District of Connecticut

Follow @USAO_CT

Deirdre M. Daly, Acting United States Attorney for the District of Connecticut, announced that WILBUR TATE III, 49, of Dacula, Ga., pleaded guilty today before U.S. District Judge Stefan R. Underhill in Bridgeport to receiving bribes while he was an executive at U.S. Bank in Ohio.

According to court documents and statements made in court, Oxford Collection Agency was a private financial services company that engaged in accounts receivables management, primarily debt collecting, with offices in New York, Pennsylvania and Florida.  Between 2007 and 2011, Oxford Collection Agency executives engaged in a multi-year scheme to defraud its lender, investors and clients.  The investigation also revealed that Oxford Collection Agency was actively involved in bribing bank officials.

TATE, an Assistant Vice President of U.S. Bank in Ohio from January 2004 through February 2011, was in charge of outsourcing collection accounts to collection agencies, including Oxford Collection Agency.  Beginning in approximately August 2008 and continuing for more than two years, Oxford Collection Agency executives engaged in a bribery scheme with TATE in order to obtain and retain the business of U.S. Bank.  As part of the scheme, Oxford executives initially provided TATE with boxes of expensive cigars, and subsequently sent TATE monthly cash payments of between $2,500 and $5,000, which were hidden in cigar boxes and mailed to TATE’s residence in Mason, Ohio.

U.S. Bank received funds through the Troubled Asset Relief Program (TARP).

TATE was arrested on February 27, 2013.  Today, he pleaded guilty to one count of conspiracy to commit bank bribery, which carries a maximum term of imprisonment of five years.  Judge Underhill has scheduled sentencing for February 18, 2014.

Six other individuals have been convicted as a result of this investigation and prosecution of criminal activity arising from Oxford Collection Agency and the debt collection industry. 

This ongoing investigation is being conducted by the Internal Revenue Service – Criminal Investigation, the Federal Bureau of Investigation, the Special Inspector General for the Troubled Asset Relief Program (SIGTARP), and the Connecticut Securities, Commodities, and Investor Fraud Task Force.  The case is being prosecuted by Assistant U.S. Attorney Liam Brennan and Special U.S. Attorney John McReynolds

PUBLIC AFFAIRS CONTACT:

U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722 [email protected]

Follow @USAO_CT

Deirdre M. Daly, Acting United States Attorney for the District of Connecticut, today announced that ROBERT LIQUINDOLI, 42, of Waterbury, pleaded guilty yesterday before U.S. Magistrate Judge Joan G. Margolis in New Haven to one count of obstruction of the administration of the Internal Revenue laws.

According to court documents and statements made in court, in December 2011, the Internal Revenue Service was conducting an investigation of Thomas Thorndike, a Waterbury tax preparer.  In connection with that investigation, the IRS requested to interview LIQUINDOLI, whose 2007 and 2008 tax returns had been prepared by Thorndike.  After being contacted by the IRS, LIQUINDOLI sought to obstruct the IRS’s investigation by obtaining false documents that he intended to present to the IRS in support of deductions he claimed on his tax returns in 2007 and 2008.  Between December 2011 and February 2012, LIQUINDOLI engaged in an effort to obtain false documents in support of false items on these tax returns, and lied to the IRS concerning the extent to which he possessed original and legitimate documents to support the deductions on his tax returns.  LIQUINDOLI also falsely denied that he had attempted to obtain false documents to support those deductions.

LIQUINDOLI was formerly employed as a detective with the Waterbury Police Department.

LIQUINDOLI is scheduled to be sentenced by U.S. District Judge Janet Bond Arterton on February 12, 2014, at which time he faces a maximum term of imprisonment of three years.

LIQUINDOLI has been released on a $200,000 bond since his arrest on December 7, 2012.

Thorndike pleaded guilty to tax offenses in October 2012 and, on March 12, 2013, was sentenced to 72 months of imprisonment.

This case is being investigated by the Federal Bureau of Investigation and the Internal Revenue Service – Criminal Investigation.  The case is being prosecuted by Assistant U.S. Attorneys Christopher Mattei and Eric Glover.

PUBLIC AFFAIRS CONTACT:

U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722 [email protected]

Follow @USAO_CT

Deirdre M. Daly, Acting United States Attorney for the District of Connecticut, and Robert L. Barrett, Resident Agent in Charge of the U.S. Secret Service, today announced that JOSHUA PHILLIP KLIMAS, 32, of Coventry, was arrested yesterday on a federal criminal complaint charging him with making threats against the President of the United States and the President’s family.

KLIMAS was arrested by the U.S. Secret Service at his residence.  He appeared yesterday before U.S. Magistrate Judge Donna F. Martinez in Hartford and was ordered to be admitted to a local hospital for psychiatric evaluation.

As alleged in the criminal complaint, on June 1, 2013, KLIMAS sent a message to the whitehouse.gov website that contained several threatening statements against President Obama and his family, including “If you do not resign by the end of the year I will kill you!”

The complaint further alleges that KLIMAS has also threatened other individuals.

This matter is being investigated by the U.S. Secret Service, with the assistance of the UConn Police Department and the Coventry Police Department.

Acting U.S. Attorney Daly stressed that a complaint is only a charge and is not evidence of guilt.  Charges are only allegations, and a defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.

PUBLIC AFFAIRS CONTACT:

U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722 [email protected]

Follow @USAO_CT

Deirdre M. Daly, Acting United States Attorney for the District of Connecticut, announced that THERESA SUTHERLAND, 33, of Enfield, pleaded guilty yesterday before Senior U.S. District Judge Alfred V. Covello in Hartford to conspiracy and identity theft offenses stemming from a scheme to defraud Mass Mutual.

According to court documents and statements made in court, SUTHERLAND was employed by Mass Mutual Financial Group as a claims examiner in the company’s Enfield office.  Mass Mutual offers full-time employees up to $8,500 in college tuition reimbursement and up to $5,000 reimbursement for the expenses associated with the adoption of a child.  In pleading guilty, SUTHERLAND admitted that she and other Mass Mutual employees defrauded the company by submitting numerous fraudulent claims for tuition reimbursement and adoption expenses.  In association with the fraudulent claims for adoption expenses, SUTHERLAND and her co-conspirators submitted birth certificates and Social Security numbers of actual children who were not their own.

SUTHERLAND and her co-conspirators received approximately $240,000 in fraudulent reimbursements during the conspiracy, and SUTHERLAND specifically received more than $75,000.

SUTHERLAND pleaded guilty to one count of conspiracy to commit wire fraud, which carries a maximum term of imprisonment of 20 years, and one count of aggravated identity theft, which carries a mandatory consecutive two-year term of imprisonment.  Judge Covello has scheduled sentencing for February 11, 2014.

Four other former employees of Mass Mutual have been charged as a result of this ongoing investigation. Tamika A. Barnett, 31, of West Palm Beach, Fla., and Marena Bennett-Smith, 41, of Chicopee, Mass., have pleaded guilty and await sentencing.

As to the two defendants who are awaiting trial, Acting U.S. Attorney Daly stressed that an indictment is not evidence of guilt.  Charges are only allegations, and each defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.

This investigation is being conducted by the Connecticut Financial Crimes Task Force, which includes members of the U.S. Secret Service, U.S. Postal Inspection Service, Internal Revenue Service – Criminal Investigation, Connecticut State Police, and the Greenwich, Hartford, Monroe, Stamford, Shelton, Stratford and Waterford Police Departments.  The case is being prosecuted by Assistant U.S. Attorney Douglas P. Morabito.

PUBLIC AFFAIRS CONTACT:

U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722 [email protected]

Deirdre M. Daly, Acting United States Attorney for the District of Connecticut, and Patricia M. Ferrick, Special Agent in Charge of the New Haven Division of the Federal Bureau of Investigation, announced that DAVID MILLER, 41, of Rockville Centre, N.Y., was sentenced today by U.S. District Judge Robert N. Chatigny in Hartford to 30 months of imprisonment, followed by three years of supervised release, for his role in a fraudulent scheme to make large purchases of stock in Apple Inc. while employed as an institutional sales trader for Rochdale Securities LLC of Stamford.  Judge Chatigny also ordered MILLER to spend the first six months of his supervised release in home confinement, and to perform 200 hours of community service.

According to court documents and statements made in court, MILLER, while working as an institutional sales trader at Rochdale Securities LLC (“Rochdale”) in Stamford, conspired with another individual to execute a trade to buy 1,625,000 shares of stock in Apple Inc. (“Apple”) on behalf of a Rochdale customer whose account Miller handled.  As part of the scheme, MILLER and his co-conspirator had agreed that the co-conspirator would submit an order for Apple stock on October 25, 2012, the day Apple was scheduled to announce its earnings for the quarter, and would write the order in such a way that MILLER could later claim he misinterpreted it.  MILLER would then execute a trade for 1,000 times the number of shares written in the order.  If the trade proved profitable, MILLER and his co-conspirator would share in the profits.  If the trade proved unprofitable, MILLER would claim human error, leaving Rochdale holding the losing position.

At approximately 9:31 a.m. on October 25, 2012, MILLER’s co-conspirator submitted an order for Apple that read: “b 125 ok (per 1/2 hr).”  MILLER then began executing orders to buy 125,000 shares of Apple stock, purportedly on behalf of the Rochdale customer.  Over the course of the day, MILLER entered multiple, separate orders in Rochdale’s order management system in the amount of 125,000 shares.  After Apple announced its earnings later that day, the stock price began dropping and it became clear that the trade would not be profitable.  When confronted, MILLER falsely claimed that he had made a mistake in ordering many multiples of what was written in a client’s order.

As a result of this scheme, Rochdale was left holding approximately 1,623,375 shares of Apple.  It promptly traded out of the position, but suffered a loss $5,292,202.50.  Regulatory requirements subsequently prohibited Rochdale from continuing to trade securities, which led directly to its cessation of all business operations.

While he was executing the scheme at Rochdale, MILLER also defrauded another broker-dealer into taking on a significant short position in Apple stock.  Through a series of misrepresentations made over the course of several weeks, MILLER convinced the broker-dealer to sell 500,000 shares of Apple stock, falsely claiming that he was trading for the account of a company, which he had no relationship with and for which he was not authorized to trade.  MILLER engaged in this part of the scheme to hedge against the large purchase of Apple stock he was executing at Rochdale.  As a result of the scheme, MILLER placed the broker-dealer at risk of sustaining substantial losses.  In the end, the broker was able to trade out of the position at a profit.

MILLER was arrested on December 4, 2012.  On April 15, 2013, he pleaded guilty to one count of conspiracy to commit wire fraud and securities fraud, and one count of wire fraud. 

Judge Chatigny ordered MILLER to make full restitution to Rochdale.

This matter was investigated by the Federal Bureau of Investigation.  Acting U.S. Attorney Daly acknowledged the U.S. Securities and Exchange Commission (SEC) and the Financial Industry Regulatory Authority (FINRA) for their substantial assistance and cooperation during the investigation.

The case was prosecuted by Assistant U.S. Attorney Paul A. Murphy.

PUBLIC AFFAIRS CONTACT:

U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722 [email protected]

Deirdre M. Daly, Acting United States Attorney for the District of Connecticut, and Patricia M. Ferrick, Special Agent in Charge of the New Haven Division of the Federal Bureau of Investigation, announced that MICHAEL THOMAS, 45, the former Chairman of the Mashantucket Pequot Tribal Council, was sentenced today by U.S. District Judge Janet Bond Arterton in New Haven to 18 months of imprisonment, followed by three years of supervised release, for embezzling from the Mashantucket Pequot Tribal Nation. 

On July 24, 2013, a jury found THOMAS guilty of one count of theft from an Indian tribal organization and two counts of theft from an Indian tribal government receiving federal funds.

“Mr. Thomas’s embezzlement of more than $100,000 was not only an abuse of his position as Chairman of the Mashantucket Pequot Tribal Nation, but also a theft of federal funds,” stated Acting U.S. Attorney Daly.  “The U.S. Attorney’s Office is committed to prosecuting corrupt officials at all levels of government – federal, state, local and tribal – and I commend the FBI and Department of the Interior’s Office of Inspector General for their diligent investigation of this matter.”

“Today’s sentence is especially important because it holds Mr. Thomas accountable for stealing federal dollars to support a lifestyle which he could have legitimately afforded on his own,” stated FBI Special Agent in Charge Ferrick.  “During these particularly severe fiscal times, Mr. Thomas’ abuse of position and unauthorized use of tribal money were done with a sense of entitlement and without ambiguity.  The FBI is most appreciative of the efforts of the United States Attorney’s Office and the Department of the Interior’s Office of Inspector General for working with us to investigate and prosecute the corruption of public officials at all levels.”

According to the evidence at trial, between October 2007 and April 2009, THOMAS used an American Express card that was issued to him by the Mashantucket Pequot Tribal Nation (“MPTN”) for official MPTN government purposes to charge more than $100,000 in unauthorized personal expenses.  THOMAS used the card to pay for monthly satellite television service for his home, satellite radio service for his vehicle, mobile phone service for other individuals, car service to transport his mother to kidney dialysis treatments and the purchase of personal computers.  THOMAS knew that the expenses were personal, and that his use of the credit card was in violation of a Tribal Council Resolution.

Judge Arterton will issue a restitution order after further court proceedings.

This matter was investigated by the Federal Bureau of Investigation and U.S. Department of the Interior – Office of Inspector General.  The case was prosecuted by Assistant U.S. Attorneys Christopher Mattei and Douglas Morabito.

PUBLIC AFFAIRS CONTACT:

U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722 [email protected]

Deirdre M. Daly, Acting United States Attorney for the District of Connecticut, announced that JUAN VELEZ, 60, of Waterford, was sentenced today by U.S. District Judge Robert N. Chatigny in Hartford to 12 months and one day of imprisonment, followed by five years of supervised release, for his role in a mortgage fraud scheme.  Judge Chatigny also ordered VELEZ to spend the first six months of his supervised release in home confinement, and to perform 120 hours of community service.

According to court documents and statements made in court, in 2006 and 2007, VELEZ and others engaged in a mortgage fraud scheme involving multiple properties in New London.  As part of the scheme, VELEZ acquired properties from a co-defendant and other individuals and then sold the properties to another co-defendant, Flavia Mendoza, at inflated prices using fraudulently obtained mortgage loans.

On June 20, 2013, VELEZ pleaded guilty to one count of bank fraud.  In pleading guilty, VELEZ specifically acknowledged that he was involved in the fraudulent transaction of a property located at 624-626 Montauk Avenue in New London.  When VELEZ sold the property to Mendoza, the loan paperwork contained multiple false statements, including information related to Mendoza’s income, her intention to occupy the property as her primary residence, and the amount of money she was providing to purchase the property.  Additionally, the Housing and Urban Development Settlement Statement form (“HUD-1”), which VELEZ signed, falsely stated that Mendoza had provided VELEZ with approximately $29,760 for the purchase of the property when Mendoza had not, in fact,  provided any down payment money for the transaction.  Based on these false statements, Mendoza obtained a mortgage loan in the amount of $492,699 from the bank.

VELEZ, Mendoza and others shared the profits of this and other fraudulently obtained residential mortgage loans, which totaled more than $1.2 million.

Judge Chatigny ordered VELEZ to pay restitution in the amount of $908,695.64 to four victim financial institutions.

Mendoza has pleaded guilty and awaits sentencing.

This matter was investigated by the U.S. Postal Inspection Service, the Internal Revenue Service – Criminal Investigation and the Federal Bureau of Investigation.  The case is being prosecuted by Assistant U.S. Attorneys Michael S. McGarry and Peter S. Jongbloed.

PUBLIC AFFAIRS CONTACT:

U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722 [email protected]

Deirdre M. Daly, Acting United States Attorney for the District of Connecticut, announced that HARRY RAYMOND SOUCY, 61, of Naugatuck, was sentenced today by U.S. District Judge Janet Bond Arterton in New Haven to three years of probation, the first six months of which SOUCY must spend in community confinement (a “halfway house”), for his role in a scheme to direct illegal contributions into the campaign of a candidate for the U.S. House of Representatives.  SOUCY was also ordered to pay a $5,000 fine.

According to court documents and statements made in court, in August 2011, the State of Connecticut applied for a court order enjoining Roll Your Own (“RYO”) smoke shops from continuing to operate without complying with state law governing tobacco manufacturers.  RYO smoke shops are retail businesses that sell loose smoking tobacco and cigarette-rolling materials and offer customers the option of paying a “rental” fee to insert the loose tobacco and the rolling materials into a RYO machine, which is capable of rapidly rolling large quantities of cigarettes.  Customers did not pay a tax on the RYO cigarettes when rolled by the RYO machines, in contrast to cigarettes purchased over-the-counter.

Fearing that the Connecticut General Assembly would enact legislation harmful to RYO smoke shop owners’ business interests during the 2012 legislative session, certain RYO smoke shop owners and their associates, including SOUCY, engaged in a scheme to direct conduit campaign contributions into the campaign of Christopher Donovan, a candidate for the U.S. House of Representatives.  At the time, Donovan was also the Speaker of the Connecticut House of Representatives.  As part of the scheme, the co-conspirators recruited multiple individuals to serve as conduit contributors to the campaign.  These individuals permitted checks to be written in their own names to the campaign and were then reimbursed with cash, thereby concealing the fact that RYO smoke shop owners were contributing to the campaign.

In November and December 2011, participants in the scheme made four $2,500 conduit contributions to the Chris Donovan for Congress campaign.  On approximately January 31, 2012, the campaign submitted to the Federal Election Commission (“FEC”) a report of campaign committee’s receipts and disbursements for the period October 1, 2011 through December 31, 2011.  The report falsely stated the source and amount of the four $2,500 contributions that were received and deposited by the campaign committee during that time period.

In late April 2012, SOUCY was approached by investigators and began cooperating with the investigation.  With his assistance, the RYO owners directed an additional $17,500 in conduit contributions to the Donovan for Congress Campaign, as well as a conduit contribution in the amount of $2,500 to a political party.

On July 24, 2012, SOUCY waived his right to indictment and pleaded guilty to one count of wire fraud deprivation of honest services, and one count of conspiracy to make false statements to the FEC and to defraud the United States.

Seven other individuals, including two employees of the Donovan for Congress campaign, have also been convicted of charges stemming from this scheme.

This matter was investigated by the Federal Bureau of Investigation and is being prosecuted by Assistant U.S. Attorneys Christopher M. Mattei and Eric J. Glover.

PUBLIC AFFAIRS CONTACT:

U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722 [email protected]

Deirdre M. Daly, Acting United States Attorney for the District of Connecticut, announced that ANDREW PARENTE, 76, of Hartford, was sentenced today by U.S. District Judge Robert N. Chatigny in Hartford to nine months of imprisonment, followed by three years of supervised release, for illegally distributing prescription narcotics.

According to court documents and statements made in court, in October and November 2011, PARENTE and Robert Gentile conspired to distribute and distributed Schedule II controlled substances, including oxycodone, in a form commonly known as OxyContin, and hydromorphone, in a form commonly known as Dilaudid.

PARENTE was arrested on February 10, 2012.  On January 2, 2013, he pleaded guilty to one count of conspiracy to possess with intent to distribute a Schedule II controlled substance, and one count of possession with intent to distribute, and distribution of, a Schedule II controlled substance.

In November 2012, Gentile pleaded guilty to multiple drug and firearms offenses and, on May 9, 2013, he was sentenced to 30 months of imprisonment.

This matter was investigated by the Federal Bureau of Investigation, with the assistance of the U.S. Department of Health and Human Services, Office of Inspector General, the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Connecticut State Police.  The case was prosecuted by Assistant U.S. Attorney John H. Durham.

PUBLIC AFFAIRS CONTACT:

U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722 [email protected]

Deirdre M. Daly, Acting United States Attorney for the District of Connecticut, and John J. Arvanitis, Special Agent in Charge of the Drug Enforcement Administration in New England, today announced that LUIS CEDILLO, 31, recently of Sylmar, Calif., has been arrested on a federal criminal complaint charging him with trafficking heroin.

CEDILLO was arrested last night in Wolcott.  He appeared today before U.S. Magistrate Judge Donna F. Martinez in Hartford and was ordered detained.

According to court documents and statements made in court, members of the Drug Enforcement Administration’s New Haven Task Force initiated surveillance of CEDILLO as part of an ongoing investigation.  On November 14, 2013, agents followed a white Cadillac Escalade that CEDILLO was driving to a store where it is alleged that CEDILLO purchased items used in the processing and packaging of illegal drugs.  After the Escalade traveled to a garage in Wolcott, agents approached CEDILLO, secured him in handcuffs and received consent from the owner of the property to search the garage.

As alleged in the complaint, agents observed that the vehicle, which was raised on a lift, had sheet-rock screws coming through the metal of the bottom of the car.  After a canine alert, agents located and opened a trap in the rear of the vehicle and retrieved approximately six kilograms of heroin.  CEDILLO was placed under arrest at the time.

A subsequent search of a residence in Danbury connected to CEDILLO revealed between $300,000 and $400,000 in cash.

The complaint charges CEDILLO with possessing with the intent to distribute one kilogram or more of heroin.

This matter is being investigated by the DEA New Haven Task Force, which includes participants from the New Haven, Hamden, West Haven, North Haven, East Haven, Branford, Ansonia and Meriden Police Departments, and the U.S. Marshals Service.  This case is being prosecuted by Assistant U.S. Attorney Dave Vatti and Special Assistant U.S. Attorney Natasha Dye.

Acting U.S. Attorney Daly stressed that a complaint is only a charge and is not evidence of guilt.  Charges are only allegations, and a defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.

PUBLIC AFFAIRS CONTACT:

U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722 [email protected]

Deirdre M. Daly, Acting United States Attorney for the District of Connecticut, today announced that DALBERT RODRIGUEZ, 29, recently of Holyoke and Amherst, Mass., has been arrested on a federal criminal complaint charging him with the armed robbery of prescription narcotics from a CVS store in East Hartford last month.

RODRIGUEZ was arrested yesterday in Massachusetts.  He appeared before U.S. Magistrate Judge Joan G. Margolis in New Haven yesterday afternoon and was ordered detained.

According to court documents, this matter stems from an investigation into a series of armed robberies occurring at pharmacies in the greater Hartford area and Western Massachusetts.  During the robberies, an assailant typically brandished a handgun and proceeded to steal large quantities of prescription narcotics.

As alleged in the criminal complaint, at approximately 9:00 p.m. on October 18, 2013, RODRIGUEZ entered the CVS Pharmacy located at 972 Silver Lane in East Hartford, proceeded to the pharmacy counter, passed through a swinging door and approached the pharmacist who was behind the counter.  RODRIGUEZ displayed a handgun to the pharmacist and instructed him to open the safe.  RODRIGUEZ then removed numerous pill bottles from the safe, placed them in a plastic bag and exited the store.

The complaint charges RODRIGUEZ with interference with commerce through threat of violence and conspiracy, possession of a firearm in furtherance of a crime of violence, and possession and conspiracy to possess narcotics with intent to distribute.

Acting U.S. Attorney Daly stated that the investigation is ongoing.

This matter is being investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), the Drug Enforcement Administration and the East Hartford Police Department, with the assistance of the Cromwell Police Department, the Amherst (Mass.) Police Department and other state and local law enforcement agencies.  This case is being prosecuted by Assistant U.S. Attorney Anthony E. Kaplan.

Acting U.S. Attorney Daly stressed that a complaint is only a charge and is not evidence of guilt.  Charges are only allegations, and a defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.

PUBLIC AFFAIRS CONTACT:

U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722 [email protected]

Deirdre M. Daly, Acting United States Attorney for the District of Connecticut, today announced that ANTOVANY ACOSTA, also known as “Tony,” 33, of New Haven, was sentenced yesterday by U.S. District Judge Vanessa L. Bryant in Hartford to 150 months of imprisonment, followed by five years of supervised release, for trafficking heroin.

According to court documents and statements made in court, in early 2011, the Drug Enforcement Administration in New Haven received information from the Connecticut State Police that ACOSTA was selling substantial quantities of heroin from his residence at 28 Maltby Place in New Haven.  Following a series of controlled purchases of heroin from ACOSTA, the DEA New Haven Task Force initiated a court-authorized wiretap investigation.  The investigation determined that Adrian Pinzon-Gallardo, also known as “The Mexican,” was supplying large quantities of heroin and cocaine to several individuals in Connecticut, including ACOSTA.

During the course of the wiretap, ACOSTA was intercepted telling an associate that he takes “like 250 grams (of heroin) every 10 days” from a “Mexican connection,” a reference to Pinzon-Gallardo.  Other individuals also supplied ACOSTA with large quantities of heroin.

On September 2, 2011, DEA personnel from Connecticut and Rhode Island, with the assistance of the Connecticut State Police, tracked Pinzon-Gallardo’s Jeep as it traveled from Connecticut to Providence where it was believed from wire intercepts that Pinzon-Gallardo intended to conduct a narcotics transaction.  In Providence, the surveillance team observed Pinzon-Gallardo and an associate meet and then travel to a storage facility in Pawtucket, R.I.  At the facility, Pinzon-Gallardo and his associate entered an open storage unit with several other individuals and closed the door.  A short time later, Pinzon-Gallardo’s associate returned to the vehicle, retrieved a black backpack and walked back to the storage unit.  Pinzon-Gallardo and his associate then returned to their vehicle and departed.  After driving to Boston, Pinzon-Gallardo and his associate drove a circuitous route back to Connecticut when their vehicle was stopped by Connecticut State Police on Interstate 84 after it crossed the Connecticut border.  A search of the car revealed three bricks of heroin, weighing a total of approximately 736 grams of heroin, and approximately $14,000 in cash.

A subsequent search of the storage unit in Rhode Island revealed approximately eight kilograms of heroin, including three kilograms that were contained within a black backpack similar to the one that Pinzon-Gallardo’s associate had been seen carrying into the facility, approximately two kilograms of cocaine and approximately $35,000 in cash.

ACOSTA has been detained since his arrest on November 16, 2011.  On June 13, 2013, following a six-day trial, a jury found ACOSTA guilty of one count of conspiracy to distribute, and to possess with intent to distribute, one kilogram or more of heroin, and three counts of possession with the intent to distribute and distribution of heroin.

ACOSTA, a citizen of the Dominican Republic, faces immigration proceedings after he completes his prison term.

Pinzon Gallardo pleaded guilty to one count of conspiracy to distribute, and to possess with intent to distribute, one kilogram or more of heroin and, on April 4, 2013, he was sentenced to 135 months of imprisonment.

This matter was investigated by the DEA New Haven Task Force, which includes participants from the New Haven, Hamden, West Haven, North Haven, Branford, Ansonia and Meriden Police Departments, and the United States Marshals Service.  The New Britain Police Department and the Connecticut State Police substantially assisted the investigation.

This case is being prosecuted by Assistant United States Attorney S. Dave Vatti.

PUBLIC AFFAIRS CONTACT:

U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722 [email protected]

Deirdre M. Daly, Acting United States Attorney for the District of Connecticut, and John J. Arvanitis, Special Agent in Charge of the Drug Enforcement Administration in New England, announced that AARON MIODUSZEWSKI, 33, of Voluntown, was arrested today on a six-count indictment charging him with possessing and distributing controlled substance analogues over the Internet, and possessing LSD.

According to court documents and statements made in court, it is alleged that between June 2011 and July 2012, MIODUSZEWSKI distributed controlled substance analogues through websites he operated, including www.eastcoastchems.com and www.simfluxresources.com.  It is further alleged that when law enforcement officers executed a search warrant at MIODUSZEWSKI’s home in July 2012, they recovered large quantities of various controlled substance analogues, as well as LSD.

Controlled substance analogues are synthetic drugs that are illegal if intended for human consumption.  Common names for various controlled substance analogues are “designer drugs,” “bath salts,” “spice,” and “herbal incense.”  The synthetic drugs mimic the dangerous effects of cocaine, amphetamines and other substances that are Schedule I or II controlled substances under the federal Controlled Substances Act.

The indictment charges MIODUSZEWSKI with four counts of possession with intent to distribute and distribution of controlled substance analogues, one count of possession with intent to distribute controlled substance analogues, and one count of possession with the intent to distribute lysergic acid diethylamide (“LSD”).

A federal grand jury in Hartford returned the indictment on November 5, 2013, and MIODUSZEWSKI was arrested this morning at his residence.  He appeared this afternoon before U.S. Magistrate Judge Donna F. Martinez and is detained pending a hearing that is scheduled for Friday, November 15, at 11:30 a.m.

If convicted, MIODUSZEWSKI faces a maximum term of imprisonment of 20 years and a fine of up to $1 million on each count.

Acting U.S. Attorney Daly stressed that an indictment is only a charge and is not evidence of guilt.  Charges are only allegations and a defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.

This matter is being investigated by the Drug Enforcement Administration’s Tactical Diversion Squad in Worcester, Mass., and is being prosecuted by Special Assistant U.S. Attorney Natasha Dye.

PUBLIC AFFAIRS CONTACT:

U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722 [email protected]

Deirdre M. Daly, Acting United States Attorney for the District of Connecticut, today announced that a federal jury in Hartford has found BENJAMIN GREEN, III, 45, of Stratford, guilty of engaging in a corrupt tax refund scheme.  The trial before U.S. District Judge Vanessa L. Bryant began on November 7 and the jury returned its verdict yesterday afternoon following a three-day trial before U.S. District Judge Vanessa L. Bryant.

According to the evidence presented during the trial, in March 2009, GREEN filed a federal Individual Income Tax Return for the 2008 tax year.  On the return, GREEN asserted the fraudulent “Original Issue Discount” (“OID”) tax scheme, in which taxpayers falsely claim significant amounts of OID interest income and federal tax withholding on their federal tax returns.  The object of the OID tax scheme is to obtain large tax refunds from the U.S. Treasury by fraudulently claiming significant federal tax withholdings that exceed the smaller amount of tax due on the falsely claimed income.

On his federal tax return, GREEN falsely claimed to have received $920,063 in taxable interest income, and to have $929,702 of federal income tax withholdings for the 2008 tax year.  Based on this false information, GREEN claimed a refund from the IRS in the amount of $616,434, and the IRS erroneously issued a refund in that amount to GREEN.  Shortly after receiving the refund, GREEN disbursed the majority of the fraudulently-obtained funds through wire-transfers, withdrawals and checks to third parties.  He also used more than half of the refund to pay off his mortgage.

When the IRS tried to collect the refund, GREEN undertook a course of conduct to inhibit the IRS’s efforts to recover the money, including sending frivolous correspondence to the IRS, hiding real property in the name of a nominee entity to impede the IRS’s collection efforts, and falsely complaining that the IRS had commenced unauthorized collection and enforcement actions against him.

GREEN was convicted of one count of making a false claim against the United States, which carries a maximum term of imprisonment of five years, and one count of attempting to obstruct the due administration of the internal revenue laws, which carries a maximum term of imprisonment of three years.

Judge Bryant has scheduled sentencing for February 3, 2014.

This matter was investigated by the Internal Revenue Service – Criminal Investigation, and is being prosecuted by Trial Attorney Sean Beaty of the Justice Department’s Tax Division, and Assistant U.S. Attorney Susan Wines.

PUBLIC AFFAIRS CONTACT:

U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722 [email protected]

Deirdre M. Daly, Acting United States Attorney for the District of Connecticut, announced that JIAN MI, 39, a citizen of China and a lawful permanent resident of the U.S., was sentenced today by U.S. District Judge Michael P. Shea in Hartford to one year of probation for lying to federal agents investigating the theft of trade secrets from her employer.

According to court documents and statements made in court, on July 22, 2011, JIAN MI knowingly made a materially false statement to agents of the Federal Bureau of Investigation by informing them that she had not shared sensitive proprietary information with a competitor of her previous employer.  At the time, she knew that she had, in fact, emailed a comprehensive PowerPoint presentation to representatives of the competitor where she was applying for a job as an engineer.

As part of her sentence, JIAN MI was ordered to pay restitution of $81,888 to her previous employer as reimbursement for costs the company had incurred investigating her conduct.

On July 17, 2013, JIAN MI pleaded guilty to one count of count of making a false statement to a federal law enforcement officer.

This matter was investigated by the Federal Bureau of Investigation and was prosecuted by Assistant U.S. Attorney Paul H. McConnell.

PUBLIC AFFAIRS CONTACT:

U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722 [email protected]

Deirdre M. Daly, Acting United States Attorney for the District of Connecticut, announced that JONATHAN PRESTON, 22, and LUMI NUNEZ, 33, of Hartford, were arrested today on a criminal complaint alleging that they operated an extensive identity theft and credit card fraud scheme, and engaged in counterfeiting offenses.

PRESTON and NUNEZ were arrested this morning at their residence at 848 Capitol Avenue in Hartford.  They appeared this afternoon before U.S. Magistrate Judge Donna F. Martinez in Hartford and are detained pending a hearing that is scheduled for tomorrow.

As alleged in the criminal complaint, PRESTON and NUNEZ used the Internet and other sources to obtain personal identifying information of several prominent individuals, and used that information to pose as their victims to gain access to the victims’ credit card accounts.  Since approximately 2010, it is alleged that PRESTON and NUNEZ used the credit card accounts to make more than $500,000 in unauthorized purchases and cash withdrawals.  The purchases included automobiles, Vespa scooters, jewelry, and a limousine trip from Connecticut to Ohio.

Members of the U.S. Secret Service, Hartford Police Department and Connecticut Financial Crimes Task Force conducted a court-authorized search of the defendant’s residence today and seized from the premises a BMW 650i automobile that had allegedly been rented for $16,000 using a fraudulent credit card account number.

The complaint further alleges that a previous search of a Hartford residence occupied by PRESTON and NUNEZ revealed counterfeit $50 bills and counterfeiting instructions.

The complaint specifically charges PRESTON and NUNEZ with manufacturing counterfeit currency, passing counterfeit currency, and conspiracy.

Acting U.S. Attorney Daly stressed that a complaint is only a charge and is not evidence of guilt.  Charges are only allegations and the defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.

This investigation is being conducted by the U.S. Secret Service, Hartford Police Department and Connecticut Financial Crimes Task Force.  The Task Force includes members of the U.S. Secret Service, U.S. Postal Inspection Service, Internal Revenue Service – Criminal Investigation, Connecticut State Police, and the Greenwich, Hartford, Monroe, Stamford, Shelton, Stratford and Waterford Police Departments.  The case is being prosecuted by Assistant U.S. Attorney Edward Chang.

PUBLIC AFFAIRS CONTACT:

U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722 [email protected]

Deirdre M. Daly, Acting United States Attorney for the District of Connecticut, announced that EDWARD PETRUCCI, 56, of Orange, waived his right to indictment and pleaded guilty today before Senior U.S. District Judge Alfred V. Covello in Hartford to wire and mail fraud charges.

According to court documents and statements made in court, PETRUCCI operated Womco Insulation, Inc., Incor Group, Inc., D & N Insulation Company, and Petco Insulation Company, all of which were West Haven-based companies that performed construction services, mechanical insulation and asbestos removal in large-scale building projects in Connecticut, New York, Massachusetts and Florida.

In 2006, PETRUCCI, who had just been released from federal prison, was unable to secure funding from a bank so he started doing business with Platinum Funding Services, LLC, a New York factoring company that provided funding to client companies.  A factoring company typically purchases a company’s receivables at a discount, providing the company with liquid assets at a discounted rate while purchasing the right to collect on the purchased receivables at a later date.

In the beginning of their relationship, Platinum regularly purchased PETRUCCI’s invoices from legitimate insulation jobs throughout Connecticut and collected on those invoices without any serious problems.  However, from approximately December 2007 to April 2009, PETRUCCI defrauded Platinum by causing his companies to sell invoices to Platinum that PETRUCCI knew were fake, and which were for work that his companies had not performed and, in many cases, would not perform in the future.

Through this scheme, PETRUCCI’s companies received more than $1 million in payments from Platinum that were based on the fraudulent invoices.

PETRUCCI pleaded guilty to one count of wire fraud and one count of mail fraud.  Judge Covello has scheduled sentencing for January 30, 2014, at which time PETRUCCI faces a maximum term of imprisonment of 20 years on each count.

In May 2005, PETRUCCI was sentenced to a federal prison term for filing false corporate and personal tax returns and evading the payment of more than $1 million in federal income taxes.

This matter has been investigated by the Federal Bureau of Investigation and is being prosecuted by Assistant U.S. Attorney Robert M. Spector.

PUBLIC AFFAIRS CONTACT:

U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722 [email protected]

Deirdre M. Daly, Acting United States Attorney for the District of Connecticut, Patricia M. Ferrick, Special Agent in Charge of the Federal Bureau of Investigation, and Hartford Police Chief James C. Rovella announced that a federal grand jury sitting in Hartford returned a superseding indictment today charging DOMINIQUE MACK, also known as “Lil Sweets,” 23, and KERONN MILLER, also known as “Fresh,” 23, both of Hartford, with the 2010 murder of Ian Francis of Hartford.

According to court documents and statements made in court, on December 21, 2010, Ian Francis was shot multiple times while sitting in his vehicle on Sigourney Street in Hartford.  Francis succumbed to his injuries on January 15, 2011.

The superseding indictment alleges that MACK, MILLER and others murdered Francis with the intent to prevent the apprehension and appearance of MACK, who was a fugitive on a federal narcotics warrant, at a federal proceeding, and to prevent Francis and another person from communicating with a federal law enforcement officer or judge about the commission or possible commission of a federal crime, namely, narcotics trafficking.  The indictment further alleges that MACK and MILLER conspired with others to commit this offense.

The charges of witness tampering murder and conspiracy to commit witness tampering murder carry a mandatory lifetime term of imprisonment or death, should the government seek the death penalty in this matter. 

In addition to the murder charges, MACK is charged with unlawfully possessing a firearm as a convicted felon, an offense that carries a maximum term of imprisonment of 10 years.

MACK is currently in the custody of the federal Bureau of Prisons where he is serving a 37-month sentence for a narcotics offense.

MILLER has been detained since his arrest on a federal warrant on November 7, 2012.  He was originally charged by indictment on March 14, 2013.

This indictment followed a joint law enforcement investigation headed by the Federal Bureau of Investigation’s Northern Connecticut Violent Crimes and Gang Task Force and the Hartford Police Department’s Major Crimes Division.

Acting U.S. Attorney Daly stressed that an indictment is not evidence of guilt.  Charges are only allegations, and a defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.

This case is being prosecuted by Assistant U.S. Attorney Brian P. Leaming.

PUBLIC AFFAIRS CONTACT:

U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722 [email protected]

Deirdre M. Daly, Acting United States Attorney for the District of Connecticut, announced that JOHN J. DORAN, 64, of Niantic, formerly of Deep River, was sentenced today by U.S. District Judge Robert N. Chatigny in Hartford to 12 months and one day of imprisonment, followed by five years of supervised release, the first six months of which DORAN must serve in home confinement under electronic monitoring.  On April 4, 2013, DORAN pleaded guilty to one count of making false statements to influence a bank in connection with a mortgage application.

For much of his professional life, DORAN has been a builder and construction manager of high-end homes and real estate developments throughout Connecticut.  According to court documents and statements made in court, in March 2005, DORAN submitted a false individual tax return to JP Morgan Chase in connection with a $500,000 refinance loan application.  The tax return indicated that his adjusted gross income for 2003 was $296,735 when, in fact, the actual 2003 tax return he filed with the Internal Revenue Service showed an adjusted gross income of -$81,911.

In March 2007, DORAN submitted false individual 2003 and 2004 tax returns in connection with a loan application to Wachovia Dealer Services to finance the purchase of a yacht.

In May 2007, DORAN applied to Bank of America for a mortgage to purchase a condominium in New Haven.  In connection with the application, DORAN submitted a false individual tax return that indicated that his adjusted gross income for 2004 was $464,197 when, in fact, his actual 2004 tax return showed an adjusted gross income of -$69,298.  DORAN also submitted to the bank a fictitious sale contract for his personal residence in Deep River and a false bank statement.

DORAN subsequently defaulted on the three loans.

As part of his sentence, Judge Chatigny ordered DORAN to pay restitution of $991,883.65.

This case was investigated by the Federal Bureau of Investigation and was prosecuted by Assistant U.S. Attorney David T. Huang.

PUBLIC AFFAIRS CONTACT:

U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722 [email protected]

Deirdre M. Daly, Acting United States Attorney for the District of Connecticut, announced that HARRY P. MICONI, 77, of West Haven, waived his right to indictment and pleaded guilty today before U.S. District Judge Michael P. Shea in Hartford to paying hundreds of thousands of dollars in bribes to a senior official at the West Haven Housing Authority.

According to court documents and statements made in court, MICONI owned and operated several painting and contracting businesses in West Haven, including P and K Contractor LLC.  In pleading guilty, MICONI admitted that, between January 2007 and February 2012, he and his business made more than $800,000 in corrupt payments to a senior official at the West Haven Housing Authority, and to Four Star Development Company LLC, an entity personally owned and controlled by the official.  In return, the official directed millions of dollars in business for or with the West Haven Housing Authority and its two affiliated instrumentalities, Meadow Landing and Spring Heights, to MICONI and his businesses.

MICONI pleaded guilty to one count of conspiracy to commit bribery in connection with a program receiving federal funds, which carries a maximum term of imprisonment of five years.  Judge Shea has scheduled sentencing for January 29, 2014.

As part of his plea, MICONI has agreed to pay $862,563 in restitution.

Acting U.S. Attorney Daly stated that the investigation is ongoing.

This matter is being investigated by the U.S. Department of Housing and Urban Development – Office of Inspector General, Federal Bureau of Investigation, and Internal Revenue Service – Criminal Investigation.  The case is being prosecuted by Assistant U.S. Attorneys David T. Huang and Susan L. Wines.

PUBLIC AFFAIRS CONTACT:

U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722 [email protected]

Deirdre M. Daly, Acting United States Attorney for the District of Connecticut, announced that ANTWAIN YOPP, 31, of New Haven, was sentenced today by Senior U.S. District Judge Ellen Bree Burns in New Haven to 50 months of imprisonment, followed by three years of supervised release, for distributing crack cocaine and marijuana.

YOPP is one of more than 100 individuals charged as a result of “Operation Bloodline,” a joint law enforcement investigation targeting narcotics trafficking and gang violence in the Dwight-Kensington and Fair Haven sections of New Haven.  Led by the DEA New Haven Task Force and the New Haven and Hamden Police Departments, the year-long investigation included the use of court-authorized wiretaps on numerous telephones, extensive physical surveillance, controlled purchases of narcotics, execution of search warrants, and seizures of narcotics and firearms.

The investigation revealed that YOPP conspired with others to distribute cocaine base and marijuana.

YOPP’s criminal history includes multiple convictions in state court, including convictions for sale of narcotics, possession with intent to sell narcotics, escape in the first degree and engaging police in pursuit.  He was incarcerated in state custody on an unrelated offense when he was charged by federal indictment in May 2012.

On July 10, 2013, YOPP pleaded guilty to one count of conspiracy to possess with intent to distribute, and to distribute, cocaine base (“crack”) and marijuana.  He has been detained in federal custody since August 26, 2013, when he completed his state sentence. 

This matter is being investigated by the Drug Enforcement Administration’s New Haven Task Force, the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the New Haven, Hamden, West Haven, North Haven, Branford, Ansonia and Meriden Police Departments.  The United States Marshals Service, the Connecticut State Police, the Connecticut Department of Correction, Parole and Community Services and the Milford, Hartford, New Britain, North Branford and Stratford Police Departments have provided valuable assistance to the investigation.

This case is being prosecuted by Assistant United States Attorneys S. Dave Vatti and Marc Silverman.

PUBLIC AFFAIRS CONTACT:

U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722 [email protected]

Deirdre M. Daly, Acting United States Attorney for the District of Connecticut, announced that ELIZABETH JO GUTIERREZ, 47, of Ridgefield, was sentenced today by U.S. District Judge Robert N. Chatigny in Hartford to five years of probation, the first six months of which GUTIERREZ must spend in home confinement under electronic monitoring, for embezzling $30,000 from the Fairfield Housing Authority. 

The Fairfield Housing Authority administers federal housing programs for the U.S. Department of Housing and Urban Development with the mission of providing affordable housing for eligible low-income families and the elderly.

According to court documents and statements made in court, GUTIERREZ served as the Executive Director for the Fairfield Housing Authority from approximately July 2010 to December 2011.  In the summer of 2011, GUTIERREZ issued two checks, each in the amount of $15,000, from the Fairfield Housing Authority’s checking account and subsequently deposited them into her own checking account.

On June 4, 2013, GUTIERREZ pleaded guilty to one count of theft concerning programs receiving federal funds.

GUTIERREZ was ordered to pay restitution in the amount of $30,000.

This matter was investigated by the U.S. Department of Housing and Urban Development – Office of Inspector General, and was prosecuted by Special Assistant U.S. Attorney Sean Beaty.

PUBLIC AFFAIRS CONTACT:

U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722 [email protected]

Deirdre M. Daly, Acting United States Attorney for the District of Connecticut, announced that YVONNE DAVIS, 62, a prisoner at the Federal Correctional Institution (FCI) in Danbury, was sentenced today by Senior U.S. District Judge Warren W. Eginton in Bridgeport to 28 months of imprisonment for assaulting another inmate.

According to court documents and statements made in court, on November 25, 2012, DAVIS stabbed another FCI Danbury inmate with a ballpoint pen that had been broken so as to have a sharp edge on it.  The victim suffered a laceration to the back of her arm that was five to six inches long and one-half inch deep.  The wound required 24 stitches to close.

On August 14, 2013, DAVIS pleaded guilty to one count of assault with a dangerous weapon.

DAVIS is currently serving a 37-month sentence after having been convicted in the Northern District of Texas of being a felon in possession of a firearm.  Judge Eginton ordered DAVIS to begin serving the 28-month prison term after she completes her original sentence.

This case was investigated by the Federal Bureau of Investigation and was prosecuted by Assistant U.S. Attorney Neeraj N. Patel.

PUBLIC AFFAIRS CONTACT:

U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722 [email protected]

Deirdre M. Daly, Acting United States Attorney for the District of Connecticut, announced that a federal grand jury sitting in Hartford returned an indictment today charging MICHAEL BEVERLY, 37, formerly of New Haven, with one count of escape from federal custody.

The indictment alleges that on June 17, 2013, BEVERLY escaped from the Watkinson House Residential Reentry Center in Hartford where he was completing a federal prison term.

On January 29, 2009, BEVERLY was sentenced in Hartford federal court to 77 months of imprisonment for possession of ammunition by a convicted felon.

BEVERLY was apprehended by the U.S. Marshals Service and New Haven Police on July 3, 2013, and is currently incarcerated.

If convicted of escape from custody, BEVERLY faces a maximum term of imprisonment of five years and a fine of up to $250,000.

Acting U.S. Attorney Daly stressed that an indictment is not evidence of guilt.  Charges are only allegations, and each defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.

This matter has been investigated by the U.S. Marshals Service and the New Haven Police Department.  The case is being prosecuted by Assistant U.S. Attorney Christopher Mattei.

PUBLIC AFFAIRS CONTACT:

U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722 [email protected]

Deirdre M. Daly, Acting United States Attorney for the District of Connecticut, announced that RUFUS SPEARMAN, 36, of New Haven, was sentenced today by U.S. District Judge Robert N. Chatigny in Hartford to 52 months of imprisonment, followed by three years of supervised release, for illegally possessing a firearm.

According to court documents and statements made in court, during a police pursuit on November 10, 2012, SPEARMAN discarded a loaded .50 caliber semi-automatic pistol underneath the front porch of a residence on Clover Place in New Haven.  He was apprehended a short time later and the firearm was recovered.  A search of SPEARMAN’s person revealed quantities of marijuana and methylone, also known as “bath salts.”

SPEARMAN’s criminal history includes state felony convictions for sale of hallucinogen/narcotics, possession of a controlled substance with intent to sell, arson and conspiracy to commit arson in the first degree.

SPEARMAN has been detained since his arrest on November 10, 2012.  On July 11, 2013, he pleaded guilty to one count of possession of a firearm by a previously convicted felon.

This matter was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the New Haven Police Department.  The case was prosecuted by Assistant U.S. Attorney Anthony E. Kaplan.

PUBLIC AFFAIRS CONTACT:

U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722 [email protected]

Deirdre M. Daly, Acting United States Attorney for the District of Connecticut, announced that LUCIANO FLORES JIMINEZ, 46, also known as Roberto Gonzalez-Gonzalez” and “Alberto Torres,” was sentenced today by U.S. District Judge Alvin W. Thompson in Hartford to 57 months of imprisonment for illegally reentering the U.S. after he was deported.

According to court documents and statements made in court, JIMINEZ, a citizen of Mexico last residing in Bridgeport, has never held legal status in the U.S.  In November 2009, JIMINEZ was deported to Mexico after he had sustained numerous convictions for larceny and other offenses in Connecticut, Georgia and Florida.

JIMINEZ illegally reentered the U.S. and was subsequently found and prosecuted under the alias of “Roberto Gonzalez-Gonzalez” in the Southern District of Texas for illegal reentry.  After receiving a 90-day sentence, he was deported in July 2011.

JIMINEZ illegally reentered the U.S. in August 2011, was found, and deported a third time in November 2011.

JIMINEZ again illegally reentered the U.S. and, in June 2012, was arrested for a theft offense in Memphis, Tenn., under the alias of “Alberto Torres.”  On December 5, 2012, he was arrested in Stamford on charges of criminal impersonation, forgery, larceny and interfering/resisting arrest.

JIMINEZ has been detained since his last arrest.  On August 13, 2013, he pleaded guilty to one count of illegal reentry of a removed alien. 

The investigation revealed that JIMINEZ used approximately 14 different aliases and five dates of birth in the U.S. since at least 1994.

This matter was investigated by U.S. Immigration and Customs Enforcement, Enforcement and Removal Operations.  The case was prosecuted by Assistant U.S. Attorney Deborah R. Slater.

PUBLIC AFFAIRS CONTACT:

U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722 [email protected]

Deirdre M. Daly, Acting United States Attorney for the District of Connecticut, announced that PETER TURNER, 57, of Burlington, waived his right to indictment and pleaded guilty today before U.S. Magistrate Judge William I. Garfinkel in Bridgeport to one count of wire fraud stemming from an embezzlement scheme.

According to court documents and statements made in court, TURNER is the managing partner of Two Buck Ring, LLC, a nine-member LLC that is the majority stake holder of The Bridge Fine Wine Spirits & Beer in New Milford.  He also is a member of Spirited Endeavor, LLC, a 13-member LLC that does business as Town Line Fine Wine, Spirits & Beer in Stratford.  As managing partner of Two Buck Ring (“TBR”), TURNER was responsible for the day-to-day operation of The Bridge Fine Wine Spirits & Beer and had access to the TBR business accounts.

Between November 2010 and February 2012, TURNER, without the authority of other TBR members, wrote numerous checks from the TBR business accounts to himself and used the money for various personal expenses.  TURNER also prepared and disseminated to investors a fraudulent ledger in an effort to conceal his fraud.

Through this scheme, TURNER embezzled approximately $322,500.

TURNER is scheduled to be sentenced by U.S. District Judge Michael P. Shea in on January 14, 2014 in Hartford, at which time he faces a maximum term of imprisonment of 20 years and a fine of up to $645,000.

This investigation is being conducted by the Connecticut Financial Crimes Task Force, which includes members of the U.S. Secret Service, U.S. Postal Inspection Service, U.S. Department of State, Bureau of Diplomatic Security, Internal Revenue Service – Criminal Investigation, Connecticut State Police, and the Greenwich, Hartford, Stamford, Shelton and Stratford Police Departments.  Acting U.S. Attorney Daly specifically recognized the efforts of the Greenwich Police Department for its assistance in the investigation and prosecution of this matter.

This case is being prosecuted by Assistant U.S. Attorney Douglas P. Morabito.

PUBLIC AFFAIRS CONTACT:

U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722 [email protected]

Deirdre M. Daly, Acting United States Attorney for the District of Connecticut, announced that JOSEPH BOREA, 56, of New Canaan, was sentenced today by U.S. District Judge Vanessa L. Bryant in Hartford to 33 months of imprisonment, followed by three years of supervised release, for being involved in organized crime-controlled gambling businesses.  BOREA was also ordered to forfeit $75,000 and pay a $50,000 fine.

According to court documents and statements made in court, after a long-term investigation led by the FBI Fairfield County Organized Crime Task Force, the Internal Revenue Service – Criminal Investigation and the Stamford Police Department, BOREA, Dean DePreta, Richard Uva and 17 other individuals were charged with various offenses related to their involvement in an illegal Internet sports bookmaking operation and illegal card gambling clubs.  As part of the conspiracy, DePreta and Uva were involved in the collection and payment of “tribute” payments to Gambino organized crime family associates in New York.

The investigation, which included the use of court-authorized wiretaps, revealed that DePreta operated a large-scale sports bookmaking business in which gamblers placed bets with offshore Internet sports-gambling websites, particularly www.44wager.com based in Costa Rica.  Uva served as the “master agent” for the bookmaking operation.

In addition, DePreta, Uva and others operated card gambling clubs in Stamford and Hamden where a house percentage, commonly referred to as a “rake,” was collected from every hand played.
BOREA collected gambling debts for DePreta and Uva.

FBI analysis of the sports-betting web site utilized by the co-defendants has determined that the total gross revenues of the Stamford-based gambling operation were nearly $1.7 million from October 2010 to June 2011.

BOREA has been released on bond since his arrest on June 13, 2012.  On August 7, 2013, he pleaded guilty to one count of conspiring to violate the federal Racketeer Influenced and Corrupt Organizations (RICO) Act.

DePreta and Uva also pleaded guilty and are currently serving prison terms of 71 months and 46 months, respectively.

To date, 18 defendants who have pleaded guilty have agreed to forfeit approximately $1.4 million.

This matter is being investigated by the FBI Fairfield County Organized Crime Task Force, the Internal Revenue Service – Criminal Investigation, the Stamford Police Department, the Bridgeport Police Department and the Connecticut State Police.  This case is being prosecuted by Assistant U.S. Attorneys Hal Chen and Peter Jongbloed.

PUBLIC AFFAIRS CONTACT:

U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722 [email protected]

Deirdre M. Daly, Acting United States Attorney for the District of Connecticut, today announced that SUNITA D. BUDDHU, 43, of Wethersfield, was sentenced yesterday by U.S. District Judge Alvin W. Thompson in Hartford to 30 months of imprisonment, followed by five years of supervised release, for helping her father, Deowraj “Deo” Buddhu , operate a fraudulent debt elimination scheme that victimized more than 125 people in Connecticut, New York, Wisconsin, Florida and Georgia.

According to court documents and statements made in court, between 2009 and June 2012, Deo Buddhu sold a debt elimination “program” to vulnerable individuals through various businesses, including Paradise Consulting Service, Hema, Inc., and Secured Redemption.  In exchange for substantial fees, Deo Buddhu told victims about a little-known government fund that could be used to pay off their mortgages and other debts.  In fact, no such fund exists.  Buddhu instructed his victims to stop making payments on their mortgages, credit cards and other debts, and to stop paying their property taxes.  He also provided his victims with fictitious promissory notes, which he called “bonds,” as well as other frivolous documentation, and advised his victims to use them to pay their debts. 

Using her Connecticut Notary Public license, SUNITA BUDDHU assisted her father in the business by preparing, notarizing and mailing the fraudulent documents used in the scheme, including the fictitious bonds.

By ceasing their mortgage payments and other obligations, many of the victims have lost or are in the process of losing their homes to foreclosure.

SUNITA BUDDHU has been detained since her arrest on June 13, 2012.  On October 10, 2012, she pleaded guilty to one count of passing and presenting a fictitious financial instrument.

On June 25, 2013, a jury found Deo Buddhu guilty of six counts of mail fraud and seven counts of passing and presenting fictitious financial instruments.  He is scheduled to be sentenced on November 4, 2013.
Deo Buddhu has been detained since his arrest on June 11, 2012.

Judge Thompson will issue a restitution order after further court proceedings.

This matter was investigated by the Internal Revenue Service – Criminal Investigation and the U.S. Department of Housing and Urban Development – Office of Inspector General, with assistance from the Wethersfield Police Department.

The case is being prosecuted by Assistant U.S. Attorneys Lisa Perkins and Liam Brennan.

PUBLIC AFFAIRS CONTACT:

U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722 [email protected]

Deirdre M. Daly, Acting United States Attorney for the District of Connecticut, John J. Arvanitis, Special Agent in Charge of the Drug Enforcement Administration in New England, New Britain Police Chief James Wardwell and Wethersfield Police Chief James Cetran today announced that 24 individuals have been charged in a 14-count superseding indictment with narcotics distribution and related offenses stemming from a long-term investigation into a coast to coast drug trafficking ring.

As alleged in court documents and statements made in court, in January 2013, the DEA’s Hartford Task Force began an investigation into the narcotics distribution activities of LUIS FERNANDEZ of East Hartford.  The investigation, which included the use of court-authorized wiretaps and controlled purchases of narcotics, revealed that FERNANDEZ’s family members and associates in southern California shipped heroin, cocaine and marijuana to FERNANDEZ at various addresses in the Hartford area.  FERNANDEZ also was supplied with narcotics from individuals in New York.  FERNANDEZ then sold the drugs to customers in Connecticut.

“Thanks to the diligent efforts of DEA’s Hartford Task Force, a drug pipeline from California to Connecticut has been shut down,” stated acting U.S. Attorney Daly.  “All of the police departments who participate on the task force, notably the New Britain and Wethersfield Police Departments whose officers spearheaded this investigation, have devoted significant time and resources to rid our community of narcotics and their negative effects.  I also want to thank our many federal and state law enforcement partners who contributed to this successful investigation.”

“Heroin destroys individuals, families and communities,” stated DEA Special Agent in Charge Arvanitis.  “DEA and our partners are committed to dismantling criminal organizations that attempt to flood our neighborhoods with heroin and other drugs.  These enforcement successes are a direct result of the combined efforts of DEA, along with our state and local partners.”

“The results of the collaborative efforts of the DEA and the local departments continue to bring amazing results,” stated New Britain Police Chief Wardwell.  “New Britain’s Detective Frank Bellizzi, who is assigned to the DEA’s task force, represents the New Britain Police Department very well through his professionalism and dedication.  I am very proud of Detective Bellizzi’s outstanding work investigating high level drug trafficking, particularly his work in this investigation.  The work being done here makes a dramatic impact in all our communities by helping to rid this poison from our streets and reduce violent crimes.  The New Britain Police Department remains committed to its partnership with law enforcement agencies on the local, state, and federal level to continue to address these issues as they arise.”

“We made a commitment to the DEA Task Force several years back to help rid our community of the scourge of illegal drugs,” stated Wethersfield Police Chief Cetran.  “Arresting local drug users did seem to be making a difference but we could see there had to be more; a two-prong attack.  Drugs are a local, regional, and nationwide problem that affects all of our citizens either through direct association with drug users or the crimes related to drug use that include property crimes and crimes against persons.  The officer we assigned to the task force, Officer Jeff Poulin, has done an excellent job as part of the team of local, state, and federal investigators overall, and as part of this investigation.  We can see the results of the task force’s efforts on daily basis by the number of arrests and convictions in high level trafficking of drugs cases. The results of these arrests and convictions trickle down to the streets of our communities by lessening the availability of illegal drugs to drug users who commit the local crimes. We plan to continue to make this sacrifice and commitment as it is worthwhile and delivers results.”  

Charged in the indictment are:

LUIS FERNANDEZ, 30, of East Hartford
FERNANDO FERNANDEZ-GARZA, a.k.a. “Juan Carlos Garza” and “Don Fernando, 49, of Artesia, Calif.
LAWRENCE CHAMBERS, 34, of East Hartford
ERIC COLON, 27, of Hartford
CHAZ DASILVA, 20, of Newington
JESUS FERNANDEZ, a.k.a. “Guerro” and “Guate,” 28, of East Hartford
RICARDO FERNANDEZ, a.k.a. “Pepe,” 19, of East Hartford
SANDI FERNANDEZ, 27, of Artesia, Calif.
JULIO CESAR DE LA ROSA, a.k.a. “Negro,” 25, of Hartford
RAMON GALVEZ, a.k.a. “Tanky,” 38, of New York, N.Y.
EVANGELINA GARZA, 47, of Artesia, Calif.
MICHAEL HAYNES, 27, of East Hartford
ALBERTO HERNANDEZ, 32, of New Britain
CHARLES KELLEY, 39, of Hartford
CARLOS MERCADO, a.k.a. “Los,” 27, of Hartford
BOLIVAR NERIS-RECIO, a.k.a. “Pablo” and “Tigre,” 32, of New York, N.Y.
KAREN ORTEGA, 27, of Lynwood, Calif.
JOSE RIVERA-BARON, a.k.a. “Mexico” and “Chyks, 30,” of East Hartford
JOSE DEJESUS RIVERA, a.k.a. “Chuy,” 24, of Pomona, Calif.
ARMANDO RUELAS-RANGEL, 38, of Harwinton
JOSHUA SAEZ, 24, of Hartford
THOMAS SANCHEZ, 25, of New Britain

The indictment was returned by a grand jury in Hartford on October 1, 2013.  The investigation culminated on October 9 when a majority of the defendants were arrested.  To date, 22 of the defendants have been arrested and two are currently being sought by law enforcement.

During the course of the investigation, law enforcement has seized approximately four kilograms of heroin, approximately 100 pounds of marijuana and more than $150,000 in cash.

The indictment alleges that all of the defendants, with the exception of HERNANDEZ, SAEZ and SANCHEZ, conspired to possess with intent to distribute various quantities of heroin and/or cocaine.  In addition, LUIS FERNANDEZ, CHAMBERS, DASILVA, JESUS FERNANDEZ, DEJESUS RIVERA and RUELAS-RANGEL are charged in one or more counts with possession with intent to distribute heroin. 

The indictment also charges COLON with SAEZ with interference with commerce by robbery, and SAEZ with possession of a firearm by a convicted felon, use of a firearm during and in relation to a crime of violence, and possession with intent to distribute heroin.  These charges stem from an incident on August 16 when it is alleged that COLON and SAEZ robbed RIVERA-BARON of heroin.

Finally, the indictment charges HERNANDEZ and SANCHEZ with attempted possession with intent to distribute heroin on July 24.  On that date, law enforcement officers seized $3,495 from HERNANDEZ and SANCHEZ in Wethersfield.

During the course of the investigation, on August 7, 2013, Hartford Police attempted to stop a vehicle after receiving information from the DEA Task Force that one of the vehicle’s three occupants had allegedly purchased narcotics from a member of the conspiracy.  The vehicle drove from police at a high rate of speed and crashed into a tree, and the occupants fled.  Officers apprehended two of the three individuals, one of whom was subsequently identified as Carlos Ramos, 23, of Hartford.  Ramos has four outstanding arrest warrants from Puerto Rico, including a warrant for murder and another for shooting at a police officer.  He is currently in state custody.

Acting U.S. Attorney Daly stressed that an indictment is not evidence of guilt.  Charges are only allegations, and the defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.

This case has been assigned to U.S. District Judge Stefan R. Underhill in Bridgeport.

This investigation is being led by the Drug Enforcement Administration’s Hartford Task Force, which includes personnel from the DEA Hartford Resident Office and the Bristol, Hartford, Manchester, New Britain, Newington, and Wethersfield Police Departments, with the valuable assistance of DEA Los Angeles Field Division HIDTA Group 42.  Agencies assisting the investigation include the DEA in New Haven, Bridgeport, Los Angeles and Panama, Federal Bureau of Investigation, U.S. Marshals Service, U.S. Department of Homeland Security, U.S. Postal Inspection Service, Connecticut State Police, State of Connecticut Office of Adult Probation, and the Hartford, East Hartford and New Britain Police Departments.

The case is being prosecuted by Assistant U.S. Attorney S. Dave Vatti and Special Assistant U.S. Attorney Natasha M. Dye

PUBLIC AFFAIRS CONTACT:

U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722 [email protected]

Deirdre M. Daly, Acting United States Attorney for the District of Connecticut, announced that VASILIKI PAPADAKOS, 61, of Danbury, was sentenced today by Senior U.S. District Judge Warren W. Eginton in Bridgeport to 57 months of imprisonment, followed by three years of supervised release, for trafficking oxycodone.

This matter stems from a year-long investigation headed by the DEA’s Bridgeport High Intensity Drug Trafficking Area Task Force and Norwalk Police Department into the trafficking of oxycodone, cocaine and marijuana in Fairfield County.  Sixteen individuals have been charged as a result of this investigation.

According to court documents and statements made in court, during the investigation, PAPADAKOS traveled to New York on at least three occasions to pick up hundreds of 30-milligram oxycodone pills from her supplier.  Also, in February 2012, PAPADAKOS was intercepted over a court-authorized wiretap arranging the purchase of 2,000 15-milligram oxycodone pills.  Over a three-month period, PAPADAKOS facilitated the distribution of 8,000 pills with a total street value that exceeded $100,000.

PAPADAKOS has been detained since her arrest on May 8, 2012.  On March 18, 2013, she pleaded guilty to one count of conspiring to possess with intent to distribute oxycodone.

In 1992, PAPADAKOS received a 188-month federal sentence for trafficking cocaine, heroin and marijuana.  She was released from prison in February 2005.

This matter is being investigated by the DEA’s Bridgeport High Intensity Drug Trafficking Area Task Force and the Norwalk Police Department, with assistance provided by the Connecticut State Police and the Bridgeport, Stamford and Stratford Police Departments.  The case is being prosecuted Assistant U.S. Attorneys Vanessa Richards and Michael Runowicz.

PUBLIC AFFAIRS CONTACT:

U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722 [email protected]

Deirdre M. Daly, Acting United States Attorney for the District of Connecticut, announced that JOSE RIVERA, 41, of Waterbury, was sentenced today by U.S. District Judge Robert N. Chatigny in Hartford to 117 months of imprisonment, followed by four years of supervised release, for robbing banks in Waterbury and New Britain.

According to court documents and statements made in court, on February 1, 2013, RIVERA, Victor Ramos and others committed an armed robbery of the TD Bank located on Hartford Road in New Britain, stealing approximately $24,480.  On February 21, 2013, RIVERA, Ramos and others committed an armed robbery of the TD Bank located on North Main Street in Waterbury, stealing approximately $5,319.

RIVERA carried a firearm during both robberies and, during the Waterbury robbery, physically assaulted a customer causing her injuries.

In addition, RIVERA and Ramos violently stole $100 from a small business in Waterbury on January 28, 2013.

RIVERA has been detained since his arrest on February 21, 2013.  On August 7, 2013, he pleaded guilty to one count of bank robbery.

Ramos has been detained since his arrest on June 5, 2013.  On August 19, 2013, he pleaded guilty to the same charge.

This matter has been investigated by the Federal Bureau of Investigation, the Waterbury Police Department and the New Britain Police Department.  The case is being prosecuted by Assistant U.S. Attorney Douglas P. Morabito.

PUBLIC AFFAIRS CONTACT:

U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722 [email protected]

Deirdre M. Daly, Acting United States Attorney for the District of Connecticut, announced that ANDREW MELILLO, 28, of Meriden, was sentenced today by Senior U.S. District Judge Ellen Bree Burns in New Haven to 30 months of imprisonment, followed by three years of supervised release, for distributing cocaine and oxycodone.

MELILLO is one of more than 100 individuals charged as a result of “Operation Bloodline,” a joint law enforcement investigation targeting narcotics trafficking and gang violence in the Dwight-Kensington and Fair Haven sections of New Haven.  Led by the DEA New Haven Task Force and the New Haven and Hamden Police Departments, the year-long investigation included the use of court-authorized wiretaps on numerous telephones, extensive physical surveillance, controlled purchases of narcotics, execution of search warrants, and seizures of narcotics and firearms.

The investigation revealed that MELILLO conspired with others to distribute cocaine and oxycodone.

MELILLO was arrested on May 22, 2012.  On February 28, 2013, he pleaded guilty to one count of conspiracy to possess with intent to distribute, and to distribute, cocaine and oxycodone.

MELILLO, who has been released on bond since shortly after his arrest, was ordered to report to prison on December 27, 2013.

This matter is being investigated by the Drug Enforcement Administration’s New Haven Task Force, the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the New Haven, Hamden, West Haven, North Haven, Branford, Ansonia and Meriden Police Departments.  The United States Marshals Service, the Connecticut State Police, the Connecticut Department of Correction, Parole and Community Services and the Milford, Hartford, New Britain, North Branford and Stratford Police Departments have provided valuable assistance to the investigation.

This case is being prosecuted by Assistant U.S. Attorneys S. Dave Vatti and Marc Silverman.

PUBLIC AFFAIRS CONTACT:

U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722 [email protected]

Deirdre M. Daly, Acting United States Attorney for the District of Connecticut, announced that JOHN B. MAIA, 73, of Waterbury, was sentenced today by U.S. District Judge Alvin W. Thompson in Hartford to three months of home confinement and one year of probation for lying to federal agents conducting a tax fraud investigation.  MAIA was also ordered to perform 200 hours of community service and pay a $1,000 fine.

According to court documents and statements made in court, on April 14, 2010, MAIA, a retired Waterbury Police detective and inspector with the Waterbury State’s Attorney’s Office, submitted to a voluntary interview with special agents of the Internal Revenue Service – Criminal Investigation who were conducting an investigation into fraudulent conduct by Thomas Thorndike and the clients of Thorndike’s tax preparation business, Cornerstone Financial Services.  MAIA was a Cornerstone Financial Services client.  During the interview, agents asked MAIA if he had overstated deductions for charitable contributions and listed fictitious business expenses on his federal tax returns from 2005 through 2008.  MAIA falsely stated that the charitable contributions and business expenses were legitimate and that he had provided supporting documentation for the contributions and expenses to his tax preparer.

On March 22, 2013, MAIA pleaded guilty to one count of making a false statement to federal law enforcement.

Thorndike pleaded guilty to tax offenses in October 2012 and, on March 12, 2013, was sentenced to 72 months of imprisonment.

This matter was investigated by the Internal Revenue Service – Criminal Investigation and the Federal Bureau of Investigation.  The case was prosecuted by Assistant U.S. Attorneys Christopher Mattei and Eric Glover.

PUBLIC AFFAIRS CONTACT:

U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722 [email protected]

Deirdre M. Daly, Acting United States Attorney for the District of Connecticut, announced that two men involved in organized crime-controlled gambling businesses were sentenced today in Hartford federal court.  U.S. District Judge Vanessa L. Bryant sentenced RICHARD UVA, 45, of Trumbull, to 46 months of imprisonment, followed by three years of supervised release.  UVA was also ordered to forfeit $250,000.  VICTOR AMERENO, 43, of Stamford, was sentenced to six months of imprisonment, followed by three years of supervised release, and was ordered to forfeit $15,000.

According to court documents and statements made in court, after a long-term investigation led by the FBI Fairfield County Organized Crime Task Force, the Internal Revenue Service – Criminal Investigation and the Stamford Police Department, UVA, AMERENO, Dean DePreta and 17 other individuals were charged with various offenses related to their involvement in an illegal Internet sports bookmaking operation and illegal card gambling clubs in Stamford and Hamden.  UVA and DePreta are alleged associates of the Gambino organized crime family.

The investigation, which included the use of court-authorized wiretaps, revealed that UVA assisted DePreta’s operation of a large-scale sports bookmaking business in which gamblers placed bets with offshore Internet sports-gambling websites, particularly www.44wager.com based in Costa Rica.  UVA served as the “master agent” for the bookmaking operation and supervised a network of bookmakers, including AMERENO.

In addition, DePreta, UVA and others operated a card gambling club at 2965 State Street in Hamden, where a house percentage, commonly referred to as a “rake,” was collected from every hand played.  UVA supervised the club’s operation.

UVA has also admitted that he committed acts of extortion while participating in this racketeering enterprise ad collected “tribute” payments from independent sports bookmakers operating in Connecticut.  A portion of the payments were delivered to Gambino Family associates in New York.

FBI analysis of the sports-betting web site utilized by the co-defendants has determined that the total gross revenues of the Stamford-based gambling operation were nearly $1.7 million from October 2010 to June 2011.

On April 28, 2011, investigators executed a search warrant at UVA’s former residence in Stamford and seized approximately $175,000 in cash.

UVA has been released on bond since his arrest on June 13, 2012.  On August 5, 2013, he pleaded guilty to one count of conspiring to violate the federal Racketeer Influenced and Corrupt Organizations (RICO) Act.

DePreta pleaded guilty to the same charge and, on October 9, 2013, he was sentenced to 71 months of imprisonment, fined $50,000 and was ordered to forfeit $300,000.

AMERENO pleaded guilty on April 1, 2013 to one count of operating an illegal gambling business.

To date, 18 defendants who have pleaded guilty have agreed to forfeit approximately $1.4 million.

This matter is being investigated by the FBI Fairfield County Organized Crime Task Force, the Internal Revenue Service – Criminal Investigation, the Stamford Police Department, the Bridgeport Police Department and the Connecticut State Police.  This case is being prosecuted by Assistant U.S. Attorneys Hal Chen and Peter Jongbloed.

PUBLIC AFFAIRS CONTACT:

U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722 [email protected]

Deirdre M. Daly, Acting United States Attorney for the District of Connecticut, announced that JOSEPH CASOLO, 45, of Norwalk, was sentenced today by U.S. District Judge Vanessa L. Bryant in Hartford to 57 months of imprisonment, followed by three years of supervised release, for extorting approximately $200,000 from a Fairfield County businessman.

According to court documents and statements made in court, between approximately September 2010 and December 2011, CASOLO extorted money from a small-business owner in Fairfield County by impersonating organized crime figures.  CASOLO threatened the victim in person, in phone conversations and in text messages using multiple personas, repeatedly stating or implying that if the victim failed to make the extortion payments, the victim, the victim’s spouse, and the victim’s daughter would be harmed with violence.  CASOLO also enlisted the assistance of an individual who identified himself as “Lorenzo,” the organized crime family’s “enforcer,” and made multiple threatening calls to the victim at CASOLO’s direction.

The investigation has revealed that the victim made more than $200,000 in cash payments to CASOLO as a result of his threats.  CASOLO shared a portion of these funds with the individual who played the role of “Lorenzo.”

CASOLO has been detained since his arrest on November 20, 2012.  On August 1, 2013, he pleaded guilty to one count of extortion.

This matter is being investigated by the FBI Fairfield County Organized Crime Task Force, the Internal Revenue Service – Criminal Investigation, the Stamford Police Department, the Bridgeport Police Department and the Connecticut State Police.  This case is being prosecuted by Assistant United States Attorney Hal Chen.

PUBLIC AFFAIRS CONTACT:

U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722 [email protected]

Deirdre M. Daly, Acting United States Attorney for the District of Connecticut, announced that ANTHONY JOHNSON, 50, of Philadelphia, was sentenced today by U.S. District Judge Vanessa L. Bryant in Hartford to 192 months of imprisonment, followed by three years of supervised release, for stealing credit cards and identities from women who were victimized in Connecticut movie theaters.  On October 22, 2012, a jury found JOHNSON guilty of multiple counts of unauthorized use of an access device and aggravated identity theft.

According to the evidence presented during his trial, JOHNSON, with the assistance of female accomplices engaged in a credit card fraud and identity theft scheme at several movie theaters in Connecticut.  In one incident that occurred on December 27, 2008, JOHNSON and Lashirelle Bryant entered a movie theater in Greenwich and sat directly behind their intended victim.  While the movie was playing, JOHNSON crawled on the floor and stole three credit cards from a female victim’s purse.  JOHNSON and Bryant then left the theater and JOHNSON used equipment to produce a driver’s license in the victim’s name, but with Bryant’s photograph.  JOHNSON and Bryant then used the stolen credit cards to make more than $50,000 in unauthorized purchases.  The purchases included gift cards, clothing, electronics, designer sunglasses and a $10,000 Rolex watch.

JOHNSON also traveled to Connecticut on at least three occasions between April and August 2010 and stole credit cards from female patrons at theaters in Greenwich, Fairfield and Colchester.  JOHNSON produced false driver’s licenses in each victim’s name, but with a photograph of Jamie McGowan, his female accomplice on these trips.  McGowan, at JOHNSON’s direction, used the stolen credit cards and fraudulent identification to purchase thousands of dollars in gift cards and retail items, and also to make more than $5,000 in cash advances at the Mohegan Sun Casino.

McGowan testified at trial that she participated in JOHNSON’s credit card theft scheme for more than a year.  During that time, a “good weekend” yielded between $50,000 and $70,000 and a “bad weekend” yielded between $20,000 and $30,000.  McGowan stated that most weekends were “good weekends.” 

Trial testimony also revealed that JOHNSON committed similar crimes in Pennsylvania, Virginia, Massachusetts, Nevada, and Hawaii.

JOHNSON has an extensive criminal history dating to his first arrest at the age of 12, and he began this credit card fraud and identity theft scheme in July 2008, shortly after completing a 71-month federal sentence for jewelry theft.

JOHNSON has been in custody since October 2010 after he was arrested in Indiana on a violation of supervised release warrant from the Eastern District of Pennsylvania.

On June 22, 2012, Lashirelle Bryant and Jamie McGowan each pleaded guilty to one count of unauthorized use of an access device and one count of aggravated identity theft.  On November 29, 2012, McGowan was sentenced to 18 months of imprisonment.  Bryant awaits sentencing.

This matter was investigated by the Federal Bureau of Investigation and the Greenwich, Fairfield and Waterford Police Departments.  The case is being prosecuted by Assistant U.S. Attorneys Rahul Kale and Paul H. McConnell.

PUBLIC AFFAIRS CONTACT:

U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722 [email protected]

Deirdre M. Daly, Acting United States Attorney for the District of Connecticut, announced that RICHARD SOKOLOFF, 70, of Guilford, was sentenced today by U.S. District Judge Janet Bond Arterton in New Haven to 30 months of imprisonment, followed by 18 months of supervised release, for defrauding Medicare.

“Medicare fraud is a serious crime” said Acting U.S. Attorney Daly.  “Doctors and other medical providers need to know that they risk jail time if they defraud the Medicare program.  As this sentence makes clear, doctors will also be held accountable when they attempt to obstruct justice by falsifying records to cover up their crimes.”

According to court documents and statements made in court, SOKOLOFF was a podiatrist with a practice at 652 Boston Post Road in Guilford.  Between July 2008 and February 2012, SOKOLOFF engaged in a health care fraud scheme by submitting claims to Medicare for avulsion of nail plate services that were not rendered.  An avulsion of nail plate service, or “nail avulsion,” is a surgical procedure to treat ingrown toenails.  The procedure involves the surgical separation and removal of all or part of a toenail from the tip of the nail back to the base of the nail.  Pursuant to relevant Medicare policies, the procedure is required to be performed using injectable anesthesia, unless the patient is devoid of sensation or there are other extenuating circumstances.  Injectable anesthesia is necessary to perform a partial or full nail avulsion to avoid causing extreme pain to the patient.

SOKOLOFF commonly provided only “routine foot care” services to his Medicare patients, such as simply trimming or clipping their toenails, yet he regularly submitted claims to Medicare as if he had performed nail avulsion surgical procedures.  Routine foot care is typically not a payable service under relevant Medicare regulations except in limited circumstances for patients with certain systemic conditions and/or other significant medical issues.  SOKOLOFF also did not use an injectable anesthetic while supposedly providing nail avulsion services. 

When Medicare requested that SOKOLOFF provide documentation to substantiate his nail avulsion services, SOKOLOFF created and back-dated patients progress notes to make it appear that the avulsion of nail plate services had been performed when, in fact, they had not been performed.

Judge Arterton ordered SOKOLOFF to pay $213,676 in restitution to Medicare, which includes fraudulent claims dating back to 2008.

On June 26, 2013, SOKOLOFF waived his right to indictment and pleaded guilty to one count of health care fraud.

This investigation was conducted by special agents from the Office of Inspector General for the Department of Health and Human Services and the Federal Bureau of Investigation.  The case was prosecuted by Assistant U.S. Attorney Richard M. Molot and Auditor Kevin Saunders.

Acting U.S. Attorney Daly encourages individuals who suspect health care fraud to report it by calling the Health Care Fraud Task Force at (203) 777-6311 or. 1-800-HHS-TIPS.

PUBLIC AFFAIRS CONTACT:

U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722 [email protected]

Deirdre M. Daly, Acting United States Attorney for the District of Connecticut, today announced that LAWRENCE BLUE, 36, of Bridgeport, pleaded guilty yesterday before Chief U.S. District Judge Janet C. Hall in New Haven to one count of possession with intent to distribute cocaine base (“crack”).

In December 2002, BLUE was sentenced by Judge Hall to 92 months of imprisonment and three years of supervised release for possession of a firearm by a previously convicted felon.  He was released from federal prison in June 2009.

According to court documents and statements made in court, on March 20, 2012, the U.S. Marshals Service and members of the Connecticut Violent Fugitive Task Force arrested BLUE at his Bridgeport residence on a federal violation of supervised release warrant.  On that date, a search of BLUE’s bedroom revealed narcotics, two loaded firearms and approximately $2,500 in cash.

Judge Hall has scheduled sentencing for February 3, 2014, at which time BLUE faces a maximum term of imprisonment of 20 years.

BLUE has been detained since his arrest.  On April 17, 2012, Judge Hall sentenced BLUE to 21 months of imprisonment for violating the conditions of his supervised release stemming from his prior federal conviction.

This case is being prosecuted by Assistant U.S. Attorney Alina P. Reynolds.

PUBLIC AFFAIRS CONTACT:

U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722 [email protected]

Deirdre M. Daly, Acting United States Attorney for the District of Connecticut, today announced that OVES ST. ORBIN WRIGHT, 56, of Massapequa, N.Y., and KEVIN J. DUNBAR, 45, of Manchester, have pleaded guilty in Hartford federal court to marijuana distribution charges.  WRIGHT pleaded guilty yesterday and DUNBAR pleaded guilty today.

According to court documents and statements made in court, on May 19, 2013, U.S. Customs and Border Patrol (CPB) agents in western Texas conducted a search of a tractor trailer and discovered approximately 315 pounds of marijuana secreted in a shipping crate.  CBP agents contacted DEA agents in El Paso who determined that the crate was destined for a shipping facility in Enfield.  On May 29, 2013, Connecticut DEA agents established surveillance at the Enfield shipping facility and observed WRIGHT and DUNBAR unpack the crate, load the contents into a van and travel to a storage facility in East Hartford where they were arrested.

WRIGHT and DUNBAR each pleaded guilty to one count of conspiracy to distribute and to possess with the intent to distribute marijuana, a charge that carries a maximum term of imprisonment of 20 years and a fine of up to $1 million.  They are scheduled to be sentenced in January by U.S. District Judge Alvin W. Thompson in Hartford.

This matter is being investigated by the Drug Enforcement Administration, with the assistance of U.S. Customs and Border Patrol.  The case is being prosecuted by Assistant U.S. Attorney Geoffrey M. Stone and Special Assistant U.S. Attorney Michael Ahearn.

PUBLIC AFFAIRS CONTACT:

U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722 [email protected]

Deirdre M. Daly, Acting United States Attorney for the District of Connecticut, today announced that CRAIG A. STANLAND, 40, of Stamford, has been charged by criminal complaint with operating a scheme through which he fraudulently obtained hundreds of computer networking parts from Cisco Systems, Inc.
STANLAND was arrested on October 1, 2013.  Following his arrest, he appeared before U.S. Magistrate Judge William I. Garfinkel in Bridgeport and was released on a $100,000 bond.  The criminal complaint was unsealed on October 21.

According to the criminal complaint, STANLAND operated a service contract fraud scheme for approximately a year leading up to his arrest.  As alleged, STANLAND purchased or controlled approximately 14 service contracts for Cisco networking parts.  Pursuant to these service contracts, STANLAND – using the aliases Alan Johnston of Opex Solutions, Kyle Booker of KLB Networks, Steve Jones of SHO Networks, Robert Johnson of Adaptations, and Paul Smith of PS Solutions, among others – made hundreds of false service requests to Cisco to replace purportedly defective computer networking parts.  Based on these requests, Cisco shipped replacement parts to various addresses at STANLAND’s direction, including to his home in Stamford, to his wife’s business in Brooklyn, N.Y., and to two post office boxes in Greenwich.  Although STANLAND was supposed to return each allegedly defective part to Cisco, he either returned no parts at all or instead sent to Cisco third-party, off-brand parts. 

It is alleged that STANLAND fraudulently obtained more than 400 parts from Cisco through this scheme.  The retail cost of the parts ranged from approximately $500 to $8,600.

The criminal complaint charges STANLAND with mail fraud, which carries a maximum term of imprisonment of 20 years.

Acting U.S. Attorney Daly stressed that a complaint is only a charge and is not evidence of guilt.  Charges are only allegations, and the defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.

This matter is being investigated by the Federal Bureau of Investigation with valuable assistance from the Greenwich Police Department.  The case is being prosecuted by Assistant U.S. Attorney David T. Huang

PUBLIC AFFAIRS CONTACT:

U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722 [email protected]

Deirdre M. Daly, Acting United States Attorney for the District of Connecticut, announced that ORLANDO SANTIAGO, 38, of New London, was sentenced today by U.S. District Judge Janet Bond Arterton in New Haven to 70 months of imprisonment, followed by four years of supervised release, for distributing heroin.  He was also ordered to pay a $1,000 fine.

In early 2012, Homeland Security Investigations (“HSI”), the U.S. Secret Service and the New London Police Department initiated an investigation to combat the large-scale trafficking of heroin and cocaine from the Dominican Republic and Puerto Rico into and around southeastern Connecticut.

According to court documents and statements made in court, on multiple occasions between October 2102 and February 2013, SANTIAGO was intercepted over a court-authorized wiretap ordering heroin from his drug supplier.  Investigators also observed SANTIAGO after he traveled to a residence on Hawthorne Drive in New London to complete a number of these transactions.

SANTIAGO was arrested on April 3, 2013.  On July 18, he pleaded guilty to one count of conspiracy to possess with the intent to distribute 100 grams or more of heroin.

More than 100 individuals have been charged with federal and state offenses as a result of this investigation.

This matter is being investigated by Homeland Security Investigations; U.S. Secret Service; U.S. Postal Inspection Service; Bureau of Alcohol, Tobacco, Firearms and Explosives; U.S. Customs and Border Protection, Office of Air and Marine; Connecticut State Police; New London Police Department, Norwich Police Department, Waterford Police Department, Groton Town Police Department, East Lyme Police Department and Putnam Police Department.  The United States Marshals Service; ICE Enforcement and Removal Operations; Drug Enforcement Administration; HSI Assistant Attaché, Santo Domingo, Dominican Republic; HSI Arecibo, Puerto Rico Resident Office;  Internal Revenue Service – Criminal Investigation; Connecticut Department of Correction, Parole and Community Services; and the Groton City, Willimantic, New Haven and Bristol Police Departments have provided valuable assistance to the investigation.

The federal case is being prosecuted by Assistant United States Attorneys Alina P. Reynolds, Sarah P. Karwan and Henry K. Kopel.  The state cases are being prosecuted by the State’s Attorney for the New London Judicial District and Senior Assistant State’s Attorneys Paul Narducci and Stephen Carney.

PUBLIC AFFAIRS CONTACT:

U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722 [email protected]

Deirdre M. Daly, Acting United States Attorney for the District of Connecticut, announced that JOSE RAMON NAVARRO-HERNANDEZ, 33, a citizen of Honduras last residing in Manchester, was sentenced today by U.S. District Judge Janet Bond Arterton in New Haven to six months of imprisonment for illegally reentering the U.S. after being deported.

According to court documents and statements made in court, NAVARRO-HERNANDEZ was previously removed from the U.S. to Honduras on four separate occasions and returned to the U.S. after each removal without having lawful permission to enter the country.

NAVARRO-HERNANDEZ has been detained since July 29, 2012, when he was arrested by the Manchester Police Department.  On July 31, 2013, he pleaded guilty in federal court to one count of illegally reentry.

Judge Arterton ordered that NAVARRO-HERNANDEZ begin serving his six-month federal sentence after he completes an 18-month state sentence he is currently serving.

This matter was investigated by U.S. Immigration and Customs Enforcement, Enforcement and Removal Operations.  The case was prosecuted by Assistant U.S. Attorney Henry K. Kopel.

PUBLIC AFFAIRS CONTACT:

U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722 [email protected]

Deirdre M. Daly, Acting United States Attorney for the District of Connecticut, John J. Arvanitis, Special Agent in Charge of the Drug Enforcement Administration in New England, and Danbury Police Chief Alan D. Baker today announced that a federal grand jury sitting in Bridgeport has returned a superseding indictment charging 10 individuals with various conspiracy, robbery, firearms and drug offenses stemming from an investigation into a series of Danbury-area violent home invasion robberies of illegal drugs and drug trafficking proceeds.  The indictment was returned on October 9.

Charged in the 13-count superseding indictment are:

MARLON PATTERSON, a.k.a. “Head,” 20, of Danbury
MICHAEL SPEARS, 23, of Danbury
ANTONIO PARKER, a.k.a. “Little Buddha,” 18, of Danbury
SCOTT MYRIE, a.k.a. “Venom,” 26, of Bedford Hills, N.Y.
CASEY KERSHAW, 25, of Danbury
ROBERT CHERRY, a.k.a. “Rob Base,” 43, of Danbury
PAUL WHITEHURST, a.k.a. “Juice,” 23, of Bridgeport
KEVIN LEMON, a.k.a. “Cheese,” 20, of Bridgeport
LAQUANNA BRIGGS, 21, of Danbury

Nine of the 10 defendants charged in the indictment have been arrested and one defendant is currently being sought by law enforcement.

The indictment alleges that PATTERSON, SPEARS, MYRIE, KERSHAW and another defendant committed the armed robbery of narcotics and narcotics trafficking proceeds from a victim on January 30, 2013, and subsequently possessed with intent to distribute a quantity of marijuana.  The indictment further alleges that PATTERSON, SPEARS and another defendant committed the armed robbery of narcotics and narcotics trafficking proceeds from a victim on February 14, 2013, and that PATTERSON, SPEARS, PARKER, MYRIE and CHERRY committed the armed robbery of narcotics and narcotics trafficking proceeds from a victim on February 18, 2013.

PATTERSON, SPEARS, PARKER, MYRIE, KERSHAW and CHERRY are each charged with one or more counts of conspiracy to interfere with commerce by robbery, interference with commerce by robbery, and use of firearm during and in relation to crimes of violence.  The robbery charges carry a maximum term of imprisonment of 20 years, and the firearm charge carries a mandatory seven-year sentence consecutive to any other term of imprisonment imposed.  The marijuana distribution charge against PATTERSON, SPEARS, MYRIE and KERSHAW carries a maximum term of imprisonment of five years.

In addition, the indictment alleges that PATERSON, SPEARS, WHITEHURST, LEMON and BRIGGS conspired to distribute 280 grams or more of cocaine base (“crack”), a charge that carries a mandatory minimum term of imprisonment of 10 years and a maximum term of imprisonment of life.

Finally, the indictment alleges that WHITEHURST and LEMON possessed with intent to distribute cocaine base, and that LEMON possessed with intent to distribute a quantity of heroin.  Each of these charges carries a maximum term of imprisonment of 20 years.

Acting U.S. Attorney Daly stressed that an indictment is not evidence of guilt.  Charges are only allegations, and the defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.

This matter is being investigated by the Drug Enforcement Administration’s New Haven Task Force and the Danbury Police Department.  The DEA Task Force includes personnel from the New Haven, Hamden, West Haven, North Haven, Branford, Ansonia and Meriden Police Departments.  The case is being prosecuted by Assistant U.S. Attorney Tracy Dayton.

PUBLIC AFFAIRS CONTACT:

U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722 [email protected]

Deirdre M. Daly, Acting United States Attorney for the District of Connecticut, announced that THERESA FORD, 55, of Hartford, was sentenced today by Chief U.S. District Judge Janet C. Hall in New Haven to three years of probation for illegally receiving Social Security benefits.

According to court documents and statements made in court, FORD began receiving Social Security Administration (SSA) Disability Insurance Benefits (DIB) in May 2007.  From approximately January 2007 through September 2011, FORD worked as a secretary for a small business, and her duties included managing time cards and payroll records for all of the business’s employees.  During this time, FORD’s income from her work as a secretary was more than the SSA Monthly Substantial Gainful Activity (SGA) limit, which, if known by the SSA, would have terminated her eligibility for SSA DIB payments.  The payroll records prepared by FORD that her employer used to draft payroll checks accurately reflected her earnings.  However, the payroll summary ledgers prepared and sent by FORD to the business’s accountants under reported the amount of money that she was actually paid.  FORD’s earnings were reported to SSA based on the false payroll summary ledgers.  By reporting less than the SGA limit to SSA, FORD was able to remain eligible and continue to unlawfully receive SSA DIB payments.

FORD stopped working at the business in September 2011 and she continued to unlawfully receive DIB payments through December 2012.

FORD received a total of $56,780 in DIB payments that she was not eligible to receive.  Today, she was ordered to pay full restitution.

On June 13, 2013, FORD waived her right to indictment and pleaded guilty to one count of theft of government property.

This matter was investigated by the Office of the Inspector General for the Social Security Administration and was prosecuted by Assistant U.S. Attorney Felice Duffy. 

PUBLIC AFFAIRS CONTACT:

U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722 [email protected]

Deirdre M. Daly, Acting United States Attorney for the District of Connecticut, and George Venizelos, the Assistant Director-in-Charge of the New York Office of the Federal Bureau of Investigation, today announced that a federal jury in Hartford has found East Haven Police Officer DENNIS SPAULDING, 30, and former East Haven Police Officer DAVID CARI, 36, guilty of conspiring to violate, and violating, the civil rights of members of the East Haven community.  The trial before U.S. District Judge Alvin W. Thompson began on September 23 and the jury returned its verdict today.

“This prosecution and the jury’s swift and unambiguous verdict should send a very strong message that there is no place in law enforcement for anyone who abuses power or victimizes defenseless individuals,” stated Acting U.S. Attorney Daly.  “No one is above the law, and no one is beneath the law’s protection.  The illegal behavior detailed during the course of this trial chips away at the public’s trust in all members of law enforcement, the vast majority of whom serve honorably and bravely each and every day.  I want to thank the FBI agents who have tirelessly investigated this matter, and our prosecution team for achieving this successful result under especially difficult circumstances.  Since these charges were announced, the East Haven Police Department, under the direction of the Justice Department, has made great strides to purge itself of unlawful and unethical behavior within it ranks and change the way it does business.  It is our expectation that new policing policies will ensure that this kind of conduct is part of East Haven’s past, not its future.”

“As Mr. Spaulding and Mr. Cari learned today, no one is above the law,” stated FBI Assistant Director-in-Charge Venizelos.  “Law enforcement takes an oath to protect and serve our communities. We are, and rightfully should be, held to a higher standard.  It is unconscionable when law enforcement, anywhere, breaks that vow.  Today, these defendants find themselves guilty of violating the very rights for which this country was founded. There is no excuse for law enforcement who betrays the public’s trust.”

According to the evidence presented during the trial, from approximately 2007 through 2011, SPAULDING and CARI together with other East Haven Officers conspired to injure, threaten, and intimidate various members of the East Haven community in violation of their Constitutional rights.  The defendant officers maintained and perpetuated an environment where the use of unreasonable force and unreasonable searches and seizures was tolerated and encouraged.  Defendants SPAULDING and CARI engaged in unlawful arrests and searches, including the baseless arrests of a Catholic priest and several Latinos who lived or worked in the community.  Additionally, SPAULDING used excessive force during arrests when victims were unarmed, neither resisting nor interfering with the police.  Certain victims were particularly vulnerable because they were undocumented aliens and thus unlikely to raise objection to the abuse.

The evidence at trial further revealed that SPAULDING intimidated, harassed and humiliated members of the Latino community and their advocates, and conducted unreasonable and illegal searches at Latino-owned businesses.  Trial testimony established that in November 2008, SPAULDING used excessive force against an individual in the parking lot of a Latino-owned restaurant and bar.  SPAULDING then arrested the individual under false pretenses to cover-up the assault and prepared a false report to justify the false arrest.  Later, in January 2009 in the same parking lot, SPAULDING and another officer arrested three individuals under false pretenses.  SPAULDING also prepared a false report to justify these arrests.

In February 2009, the defendant officers illegally searched a vehicle parked outside of a Latino-owned grocery store.  Inside the store, CARI then arrested a Catholic priest, who is also an advocate for Latinos, on false pretenses.  The officers then conducted an illegal search of the back room of the store in an effort to unlawfully seize the store’s video recording equipment.  In the days following the arrest, CARI drafted various false versions of an arrest report to cover up the false arrest of the religious leader. 

The jury found SPAULDING and CARI guilty of one count of conspiracy against rights, which carries a maximum term of imprisonment of 10 years and a fine of up to $250,000.  In addition, SPAULDING was found guilty of one count of use of unreasonable force by a law enforcement officer, which carries a maximum term of imprisonment of 10 years and a fine of up to $250,000.  SPAULDING was found guilty of two counts and CARI of one count of deprivation of rights for making arrests without probable cause.  Each of these counts carries a maximum term of imprisonment of one year and a fine of up to $100,000.  Finally, SPAULDING was found guilty of two counts and CARI of one count of obstruction of a federal investigation for preparing false reports to justify the false arrests.  Each of these counts carries a maximum term of imprisonment of 20 years and a fine of up to $250,000.

Judge Thompson has scheduled sentencing for January 21, 2014.

Two other former members of the East Haven Police Department have been convicted as a result of the investigation.  On September 21, 2012, Sergeant John Miller pleaded guilty to one count of violating an individual's civil rights by using unreasonable force during the course of an arrest.  On October 23, 2012, Officer Jason Zullo pleaded guilty to one count of obstruction stemming from his filing of a false police report in order to prevent a possible excessive force investigation.

Miller and Zullo await sentencing.

This matter is being investigated by the Civil Rights Squad of the FBI’s New York Field Office.  The case is being prosecuted by Assistant U.S. Attorney Krishna R. Patel and Senior Litigation Counsel Richard J. Schechter.

PUBLIC AFFAIRS CONTACT:

U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722 [email protected]

Deirdre M. Daly, Acting United States Attorney for the District of Connecticut, and Patricia M. Ferrick, Special Agent in Charge of the Federal Bureau of Investigation, today announced that a federal grand jury sitting in New Haven has returned an indictment charging MICHAEL MORRIS, 59, of Bloomfield, LEROY McCOY, 47, of Manchester, and KEITH SUTHERLAND, 48, of Coventry, with conspiring to commit violent bank robberies in Southbury, Cromwell and Wallingford.

The four-count indictment was returned on October 2.  MORRIS and McCOY were arrested on October 4 and are currently detained.  SUTHERLAND is currently detained in state custody on unrelated charges.
According to the indictment, MORRIS, McCOY and SUTHERLAND are alleged to have participated in the armed robberies of the Naugatuck Savings Bank in Southbury on April 20, 2011, the Webster Bank in Cromwell on October 7, 2011, and the Connex Credit Union in Wallingford on April 19, 2012.  The defendants are alleged to have stolen a mini-van in the New Haven area prior to each robbery.

In each of these robberies, masked men armed with handguns burst into the victim banks and ordered tellers and patrons to the floor.  After vaulting the counters and stuffing money from teller drawers into duffle bags, the suspects fled the banks and escaped in stolen vehicles.

A total of approximately $230,000 was taken during the three robberies.

MORRIS, McCOY and SUTHERLAND are charged with one count of conspiracy to commit bank robbery.  In addition, MORRIS and McCOY are charged with three counts, and SUTHERLAND with one count, of bank robbery.  Each of the charges carries a maximum term of imprisonment of 20 years.
This case has been assigned to U.S. District Judge Vanessa L. Bryant in Hartford.

Acting U.S. Attorney Daly stressed that an indictment is not evidence of guilt.  Charges are only allegations, and each defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.

This matter is being investigated by the FBI, the Connecticut State Police, and the Cromwell, Wallingford, Fairfield and Orange Police Departments.  The case is being prosecuted by Assistant U.S. Attorney Douglas P. Morabito.

This investigation is ongoing, and the FBI is offering a $50,000 reward for information leading to the identification, arrest and conviction of individuals involved in these and similar bank robberies.  Anyone with additional information that may be helpful to the investigation is encouraged to call FBI Special Agent Lisa MacNamara at 203-996-4132.

PUBLIC AFFAIRS CONTACT:

U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722 [email protected]

Deirdre M. Daly, Acting United States Attorney for the District of Connecticut, today announced that JUN XU, M.D., and his professional corporation, REHABILITATON MEDICINE AND ACUPUNCTURE CENTER M.D., LLC., of Riverside, Conn., have entered into a civil settlement with the government in which they will pay $300,000 to resolve allegations that XU violated the False Claims Act.

Acting U.S. Attorney Daly explained that the allegations against Dr. Xu involve fraudulent billing to Medicare for physical therapy services.  The government alleges that Dr. Xu submitted claims to Medicare for physical therapy services that were medically unnecessary and/or not performed in accordance with Medicare requirements.  Specifically, the government alleges that Dr. Xu billed Medicare for one-on-one physical therapy services when the physical therapist was, in fact, providing group therapy, and that he submitted claims to Medicare for therapy services that were rendered by massage therapists.

Medicare regulations explicitly state “the services of…massage therapists…may not be billed as therapy services.” 

To resolve their liability under the False Claims Act, Dr. Xu and his professional corporation paid $300,000 in order to reimburse the Medicare programs for conduct occurring during the time period January 1, 2007 through December 31, 2009.

“Health care providers that overcharge Medicare drain critical funds from the Medicare program and increase health care costs,” Acting U.S. Attorney Daly stated.  “The U.S. Attorney’s office is committed to vigorously pursuing physicians and other health care providers who submit fraudulent claims to federal health care programs.  Providers who submit false claims to the government face serious monetary and administrative sanctions.”

Under the False Claims Act, the government can recover up to three times its actual damages, plus penalties of $5,500 to $11,000 for each false claim.

In entering into the settlement agreement, Dr. Xu and his professional corporation did not admit liability.

This case was investigated by the Office of Inspector General for the Department of Health and Human Services.  The case was prosecuted by Assistant United States Attorney Anne F. Thidemann, with the assistance of Auditor Kevin A. Saunders.

Acting U.S. Attorney Daly encourages individuals who suspect health care fraud to report it by calling the Health Care Fraud Task Force at (203) 777-6311 or 1-800-HHS-TIPS.

PUBLIC AFFAIRS CONTACT:

U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722 [email protected]

Deirdre M. Daly, Acting United States Attorney for the District of Connecticut, announced that JENNIFER JACQUES, 32, of Westbrook, was sentenced today by Chief U.S. District Judge Janet C. Hall in New Haven to 70 months of imprisonment, followed by three years of supervised release, for her role in the August 2012 robbery of the TD Bank in Killingworth.

According to court documents and statements made in court, in the afternoon of August 6, 2012, JACQUES drove Marcus Dwyer and Dario Pabey to the TD Bank on Route 81 in Killingworth.  Dwyer and Pabey then entered the bank wearing masks and demanded that everyone lie on the floor.  Dwyer pointed a gun at bank employees and customers and then jumped over the teller door and ordered the employees to open the vault.  He accompanied the employees to the vault while Pabey controlled the lobby area.  Pabey used zip ties to tie the hands of one bank employee and demanded that the customers give him their wallets, mobile phones and car keys.  As Pabey was starting to restrain a second person with zip ties, Dwyer ran past him with a bag of money that he had taken from the vault.  Pabey followed and grabbed a patron who had surrendered his car keys to him and forced him out of the bank.

Dwyer and Pabey fled in the customer’s vehicle, which was abandoned a short distance from the bank at a pre-planned location where JACQUES was waiting.  JACQUES then drove Dwyer and Pabey away from the bank while they changed out of the clothes they had worn during the robbery.

The investigation revealed that $43,573 was stolen from the bank and its patrons during the robbery.
In September 2012, after an indictment charging Dwyer and Pabey had been returned, JACQUES, without the knowledge of law enforcement, traveled to New York to meet Dwyer, who was a fugitive from justice, and drove him to Connecticut.  On September 19, 2012, Dwyer was apprehended by the FBI and Connecticut State Police in New London.

On October 17, 2012, JACQUES pleaded guilty to one count of bank robbery.  Dwyer and Pabey previously pleaded guilty to the same charge and were sentenced to prison terms of 188 months and 180 months, respectively.

This matter was investigated by the Federal Bureau of Investigation and the Connecticut State Police.  The case was prosecuted by Assistant U.S. Attorneys Ray Miller and Sarala Nagala.

PUBLIC AFFAIRS CONTACT:

U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722 [email protected]

Deirdre M. Daly, Acting United States Attorney for the District of Connecticut, today announced that LOUIS VUCCI, JR., 44, of Ridgefield, waived his right to indictment and pleaded guilty on October 3 before U.S. Magistrate Judge Thomas P. Smith in Hartford to evading the payment of nearly $200,000 in federal taxes over a five-year period.

According to court documents and statements made in court, from 2005 through 2009, VUCCI was the president and CEO of Diamond Ranch Foods (“DRF”), a publicly-traded company in the business of selling and distributing meat products in the New York area.  In pleading guilty, VUCCI admitted that he underreported his income by $112,310 in 2005, $109,473 in 2006, $174,300 in 2007, $187,704 in 2008, and $95,126 in 2009.  The unreported income consisted of weekly pay checks from DRF in the amount of $2,500 that were made payable to VUCCI’s spouse, who did not work for DRF, and deposited into a bank account in his spouse’s name.  Also, in 2008 and 2009, VUCCI had one of DRF’s customers pay him for purchases with blank checks, which checks he then completed and deposited into his personal bank account.  The checks totaled $26,236 in 2008 and $65,387 in 2009.

In addition, large cash deposits totaling $16,100 in 2008 and $25,020 in 2009 were made into VUCCI’s personal bank accounts. These deposits were cash payments from another DRF customer for DRF sales to the customer.

VUCCI’s federal individual income tax returns reported income of $19,590 in 2005, $12,500 in 2006, $12,000 in 2007, $30,000 in 2008, $125,202 in 2009.  The reported low income from 2005 to 2008 automatically qualified VUCCI for the Earned Income Credit yielding refunds rather than taxes owed.
The total tax loss to the government from 2005 to 2009 is $196,425.

From mid-2005 to mid-2007, VUCCI and his spouse rented a home in Greenwich for $8,500 per month, had car expenses in excess of $1,000 per month, and paid a housekeeper for approximately 20 hours per week.  In 2007, VUCCI purchased a house in Ridgefield for $975,000 and continued on with the car payments.

VUCCI pleaded guilty to one count of tax evasion.  He is scheduled to be sentenced by U.S. District Judge Vanessa L. Bryant on December 23, 2013, at which time he faces a maximum term of imprisonment of five years and a fine of up to approximately $390,000.  He has agreed to pay back taxes and applicable interest and penalties.

This matter was investigated by the Internal Revenue Service – Criminal Investigation.  The case is being prosecuted by Assistant U.S. Attorney Peter S. Jongbloed.

PUBLIC AFFAIRS CONTACT:

U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722 [email protected]