District of Delaware
Press releases recorded for this federal judicial district.
Wilmington Man Pleads Guilty to Drug Distribution and Weapon OffensesRead the Press Release
WILMINGTON, Del. – David C. Weiss, U.S. Attorney for the District of Delaware, announced that Robert Rodriguez, age 58, of Wilmington, DE, pled guilty yesterday to possession with intent to distribute fentanyl and possession of a firearm by a felon. U.S. District Judge Maryellen Noreika accepted the plea.
According to court documents, on August 10, 2020, FBI agents conducted a search of the defendant’s residence and a nearby garage where they recovered over 100 bundles of fentanyl, a loaded black Glock handgun, and $18,268 in cash.
Rodriguez faces a minimum mandatory five years in prison, and a maximum of life in prison when sentenced on December 13. Actual sentences for federal crimes are typically less than the maximum penalties. Judge Noreika will determine Rodriguez’s sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors, including the mandatory minimum.
“The negative long-term impact of heroin and fentanyl on our communities is incalculable. Working with our law enforcement partners, my office will continue to identify and prosecute those who choose to deal in illegal drugs and use firearms to protect their profits,” stated U.S. Attorney Weiss.
Assistant U.S. Attorney Christopher de Barrena-Sarobe and Special Assistant U.S. Attorney Michael McTaggart are prosecuting the case. FBI Baltimore’s Wilmington Resident Office conducted the investigation.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the District of Delaware. Related court documents and information is located on the website of the District Court for the District of Delaware or on PACER by searching for Case No. 20-062-MN.
U.S. Attorney’s Office to Commemorate the 20th Anniversary of September 11Read the Press Release
WILMINGTON, Del. – David C. Weiss, U.S. Attorney for the District of Delaware, announced today that his office will commemorate the 20th Anniversary of September 11 with a Blue Light Tribute to honor the fallen and the first responders and military members who continue to answer the call to duty.
U.S. Attorney Weiss is asking businesses and building owners throughout Delaware to join his office in this effort by placing flameless, battery operated, blue tea lights in their office windows beginning Friday, September 10. Building owners can also light up their buildings in blue by replacing the white lightbulbs outside the building with blue lightbulbs.
“Saturday, September 11, 2021 marks the 20th anniversary of the terrorist attacks on the World Trade Towers and the Pentagon, and the heroic crash of United Flight 93 in the fields near Shanksville, Pennsylvania. We seek to pay tribute to the fallen, their families and friends, and the first responders who ran to the danger on 9/11 and who continue to serve our communities today. We ask all Delaware businesses and government organizations to join us in our Blue Light Tribute to those brave men and women--the law enforcement officers, medical workers and military personnel who dedicate their lives to keep us safe,” stated U.S. Attorney Weiss.
For additional information, please email [email protected]
Connections Community Support Programs Agrees to Judgments of over $15 Million to Resolve Health Care Fraud and Controlled Substances AllegationsRead the Press Release
WILMINGTON, Del. – U.S. Attorney David C. Weiss announced today that Connections Community Support Programs, Inc. (“CCSP”) has agreed to the entry of consent judgments totaling over $15,300,000 to resolve two lawsuits brought by the federal government alleging health care fraud arising under the federal False Claims Act and violations of the Controlled Substances Act. Prior to the sale of its assets in bankruptcy, CCSP provided a variety of mental health and addiction treatment services at numerous locations throughout Delaware.
CCSP has agreed to the entry of a judgment in the amount of $13,757,520.60, plus interest, to resolve claims that CCSP violated the False Claims Act by billing for mental health services performed by individuals whose professional qualifications did not allow them to bill Medicare or Medicaid for reimbursement and by billing Medicaid for mental health services using incorrect procedure codes for the person performing the service, resulting in higher payments than were permitted. CCSP has also agreed to the entry of a judgment in the amount of $1,621,571, plus interest, to resolve claims that it violated the federal Controlled Substances Act by negligently failing to keep proper records of its use of controlled substances, including methadone and buprenorphine, in its treatment of patients with substance use disorders and by transferring controlled substances between locations without proper documentation.
On April 19, 2021, shortly after the filing of these two lawsuits by the United States, CCSP filed for bankruptcy. On June 15, 2021, CCSP completed a sale, overseen by the Bankruptcy Court, of its assets and operations to Conexio Care, Inc. and Coras Wellness and Behavioral Health, which are now providing the mental health and addition treatments services formerly provided by CCSP. The settlement agreements and consent judgments agreed to by CCSP and the United States must still be approved by the Bankruptcy Court and the final amount of any recovery by the United States will be limited by the availability of funds in the bankruptcy estate to pay the United States and other creditors of CCSP.
“For many years, Connections was improperly billing government programs for mental health services and failing to properly monitor and document its controlled substances inventory,” said U.S. Attorney Weiss. “These settlements, together with the transfer of all of Connections’ services and operations to providers, finally resolve Connections’ long history of poor legal and regulatory compliance which jeopardized the provision of important mental health and substance abuse treatment to the residents of the State of Delaware.”
“These allegations depict CCSP as a health care provider that truly disserved patients and their Federal health care programs,” said Maureen Dixon, Special Agent in Charge with the U.S. Department of Health and Human Services Office of Inspector General (HHS-OIG). “Falsely billing Medicare and Medicaid demonstrates a lacking regard for the stability of these programs and the beneficiaries who depend on their services. With our law enforcement partners, HHS-OIG continuously strives to swiftly combat such fraud.”
“Narcotics treatments programs such as Connections were entrusted with dispensing drugs such as methadone and buprenorphine to assist people with substance use disorder. However, with that responsibility comes the obligation to properly document the use and transfer of these same drugs,” said Thomas Hodnett, Acting Special Agent in Charge of the Drug Enforcement Administration’s (DEA) Philadelphia Field Division. “This civil judgment serves as notice to ensure compliance with the Controlled Substances Act and the requirements to safeguard drugs used for medication assisted treatment.”
The False Claims Act settlement announced today partially resolves a lawsuit filed under the whistleblower provision of the False Claims Act. The government’s claims are based on a whistleblower suit filed by two former CCSP employees. A whistleblower suit, or qui tam action under the False Claims Act, is commenced by an individual, known as a “relator,” filing a complaint under seal in the U.S. District Court, and providing a copy of the complaint and other evidence to the local U.S. Attorney. The United States then has an opportunity to investigate the claims. The False Claims Act provides the whistleblower with a share of the government’s recovery. Separate from the settlement announced today, the qui tam relators are continuing to pursue additional claims against CCSP and its former CEO Catherine Devaney McKay.
The United States is also continuing to pursue its claims for violations of the Controlled Substances Act against McKay as well as two other corporate executives, William Northey and Steven Davis, which are not part of the settlement announced today.
Assistant U.S. Attorneys Jesse S. Wenger and Laura D. Hatcher represented the United States in the False Claims Act matter. Assistant U.S. Attorneys Dylan J. Steinberg and Laura D. Hatcher represented the United States in the Controlled Substances Act matter.
Related court documents and information from the civil lawsuit are on PACER by searching for Case Nos. 1:19-cv-475-CFC for the False Claims Act matter and 1:21-cv-00514-MN for the Controlled Substances Act matter.
Former Delaware Resident Pleads Guilty in Federal Court to Mailing ThreatsRead the Press Release
WILMINGTON, Del. – A former Delaware resident pleaded guilty today in the U.S. District Court for the District of Delaware to two counts of mailing threatening communications in Delaware.
According to court documents, Michael Protack, 63, mailed two explicit death threats to a Delawarean in January and February of 2021. The January letter threatened death by a date certain. The February threat included a graphic image of a dead body. Both threatening communications were sent anonymously. Protack pleaded guilty to mailing both letters and faces a maximum penalty of five years in prison on each count.
David C. Weiss, U.S. Attorney for the District of Delaware, made the announcement after U.S. District Judge Richard G. Andrews accepted the plea. Judge Andrews will sentence the defendant on December 6, 2021, after taking into account the U.S. Sentencing Guidelines and other statutory factors.
“Using the U.S. mail to threaten injury or death to others is a serious federal crime, stated U.S. Attorney Weiss. The defendant’s threats were graphic, violent, and specifically designed to inspire fear. My Office will do what is necessary to ensure that the U.S. Postal Service is not used as a communication vehicle for violent threats.”
“Using the United States Mail to make anonymous violent threats against another person is a federal crime,” said Damon Wood, Postal Inspector in Charge of Philadelphia Division of the Postal Inspection Service. He added that “Violent threats in the mail are exceedingly rare in 2021, but when they occur, the United States Postal Inspection Service will work to hold accountable those who made the threats. I want to thank our law enforcement partners and the U.S. Attorney’s Office for helping us keep the mail safe and free of violence.”
“We consider any threat to life a serious threat. These were disturbing, calculated messages sent by Mr. Protack and he now faces up to 10 years in prison for his actions,” said Thomas J. Sobocinski, Special Agent in Charge of the FBI Baltimore Field Office. “These types of cases are aggressively investigated by the FBI, Postal Inspectors and our law enforcement partners, and those who violate federal law will be held accountable.”
This case has been investigated by the U.S. Postal Inspection Service and the FBI Baltimore Division Wilmington Resident Office, with assistance from the Delaware State Police. Assistant U.S. Attorney Briana Knox is prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the District of Delaware. Related court documents and information is located on the website of the District Court for the District of Delaware or on PACER by searching for Case No. 1:21-cr-0042-RGA.
Millsboro Man Indicted for Possession of Multiple Bombs and a Stolen AK-47 with an Altered Serial NumberRead the Press Release
WILMINGTON, Del. – David C. Weiss, U.S. Attorney for the District of Delaware, announced that a federal grand jury returned a superseding indictment yesterday charging a Millsboro man with possession of four destructive devices and an AK-47 with an altered serial number.
According to the indictment, Job Gillette, 23, had previously been convicted of a crime that prohibited him from possessing any firearms. The indictment alleges that on March 24, 2021, Gillette was found in possession of one intact improvised incendiary device made of a glass bottle containing a yellow-colored ignitable liquid and a white foam-like material, with matches secured to the cap and neck of the bottle. The indictment further alleges that, on the same date, Gillette also possessed the parts to readily assemble three additional devices made of Hennessy Cognac bottles filled with yellow-colored ignitable liquid and a foam-like material. Gillette was also in possession of an AK-47 rifle with an altered serial number.
Gillette is charged with four counts of possession of an unregistered destructive device, one count of possession of a firearm by a prohibited person, and one count of possession of a firearm with an altered or obliterated serial number. If convicted, he faces maximum penalties of ten years in prison for each of the first five counts and five years in prison for possession of a firearm with an altered serial number. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
U.S. Attorney Weiss stated, “Law enforcement recovered homemade bombs and an AK-47 from the defendant, who was prohibited from legally possessing any firearms. The officers’ actions thereby ensured that these homemade bombs could never be put to use. Delaware is safer because of their efforts. I am particularly grateful to the concerned citizens who alerted the authorities so the defendant could be held accountable in a court of law.”
“You so often hear us say, ‘if you see something, say something’ that’s exactly what happened in this case and because of that citizen alert we averted a potentially hazardous situation,” said Thomas J. Sobocinski, Special Agent in Charge of the FBI Baltimore Field Office. “According to this indictment, Mr. Gillette was stock-piling dangerous explosive materials and possessed an illegally acquired AK-47. We are fortunate, through swift law enforcement action, that no one was hurt. The FBI would like to highlight the assistance of our federal, state and local partners who stand ready to identify, disrupt, and dismantle any plans to inflict harm on our communities.”
This case was investigated by the FBI Wilmington Resident Office, with substantial assistance from the Delaware State Police and Delaware State Fire Marshals. It is being prosecuted by Assistant U.S. Attorney Ruth Mandelbaum.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the District of Delaware. Related court documents and information is located on the website of the District Court for the District of Delaware or on PACER by searching for Case No. 21-cr-33-RGA.
An indictment contains allegations that a defendant has committed a crime. Every defendant is presumed to be innocent until and unless proven guilty in court.
Downstate Corporate Secretary Pleads Guilty to Willfully Failing to Pay over $930,000 in Payroll Taxes Withheld from EmployeesRead the Press Release
WILMINGTON, Del. – David C. Weiss, U.S. Attorney for the District of Delaware, announced that a Harrington, Delaware woman pleaded guilty today to intentionally failing to pay employment taxes on behalf of a local business. U.S. District Court Judge Leonard P. Stark accepted the plea.
According to court documents, Sara Collins, 49, served as the Corporate Secretary of a plumbing, heating, and air conditioning business for over twenty years. Collins was responsible for overseeing payroll disbursement and filing tax documents on behalf of the business. Each pay period, the business withheld taxes from its employees’ paychecks, including federal income taxes and Medicare and Social security taxes. Beginning in the first quarter of 2013 through the last quarter of 2019, Collins failed to file quarterly forms with the Internal Revenue Service (“IRS”) and paid fewer than $37,000 in payroll taxes for that entire six-year period. In total, Collins failed to pay over $930,000 owed to the IRS by the business.
Collins pleaded guilty to five counts of willful failure to pay over tax and faces a maximum penalty of five years in federal prison for each count when sentenced on November 17, 2021. Actual sentences for federal crimes are typically less than the maximum penalties. Judge Stark will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
U.S. Attorney Weiss stated, “Ms. Collins abused her position of trust by diverting employee tax obligations to line her own pockets. In so doing, she put her employer and fellow employees at risk. My office is committed to working with IRS Criminal Investigation to prosecute those who evade legal responsibilities to their employees and the federal government by misdirecting paycheck withholdings for personal gain.”
“Ms. Collins was entrusted to file the company’s payroll tax returns and remit the relevant taxes and she purposely failed to do so,” said Joleen Simpson, Acting Special Agent in Charge of IRS-Criminal Investigation. “This is a serious offense that results in the loss of significant tax revenue to the United States government each year.”
This case is the result of an investigation conducted by the IRS Criminal Investigation and is being prosecuted by Assistant U.S. Attorney Ruth Mandelbaum.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the District of Delaware. Related court documents and information is located on the website of the District Court for the District of Delaware or on PACER by searching for Case No. 1:21-cr-00047-LPS.
10 Additional Defendants Federally Indicted for Roles in Heroin and Fentanyl Distribution SchemeRead the Press Release
WILMINGTON, Del. –David C. Weiss, U.S. Attorney for the District of Delaware, announced today that a Superseding Indictment was recently unsealed charging 14 individuals with conspiring to distribute heroin and fentanyl and other related offenses. Four of those individuals, Jamar Jackson, Denise Brown, Harley Douglas, and Nicole Jackson, had been previously charged. The Superseding Indictment also charges Jamar Jackson with conspiring to launder money internationally.
The newly indicted defendants are:
- Raymond Taite, 32, of Brooklyn, New York;
- Jerry Chambers, 24, of Chester, Pennsylvania;
- Desarie Gibbs, 52, of Newark, Delaware;
- Kalone Glasper, 22, of Chester, Pennsylvania;
- DeVeughin Holloway, 31, of Philadelphia, Pennsylvania;
- Cariymah Hopson, 20, of Philadelphia, Pennsylvania;
- Braheem Naylor, 26, of Chester, Pennsylvania;
- Tahria Parks, 38, of Darby, Pennsylvania;
- Dashawna Turner, 25 of Chester, Pennsylvania; and
- Antoine Watson, 33, of Philadelphia, Pennsylvania
In total, the investigation resulted in the seizure of approximately 7.5 kilograms of heroin and/or fentanyl, 14.5 pounds of methamphetamine, 12 guns, and $180,000. The street value of these drugs is easily in excess of $1 million.
The primary investigating agencies in this case are U.S. Immigration and Customs Enforcement’s Homeland Security Investigations (HSI), U.S. Postal Inspection Service, and the FBI. Instrumental assistance was also provided by the IRS Criminal Investigation, U.S. Drug Enforcement Administration, the Delaware State Police, the Pennsylvania State Police, the Newport Police Department, the Elsmere Police Department, the Philadelphia Police Department, the Pennsylvania Bureau of Narcotics Investigation, and the Chester Police Department. The investigation was supported by the Liberty Mid-Atlantic High Intensity Drug Area program (HIDTA), and the Organized Crime Drug Enforcement Task Force (OCDETF). Other prosecutors’ offices who assisted in the investigation include the Delaware Department of Justice, the Montgomery County District Attorney’s Office, as well as other U.S. Attorney’s Offices.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the District of Delaware. Related court documents and information is located on the website of the District Court for the District of Delaware or on PACER by searching for Case No. 20-CR-00075 (Castro Valenzuela) and Case No. 20-CR-00084 (Jamar Jackson et. al.).
An indictment contains allegations that a defendant has committed a crime. Every defendant is presumed to be innocent until and unless proven guilty in court.
Jury Convicts Former Delaware Doctor of Unlawful Drug Distribution and Maintaining a Drug PremisesRead the Press Release
A federal jury convicted a former Delaware doctor Wednesday for unlawfully distributing and dispensing controlled substances and for maintaining a drug-involved premises.
According to court documents and evidence presented at trial, Patrick Titus, former M.D., 58, of Milford, unlawfully distributed or dispensed a variety of powerful opioids, including fentanyl, morphine, methadone, OxyContin and oxycodone, outside the usual scope of professional practice and not for a legitimate medical purpose. Titus operated an internal medicine practice whereby he would frequently prescribe hundreds of these dangerous controlled substances in high dosages, sometimes in combination with each other or in other dangerous combinations, mostly in exchange for cash. Although these Schedule II drugs are approved for pain management treatment, Titus provided no meaningful medical care and, instead, prescribed these controlled substances to patients he knew were suffering from substance use disorder and/or who demonstrated clear signs that the prescribed drugs were being abused, diverted or sold on the street.
“Doctors who illegitimately prescribe opioid medications are fueling the country’s opioid crisis,” said Assistant Attorney General Kenneth A. Polite Jr. of the Justice Department’s Criminal Division. “Not only does unlawfully prescribing opioids facilitate their diversion and misuse by patients, but it also allows doctors who commit these unlawful acts to exploit their roles as stewards of their patient’s care for their own personal profit. This verdict serves as a reminder that such abuse will be not be tolerated and that we will be resolute in our pursuit of justice.”
“Dr. Titus was convicted of illegally distributing powerful prescription painkillers such as fentanyl, oxycodone, methadone and morphine for profit,” said Assistant Special Agent in Charge Shawn R. Ellerman of the Drug Enforcement Administration’s (DEA) Philadelphia Field Division and head of the DEA’s operations across the state of Delaware. “His conviction is an appropriate resolution for his utter and total disregard for his ethical and legal obligations as a medical doctor, especially due to the fact that he distributed these drugs knowingly to people suffering from substance use disorder.”
“This verdict holds Dr. Titus accountable for his actions and should serve as a warning to others that the illegal prescribing of dangerous narcotics will not be tolerated,” said Special Agent in Charge Maureen Dixon of the Department of Health and Human Services Office of Inspector General (HHS-OIG). “HHS-OIG will continue to work with our partners at the DEA, FDA and the U.S. Department of Justice to investigate allegations of drug diversion and keep our communities safe from illegal prescription drugs.”
Titus was convicted of 13 counts of unlawful distribution and dispensing of controlled substances and one count of maintaining a drug-involved premises. He is scheduled to be sentenced on Nov. 9, and faces a statutory maximum of 20 years in prison per count. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
The DEA and HHS-OIG investigated the case.
Assistant Deputy Chief Aleza Remis and Trial Attorneys Justin Woodard and Claire Sobczak of the Criminal Division’s Fraud Section are prosecuting the case. Assistant U.S. Attorney Edmond Falgowski of the District of Delaware assisted with the case.
Wilmington Man Sentenced to 11 Years in Federal Prison for Drug and Firearms OffensesRead the Press Release
WILMINGTON, Del. – A Wilmington man was sentenced yesterday to 11 years in federal prison by the Honorable Colm F. Connolly, for possession with intent to distribute crack and powder cocaine and possession of a firearm by a prohibited person.
According to court documents, Troy Alexander, 42, admitted that for four to five months he obtained approximately a kilogram of cocaine each week for sale. On the day of his arrest, DEA Agents seized approximately 160 grams of crack cocaine, 280 grams of powder cocaine, cutting agents, and a kilogram press with molds from a residence affiliated with Mr. Alexander in Wilmington, Delaware. A loaded handgun was also found at Mr. Alexander’s home. Mr. Alexander is not legally allowed to possess a firearm due to a prior federal drug conviction.
U.S. Attorney David C. Weiss stated, “All too often, drugs and guns lead to violence in Wilmington and the surrounding communities. My office will continue to partner with the DEA to target, arrest, and prosecute drug and gun offenders and attempt to stem the violence before it occurs.”
The case was investigated by the Drug Enforcement Administration Group 41 is a member of the New Castle County High Intensity Drug Trafficking Area (“HIDTA”) and is comprised of officers from the Delaware State Police, New Castle County Police Department, Wilmington Police Department, Delaware Probation and Parole, Homeland Security Investigations, and Newark Police Department. Additional assistance was provided from by the Wilmington Police Department Drug Organized Crime & Vice Unit. The case was prosecuted by Assistant U.S. Attorneys Carly Hudson, Jennifer K. Welsh, and Christopher L. de Barrena-Sarobe.
Statement of U.S. Attorney David C. Weiss Regarding Wilmington Trust CompanyRead the Press Release
WILMINGTON, Del. – The United States Attorney’s Office for the District of Delaware and our federal partners opened the investigation into the circumstances surrounding the demise of the Wilmington Trust Company in 2011. We have interviewed hundreds of witnesses and reviewed hundreds of thousands of documents. As is typically the case in any long term investigation and prosecution, we experienced successes and disappointments along the way. We secured guilty pleas to fraud and related offenses from seven defendants and negotiated a settlement with the bank which, among other things, called for the forfeiture of 60 million dollars for victims. The Third Circuit’s decision, on the other hand, was extremely disappointing and limited our options moving forward.
Prosecutors must constantly weigh a number of factors in exercising prosecutorial discretion. Those factors include not only the likelihood of obtaining a conviction, but also competing public safety priorities, and the availability of finite resources to address these priorities. In my judgment, the practical implications of the Third Circuit’s opinion and the challenges currently facing our community--such as unprecedented violent crime, the rising number of opioid overdose deaths, and domestic terrorism--counsel in favor of declining to retry David Gibson, Robert V.A. Harra, William North and Kevyn Rakowski.
Newark Woman Charged with Wire Fraud, SBA Fraud, and Money LaunderingRead the Press Release
WILMINGTON, Del. – U.S. Attorney David C. Weiss announced today that a federal grand jury returned an indictment today charging a Newark woman with wire fraud, loan fraud, and money laundering in connection with seventeen fraudulent loan applications under programs authorized by the Coronavirus Aid, Relief, and Economic Security Act (“CARES Act”).
According to the indictment, Ana Soto, 40, fraudulently applied for loans designed to support small businesses during the COVID-19 pandemic. Between March 2020 and January 2021, using the names of five separate companies, Soto submitted applications to the U.S. Small Business Administration (“SBA”) and its authorized lenders, inflating, among other metrics, the revenues and number of employees of the companies in attempt to obtain greater payments under either the Paycheck Protection Program (“PPP”) or Economic Injury Disaster Loans (“EIDL”). In some instances, Soto falsely claimed businesses that had either already closed or not yet open at the onset of the pandemic were entitled to funds. While many of these applications were denied, as a result of her illegal conduct, Soto obtained approximately $246,000. Soto then used the money for personal expenses, not authorized by the PPP or EIDL program, including the purchase of a personal use vehicle.
U.S. Attorney Weiss commented on the charges, “In the midst of a global crisis, this defendant took advantage of government programs designed to support small businesses and the employees of those businesses. The defendant’s opportunism, at the expense of the U.S. government and its citizens, deserves sanction and today’s indictment represents the first step in seeking to hold her accountable for her actions.”
Soto is charged with wire fraud, SBA fraud, and money laundering. If convicted, she faces up to 20 years in prison. Actual sentences for federal crimes are typically less than the maximum penalties.
IRS Criminal Investigation and the FBI Baltimore Division’s Wilmington Resident Agency conducted the investigation in this matter. Assistant U.S. Attorney Lesley F. Wolf is prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the District of Delaware. Related court documents and information is located on the website of the District Court for the District of Delaware or on PACER.
On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the Department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
An indictment contains allegations that a defendant has committed a crime. Every defendant is presumed to be innocent until and unless proven guilty in court.
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Wilmington Man Sentenced to over 3 Years in Federal Prison for Heroin SmugglingRead the Press Release
WILMINGTON, Del. – United States Attorney David C. Weiss announced that Jose E. Mateo-Nina, 33, of Wilmington, Delaware, was sentenced to 37 months in federal prison today. Mateo-Nina previously pled guilty to possessing over 500 grams of heroin with the intent to distribute. Or, as the Honorable Maryellen Noreika summarized, “You helped to import a lot of heroin—which is a deadly drug.”
According to court documents, on May 1, 2020, U.S. Customs and Border Protection (CBP) officers identified a parcel being sent from Mexico to Wilmington, Delaware. The parcel contained a wheelchair. A search warrant was obtained for the parcel, and over 600 grams of heroin were discovered in the tires of that wheelchair. Homeland Security Investigations (HSI) Agents arrest the Defendant with the parcel after it was delivered.
U.S. Attorney Weiss commented, “During the pandemic, law enforcement officers have seized increasing quantities of illegal drugs transported via the U.S. Postal Service. My office will continue to work with HSI, CBP and other state and federal investigative agencies to disrupt drug trafficking and hold those involved responsible for their actions.”
“Homeland Security Investigations is fully committed to disrupting and dismantling networks engaged in the trafficking of illicit drugs.” said Brian L. Jones, Resident Agent in Charge for Homeland Security Investigations Delaware. “Cases like this are only possible because of the hard work and dedication of our agents, officers and law enforcement partners assigned to the First State Border Enforcement Security Taskforce.
This case was investigated by the HSI Border Enforcement Security Taskforce, which is comprised of agents and task force officers from the Elsmere Police Department, Newport Police Department, Delaware State Police, Army National Guard and United States Postal Inspection Service. HSI was also assisted by the New Castle County Police Department. Assistant U.S. Attorney Christopher L. de Barrena-Sarobe prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the District of Delaware. Related court documents and information is located on the website of the District Court for the District of Delaware or on PACER by searching for Case No. 01:20-cr-60.
Heroin Dealer Sentenced to over 7 Years in Federal Prison for Causing Overdose DeathRead the Press Release
WILMINGTON, Del. – United States Attorney David C. Weiss announced that Jose Santana-Gonzalez, 36, of Chester, Pennsylvania was sentenced on June 17 to 87 months in federal prison. Santana-Gonzalez previously pled guilty to distributing heroin containing fentanyl and agreed that his drugs caused the death of a 50-year-old man from New Castle County, Delaware.
According to court documents, Santana-Gonzalez distributed heroin containing fentanyl on August 28, 2018. The victim overdosed and died after ingesting that heroin. When Santana-Gonzalez was arrested in his Chester apartment in December 2018, law enforcement found 150 grams of heroin laced with fentanyl, enough for thousands of retail doses to street-level addicts. At sentencing, United States District Judge Richard G. Andrews granted a motion by the United States to enhance Santana-Gonzalez’s sentence, ultimately imposing over seven years of federal prison time.
U.S. Attorney Weiss commented, “The significant sentence Mr. Santana-Gonzalez received reflects the dangers associated with distributing heroin laced with fentanyl -- which is tantamount to putting poison on the streets of our community. My office will continue to investigate and prosecute those whose deadly drug sales are responsible for overdose deaths.”
This case was investigated by the Drug Enforcement Administration with assistance from the New Castle County Police Department. Assistant U.S. Attorneys Alexander P. Ibrahim and Christopher L. de Barrena-Sarobe prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the District of Delaware. Related court documents and information is located on the website of the District Court for the District of Delaware or on PACER by searching for Case No. 01:19-cr-142.
Wilmington Man Sentenced to over 9 Years in Federal Prison for Multi-State Bank Robbery SpreeRead the Press Release
WILMINGTON, Del. – A Wilmington man was sentenced today to over 9 years in federal prison by the Honorable Richard G. Andrews, for four counts of bank robbery and two counts of attempted bank robbery.
According to court documents, Michael Wheeler, 41, committed a series of seven bank robberies and attempted bank robberies across Delaware, Pennsylvania, New Jersey, and Maryland over a 24-day period in July and August 2019. Victim banks were located in Wilmington, Delaware; Elkton, Maryland; Havertown, Pennsylvania; Broomall, Pennsylvania; and Haddon Heights, New Jersey. Banks impacted included PNC Bank, M&T Bank, and Wells Fargo Bank, among others.
Mr. Wheeler was not armed during the robberies, but led bank employees to believe he was armed and would shoot them if they did not comply with his demands. In one instance, Mr. Wheeler handed a bank employee a note stating he had a gun; in another, he warned a bank employee not to set off the bank’s alarm system and motioned as if he were reaching for a firearm. At least one victim has confirmed that she feared for her life. Over the course of his robbery spree, Mr. Wheeler absconded with a total of $14,165.
U.S. Attorney David C. Weiss stated, “The defendant’s multi-state bank robbery spree endangered not only the lives of bank personnel, but innocent civilians as well. I want to thank our federal, state, and local law enforcement partners for their tireless efforts in the investigation and prosecution of this case.”
“Michael Wheeler was a walking crime spree, endangering the lives of employees and customers at the banks that he robbed,” said Rachel Byrd, Acting Special Agent in Charge of the FBI Baltimore Field Office. “We hope today’s sentence sends a clear message that the FBI, and our law enforcement partners, will do everything in our power to bring these offenders to justice.”
The case was prosecuted by Assistant U.S. Attorneys Maureen McCartney and Carly Hudson. The case was investigated by the FBI Baltimore Division’s Wilmington Resident Agency with assistance from the FBI Philadelphia Division’s Philadelphia and South Jersey Residence Agencies; Delaware State Police; Elkton, Maryland Police Department; Haverford Township, Pennsylvania Police Department; and Camden County, New Jersey Prosecutor’s Office.
Claymont Man Sentenced to over 10 Years in Federal Prison for Selling Fake Oxycodone Pills that Contained FentanylRead the Press Release
WILMINGTON, Del. – A Claymont, Delaware man was sentenced today to over 10 years in federal prison for possessing fake oxycodone pills containing fentanyl with intent to distribute.
According to court documents, Charles Crest, 29, was arrested by the Drug Enforcement Administration (DEA) in May 2020 after he sold over a thousand fake oxycodone pills to an undercover DEA task force officer. The pills actually contained fentanyl. Inside Crest’s apartment, law enforcement found over 4,000 additional fake oxycodone pills containing fentanyl in the dishwasher. DEA agents also found over $5,400 in cash elsewhere in the apartment.
David C. Weiss, U.S. Attorney for the District of Delaware, made the announcement after sentencing by U.S. District Judge Richard G. Andrews. U.S. Attorney Weiss commented, “Selling illegal drugs, especially fentanyl made to appear as legitimate pharmaceutical oxycodone, is a potentially deadly practice that contributes to the pernicious effects of the opioid epidemic. To ensure the safety of our community, we will seek significant federal prison sentences against all who seek to profit from such drug peddling.”
“Crest stands convicted of distributing thousands of counterfeit oxycodone pills that contained illicit fentanyl,” said Jonathan A. Wilson, Special Agent in Charge of the DEA Philadelphia Field Division. “Illicit fentanyl is a potentially deadly drug that has destroyed thousands of lives across our region; Crest’s distribution of it is all the more malicious in that he distributed it in counterfeit pill form.”
At the same time, the U.S. Attorney’s Office remains committed to helping those who suffer from substance abuse disorder. If you need help, drug treatment information is available any time through the federal Substance Abuse and Mental Health Services Administration’s Treatment Referral Routing Service, found online at dpt2.samhsa.gov/treatment, findtreatment.gov, or by calling 1-800-662-HELP.
Assistant U.S. Attorney Alexander P. Ibrahim prosecuted the case, which was investigated by the DEA Wilmington Resident Agency’s Tactical Diversion Squad, Group 42.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the District of Delaware. Related court documents and information is located on the website of the District Court for the District of Delaware or on PACER by searching for Case No. 20-cr-55-RGA.
Two Members of the Violent Extremist Group “the Base” Plead Guilty to Federal Firearms and Alien-Related ChargesRead the Press Release
Greenbelt, Maryland – Two members of the racially motivated violent extremist group “The Base” pleaded guilty today to firearms and alien-related charges arising from federal charges in Maryland and Delaware.
Brian Mark Lemley, Jr., age 35, of Elkton, Maryland, and Newark, Delaware, pleaded guilty to the Maryland charges of conspiracy to transport certain aliens, to transporting certain aliens, to disposing of a firearm and ammunition to an illegal alien, and to transporting a firearm and ammunition in interstate commerce with intent to commit a felony; and to the Delaware charges of harboring certain aliens, aiding and abetting an alien in possession of a firearm, and obstruction of justice.
Canadian national Patrik Jordan Mathews, age 29, recently of Newark, Delaware, pleaded guilty to the Maryland and Delaware charges of being an alien in possession of a firearm and ammunition; to the Maryland charge of transporting a firearm and ammunition in interstate commerce with intent to commit a felony; and to the Delaware charge of obstruction of justice.
A third co-defendant and member of “The Base,” William Garfield Bilbrough IV, age 21, of Denton, Maryland, previously pleaded guilty to conspiring to transport an alien and to transporting the alien, specifically, The Base member Patrik Mathews, and was sentenced to five years in federal prison.
Today’s guilty pleas were announced by Acting United States Attorney for the District of Maryland Jonathan F. Lenzner; United States Attorney for the District of Delaware David C. Weiss; Acting Special Agent in Charge Rachel Byrd of the Federal Bureau of Investigation, Baltimore Field Office; and Special Agent in Charge Timothy Jones of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) Baltimore Field Division.
“Preserving our nation’s security against domestic terrorist threats continues to be a top priority of the Justice Department,” said Acting United States Attorney Jonathan F. Lenzner. “In late 2019 and early 2020, Lemley, Mathews and others in The Base were assembling firearms and collecting thousands of rounds of ammunition with the intent to engage in serious criminal conduct. There is simply no place in our country for racially motivated extremist groups that engage in violence. Our office and law enforcement partners in Maryland and Delaware will use all of the tools at our disposal to investigate and prosecute violent extremists.”
U.S. Attorney Weiss stated, “Detecting, disrupting and deterring the threat of domestic terrorism and violent extremism in all of its forms is a top priority for this office. However, mere membership in a violent extremist group like the Base, an organization that trades in hatred and bigotry, no matter how despicable, is not a federal crime. But when extremists like defendants Mathews and Lemley take action in furtherance of their twisted agenda and commit firearms offenses, obstruct justice and illegally transport aliens -- law enforcement will respond swiftly and decisively. I commend the diligence of Maryland and Delaware law enforcement in bringing these defendants to justice.”
“Today's admission of guilt shows how far Mr. Lemley and Mr. Mathews were willing to go to support extremist activity,” said Rachel Byrd, Acting Special Agent in Charge of the FBI Baltimore Field Office. “This investigation and the guilty plea underscore the continuing threat we face from domestic extremist groups. The FBI and our law enforcement partners remain fully prepared to take actions necessary to safeguard our communities.”
“When extremist beliefs begin escalating into criminal activity, it creates a volatile and potentially lethal mentality that threatens everyone’s safety,” said ATF Baltimore Special Agent in Charge Timothy Jones. “The strong partnerships ATF and our fellow local, state, and federal law enforcement agencies have ensures that this team effort is always prepared to identify and stop extremists and violent offenders anytime, anywhere, no matter if they cross state lines and jurisdictions.”
According to court filings, Lemley, Mathews, and Bilbrough were members of The Base, a racially motivated violent extremist group. Since 2018, The Base has built a coalition of white supremacist members within the United States and abroad through, among other things, online chat rooms, in-person meetings, propaganda, and military-style training. As detailed in their plea agreements, Lemley and Bilbrough traveled in Lemley’s vehicle to participate in a regional training camp conducted by members of The Base in Georgia from August 2 through August 4, 2019, including participating in tactical training and firearms drills. Later in August, Lemley and Bilbrough attended another The Base training camp in a different state.
As detailed in the plea agreements for Lemley and Mathews, on August 19, 2019, the Winnipeg (Canada) Free Press published an article regarding one of its reporter’s infiltration of The Base that led to the identification of Mathews as a member of The Base. Mathews then fled Canada and illegally entered the United States. At some point thereafter, Lemley and Bilbrough learned that Mathews had unlawfully crossed the border.
On August 30, 2019, Lemley and Bilbrough traveled in Lemley’s truck from Maryland to southern Michigan to pick up Mathews in order to transport him to the East Coast where he could safely reside and continue his participation in The Base. Lemley and Bilbrough remained in Michigan for approximately two hours, after which Lemley, Bilbrough, and Mathews headed back east. Lemley and Bilbough each drove at least part of the time and Bilbrough was dropped off at his house in Maryland on the evening of August 31, 2019. Lemley then drove Mathews to the area of Chincoteague, Virginia, in order to conceal Mathews’ presence in the United States.
On Saturday, September 14, 2019, Lemley traveled in his vehicle from his residence in Elkton, Maryland, to Chincoteague Island, Virginia, where he picked up Mathews. Lemley and Mathews then traveled south, through the Chesapeake Bay Bridge Tunnel to Rome, Georgia, in the vicinity of the residence of a known member of The Base. Approximately five hours later, Lemley departed for Maryland and Mathews stayed at the Georgia property.
Lemley acknowledged that on about October 30, 2019, he picked Bilbrough up at his residence and the two drove to Georgia to attend a training camp at the property of another member of The Base. Mathews, who was already residing at the Georgia property, admitted that he also attended the training camp. While in Georgia, on November 2, 2019, Lemley and Bilbrough purchased approximately 1,550 rounds of 5.56 ammunition. Later that day, Lemley, Mathews and Bilbrough traveled from Georgia to Maryland. The next day, Lemley and Mathews admitted that they dropped Bilbrough off at his house and traveled to Elkton, Maryland, where Mathews spent the night at a motel a few minutes from Lemley’s residence.
As detailed in Lemley’s and Mathews’ plea agreements, on November 4, 2019, Mathews left the motel on foot. After buying food from a nearby restaurant, Mathews walked into the woods behind the restaurant, where he remained until Lemley picked him up. Lemley and Mathews drove to a bank and then to an apartment complex in Newark, Delaware, where Lemley rented an apartment while Mathews remained in the vehicle. Thereafter, Lemley and Mathews primarily resided in the apartment in Delaware.
According to their plea agreements, on December 20, 2019, Mathews took steps to construct a rifle out of various weapons parts and watched a video on his phone that provided directions on constructing the rifle. Lemley and Mathews also discussed the rifle and parts that needed to be obtained to finish constructing the rifle. Lemley and Mathews admitted that they held and manipulated the rifle.
Lemley and Mathews acknowledged that on December 29, 2019, they discussed visiting a gun range to test fire the newly constructed rifle. On January 2, 2020, Lemley took the rifle from the apartment in Delaware to a public gun range in Maryland, where he was observed by an FBI agent. On January 5, 2020, Mathews and Lemley left the Delaware residence with at least one firearm and went to the same public gun range previously visited by Lemley. Prior to their arrival, the FBI had set up a stationary camera in a vehicle near the range and an ATF agent was in the vicinity of the range. Agents observed, and the camera recorded, Mathews in possession of, and firing a firearm. Lemley observed Mathews’ shots through an unattached rifle scope.
Lemley admitted that on January 7, 2020, he ordered approximately 1,500 rounds of 5.56 mm and 6.5 mm ammunition, which fit two rifles possessed by Lemley and Mathews. On January 11, 2020, Lemley drove Mathews from their Delaware residence to the Maryland gun range they had visited previously. Mathews admitted that while at the range, he handled and fired the rifle. On the way back to Delaware, the men stopped at Lemley’s prior residence in Elkton, where they retrieved some of the 1,500 rounds of ammunition Lemley had ordered on January 7. Mathews admitted that he knew he was an alien illegally present in the United States at the times he possessed the firearm and ammunition in Maryland and Delaware.
On January 15, 2020, Lemley and Mathews discussed the possibility of going to jail for their conduct. During the conversation, Lemley told Mathews, "I may be going to jail upon discovery of the propaganda in my cell phone."
Early in the morning on January 16, 2020, federal agents executed federal arrest warrants on Lemley and Mathews at the Delaware residence. Before Lemley and Mathews submitted to the agents, however, Lemley repeatedly directed Mathews to smash his cell phone. Lemley and Mathews smashed their cell phones and dumped them into the toilet. Lemley and Mathews admitted that by doing so, they intended to obstruct or impede the administration of justice with respect to the investigation, prosecution, and sentencing of their offenses. Their activity was fully captured on video and audio surveillance equipment installed in the Delaware residence, pursuant to a federal court order.
Lemley and Mathews each face a maximum of 10 years in federal prison for transporting a firearm and ammunition in interstate commerce with intent to commit a felony offense and a maximum of 20 years in federal prison for obstruction of justice. Lemley also faces a maximum sentence of five years in federal prison each for transporting and for harboring certain aliens; a maximum of 10 years in federal prison each for conspiracy to transport certain aliens, for disposing of a firearm and ammunition to an illegal alien, and for aiding and abetting an alien in possession of a firearm and ammunition. Mathews also faces a maximum of 10 years in federal prison for each of two counts of being an alien in possession of a firearm and ammunition. U.S. District Judge Theodore D. Chuang has scheduled sentencing for Mathews on October 28, 2021 at 9:30 a.m., and for Lemley on October 28, 2021 at 2:00 p.m.
Acting United States Attorney Jonathan F. Lenzner and United States Attorney David C. Weiss commended the FBI Baltimore Joint Terrorism Task Force (JTTF) and the ATF for their work in the investigation, and thanked U.S. Homeland Security Investigations, the Maryland Department of Natural Resources, the Maryland State Police, and the Delaware State Police for their assistance. Mr. Lenzner and Mr. Weiss thanked their offices’ national security prosecutors, who are handling the case.
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Ocean View Woman Charged with Wire Fraud and Tax EvasionRead the Press Release
WILMINGTON, Del. – U.S. Attorney David C. Weiss announced that a federal grand jury returned an indictment today charging an Ocean View, Delaware woman with embezzling more than $1 million dollars from her former employer.
According to the indictment, Joan Donald, 54, worked as a bookkeeper for Dovetail, Inc., a high-end interior design company based in Bethany Beach, Delaware. Over the course of at least 7 years, Donald took advantage of her access to the company’s financial account information, as well as the ailing health of Dovetail’s elderly owner, to drain funds from Dovetail. Bank records show that Donald used Dovetail’s funds to pay for her personal expenses, including purchasing vehicles and taking trips to Disneyworld.
U.S. Attorney Weiss commented on the charges, “This defendant abused her position of trust and took advantage of a vulnerable, elderly victim. After financing her lifestyle with stolen funds for years, the time has come for her to answer for her actions.”
Donald is charged with wire fraud and tax evasion. If convicted, she faces up to 20 years in prison. Actual sentences for federal crimes are typically less than the maximum penalties.
The FBI Baltimore Division’s Dover Resident Agency and IRS Criminal Investigation, with assistance from the Bethany Beach Police Department, conducted the investigation in this matter. Assistant U.S. Attorney Christopher R. Howland is prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the District of Delaware. Related court documents and information is located on the website of the District Court for the District of Delaware or on PACER.
An indictment contains allegations that a defendant has committed a crime. Every defendant is presumed to be innocent until and unless proven guilty in court.
Middletown Man Sentenced to Six Months of Home Confinement for Damaging Former Employer's Computer NetworkRead the Press Release
WILMINGTON, Del. – David C. Weiss, United States Attorney for the District of Delaware, announced today that Levii Delgado, 36, of Middletown, was sentenced today to six months of home confinement and over $13,000 in restitution by the Honorable Leonard P. Stark, Chief United States District Judge for the District of Delaware. Delgado pled guilty in February 2021 to one count of causing damage to a protected computer.
According to court documents, Delgado worked as an Information Technology (IT) administrator at a medical center that provides care to under-served communities. The medical center terminated Delgado’s employment in August 2017. Following that termination, Delgado was no longer authorized to access the medical center’s computer network and his credentials that had allowed him to access the medical center’s network were disabled. Four days after his termination, Delgado connected a personal laptop to the medical center’s computer network through an administrator account that Delgado continued to use without authorization. Once Delgado gained unauthorized access to the computer network, he caused the deletion of the medical center’s employee user accounts, the disabling of its computer accounts, and the deletion of its file server. Delgado’s actions prevented the medical center’s employees from logging into their computers and accessing patient files necessary to conduct operations. As a result, the medical center’s ability to see and treat its patients was impaired.
No patient information was compromised or accessed as a result of Delgado’s actions.
U.S. Attorney Weiss stated, “The defendant abused his knowledge of his former employer’s computer network to deliberately disrupt the medical center’s capability to conduct business. As a result, the defendant directly impeded that entity’s ability to provide medical care to the communities it serves, putting patients at risk. My office is committed to prosecuting any individual who thinks attacking a former employer’s computer network is an acceptable reaction to getting fired.”
“What Mr. Delgado did was not only intentional, reckless and petty, but also caused a severe disruption in medical care in an underserved community,” said Rachel Byrd, Acting Special Agent in Charge of the FBI Baltimore Field Office. “Computer intrusion is a crime and the FBI, and our law enforcement partners, will continue to pursue those who compromise, mishandle or disrupt computer networks.”
This case was investigated by the FBI-Baltimore Division’s Cyber Task Force and was prosecuted by Assistant U.S. Attorney Jesse S. Wenger.
Cyberattacks are on the rise. A private sector entity that is a victim of a cyber incident can receive assistance from government agencies, which are prepared to investigate the incident, mitigate its consequences, and help prevent future incidents. Federal Government agencies work together to leverage their collective response expertise, apply their knowledge of cyber threats, preserve key evidence, and use their combined authorities and capabilities to minimize asset vulnerability and bring malicious actors to justice. Private sector entities are encouraged to report a cyber incident to the FBI at 1-800-CALLFBI (225-5324) or file a complaint with the Internet Crime Complaint Center (IC3) at www.ic3.gov.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the District of Delaware. Related court documents and information is located on the website of the District Court for the District of Delaware or on PACER.
Federal Prison Sentences for Drug ConspiratorsRead the Press Release
WILMINGTON, Del. – Two men have been sentenced to substantial federal prison terms for their roles in a wide-ranging drug conspiracy involving heroin, fake Oxycodone pills containing fentanyl, and cocaine. United States District Judge Richard G. Andrews sentenced Julian Rivera-Villa, 57, yesterday and his co-defendant, Ricardo Perez-Guillen, 41, on April 13, 2021. Rivera-Villa received a sentence of over 10 years imprisonment; Perez-Guillen received over seven years of federal prison time.
According to public statements and court documents, Rivera-Villa and Perez-Guillen, both of Gloucester City, New Jersey, conspired to distribute 10 kilograms of heroin and approximately 14,000 fentanyl-laced fake Oxycodone pills. Perez-Guillen was arrested on August 21, 2019 in New Castle, Delaware after selling a kilogram of heroin and 600 fake Oxycodone pills containing fentanyl. Rivera-Villa was arrested the same day outside the residence he shared with Perez-Guillen in Gloucester City. Inside that residence, Drug Enforcement Administration (“DEA”) agents and task force officers found 7 additional kilograms of heroin, 13,000 more fake Oxycodone pills, and 3 kilograms of cocaine. They found another two kilograms of heroin located inside hidden traps behind the seats of a nearby car registered to Perez-Guillen.
The street value of the seized drugs was in excess of $1 million. The amount of heroin seized is conservatively estimated at 1.4 million doses.
David C. Weiss, U.S. Attorney for the District of Delaware noted that these convictions resulted from the largest federal seizure of heroin and fake Oxycodone pills by Delaware law enforcement in recent memory, stating: “My office is committed to combatting the opioid epidemic by bringing to justice those most responsible for flooding our communities with deadly heroin and fentanyl. We will continue to seek significant federal prison terms against those profiting off the addictions of others.”
“These defendants were responsible for trafficking multi-kilogram amounts of heroin, fentanyl-laced counterfeit pills, and cocaine,” said Jonathan A. Wilson, Special Agent in Charge of the Drug Enforcement Administration’s (DEA) Philadelphia Field Division. “Poly-drug violators such as Rivera-Villa and Perez-Guillen are drug-traffickers that pose the greatest threat to our community. I would like to thank all of our partner law enforcement agencies in Wilmington and Camden County, New Jersey that helped make these arrests possible.”
Assistant U.S. Attorney Alexander Ibrahim prosecuted the case, which was investigated by the DEA’s Wilmington Resident Office Tactical Diversion Squad and High Intensity Drug Trafficking Area (“HIDTA”) Group 41, comprised of law enforcement officers from the DEA, Middletown Police Department, Newark Police Department, Delaware Probation and Parole, Wilmington Police Department, New Castle County Police Department, Delaware Alcohol & Tobacco Enforcement, Delaware State Police, and Maryland State Police.
The DEA and the U.S. Attorney’s Office also wish to thank Homeland Security Investigations, Wilmington Resident Office, DEA-HIDTA in Camden, New Jersey, and the Camden County Sheriff’s SERT team for their assistance in this investigation.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the District of Delaware. Related court documents and information is located on the website of the District Court for the District of Delaware or on PACER by searching for Case Nos. 19-cr-141 and 20-cr-007.
Cross-Country Methamphetamine Traffickers Plead Guilty to Federal Drug ConspiracyRead the Press Release
WILMINGTON, Del. – A New Castle couple pleaded guilty today to conspiracy to distribute methamphetamine that was shipped to them from California. The announcement was made today by David C. Weiss, U.S. Attorney for the District of Delaware, after Chief Judge Leonard P. Stark of the United States District Court for the District of Delaware accepted the plea.
According to statements made in open court, a Drug Enforcement Administration (“DEA”) investigation revealed that Imanuel Villalba, 22, of New Castle, Delaware, was a major methamphetamine trafficker. Before the COVID-19 pandemic, Villalba was routinely getting shipments of 40 pounds of methamphetamine per week from California. The COVID-19 pandemic disrupted his supply for several months, until he was able to get back into the methamphetamine business in June 2020. On June 15, 2020, Villalba and his girlfriend, Hayley Carello, also 22, of New Castle, Delaware, flew together to California to order several pounds of methamphetamine with the intention of selling that methamphetamine to customers in Delaware. Several days later, after Villalba and Carello returned to Delaware, a package containing four pounds of methamphetamine was shipped from California to Delaware. That package was delivered to Villalba and Carello, resulting in their arrest.
Villalba and Carello each pled guilty to one count of conspiracy to distribute and possess with intent to distribute methamphetamine. Villalba faces a mandatory minimum of ten years in prison, and Carello faces a mandatory minimum of five years. Both are scheduled to be sentenced on September 1, 2021. Chief Judge Stark will determine their respective sentences after taking into account the U.S. Sentencing Guidelines and other statutory factors.
U.S. Attorney Weiss stated, “Illicit drug traffickers are ravaging our communities. Together with our law enforcement partners, my Office will continue to investigate and vigorously prosecute those who choose to engage in the illegal drug trade.”
"Villalba and Carello were responsible for importing and distributing substantial amounts of methamphetamine," said Jonathan A. Wilson, Special Agent in Charge of the Drug Enforcement Administration's (DEA) Philadelphia Field Division. "They received shipments, some as large as 40 pounds of methamphetamine, from California for distribution to customers in Delaware."
Assistant U.S. Attorneys Jennifer K. Welsh and Ruth Mandelbaum are prosecuting the case. The case was investigated by the Drug Enforcement Administration (“DEA”) Group 41, which is part of the Liberty Mid-Atlantic High Intensity Drug Trafficking Area (“HIDTA”). The DEA received significant assistance from the Wilmington Police Department, Delaware State Police, and the Newport Police Department.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the District of Delaware. Related court documents and information is located on the website of the District Court for the District of Delaware or on PACER by searching for Case No. 20-cr-54 (LPS).
Wilmington Man Sentenced to 10 Years in Federal Prison for Receipt of A Gun and AmmunitionRead the Press Release
WILMINGTON, Del. – A Wilmington man was sentenced on April 27 to 10 years in federal prison by the Honorable Colm F. Connolly, U.S. District Judge for the District of Delaware, for receipt of a firearm and ammunition with the intent that a felony would be committed with that firearm and ammunition. David C. Weiss, U.S. Attorney for the District of Delaware, made the announcement.
According to court documents, Angel Ortiz, 36, was arrested by the New Castle County Police Department on November 29, 2018, after he got out of a car during a traffic stop, ran away, and threw a loaded firearm. The firearm was recovered and found to be a Remington 1911 .45 caliber handgun with an extended magazine. Mr. Ortiz had previously been convicted of a felony offense and was not legally permitted to possess the Remington handgun.
U.S. Attorney Weiss stated, “Violent crime destroys neighborhoods. Together with our law enforcement partners, my Office is committed to doing all we can to get guns off our community’s streets and out of the hands of individuals who illegally possess them.”
“In our fight against violent crime, every gun taken off the street is a small victory, and every gun trafficker locked up is a big one," said Rachel Byrd, Acting Special Agent in Charge of the FBI Baltimore Field Office. "The FBI and our partners are committed to working together across jurisdictions to take down the criminals wreaking such havoc in our communities.”
This case is part of Project Safe Neighborhoods (PSN), a federal program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The U.S. Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.
The case was investigated by the FBI-Baltimore Division’s Wilmington Resident Agency and is being prosecuted by Assistant U.S. Attorneys Maureen McCartney and Laura Hatcher.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the District of Delaware. Related court documents and information is located on the website of the District Court for the District of Delaware or on PACER by searching for Case No. 19-3-CFC.
Former Wilmington Fire Department Union President Pleads Guilty to Possessing Prepubescent Child PornographyRead the Press Release
WILIMINGTON, Del. – Joseph J. Leonetti, Jr., Former Union President of the Wilmington Fire Department, pled guilty today before the Honorable Colm F. Connolly to possessing prepubescent child pornography, announced David C. Weiss, U.S. Attorney for the District of Delaware. Mr. Leonetti faces a maximum penalty of 20 years in prison when sentenced on August 24, 2021. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
According to publicly filed documents and statements made in open court, law enforcement officers executed a federal search warrant at Leonetti’s Wilmington residence on June 19, 2020, and seized his personal cellphone. After a later forensic review of that cellphone, investigators found nine videos and more than 500 cached images of child pornography. A cache is a reserved storage location that collects temporary data for easy retrieval. Also, in the cellphone’s “Notes” app, investigators found links to folders associated with cloud-based file storage services Dropbox and Mega. Investigators were able to recover the contents of four linked folders, containing over 2,000 images and 800 videos of child pornography. The child pornography found on the defendant’s cellphone and in the linked folders included depictions of prepubescent minors engaged in various sexual acts and the lascivious exhibition of their genitals.
U.S. Attorney David C. Weiss stated as follows: “The U.S. Attorney’s Office for the District of Delaware is committed to protecting the most vulnerable among us—our children—from the abhorrent shadow industry that produces, distributes, and collects child pornography and from those who lurk in its base marketplace. This Office fulfills its commitment without regard to the occupation or privilege of the wrongdoer. No one is above the law.”
“The defendant, while in a position of trust as the former Wilmington Fire Department Union President, possessed depictions of the sexual exploitation of prepubescent children,” said Brian A. Michael, Special Agent in Charge for Homeland Security Investigations Philadelphia. The innocent children in these images will have to deal with the impact of this tragedy for the rest of their lives. We hope today’s plea brings them some measure of justice.”
Homeland Security Investigations investigated this case. Assistant U.S. Attorney Graham L. Robinson prosecuted the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the U.S. Department of Justice. Led by U.S. Attorneys’ Offices across the country and the Child Exploitation and Obscenity Section of the Department of Justice, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
United States Intervenes in False Claims Act Lawsuit Against Connections Community Support Programs, Inc.Read the Press Release
WILMINGTON, Del. – U.S. Attorney David C. Weiss announced today that the United States has filed a complaint in partial intervention against Connections Community Support Programs, Inc. (“Connections”) in the United States District Court for the District of Delaware. The United States alleges that Connections violated the False Claims Act by knowingly submitting claims for payment to Medicare and Medicaid that falsely represented the identity and professional qualification of individuals providing mental health services.
Connections provides mental health treatment services at facilities located throughout Delaware. Medicare regulations and policies only allow providers to bill for mental health services rendered by individuals holding specific professional qualifications. Delaware Medicaid regulations and policies similarly condition whether mental health services can be reimbursed, and at which fee rate, on the professional qualification of the rendering provider.
The United States alleges that from at least January 2015 through October 2019, Connections submitted over 4,000 claims to Medicare in which it falsely certified that an individual holding an eligible qualification provided mental health services to Medicare beneficiaries when, in reality, a different Connections staff member who did not hold an eligible qualification provided the mental health service. With respect to Medicaid, the United States alleges that Connections submitted over 250,000 false claims that resulted in either full or partial overpayments due to Connections falsely certifying to the licensure or education level of the rendering provider. As a result of the false claims Connections submitted to Medicare and Medicaid, the United States alleges that Connections was paid more than $4,500,000 for mental health services for which it was not entitled to reimbursement.
“Federal healthcare regulations and policies that govern mental health services exist to ensure that Medicare and Medicaid beneficiaries are treated by qualified professionals,” said U.S. Attorney Weiss. “We expect all providers to submit claims that are true, accurate, and complete, and entrust that they will do so. Connections violated that trust, and in the process, defrauded Medicare and Medicaid out of more than $4.5 million dollars. My office is committed to pursuing all providers who submit false claims to federal healthcare programs to obtain money to which they are not entitled.”
The original complaint was filed in 2019 under the qui tam or whistleblower provisions of the False Claims Act, which allow private parties to file suit on behalf of the United States for false claims and receive a share of any recovery. The act permits the United States to intervene in whole or in part in such actions, as the government has done here. Those who violate the Act are subject to treble damages and applicable penalties.
The matter is being investigated by the U.S. Department of Health and Human Services Office of Inspector General and the Delaware Medicaid Fraud Control Unit. The investigation and litigation are being handled by Assistant U.S. Attorneys Laura D. Hatcher and Jesse S. Wenger.
The claims asserted by the United States are allegations only and there has been no determination of liability.
A copy of this press release may be found on the website of the U.S. Attorney’s Office for the District of Delaware. Related court documents and information is located on the website of the District Court for the District of Delaware or on PACER. The case is captioned United States ex rel. Spruill et al. v. Connections Community Support Programs, Inc., Case No. 19-475-CFC (D. Del.).
United States Brings Federal Controlled Substances Act Lawsuit Against Connections Community Support ProgramsRead the Press Release
WILMINGTON, Del. – U.S. Attorney David C. Weiss announced today that the United States filed a civil complaint against Connections Community Support Programs, Inc. as well as three of its current and former corporate officers, Catherine Devaney McKay, William Northey, and Steven Davis, in the United States District Court for the District of Delaware. The United States alleges that Connections and its corporate officers violated the Controlled Substances Act by negligently failing to keep required documentation of its distribution and dispensing of controlled substances, particularly methadone and buprenorphine used in Connections’ treatment of opioid use disorder. Each violation of the recordkeeping requirements under the Controlled Substances Act carries a civil penalty of up to $15,040.
During an inspection and audit in March 2019, diversion investigators from the Drug Enforcement Administration determined that Connections was unable to provide records identifying the location of more than 244 bottles of methadone liquid and more than 1,100 doses of buprenorphine. Subsequent investigation revealed numerous additional citations from DEA at multiple Connections locations as well as dozens of additional violations not specifically identified in DEA inspections.
To ensure that prescription medications are not diverted for sale or abuse, the Controlled Substances Act and DEA regulations impose strict reporting and recordkeeping requirements on the manufacture, distribution, and dispensing of controlled substances. As detailed in the Complaint filed today, the United States alleges that Connections has a long history of negligent failure to maintain proper records, in addition to numerous instances in which required records were created after the fact and backdated to make it appear that they had been created at an earlier time. The United States also alleges that, on numerous occasions, Connections represented to DEA that it was undertaking additional measures to improve its compliance and then failed to do so.
The Complaint also alleges that McKay, Northey, and Davis, all of whom were corporate officers of Connections, negligently delegated responsibility for compliance with the Controlled Substances Act to individuals they knew were unqualified and ill-suited to those responsibilities, and that they failed to provide adequate training and supervision for those individuals.
“As one of the largest providers of substance abuse treatment in Delaware, Connections is well aware of the extent of the opioid crisis in our state,” said U.S. Attorney Weiss. “By failing for years to properly document their distribution and dispensing of controlled substances, Connections and its executives have shirked their responsibility to ensure that they were not contributing to the crisis by creating an environment in which their own inventory of controlled substances could be diverted for abuse or sale.”
“Narcotics treatment programs such as Connections Community Support Programs are entrusted with providing critical care and support to people struggling with opioid use disorder. Their mission is more vital than ever, especially during the current opioid crisis,” said Jonathan A. Wilson, Special Agent in Charge of the Drug Enforcement Administration’s (DEA) Philadelphia Field Division. “With that responsibility comes the obligation to properly safeguard and document the dispensing of treatment drugs such as methadone and buprenorphine, which Connections and its corporate officers failed to do.”
This matter was investigated by the Drug Enforcement Administration. The investigation and litigation are being handled by Assistant U.S. Attorneys Laura D. Hatcher and Dylan J. Steinberg.
The complaint contains allegations only, and not findings of liability.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the District of Delaware. Related court documents and information is located on the website of the District Court for the District of Delaware or on PACER.
Social Security Fraud Leads to Federal Prison TimeRead the Press Release
WILMINGTON, Del. – David C. Weiss, U.S. Attorney for the District of Delaware, announced that a Wilmington woman was sentenced today to 5 months in federal prison for defrauding the U.S. Social Security Administration (“SSA”) of more than $200,000 over the past fifteen years. Chief Judge Leonard P. Stark of the United States District Court for the District of Delaware pronounced the sentence.
According to court documents, Susan DiFelice, 63, spent over a decade collecting fraudulent Social Security benefits that were intended for a deceased beneficiary. In 2005, a family friend of DiFelice’s died. Because DiFelice was a joint user on her deceased friend’s bank account, she knew that the SSA continued to deposit more than $1,000 into his account each month. As the informant on the death certificate, DiFelice also knew that she was required to notify relevant authorities, including the SSA, of the death. Instead, however, DiFelice withdrew the SSA funds and used them for her own personal expenses.
U.S. Attorney Weiss stated, “Ms. DiFelice’s criminal conduct lasted for fifteen years, undermining SSA’s mission to provide for the vulnerable among us. I commend the SSA Office of the Inspector General for their steadfast commitment to ensuring justice in this case.”
“This sentence stands as a warning to those who violate the public trust by misusing Social Security benefits after someone dies,” said Gail S. Ennis, Inspector General for the Social Security Administration. “Our auditors and criminal investigators work side by side, and with SSA and other agencies, to identify those who fail to report deaths for personal gain. I want to thank the United States Attorney’s Office for its efforts to bring this individual to justice.”
The SSA Office of the Inspector General investigated this case under the supervision of Special Agent in Charge Michael McGill, and Assistant U.S. Attorney Christopher R. Howland prosecuted.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the District of Delaware. Related court documents and information is located on the website of the District Court for the District of Delaware or on PACER by searching for Case No. 20-CR-48-LPS.
Mexican National Charged with Holding American Citizen Hostage and Drug TraffickingRead the Press Release
WILMINGTON, Del. – U.S. Attorney David C. Weiss for the District of Delaware, announced today that Luis Raul Castro Valenzuela, aka “Chacho,” was charged with holding a U.S. Citizen, listed in the indictment by his/her initials (hereinafter “the victim”), with kidnapping and with hostage taking. The three-count indictment also alleged that Castro Valenzuela conspired to distribute heroin and fentanyl between March 2017 and November 11, 2020.
U.S. Attorney Weiss said, "The pursuit of justice takes many forms. Few cases illustrate this principle more clearly than this one-where investigators followed a drug operation in Bear, Delaware to King of Prussia, Pennsylvania and then to Sinaloa, Mexico, ultimately leading to the rescue of a U.S. Citizen held hostage by an alleged member of the Sinaloa Cartel. The collaboration between local, state, federal, and Mexican officials in this case is unprecedented and demonstrates what can be accomplished when agencies selflessly work towards a single objective. Finally, I want to express our deep appreciation to the Mexican prosecutors, law enforcement officers, and military personnel for their critical assistance."
“The rescue of this victim is the culmination of an international and multi-jurisdictional drug trafficking and smuggling investigation impacting the people of Delaware and surrounding areas,” stated Brian L. Jones, Resident Agent in Charge of Homeland Security Investigations (HSI). “We are all relieved that this victim has been rescued safely but it also drives home the dangers of narcotics trafficking and the violent behavior of the Mexican drug cartels. Homeland Security Investigations wants to thank our law enforcement partners, domestically and in Mexico, for their dedication to combatting drug trafficking and we will use every resource available to stop the flow of illegal narcotics into the United States.”
Damon Wood, the Postal Inspector in Charge of the Philadelphia Division stated, “This case started with investigators from several different agencies independently pursuing different leads. When they came together, they found themselves investigating a conspiracy to distribute illegal narcotics that stretched from the Philadelphia suburbs, down through Delaware, and into Mexico. I want to commend the hard work of our law enforcement partners from over a dozen agencies who helped develop the charges announced today, not the least of which includes the Mexican authorities, who, as a result of information developed here, rescued a U.S. citizen held against their will in Mexico. Keeping the employees and customers of the Postal Service safe and the mail free from criminal misuse are the primary missions of the Postal Inspection Service. As an agency, we have taken, and will continue to take, aggressive steps to interrupt and investigate those who use the mail to distribute illegal narcotics and launder their proceeds.”
“Today a dangerous criminal is off the streets thanks to a large-scale coordinated effort between our partners in the U.S. and in Mexico,” said Jennifer C. Boone, Special Agent in Charge of the FBI Baltimore Field Office. “In this law enforcement collaboration, not only was a victim being held hostage rescued but more than a million dollars’ worth of illegal drugs was seized. The citizens of Delaware have the FBI’s commitment that we will continue to aggressively investigate criminal organizations that target our communities with their drug-related violent activity and ensure that they are held accountable.”
“While IRS-Criminal Investigation is known for tax investigations, the assistance we provided in this investigation is a reminder that whenever there is a need to follow the money, we are often called upon,” said IRS-CI Special Agent in Charge Thomas Fattorusso. “We are highly skilled at financially disrupting and dismantling drug trafficking organizations. We are proud to have assisted in this investigation; joining forces with our law enforcement partners to hold these individuals accountable.”
“Today’s indictment is a prime example of cooperation among international, federal, state, and local authorities in securing justice for victims,” said Delaware Attorney General Kathy Jennings. “I am thankful for their tireless work, which not only removed a victim from harm’s way, but disrupted a drug trade that has bred so much violence in our communities.”
“Drug dealing is a dangerous and often violent enterprise, and thanks to the hard work and successful collaboration of these agencies, a victim's life was spared,” said Pennsylvania Attorney General Josh Shapiro. “My office will continue to work with local, state, federal, and international authorities to keep Pennsylvanians safe from those who profit from drug trafficking.”
Although the Indictment was obtained in November 2020, it was sealed until the victim was rescued and the defendant was arrested. As reported by Mexican authorities, in February 2021, Mexican law enforcement officers executed multiple warrants in Culiacan, Mexico. The victim was safely recovered and is in good health. Castro Valenzuela was arrested as part of the rescue operation; Mexican authorities have lodged their own charges and allege that he is a member of the Sinaloa Cartel.
The United States is pursuing the extradition of Castro Valenzuela to the District of Delaware so that he may be tried in federal court.
Four individuals were also charged in the District of Delaware with a conspiracy to distribute heroin and fentanyl: Jamar Jackson, aka “Jay”, 37, of Chester, Pennsylvania and Bear, Delaware; Denise Brown, aka “China”, 34, of King of Prussia, Pennsylvania; Harley Douglas, 37, of Bear, Delaware; and Nicole Jackson, 35, of Dover, Delaware. Douglas was also charged with two firearms offenses.
In total, the investigation resulted in the seizure of approximately 7.5 kilograms of heroin and/or fentanyl, 14.5 pounds of methamphetamine, 12 guns, and $180,000. The street value of these drugs easily exceeds $1 million.
The primary investigating agencies in this case are HSI, U.S. Postal Inspection Service, and the FBI. Instrumental assistance was also provided by the IRS Criminal Investigation, U.S. Drug Enforcement Administration, the Delaware State Police, the Pennsylvania State Police, the Newport Police Department, the Elsmere Police Department, the Philadelphia Police Department, the Pennsylvania Office of Attorney General Bureau of Narcotics Investigations and the Chester Police Department. The investigation was supported by the Liberty Mid-Atlantic High Intensity Drug Area program (HIDTA), and the Organized Crime Drug Enforcement Task Force (OCDETF). Other prosecutors’ offices who assisted in the investigation include the Delaware Department of Justice, the Montgomery County District Attorney’s Office, as well as other U.S. Attorney’s Offices. The Justice Department’s Office of International Affairs provided significant assistance including support and coordination between Fiscalía General de la República (FGR) of Mexico and U.S. law enforcement. Subprocuraduria Especializada en Investigaciones de Delincuencia Organizada (SEIDO) also provided substantial assistance on this case and was instrumental in locating the victim and arresting Castro Valenzuela.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the District of Delaware. Related court documents and information is located on the website of the District Court for the District of Delaware or on PACER by searching for Case No. 20-CR-00075 (Castro Valenzuela) and Case No. 20-CR-00084 (Jamar Jackson et. al.).
Liberian Man Sentenced to 27 Months for Bank FraudRead the Press Release
WILMINGTON, Del. – David C. Weiss, United States Attorney for the District of Delaware, announced that Mark Clark, 45, of Liberia, was sentenced today to 27 months in prison by the Honorable Maryellen Noreika, U.S. District Judge for the District of Delaware. Clark had pled guilty in October 2020 to one count of bank fraud.
According to court documents, Clark opened personal and business bank accounts at numerous financial institutions in his own name and in the name of other individuals, including his own deceased relatives, for the purpose of receiving fraudulently obtained wire transfers from unwitting victims. Once the victims’ money hit Clark’s accounts, he would convert a portion of it for his own use and distribute the rest to others involved in the fraudulent schemes, including to individuals in Ghana.
Clark received over $250,000 in fraudulently obtained funds between July 2017 and August 2018. The victims tricked into sending money to Clark’s accounts included five individuals who were victimized through Internet-based romance fraud. Each victim was contacted online by a fraudster who gained the victims’ confidence by purporting to be in an “online relationship” with the victim and convincing the victims to send money through trickery. A common ruse involved the fraudster purporting to be an American servicemember stationed overseas in need of financial assistance to return home.
Clark also received fraudulently obtained funds from corporate and government victims. Clark received two fraudulent deposits from the United States Social Security Administration (“SSA”) after fraudsters compromised the social security numbers of two victims and directed the SSA to send money to Clark instead of the intended beneficiaries. And he received one fraudulent deposit from a life insurance company after computer hackers compromised the company’s computer systems and directed the company to send Clark an insurance disbursement intended for somebody else.
U.S. Attorney Weiss stated, “Internet-based fraud scams are a nationwide problem that frequently target the most vulnerable members of our society. These scams, which often involve sophisticated groups of individuals all over the world, cannot succeed without the involvement of individuals like Clark who agree to receive the illicit proceeds and further distribute the proceeds to others participating in the fraud. My office will continue to prosecute those who engage in these fraud schemes in any capacity.”
“Mr. Clark not only deceived vulnerable individuals, but also engaged in multiple schemes to defraud the Government,” said Jennifer C. Boone, Special Agent in Charge of the FBI Baltimore Field Office. “We’re sending a clear message to the criminals who orchestrate these schemes: We’ll come after you, no matter where you are. And to the public, we’ll keep doing whatever we can to protect you.”
In addition to the prison term, Judge Noreika ordered that Clark pay restitution in the amount of $85,779, as well as a 3-year period of supervised release.
This case was investigated by FBI-Baltimore Division’s Wilmington Resident Agency with assistance from the Social Security Administration Office of the Inspector General and the Delaware State Police, and is being prosecuted by Assistant U.S. Attorney Jesse S. Wenger.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the District of Delaware. Related court documents and information is located on the website of the District Court for the District of Delaware or on PACER by searching for Case No. 1:19-cr-75.
Kilogram-Level Drug Distributor Sentenced to Second Federal Prison TermRead the Press Release
WILMINGTON, Del. – A Wilmington man was sentenced on March 10, 2021 by The Honorable Leonard P. Stark, Chief Judge, United States District Court for the District of Delaware, to 10 years in prison for possessing more than five kilograms of cocaine, as well as marijuana and MDMA (ecstasy), all with intent to distribute.
According to court documents, Ricardo Rogers, 47, was a high-level cocaine dealer who received shipments of cocaine into Delaware from Puerto Rico. From approximately December 2016 until December 2017, the defendant received and distributed generally weekly shipments of between one-half kilogram to two kilograms of cocaine. Rogers also sold marijuana and ecstasy. He was arrested by the Drug Enforcement Administration in January 2018 in possession of six pounds of marijuana. After his arrest, Rogers revealed that he had over 800 ecstasy pills in his car. Because of his extensive criminal record, which includes a federal drug conviction and state convictions for violent crimes, the defendant qualified as a career offender under the United States Sentencing Guidelines.
U.S. Attorney David C. Weiss stated, “As evidenced by the Court’s sentence, repeat drug traffickers who insist upon making the drug trade their profession will be prosecuted to the fullest extent of the law. My office and our law enforcement partners will continue to aggressively investigate and prosecute those who continue to engage in a life of crime.”
This case was prosecuted by Assistant U.S. Attorney Jennifer K. Welsh and investigated by the Drug Enforcement Administration.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the District of Delaware. Related court documents and information is located on the website of the District Court for the District of Delaware or on PACER by searching for Case No. 18-cr-0021-LPS.
Heroin Dealer Receives Federal Prison SentenceRead the Press Release
WILMINGTON, Del. – David C. Weiss, U.S. Attorney for the District of Delaware, announced today that Trashaun Black, 28, of Wilmington, was sentenced by the Honorable Leonard P. Stark to 50 months in prison after a Drug Enforcement Administration (“DEA”) investigation in Wilmington, Delaware. According to court documents, the Defendant was arrested in April 2019 for selling heroin to a DEA informant. As referenced in open court at today’s sentencing hearing, the DEA’s investigation of Mr. Black originated with an overdose death in Middletown, Delaware.
U.S. Attorney Weiss stated, “In tandem with our law enforcement partners on the First State Overdose Taskforce, my office will continue to pursue drug dealers linked to a fatal drug overdose. If you are peddling heroin for profit, we will bring the full force of the federal justice system to ensure your removal from our streets.”
At the same time, the United States Attorney’s Office is committed to helping those who suffer from substance abuse. While COVID-19 has made access to drug addiction treatment more difficult for many, it need not remain a barrier. If you need help, drug treatment information is available any time through the federal Substance Abuse and Mental Health Services Administration’s Treatment Referral Routing Service, found online at dpt2.samhsa.gov/treatment/ or by dialing 1.888.545.2600. Don’t let the pandemic stop you from beginning treatment.
This case was investigated by DEA Group 41, as part of the First State Overdose Taskforce, with assistance from the Middletown and New Castle County Police Departments. Assistant U.S. Attorney Christopher L. de Barrena-Sarobe prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the District of Delaware. Related court documents and information is located on the website of the District Court for the District of Delaware or on PACER by searching for Case No. 19-CR-00095 (LPS).
Newark Man in Possession of Machine Guns Sentenced to 31 Months in Federal PrisonRead the Press Release
WILMINGTON, Del. – A Newark man was sentenced by the Honorable Colm F. Connolly, U.S. District Judge, today to 31 months in federal prison for possessing machinegun conversion devices.
According to court documents, law enforcement searched the residence of Nathan Matthews, 42, in August 2019. In an unlocked safe, they found a homemade 9 mm handgun, ammunition, and two machinegun conversion devices. A machinegun conversion device, or fully-automatic conversion device, sometimes referred to as a “Glock switch,” alters a firearm so that pulling the trigger once causes multiple bullets to fire. It is classified as a machinegun under the National Firearms Act and Gun Control Act.
By pleading guilty in federal court, Mr. Matthews also resolved charges against him in Harford County, Maryland. In May 2018, Mr. Matthews was arrested in Maryland for possession of a different homemade pistol, a different machinegun conversion device, and ammunition.
David C. Weiss, U.S. Attorney for the District of Delaware stated, “Illegal firearms put our communities at risk. For those individuals who choose to circumvent firearm manufacturing regulations to create homemade handguns, be forewarned that my office will work tirelessly with our federal and local law enforcement partners to hold you accountable for your illegal conduct.”
Assistant U.S. Attorney Ruth Mandelbaum led the prosecution of this case. The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the New Castle County Police Department.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the District of Delaware. Related court documents and information is located on the website of the District Court for the District of Delaware or on PACER by searching for Case No. 1:19-cr-00135.
Middletown Man Pleads Guilty in Federal Court to Use of Incendiary Device at Newark Planned ParenthoodRead the Press Release
WILMINGTON, Del. – A Middletown man pleaded guilty in federal court on February 11, 2021, to Intentional Damage to a Facility that Provides Reproductive Health Services and Possession of an Unregistered Destructive Device (Molotov Cocktail) under the National Firearms Act. The Honorable Leonard P. Stark, Chief Judge, United States District Court for the District of Delaware, accepted the plea.
According to court documents, at approximately 2:16 a.m., on January 3, 2020, Samuel Gulick, 19, drove to the Planned Parenthood facility in Newark, Delaware. Video surveillance captured Gulick standing on the front porch of the building and spray-painting the phrase “Deus Vult” in red letters. Gulick then stepped off the front porch, lit an object, and threw it at the front window of the Planned Parenthood facility. The object, a Molotov Cocktail, exploded and Gulick ran away. The fire burned for approximately one minute before self-extinguishing. The explosion damaged the front window and porch of the building. Law enforcement identified Gulick through video surveillance that captured the license plate of the car in which he fled and through an Instagram page registered to Gulick, containing the phrase “Deus Vult” and several anti-abortion posts.
Gulick pleaded guilty to Intentional Damage to a Facility that Provides Reproductive Health Services and Possession of an Unregistered Destructive Device under the National Firearms Act. He faces a statutory maximum of 10 years in prison. Sentencing is scheduled for June 2, 2021 at 2:00 p.m. Actual sentences for federal crimes are typically less than the maximum penalties. Chief Judge Stark will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
In announcing the plea, U.S. Attorney David C. Weiss stated, “Mr. Gulick’s actions had potentially deadly consequences. I applaud the investigative efforts of local, state, and federal law enforcement who worked quickly to identify and bring Mr. Gulick to justice.”
"While people have a First Amendment right to peacefully express their views, they do not have a right to vandalize clinics in the hopes of deterring women from receiving lawful services that those facilities provide," said Jennifer C. Boone, Special Agent in Charge of the FBI Baltimore Field Office. “The FBI and our law enforcement partners will hold those accountable for any threats of violence to healthcare facilities or their employees."
“ATF and our law enforcement partners will not tolerate violent attacks from those seeking to achieve personal political goals,” said ATF Special Agent in Charge Tim Jones. “We are proud of investigators’ efforts and dedication to identify the person responsible in this case and are grateful that no one was injured as a result of this defendant’s criminal actions.”
The FBI Baltimore Division's Wilmington Resident Agency investigated the matter with assistance from the Bureau of Alcohol, Tobacco, Firearms and Explosives ("ATF:), Delaware State Police, Newark Police Department, Delaware State Fire Marshal's Office, New Castle County Police Department and University of Delaware Police. Assistant U.S. Attorney Adrienne Dedjinou is prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the District of Delaware. Related court documents and information is located on the website of the District Court for the District of Delaware or on PACER by searching for Case No. 21-cr-01.
Wilmington Daycare Owner Federally Indicted on Financial ChargesRead the Press Release
WILMINGTON, Del. – A federal grand jury returned an indictment on January 26, 2021, charging the owner and operator of a Wilmington daycare center with one count of wire fraud, one count of theft of government money, and three counts of tax evasion.
According to the indictment, Brenda Mathis, 56, inflated attendance records for her daycare center, L.J.’s Playpen Academy, Inc., to increase subsidies and payments she received from two federally-funded programs: Purchase of Care and Delaware Stars for Early Success. The Purchase of Care Program helps eligible, low-income families pay for childcare by providing subsidies to a daycare provider of the families’ choice. The Delaware Stars for Early Success Program disperses payments to daycare providers based on the quality of service.
According to the indictment, Ms. Mathis also under-reported the income from the daycare center, including the income received from these programs, on corporate tax returns for tax years 2015 through 2017.
Ms. Mathis is charged with one count of Wire Fraud, one count of Theft of Government Money, and three Counts of Tax Evasion. If convicted on the Wire Fraud count, Ms. Mathis faces a maximum penalty of 20 years in prison and a $250,000 fine. If convicted on the Theft of Government Money count, Ms. Mathis faces a maximum penalty of 10 years in prison and a $250,000 fine. The Tax Evasion counts each carry a maximum penalty of 5 years in prison and a $250,000 fine. A federal district court judge will determine any sentence after taking into account the U.S. sentencing guidelines and other statutory factors.
David C. Weiss, U.S. Attorney for the District of Delaware, made the announcement and gave the following comment, “The defendant is charged with defrauding and stealing from federally-funded programs designed to ensure that families in Delaware receive affordable and high quality care for their children. She further increased her ill-gotten gains by failing to pay taxes on the stolen money. My office is committed to prosecuting those who illegally collect government funds for their own benefit, especially when those funds are stolen from programs meant to help Delaware’s children.”
"Tax violations have been erroneously referred to as victimless crimes, but it's the honest law-abiding citizen who is harmed when people try to shirk their tax liability," said IRS Criminal Investigation Special Agent in Charge Thomas Fattorusso. “Today, Brenda Mathis stands accused of doing just that; attempting to evade her tax liabilities. Those Americans who file accurate tax returns and pay their fair share can be assured that the government will hold accountable those who don't."
"The Department of Health and Human Services provides federal funding for daycare services to help children and their families," said HHS-OIG Special Agent in Charge Maureen Dixon. “HHS-OIG will continue to work with our law enforcement partners to ensure the integrity of these important federal grant programs.”
USDA Office of Inspector General, Special Agent-in-Charge Bethanne M. Dinkins stated, “Those who are involved in fraud and abuse of USDA feeding programs will be investigated by our office to the fullest extent. Our joint investigation with the U.S. Department of Health and Human Services, OIG, IRS Criminal Investigation, and FBI identified those who sought to profit through illegal schemes. The USDA Office of Inspector General will continue to dedicate investigative resources, working with our law enforcement and prosecutorial partners, to protect the integrity of these programs and bring to justice those who commit fraud.”
“When people steal from programs like these, social service programs suffer across the state of Delaware and tax payers’ funds are illegally diverted to those seeking to enrich themselves personally,” said Jennifer C. Boone, Special Agent in Charge of the FBI Baltimore Field Office. “The FBI is grateful for the cooperation and hard work of the many agencies in this case and we will continue to work together to aggressively target fraud in public programs.”
This case was investigated by IRS Criminal Investigation, U.S. Health and Human Services Office of the Inspector General, U.S. Department of Agriculture Office of the Inspector General and the FBI. This case is being prosecuted by Assistant U.S. Attorneys Lesley F. Wolf and Ruth E. Mandelbaum.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the District of Delaware. Related court documents and information is located on the website of the U.S. District Court for the District of Delaware or on PACER.
An indictment contains allegations that a defendant has committed a crime. Every defendant is presumed to be innocent until and unless proven guilty in court.
Akumin Corporation to Pay U.S. over $700,000 to Resolve Health Care Fraud AllegationsRead the Press Release
WILMINGTON, Del. – U.S. Attorney David C. Weiss announced today that Akumin Corporation and Delaware Open MRI Radiology Associates, LLC have agreed to a $749,600.00 settlement with the federal government to resolve allegations of health care fraud arising under the federal False Claims Act. Akumin provides diagnostic medical imaging services at more than 125 locations across seven states including eight locations in Delaware.
Although diagnostic imaging studies are typically performed by technicians, Medicare regulations require that certain procedures be supervised by a physician who is present in the office suite during the procedure. During an investigation of Akumin’s practices at its sites in Delaware and Texas, the government identified over 1,500 instances, most of them between 2015 and 2017, in which either no physician was present for studies that required supervision or Akumin was unable to determine whether a physician was present.
The settlement announced today resolves a lawsuit filed under the whistleblower provision of the False Claims Act. The government’s claims are based on a whistleblower suit filed by a former Akumin employee. A whistleblower suit, or qui tam action under the False Claims Act, is commenced by an individual, known as a “relator,” filing a complaint under seal in the U.S. District Court, and providing a copy of the complaint and other evidence to the local U.S. Attorney. The United States then has an opportunity to investigate the claims. The False Claims Act provides the whistleblower with a share of the government’s recovery.
“The regulations that apply to Medicare procedures are designed to ensure patient safety and to protect the integrity of the Medicare program,” said U.S. Attorney Weiss. “When providers fail to comply with Medicare regulations and properly document their compliance, they undermine both the quality of patient care and the effectiveness of the program. This office is committed to investigating and recovering payments from providers who falsely certify that they have complied with these regulations.”
“It is imperative that Medicare requirements be followed in order to ensure patient safety and uphold the high standards of care patients deserve and expect,” said Maureen R. Dixon, Special Agent in Charge of the Office of Inspector General for the U.S. Department of Health and Human Services. “Working with law enforcement partners we will continue protecting federal health care programs and their enrollees.”
The resolutions obtained in this matter were the result of a coordinated effort between the U.S. Attorney’s Office for the District of Delaware and the U.S. Department of Health and Human Services. Assistant U.S. Attorney Dylan J. Steinberg represented the United States in this matter.
Related court documents and information from the civil lawsuit are on PACER by searching for Case No. 1:19-cv-1593-MN.
Statement of U.S. Attorney David C. Weiss on U.S. Third Circuit Court of Appeal Ruling Regarding Former Wilmington Trust ExecutivesRead the Press Release
WILMINGTON, Del. – Today the Court of Appeals for the Third Circuit reversed defendants’ convictions for lying to the Federal Reserve, the SEC, and the public about millions of dollars in past-due loans. In a matter of first impression, the Court held that the government was required to establish that the defendants’ statements were false under any “objectively reasonable” interpretation of the applicable reporting instructions – even in a circumstance where a defendant never believed in that interpretation and intended to lie to the regulators all along. Needless to say, I am disappointed with this result. We are currently analyzing the Court’s opinion and evaluating our options, including, as the Court of Appeals authorized, retrying the defendants for conspiracy and securities fraud.
After the guilty verdict in this case, I described the prosecutors and agents who worked on this case as being among the finest professionals in law enforcement. I stand by that statement today.
Statement of U.S. Attorney David C. WeissRead the Press Release
WILMINGTON, Del. – As this week’s events in D.C. once again demonstrate, we are a nation of laws. And it falls to our law enforcement officers to fairly discharge their responsibilities and enforce our laws. In Delaware, we are fortunate to have an extraordinary group of federal, state and local officers who are dedicated to protecting and serving our community. As recently shown by Senior Corporal Timothy "TJ" Webb of Milford PD, they run toward the danger to keep us safe. In recognition of Law Enforcement Appreciation Day, and on behalf of the United States Attorney’s Office for the District of Delaware, it has been and continues to be a privilege to work with our law enforcement partners throughout Delaware. Thank you for your service.
United States Brings Federal False Claims Act Suit Against Newark LandlordRead the Press Release
WILMINGTON, Del. – U.S. Attorney David C. Weiss announced today that the United States filed a civil complaint against Goodfish Enterprises, LLC and its principal, Christopher Lukacs, in the United States District Court for the District of Delaware. The United States alleges that Goodfish and Lukacs violated the False Claims Act in connection with their participation in Department of Housing and Urban Development’s Housing Choice Voucher Program (HCVP), commonly known as “Section 8.” The HCVP is the federal government’s primary program for helping low-income families, the elderly, and the disabled to afford decent, safe, and sanitary housing in the private market.
Goodfish and Lukacs own more than 90 properties in the Sparrow Run housing development in Newark, Delaware, many of which are leased to low-income residents who receive rental assistance from the federal government through the HCVP. Since July 2015, they have received more than $950,000 in federally funded housing assistance payments.
HCVP regulations require program participants to certify that they are not charging a higher rent to tenants who receive assistance through the HCVP than they charge unassisted tenants in comparable housing units. The United States alleges that Goodfish and Lukacs frequently charged HCVP participants higher rents than unassisted tenants. As a result, the United States alleges these required certifications were false and fraudulent. In addition, the United States alleges that Goodfish and Lukacs repeatedly provided false information on HCVP forms regarding the rents they received from unassisted tenants to justify the inflated rents they sought to charge for HCVP rentals.
“When federal taxpayer money is used to provide housing assistance for low-income Delaware residents, the government must ensure that the money is well spent and that the rent being charged is appropriate,” said U.S. Attorney Weiss. “Every month for at least six years, Goodfish and Lukacs falsely certified that the rents they charged Section 8 tenants were no higher than the rents for unassisted tenants. Time and again, they inflated the rents charged to needy Delawareans and justified these rents with additional false statements, leaving the government to foot the bill. Today’s civil complaint demonstrates that this office will aggressively work to recover public money from those who fraudulently seek to overcharge the federal government.”
This matter was investigated by the Department of Housing and Urban Development Office of Inspector General. The investigation and litigation are being handled by Assistant U.S. Attorney Dylan J. Steinberg.
The complaint contains allegations only, and not findings of liability.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the District of Delaware. Related court documents and information is located on the website of the District Court for the District of Delaware or on PACER.
Eranga Cardiology to Pay $500,000 to Resolve Health Care Fraud AllegationsRead the Press Release
WILMINGTON, Del. – U.S. Attorney David C. Weiss announced today that Eranga Cardiology, P.A. and Dr. Eranga Haththotuwa have agreed to a $500,000.00 settlement with the government to resolve allegations of health care fraud arising under the False Claims Act. Eranga Cardiology is a cardiology practice with locations in Milford and Dover.
From April 2014 to March 2020, the practice submitted claims for reimbursement to Medicare and Medicaid that required both performance of cardiology procedures and the generation of corresponding interpretive reports. The United States alleged that the practice submitted and received payment for these claims without generating the required interpretive reports. The civil claims settled by this False Claims Act agreement are allegations only; there has been no admission of fault.
“The U.S. Attorney’s Office for the District of Delaware is committed to combating health care fraud and protecting Medicare beneficiaries using all available remedies,” said U.S. Attorney Weiss. “When providers cut corners by failing to ensure that procedures are adequately documented, it cheats both the patients and the government.”
The settlement announced today resolves a lawsuit filed under the whistleblower provision of the False Claims Act. The government’s claims are based on a whistleblower suit filed by a former employee of Eranga Cardiology. A whistleblower suit, or qui tam action under the False Claims Act, is commenced by an individual, known as a “relator,” filing a complaint under seal in the U.S. District Court, and providing a copy of the complaint and other evidence to the local U.S. Attorney. The United States then has an opportunity to investigate the claims. The False Claims Act provides the whistleblowers with a share of the government’s recovery.
The resolutions obtained in this matter were the result of a coordinated effort between the U.S. Attorney’s Office for the District of Delaware, U.S. Department of Health and Human Services, and the Delaware Department of Justice.
“Providers should bill taxpayer-funded government health programs for services actually provided—no less and certainly never more,” said Maureen R. Dixon, Special Agent in Charge for the Office of Inspector General of the U.S. Department of Health and Human Services. “We will continue aggressively investigating schemes that undermine the integrity of these vital programs. Anyone suspecting Medicare or Medicaid fraud is urged to please contact our investigative hotline at 1-800-HHS-TIPS (1-800-447-8477).”
This matter was investigated by Assistant U.S. Attorneys Shamoor Anis and Laura Hatcher.
Related court documents and information from the civil lawsuit are on PACER by searching for Case No. 1:17-cv-1742-MN.
Georgetown Man Sentenced to 37 Months for Nationwide Swatting IncidentsRead the Press Release
WILMINGTON, Del. – David C. Weiss, United States Attorney for the District of Delaware, announced today that Rodney Phipps, 30, of Georgetown, was sentenced today to 37 months in prison by the Honorable Richard G. Andrews, United States District Judge for the District of Delaware.
Phipps pled guilty in January 2020 to five counts of making interstate threats and one count of making a false threat involving explosives in relation to a string of “swatting” phone calls he made to police departments and emergency dispatch centers across the country. “Swatting” involves making hoax emergency calls in order to elicit an armed police response (e.g., from a SWAT team) for the purpose of harassing someone believed to be at the location of the purported emergency.
According to court documents, from August 2015 through August 2017, Phipps placed swatting calls from Delaware to police departments and emergency dispatch centers across the country, including calls to Harrison, New Jersey; Opelousas, Louisiana; Russel County, Kentucky; Pasco County, Florida; and Forsyth County, Georgia. Those swatting calls included false reports that murder, shooting incidents, arson, and a hostage situation had taken place or would take place.
Many of the calls also contained explicit threats that the caller would shoot with a firearm any law enforcement personnel who responded to the emergency call. In several instances, those hoax calls provoked significant law enforcement responses to the purported victim’s residences.
U.S. Attorney Weiss stated, “Swatting phone calls are not harmless pranks. Those who engage in swatting activity intentionally create a serious risk of physical harm to law enforcement officers, the intended victims, and innocent bystanders. Swatting calls also disrupt the operations of local emergency response agencies by misdirecting resources that could be needed for legitimate emergencies. My office will continue to prosecute those who engage in swatting activity to the fullest extent allowed by law and will seek sentences that reflect the serious danger created by such conduct.”
"These calls are dangerous not only to the victims but also to first responders who are placed in danger as unsuspecting residents try to defend themselves. The communities are also placed in danger as responders rush to the scene, taking them away from real emergencies. The FBI works closely with law enforcement partners and continues to collect investigative information to help identify key individuals and groups conducting swatting incidents such as today's sentence reflects. We will continue such efforts to stop these crimes and perpetrators from continuing these dangerous hoaxes," said Jennifer C. Boone, Special Agent in Charge of the FBI Baltimore field office.
This case is being investigated by FBI-Baltimore Division’s Wilmington Resident Office and is being prosecuted by Assistant U.S. Attorney Jesse S. Wenger.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the District of Delaware. Related court documents and information is located on the website of the District Court for the District of Delaware or on PACER by searching for Case No. 1:19-cr-69.
Wilmington Man Sentenced to 108 Months in Prison for Federal Drug ChargeRead the Press Release
WILMINGTON, Del. – David C. Weiss, United States Attorney for the District of Delaware, announced today that Ibrahim Sesay, 45, of Wilmington, was sentenced by Chief U.S. District Judge Leonard P. Stark to 9 years in federal prison for possessing crack cocaine with the intent to distribute it.
According to court documents, Sesay sold crack cocaine to a confidential informant on a number of separate occasions. Based on that conduct, law enforcement obtained a warrant to search Sesay’s apartment. When executing that search warrant, law enforcement ultimately recovered over 159 grams of crack cocaine and over $12,000 in drug proceeds. This was Sesay’s tenth drug-related conviction, including his second federal felony conviction in this District.
U.S. Attorney Weiss stated, “This case demonstrates our continued commitment to stop the flow of dangerous substances into our communities. Sesay made a career out of dealing drugs. The sentence imposed highlights the severe consequences individuals can expect to face when making the repeated choice to resort to a life of drug dealing.”
“Whether it’s a large-scale drug organization or an individual selling cocaine from an apartment, rest assured disrupting and dismantling criminal drug trafficking operations is a critical part of the FBI’s mission,” said Jennifer C. Boone, Special Agent in Charge of the FBI Baltimore field office. “Today’s sentence is a reminder to those who prey on our communities - your criminal activity will not be tolerated and you will be brought to justice.”
This case was investigated by FBI-Baltimore Division’s Wilmington Resident Office’s Safe Streets Taskforce and the Delaware State Police. Assistant U.S. Attorney Jesse S. Wenger prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the District of Delaware. Related court documents and information is located on the website of the District Court for the District of Delaware or on PACER by searching for Case No. 19-CR-73.
November 2020 General ElectionRead the Press Release
WILMINGTON, Del. – U.S. Attorney David C. Weiss announced today that Assistant U.S. Attorney (“AUSA”) Shamoor Anis will lead his Office’s efforts in connection with the U.S. Department of Justice’s nationwide Election Day Program for the upcoming November 3, 2020 general election. AUSA Anis has been appointed to serve as the District Election Officer (“DEO”) for the District of Delaware, responsible for overseeing the District’s handling of any voting rights concerns and election fraud complaints in consultation with Department of Justice headquarters in Washington.
U.S. Attorney Weiss stated, “Ensuring free and fair elections depends in large part on the cooperation of the American electorate. It is imperative that those who have specific information about discrimination or election fraud make that information available to my Office, the FBI, or the Civil Rights Division.”
The U.S. Department of Justice plays an important role in deterring election fraud and discrimination at the polls, and combating these violations whenever and wherever they occur. The Department’s long-standing Election Day Program furthers these goals, and also seeks to ensure public confidence in the integrity of the election process by providing local points of contact within the Department for the public to report possible election fraud and voting rights violations while the polls are open through Election Day.
Federal law protects against such crimes as intimidating or bribing voters, buying and selling votes, impersonating voters, altering vote tallies, stuffing ballot boxes, and marking ballots for voters against their wishes or without their input. It also contains special protections for the rights of voters, and provides that they can vote free from acts that intimidate or harass them. For example, actions of persons designed to interrupt or intimidate voters at polling places by questioning or challenging them, or by photographing or videotaping them, under the pretext that these are actions to uncover illegal voting, may violate federal voting rights law. Federal law also protects the right of voters to mark their own ballot or to be assisted by a person of their choice (where voters need assistance because of disability or illiteracy).
U.S. Attorney Weiss further noted that: “The franchise is the cornerstone of American democracy. We all must ensure that those who are entitled to vote exercise that franchise if they choose, and that those who seek to corrupt it are brought to justice. In order to respond to complaints of election fraud or voting rights concerns during the voting period that ends on November 3, 2020, and to ensure that such complaints are directed to the appropriate authorities, AUSA/DEO Anis will be on duty in this District while the polls are open. AUSA Anis can be reached by the public at (302) 573-6277.
In addition, the FBI will have special agents available in each field office and resident agency throughout the country to receive allegations of election fraud and other election abuses on Election Day. The Wilmington FBI can be reached by the public at (302) 658-4391.
Complaints about possible violations of the federal voting rights laws can be made directly to the Civil Rights Division in Washington, DC by phone at 800-253-3931 or by complaint form at https://civilrights.justice.gov/ .
Please note: In the case of a crime of violence or intimidation, call 911 immediately and before contacting federal authorities. State and local police have primary jurisdiction over polling places, and almost always have faster reaction capacity in an emergency.
“Every citizen must be able to vote without interference or discrimination and to have that vote counted. The Department of Justice will always act appropriately to protect the integrity of the election process,” noted U.S. Attorney Weiss.
Former Wilmington Doctor Receives 70 MonthsRead the Press Release
WILMINGTON, Del. – Today, U.S. District Judge Richard G. Andrews sentenced Charles Esham, a 61-year old former physician, to 70 months in prison for issuing illegal oxycodone prescriptions over a two-year period.
According to court documents and evidence presented at trial, between 2015 and 2016, Esham issued oxycodone prescriptions that were outside the course of usual professional practice and not for a legitimate medical purpose. Many of the more than 4,000 pills covered by those prescriptions were diverted and sold. Following a week-long trial, a jury convicted Esham of 39 counts of unlawful distribution of oxycodone. He has been incarcerated since the completion of the trial in December 2019.
On learning of the sentence, U.S. Attorney David C. Weiss stated, “Esham wrote oxycodone prescriptions as if he were taking orders at an ice-cream shop. He exercised almost no medical judgment or oversight when prescribing powerful opioids. In doing so, he effectively handed over his prescription pad to a drug trafficking ring and, worse, he papered his files to try to cover his tracks. Today, the Court sent a powerful message: doctors who violate their oaths and betray the trust that society places in them will answer for their crimes.”
"Medical professionals such as Dr. Esham have an ethical and legal obligation to prescribe powerful prescription painkillers such as oxycodone only for legitimate medical purposes," said Jonathan A. Wilson, Special Agent in Charge of the Drug Enforcement Administration's (DEA) Philadelphia Field Division. "His conviction on 39 counts of drug distribution totaling over 4,000 pills of oxycodone shows his total disregard for these same obligations; Dr. Esham's conduct was criminal."
This case was investigated by the DEA Philadelphia Field Division. Assistant U.S. Attorneys Christopher R. Howland and Dylan J. Steinberg prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the District of Delaware. Related court documents and information is located on the website of the District Court for the District of Delaware or on PACER by searching for Case No. 17-CR-71-RGA.
Drug Trafficker from Wilmington's Hilltop Neighborhood Sentenced to over 9 Years in Federal PrisonRead the Press Release
WILMINGTON, Del. – David C. Weiss, U.S. Attorney for the District of Delaware, announced today that Alfred Evans, 40, of Wilmington, was sentenced by U.S. District Judge Colm F. Connolly to 9 ½ years in prison after a wiretap investigation revealed his extensive drug dealing activities in Wilmington’s Hilltop neighborhood.
According to court documents, the Defendant was arrested in March of 2018 with over 500 grams of powder cocaine and over 190 grams of crack cocaine. He pled guilty to conspiring to distribute those drugs. As mentioned in open court during the sentencing hearing, Evans has been convicted of ten prior felony offenses, and was previously declared a habitual offender by the State of Delaware.
U.S. Attorney Weiss stated, “This case demonstrates our continued commitment to work with our HIDTA partners to protect Wilmington neighborhoods from those who make the drug trade their profession.”
The case was investigated by the Drug Enforcement Administration (“DEA”) Group 41, which is part of the Liberty Mid-Atlantic High Intensity Drug Trafficking Area (“HIDTA”). The DEA received significant assistance from the Bureau of Alcohol, Tobacco, Firearms and Explosives (“ATF”) and the Wilmington Police Department. Other agencies aiding the investigation included the New Castle County Police Department, and Delaware State Police. Assistant U.S. Attorneys Christopher L. de Barrena-Sarobe and Laura D. Hatcher prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the District of Delaware. Related court documents and information is located on the website of the District Court for the District of Delaware or on PACER by searching for Case No. 19-CR-00061 (CFC).
Delaware Man Who Sold Heroin Laced with Furanyl Fentanyl Sentenced to over 8 Years in Federal PrisonRead the Press Release
WILMINGTON, Del. – Cornelius Riley, 44, of Dover, was sentenced on August 26 to 100 months in federal prison for distributing and possessing with the intent to distribute heroin, after being convicted by a jury in May of 2019.
In January of 2018, Defendant sold an ounce of heroin to an undercover officer. The Defendant then made arrangements to sell an additional 4.5 ounces of heroin to the same undercover officer later that week. On the day of the sale, Defendant was arrested at the agreed-upon place, at the agreed-upon time, and with the agreed-upon amount of heroin in the back of his car. Forensic chemical analysis of the substance showed that the heroin was mixed with a deadly fentanyl analogue, furanyl fentanyl.
“The Court’s sentence reflects the seriousness of Mr. Riley’s actions and the harm he posed to society,” said U.S. Attorney Weiss. “Riley was responsible for injecting a large amount of heroin into the Delaware community. His crime was made more dangerous by the fact that the heroin Riley sold was laced with a deadly fentanyl analogue. We will continue to aggressively investigate and prosecute drug dealers, and those who are responsible for selling this poison to the community should expect to face serious punishment.”
David C. Weiss, U.S. Attorney for the District of Delaware, made the announcement after sentencing by U.S. District Judge Richard G. Andrews. Assistant U.S. Attorneys Laura D. Hatcher and Daniel Logan prosecuted the case, which was investigated by the Drug Enforcement Administration.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the District of Delaware. Related court documents and information is located on the website of the District Court for the District of Delaware or on PACER.
Wilmington Man Sentenced to 111 Months for Drug Trafficking and Firearms OffensesRead the Press Release
WILMINGTON, Del. – David C. Weiss, U.S. Attorney for the District of Delaware, announced that Keenan Gibson, 41, of Wilmington, was sentenced last week to more than 9 years in prison after a jury convicted Gibson of gun and drug charges in June 2019.
According to court documents, Gibson was charged with possession of heroin with the intent to distribute, as well as possession of a firearm in furtherance of drug trafficking. Gibson’s charges arose from a search of a Wilmington apartment during which officers discovered more than 1,100 bags of heroin, along with marijuana and methamphetamine. Gibson was found hiding in the bathroom, with his phone in the bathtub and a gun under the sink. Evidence at trial included multiple text messages on Gibson’s phone that referenced selling heroin and other drugs. The jury convicted Gibson in under three hours.
U.S. Attorney Weiss stated, “This defendant decided to sell heroin in the middle of an opioid crisis and to use a firearm in furtherance of his drug-trafficking activity in a community plagued by gun violence. Like others who engage in such conduct, he got caught and now will spend nearly a decade behind bars.”
“Any instance of criminals trafficking drugs creates opportunities for violence and puts communities at risk. This defendant increased that likelihood of violence by using a firearm to further his criminal activities,” said ATF Baltimore Field Division Special Agent in Charge Timothy Jones. “ATF and our law enforcement partners in the Wilmington Police Department, as well as the U.S. Attorney’s Office, are focused on getting anyone who uses guns to commit crime off the street so Delaware neighborhoods can thrive.”
"This sentencing marks the culmination of an investigation into drug and weapon offenses - crimes that plague communities across the country and disturb the quality of life of our residents," said Wilmington Police Chief Robert J. Tracy. "The outcome also accentuates the strong partnership our agency has with our colleagues in the U.S. Attorney's Office and the ATF, and the shared commitment we have to making our community safer."
The case was investigated by the Wilmington Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives. Assistant U.S. Attorneys Christopher de Barrena-Sarobe and Christopher Howland prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the District of Delaware. Related court documents and information is located on the website of the District Court for the District of Delaware or on PACER by searching for Case No. 16-CR-46.
Delaware Man Pleads Guilty to Defrauding Federal Government of Hundreds of Thousands of Dollars in Small Business Fraud CaseRead the Press Release
WILMINGTON, Del. – A Delaware man pleaded guilty today to wire fraud in connection with false representations that he made in a final report to the United States Air Force.
Pengcheng Lv is a co-owner of AlphaSense, Inc. (“AlphaSense”), a small technology company located in Wilmington, Delaware. Starting as early as 2008 and continuing through at least 2016, AlphaSense, through Lv, voluntarily and intentionally made false representations in grant proposals and payment requests to United States government agencies, including the United States Department of Energy (DOE), Air Force, Navy, and Army, the Defense Advanced Research Projects Agency, the National Science Foundation (NSF), and the National Aeronautics and Space Administration (NASA), seeking funds for scientific research. The total loss attributable to Lv’s conduct is between $250,000 and $500,000. As part of Lv’s plea, he also agreed to enter into a civil settlement to pay $700,000 in damages to the government for violations under the False Claims Act.
Lv’s grant applications were submitted to the government agencies in connection with grants or contracts that were administered through the Small Business Innovation Research (“SBIR”) and Small Business Technology Transfer (“STTR”) programs. The SBIR and STTR programs encourage domestic small businesses to engage in federal research and development that has the potential for commercialization. These funding programs are highly competitive and require a showing of adequate and qualified staffing and, in some cases, industry support.
Lv’s scheme included forging letters from university professors and industry professionals and including such letters in his proposals to the government as evidence of capability, support, or interest; representing that AlphaSense had employees with impressive experience and education, when many of those individuals had never worked for AlphaSense; and, pocketing money that had been earmarked through the government awards to others, including “ghost” employees.
“Lv deceived numerous government agencies into awarding federal grants or contracts that should have gone to honest, qualified, and deserving small businesses,” said U.S. Attorney David C. Weiss. “Fraud in the award process serves to undermine public trust and confidence in such programs, and harms deserving small businesses looking to commercialize their ideas. With our agency partners, we will continue to identify and punish those who use the federal funding process to line their own pockets and we will disgorge bad actors of any ill-gotten gains.”
"The SBIR/STTR program is a valuable tool in advancing NSF's mission to promote the progress of science by increasing opportunities for small businesses to undertake cutting-edge scientific research, and it is essential to protect the integrity of this program," commented Allison Lerner, the Inspector General for NSF. "The NSF Office of Inspector General is committed to vigorously pursuing oversight of these taxpayer funds and I commend the U.S. Attorney's Office and our investigative partners for their strong support in this effort."
“I commend the outstanding investigative efforts of our law enforcement partners and the work of the USAO for the District of Delaware in reaching this plea,” said NASA Inspector General Paul K. Martin. “Their teamwork resulted in ensuring aggressive oversight of taxpayer funds used for scientific research by NASA contractors and grantees.”
“Protecting research and development programs funded by the U.S. Department of Defense is a priority for the Defense Criminal Investigative Service (DCIS),” stated Special Agent in Charge Leigh-Alistair Barzey, DCIS Northeast Field Office. “The defendant’s guilty plea is the result of a joint effort and this case demonstrates the DCIS’ ongoing commitment to work with the USAO-DE and its law enforcement partners to investigate and prosecute individuals who defraud the SBIR and STTR programs.”
“The SBIR and STTR programs are critically important in the generation of scientific breakthroughs and technological innovations. Those who defraud our programs are a threat to our nation. The Department of Energy, Office of Inspector General will continue to work with our law enforcement partners to hold all who violate the integrity of our Nation's scientific programs accountable,” said Department of Energy Inspector General Teri L. Donaldson. “Thank you to the U.S. Attorney's Office and our law enforcement partners on this joint investigation.”
Lv faces a maximum penalty of 20 years imprisonment, 3 years supervised release, a fine equal to the greater of $250,000 or twice the gross loss, and a $100 special assessment. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
This case is being investigated by the Offices of Inspectors General at NASA, NSF, and DOE, the Air Force Office of Special Investigations, the Defense Criminal Investigative Service, and the Naval Criminal Investigative Service, with assistance from United States Citizenship and Immigration Services and Homeland Security Investigations. The case was prosecuted by Assistant U.S. Attorney Laura D. Hatcher and Elisabeth Christensen, Special Assistant U.S. Attorney, from the National Science Foundation Office of Inspector General.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the District of Delaware. Related court documents and information is located on the website of the District Court for the District of Delaware or on PACER by searching for Case No. Case 1:20-cr-00021-MN.
Wilmington Man Federally Indicted for Carjacking and Weapons OffensesRead the Press Release
WILMINGTON, Del. – A federal grand jury returned an indictment yesterday charging a Wilmington man with carjacking and weapons offenses.
According to the indictment, Davine Boyce, 21, committed the carjacking on December 1, 2019, and in the process he brandished a loaded Taurus Model G2C 9mm semiautomatic firearm with an extended magazine. He was prohibited from possessing a firearm by virtue of a prior felony conviction.
Boyce is charged with carjacking, brandishing a firearm during and in relation to a crime of violence, and possession of a firearm by a person prohibited. If convicted, he faces a mandatory minimum of 7 years imprisonment, with a maximum of life imprisonment. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
David C. Weiss, U.S. Attorney for the District of Delaware, and Timothy Jones, ATF Baltimore Special Agent in Charge made the announcement. Assistant U.S. Attorney Jennifer K. Welsh and Special Assistant U.S. Attorney Michael McTaggart are prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the District of Delaware. Related court documents and information is located on the website of the District Court for the District of Delaware or on PACER.
An indictment contains allegations that a defendant has committed a crime. Every defendant is presumed to be innocent until and unless proven guilty in court.
Two Indicted in Federal Court for Burglary of Firearms DealerRead the Press Release
WILMINGTON, Del. – On July 7, 2020, a federal grand jury indicted Nahsiem McIntosh, 21 years old, and Derris Lloyd, 35, both of Wilmington, Delaware, for offenses related to the May 31, 2020, burglary of the American Sportsman, a federal firearms dealer in Newark, Delaware.
According to the Indictment, 35 firearms were stolen. McIntosh and Lloyd are charged with: (1) theft of firearms from a federal firearms licensee and aiding and abetting the theft; (2) possession of a firearm by a prohibited person; and (3) possession of a stolen firearm. McIntosh is charged with possessing one of the stolen firearms on June 1, 2020; Lloyd is charged with possession of one of the stolen firearms on June 18, 2020.
If convicted of all crimes charged, the defendants face a maximum penalty of 30 years in prison. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
The Indictment is a part of an ongoing investigation by the Bureau of Alcohol, Tobacco, Firearms & Explosives (ATF). The ATF was assisted by the Delaware State Police, FBI, U.S. Marshals Service, Wilmington Police Department, New Castle County Police Department and Delaware State Probation and Parole.
David C. Weiss, U.S. Attorney for the District of Delaware, and Timothy Jones, ATF Baltimore Special Agent in Charge, made the announcement. Assistant U.S. Attorneys Christopher L. de Barrena-Sarobe and Maureen McCartney are prosecuting the case.
One unaccounted firearm in our community is too many. 35 guns on the street is unacceptable. We again ask for the public’s assistance in providing any information about the theft of these firearms or the suspects appearing in the attached photos. A $5,000 reward for information leading to the arrest of these individuals still stands. Please call 888-ATF-TIPS (888-283-8477) or send an email to [email protected] if you have information.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the District of Delaware. Related court documents and information is located on the website of the District Court for the District of Delaware or on PACER by searching for Case No. 1:20-cr-040.
An indictment contains allegations that a defendant has committed a crime. Every defendant is presumed to be innocent until and unless proven guilty in court.
Washington State Man Charged with Smashing Police Car WindowRead the Press Release
WILMINGTON, Del. – David C. Weiss, U.S. Attorney for the District of Delaware announced today that a criminal complaint was issued on Saturday, June 6, 2020, charging Adrian Wood, 21, of Washington State, with engaging in a civil disorder that obstructed, impeded, or interfered with a law enforcement officer’s lawful duties. If convicted, Wood faces a statutory maximum punishment of up to five years in prison.
The criminal complaint alleges that, beginning in the afternoon of May 30, 2020, protesters gathered in downtown Wilmington in recognition of George Floyd’s death in Minneapolis, Minnesota. Protest participants marched in and around Wilmington, including onto Interstate Highway I-95 where they blocked traffic moving in both directions. Later in the evening, a number of persons damaged and looted commercial businesses on Market Street, including restaurants, bars, retail stores, and at least one sporting goods store. Defendant Wood was observed throwing a brick through the back window of a Wilmington Police Department (WPD) marked police car that was being operated by a WPD officer at the time of the incident. Woods ultimately surrendered to police.
U.S. Attorney Weiss commented on the issuance of the criminal complaint, “In recent days, protestors throughout Delaware have lawfully exercised their First Amendment rights in sympathy with those seeking criminal justice reform. But peaceful protest does not extend to the lawless destruction of private or public property. Thankfully, the defendant’s violent actions did not result in physical harm to the WPD officer driving the police car attacked by the defendant. I commend WPD’s collaboration with the FBI and their efforts to quickly identify and bring the defendant to justice.
“We appreciate the continued partnership and support of the U.S. Attorney’s Office and the Federal Bureau of Investigation,” said Wilmington Police Chief Robert J. Tracy. “I am glad that none of our officers were injured, and that our collaborative, investigative efforts have been successful in holding this individual responsible for his actions.”
“The cornerstone of America is built on the rights of its citizens to peacefully assemble and have their voices heard,” said FBI Special Agent in Charge Jennifer Boone. “But we cannot allow violence committed by those who try to take advantage of peaceful demonstrations to pursue their own agendas to stand. Together with our partners, we will not let anyone use violence to silence a community and we encourage anyone with information or evidence of violence to submit a tip at fbi.gov/violence.”
A criminal complaint is merely an accusation. The defendant is presumed innocent until proven guilty in a court of law.
U.S. Department of Justice Increases Efforts to Combat Sexual Harassment in Housing During the COVID-19 PandemicRead the Press Release
WILMINGTON, Del. – United States Attorney David C. Weiss requests that anyone who has witnessed or experienced sexual harassment by a landlord, property manager, maintenance worker, or anyone with control over housing report that conduct to federal or state law enforcement officials.
The COVID-19 pandemic has impacted the ability of many people to pay rent on time and has increased housing insecurity. The Department of Justice has heard reports of housing providers trying to exploit the crisis to sexually harass tenants. Sexual harassment in housing is illegal, and the Department of Justice stands ready to investigate such allegations and pursue enforcement actions where appropriate.
“Delawareans are facing very difficult times due to the current pandemic and any attempt to take advantage of them or this crisis to sexually harass tenants is illegal, abhorrent and will not be tolerated,” said U.S. Attorney Weiss. The U.S. Attorney’s Office will work closely with state and local partners to identify incidents of sexual harassment in housing.
The Justice Department’s Sexual Harassment in Housing Initiative is an effort to combat sexual harassment in housing led by the Civil Rights Division, in coordination with U.S. Attorney’s Offices across the country. Launched in 2017, the Initiative has filed lawsuits across the county alleging a pattern or practice of sexual harassment in housing and recovered millions of dollars in damages for harassment victims. The Justice Department’s investigations frequently uncover sexual harassment that has been ongoing for years. Many individuals do not know that being sexually harassed by a housing provider can violate federal law or that the Department of Justice may be able to help.
The Department encourages anyone who has experienced sexual harassment in housing, or knows someone who has, to contact the Civil Rights Division by calling (844) 380-6178 or emailing [email protected].
Individuals may also file a complaint alleging harassment or discrimination in housing with the Department of Housing and Urban Development through HUD’s website or by calling (800) 669-9777.
Top Federal and State Prosecutors Form Delaware COVID-19 Anti-Fraud CoalitionRead the Press Release
WILMINGTON, Del. – Today, United States Attorney David C. Weiss and Delaware Attorney General Kathleen Jennings announced the formation of a new Coronavirus (COVID-19) Anti-Fraud Coalition, aimed at better protecting the citizens of Delaware from criminal and civil fraud arising from the pandemic. The Coalition is comprised of local, state and federal agencies, investigators and prosecutors with significant experience in handling complaints and cases related to consumer fraud, financial fraud, heath care fraud, and cybercrime. Together, the Coalition will share information and resources to monitor, identify and investigate misconduct to protect the people of Delaware from those exploiting the COVID-19 pandemic for their own advantage.
Agencies participating in the Coalition include:
- Delaware Department of Justice
- United States Attorney’s Office
- Federal Bureau of Investigation
- U.S. Department of Homeland Security-Homeland Security Investigations
- U.S. Small Business Administration-Office of Inspector General
- U.S. Department of Labor-Office of Inspector General
- Delaware Department of Health & Social Services
- Delaware Office of Management & Budget
- Delaware Department of Transportation
- Delaware Department of Education
- Delaware Department of Insurance
- Delaware Department of Finance
- Delaware Department of Labor
- Delaware Auditor of Accounts
- Delaware State Police
- New Castle County
Participating agencies will take information, tips and complaints from the public, as well as other local law enforcement agencies seeking the Coalition’s assistance.
“Sadly, criminals look to take advantage of people, regardless of the circumstances,” said David C. Weiss, U.S. Attorney for the District of Delaware. “But the people of Delaware can rest assured that we will be relentless in bringing to justice those seeking to illegally profit from this crisis. If you believe you are the victim of a scam, or have been contacted by someone falsely claiming to be a representative of the government, please contact the Coalition at one of the below email addresses immediately. I want to thank our local and state partners for their commitment to combating fraud and protecting Delawareans. By working together, we are more fully able to identify, investigate, and prosecute these criminal acts of fraud related to the COVID-19 pandemic. In these challenging times, I am grateful for this type of collaboration, which represents the best of public service.”
“This pandemic is ripe for exploitation by scammers,” said Attorney General Jennings. “The Delaware Department of Justice and its Fraud Division works each day to educate consumers, prevent fraud, and bring scammers to justice—but our work will never be done as long as consumers continue to be preyed upon by those who profit shamelessly off of their fears and anxiety. Our collaboration with the U.S. Attorney’s Office is the latest chapter in a longstanding record of partnership, and in this public health and economic crisis it has never been more important for everyone at the federal, state, and local level to collaborate on the people’s behalf.”
Be on the lookout for and be wary of potential COVID-19 scams and abuses. Any information, complaints, or concerns can be reported to the Coalition by email to [email protected] or [email protected]. Delawareans who may have been scammed can also reach out to the Attorney General's consumer protection hotline at (800) 220-5424. In addition, you can also contact the National Center for Disaster Fraud (NCDF) by hotline (1-866-720-5721) or to the NCDF e-mail address [email protected].
Common scams and frauds include:
- Economic Impact Payment (Stimulus Check): Scammers pretend to be government officials offering false economic impact payments (stimulus checks) in order to obtain personal identifying information including social security and bank account numbers.
- Diagnosis Testing Scams: Scammers offer fake COVID-19 testing kits, particularly door-to-door.
- Treatment/Cure Scams: Scammers offer fake or unproven treatment regimens that are particularly dangerous because they have the potential to do more harm than good.
- Charity Scams: Virtually every time there is a disaster or emergency, scammers set up fake charities to solicit donations that they then spend on themselves.
- Overinflated prices: The Coalition will use every tool available to hold sellers accountable who unlawfully use the COVID-19 pandemic to unreasonably inflate prices.
- Investment Scams: Scammers make false claims about tests, cures and other matters related to COVID-19 in order to entice victims to make investment decisions based on those false claims that allow the scammer to steal money and assets from Delawareans.
- Cyber Scams: Scammers send victims emails related to COVID-19 that appear to be from the victims’ banks, health care providers, the World Health Organization, the Centers for Disease Control and Prevention (CDC), and others for the purpose of obtaining the victims’ personal identifying information and exploiting it for the scammers’ own benefit.
- App Scams: Scammers are creating and manipulating mobile apps designed to track the spread of COVID-19 to insert malware that will compromise users’ devices and personal information.
- Insurance, Workers’ Compensation and Medicaid Fraud: Businesses and government agencies are not immune to scams. They should also be vigilant to ensure scammers do not take advantage of their businesses or customers during this pandemic.
- Scams specifically targeted at seniors: Seniors are more vulnerable than ever to common scams like the Grandparent Scam and Government Imposter Scams. Consumers receiving a call or any contact claiming that loved ones are in danger or hurt, that they owe money and failure to pay will result in their arrest or other harm, or that their benefits are in jeopardy, do not act. Contact your loved ones or the purported agency using known, trusted contact information not sourced from the suspicious communication.