Josephine County Man Sentenced To Federal Prison For Illegally Manufacturing Marijuana And Falsifying Tax Returns (Photo) -12/23/24

MEDFORD, Ore.—A Josephine County, Oregon man was sentenced to federal prison Wednesday for illegally manufacturing marijuana and filing false tax returns with the IRS.

Steven Shirley, 52, was sentenced to 24 months in federal prison and five years’ supervised release. He was also ordered to pay $290,291 in restitution to the IRS and $12,896 in restitution to the Bureau of Land Management (BLM) for damage the marijuana grows caused to the environment on BLM land.

According to court documents, beginning in 2012, Shirley began purchasing properties in Cave Junction, Oregon as president and minister of Earth Peoples Park (EPP), an Oregon nonprofit religious organization. After purchasing a property, Shirley leased the land to third parties and used profits from the lease to purchase additional properties. By 2019, Shirley, through EPP, owned or co-owned 21 properties in Josephine County, Oregon, and received at least $400,000 per year through property leases.

“We thank the dedicated law enforcement officers for their commitment to disrupt the defendant’s scheme that damaged public lands and circumvented his tax responsibilities,” said Natalie Wight, U.S. Attorney for the District of Oregon. 

“Mr. Shirley tried to profit from the abuse of nonprofit exemptions and illegal drug operations,” said Adam Jobes, Special Agent in Charge of IRS Criminal Investigation’s Seattle Field Office. “Wednesday’s ruling acknowledges that he’s no spiritual leader.”

In September 2019, investigators from the Josephine Marijuana Enforcement Team (JMET ) identified sixteen of the properties had large scale, unlicensed marijuana grows. On October 1, 2019, law enforcement executed search warrants and seized more than 15,000 marijuana plants and nine firearms and determined that a portion of BLM lands were used for these grows. Investigators learned Shirley not only employed and directed staff to illegally grow and harvest marijuana, but he also sold and delivered the marijuana. On June 14, 2021, BLM agents with the assistance of JMET executed search warrants on eleven EPP properties and discovered Shirley continued to illegally manufacture and sell marijuana on lands owned by EPP and the BLM. Agents also seized additional firearms.

As part of the investigation, IRS agents reviewed EPP’s religious organization tax exempt status and Shirley’s personal tax records from 2015 to 2018. They determined EPP did not qualify as a religious organization and that Shirley used EPP as a for-profit land management company, which is a non-exempt purpose under IRS code. In addition, agents learned Shirley intentionally underreported lease income by more than $1 million, resulting in more than $290,000 in unpaid taxes. 

On August 2, 2023, Shirley was charged by criminal information with illegally manufacturing marijuana and filing a false tax return. He pleaded guilty on March 12, 2024. 

This case was investigated by the BLM, IRS Criminal Investigation, and JMET, with assistance from the IRS Tax-Exempt and Government Entities Division, Oregon State Police, Southern Oregon High-Tech Crimes Task Force, and Oregon Department of Environmental Quality. It was prosecuted by Judith R. Harper, Assistant U.S. Attorney for the District of Oregon.

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Redmond Man Sentenced To Federal Prison For Identity Theft And Evading Tax Debt Payments -12/23/24

EUGENE, Ore.—A Redmond, Oregon man was sentenced to federal prison Tuesday for using a stolen identity to open more than 30 bank accounts and credit cards and evading payments on his $1.1 million tax debt.

Michael David Anastasia, 69, was sentenced to 24 months in federal prison and three years’ supervised release. He was also ordered to pay $777,899 in restitution to his victim. Restitution to the IRS will be determined at a later date. 

According to court documents, from 2002 until January 2020, Anastasia knowingly and intentionally used the social security number of a victim to open numerous bank accounts and credit cards. In addition, between 1991 and 2003, Anastasia received $1.4 million from another victim after convincing them of a fabricated agreement with the United States to secure access to allegedly seized funds. In 2007, Anastasia was convicted of tax evasion for failing to pay federal income taxes on the funds received from the victim.

In November 2015, following his release from prison, Anastasia entered into an agreement with the IRS whereby he would make payments towards his tax debt if he received more than $4,526 per month. Rather than pay his taxes, Anastasia convinced the victim to send funds over this amount to his roommate. Anastasia instructed his roommate to withdraw the overage in cash, which Anastasia stored in a safe in his residence. Between March 2016 and September 2018, Anastasia evaded paying more than $180,000 to the IRS. 

On February 15, 2024, a federal grand jury in Eugene returned a nine-count superseding indictment charging Anastasia with wire fraud, aggravated identity theft, tax evasion, and making false statements to financial institutions. 

On September 4, 2024, Anastasia pleaded guilty to tax evasion and identity theft.

This case was investigated by the FBI and IRS. It was prosecuted by Gavin W. Bruce and William M. McLaren, Assistant U.S. Attorneys for the District of Oregon.

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Attorney General Merrick B. Garland To Travel To Portland To Meet With Law Enforcement Officials -12/19/24

****** MEDIA ADVISORY ******

PORTLAND, Ore.— On Friday morning, Attorney General Merrick B. Garland will travel to Portland to visit the U.S. Attorney’s Office for the District of Oregon and meet with U.S. Attorney Natalie K. Wight as well as federal, state, and local law enforcement leaders.

The Attorney General and U.S. Attorney will provide brief opening remarks at the top, which will be open to press.

WHEN: Friday, Dec. 20, at 9:35 a.m. PT / 12:35 p.m. ET

WHERE:

1000 SW Third Ave.

Suite 600

Portland, Oregon 97204

Spray at the Top Only for Opening Remarks

NOTE: All media must arrive by 8:40 a.m. PT to allow for security sweeps. Upon arrival, media must present government-issued photo I.D. (such as a driver’s license) as well as valid media credentials.

Media outlets are asked to RSVP by 10:00 p.m. PT tonight, Thursday, Dec. 19, and direct any inquiries regarding logistics to catherine.morris2@usdoj.gov, andrea.rocksund@doj.gov, and kevin.sonoff@usdoj.gov.

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Washington State Man Sentenced To Federal Prison For Role In Debt Consolidation Scheme -12/17/24

PORTLAND, Ore.—A Vancouver, Washington man was sentenced to federal prison today for intentionally defrauding customers during a multiyear debt consolidation scheme.

Javier Antonio Banuelas Urueta, 55, was sentenced to 21 months in federal prison and three years’ supervised release. He was also ordered to pay $115,750 in restitution to his victims. 

According to court documents, between April 2019 and April 2024, Banuelas and his co-conspirator devised and carried out a scheme whereby they collected money and property from clients in exchange for purported debt consolidation services through their company, ConsoliDebt Solutions, LLC (ConsoliDebt). 

Banuelas paid for advertisements offering debt consolidation services on radio stations in Oregon and Washington despite not being licensed to work in the industry or provide such services. When victims called ConsoliDebt they reached Banuelas who would discuss their debts, create monthly payment plans, and falsely claim to consolidate or reduce the victim’s debt. 

As part of the scheme, Banuelas directed clients to deposit funds directly into ConsoliDebt bank accounts, transfer funds to the company, or mail in personal checks, cashier’s checks, or money orders. To instill trust in the company, victims received falsified monthly statements detailing account information, payments received, and debt amounts settled. Instead of paying victims’ debts as promised, Bauelas used client funds to pay for personal expenses such as car leases, residential rent, and various wire transfers.

On April 4, 2024, a federal grand jury in Portland returned a seven-count indictment charging Banuelas with conspiring to commit and committing mail and wire fraud.

On August 1, 2024, Banuelas pleaded guilty to conspiring to commit and committing mail and wire fraud.

This case was investigated by Homeland Security Investigations. It was prosecuted by Rachel K. Sowray, Special Assistant U.S. Attorney for the District of Oregon.

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Damascus Woman Federally Indicted For Filing Fraudulent Small Claims In Circuit Courts Throughout Oregon -12/17/24

PORTLAND, Ore.—A Damascus, Oregon woman was arraigned in federal court Monday after she was indicted for filing twenty fraudulent small claims in circuit courts throughout Oregon and receiving at least $190,000 in garnished funds from victims. 

Sharon Neal has been charged with five counts of mail fraud.

According to the indictment, between August 2018 and November 2022, Neal is alleged to have devised and carried out a scheme wherein she filed multiple fraudulent small claims, in circuit courts throughout Oregon, on behalf of fictitious companies in order to obtain monetary judgments against victims. Neal made false allegations against victim companies saying they provided low quality products and services or failed to provide products and services, when in fact, the victim companies did not conduct business with Neal’s sham companies, and many did not offer the products or services alleged in the small claims. 

As part of the scheme, Neal then filed certificates of service, including copies of signed certified mail return receipts, falsely certifying that she served the claim and summons on the victims by certified mail. Instead, Neal sent empty envelopes to the victim companies so they were unaware of any small claims filed against them. Since victims were unaware of the pending cases, they did not respond to the claims and Neal was able to obtain default judgments and writs of garnishments. Neal would then provide the writ of garnishment to a victim’s bank and receive a check for the judgment amount. Victims would only learn of these small claims after being notified of the garnished funds by their bank. 

Neal made her initial appearance in federal court today before a U.S. Magistrate Judge. She was arraigned, pleaded not guilty, and ordered released pending a four-day jury trial scheduled to begin on February 18, 2025.

If convicted, Neal faces a maximum sentence of 20 years in federal prison, three years’ supervised release, and a fine of $250,000.

This case was investigated by the FBI. It is being prosecuted by Andrew T. Ho, Assistant U.S. Attorney for the District of Oregon.

An indictment is only an accusation of a crime, and a defendant is presumed innocent unless and until proven guilty.

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