Lagerberg, CEO at White Swan. “By integrating with Paperclip, we’re ensuring that the digital experience we provide advisors is backed by powerful automation that simplifies data handling, compliance, and carrier submissions.”

    By bridging AI-powered digital distribution with Paperclip’s industry-leading data infrastructure, this integration simplifies insurance sales while ensuring compliance, accuracy, and scalability.

    Learn more about how this integration is empowering financial professionals, streamlining insurance sales, and shaping the future of the industry by visiting https://paperclip.com/white-swan-paperclip/ or https://www.whiteswan.io/integrations/paperclip.

    About Paperclip
    With over three decades of customer-centric innovation, Paperclip is a proven strategic partner that continues to revolutionize data encryption, content supply chain, and document management for Fortune 1000 companies worldwide. Paperclip’s innovative solutions—such as Mojo, Virtual Client Folder (VCF), and SAFE—have helped the financial and insurance industries automate compliance, streamline carrier submissions, and optimize data processing. Paperclip’s technology is trusted by insurance carriers, agencies, and financial institutions to securely manage documents and drive operational efficiency.
    As a trusted leader, Paperclip continues to innovate, adapt and excel within a rapidly changing digital world. Learn more at www.paperclip.com.

    About White Swan 
    White Swan is an AI-enabled platform that serves as a comprehensive B2B life & LTC insurance solution, designed to simplify insurance automation and sales digitization for businesses and advisors. Through its no-code tools, intuitive client journeys, and seamless partner integrations and white labeling options, White Swan helps businesses serve their clients insurance online with modules to help them research, quote, and apply for insurance. 

    Media Contact:

    PAPERCLIP
    Megan Brandow
    Director of Marketing
    www.paperclip.com
    (585) 727-0983
    mbrandow@paperclip.com

    WHITE SWAN
    Pontus Lagerberg
    Founder & CEO at White Swan
    https://whiteswan.io
    United States
    pontus@whiteswan.io

    The MIL Network –

  • MIL-OSI Security: Muncie Drug Trafficking Ring Dismantled, Six Sentenced to a Combined 87 Years in Federal Prison

    Source: Federal Bureau of Investigation (FBI) State Crime News

    INDIANAPOLIS— Five defendants have been sentenced to a total of 70 years in federal prison for their roles in a large methamphetamine, cocaine, and fentanyl trafficking conspiracy. The sentences were imposed by U.S. District Judge Richard L. Young. The defendants plead guilty and were sentenced as follows:

    Defendant Charge(s) Sentence
    Jamarr Hill, 30, Muncie Conspiracy to possess with intent to distribute controlled substances, money laundering,  and conspiracy to make a false statement in connection with purchasing a firearm 17 years’ imprisonment, 5 years supervised release.
    Terry Hill, 49, Muncie Conspiracy to possess with intent to distribute 500 grams or more of cocaine 5 years’ imprisonment, time served, 5 years’ supervised release.
    Lance McGee, 32, Muncie Conspiracy to possess with intent to distribute controlled substances 15 years’ imprisonment, 5 years supervised release.
    Nakevius Shannon, 33, Muncie Making a false statement in connection with purchasing a firearm 3 years’ probation

    According to court documents, between May and November of 2022, Jamarr Hill, Lance McGee, Terry Hill, and others conspired together to distribute controlled substances including cocaine, methamphetamine, and fentanyl.

    Jamarr Hill acted as the ringleader for the conspiracy, obtaining large quantities of drugs from Rodolfo Silva in San Diego, California for redistribution in Muncie. Terry Hill and Lance McGee served as distributors, dealing the drugs into communities in Muncie and elsewhere in central Indiana.

    On November 12, 2022, Nakevius Shannon purchased two firearms from Rural King, a federally licensed firearms dealer, completing an ATF Form 4473 in connection with the purchase. At the time Shannon completed the Form 4473, he falsely stated on the form that he was the intended transferee/buyer of handguns, when in fact, he purchased the firearms for Jamar Hill in order to further Hill’s drug trafficking conspiracy.

    In total, the defendants obtained and distributed no less than 2,004 grams of fentanyl, 10 kilograms of cocaine, and 203 pounds of methamphetamine.

    As part of the investigation, two other defendants were charged and have been sentenced. Joseph Haskins, of Muncie, Indiana, was charged in August 2021 with possession with intent to distribute 50 grams or more of methamphetamine. After a two-day trial in December 2023, Haskins was sentenced as a career offender to 33 years’ imprisonment and 5 years of supervised release. Rodolfo Silva was charged in 2024 in the Southern District of California with conspiracy to distribute controlled substances. Silva plead guilty and was sentenced to 17 years’ and 6 months’ imprisonment.

    “Drug traffickers like these defendants, responsible for pushing poison from across the country into our neighborhoods, must be held accountable for the suffering they cause in search of quick profits,” said John E. Childress, Acting United States Attorney for the Southern District of Indiana. This case is an outstanding example of the impact we can have with the help of our state and local law enforcement partners. I commend the efforts of the FBI, and the Muncie and Anderson Police Departments to make our communities safer by getting drugs and drug dealers off our streets.”

    “This is a significant victory in the ongoing efforts to target and dismantle drug trafficking organizations that send a flow of illegal drugs into our communities and threaten public safety,” said FBI Indianapolis Special Agent in Charge Herbert J. Stapleton. “The FBI will continue to work with our law enforcement partners to ensure every available resource is used to disrupt these criminal enterprises and hold those responsible accountable.”

    The FBI, IRS, Muncie Police Department, Anderson Police Department, and Fishers Police Department investigated this case. 

    Acting U.S. Attorney Childress thanked Assistant U.S. Attorneys Lindsay Karwoski and Barry Glickman, who prosecuted this case.

    This case was part of an Organized Crime Drug Enforcement Task Force (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.

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  • MIL-OSI Security: Newcomb Man Sentenced for Role in Fatal Altercation

    Source: Office of United States Attorneys

    ALBUQUERQUE – A Newcomb man was sentenced to three years of probation for his role in the death of an individual who died from a fatal stab wound during a drunken altercation.

    There is no parole in the federal system.

    According to court documents, on June 2, 2021, Leighton Spencer, 32, an enrolled member of the Navajo Nation, and two other individuals were at Spencer‘s home, consuming a mixture of Gatorade and hand sanitizer, followed by beers, when an altercation between the two other individuals occurred. After one person left to cool down and returned, they discovered the third individual deceased in the doorway, covered in blood. Spencer initially claimed the person was sleeping, but emergency services were called.

    The Office of the Medical Investigator ruled the death a homicide caused by a stab wound to the neck, which damaged major blood vessels and the right upper lung lobe. Spencer initially provided conflicting accounts of the incident, blaming others and fabricating causes of death before eventually admitting to the killing. Throughout the investigation, Spencer attempted to deflect responsibility and mislead law enforcement. Ultimately, Spencer admitted he lied and pleaded guilty to the charge of involuntary manslaughter.

    Acting U.S. Attorney Holland S. Kastrin and Raul Bujanda, Special Agent in Charge of the FBI Albuquerque Field Office, made the announcement today.

    The Farmington Resident Agency of the FBI Albuquerque Field Office investigated this case with assistance from the Navajo Police Department and Navajo Department of Criminal Investigations. Assistant United States Attorney Nicholas J. Marshall is prosecuting the case.

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  • MIL-OSI Security: FBI Recovers Money Swindled from Kansas Bank’s Investors

    Source: Federal Bureau of Investigation (FBI) State Crime News

    Indeed, it’s rare for fraud victims to recover their lost money, especially when scammers use cash or cryptocurrency, which can be hard to trace since the money can change hands quickly.

    In 2023, the Bureau’s Internet Crime Complaint Center (IC3) received more than 69,000 complaints from the public regarding financial fraud involving the use of cryptocurrency. Estimated losses with a nexus to cryptocurrency totaled more than $5.6 billion. Investigators in the Kansas case were heartened when a federal judge last November informed the failed bank’s owners that all was not lost.

    “To be able to give them back their money is extremely powerful,” said Emilee Thompson, a forfeiture specialist for FBI Kansas City.

    The courtroom erupted when the judge told victims at a November 4 restitution hearing in Wichita that the FBI recovered most of their money.

    “There was cheering and clapping and crying because these people went from thinking they had lost $8.2 million to being made aware they were going to be made very near whole,” Special Agent Hemmert said.

    He said it was particularly impactful to help folks in rural Southwest Kansas, whose opinions of the FBI vary widely.

    “To live up to the reputation of the FBI and to show that we will do whatever we can—move heaven and earth if necessary—to do what we can to get their money back, that was cool,” he said. “To show these people and Elkhart that the FBI cares a great deal about victims and to do whatever we can to make them whole after they’ve been the victim of a crime.”

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