Middle District of Florida

Jacksonville, Florida – Acting United States Attorney W. Stephen Muldrow announces that a federal jury has found Anthony Johnson (52, Jacksonville) guilty of nine counts of aggravated identity theft, nine counts of bank fraud, seven counts of false representation of a Social Security number, and three counts of mail fraud. He faces up to 30 years in prison for each bank fraud offense; up to 20 years’ imprisonment for each mail fraud offense; up to 5 years in prison for each charge of falsely representing a Social Security number; up to 3 consecutive years in prison for violation of supervised release; and a mandatory minimum penalty of 2 years’ imprisonment for each aggravated identity theft count. No date has been set for sentencing or the violation hearing.

 

Johnson was indicted on August 10, 2016.

 

According to evidence presented at trial, starting in 2014, Johnson falsely claimed to be a former member of the U.S. Army and used the Social Security number of two victims, including a lawyer from Seattle, Washington, to open a bank account and obtain a loan and multiple credit cards from United Services Automobile Association (USAA). After obtaining multiple convenience checks on the credit cards, Johnson withdrew thousands of dollars from the USAA bank account for his own use. After obtaining a genuine Florida driver’s license under the identity of a Texas doctor, Johnson then obtained two fraudulent loans totaling over $148,000 from Bankers Healthcare Group, LLC (BHG) and had the money from BHG wired into a TD Bank business account in the name of a false medical data company that he had incorporated in Florida. Using the same identity, Johnson obtained additional loans from Springleaf Financial Services and had the proceeds wired to the same bank account. Johnson then set up a personal bank account at TD Bank in the victim’s name and began funneling money from the business account into the personal account. Thereafter, Johnson began making large cash withdrawals to fund his purchase of luxury items, including a $70,000 Mercedes Benz.

 

During this time, Johnson used the identity of a fourth victim to obtain an apartment under that victim’s name and then obtained another Florida driver’s license under the identity of a fifth victim. Using proceeds from his criminal activity, Johnson left the United States and traveled to Dubai in June and July of 2016. While there, he spent more than $4,000 at a club/restaurant, stayed at a high-end hotel, and purchased expensive personal items.  

 

On July 11, 2016, U.S. Immigration and Customs Enforcement, in coordination with the U.S. Marshals Service, arrested Johnson for violation of supervised release as he reentered the United States at Orlando International Airport. He was detained and has remained in federal custody since that time.

 

This case was investigated by the Florida Highway Patrol – Bureau of Criminal Investigations and Intelligence, the Jacksonville Sheriff’s Office, the U.S. Marshal Service, U.S. Immigration and Customs Enforcement, and the U.S. Secret Service (Jacksonville Field Office). It is being prosecuted by Assistant United States Attorneys Kevin C. Frein and Beatriz Gonzalez.

Jacksonville, Florida – Acting United States Attorney W. Stephen Muldrow announces the unsealing of an indictment charging Ernest Ray Lewis with 17 counts of aiding and assisting in the filing false of tax returns, and 4 counts of failing to file a tax return. Each aiding and assisting offense carries a maximum penalty of three years’ imprisonment. Each failing to file a tax return offense carries a penalty of up to one year in prison.

 

According to the indictment, Lewis worked at a tax return preparation business in Jacksonville. The indictment alleges that Lewis knowingly reported false information on customers’ income tax returns, including false claims for business losses and dependent exemptions, which decreased the amount of money owed by the customers to the Internal Revenue Service (IRS) and increased the amount of tax refunds received by the customers from the IRS. The indictment specifically alleges that Lewis filed 17 false returns on behalf of 10 taxpayers for the years 2012 through 2015.

 

The indictment also alleges that Lewis was required to file a tax return reporting his own income for each of the years, from 2012 through 2015, but failed to do so.

 

The owner of the tax return preparation business (Elizabeth M. Jordan) and her daughter (Dolores A. Youmans), who worked as a preparer at the business, were also indicted on June 30, 2016, with conspiracy to defraud the IRS and aiding and assisting others with the filing of false tax returns. Their cases remain pending.

 

An indictment is merely a formal charge that a defendant has violated one or more of the federal criminal laws, and every defendant is presumed innocent unless, and until, proven guilty.

 

This case was investigated by the Internal Revenue Service - Criminal Investigation. It will be prosecuted by Assistant United States Attorney Arnold B. Corsmeier.

Orlando, Florida – Acting United States Attorney W. Stephen Muldrow announces that a federal jury has found Joshua Otis Gordon Carter (26, Apopka) guilty of possession with intent to distribute more than 500 grams of cocaine and possession of a firearm by a convicted felon. He faces a mandatory minimum penalty of 10 years, up to 40 years, in federal prison. His sentencing hearing is scheduled for January 2018.

 

Carter was indicted on October 26, 2016.

 

According to evidence presented at trial, on February 29, 2016, officers executed a search warrant at a home in Apopka, where Carter lived with his girlfriend and three small children. In the master bedroom closet of the home, officers discovered a loaded firearm, more than one kilogram of cocaine, and more than $11,000 in cash. At the time of the search, Carter was a previously-convicted felon and, therefore, prohibited from possessing a firearm or ammunition under federal law.

 

This case was investigated by the Drug Enforcement Administration and the Altamonte Springs Police Department. It is being prosecuted by Assistant United States Attorneys Nathan W. Hill and Shawn Napier.

Tampa, Florida – Acting United States Attorney W. Stephen Muldrow announces that Karlos Alexander Wilson, Jr. (24, Pinellas Park) today pleaded guilty to two counts of brandishing a firearm during and in relation to a crime of violence.  He faces a minimum mandatory penalty of 32 years, up to life, in federal prison.

 

According to the plea agreement, on January 14, 2017, Wilson and a co-conspirator (CC-1) committed an armed robbery at a Family Dollar Store in Tampa, stealing approximately $3,300 from the store. On June 3, 2017, Wilson and CC-1 committed another armed robbery at a Family Dollar Store in Hillsborough County, stealing approximately $685 from the store. Forensic analysis of DNA from the crime scene led to his arrest.

 

This case was investigated by Bureau of Alcohol, Tobacco, Firearms, and Explosives, the Tampa Police Department, and the Hillsborough County Sheriff’s Office. It is being prosecuted by Assistant United States Attorney Christopher F. Murray.

 

This is another case prosecuted as part of the Department of Justice’s “Project Safe Neighborhoods” Program (PSN) — a nationwide, crime reduction strategy aimed at decreasing violent crime in communities. It involves a comprehensive approach to public safety-one that includes investigating and prosecuting crimes, along with prevention and reentry efforts. In the Middle District of Florida, Acting U.S. Attorney W. Stephen Muldrow coordinates PSN efforts in cooperation with various federal, state, and local law enforcement officials.

Jacksonville, FL – Acting United States Attorney W. Stephen Muldrow announces that Shawn Thorpe (30) and Ruben McLain (46), both of Winston Salem, North Carolina, have pleaded guilty to conspiracy to commit healthcare fraud. Each faces a maximum penalty of five years in prison and a fine of up to $250,000. A sentencing date has not yet been set. 

 

According to the plea agreements, Thorpe and McLain agreed that McLain was an “excluded provider” – meaning that he was prohibited from billing the federal health care programs for any services. McLain had been excluded from participation in these programs due to an earlier 2011 federal conviction for health care fraud.

 

Notwithstanding this exclusion, Thorpe and McLain together worked to create and manage Coastal Bay, a company that provided medical care to Medicaid patients. Thorpe never disclosed to the Medicaid program that he was working with an individual who had been excluded from participating in the program. In an effort to conceal McLain’s involvement, McLain used an alias – “Julian Winchester.” Through this alias, McLain performed a variety of functions, including hiring and firing individuals, seeing patients, and performing other managerial tasks. McLain routinely traveled from his home in North Carolina, to Jacksonville, to assist in Coastal Bay’s operations. 

 

McLain and his family received significant financial benefits due to his involvement in Coastal Bay. Specifically, McLain had access to a Coastal Bay credit card, which he used to make routine purchases at restaurants, furniture stores, gas stations, and other places in North Carolina, even though Coastal Bay had no operations in North Carolina. In addition, McLain and his immediate family received more than $10,000 in direct payment withdrawals from the Coastal Bay business account.

 

This matter was investigated by the U.S. Department of Health and Human Services and the State of Florida Medicaid Fraud Control Unit. It is being prosecuted by Assistant United States Attorney Jason Mehta and Jay Taylor.

Orlando, Florida – U.S. District Judge G. Kendall Sharp today sentenced Jaime H. Fort (36, Orlando) to 5 years and 5 months in federal prison for aggravated identity theft and bank fraud. He pleaded guilty on July 26, 2017.

 

 According to court documents, between January and March 2016, Fort and two of his associates executed a scheme to defraud several federally-insured financial institutions. As part of the scheme, they obtained the names, dates of birth, and Social Security numbers of identity theft victims and used these stolen identities to create counterfeit Florida driver’s licenses. They then used the counterfeit licenses to obtain financing from banks, in the victims’ names. The conspirators purchased three luxury vehicles at Orlando-area car dealerships with this financing, including two Mercedes-Benz vehicles and a Cadillac Escalade. They then sold these vehicles for cash. 

 

Fort and his associates also used the counterfeit licenses to obtain credit and make fraudulent purchases in victims’ names at various retail stores in the Orlando area. In total, Fort is responsible for more than $175,000 in actual or attempted purchases made using credit obtained in the names of his victims.

 

Fort’s associates, Sena Howell and Sean White, were also charged for their roles in this case. Howell pleaded guilty and was sentenced on March 16, 2017, to 27 months’ imprisonment. White is currently a fugitive and remains at large.

 

This case was investigated by the U.S. Secret Service and the Orlando Police Department. It is being prosecuted by Assistant United States Attorney Chauncey A. Bratt.

Jacksonville, Florida – Acting United States Attorney W. Stephen Muldrow announces that Ashish Bahl (52, Jacksonville), who also resides in Atlanta, Georgia, today pleaded guilty to conspiracy to commit mail and wire fraud. He faces a maximum penalty of five years in federal prison. A sentencing date has not yet been set.

 

According to the plea agreement, Bahl engaged in fraudulent business activities related to the SunTrust Bank building located near the Jacksonville Landing. From September 2005 to March 2015, the ownership of the building was structured as a business condominium governed by certain charter documents. In 2009, Parador Partners, LLC, which included Bahl as an owner, purchased a majority interest in the building. Parador owned approximately 73% of the office condos in the building, and carried an even greater share of the operating expenses. The condominium owners were members of an association called The River Watch at City Centre Condominium Association, Inc. Based upon Parador’s majority ownership of the building, Bahl controlled the board of directors for the association and was associated with the management company for the building.

 

Bahl significantly inflated special assessments for various building expenses and intentionally led the other condo owners to believe that the invoices they were presented were correct and accurate, when in fact, they were inflated. Bahl, with the assistance of others, made agreements with contractors to submit inflated invoices for various special assessment maintenance issues, which were paid by the condo association. Then, as part of an agreement with the contractor, the majority of the invoiced amount was provided as a “kick-back” to another one of Bahl’s companies, Dellwood Associates.

 

In addition to defrauding condo owners, Bahl also used River Watch’s bank account for personal expenses, including replacing an air conditioner ($5,457) in his Atlanta home, and remodeling his children’s bedroom ($7,150).

 

The total amount Bahl received as a result of the fraud was $135,396.06

 

This case was investigated by Federal Bureau of Investigation. It is being prosecuted by Special Assistant United States Attorney Mark B. Devereaux and Assistant United States Attorney Jason P. Mehta.

Ocala, Florida – Acting United States Attorney W. Stephen Muldrow announces that Richard Jeremy Ware (42, Ocala) today pleaded guilty to a one-count indictment charging him with making threats against the President of the United States. Ware faces a maximum penalty of five years in federal prison. A sentencing date has not yet been set.

 

According to court documents, on March 27, 2017, while an inmate at a federal prison in Sumter County, Ware wrote a letter in which he threatened to murder the President of the United States upon his upcoming release from custody.  He added, “I assure you that I am serious[!]” After completing the letter, Ware submitted it for delivery by the Postal Service. When a corrections officer subsequently discovered the letter, he confronted Ware about the threat. Ware confirmed that he had written the letter and that it belonged to him.

 

This case was investigated by the U.S. Secret Service and the Federal Bureau of Prisons. It is being prosecuted by Assistant United States Attorney Robert E. Bodnar, Jr.

Tampa, Florida – U.S. District Judge Susan C. Bucklew today sentenced Steven Zoernack (55, Sarasota) to 5 years in federal prison for conspiring to commit wire fraud. He was also ordered to forfeit $2,890,518.54 in ill-gotten gains and to make restitution to victims in the amount of $3,435,194.56. Zoernack pleaded guilty on March 31, 2017.

 

According to court documents, Zoernack owned and operated an investment advisory firm, EquityStar Capital Management LLC (“EquityStar”), through which he formed and managed multiple hedge funds, including the Petroleum Black Energy Fund, the Global Partners Fund, and the Momentum Growth Fund. Beginning in August 2012, Zoernack and his co-conspirators marketed these funds to accredited investors across the United States and Canada from offices in Sarasota and New Port Beach, California. They ultimately raised more than $6 million through their solicitations. 

 

In marketing the funds, Zoernack failed to disclose numerous material facts about his background and the funds he was managing. Specifically, he failed to disclose that he had been convicted on federal wire fraud charges in 2007; had previously filed for bankruptcy; had a history of tax liens and adverse money judgments; and still owed hundreds of thousands of dollars in restitution to past fraud victims. In fact, Zoernack actively sought to conceal his past by misappropriating fund assets to pay an online reputation manager to manipulate Internet search engine results about him to prevent potential investors from learning of his past. He also routinely lied about his educational background and expertise as an investment manager, and his experience in the financial industry. Similarly, Zoernack lied about the educational backgrounds and professional experience of his employees, as well as the size of the firm’s staff. He repeatedly impersonated former EquityStar employees and corresponded with investors online using fictitious names and phony email accounts. In addition, he lied to potential investors about his portfolio’s ratings, profits, market returns, and losses.

 

After obtaining investor contributions, Zoernack began misappropriating fund assets for his personal use. Specifically, he made monthly withdrawals of unauthorized “salaries” and “bonuses” in amounts ranging from $12,000 to $25,000 and used these and other fund assets to pay for personal and non-business related expenses, none of which were disclosed to investors. In total, through a combination of trading losses and the misappropriation of fund assets, Zoernack lost millions of dollars of investors’ money. 

 

This case was investigated by the Federal Bureau of Investigation, alongside a parallel civil enforcement action brought by the Securities and Exchange Commission.  It was prosecuted by Assistant United States Attorney Eric K. Gerard. 

Tampa, FL – U.S. District Judge Susan C. Bucklew today sentenced Maurice Lewis (22, Tampa) to 5 years and 1 month in federal prison for conspiracy to commit credit card fraud and aggravated identity theft. He pleaded guilty to the charges on July 10, 2017.

 

According to court documents and statements made in open court, from at least January 2015, through November 2016, Lewis and other individuals affiliated in some way with the “Manche Boy Mafia” or “MBM” organization conspired to commit credit card fraud and identity theft in the Tampa Bay area. Investigators learned that these individuals had purchased stolen credit and debit card account numbers online from various websites, some of which used bitcoins as their currency. The conspirators purchased or stole reloadable gift cards and used a machine to emboss the stolen account numbers and their own names onto the front of these altered gift cards, thereby generating counterfeit credit cards. The conspirators then used these counterfeit cards at various retailers around the Tampa Bay area to purchase gift cards and electronics, which they either kept or sold for cash. 

 

Investigators determined that these individuals had engaged in hundreds of successful transactions with counterfeit credit cards, and had possessed and used thousands of stolen account numbers from individuals across the United States. In total, Lewis was held responsible for more than $350,000 in intended or attempted purchases with counterfeit credit cards and stolen account information.

 

Lewis’ co-defendant, Demeko Wells, pleaded guilty to conspiracy and aggravated identity theft. He is scheduled to be sentenced on October 31, 2017.

 

In a related case, fellow MBM members (Brandon Lewis and Terrance Cobb) were each sentenced to 5 years and 1 month in federal prison; Dontae Williams was sentenced to 5 years and 10 months’ imprisonment; and Davon Smith was sentenced to 5 years and 5 months in federal prison - all for engaging in a conspiracy to commit credit card fraud, credit card fraud, and identity theft.

 

This case was investigated by the Federal Bureau of Investigation and the Tampa Police Department. It is being prosecuted by Assistant United States Attorney Mandy Riedel.

Tampa, Florida – U.S. District Judge Steven Merryday today sentenced attorney Perry Don Cortese (54, Little River, Texas) to 25 years in federal prison for conspiracy to commit international money laundering and conspiracy to commit mail and wire fraud. As part of his sentence, the Court entered a money judgment in the amount of $9,288,241.36. Cortese was also ordered to pay restitution to the victims in the amount of $3,767,196.

 

A federal jury found Cortese guilty on October 21, 2016.

 

According to the evidence presented at trial, Cortese and his business partner, Priscilla Ann Ellis, as well as Ellis’s daughter, Kenietta Rayshawn Johnson, were members of an international criminal organization that defrauded dozens of victims across the United States and then laundered the funds. Much of the money was sent overseas. Many victims were law firms that had been solicited online to perform legal work, provided counterfeit cashier’s checks for deposit into the firms’ trust accounts, and then directed to wire money to third-party shell businesses controlled by the conspirators. Others victims included title companies defrauded in phony real estate transactions or individuals targeted by fake suitors on dating websites. The conspiracy also employed hackers who compromised both individual and corporate email accounts, ordering wire transfers from brokerage and business accounts to shell accounts controlled by conspirators.

 

As part of the scheme, victims were instructed to wire money into funnel accounts held by conspirators, known as “money mules.” The funds were then then quickly moved to other accounts in the United States and around the world before the victims could discover the fraud. Bank records indicated that, from 2012 to 2015, several million dollars’ worth of wire transfers were received into the accounts to be laundered. Conspirators in Canada, Nigeria, South Korea, Senegal, and elsewhere helped coordinate the fraud from abroad. 

 

Cortese, a licensed attorney in Texas, worked for the conspirators by laundering victims’ money through his interest on lawyers trust accounts (“IOLTAs”). He also met with individuals in person to retrieve cash withdrawn from receiver accounts and recruited his paralegal and others to open such accounts to launder funds. Ellis laundered several million dollars’ worth of fraud proceeds through several bank accounts under her control. She also arranged for the creation of high-quality forgeries of checks and other documents. Johnson, then a bank employee at Capital One, helped create the counterfeit checks and monitor money flows between the conspirators’ accounts.

 

For her role in the conspiracy, Ellis was sentenced to 40 years in prison. As part of her sentence, the Court entered a money judgment against her in the amount of $9,288,241.36 and the forfeiture of various assets. In addition, she was ordered to pay $3,767,196 in restitution to her victims.

 

This case was investigated by the Federal Bureau of Investigation, with assistance from various federal and local law enforcement partners throughout the country, including the U.S. Postal Inspection Service, and the Toronto Police Service in Ontario, Canada. The case was prosecuted by Assistant United States Attorneys Patrick Scruggs and Eric Gerard.

Tampa, FL – Acting United States Attorney W. Stephen Muldrow announces that a federal jury has found David Paul Lynch (56, Venice) guilty of eight counts of producing and attempting to produce child pornography, two counts of traveling with the intent to engage in illicit sexual conduct, one count of receiving child pornography, and one count of possessing child pornography. He faces a mandatory minimum penalty of 15 years, up to 30 years, in federal prison for each production count, up to 30 years’ imprisonment for each travel count, a mandatory minimum penalty of 5 years, up to 20 years, for receiving child pornography, and up to 10 years in prison for possessing child pornography. His sentencing hearing is scheduled for January 11, 2018. Lynch was indicted on January 26, 2017.

 

According to testimony and evidence presented at trial, Lynch traveled to the Philippines regularly between 2005 and 2016 to have sex with children and make recordings of the abuse. Prior to his trips, he communicated online with individuals in the Philippines in order to locate children to sexually exploit. Lynch produced child pornography of at least three Filipino children on these visits and also solicited child pornography via email of a fourth. He was arrested in San Francisco attempting to board a flight to the Philippines on December 30, 2016. During a simultaneous search of his home in Venice, Florida, FBI agents located dozens of self-produced images and videos of child pornography from his trips.  

    

This case was investigated by the FBI, U.S. Customs and Border Protection, U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, the Sarasota Police Department, the Cape Coral Police Department, the Bradenton Police Department, and the Lee County Sheriff’s Office. It is being prosecuted by Assistant United States Attorneys Jennifer L. Peresie and Eric K. Gerard.

 

It is another case brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.

Tampa, Florida – U.S. District Judge Steven D. Merryday has sentenced Duane Crithfield (70, Lecanto) to four years and six months in federal prison and Stephen P. Donaldson, Sr. (72, Tampa) to six years’ imprisonment for their roles in a conspiracy to defraud the United States using an offshore tax shelter scheme. A separate hearing will be held at a later date to determine the amount of restitution owed by the two defendants.

 

Crithfield and Donaldson were indicted on May 2, 2013, for conspiracy to defraud the United States. A superseding indictment was returned on July 25, 2013, that added two substantive charges.

 

As alleged in the superseding indictment, from 2001 to at least March 2008, Crithfield and Donaldson, and others, through Foster & Dunhill, Offshore Trust Service, Fidelity Insurance Company ("FIC"), and Citadel Insurance Company ("CIC") promoted, marketed, and implemented a fraudulent offshore tax strategy known as the Business Protection Plan ("BPP"). The fraudulent BPP strategy enabled the defendants' affluent clients to claim business expense deductions based on sham “BPP insurance premium” payments made to offshore entities FIC and CIC in amounts intended primarily to substantially reduce the clients' taxable income for a particular year.

         

According to court records and evidence admitted during the bench trial, Crithfield and Donaldson conspired together, and with others, to create and promote the offshore BPP tax shelter strategy. The strategy, however, was nothing more than self-insurance and was devoid of any economic substance and the so‑called “BPP insurance premiums” were not based on any business risks. After obtaining the benefit of a tax deduction on a client's corporate income tax return, the client would later receive approximately 83‑85% of the premium back. Thus, the premium amounts were not ordinary and necessary business expenses that were entitled to deductions under Section 162(a) of the Internal Revenue Code. Rather, they were merely sham expenditures and not properly deductible for U.S. income tax purposes on the respective businesses’ tax returns.

 

This case was investigated by the Internal Revenue Service. It was being prosecuted by Assistant United States Attorneys Jay G. Trezevant and Megan K. Kistler.

Tampa, Florida – U.S. District Judge Steven Merryday today sentenced Priscilla Ann Ellis (52, Killeen, Texas) to 40 years in federal prison for conspiracy to commit international money laundering and conspiracy to commit mail and wire fraud. As part of her sentence, the Court entered a money judgment in the amount of $9,288,241.36, and ordered the forfeiture of various assets, including Ellis’s bank accounts, properties, and a luxury vehicle. The Court also ordered Ellis to pay restitution to the victims of the offenses in the amount of $3,767,196.

 

A federal jury found Ellis guilty on October 21, 2016. 

 

According to evidence presented at trial, Ellis, her attorney, Perry Don Cortese, and her daughter, Kenietta Rayshawn Johnson, were members of an international criminal organization that defrauded dozens of victims across the United States and then laundered the funds, much of which were sent overseas. The fraud schemes took several forms. Many victims were law firms solicited online to perform legal work, provided counterfeit cashier’s checks for deposit into the firms’ trust accounts, and then directed to wire money to third-party shell businesses controlled by the conspirators. Others were title companies defrauded in phony real estate transactions.  Other victims were targeted and defrauded by fake suitors on dating websites. The conspiracy also employed hackers who compromised both individual and corporate e-mail accounts, ordering wire transfers from brokerage and business accounts to shell accounts controlled by conspirators.

 

Victims were instructed to wire money into funnel accounts held by conspirators, known as “money mules.” The funds were then quickly moved to other accounts in the United States and around the world before the victims could discover the fraud. Bank records presented at trial indicate that, from 2012 to 2015, several millions dollars’ worth of wires were received in such accounts to be laundered.  Conspirators in Canada, Nigeria, South Korea, Senegal, and elsewhere helped coordinate the fraud and money laundering activity from abroad. 

 

Ellis laundered several million dollars’ worth of fraud proceeds through her bank accounts and other accounts under her control. She also arranged for the creation of high-quality forgeries of checks and other documents. Cortese, a licensed attorney in Texas, worked for the conspirators by laundering victim money through his interest on lawyers trust accounts (“IOLTAs”). He also met with individuals in person to retrieve cash withdrawn from receiver accounts. Cortese recruited his paralegal and others to open such accounts to launder funds. The evidence further showed that Johnson, then a bank employee at Capital One, helped create counterfeit checks and monitor money flows between accounts controlled by conspirators.

 

On November 29, 2017, Ellis is scheduled to be sentenced in a related matter, in which a jury found her guilty of conspiracy to commit counterfeiting, using interstate commerce facilities in the commission of murder-for-hire, and retaliating against a witness.

 

This case was investigated by the Federal Bureau of Investigation, with assistance from various federal and local law enforcement partners throughout the country, including the United States Postal Inspection Service, and the Toronto Police Service in Ontario, Canada. The case was prosecuted by Assistant United States Attorneys Patrick Scruggs and Eric Gerard.

Jacksonville, FL – Acting United States Attorney W. Stephen Muldrow announces that First Coast Cardiovascular Institute, P.A. (“FCCI”) has agreed to pay $448,821.58 to resolve allegations that it violated the False Claims Act by knowingly delaying repayment of more than $175,000 in overpayments owed to Medicare, Medicaid, TRICARE, and the Department of Veterans Affairs.

 

Specifically, the government alleges that FCCI accrued credit balances or overpayments owed to federal health care programs. These credit balances often occur in a medical practice, for example, when two insurers share responsibility for a payment and one pays too much. In 2009, amendments to the False Claims Act made it a violation to knowingly fail to pay back an obligation owed to the United States and its federal health care programs. Despite repeated warnings, FCCI failed to pay back the money it owed to Medicare, Medicaid, TRICARE, and the VA until being notified that the Department of Justice had opened an investigation into their failure to repay the government.

 

“When FCCI learned that it had received over $175,000 in potential overpayments to federal health care programs in 2016, it had a legal obligation to return those funds within 60 days,” stated Acting U.S. Attorney Stephen Muldrow. “Instead, they delayed repayment, ultimately retaining thousands of dollars to which they were not entitled. This settlement should send a message that we will aggressively pursue those who seek to unjustly profit from our nation’s federal health care programs.”

 

“This settlement is the result of successful inter-agency cooperation, resulting in the return of overpayments owed back to the government,” stated Special Agent in Charge Monty Stokes from the Office of Inspector General, U.S. Department of Veterans Affairs. “This settlement will hopefully be a deterrent for others who consider similar practices.”

 

“Failing to return Medicare overpayments is unacceptable and diverts critical tax dollars from their intended purpose,” said Special Agent in Charge Shimon R. Richmond of the U.S. Department of Health and Human Services, Office of Inspector General. “The OIG, along with our law enforcement partners, will hold health care companies accountable who knowingly hold onto Medicare funds to which they are not entitled.”

 

“This settlement demonstrates the ongoing commitment of the Defense Criminal Investigative Service to protect the integrity of the U.S. military health care program, known as TRICARE,” said Special Agent in Charge John F. Khin, Southeast Field Office. Through joint investigations with our investigative partners, DCIS aggressively pursues all remedies against medical providers who fail to deal honestly with the Department of Defense, to preserve our tax dollars where they are needed most.”

 

The settlement concludes a lawsuit originally filed by a former employee of FCCI, Douglas Malie, in the United States District Court for the Middle District of Florida. The lawsuit was filed under the qui tam, or whistleblower, provisions of the False Claims Act, which permit private individuals to sue on behalf of the government for false claims and to share in any recovery. The Act also allows the government to intervene and take over the action, as it did in this case. Mr. Malie will receive roughly $90,000 of the proceeds from the settlement with FCCI.

 

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

 

The settlement was the result of a coordinated effort by the U.S. Attorney’s Office for the Middle District of Florida, the State of Florida, the Defense Criminal Investigative Service, the Department of Veterans Affairs, and the U.S. Department of Health and Human Services – Office of Inspector General. It was handled by Assistant U.S. Attorney Shea Gibbons.

 

The case is captioned United States and the State of Florida ex rel. Malie v. First Coast Cardiovascular Institute, P.A., et al., Case No. 3:16-cv-10548-J-34MCR. The settlement resolves the United States’ claims in that case. The claims resolved by the settlement are allegations only, and there has been no determination of liability.

Orlando, FL – Acting United States Attorney W. Stephen Muldrow announces that a federal jury today found Trayone Lefferio Bell guilty of one count of fraudulent possession of access devices (credit card), two counts of theft of government money, and three counts of aggravated identity theft. He faces a maximum penalty of 10 years in federal prison for each of the first three counts, followed by two years in federal prison for the aggravated identity theft counts. His sentencing hearing has been set for January 4, 2018. Bell was indicted on December 21, 2016.

 

According to evidence presented at trial, Bell used stolen names, dates of birth, and Social Security numbers to file false 2011 federal tax returns. The fraudulent returns requested that the refunds be issued via prepaid debit cards in the victims’ names. Bell obtained the cards and used them in a series of large cash withdrawals and purchases. 

         

This case was investigated by the St. Cloud Internal Revenue Service-Secret Service Financial Crimes Task Force, which includes representatives from the Internal Revenue Service - Criminal Investigation, the U.S. Secret Service, the St. Cloud Police Department, the Osceola County Sheriff’s Office, the Brevard County Sheriff’s Office, the Palm Bay Police Department, the Casselberry Police Department, the Kissimmee Police Department, the Winter Park Police Department, and the Maitland Police Department. It is being prosecuted by Assistant United States Attorney Emily C. L. Chang.

Jacksonville, Florida – Acting United States Attorney W. Stephen Muldrow announced today that Andrew Ryan Leslie (22, Middleburg) has pleaded guilty to two federal charges that he sexually abused an infant and a toddler, and used them to produce images and videos of child pornography. He faces a mandatory minimum penalty of 15 years, up to 60 years, in federal prison and a potential life term of supervision. A sentencing date has not yet been set. Leslie has been in federal custody since his arrest on October 18, 2016.    

According to court documents, in 2015, agents with U.S. Immigration and Customs Enforcement’s Homeland Security Investigations began an investigation into websites known to host images and videos depicting child pornography. In 2016, Leslie was positively identified as a member of one of these websites. On October 18, 2016, HSI agents and other law enforcement officers executed a federal search warrant at Leslie’s residence in Middleburg, Florida. Upon entering the residence, agents observed Leslie emerging from the master bedroom. Leslie stated that a minor child, referred to by Leslie as a “toddler,” had been in bed with him when the agents arrived. 

During the search, agents located a digital camera next to Leslie’s bed in the master bedroom. Within the camera was a micro SD card containing a series of pornographic images depicting Leslie with two different minor children. In several of the images, the same toddler (approximately two years old) was depicted. Other images depicted a different infant less than a year old. These images depicted Leslie sexually abusing both children.  

 

Agents also seized several laptop computers, computer hard disk drives, tablets, cell phones, and cameras from Leslie’s residence. A forensic analysis of these items revealed that Leslie had produced, received, distributed, and possessed numerous images and videos depicting child pornography. Recovered logs of online conversations between Leslie and other individuals showed that Leslie had discussed engaging in sexual activity with several minor children.

 

This case was investigated by U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, and the Clay County Sheriff’s Office. It is being prosecuted by Assistant United States Attorney D. Rodney Brown.

 

It is another case brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.

Tampa, FL – Acting United States Attorney W. Stephen Muldrow announces that Anner Javier Maldonado-Reyes (39, Largo) and Maria Guadalupe Maldonado (38, Largo) have both pleaded guilty to illegal reentry into the United States. Each faces a maximum penalty of 20 years in federal prison. A sentencing date has not been set.

 

According to court records, Maldonado-Reyes and Maldonado have admitted to being citizens of Honduras, to illegally reentering the United States after prior deportations, and to having no legal status in the United States. Maldonado-Reyes was removed from the United States in February 1999 and in February 2008. His 1999 removal came after a conviction in Los Angeles County, California, for possession of cocaine base for sale.

 

Maria Guadalupe Maldonado was removed from the United States in October 1996, following a conviction in Los Angeles County for transportation/sale of a controlled substance.

 

Government records indicate that Anner and Maria Maldonado are the founders of, and employed as ministers in, the church Ministerio Internacional Jesucristo Es Mi Refugio, located at 1550 Belcher Road South in Largo.

 

This case was investigated by U.S. Immigration and Customs Enforcement, Enforcement and Removal Operations, with assistance from U.S. Citizenship and Immigration Services. It is being prosecuted by Assistant United States Attorney Frank Murray. 

Tampa, Florida – Acting United States Attorney W. Stephen Muldrow announces that Antwan Miller (38, Tampa) has pleaded guilty to theft of government funds and aggravated identity theft. He faces a maximum penalty of 10 years in federal prison for the theft charge, and a mandatory two-year, consecutive term for the identity theft offense. A sentencing date has not yet been set.

 

According to facts presented at the plea hearing, between January 2012 and September 2014, Miller was involved in a scheme to file false and fraudulent income tax returns with the Internal Revenue Service (IRS) in order to generate the deposit of large refunds onto debit cards that he possessed and controlled. The investigation revealed that the IRS had received fraudulent tax returns in the names of victim-taxpayers that resulted in the delivery of almost $400,000 in fraudulent income tax refunds onto debit cards controlled by Miller and his co-conspirators. They then withdrew the money from ATMs and the Seminole Hard Rock Casino. Several of Miller’s co-conspirators have already pleaded guilty to similar charges and are awaiting sentencing.

 

This case was investigated by the Internal Revenue Service - Criminal Investigation and the Federal Bureau of Investigation, with assistance from the Hillsborough County Sheriff’s Office. It is being prosecuted by Assistant United States Attorney Jay L. Hoffer.

Tampa, Florida – Today, Attorney General Jeff Sessions announced several Department of Justice actions to reduce the rising tide of violent crime in America. Foremost of those actions is the reinvigoration of “Project Safe Neighborhoods,” a program that has been historically successful in bringing together all levels of law enforcement to reduce violent crime and make our neighborhoods safer for everyone.

In announcing this recommitment to Project Safe Neighborhoods, the Attorney General issued a memo directing United States Attorneys to implement an enhanced violent crime reduction program that incorporates the lessons learned since Project Safe Neighborhoods launched in 2001.

In a statement on the program, the Attorney General said:

 

“Taking what we have learned since the program began in 2001, we have updated it and enhanced it, emphasizing the role of our U.S. Attorneys, the promise of new technologies, and above all, partnership with local communities. With these changes, I believe that this program will be more effective than ever and help us fulfill our mission to make America safer."

 

"Our Office has adopted and implemented the PSN strategy since its inception,” said Acting U.S. Attorney Stephen Muldrow. “We have also established specialized sections, programs, and initiatives within the offices throughout our five divisions to focus on violent gangs and gun-related crimes. We will continue to utilize the integrated components of the PSN strategy to reduce violent crime in communities across our district by collaborating with our many local, state, and federal law enforcement and community partners.”

In addition, the Middle District of Florida fully utilizes the multi-agency Organized Crime Drug Enforcement Task Force (OCDETF) program to combat not only international drug trafficking and money laundering cartels, but also local gangs and drug organizations that threaten our communities. We are grateful for the ongoing support from the Justice Department in providing resources to our office and our law enforcement partners to help make our neighborhoods safer.

 

The Attorney General also announced the following Department of Justice initiatives to help reduce violent crime:

Additional Assistant United States Attorney Positions to Focus on Violent Crime – The Department is allocating 40 prosecutors to approximately 20 United States Attorney’s Offices to focus on violent crime reduction.

More Cops on the Streets (COPS Hiring Grants) – As part of our continuing commitment to crime prevention efforts, increased community policing, and the preservation of vital law enforcement jobs, the Department will be awarding approximately $98 million in FY 2017 COPS Hiring Grants to state, local, and tribal law enforcement agencies.

Organized Crime and Drug Enforcement Task Force’s (OCDETF) National Gang Strategic Initiative –The National Gang Strategic Initiative promotes creative enforcement strategies and best practices that will assist in developing investigations of violent criminal groups and gangs into enterprise-level OCDETF prosecutions.  Under this initiative, OCDETF provides “seed money” to locally-focused gang investigations, giving state, local, and tribal investigators and prosecutors the resources and tools needed to identify connections between lower-level gangs and national-level drug trafficking organizations.

Critical Training and Technical Assistance to State and Local Partners –The Department has a vast array of training and technical assistance resources available to state, local and tribal law enforcement, victims’ groups, and others.  To ensure that agencies in need of assistance are able to find the training and materials they need, OJP will make available a Violence Reduction Response Center to serve as a “hot line” to connect people to these resources. 

Crime Gun Intelligence Centers (CGIC) – The Department has provided grant funding to support a comprehensive approach to identifying the most violent offenders in a jurisdiction, using new technologies such as gunshot detection systems combined with gun crime intelligence from NIBIN, eTrace, and investigative efforts.  These FY 2017 grants were awarded to Phoenix, Arizona, and Kansas City, Missouri. 

Expand ATF’s NIBIN Urgent Trace Program – The Department will expand ATF’s NIBIN Urgent Trace Program nationwide by the end of the year.  Through this program, any firearm submitted for tracing that is associated with a NIBIN “hit” (which means it can be linked to a shooting incident) will be designated an “urgent” trace and the requestor will get information back about the firearm’s first retail purchaser within 24 hours, instead of 5 to 6 business days.

Tampa, Florida – Acting United States Attorney W. Stephen Muldrow announces that a federal jury has found James J. Jean-Rene (53, Riverview) guilty of one count of conspiracy, seven counts of theft of government property, and seven counts of aggravated identity theft. He faces a maximum penalty of 5 years in federal prison for the conspiracy count, up to 10 years’ imprisonment on each property theft count, and up to 2 years in federal prison on each identity theft count. A sentencing date has not yet been set.

 

According to testimony presented at trial, Jean-Rene deposited more than 100 United States Treasury checks from tax refunds or veterans’ pension benefits into bank accounts for his bail bonds company, A United Bail Bonds. He falsely claimed that the checks were payments for bonds. In fact, Jean-Rene had purchased the checks from individuals who had either stolen the checks or had filed fraudulent tax returns and received the refund checks. Victims of the fraud included the elderly, veterans, and individuals with disabilities. During the course of the conspiracy, Jean-Rene stole more than $850,000.

 

This case was investigated by the Internal Revenue Service - Criminal Investigation and the Department of Veterans’ Affairs - Office of Inspector General. The case is being prosecuted by Assistant United States Attorneys Kristen A. Fiore and Cherie L. Krigsman.

Jacksonville, Florida – U.S. District Judge Marcia Morales Howard has sentenced Wilfrido C. Baldera (39, Jacksonville) to 30 years in federal prison, followed by a lifetime term of supervised release, for producing child pornography.

 

Baldera pleaded guilty on September 5, 2017.

 

According to court documents, in March 2016, detectives from the St. Johns County Sheriff’s Office began investigating possible child exploitation offenses after they found tha the Internet Protocol (“IP”) address at Baldera’s residence had been a prolific sharer of child pornography. On March 5, 2016, a detective connected to Baldera’s computer via a file-sharing program and discovered that he was hosting more than 4,600 files of suspected child pornography.

 

On November 2, 2016, agents from U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, working with the St. Johns County Sheriff’s Office, executed a search warrant at Baldera’s residence. During an interview, Baldera acknowledged viewing child pornography on his computer and downloading movies. He also acknowledged going to Walmart to look at girls between the ages of 8 and 16 who “put it out there” for sexual arousal before going home to his wife. He described it as being better than going to a strip club.

 

A forensic review of the electronic devices seized from Baldera’s residence revealed a video and photographs that Baldera had produced depicting the rape of a 10-year-old girl. Extracted embedded data from the video shows that it had been created on June 29, 2015, in Clearwater Beach. Baldera was vacationing with his family and the victim in Tampa and Clearwater during this timeframe.

 

"This predator thought he could hide behind online technology and harm children," said Special Agent in Charge of Tampa HSI James C. Spero. "Our HSI special agents worked hard with our local law enforcement partners to ensure he will be held accountable for his crimes."

 

This case was investigated by U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, the St. John’s Sheriff’s Office, the Clay County Sheriff’s Office and the Jacksonville Sheriff’s Office. It was prosecuted by Assistant United States Attorney Kelly S. Karase.

 

It is another case brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims.  For more information about Project Safe Childhood, please visit www.justice.gov/psc.

Fort Myers, Florida – U.S. District Judge Sheri Polster Chappell has sentenced William Lee (38, Lehigh Acres) to 30 years in federal prison for producing child pornography. The Court also ordered him to forfeit his cellphone, which was used to commit the offense. 

 

Lee pleaded guilty on June 14, 2017.

 

According to court documents, Lee produced a video recording of himself engaged in sexually explicit conduct with a minor. On September 16, 2016, deputies responded to the victim’s residence in Lehigh Acres and made contact with the girl and her mother. The child’s mother provided Lee’s deactivated phone to the deputies.   

 

Pursuant to a search warrant, a subsequent forensic examination of Lee’s deactivated phone revealed two videos, produced on December 23, 2015, and August 30, 2016, that captured Lee engaging in sexual explicit conduct with the girl.

 

This case was investigated by the Federal Bureau of Investigation’s Child Exploitation Task Force, which includes the Lee County Sheriff’s Office. It was prosecuted by Assistant United States Attorney Yolande G. Viacava.

Tampa, Florida – Acting United States Attorney W. Stephen Muldrow announces that Munia Parvin a/k/a Zarrin Hoque (50, Sarasota) has pleaded guilty to unlawful procurement of United States citizenship. She faces a maximum penalty of 10 years in federal prison. A sentencing date has not yet been set.

 

According to the plea agreement, Parvin first appeared before the U.S. Immigration and Naturalization Service (INS) in 1996 as an immigrant from Bangladesh when she applied for asylum in the United States. The INS found her asylum petition questionable and referred her case to an immigration court judge for decision. In 1997, the immigration court allowed Parvin to depart from the United States voluntarily by a set date, and when she did not, entered a warrant for her arrest and removal from the country.

 

Also in 1997, a woman by the name of Zarrin Hoque filed a petition with the INS to register as a permanent resident alien, claiming to be an immigrant from Bangladesh. She received that status and, ultimately, became naturalized as a U.S. citizen on June 4, 2012. Investigators from U.S. Immigration and Customs Enforcement’s Homeland Security Investigations found that Parvin and Hoque were the same person and that “Hoque” had given false answers on her citizenship application when she denied using any other identity with the INS, or ever having been ordered deported or removed from the United States.

 

This case was investigated by U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, with assistance from the U.S. Citizenship and Immigration Services. It is being prosecuted by Assistant United States Attorney Jay L. Hoffer.

Jacksonville, Florida– U.S. District Judge Harvey Schlesinger today sentenced Wesley Eugene Parker (25, Fernandina Beach) to 15 years in federal prison for distributing cocaine. He pleaded guilty on May 22, 2017. 

 

According to court documents, on December 28, 2016, and again on January 10, 2017, Parker sold powder cocaine to a confidential informant. The sales took place at Parker’s home in Fernandina Beach. On January 26, 2017, law enforcement officers executed a search warrant at that home and recovered firearms, ammunition, and illegal drugs, including marijuana and cocaine. This is Parker’s sixth adult conviction for selling cocaine.

 

On August 16, 2017, in a related case, Frank Malik Drummond (21, Fernandina Beach) was sentenced to 5 years’ imprisonment for possession of a firearm by a convicted felon and for distributing cocaine from the same location as Parker.

 

These cases were investigated by the Nassau County Sheriff’s Office, the Federal Bureau of Investigation, and the Bureau of Alcohol, Tobacco, Firearms, and Explosives. They are being prosecuted by Assistant United States Attorney Michael J. Coolican.

Orlando, Florida – U.S. District Judge Roy B. Dalton, Jr. has sentenced Hugo Margenat-Castro (Orlando, 25) to 20 years in federal prison for conspiracy to distribute heroin and distributing fentanyl that caused the death of another. He pleaded guilty on March 17, 2017.

 

According to court documents and evidence from the sentencing hearing, Margenat-Castro used a social networking website called “The Experience Project” to advertise that he had heroin available for sale. He posted these ads in forums titled, “I Love Heroin” and “Heroin in Orlando.” Visitors to the website could then contact Margenat-Castro and arrange to meet him to purchase the heroin. At some point, the heroin began to be laced with fentanyl.

 

On August 18, 2015, W.G. contacted Margenat-Castro on the website and arranged to travel from Georgia to Orlando to purchase heroin. Shortly after returning to Georgia, W.G. injected what he thought was heroin. The next morning, after trying to contact W.G. and getting no response, a family member drove to W.G.’s home and found him dead in the bathroom. The purported heroin that W.G. had purchased from Margenat-Castro and the needles that he had used to inject the heroin were also in the bathroom. Subsequent testing revealed that the substance that W.G. had purchased from Margenat-Castro was fentanyl, not heroin. A medical examiner determined that W.G. died of fentanyl toxicity and his death was ruled a homicide.

 

This case was investigated by the Drug Enforcement Administration, the Orange County Sheriff’s Office, and the Osceola County Sheriff’s Office. It was prosecuted by Assistant United States Attorneys Shawn P. Napier.

Tampa, Florida – Acting United States Attorney W. Stephen Muldrow announces that Luis Quinones (33, Bradenton) has pleaded guilty to being a felon in possession of a firearm. He faces up to 10 years in federal prison.  A sentencing date has not yet been set.

 

According to the

plea agreement , Quinones and two of his associates traveled to a Walmart parking lot for the purpose of robbing a person scheduled to arrive with drugs that had been paid for in advance. Acting on information, law enforcement officers arrived in the parking lot and approached Quinones and his associates’ car. The officers located three firearms in the car, including a Ruger 9mm pistol with a high-capacity magazine in the backseat where Quinones had been sitting.

 

This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Manatee County Sheriff’s Office. It is being prosecuted by Assistant United States Attorney Frank Murray.

 

This is another case prosecuted as a part of the Department of Justice’s “Project Safe Neighborhoods” Program — a nationwide, gun-violence reduction strategy.  Acting United States Attorney W. Stephen Muldrow, along with Daryl R. McCrary, Special Agent in Charge, ATF, is coordinating the Project Safe Neighborhoods effort here in the Middle District of Florida in cooperation with federal, state, and local law enforcement officials.

Orlando, Florida – U.S. District Judge Paul G. Byron has sentenced Nathan P. Perez (35, Orange County) to 17 years and 6 months in federal prison, followed by a life term of supervised release, for receiving and possessing child pornography. He pleaded guilty on June 19, 2017. 

According to court documents, Perez had a large number of videos and images on his electronic devices depicting the sexual abuse and exploitation of children, many of whom were under the age of 12. Based on his criminal history and  additional evidence presented at the sentencing hearing, the Court determined that Perez poses a continued danger to the public, which was a factor mentioned by the Court in imposing yesterday’s sentence.

This case was investigated by the Federal Bureau of Investigation. It was prosecuted by Assistant United States Attorney Chauncey A. Bratt.

 

The case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse.  Led by United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims.  For more information about Project Safe Childhood, please visit www.justice.gov/psc.

Ocala, Florida – Senior U.S. District Judge Wm. Terrell Hodges today sentenced Jonathan Thomas Pearce (38, Citra) to 14 years in federal prison for possession of child pornography, to be followed by 10 years of supervised release.  The Court also ordered him to forfeit a laptop computer, which he had used to facilitate the offense. Pearce pleaded guilty on May 4, 2017. 

 

According to court documents, on January 12, 2017, agents from U.S. Immigration and Customs Enforcement's Homeland Security Investigations executed a federal search warrant at a residence in Citra, where Pearce, a registered sexual predator, resided. During the investigation, agents recovered images of child pornography from Pearce’s laptop computer. The images included toddlers and children between the ages of 3 and 10 years old.

 

"This predator re-victimized very young children with his crimes," said Special Agent in Charge of HSI Tampa James C. Spero. "This sentence should also serve as a sobering reminder to child predators that HSI will continue to work diligently to hold these criminals accountable for their actions.”

 

This case was investigated by U.S. Immigration and Customs Enforcement’s Homeland Security Investigations - Orlando Office. It was prosecuted by Assistant United States Attorney Dale R. Campion.

 

This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse.  Led by United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims.  For more information about Project Safe Childhood, please visit www.justice.gov/psc.

Ocala, Florida – Acting United States Attorney W. Stephen Muldrow announces the return of an indictment charging Albert Larry Harris, Jr. (27, Lake County) with two counts of receipt of a bribe by a public official. If convicted, he faces a maximum penalty of 15 years in federal prison on each count. 

 

According to court documents, Harris works as a correctional officer in a penitentiary at the Federal Correctional Complex in Coleman, Florida. In June 2017, he began providing inmates at the prison with contraband (drugs and tobacco products) in exchange for large cash payments. On August 22, 2017, Harris met with an undercover federal agent in Ocala and accepted a $5,000 bribe payment and 200 Suboxone strips for delivery to an inmate. Following the exchange, he was arrested.

 

An indictment is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.

 

This case was investigated by the Department of Justice - Office of the Inspector General and the Federal Bureau of Investigation. It will be prosecuted by Assistant United States Attorney Robert E. Bodnar, Jr.

Jacksonville, Florida – Acting United States Attorney W. Stephen Muldrow announces that Jason Dean Barnes (41, Jacksonville) has been found guilty of receiving child sexual abuse images and videos over the Internet using a “dark web” application following a bench trial. He faces a minimum mandatory penalty of 5 years, up to 20 years, in federal prison. A sentencing date has been set for December 18, 2017.

 

According to court documents, FBI agents began an online undercover investigation to identify individuals who were using a particular anonymizing website on the “dark web” to access and receive images and videos depicting child pornography. In February 2015, FBI agents apprehended the administrator of this website and seized it from its web-hosting facility. Agents identified Barnes after he had accessed child pornography on the website on February 28 and March 3, 2015.

 

On July 29, 2015, FBI agents executed a search warrant at Barnes’s residence. During an interview, Barnes admitted to searching for, downloading, and viewing child pornography using the website, and that he had struggled with this addiction for a number of years. A forensic examination of Barnes’s laptop computer revealed that it contained at least 500 videos and at least 5,000 images depicting child pornography, including several videos that Barnes had downloaded earlier that same morning.

 

This case was investigated by the Federal Bureau of Investigation and the Jacksonville Sheriff’s Office. It is being prosecuted by Assistant United States Attorney D. Rodney Brown.

 

It is another case brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.

WASHINGTON – Acting U.S. Attorney Corey R. Amundson of the Middle District of Louisiana who serves as the Acting Executive Director of the National Center for Disaster Fraud (NCDF), U.S. Attorney Rosa Emilia Rodríguez-Vélez for the District of Puerto Rico, Acting U.S. Attorney Benjamin G. Greenberg for the Southern District of Florida and Acting U.S. Attorney W. Stephen Muldrow for the Middle District of Florida will host a press call on THURSDAY, SEPTEMBER 14, 2017, to discuss fraudulent activity pertaining to relief efforts associated with Hurricanes Harvey and Irma and tips for the public to avoid being victimized by scams. All disaster fraud complaints should be reported to the toll-free NCDF hotline at 866-720-5721.

 

WHO:

Corey R. Amundson, Acting Executive Director of the National Center for Disaster Fraud

U.S. Attorney Rosa Emilia Rodríguez-Vélez for the District of Puerto Rico

Acting U.S. Attorney Benjamin G. Greenberg for the Southern District of Florida

Acting U.S. Attorney W. Stephen Muldrow for the Middle District of Florida

 

WHAT:

Acting Executive Director Corey R. Amundson will announce efforts of the NCDF in combating Hurricanes Harvey and Irma related illegal activity.

 

WHEN: Thursday, September 14, 2017
9:30 a.m. EDT

WHERE: Call-in #: (800) 369-1892

Passcode: 54795

 

NOTE: Please RSVP to [email protected]. Press inquiries regarding logistics and the NCDF should be directed to Nicole Navas at [email protected].

Tampa, FL - The National Center for Disaster Fraud (NCDF) and the U.S. Attorney's Office for the Middle District of Florida, along with U.S. Attorney Offices in the District of Puerto Rico, Southern District of Florida, and Northern District of Florida announced the formation of task forces comprised of local, state and federal agencies in our respective areas to combat Hurricane Irma related illegal activity. The NCDF and U.S. Attorneys in these districts urge residents and businesses to immediately report suspected fraudulent activity relating to recovery and cleanup operations, fake charities claiming to be providing relief for victims, individuals submitting false claims for disaster relief and any other disaster fraud related activity.

The U.S. Department of Justice established the National Center for Disaster Fraud to investigate, prosecute, and deter fraud in the wake of Hurricane Katrina, when billions of dollars in federal disaster relief poured into the Gulf Coast region. Its mission has expanded to include suspected fraud from any natural or manmade disaster. More than 30 federal, state, and local agencies participate in the National Center for Disaster Fraud, which allows the center to act as a centralized clearinghouse of information related to disaster relief fraud.

While compassion, assistance, and solidarity are generally prevalent in the aftermath of natural disasters, unscrupulous individuals and organizations also use these tragic events to take advantage of those in need. In the wake of Hurricanes Harvey and Irma, the NCDF has already received more than 400 complaints. Examples of illegal activity being reported to the NCDF and law enforcement include:

• Impersonation of federal law enforcement officials;
• Identity theft;
• Fraudulent submission of claims to insurance companies and the federal government;
• Fraudulent activity related to solicitations for donations and charitable giving;
• Fraudulent activity related to individuals and organizations promising high investment returns from profits from recovery and cleanup efforts;
• Price gouging;
• Theft, looting, and other violent crime

“Unfortunately, criminals can exploit disasters, such as Hurricanes Harvey and Irma, for their own gain by sending fraudulent communications through email or social media and by creating phony websites designed to solicit contributions,” said Acting Executive Director Corey R. Amundson of the National Center for Disaster Fraud. “Once the NCDF receives a complaint, it routes the complaints to the appropriate federal, state, or local law enforcement agency in the appropriate jurisdiction. In the process, we are able to de-conflict and identify trends, national schemes, and offenders operating in multi-jurisdictions. The Justice Department will aggressively pursue those who commit disaster fraud.”

“We will aggressively investigate and prosecute anyone who seeks to defraud or exploit the federal assistance programs established to help individuals, families, or businesses that have lost so much as a result of Hurricane Irma,” said Acting U.S. Attorney W. Stephen Muldrow for the Middle District of Florida. “Our Office will continue to protect the rights of our honest citizens affected by this disaster and ensure that they receive the necessary public and charitable assistance they deserve. If you suspect any fraud, we urge you to call the NCDF Hotline. Our efforts to combat fraud associated with Hurricane Irma will supplement the outstanding and ongoing efforts by the State of Florida and Florida Attorney General Pam Bondi.”

“Our efforts are directed at enforcing a zero tolerance policy,” said U.S. Attorney Rosa Emilia Rodríguez-Vélez for the District of Puerto Rico. “In the midst of the distress and losses caused by Hurricane Irma and the attending need for recovery and rebuilding, there can be no place for fraud and abuse.”

“As our South Florida community recovers from Hurricane Irma, the U.S. Attorney’s Office for the Southern District of Florida and our law enforcement partners stand ready to investigate and prosecute in federal court anyone who seeks to re-victimize, defraud or exploit the individuals and businesses in need,” said Acting U.S. Attorney Benjamin G. Greenberg for the Southern District of Florida. “Our united enforcement front will work hard to combat criminal activity, including fraud schemes associated with the hurricane’s devastation. Our mission is to ensure that federal, state and local programs, as well as reputable public and charitable assistance initiatives reach those struck by the impact of our recent natural disaster and are not fraudulently diverted to the criminals’ pockets.”

“We do not tolerate fraud,” said U.S. Attorney Christopher P. Canova for the Northern District of Florida. “Individuals, families, and businesses have suffered, and will continue to suffer, tremendous losses. Emergency funds are needed to help them get back on their feet. Dozens of agencies, investigators, and prosecutors are ready to respond to credible allegations of fraud and abuse. If you are aware of fraud, we urge you to call the National Disaster Fraud Hotline.”

Members of the public who suspect fraud, waste, abuse, or allegations of mismanagement involving disaster relief operations, or believe they have been the victim of fraud from a person or organization soliciting relief funds on behalf of disaster victims, should contact the National Disaster Fraud Hotline toll free at (866) 720-5721. The telephone line is staffed by a live operator 24 hours a day, 7 days a week. You can also fax information to the Center at (225) 334-4707, or email it to [email protected].

Members of the public are reminded to apply a critical eye and do their due diligence before giving contributions to anyone soliciting donations on behalf of disaster victims. Solicitations can originate from e-mails, websites, door-to-door collections, mailings and telephone calls, and similar methods. Learn more about the NCDF at www.justice.gov/disaster-fraud. Tips for the public on how to avoid being victimized of fraud are at https://www.justice.gov/opa/pr/tips-avoiding-fraudulent-charitable-contribution-schemes.

The National Center for Disaster Fraud (NCDF) along with U.S. Attorneys' Offices in the District of Puerto Rico, Southern District of Florida, Middle District of Florida and Northern District of Florida announced the formation of task forces comprised of local, state and federal agencies in their respective areas to combat Hurricane Irma related illegal activity. The NCDF and U.S. Attorneys in those districts urge residents and businesses to immediately report suspected fraudulent activity relating to recovery and cleanup operations, fake charities claiming to be providing relief for victims, individuals submitting false claims for disaster relief and any other disaster fraud related activity.

The U.S. Department of Justice established the National Center for Disaster Fraud to investigate, prosecute, and deter fraud in the wake of Hurricane Katrina, when billions of dollars in federal disaster relief poured into the Gulf Coast region. Its mission has expanded to include suspected fraud from any natural or manmade disaster. More than 30 federal, state, and local agencies participate in the National Center for Disaster Fraud, which allows the center to act as a centralized clearinghouse of information related to disaster relief fraud.

While compassion, assistance, and solidarity are generally prevalent in the aftermath of natural disasters, unscrupulous individuals and organizations also use these tragic events to take advantage of those in need. In the wake of Hurricanes Harvey and Irma, the NCDF has already received more than 400 complaints. Examples of illegal activity being reported to the NCDF and law enforcement include:

• Impersonation of federal law enforcement officials;
• Identity theft;
• Fraudulent submission of claims to insurance companies and the federal government;
• Fraudulent activity related to solicitations for donations and charitable giving;
• Fraudulent activity related to individuals and organizations promising high investment returns from profits from recovery and cleanup efforts;
• Price gouging;
• Theft, looting, and other violent crime

“Unfortunately, criminals can exploit disasters, such as Hurricanes Harvey and Irma, for their own gain by sending fraudulent communications through email or social media and by creating phony websites designed to solicit contributions,” said Acting Executive Director Corey R. Amundson of the National Center for Disaster Fraud. “Once the NCDF receives a complaint, it routes the complaints to the appropriate federal, state, or local law enforcement agency in the appropriate jurisdiction. In the process, we are able to de-conflict and identify trends, national schemes, and offenders operating in multi-jurisdictions. The Justice Department will aggressively pursue those who commit disaster fraud.”

“Our efforts are directed at enforcing a zero tolerance policy,” said U.S. Attorney Rosa Emilia Rodríguez-Vélez for the District of Puerto Rico. “In the midst of the distress and losses caused by Hurricane Irma and the attending need for recovery and rebuilding, there can be no place for fraud and abuse.”

“As our South Florida community recovers from Hurricane Irma, the U.S. Attorney’s Office for the Southern District of Florida and our law enforcement partners stand ready to investigate and prosecute in federal court anyone who seeks to re-victimize, defraud or exploit the individuals and businesses in need,” said Acting U.S. Attorney Benjamin G. Greenberg for the Southern District of Florida. “Our united enforcement front will work hard to combat criminal activity, including fraud schemes associated with the hurricane’s devastation. Our mission is to ensure that federal, state and local programs, as well as reputable public and charitable assistance initiatives reach those struck by the impact of our recent natural disaster and are not fraudulently diverted to the criminals’ pockets.”

“We will aggressively investigate and prosecute anyone who seeks to defraud or exploit the federal assistance programs established to help individuals, families, or businesses that have lost so much as a result of Hurricane Irma,” said Acting U.S. Attorney W. Stephen Muldrow for the Middle District of Florida. “Our Office will continue to protect the rights of our honest citizens affected by this disaster and ensure that they receive the necessary public and charitable assistance they deserve. If you suspect any fraud, we urge you to call the NCDF Hotline. Our efforts to combat fraud associated with Hurricane Irma will supplement the outstanding and ongoing efforts by the State of Florida and Florida Attorney General Pam Bondi.”

“We do not tolerate fraud,” said U.S. Attorney Christopher P. Canova for the Northern District of Florida. “Individuals, families, and businesses have suffered, and will continue to suffer, tremendous losses. Emergency funds are needed to help them get back on their feet. Dozens of agencies, investigators, and prosecutors are ready to respond to credible allegations of fraud and abuse. If you are aware of fraud, we urge you to call the National Disaster Fraud Hotline.”

Members of the public who suspect fraud, waste, abuse, or allegations of mismanagement involving disaster relief operations, or believe they have been the victim of fraud from a person or organization soliciting relief funds on behalf of disaster victims, should contact the National Disaster Fraud Hotline toll free at (866) 720-5721. The telephone line is staffed by a live operator 24 hours a day, 7 days a week. You can also fax information to the Center at (225) 334-4707, or email it to [email protected].

Members of the public are reminded to apply a critical eye and do their due diligence before giving contributions to anyone soliciting donations on behalf of disaster victims. Solicitations can originate from e-mails, websites, door-to-door collections, mailings and telephone calls, and similar methods. Learn more about the NCDF at www.justice.gov/disaster-fraud. Tips for the public on how to avoid being victimized of fraud are at https://www.justice.gov/opa/pr/tips-avoiding-fraudulent-charitable-contribution-schemes.

Jacksonville, FL – Acting United States Attorney W. Stephen Muldrow announces today that Scott Quinn, the former Chief Financial Officer and Chief Operating Officer for Southeast Orthopedic Specialists, a Jacksonville-based orthopedic medical group, has agreed to pay the government $100,000 to resolve allegations that he violated the False Claims Act.

 

According to the settlement agreement, while Quinn was employed at Southeast Orthopedic Specialists, he was responsible for overseeing operations and the financial performance of the practice. The United States contends that it has certain civil claims against Quinn arising from his role in billing, or causing to be billed to federal healthcare programs, certain services that Quinn knew or should have known were not medically necessary and reasonable. Specifically, between May 2013 and September 29, 2016, Quinn routinely sought, or caused to be submitted for reimbursement, certain claims for ultrasound-guided injections even in the absence of medical necessity. These claims were not appropriately billable to the Medicare program. As part of today’s settlement, Quinn is agreeing to pay the United States $100,000 for his conduct.

 

Last year, the United States announced a False Claims Act settlement against Southeast Orthopedic Specialists. At that time, the company agreed to repay the United States $4.48 million to resolve allegations that it had violated the False Claims Act.

 

“The Department of Health and Human Services, Office of Inspector General will relentlessly seek to hold corporate officers who defraud the Medicare program personally accountable,” said Special Agent in Charge Shimon Richmond. “Obtaining tax dollars which Medicare providers are not entitled to impacts our entire healthcare system and the OIG will pursue company executives who misrepresent services to boost profits.”

 

This settlement is part of the Department of Justice’s focus on identifying specific individuals who participate or further financial fraud. The United States Attorney’s Office for the Middle District of Florida has prioritized holding individuals accountable for corporate malfeasance.

 

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

 

This matter was investigated by the U.S. Department of Health and Human Services – Office of Inspector General. It was prosecuted by Assistant United States Attorney Jason Mehta.

 

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

Orlando, FL – U.S. District Judge Carlos E. Mendoza has sentenced John David Stahlman (35, Longwood) to 24 years and 4 months in federal prison for attempting to persuade, induce, and entice a minor to engage in sexual activity. A federal jury found him guilty on May 24, 2017.

 

According to testimony and evidence presented at trial, on November 10, 2016, Stahlman posted an advertisement on Craigslist seeking a “young ‘looking’ girl” for possible “physical pleasure.” An FBI agent acting in an undercover capacity responded to the advertisement and introduced himself as the single father of an 11-year-old child. During a two-and-a-half-month period, Stahlman made plans to meet and have sex with the “child,” and he eventually traveled to meet with the minor. Stahlman was subsequently arrested.

 

This case was investigated by the Federal Bureau of Investigation. It was prosecuted by Assistant United States Attorneys Alejandro J. Salicrup and Karen Gable.

 

This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.

Tampa, Florida – Acting United States Attorney W. Stephen Muldrow has established a Disaster Fraud Task Force within the United States Attorney’s Office for the Middle District of Florida (MDFL). The MDFL encompasses 35 of Florida’s 67 counties, has offices in Jacksonville, Orlando, Ocala, Tampa, and Ft. Myers, and serves over 11.5 million citizens in Florida. Acting U.S. Attorney Muldrow also urges all Florida residents and businesses to immediately report suspected fraudulent activity relating to recovery and cleanup operations, fake charities claiming to be providing relief for victims, and individuals submitting false claims for disaster relief.

 

In anticipation of fraudulent activity in connection with federal disaster relief following Hurricane Irma, the newly created MDFL Task Force will be headed by Assistant U.S. Attorney Roger B. Handberg, one of the MDFL’s Criminal Chiefs who has extensive experience investigating and prosecuting these types of fraud schemes. The Task Force will be staffed by experienced prosecutors throughout the MDFL and will work closely with our federal, state, local, and tribal law enforcement partners to protect the benefits destined for citizens who are victims of this disaster.

 

The Task Force will also work closely with the U.S. Department of Justice’s National Center for Disaster Fraud (NCDF), which was established to investigate, prosecute, and deter fraud in the wake of Hurricane Katrina, when billions of dollars in federal disaster relief poured into the Gulf Coast region. Its mission has expanded to include suspected fraud from any natural or manmade disaster. More than 30 federal, state, and local agencies participate in the NCDF, which allows the center to act as a centralized clearinghouse of information related to disaster relief fraud.

 

“We will aggressively investigate and prosecute anyone who seeks to defraud or exploit the federal assistance programs established to help individuals, families, or businesses that have lost so much as a result of Hurricane Irma,” said Acting U.S Attorney Muldrow. “Our Office will continue to protect the rights of our honest citizens affected by this disaster and ensure that they receive the necessary public and charitable assistance they deserve. If you suspect any fraud, we urge you to call the NCDF Hotline. Our efforts to combat fraud associated with Hurricane Irma will supplement the outstanding and ongoing efforts by the State of Florida and Florida Attorney General Pam Bondi.”

 

Florida residents should continue to report fraud, price gouging, and other fraudulent schemes to the agencies and hotlines established by the State of Florida. The public is reminded to be extremely cautious before providing personal identifying information or account data to anyone, especially those who may contact you. Residents should also remember to perform due diligence before giving contributions to anyone soliciting donations or individuals offering to provide assistance to those affected by the hurricane.

 

Members of the public who suspect fraud, waste, abuse, or allegations of mismanagement involving disaster relief operations, or believe they have been the victim of fraud from a person or organization soliciting relief funds on behalf of disaster victims, should contact the National Disaster Fraud Hotline toll free at (866) 720-5721. The telephone line is staffed by a live operator 24 hours a day, 7 days a week. You can also fax information to the Center at (225) 334-4707, or email it to [email protected]. You may also visit www.justice.gov/usao-mdfl.

Tampa, Florida – Acting United States Attorney W. Stephen Muldrow announces the arrest and unsealing of an indictment charging Ashley Stanback with five counts of theft of government property in connection with income tax fraud. If convicted, she faces a maximum penalty of 10 years in federal prison on each count.

 

According to the

indictment , from October 2012 through August 2013, Stanback stole more than $1,000 in government funds in connection with fraudulent tax refunds issued in other individual’s names. The United States is also seeking forfeiture of the proceeds from these fraudulent tax refunds in excess of $38,000.

 

An indictment is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.

 

This case was investigated by Internal Revenue Service – Criminal Investigation. It will be prosecuted by Assistant United States Attorney Kelley Howard-Allen.

Tampa, Florida – United States District Judge Steven D. Merryday has sentenced Fayez Abu-Aish (51)and Nedal Abu-Aish (48) to 14 years in prison each for conspiring to distribute, distribution of, and possession with the intent to distribute a substance containing XLR-11. A federal jury found them both guilty in April 2017.

Trial testimony revealed that XLR-11 is a synthetic cannabinoid, typically imported from China, that is applied to plant material to create a smokable drug often called “Spice.” On March 28, 2014, following a lengthy investigation, agents from the Drug Enforcement Administration Task Force raided a clandestine laboratory in St. Petersburg where the Abu-Aish brothers were manufacturing these smokable synthetic cannabinoids using the chemical XLR-11. Agents seized finished product, other chemicals, plant material, and packaging materials. Searches of storage units resulted in the seizure of thousands of packages containing XLR-11-laced plant material ready for distribution. Some of the brands seized included “Scooby Snax,” “OMG,” “Mr. Happy,” and “Mind Trip.”

This case was investigated by the Drug Enforcement Administration, the St. Petersburg Police Department, and the Clearwater Police Department. It was prosecuted by Assistant United States Attorney James C. Preston

Tampa, FL – Acting United States Attorney W. Stephen Muldrow announces that a federal jury has found Alexis Hernandez (52, Lilburn, GA) guilty of conspiracy to distribute more than one kilogram of heroin and more than five hundred grams of methamphetamine. He faces a minimum mandatory sentence of 20 years, up to life, in federal prison. His sentencing hearing is scheduled for November 30, 2017.

 

Hernandez was charged in a superseding indictment on April 25, 2017, along with five other members of a Bradenton-based drug trafficking organization. Damien Avellaneda-Hernandez, Gonzalo Delarosa, a/k/a “Gordo,” Glenn Olvera, and Sergio David Gutierrez-Olmos, a/k/a “Chavo,” a/k/a “Chilango” previously pleaded guilty for their roles in this case. On August 31, 2017, Gutierrez-Olmos was sentenced to 10 years in federal prison. The others will be sentenced in the near future. Francisco Avellaneda-Hernandez, a/k/a “Flaco,” remains at large.

 

According to evidence presented at trial, Hernandez was a supplier of heroin and methamphetamine to the Francisco Avellaneda-Hernandez Drug Trafficking Organization, a group with ties to a cartel based in Michoacan, Mexico, and operating in Florida, Georgia, Texas, New Jersey, New York, and Massachusetts. Between January and August 2016, law enforcement officers seized more than 20 kilograms of methamphetamine in the Middle District of Florida linked to the organization. In addition, evidence was presented at trial showing that Hernandez and others had arranged the transport of 2 kilograms of heroin and 1.5 kilograms of methamphetamine to Manhattan. Hernandez was arrested in Manhattan on September 27, 2016.

 

This case is the result of an Organized Crime Drug Enforcement Task Force (OCDETF) investigation entitled “Amarillo Sky.” The investigation was conducted by the Drug Enforcement Administration, with assistance from the U.S. Customs and Border Patrol, the Polk County Sheriff’s Office, the Manatee County Sheriff’s Office, the Pasco County Sheriff’s Office, the Hardee County Sheriff’s Office, the Lakeland Police Department, the Plant City Police Department, and the New York Police Department. It is being prosecuted by Assistant United States Attorneys Dan Baeza and Diego Novaes.

Jacksonville, Florida – U.S. District Judge Timothy J. Corrigan has sentenced Chad Theodore Dillon (45, Okaloosa County) to 40 years in federal prison for online enticement of a child to engage in sexual activity. The Court also ordered him to forfeit the 2006 Ford F-150 truck he had used to meet a victim.

 

Dillon pleaded guilty on January 18, 2017.

 

According to court documents, this investigation began in April 2016, when an agent from the Florida Department of Law Enforcement conducted an undercover investigation to identify users of a particular app who were attempting to entice and sexually exploit children. On April 22, 2016, an FDLE undercover agent published a post that read, “Being 13 and being alone is just no fun at all.” Within a few minutes, the agent received a private message from “Ice Whale,” that read, “R u m or f?,” which initiated a conversation between the two. During the conversation, “Ice Whale,” later determined to be Dillon, repeatedly solicited the “child” for sexual acts. Dillon also offered to have sex with the “child’s” 12-year-old “friend,” who he believed to be sleeping over at the “child’s” house. He also claimed to have had sex with 12-year-olds a “couple times.” Dillon provided his cellphone number to the “child” and claimed that his name was “Cory.” Despite repeated conversation, Dillon declined to meet with the “child” for the sexual encounter discussed. However, further investigation revealed that Dillon had previously solicited a 13-year-old child online to produce nude images of herself.

 

After determining that “Ice Whale” was Dillon, FDLE agents obtained a warrant for Dillon’s cellphone and found chat messages revealing he had traveled to Georgia to have sex with a minor, and had enticed a different child to produce pornography and to meet him for sex.

 

“FDLE appreciates the assistance of the Jacksonville Sheriff’s Office and the FBI in safely apprehending this predator, and commends the U.S. Attorney’s Office’s diligence in prosecuting this case,” said Commissioner Rick Swearingen. “We are focused on protecting families and removing these threats to our children.”

 

"The FBI Jacksonville Division and our law enforcement partners are committed to identifying those who prey on our children, and this case is one example of our relentless efforts to stop them," said Special Agent in Charge Charles P. Spencer. “Today’s sentencing sends a message that child exploitation is a threat that will not be ignored, and we will stop at nothing to protect these innocent victims, and seek justice for the heinous acts committed against them.”

 

This case was investigated by Florida Department of Law Enforcement and the Federal Bureau of Investigation, with assistance from the Jacksonville Sheriff’s Office. It was prosecuted by Assistant United States Attorney Kelly S. Karase.

Tampa, Florida – U.S. District Judge Mary S. Scriven has sentenced Craig Reckley to 12 months and 1 day in federal prison for his role in a stolen identity refund fraud scheme. As part of his sentence, the Court also ordered him to pay $166,745.61 in restitution to the Internal Revenue Service.

 

Reckley pleaded guilty on May 4, 2017.

 

According to court documents, Reckley obtained and deposited 37 United States Treasury checks into his business’s bank account. The checks represented refunds from the filing of false and fraudulent income tax returns in the names of victim taxpayers. During his involvement in the scheme, Reckley was the owner and proprietor of Quick Cash Pawn of Pinellas, located in Clearwater.

 

This case was investigated by the Internal Revenue Service - Criminal Investigation, with assistance from the Clearwater Police Department. It was prosecuted by Assistant United States Attorney Jay L. Hoffer.

Tampa, Florida – U.S. District Judge James D. Whittemore today sentenced Yuneski Perdomo (35, previously of Tampa) to four years and ten months in federal prison for conspiracy to commit access device (credit card) fraud and aggravated identity theft. The Court also entered a money judgment in the amount of $31,016.32, the proceeds of the credit card fraud.

 

Perdomo pleaded guilty on June 1, 2017.

 

According to court documents, in 2013, Perdomo was the ringleader of a conspiracy that included co-defendants Edel Gomez, Tonysbell Calero-Alvarez, and Jorge Duran-Blanco. The conspirators obtained stolen credit and debit account numbers that they then used to create or purchase counterfeit or cloned credit cards. The true owners of the accounts remained in possession of the cards, so they did not know to report them stolen. The conspirators then spent hours each day traveling around Florida, making purchases at various retail stores using the counterfeit credit cards. They purchased cigarettes and gift cards, among other things, that could be sold for cash, and shared the proceeds. In one instance, at Perdomo’s direction, Gomez, Calero-Alvarez, and Duran-Blanco used counterfeit credit cards at approximately 14 different Walmart locations in the Tampa Bay area over a 24-hour period. Agents identified $30,000 in actual losses and approximately $148,000 in intended losses attributable to the fraud, and they determined that more than 40 individuals’ stolen account information had been used.

 

Gomez, Calero-Alvarez, and Duran-Blanco pleaded guilty for their roles in this case and were sentenced in 2014 to 36 months’ imprisonment, 44 months’ imprisonment, and 5 years’ probation, respectively. Perdomo was a fugitive from late 2013 until late 2016.

 

This case was investigated by the Florida Department of Law Enforcement, the U.S. Secret Service (USSS), the U.S. Postal Inspection Service, and the Tampa Police Department, all of whom are members of the USSS’s credit card fraud and identity theft task force. It was prosecuted by Assistant United States Attorney Mandy Riedel.

Tampa, Florida – U.S. District Judge Charlene E. Honeywell has sentenced Raymond Adams (29, St. Petersburg) to eight years and five months in federal prison for being a felon in possession of a firearm and carrying a firearm during a drug trafficking offense. He pleaded guilty on May 31, 2017.

 

According to court documents, Adams and others planned to break into a St. Petersburg home to steal marijuana and later distribute it. Adams was armed with a 9-mm handgun during the attempted burglary and, when detected by law enforcement officers, he left with his associates in a vehicle that later crashed. Adams then fled on foot and discarded the gun. Officers from the St. Petersburg Police Department apprehended him and recovered the gun.

 

At the time of the incident, Adams was a felon whose prior criminal history included a 2010 manslaughter conviction. As such, he was prohibited from possessing a firearm or ammunition under federal law.

 

This case was investigated by the St. Petersburg Police Department and the Bureau of Alcohol, Tobacco, Firearms, and Explosives. It was prosecuted by Assistant United States Attorney James C. Preston, Jr.

 

This is another case prosecuted as a part of the Department of Justice’s “Project Safe Neighborhoods” Program - a nationwide, gun-violence reduction strategy. Acting United States Attorney W. Stephen Muldrow, along with Daryl R. McCrary, Special Agent in Charge, ATF, is coordinating the Project Safe Neighborhoods effort here in the Middle District of Florida in cooperation with federal, state, and local law enforcement officials. This case was also prosecuted as part of the St. Petersburg Violent Crime Reduction Initiative.

Tampa, Florida – U.S. District Judge Elizabeth A. Kovachevich has sentenced Steven M. Pace (25, Sarasota) to nine years and one month in federal prison for possessing four destructive devices and for knowingly possessing firearms in furtherance of a drug trafficking crime. The Court also ordered him to forfeit the firearms and ammunition seized as part of this case.

 

Pace pleaded guilty on January 23, 2017.

 

According to court documents, in February 2016, Pace, along with Katie Smith, possessed two improvised pipe bombs and two improvised grenades. He also possessed with the intent to distribute approximately 280 grams of AB-fubinaca, a synthetic form of marijuana. Pace and Smith had a number of firearms in their home, one of which was stolen. Pace admitted to carrying at least one of those firearms during his drug transactions.

 

Smith previously pleaded guilty to possessing destructive devices and was sentenced to 18 months’ imprisonment.

 

This case was jointly investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives and the Sarasota County Sheriff’s Office. It was prosecuted by Assistant United States Attorney Kaitlin R. O’Donnell.

 

This is another case prosecuted as a part of the Department of Justice’s “Project Safe Neighborhoods” Program - a nationwide, gun-violence reduction strategy. Acting United States Attorney W. Stephen Muldrow, along with Daryl R. McCrary, Special Agent in Charge, ATF, is coordinating the Project Safe Neighborhoods effort here in the Middle District of Florida in cooperation with federal, state, and local law enforcement officials. It is also a part of ATF’s Frontline strategy to reduce violent crime in our communities.

 

Tampa, Florida – U.S. District Judge Charlene Edwards Honeywell today sentenced Sharmekia Young (36, Plant City) to three years in federal prison for conspiracy and aggravated identity theft. Young pleaded guilty on March 29, 2017.

 

According to court documents, Young worked at a healthcare company’s billing center in Lakeland, Florida. As an employee of the company, she had password-protected access to the company’s secure computerized databases, which contained medical records and the Personal Identifiable Information (PII) of its customers and patients, including names, dates of birth, and social security numbers.

 

Young agreed with another employee, Fontella James, to steal hundreds of patients’ records containing the PII of their customers, to sell to another co-conspirator, Vickie Bryant. Young and James provided the PII to Bryant so that Bryant could sell the information to another individual who then manufactured, sold, and used counterfeit credit cards and counterfeit State of Florida Drivers Licenses. On or about June 9, 2016, and again on June 16, 2016, Bryant met with the individual and sold him PII of 957 different victims.

 

In December 2016, Bryant was sentenced to 4 years’ imprisonment for access device (credit card) fraud and aggravated identity theft. James was sentenced to 32 months’ imprisonment for conspiracy and aggravated identity theft in June 2017.

 

This case was investigated by the U.S. Secret Service, the Florida Department of Law Enforcement, and the Tampa Police Department, as part of the Secret Service’s Financial Investigations Strike Team. It was prosecuted by Assistant United States Attorneys Rachel Jones, Amanda Riedel, and Adam Saltzman.

Orlando, Florida – Acting United States Attorney W. Stephen Muldrow announces that a federal jury today found former Florida House of Representatives member Dwayne L. Taylor (49, Daytona Beach) guilty of nine counts of wire fraud. Taylor faces a maximum penalty of 20 years in federal prison for each count. His sentencing is scheduled for November 16, 2017.

 

According to evidence presented at trial, during Taylor’s 2012 and 2014 reelection campaigns, he falsely reported thousands of dollars of expenditures to the State of Florida in order to conceal his misappropriation of over $60,000 in campaign funds through a series of unreported cash withdrawals, checks written to himself, and checks written to petty cash, in violation of Florida law. Taylor then used the misappropriated funds for personal expenditures unrelated to his re-election campaigns.

 

According to Florida law, all campaign contributions and expenditures must be reported to the State of Florida, and neither a candidate nor the spouse of a candidate may use funds deposited in a campaign account to defray normal living expenses for the candidate or the candidate’s family, other than expenses actually incurred for transportation, meals, and lodging during travel in the course of the campaign.

 

“These types of crimes erode the public trust in our elected officials,” said Acting U.S. Attorney Stephen Muldrow. “This conviction sends a clear message that such acts will not be tolerated and that we will hold anyone who breaks the law accountable for their actions.”

 

“It is disappointing that an elected official would exploit the generosity of his constituents to advance his personal lifestyle,” said Charles P. Spencer, Special Agent in Charge of the FBI Jacksonville Division. “Corrupt public officials undermine the integrity of our government and violate the public’s trust, which is why combating public corruption remains the FBI’s top criminal priority."

 

This case was investigated by the Federal Bureau of Investigation. It is being prosecuted by Assistant United States Attorneys Roger B. Handberg and Embry J. Kidd.

Tampa, Florida – U.S. District Judge Mary S. Sciven yesterday sentenced Weldon Malveau to three years in federal prison for theft of government property. The Court also ordered him to forfeit a 2010 Porsche Panamera, which is traceable to proceeds of the offense. As part of his sentence, the Court entered a money judgment in the amount of $342,563, the proceeds of the charged criminal conduct.

 

Malveau pleaded guilty on February 7, 2017.

 

According to court documents, between January 2011 and March 2012, Malveau was involved in a scheme to file false and fraudulent income tax returns with the Internal Revenue Service (IRS) in order to generate large refunds that were deposited onto debit cards. When law enforcement officers arrested Malveau in March 2012, he had 26 debit cards in his possession, in the names of different individuals, along with ledgers containing names and social security numbers. The investigation revealed that the IRS had received fraudulent tax returns and had issued refunds in the names of many of those individuals, totaling $342,563, which was traced back to Malveau.

 

This case was investigated by the Internal Revenue Service – Criminal Investigation and the Tampa Police Department. It was prosecuted by Assistant United States Attorney Adam M. Saltzman.

Tampa, Florida – U.S. District Judge Charlene Honeywell has sentenced Anil Sahijwani (43, Tampa) to 45 months in federal prison for illegally prescribing oxycodone, Adderall, and other controlled substances. The Court also ordered him to forfeit his DEA registration number, $182,266.66, and the value of a personally owned Porsche, all of which constitute proceeds of the offenses, or which were used in furtherance of the offenses.

 

Sahijwani pleaded guilty on February 23, 2017.

 

According to court documents, Sahijwani worked at Family Medical Express Center, Inc. in Brandon, Florida, along with several co-conspirators. He and his co-conspirators implemented a plan to sell unlawful prescriptions for oxycodone and other controlled substances to people who did not need them and who instead diverted them for sale in the community on a per-pill basis. In some cases, Sahijwani wrote prescriptions at the request of his co-conspirators in the names of people he had never examined or met. Sahijwani also sold prescriptions for oxycodone out of his car in a Tampa parking lot. During the course of the conspiracy, Sahijwani wrote unlawful prescriptions for over 18,000 oxycodone pills.

“As law enforcement addresses the ongoing opioid crisis, it is unconscionable that a physician would be part of the Pill Mill problem that has left its indelible mark on the Tampa area and the country,” said DEA Special Agent in Charge Adolphus P. Wright. “DEA, and our law enforcement partners, will remain vigilant in finding these unscrupulous medical professionals and clinics and see to it that they are prosecuted accordingly.”

 

This case was investigated by the Drug Enforcement Administration. It was prosecuted by Assistant United States Attorney Daniel George.

Orlando, Florida – U.S. District Judge Roy B. Dalton, Jr. has sentenced Belenda Sandy (57, Buckhannon, West Virginia) to seven years and three months in federal prison for obstruction of justice. She pleaded guilty on May 26, 2017.

 

According to court documents, Sandy obstructed justice and hindered a federal kidnapping/death investigation by making false statements and omitting material information during interviews with investigators. The investigation began on November 27, 2016, after a victim went missing in Ormond Beach, Florida. Investigators eventually determined that the victim had recently relocated to Florida from Indiana to get away from her estranged husband, Jarvis Wayne Madison, who was also in an intimate relationship with Sandy. In the days leading up to the victim’s disappearance, Madison stayed with Sandy at her West Virginia residence, where she provided him with food, money, and new tires for his vehicle. Eventually, Madison left Sandy’s residence and drove to Florida, where he located the victim as she was jogging on Ormond Beach. Phone records reflected that Madison had a 23-minute phone conversation with Sandy, just before the victim disappeared.

 

On November 28, 2016, an investigator contacted Sandy by telephone and interviewed her to determine Madison’s whereabouts. During this interview, Sandy denied having any recent contact with Madison. This statement was false. Even after the investigator informed Sandy that the victim had likely been abducted by Madison, she continued to claim that she had not seen Madison in a long time. Following the interview, Sandy met with Madison at a 7-11 gas station near her home and told him that law enforcement was looking for him in connection with the victim’s disappearance. Sandy’s false responses to the investigator’s inquiries ultimately delayed Madison’s arrest on federal kidnapping charges, and delayed the recovery of the victim’s body.

 

After learning from Sandy that law enforcement was looking for him, Madison drove to Tennessee, where he buried the victim’s dead body. He then drove to Kentucky, where law enforcement arrested him on December 2, 2016. On the same date, FBI agents recovered the victim’s body in Tennessee and determined that Madison had shot and killed her sometime after her disappearance on November 27, 2016.

 

Madison is currently charged in a superseding indictment with kidnapping that resulted in a death, interstate domestic violence, and interstate stalking. An indictment is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty. A trial date for Madison is currently set for the March 2018 trial term.

 

This case was investigated by the Federal Bureau of Investigation, with assistance from the Volusia County Sheriff’s Office, the U.S. Marshals Service, and the Indiana State Police. It was prosecuted by Assistant United States Attorney Andrew C. Searle.