Middle District of Florida

Tampa, FL – United States Attorney A. Lee Bentley, III, Attorney General Loretta E. Lynch, and Department of Health and Human Services (HHS) Secretary Sylvia Mathews Burwell announced today an unprecedented nationwide sweep led by the Medicare Fraud Strike Force in 36 federal districts, resulting in criminal and civil charges against 301 individuals, including 61 doctors, nurses and other licensed medical professionals, for their alleged participation in health care fraud schemes involving approximately $900 million in false billings.  Twenty-three state Medicaid Fraud Control Units also participated in today’s arrests.  In addition, the HHS Centers for Medicare & Medicaid Services (CMS) is suspending payment to a number of providers using its suspension authority provided in the Affordable Care Act.  This coordinated takedown is the largest in history, both in terms of the number of defendants charged and loss amount.    

“As this takedown should make clear, health care fraud is not an abstract violation or benign offense – It is a serious crime,” said Attorney General Loretta Lynch.  “The wrongdoers that we pursue in these operations seek to use public funds for private enrichment.  They target real people – many of them in need of significant medical care.  They promise effective cures and therapies, but they provide none.  Above all, they abuse basic bonds of trust – between doctor and patient; between pharmacist and doctor; between taxpayer and government – and pervert them to their own ends.  The Department of Justice is determined to continue working to ensure that the American people know that their health care system works for them – and them alone.”

“Protecting our nation’s health care programs is a top priority of our Office,” said U.S. Attorney Bentley.  “We are committed to prosecuting all those who submit false claims to these important programs, whether they be health care providers or dishonest individuals seeking benefits to which they are not entitled.  Every tax dollar appropriated by Congress for health care should be spent on deserving patients in need.”

In the Middle District of Florida, 15 individuals were charged with participating in a variety of schemes, including compound pharmacy fraud and intravenous prescription drug fraud involving millions in fraudulent billing. Among those charged are business owners, a registered nurse, a pharmacist, and a physician’s assistant.

“Health care providers and patients are key to protecting the Medicare and Medicaid programs, but when they instead choose to commit fraud or to lie in order to obtain government benefits they are not entitled to, they steal precious tax dollars and corrupt the integrity of our health care system,” said Special Agent in Charge Shimon R. Richmond of the U.S. Department of Health & Human Services Office of Inspector General (HHS OIG). "This takedown reflects the dedication of OIG and our law enforcement partners to bring such fraudsters to justice."

 “The Social Security Office of the Inspector General is committed to pursuing those who violate the public’s trust by stealing SSA benefits.  We are pleased with the aggressive action by the U.S. Attorney’s Office and our law enforcement partners’ joint efforts in identifying and prosecuting those who commit fraud, as one of our many efforts to protect the integrity of Social Security and Medicare programs for those who rely on them now and into the future,” stated Special Agent-in-Charge Margaret Moore-Jackson, SSA/Office of the Inspector General.  

"These arrests highlight the commitment of the Defense Criminal Investigative Service (DCIS) and its law enforcement partners to protect the integrity of the Department of Defense (DoD) health care program-Tricare," said Special Agent in Charge John F. Khin, Southeast Field Office.  "DCIS aggressively investigates health care providers that defraud the DoD, to preserve American taxpayer dollars intended to care for our Warfighters, their family members, and military retirees."

“Despite recent challenging events occurring in our territory, FBI Tampa remained devoted to dedicating resources to the National Health Care Fraud initiative,” stated FBI Special Agent in Charge Paul Wysopal. “Agents will continue to identify and investigate individuals who seek to personally benefit from the medical needs of a very vulnerable population.”

The Medicare Fraud Strike Force operations are part of the Health Care Fraud Prevention & Enforcement Action Team (HEAT), a joint initiative announced in May 2009 between the Department of Justice and HHS to focus their efforts to prevent and deter fraud and enforce current anti-fraud laws around the country.  The Medicare Fraud Strike Force operates in nine locations and since its inception in March 2007 has charged over 2,900 defendants who collectively have falsely billed the Medicare program for over $8.9 billion. 

Including today’s enforcement actions, nearly 1,200 individuals have been charged in national takedown operations, which have involved more than $3.4 billion in fraudulent billings.  Today’s announcement marks the second time that districts outside of Strike Force locations participated in a national takedown, and they accounted for 82 defendants charged in this takedown.

The cases announced today are being prosecuted and investigated by U.S. Attorney’s Offices nationwide, along with Medicare Fraud Strike Force teams from the Criminal Division’s Fraud Section, and agents from the FBI, HHS-OIG, Drug Enforcement Administration, DCIS, SSA-OIG, and state Medicaid Fraud Control Units.

A complaint or indictment is merely a charge, and all defendants are presumed innocent unless and until proven guilty.

Middle District of Florida Cases

Yosbel Marimon (39, Winter Park), owner of several Orlando-area infusion clinics, was indicted on one charge of conspiracy to commit health care fraud and wire fraud, six counts of health care fraud, and one count of conspiracy to commit money laundering.  The charges stem from her role in a scheme to defraud Medicare by billing for more than $11.1 million in expensive intravenous prescription drugs that the clinics never purchased, never administered, and were not medically necessary. As a result of the scheme, Medicare paid over $8.6 million in fraudulent claims. 

Greggory Jackson (40, Eagle Lake), Dustin “Drey” Chennells (40. Mount Dora), Michael Ayotunde (53, Ocala), Tashima Kenny (32, Davenport), Iris Ayala (54, Clermont), and Nalita Rajkumar (28, Lake Park) were indicted on a charge of conspiracy to commit health care fraud and wire fraud.  Jackson also was indicted on two charges of receiving illegal kickbacks, two charges of paying illegal kickbacks, and two counts of money laundering.  Kenny was also indicted on one count of money laundering.  Jackson, Chennells, Kenny, and others managed and operated a telemarketing call center known as DMA Logistics d/b/a Nation Wide Meds located inside Life Worth Living Pharmacy.  Ayotunde, a licensed pharmacist, is the owner and operator of Life Worth Living Pharmacy.  Ayala is a licensed physician, and Rajkumar is a licensed physician assistant.  The charges stem from these individuals’ roles in a compounding pharmacy fraud scheme that victimized the TRICARE program. Based on false and fraudulent claims, TRICARE made more than $5.7 million in reimbursement payments to Life Worth Living Pharmacy. 

Belinda Jalloh (60, New Port Richey), a registered nurse, has been charged with one count of theft of government services stemming from her violation of an order from the Department of Health and Human Services excluding her from participating in the Medicare program. The order prohibited her from treating Medicare beneficiaries. Despite the exclusion, she applied for, and obtained, employment at a facility that billed Medicare for her treatment of Medicare beneficiaries. 

Robert Lee Lanier (57, Jacksonville) has been charged with one count of theft of government property and one count of making a false statement. Lanier provided false information regarding his employment to the Social Security Administration.  Between 2007 and January 2016, Lanier collected more than $236,682 in Social Security and Medicare benefits to which he was not entitled.

Maria Lugo (65, Marion County) was indicted for theft of government funds stemming from her concealment of her living arrangements while simultaneously collecting disability benefit payments from the Social Security Administration.  Lugo falsely claimed a separation from her husband, whose income rendered her ineligible to receive disability benefits and Medicaid. From June 2000 through May 2016, Lugo obtained $118,346.12 in SSA benefit payments and $99,483.62 in Medicaid utilization that she was not entitled to receive. 

Janice and Thurman Hammock (66 and 62, Citrus County) were indicted for theft of government funds stemming from their concealment of their living arrangements while Janice Hammock collected disability benefit payments from the Social Security Administration.  Both spouses falsely claimed to be separated from one another, causing the wife to receive substantially more federal benefits than otherwise permitted. She illegally obtained $75,048.89 in SSA benefit payments and $101,465.07 in Medicaid utilization from January 2004 through May 2016. 

Louis William Rimondi, IV (47, Marco Island) was indicted on two charges of theft of government money stemming from his alleged concealment from the Social Security Administration and Medicare of his return to gainful employment while continuing to collect disability benefits and Medicare benefits.  From January 2010 through February 2016, Rimondi fraudulently collected $101,466 in SSA disability benefits to which he was not entitled.  From January 2011 through February 2016, he also fraudulently received $20,467 in Medicare benefits to which he was not entitled. 

Douglas Thompson (51, Jacksonville) was indicted on one count of theft of government property, one count of making a false statement, and three counts of wire fraud stemming from his role in a scheme to fraudulently receive approximately $108,834 in benefits under the Federal Medicaid Health Care Benefit Program and the Supplemental Security Income Program.  For more than five years, Thompson collected benefits by falsely claiming he was unemployed and had no income when, in fact, he operated a business, Douglas Thompson Industries Inc. (or DTI Inc.), which brokered the sale of trucking equipment.  When questioned about DTI Inc., Thompson provided a written statement to the Social Security Administration that falsely stated that he had never heard of DTI Inc. and was not working. 

Craig DeMange, Sr. (62, Oviedo) was indicted on one count of making a false statement to the Social Security Administration concerning his employment, which hindered the agency’s efforts to determine his continued eligibility for disability benefits. As a result of DeMange’s false statement, he defrauded the SSA and the United States Department of Health and Human Services of approximately $25,000 in disability and Medicare benefits. 

These cases will be prosecuted by Middle District of Florida Assistant United States Attorneys Yolande G. Viacava, Emily C.L. Chang, William S. Hamilton, Michael J. Coolican, Mac Heavener, and Department of Justice Trial Attorneys Timothy Loper and  Christopher Hunter of the Criminal Division’s Fraud Section.

 

Maximum Penalties per charge:

Theft of Government Money: 10 years in federal prison.

Conspiracy to Commit Healthcare Fraud and Fraud: 20 years in federal prison.

Healthcare Fraud: 10 years in federal prison.

Conspiracy to Commit Money Laundering: 20 years in federal prison.

Money Laundering: 10 years in federal prison.

False Statement: 5 years in federal prison.

Wire Fraud: 20 years in federal prison.

Jacksonville, Florida – Senior United States District Judge Henry Lee Adams, Jr. has sentenced William Reid Penuel (38, Ponte Vedra Beach) to six months in federal prison, followed by three years of supervised release, for embezzlement from a bankruptcy estate. While on supervised release, Penuel must serve six months of home detention, and participate in ongoing drug testing and treatment. He was also ordered to pay $151,239 in restitution.

On March 15, 2016, Penuel pleaded guilty to embezzlement. According to the Florida Bar, in April 2016, he was disbarred from practicing law.   

According to court records, between March 2015 and July 2015, Penuel was serving as the Chapter 7 Trustee in a pending business bankruptcy case in Tallahassee when he embezzled estate funds held in a bank account in Duval County. At the time, he was a licensed attorney whose office was located in Atlantic Beach. After becoming the Chapter 7 Trustee for the debtor, Penuel assumed responsibility for approximately $909,000 in estate funds, which he deposited into his bank account. Penuel began diverting estate funds, which had been authorized by the bankruptcy court to pay certain expenses, to his own use. As the authorized signor on the estate bank account, Penuel made withdrawals and then re-deposited the monies into other accounts that he controlled. Once the funds were placed into his operating account, Penuel withdrew the funds. The scheme involved approximately 20 withdrawals from the estate bank account, totaling approximately $151,239.

This case was investigated by the Federal Bureau of Investigation - Jacksonville Office. It was prosecuted by Assistant United States Attorney Dale Campion.

Jacksonville, Florida – U.S. District Judge Timothy J. Corrigan has sentenced Steven Villareal (30, Jacksonville) to five years and three months in federal prison for the arson of BLC Automotive on Blanding Boulevard. He was also ordered to pay BLC Automotive restitution in the amount of $30,000. Villareal pleaded guilty on February 29, 2016.

According to court documents, on February 17, 2014, Villareal entered BLC Automotive at approximately 3:00 a.m.  Once inside, he used an acetylene torch to cut into a safe from which he stole a large sum of cash.  He then used an accelerant to start a fire inside the business.  An officer from the Jacksonville Sheriff’s Office saw the fire and alerted the Jacksonville Fire and Rescue Department, who responded quickly and extinguished the fire. The interior of BLC Automotive was badly damaged, but the structure survived the fire.

This case was investigated by the Jacksonville Sheriff’s Office, the State Fire Marshal, and the Bureau of Alcohol, Tobacco, Firearms and Explosives.  It was prosecuted by Assistant United States Attorney Frank Talbot.

The Justice Department announced today that Abdullah Hamidullah, 42, of Ft. Lauderdale, Florida, pleaded guilty in the U.S. District Court of the Middle District of Florida to one count of sex trafficking by force, fraud or coercion; two counts of enticing a person to travel in interstate commerce for prostitution and one count of interstate transportation for prostitution.  On Feb. 10, 2016, a grand jury in the Middle District of Florida returned an indictment charging Hamidullah with five counts of sex trafficking and related violations. 

According to admissions in his plea agreement, Hamidullah compelled an 18-year-old woman to prostitute for his profit.  After enticing the victim to travel to Florida under false pretenses, he forced her to have sex with multiple customers a day over a period of several months and provide him the proceeds.  Hamidullah isolated her in his apartment, took away her money and phone and installed an alarm without providing her the code.  He also assaulted her, showed her his handgun and branded her with a tattoo.  

“Hamidullah preyed on a vulnerable young woman and cruelly exploited her for his profit,” said Principal Deputy Assistant Attorney General Vanita Gupta, head of the Justice Department’s Civil Rights Division.  “We will continue to aggressively enforce our human trafficking laws to restore the rights, freedom and dignity of victims of modern-day slavery.”

“Rescuing human trafficking victims and bringing the criminals who enslave them to justice is a top priority for special agents with Homeland Security Investigations,” said Special Agent in Charge Susan L. McCormick of HSI Tampa.  “HSI will continue to work with our local, state, federal and international law enforcement partners to identify and prosecute human traffickers.”

“As a multi-agency task force, the Metropolitan Bureau of Investigation participates with its local, state and federal partners to bring human traffickers to justice and seek restoration for victims of this terrible crime,” said Director Ron Stucker of the Metropolitan Bureau of Investigation.  “The investigation and prosecution of Abdullah Hamidullah is another example of close cooperation between local and federal authorities to protect the community.”

Hamidullah faces a maximum sentence of life in prison.  Sentencing has been scheduled for Sept. 15, 2016.  As part of his plea agreement, Hamidullah agreed to pay restitution to six women identified as victims of his sex trafficking scheme.

This case was investigated jointly by the Department of Homeland Security’s Homeland Security Investigations’ Orlando Field Office and Orlando’s Metropolitan Bureau of Investigation.  The case is being prosecuted by Assistant U.S. Attorney Ilianys Rivera of the Middle District of Florida and Trial Attorney William Nolan of the Civil Rights Division’s Human Trafficking Prosecution Unit.

Tampa, Florida – U.S. District Judge Richard A. Lazzara today sentenced Anderson Bryan Lever (39, Colombia, South America) to 17 years and 6 months in federal prison for conspiring with others to distribute five kilograms or more of cocaine, onboard vessels subject to the jurisdiction of the United States.

According to court documents and information presented at sentencing, between 2009 and 2013, Lever worked with his co-defendant and others to smuggle cocaine.  Lever repeatedly dispatched vessels carrying between 550 and 1,000 kilograms of cocaine from San Andres Island, Colombia.  On each occasion, He recruited and paid at least four mariners per vessel. 

Lever’s co-conspirators received cocaine shipments in Honduras, then provided bales of United States currency (containing as much as $500,000 each) to the mariners who had just smuggled the cocaine. The mariners then smuggled the money back to Lever in Colombia. In total, the mariners successfully smuggled more than 10,000 kilograms of cocaine.  

Lever was previously convicted for importing cocaine in Guerrero, Mexico.  In September 2001, he was sentenced to more than 13 years’ imprisonment in Mexico, but escaped and fled to Colombia in November 2002. He was arrested in Colombia and subsequently extradited to the United States in November 2015.

This case was investigated by the Panama Express Strike Force, a standing Organized Crime Drug Enforcement Task Forces (OCDETF) investigation, comprised of agents and analysts from the Federal Bureau of Investigation, Homeland Security Investigations, the Drug Enforcement Administration, the United States Coast Guard Investigative Service, the Naval Criminal Investigative Service, and U.S. Southern Command's Joint Interagency Task Force South. The principal mission of the OCDETF program is to identify, disrupt, and dismantle the most serious drug trafficking and money laundering organizations and those primarily responsible for the nation’s drug supply.

This case was prosecuted by Assistant United States Attorney Christopher F. Murray.  The Department of Justice, Office of International Affairs, assisted with Lever’s extradition.

Fort Myers, Florida – United States Attorney A. Lee Bentley, III announces the return of an indictment charging Jorge Guerrero-Torres (28, Orlando) with possession of child pornography and production of child pornography.  If convicted, he faces a maximum penalty of 20 years in federal prison on the possession charge, and minimum mandatory sentence of 15 years, up to 30 years, in federal prison on the production charge. Guerrero-Torres was arrested and made his initial appearance in federal court on June 6, 2016, in Fort Myers. He remains detained pending further proceedings

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 the Lee County Sheriff’s Office, the Florida Department of Law Enforcement, and the Federal Bureau of Investigation.  It will be prosecuted by Chief Assistant United States Attorney Jesus M. Casas and Assistant United States Attorney Charles Schmitz.

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 - United States Attorney A. Lee Bentley, III announces the unsealing of an indictment charging Mayory Calvo (34, Doral) with one count of mortgage fraud conspiracy, two counts of bank fraud, and one count of loan and credit application fraud. If convicted, she faces a maximum penalty of 30 years in federal prison on each charge.  The indictment also notifies Calvo that the United States is seeking a money judgment for the proceeds of the charged offenses.

According to the indictment and court proceedings, Calvo, who worked at Elite Mortgage Funding, participated in a mortgage fraud conspiracy where some conspirators entered into agreements to purchase properties for amounts in excess of the original asking price.  The conspirators then inserted false and fraudulent information on mortgage loan applications, or Fannie Mae Form 1003s, that were submitted in support of the loan requests. 

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

This case was investigated by the Federal Bureau of Investigation and the Federal Housing Finance Agency Office of Inspector General.  It is being prosecuted by Special Assistant United States Attorney Chris Poor and Assistant United States Attorney Jay Trezevant.

Orlando, Florida – United States Attorney A. Lee Bentley, III announces that a federal jury has found Eugene Warren Brewington (34, Orlando) and Chima Edozie Aligwekwe (33, Orlando) guilty of conspiracy to commit mail fraud and wire fraud. Brewington was also convicted of 4 counts of wire fraud and 11 counts of mail fraud. Aligwekwe was convicted of one count of mail fraud. Each faces a maximum penalty of 20 years in federal prison for each count and will be required to pay restitution to their victims.  The sentencing hearing has been scheduled for August 25, 2016. Brewington and Aligwekwe were indicted on December 2, 2015.

According to testimony and evidence presented at trial, Brewington founded and operated two companies in Orlando, “Timeshare Title Services LLC” and “United Clearing Solutions LLC.”  Representatives of the two companies, known as “callers,” made unsolicited phone calls to timeshare owners throughout the country and falsely claimed that a buyer existed for their timeshares.  The timeshare owners were told that buyers had deposited money into an escrow account for the purchase of their timeshares, and they received documents from the companies that appeared to be legitimate timeshare sales contracts.  Ultimately, the timeshare owners were told to send advance fees to the companies to finalize the sales.  Numerous timeshare owners made the advance fee payments to the companies but received no services and their timeshares were never sold.  Brewington managed the bank accounts where the advance fees were deposited and had rented the office spaces from where the “callers” executed the scheme.  Aligwekwe provided customer lead information for the timeshare owners and managed a team of “callers” for one of the companies.   In a three month period, more than $500,000 in timeshare owner payments were deposited into bank accounts for the two companies.  Brewington, Aligwekwe, and others associated with the companies used these funds to enrich themselves.   

This case was investigated by the United States Postal Inspection Service and the Orange County Sheriff’s Office, with assistance from the United States Secret Service.  It is being prosecuted by Assistant United States Attorneys Andrew C. Searle and Kara M. Wick.

I would like to thank the men and women from our state and local agencies who continue to work tirelessly following this tragic attack.  The U.S. Attorney’s Office for the Middle District of Florida, along with the Department of Justice, including the FBI, the ATF, and the National Security Division fully supports the ongoing investigation.  Our thoughts and prayers remain with the victims’ families during this very difficult time.

No additional information is available at this time.

Tampa, Florida – U.S. District Judge Virginia M. Hernandez Covington today sentenced Frazier Williams, Jr. to three years in federal prison for willfully aiding and assisting in the preparation of a tax return that he knew to be false and fraudulent.  The Court also ordered him to pay restitution to the Internal Revenue Service in the amount of $2,974,000.  A federal jury found Williams guilty on January 16, 2016.

According to the evidence presented at trial, Williams, an officer of Aztech Energy Corporation, assisted in the preparation of a federal corporate income tax return for Aztech that fraudulently inflated the amount of fuel tax credits the corporation was entitled to by more than $2 million.  

This case was investigated by the Internal Revenue Service – Criminal Investigation.  It was prosecuted by Assistant United States Attorney Bob Mosakowski.

Tampa, Florida – United States Attorney A. Lee Bentley, III announces that Michael Wesley (40, North Port) has pleaded guilty to two counts of possession of unauthorized access devices. He faces a maximum penalty of 10 years in federal prison on each count.

According to the plea agreement, between November 2011 and May 2014, Wesley was engaged in a fraud scheme in which he would obtain checks that had been written by victim bank account holders and stolen from United States Postal Service mailboxes. Wesley would then use the personal information printed on these stolen checks to cash, at the victim’s own bank, worthless checks made payable to the victim but had been written on closed accounts from other banking institutions. In this manner, Wesley frequently obtained cash from federally insured financial institutions. On multiple occasions, and at different locations over several years, ranging from Lee, Manatee, and Hillsborough Counties, Florida law enforcement officers found Wesley to be in possession of numerous such checks and theft paraphernalia. Each check was an unauthorized access device containing the account holder’s personal information, bank account, and routing numbers. None of the victim account holders had authorized Wesley to possess or use those checks.

This case was investigated by the United States Postal Inspection Service, with assistance from the Sheriff’s Offices in Hillsborough, Pinellas, Manatee, Seminole, and County, and the Florida Highway Patrol. It is being prosecuted by Assistant United States Attorney Jay L. Hoffer.

A Cuban national was sentenced to 37 months in prison today for his role in a multimillion-dollar health care fraud scheme in the greater Tampa, Florida, area.   

Assistant Attorney General Leslie R. Caldwell of the Justice Department’s Criminal Division, U.S. Attorney A. Lee Bentley III of the Middle District of Florida, Special Agent in Charge Paul Wysopal of the FBI’s Tampa Field Office and Special Agent in Charge Shimon R. Richmond of the U.S. Department of Health and Human Services Office of Inspector General’s (HHS-OIG) Miami Regional Office made the announcement.

Ubert Guillermo Rodriguez, aka Ubert Guillermo Rodriguez Sigler, 47, pleaded guilty to conspiracy to commit health care fraud in March 2016.  Rodriguez had been a fugitive following his indictment in 2013 until his arrest in October 2015.  U.S. District Judge James D. Whittemore of the Middle District of Florida imposed today’s sentence and also ordered Rodriguez to pay $918,402 in restitution and to forfeit the same amount. 

Rodriguez was the president and owner of G.R. Services Equipment & Supplies Inc., a Largo, Florida, company that purported to provide durable medical equipment to Medicare beneficiaries.  Rodriguez admitted that from May 2013 through July 2013, his company submitted approximately $2,579,695 in false and fraudulent claims to Medicare seeking reimbursement for durable medical equipment not legitimately prescribed by doctors and not provided to beneficiaries.  For example, Rodriguez’s company sought reimbursement for thousands of dollars of negative pressure wound therapy electrical pumps and sterile collagen dressings purportedly provided to Medicare beneficiaries in May and June 2013 that were not, in fact, legitimately prescribed by doctors or provided to beneficiaries.  Federal law enforcement agents previously executed a seizure warrant on Rodriguez’s company’s bank account, resulting in the seizure of approximately $243,339 in proceeds of the health care fraud scheme. 

HHS-OIG and the FBI investigated the case, which was brought as part of the Medicare Fraud Strike Force, under the supervision of the Criminal Division’s Fraud Section and the U.S. Attorney’s Office of the Middle District of Florida.  Fraud Section Senior Trial Attorney Christopher J. Hunter prosecuted the case.

Since its inception in March 2007, the Medicare Fraud Strike Force, now operating in nine cities across the country, has charged nearly 2,000 defendants who have collectively billed the Medicare program for more than $6 billion.  In addition, the HHS Centers for Medicare and Medicaid Services, working in conjunction with the HHS-OIG, are taking steps to increase accountability and decrease the presence of fraudulent providers.

To learn more about the Health Care Fraud Prevention and Enforcement Team (HEAT), go to www.stopmedicarefraud.gov.

Orlando, FL – Amin Yu, 54, of Orlando, Florida, pleaded guilty today to acting in the United States as an illegal agent of a foreign government without prior notification to the Attorney General and conspiring to commit international money laundering.

The plea agreement was announced by U.S. Attorney A. Lee Bentley III of the Middle District of Florida and Assistant Attorney General for National Security John P. Carlin.

“Amin Yu made hundreds of thousands of dollars by acting covertly in Orlando on behalf of the Chinese government and by skirting U.S. export laws and regulations,” said U.S. Attorney Bentley.  “The enforcement of U.S. laws and regulations related to the national security of the United States remains a top priority for our office.”

“Amin Yu admitted to secretly serving as an agent of the Chinese government,” said Assistant Attorney General Carlin.  “Yu obtained and illegally exported items and technology related to marine submersible vehicles at the direction and control of a state-owned entity in China.  Protecting our national assets by disrupting efforts by foreign governments to steal sensitive equipment and technology will continue to be a high priority of the National Security Division.”

According to the plea agreement, from at least 2002 until February 2014, at the direction of co-conspirators working for Harbin Engineering University (HEU), a state-owned entity in the People’s Republic of China, Yu obtained systems and components for marine submersible vehicles from companies in the United States.  She then illegally exported those items to the PRC for use by her co-conspirators in the development of marine submersible vehicles – unmanned underwater vehicles, remotely operated vehicles and autonomous underwater vehicles – for HEU and other state-controlled entities.  Yu illegally exported items by failing to file electronic export information (EEI), as required by U.S. law, and by filing false EEI.  In particular, Yu completed and caused the completion of export-related documents in which she significantly undervalued the items that she had exported and provided false end user information for those items.

Yu faces a maximum penalty of 10 years in prison for acting as an illegal agent of a foreign government and up to 20 years in prison for conspiring to commit money laundering.  A sentencing hearing has not yet been scheduled. 

This case was investigated by the FBI, U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, the Internal Revenue Service-Criminal Investigation and the Naval Criminal Investigative Service.  The case is being prosecuted by Assistant U.S. Attorney Daniel C. Irick of the Middle District of Florida and Trial Attorneys David C. Recker and Thea D. R. Kendler of the National Security Division’s Counterintelligence and Export Control Section.

Jacksonville, FL – United States Attorney A. Lee Bentley, III announces that Clement Ashford Reeves, Jr. (73, Yulee) has pleaded guilty to receiving child pornography over the Internet. He faces a mandatory minimum penalty of 5 years, up to 20 years, in federal prison and a potential life term of supervision. A sentencing date has not yet been set.

According to court documents, an agent with U.S. Immigration and Customs Enforcement’s Homeland Security Investigations began an undercover operation to identify persons using the Internet to receive and share child pornography. The agent learned that a host computer in Florida had been sharing child pornography since December 15, 2011. That computer was traced to Reeves’s residence.     

On June 3, 2015, agents met with Reeves at his home. During an interview, Reeves stated that he had downloaded depictions of prepubescent children, but that his preference was for young girls. He also said that he had been using the file sharing program for 10-15 years. Agents seized several computer devices that contained 22 videos depicting young children being sexually abused.         

This case was investigated by U.S. Immigration and Customs Enforcement’s Homeland Security Investigations. 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.

Amin Yu, 54, of Orlando, Florida, pleaded guilty today to acting in the United States as an illegal agent of a foreign government without prior notification to the Attorney General and conspiring to commit international money laundering.

The plea agreement was announced by Assistant Attorney General for National Security John P. Carlin and U.S. Attorney A. Lee Bentley III of the Middle District of Florida.

“Amin Yu admitted to secretly serving as an agent of the Chinese government,” said Assistant Attorney General Carlin.  “Yu obtained and illegally exported items and technology related to marine submersible vehicles at the direction and control of a state-owned entity in China.  Protecting our national assets by disrupting efforts by foreign governments to steal sensitive equipment and technology will continue to be a high priority of the National Security Division.”

“Amin Yu made hundreds of thousands of dollars by acting covertly in Orlando on behalf of the Chinese government and by skirting U.S. export laws and regulations,” said U.S. Attorney Bentley.  “The enforcement of U.S. laws and regulations related to the national security of the United States remains a top priority for our office.”

According to the plea agreement, from at least 2002 until February 2014, at the direction of co-conspirators working for Harbin Engineering University (HEU), a state-owned entity in the People’s Republic of China, Yu obtained systems and components for marine submersible vehicles from companies in the United States.  She then illegally exported those items to the PRC for use by her co-conspirators in the development of marine submersible vehicles – unmanned underwater vehicles, remotely operated vehicles and autonomous underwater vehicles – for HEU and other state-controlled entities.  Yu illegally exported items by failing to file electronic export information (EEI), as required by U.S. law, and by filing false EEI.  In particular, Yu completed and caused the completion of export-related documents in which she significantly undervalued the items that she had exported and provided false end user information for those items.

Yu faces a maximum penalty of 10 years in prison for acting as an illegal agent of a foreign government and up to 20 years in prison for conspiring to commit money laundering.  A sentencing hearing is scheduled for Aug. 29, 2016.  

This case was investigated by the FBI, U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, the Internal Revenue Service-Criminal Investigation and the Naval Criminal Investigative Service.  The case is being prosecuted by Assistant U.S. Attorney Daniel C. Irick of the Middle District of Florida and Trial Attorneys David C. Recker and Thea D. R. Kendler of the National Security Division’s Counterintelligence and Export Control Section.

Yu Plea Agreement

Jacksonville, Florida – United States Attorney A. Lee Bentley, III announces that James Donald Jacola (53, Green Cove Springs) has pleaded guilty in Jacksonville to receiving child pornography over the Internet. He faces a mandatory minimum penalty of not less than 5 years, up to 20 years, in federal prison and a potential life term of supervision. A sentencing hearing has not yet been set.

According to court documents, FBI agents began an online undercover investigation to identify individuals who were using a particular website to access and receive images and videos depicting child pornography over the Internet. The agents determined that Jacola had accessed this website using a particular Internet Protocol (IP) address. Further investigation with the Internet service provider traced the subscriber information to Jacola’s residence in Green Cove Springs, Florida.

On March 10, 2016, law enforcement executed a federal search warrant at Jacola’s residence and seized two computers. Subsequent forensic analyses of the items revealed that Jacola’s computers contained three videos and at least 784 images depicting child pornography. One of the videos had been downloaded the night before the execution of the search warrant and depicted a toddler being sexually abused. Jacola knowingly downloaded the images and videos of child pornography contained on his computer media over the Internet.

This case was investigated by the Federal Bureau of Investigation 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.

Fort Myers, FL – United States Attorney A. Lee Bentley, III announces the arrest and filing of criminal complaint charging Jorge Guerrero-Torres (28, Orlando) with possessing child pornography. If convicted, he faces a maximum penalty of 20 years in federal prison. Guerrero-Torres made his initial appearance in federal court on June 6, 2016, in Fort Myers. He remains detained pending further proceedings. A preliminary hearing is scheduled for June 20, 2016, at 1:30 p.m., before U.S. Magistrate Judge Mac R. McCoy.

According to the complaint, on May 29, 2016, the Lee County Sheriff’s Office responded to a call regarding a missing child. During the ensuing investigation, officers learned that Guerrero-Torres had resided at that home for several months, and had recently moved out. Law enforcement officers contacted Guerrero-Torres, who provided a statement regarding his whereabouts on the day of the child's disappearance. Investigators later obtained a search warrant for the recovery of records related to Guerrero-Torres’ cellphone, including historical geographical tracking data. The phone, abandoned by Guerrero-Torres, was ultimately recovered by law enforcement and a forensic examination of the device revealed multiple images of child pornography.

A criminal complaint is merely an allegation 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 Lee County Sheriff’s Office, the Federal Bureau of Investigation and the Florida Department of Law Enforcement. It will be prosecuted by Assistant United States Attorney Jesus M. Casas.

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, FL – U.S. District Judge Virginia M. Hernandez Covington has sentenced Vanshawn A. Haggins (28, Tampa) to 12 years and 7 months in federal prison for being a felon in possession of a firearm. He pleaded guilty on March 4, 2016.      

According to court documents, law enforcement identified Haggins and his associates as convicted felons who were in possession of firearms. Many of the firearms Haggins and his roommate, Christopher Balfrey, possessed had been stolen from residences in the South Tampa area. On multiple occasions, law enforcement officers met with Haggins and Balfrey, where they purchased drugs and stolen firearms from them. While executing a federal search warrant at their residence, law enforcement seized three firearms, ammunition, powder cocaine, marijuana, and $2,636 in cash.

As a previously convicted felon, Haggins is prohibited from possessing firearms or ammunition under federal law.

Balfrey previously pleaded guilty to narcotics and firearms offenses. He was sentenced on May 27, 2016, to 12 years and 7 months in federal prison.

This case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives and the Tampa Police Department as part of a Violent Crime Initiative. It was prosecuted by Assistant United States Attorney Stacie B. Harris.

This is another case prosecuted as a part of the Department of Justice’s “Project Safe Neighborhoods” Program - a nationwide, gun-violence reduction strategy.  United States Attorney A. Lee Bentley, III, along with Regina Lombardo, 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.

Tampa, FL – United States Attorney A. Lee Bentley, III announces the filing of indictments against Venice residents Steven M. Pace (24) and Katie Smith (24) for possessing destructive devices.  Pace also was charged with possessing with the intent to distribute a Schedule I controlled substance (AB-fubinaca, a.k.a “Spice”) and possessing a firearm in furtherance of that drug trafficking crime. If convicted, each faces a maximum penalty of 10 years in federal prison for the destructive device charge. Pace also faces up to 20 years in federal prison for the drug charge and a mandatory minimum penalty of 5 years on the firearm offense. The indictments also notify Pace and Smith that the United States intends to forfeit any firearms and ammunition that are traceable to proceeds of the offenses.

According to court documents, in February 2016, Pace and Smith each possessed four destructive devices, specifically, two improvised pipe bombs and two improvised grenades that had not been registered to them in the National Firearms Registration and Transfer Record as required by law. Pace is also charged with possessing with intent to distribute approximately 280 grams or more of “Spice” and possessing a Glock and ammunition in furtherance of that crime. 

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 Bureau of Alcohol, Tobacco, Firearms, and Explosives and the Sarasota County Sheriff’s Office. It will be prosecuted by Assistant United States Attorney Kaitlin R. O’Donnell.

Orlando, Florida – United States Attorney A. Lee Bentley, III announces that William Bruce O’Donoghue (61, Winter Park) today pleaded guilty to failure to pay over federal employee payroll taxes. He faces a maximum penalty of five years in federal prison. A sentencing date has not yet been set. O’Donoghue was indicted on February 3, 2016.

According to court documents, O’Donoghue was the president and majority owner of Control Specialists, a traffic engineering company in Central Florida. As president and majority owner, O’Donoghue exercised control over the company’s business affairs, including approving all payments by the company and controlling all of the company’s bank accounts.  

Throughout 2009 and 2010, O’Donoghue caused Control Specialists to withhold payroll taxes from its employees, but failed to pay over those withheld payroll taxes to the IRS. During that same time period, O’Donoghue caused Control Specialists to make thousands of dollars in expenditures for his personal benefit, including approximately $125,000 in cash payments to fund his campaign for Congress. The amount of payroll taxes withheld by Control Specialists and not paid over to the IRS during this period was $219,962.95.

This case was investigated by the Internal Revenue Service - Criminal Investigation. It is being prosecuted by Assistant United States Attorney Vincent S. Chiu.

Tampa, FL – U.S. District Judge James D. Whittemore today sentenced Kevin Wain (41, Tampa) to four years in federal prison for credit card fraud. The Court also ordered him to pay $585,028.99 to the approximately 48 affected financial institutions. Wain pleaded guilty on October 29, 2015.

According to court documents, from at least September 20, 2012, through and including the date of his arrest in June 2015, Wain engaged in a multi-state scheme to use counterfeit credit cards to buy high-end housewares, which he then sold on eBay for cash. Wain used stolen credit cards from numerous financial institutions, without the account holders’ knowledge or permission.

The investigation revealed that Wain had eBay and PayPal accounts listed in his name and address. Profits from the sales in these accounts were deposited into bank accounts in Wain’s own name. Since opening his account in May 2010, Wain has received approximately $881,143 in payments for selling items online.

The eBay records showed that on or about September 20, 2011, Wain purchased a MSR605 Magnetic Credit Card Reader/Writer, which can read and write magnetic striped cards and is typically used to encode and re-encode credit and debit card numbers onto counterfeit credit and debit cards.

Wain’s eBay sales transactions also showed the following:

a.       From September 20, 2012, to February 15, 2015, he sold approximately 755 Vitamix blenders in various models for a total profit of $399,713.08;

b.       From March 12, 2013, to February 18, 2015, he sold approximately 197 Roomba Robot vacuums in various models for a total profit of $91,141.25; and

c.       From April 13, 2013, to June 1, 2013, he sold approximately 9 Dyson DC41 Animal vacuums for a total profit of $3,456.99.

Wain engaged in this credit card fraud scheme primarily near his home in the Tampa area, but also as far away as Texas and Illinois, primarily using stolen credit and debit card numbers to make purchases at Williams Sonoma. To date, investigators have identified more than $585,000 in purchases by Wain at Williams Sonoma and Bed Bath and Beyond alone, using counterfeit credit cards embedded with the stolen account information of over 125 identity theft victims.

This case was investigated by the United States Secret Service. It was prosecuted by Assistant United States Attorney Mandy Riedel.

Tampa, Florida – United States Attorney A. Lee Bentley, III announces the return of an indictment charging Leigh Fiske (52) with two counts of bank fraud. If convicted, he faces a maximum penalty of 30 years in federal prison on each count. 

According to the indictment, Fiske submitted two fraudulent financial instruments to the servicer and the bank trustee of a mortgage that he had used to finance the purchase of property in Tampa in 2005. The fraudulent instruments and accompanying documentation directed the financial institutions, both of which had received funds from the Treasury Department’s Troubled Asset Relief Program, to apply the face value of the instruments to his outstanding mortgage debt in separate attempts to extinguish that obligation. In truth, neither instrument had or conveyed anything of monetary value. The intended loss of the scheme was over $650,000. 

In March 2016, Fiske was indicted in a separate fraud case for a scheme in which he allegedly funneled monies obtained from counterfeit or altered business checks through a trust account that he had created for a shell company he controlled. That case is pending trial.

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 Office of the Special Inspector General for the Troubled Asset Relief Program, the Federal Bureau of Investigation, and the Office of the Comptroller of the Currency. It will be prosecuted by Assistant United States Attorney Eric K. Gerard.

Orlando, Florida – United States Attorney A. Lee Bentley, III announces that Ricky Delano Sheppard (59, Brevard County) was arrested and charged by criminal complaint today with possession of child pornography. If convicted, he faces up to 20 years in federal prison, and up to a lifetime of supervision. At the time of the incident, Sheppard was working as a principal at the Holland Spessard Elementary School, in Brevard County.

According to court records, on June 3, 2016, agents assigned to the U.S. Immigration and Customs Enforcement’s Homeland Security Investigations and Brevard County Sheriff’s Office task force executed a search warrant at Sheppard’s residence in Brevard County. During a forensic examination of Sheppard’s computer media, computer experts found hundreds of images of child pornography.

Sheppard made his initial appearance in federal court earlier today, in Orlando. He remains detained pending further proceedings. A preliminary and detention hearing has been scheduled for Wednesday, June 8, 2016, before U.S. Magistrate Judge Gregory J. Kelly.

This case was investigated by the U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, with the assistance from the Brevard County Sheriff’s Office. It is being prosecuted by Assistant United States Attorney Ilianys Rivera Miranda.

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– United States Attorney A. Lee Bentley, III announces the return of an indictment charging Tameka O’Hara ( 36, Haines City) with four counts of theft of government money, four counts of making false statements to or concealing material facts from the Social Security Administration, and one count of making a false statement to a federal agency.  If convicted, she faces a maximum penalty of 10 years in federal prison for each count of theft of government money and up to 5 years’ imprisonment on each of the other counts.  The indictment also notifies O’Hara that the United States intends to forfeit any monies and property that are traceable to proceeds of the offense.

According to the indictment, O’Hara concealed or lied about material facts concerning her household’s true composition, income, and assets, as well as the ownership of her residence, in an effort to maximize or maintain eligibility for Supplemental Security Income benefits for herself and other members of her household.  The total loss to the federal government is alleged to exceed $250,000.

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 the Office of the Inspector General for the Social Security Administration.  It will be prosecuted by Assistant United States Attorney Eric K. Gerard.

Tampa, Florida - United States Attorney A. Lee Bentley, III announces that Jason Martin (36, Orange County, CA) yesterday pleaded guilty to mortgage fraud conspiracy involving bank and wire fraud. He faces a maximum penalty of 30 years’ imprisonment. A sentencing date has not yet been set.

According to court documents, in 2005, entities controlled by co-conspirators entered into a contract to purchase The Arbors, an apartment complex in Hillsborough County, Florida. The new owners then engaged in a plan to convert the complex from rental apartments to condominium units. The co-conspirators engaged in a scheme to defraud mortgage lenders by developing a set of incentives, such as rental supplements, payment of homeowner’s association fees, and kickbacks to the buyers after closing. These buyer incentives were deliberately hidden from the lenders.

Martin’s role in the conspiracy, as a mortgage broker, involved originating mortgages through Envision Lending and Set 2 Go Loans. The loan applications submitted by Martin contained material misrepresentations, including false occupancy and inflated borrower income and asset information. These loan applications were submitted to FDIC insured institutions and other mortgage lenders.  Additionally, through his company HUMAR Investments, Martin and his co-conspirator provided borrowers with cash to close without disclosing the payments to the lenders.

This case was investigated by the Federal Bureau of Investigation and the Federal Housing Finance Agency Office of Inspector General. It is being prosecuted by Special Assistant United States Attorney Chris Poor and Assistant United States Attorney Jay Hoffer.

Tampa, Florida – U.S. District Judge Susan C. Bucklew has sentenced Andre Eugene Favreau (31, Tampa) to 25 years in federal prison for online enticement of a minor and transportation and receipt of child pornography. The Court also ordered him to forfeit the computers used in the crimes. Favreau pleaded guilty on January 27, 2016.

According to court documents and testimony, the investigation began in December 2014, when an undercover agent downloaded files from Favreau’s Internet Protocol (IP) address via an Internet peer-to-peer program. On May 14, 2015, FBI agents seized a desktop computer belonging to Favreau, which he admitted contained child pornography. A forensic review of the computer subsequently revealed that it contained at least 140 images and 85 videos of child pornography.

On July 17, 2015, law enforcement obtained federal search warrants for Favreau’s Samsung tablet and his Instagram account. Further investigation revealed that Favreau had used his Instagram account to send child pornography images to others, and that on April 8, 2015, he had used the account to communicate with an individual that he believed was under the age of 18 years old. Favreau intentionally attempted to persuade that minor to engage in sexual activity and produce images of the activity.

This case was investigated by the Federal Bureau of Investigation. It was prosecuted by Assistant United States Attorney Jennifer L. Peresie.

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, FL – U.S. District Judge Steven D. Merryday today sentenced Christopher Bowen Balfrey (26, Tampa) to 12 years and 7 months in federal prison for drug conspiracy, being a felon in possession of a firearm, and possessing a firearm in furtherance of a drug trafficking crime. The Court also forfeited a 2006 Cadillac Deville, a traceable proceed of the offenses. 

 Balfrey pleaded guilty to the charges on February 8, 2016.    

According to court documents, law enforcement identified Balfrey and his associates as convicted felons who were in possession of firearms. Many of the firearms Balfrey possessed were stolen from residences in the South Tampa area. Law enforcement met with Balfrey on multiple occasions, where they purchased drugs and stolen firearms from him. While executing a federal search warrant at Balfrey’s residence, law enforcement seized three firearms, powder cocaine, assorted ammunition, marijuana and $2,636.00 in cash.

As a previously convicted felon, Balfrey is prohibited from possessing firearms or ammunition under federal law.

This case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives and the Tampa Police Department as part of a Violent Crime Initiative. It was prosecuted by Assistant United States Attorney Stacie B. Harris.

This is another case prosecuted as a part of the Department of Justice’s “Project Safe Neighborhoods” Program - a nationwide, gun-violence reduction strategy.  United States Attorney A. Lee Bentley, III, along with Regina Lombardo, 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.

Jacksonville, Florida – United States Attorney A. Lee Bentley, III announces that Jeremy Lee Hughes (41, Brunswick, GA) has been arrested and charged by criminal complaint with using the Internet to attempt to entice a person he believed to be a minor to engage in sexual activity.  He faces a mandatory minimum penalty of 10 years, up to life, in federal prison. Hughes is currently in custody on related state charges. 

According to the complaint, between April 1 and April 6, 2016, Hughes engaged in a series of online conversations with a person he believed to be a 14-year old girl.  This "child" was actually an undercover officer from the St. Johns County Sheriff’s Office.  During the conversations, Hughes described various types of sexual activity to the “child” and indicated his desire and intent to meet the “child” for sex at her residence.  On April 6, 2016, Hughes drove from Jacksonville to a location in St. Johns to meet the “child” for sex and was arrested.  During an interview, Hughes acknowledged texting with the “child” about engaging in graphic sexual acts.  

According to the complaint, Hughes has outstanding arrest warrants for charges of aggravated child molestation and incest in Georgia.    

This case was investigated by the St. Johns County Sheriff’s Office and the Federal Bureau of Investigation.  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 the 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 Charlene Edwards Honeywell has sentenced Air Force staff sergeant Thomas Allen Vaughn (34), who had previously been stationed at Patrick Air Force Base, to 10 years in federal prison for attempted enticement of a minor for sex. The Court also ordered Vaughn to forfeit a cell phone that he had used to commit the offense.

According to court documents, between October 23 and October 28, 2015, Vaughn communicated online with an undercover agent who was posing as the older brother of a 14-year-old girl, and indicated he was looking for a boyfriend for his sister. During online and phone conversations, Vaughn discussed his interest in engaging in sexual acts with the “girl.” Vaughn sent the “child” a photo of himself naked from the waist up and wrote directly to the “child” that a naked picture from her would be “hot.” He also requested that the “child” send him a “sexy” picture. Vaughn indicated that he wanted to meet the “child,” and asked her what street she lived on.

On October 28, 2015, Vaughn made plans to meet the “child” at 6:00 p.m. at her residence. The “child” advised that she was still at school and wouldn’t be at home at that time. Vaughn then drove to the school that he believed the “child” attended. He was arrested and had condoms in his possession.         

This case was investigated by Air Force Office of Special Investigations in Tampa. It was prosecuted by Assistant United States Attorney Amanda C. Kaiser.

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.

Orlando, Florida – United States Attorney A. Lee Bentley, III announces that a federal jury today found Timothy Michael Sedlak (42, Ocoee) guilty of two counts of using a minor to produce child pornography and one count of possessing child pornography. He faces a maximum penalty of 30 years in federal prison on each production count and up to 10 years’ imprisonment on the possession count. The sentencing hearing has not yet been set.  Sedlak was indicted on December 9, 2015.

According to evidence presented at trial, on two occasions, Sedlak took photographs of himself sexually abusing a small child.  The first incident took place in September 2009, when the victim was a year old, and the second incident took place in April 2011, when the child was three.  The images of Sedlak abusing the child were discovered when United States Secret Service agents executed a search warrant on Sedlak’s home as part of an unrelated computer intrusion investigation.  In addition to the images of the victim, agents discovered hundreds of images of child pornography on Sedlak’s computers that had been downloaded from the Internet.

This case was investigated by the United States Secret Service and U.S. Immigration and Customs Enforcement’s Homeland Security Investigations. It is being prosecuted by Assistant United States Attorney Vincent S. Chiu.

Ocala, Florida – Senior United States District Judge Wm. Terrell Hodges has sentenced Larry Garfield Letterman (63, Wildwood) to 48 months in federal prison for possessing firearms and ammunition as a convicted felon. 

According to the plea agreement, Letterman met with a confidential informant in October and November 2015, during which he sold the informant three firearms and ammunition, including an AR-15 rifle. On December 15, 2015, federal agents executed a search warrant at Letterman’s residence. They recovered an AK-47 rifle, a shotgun, a handgun, and more than 260 rounds of ammunition.

Letterman admitted to possessing the firearms and ammunition and also stated that he had multiple prior felony convictions, including possessing a firearm as a convicted felon, burglary, and sodomy of a male less than fourteen years of age. As a previously convicted felon, Letterman is prohibited from possessing firearms and ammunition under federal law.   

This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF). It was prosecuted by Assistant United States Attorney Robert E. Bodnar, Jr.

This is another case prosecuted as part of the Department of Justice’s “Project Safe Neighborhoods” Program - a nationwide, gun-violence reduction strategy.  United States Attorney A. Lee Bentley, III, along with Regina Lombardo, Special Agent in Charge, ATF, are 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 on reducing violent crime in communities.

Ocala, Florida – Senior United States District Judge Wm. Terrell Hodges has sentenced Alan Kenneth Thompson, Jr. (33, Crystal River) to 11 years and 4 months in federal prison for distributing child pornography.

According to court documents, agents from U.S. Customs Enforcement’s Homeland Security Investigations determined that Thompson had been using a mobile app to post and receive images depicting child pornography online. The agents tracked the activity to Thompson’s residence. On September 10, 2015, a search warrant was executed at the residence and a cellphone and two laptop computers were seized. More than 4,500 images and 84 video files depicting child pornography were identified during forensic analyses of Thompson’s devices.

During an interview with law enforcement, Thompson admitted that he had been receiving and distributing child pornography, including some in which the victims were only four or five years old. Thompson further stated that he recently had begun to take non-pornographic photographs of neighborhood children without their knowledge, including more than 3,000 images of a minor girl.

“This criminal had thousands of horrible images, each of which represented an atrocious crime on a child,” said Susan L. McCormick, special agent in charge of HSI Tampa. “This sentencing should stand as a warning to child predators that you will be held accountable for your crimes.”

This case was investigated by U.S. Immigration and Customs Enforcement’s Homeland Security Investigations. It was prosecuted by Assistant United States Attorney Robert E. Bodnar, Jr.

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 – U.S. District Judge James D. Whittemore has sentenced Dr. Edward Neil Feldman (76, Tampa) to 25 years in federal prison for conspiracy to prescribe controlled substances not for a legitimate medical purpose and not in the usual course of professional practice, for prescribing controlled substances that resulted in the deaths of three patients, and for money laundering. Yesterday, Kim Xuan Feldman (66, Tampa), Feldman’s wife, was sentenced to four years in federal prison for her part in the conspiracy to launder proceeds of the couple’s criminal medical clinic, Feldman Orthopedic and Wellness Center (FOWC), and for her role in the conspiracy to distribute prescription medications for no legitimate purpose and outside the usual course of professional practice. The couple dispensed primarily oxycodone and methadone, as well as alprazolam and diazepam. The Court also ordered the Feldmans to forfeit their home, a Mercedes Benz, an Infinity EX35, and $489,000 in cash, which are traceable to proceeds of the offense. They were also ordered to forfeit the building that housed FOWC, as a property that facilitated their crimes. In addition, the Court entered a money judgment in the amount of $6,787,103.99, the proceeds of the criminal conduct. In partial satisfaction of the money judgment, the defendants forfeited jewelry, gold coins, and precious metals valued at $116,131, and a 2011 Porsche.

A federal jury found the Feldmans guilty on February 24, 2016.

According to testimony and evidence presented at trial, from October 2009 through December 2014, the Feldmans operated FOWC in Pinellas Park. The clinic saw between 80-100 patients a day, with new patients paying $300 in cash for visits, and follow-up patients paying $150-$225 for visits. Insurance was not accepted at FOWC. The Feldmans gave the patients prescriptions for controlled substances, usually in significant quantities, not for any legitimate medical purpose.  

During the trial, Pinellas-Pasco Medical Examiners opined that three individuals had died as a result of multi-drug toxicity related to the large amounts of methadone, oxycodone, alprazolam, and diazepam found in their systems. Two of those patients had visited Dr. Feldman only once before their respective deaths. 

Evidence also showed that the couple deposited more than $5 million in cash in dozens of bank accounts during the period of the charged crimes. They used proceeds from FOWC to purchase their home and property for their business, and to fund investment accounts.

This case was investigated by the Drug Enforcement Administration and the Organized Crime Drug Enforcement Task Forces (OCDETF), a partnership between federal, state and local law enforcement agencies. The principal mission of the OCDETF program is to identify, disrupt and dismantle the most serious drug trafficking, weapons trafficking and money laundering organizations, and those primarily responsible for the nation’s illegal drug supply. It was prosecuted by Assistant United States Attorneys Shauna S. Hale and Kaitlin R. O’Donnell.

Tampa, Florida – U.S. District Judge Mary S. Scriven has sentenced Michael Skillern (49, Houston, Texas) to 10 years’ imprisonment, Jon Craig Nelson (69, Houston, Texas) to 8 years’ imprisonment, Naadir Cassim (40, Barcelona, Spain and Orlando, Florida) to 5 years’ imprisonment, and Adriana Maria Camargo, a/k/a Adriana Palomino (37, Barcelona, Spain) to 2 years’ imprisonment for conspiracy, money laundering conspiracy, and mail fraud. Some were also sentenced for wire fraud and illegal monetary transactions. The Court also ordered Cassim and Camargo to pay a money judgment of approximately $3.3 million. Nelson and Skillern were ordered to pay a money judgment of approximately $7.3 million, the proceeds of the charged criminal conduct.

These individuals were convicted on February 3, 2016.

According to testimony and evidence presented at trial, from August 2011 through February 2014, Cassim, Nelson, Skillern, and Camargo, along with others, engaged in a fraud scheme where they directed and caused the sale of purported but nonexistent gold ore or gold doré from mines owned or controlled by them, through a company called OWN GOLD, LLC. The conspirators then caused victims to wire funds to bank accounts controlled by them. The conspirators used the victims' funds to perpetuate the scheme and for their own personal enrichment. Trial evidence established that approximately 440 victims wired over $7.3 million to the conspirators during the course of the fraud scheme.

“The dismantling of this transnational criminal organization is the result of international law enforcement agencies working together,” said Susan L. McCormick, special agent in charge of HSI Tampa. “HSI will continue to leverage our unique international authority to protect victims and bring criminals to justice.”    

The case was investigated by the U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, and the U.S. Secret Service, with assistance from the City of London Police, Spanish National Police, and U.S. Department of Interior’s Bureau of Land Management. It was prosecuted by Assistant United States Attorneys Sara C. Sweeney and Rachelle DesVaux Bedke.

Tampa, Florida – United States Attorney A. Lee Bentley, III announces that a federal jury today found Maurice Williams (25, Temple Terrace) guilty of child sex trafficking and possession of child pornography. He faces a maximum penalty of life in federal prison. A sentencing hearing is scheduled for August 24, 2016. His brother, Antawan Hudson (30, Tampa), pleaded guilty to all charges on the first day of trial and also faces a maximum penalty of life in federal prison. His sentencing hearing is scheduled for August 16, 2016. Williams and Hudson were indicted on November 4, 2015.

According to testimony and evidence presented at trial, Williams conspired with Hudson to traffic underage females by fraud, force, and coercion in the commercial sex trade. Williams and Hudson worked together to post online prostitution ads for the victims and then transported the girls throughout central Florida to have sex with customers. After the victims had sex with the customers, Williams and Hudson took some or all of the money and, in exchange, offered the victims drugs, alcohol, and beauty appointments. 

This case was investigated by the Federal Bureau of Investigation. It was prosecuted by Assistant United States Attorneys Stacie Harris and Daniel George.

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 – U.S. District Judge Susan C. Bucklew today sentenced Theoridotes Collins (39, Sarasota) to 10 years in federal prison for being a felon in possession of a firearm while on state probation. The Court also ordered him to forfeit a firearm and ammunition seized from his residence. Collins was found guilty in a stipulated bench trial on February 16, 2016.

According to court documents, on April 21, 2015, Collins was convicted of fraudulent use of a credit card and fraudulent use of personal identification arising out of a robbery in front of a Dollar Tree in Bradenton. He later used his victim’s credit/debit card.  The Circuit Court sentenced Collins to a one-year term of probation for the credit card fraud charge.  At the time of his conviction, Collins had 19 prior convictions, including a home invasion robbery. 

After Collins was placed on probation, the Manatee County Sheriff’s Office shared information with the Sarasota Police Department and ATF regarding Collins’s association with individuals suspected of being involved in recent shootings. On June 11, 2015, less than two months after Collins had been placed on state probation, the Florida Department of Corrections, Probation and Parole Field Service Office conducted a probation search of Collins’s residence in Sarasota. After two occupants falsely stated Collins was not at home, law enforcement officers saw him running out his back door into a neighbor’s yard.  Collins was taken into custody and returned to the residence. During a search of his bedroom, the probation officers found a 9mm rifle and .40 caliber ammunition hidden between his mattress and a mattress pad. They also located crack cocaine, powder cocaine, baggies, a digital scale, and cash in the bedroom.

This is another case prosecuted as a part of the Department of Justice’s “Project Safe Neighborhoods” Program – a nationwide, gun-violence reduction strategy.  United States Attorney A. Lee Bentley, III, and Regina Lombardo, Special Agent in Charge, ATF, are coordinating the Project Safe Neighborhoods effort here in the Middle District of Florida in cooperation with federal, state, and local law enforcement officials including Sarasota Police Chief Bernadette DiPino and Manatee County Sheriff W. Brad Steube. It is also a part of ATF’s Frontline strategy to reduce gun violence in our communities.

This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Sarasota Police Department, and the Manatee County Sheriff’s Office.  It was prosecuted by Assistant United States Attorneys Rachel Jones and Simon Gaugush.

Orlando, Florida – United States Attorney A. Lee Bentley, III announces the filing of a criminal complaint and arrests of Kimberly Carnell White, Jr. (27, Orlando) and James Romando Harris, II (28, Orlando) for possession of firearms by convicted felons.  If convicted, each faces up to 10 years in federal prison.

According to the complaint, a federally licensed firearms dealer in Marion County was burglarized during the morning of May 5, 2016.  Later that day, ATF received information that White had several firearms to sell that came from a location he claimed to have “hit.”  That same day, undercover agents from the Orange County Sheriff’s Office purchased five firearms from White and Harris.  The serial numbers of those firearms matched those of the firearms that had been stolen from the federally licensed firearms dealer.  Both White and Harris have prior felony convictions and therefore are prohibited from possessing firearms or ammunition under federal law.

On May 13, 2016, the Orange County Sheriff’s Office, the Orlando Police Department, and ATF executed federal search warrants at the Orlando residences where the undercover transactions had been conducted and where other firearms had been seen.  During the execution of those warrants, law enforcement recovered seven firearms from one residence and four firearms from the other residence.  Of those 11 firearms, 4 of them had serial numbers that matched those of the firearms reported stolen from the federally licensed firearms dealer.  In total, investigators have seized 16 firearms, including 9 that were reported stolen from the firearms dealer.

These arrests were the result of a multi-agency investigation focused on the recovery of the firearms. This investigation is ongoing. 

“These arrests demonstrate the resolve our local, state and federal partners have to keep guns off the streets, and put the felons that traffic in illegal firearms behind bars,” said Orange County Sheriff Jerry L. Demings.  “Together we will continue to seek out any other subjects who assisted in this crime and who would endanger our children and communities.”

“By working together with our law enforcement partners at the Orange County Sheriff’s Office, the U.S. Attorney's Office and ATF, we were able to get 16 illegal guns off the street,” said Orlando Police Chief John Mina.  “Any time we can get crime guns out of the hands of criminals it's a victory for all of us.”

“I applaud the ATF special agents and the investigators with the Orange County Sheriff's Office and the Orlando Police Department for their excellent work in quickly arresting these individuals selling stolen guns,” said ATF Special Agent in Charge Regina Lombardo.  “This investigation will make our communities safer but we still have more work to do in recovering all of the guns stolen from a licensed federal firearms dealer.”

A criminal complaint is merely an allegation 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 is being investigated by the Orange County Sheriff’s Office, the Orlando Police Department, the Marion County Sheriff’s Office, the Belleview Police Department, and the Bureau of Alcohol, Tobacco, Firearms, and Explosives.  It will be prosecuted by Assistant United States Attorney Sean P. Shecter.

Orlando, Florida– United States Attorney A. Lee Bentley, III announces that a federal jury has convicted Hamid Mohamed Ahmed Ali Rehaif (25, Melbourne, and a citizen of the United Arab Emirates) on possession of firearms by an unlawful or illegal alien and possession of ammunition by an unlawful or illegal alien. He faces a maximum penalty of 10 years in federal prison for each count. A sentencing hearing is scheduled for August 26, 2016.    

According to evidence presented at trial, Rehaif was admitted into the United States in 2013 under a student visa to attend the Florida Institute of Technology (FIT). After completing three semesters at FIT, he was academically dismissed in December 2014. As a result, Rehaif became an unlawful alien when he failed to immediately depart the United States. While an illegal alien, he possessed firearms at a local shooting range and possessed ammunition. In addition, Rehaif provided ammunition to two hotel employees as “gifts.”  

Law enforcement agents originally made contact with Rehaif in December 2015 at a hotel in Melbourne, where he had been living for two months. According to court documents, Rehaif stayed at the hotel for 53 straight days and paid over $11,000 in cash for room fees. Law enforcement found rounds of handgun and rifle ammunition in Rehaif’s hotel room and in a storage unit that he rented, but did not locate any firearms.  However, Rehaif admitted to law enforcement that he had previously purchased three separate firearms and had either sold or given them away. 

This case was investigated by the U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, the Federal Bureau of Investigation, and the Melbourne Police Department. It is being prosecuted by Assistant United States Attorney Shawn P. Napier and Special Assistant United States Attorney Christina R. Downes.

Tampa, FL – United States Attorney A. Lee Bentley, III announces the unsealing of an indictment charging Sidney C. Hines (67, New Port Richey) with five counts of false impersonation of a federal officer or employee of the United States. If convicted, he faces a maximum penalty of three years in federal prison for each count. 

According to the indictment, Hines received a mortgage loan secured by his home in New Port Richey and subsequently fell behind on his mortgage payments. In an effort to help delinquent borrowers such as Hines, the Federal National Mortgage Association (“Fannie Mae”) created the HomeSaver Advance (“HSA”) loan program. HSA allowed delinquent borrowers who were able to make future scheduled mortgage payments, but were unable to pay past due amounts immediately, to cure the delinquency by entering into an unsecured loan for the amount in the arrears. On October 15, 2008, Hines obtained a HSA loan for $5,863.73.

Hines failed to make the required payments on his HSA loan and the loan was turned over to ClearSpring Loan Services, a debt collection agency.  Beginning in March 2013 and continuing through the end of 2014, Hines impersonated a sitting United States Senator on multiple occasions in telephone calls that he made to ClearSpring.  During those calls, acting as the Senator, he stated that Hines’s HSA loan was paid in full and that the loan should be removed from his credit report. 

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

This case was investigated by the United States Capitol Police and the Federal Housing Finance Agency – Office of Inspector General.  It will be prosecuted by Special Assistant United States Attorney Chris Poor.

Fort Myers, Florida – United States Attorney A. Lee Bentley, III announces that Wisler Cyrius (35, Naples) today pleaded guilty to conspiracy to commit mail fraud and conspiracy to commit money laundering. He faces a maximum penalty of 20 years in federal prison for each count. In addition, he has agreed to pay restitution to the victim automobile insurance companies and forfeit the proceeds of the offenses. 

Cyrius is the fourth individual to plead guilty following the culmination of a two-year joint federal and state law enforcement investigation, dubbed “Operation Fraudulent Pain.” The investigation disrupted five unlicensed chiropractic clinics that had received more than $2 million in ill-gotten Personal Injury Protection (PIP) payments from automobile insurance companies. Anouce Toussaint (33, Naples) previously pleaded guilty to conspiracy to commit mail fraud and conspiracy to launder money.  Garry Joseph (37, Naples) and Maria Victoria Lopez (44, Moore Haven) previously pleaded guilty to conspiracy to commit mail fraud.

According to the plea agreements, Tamiami Pain and Rehab LLC, First Choice Pain and Rehab Inc., Parkway Medical and Rehab LLC, T&C Consultants d/b/a Collier Chiropractic Center, and Immokalee Pain & Rehab LLC were unlicensed chiropractic clinics operating in Naples and Immokalee. At each clinic, conspirators paid licensed health care practitioners who, in exchange for payments, allowed their names to be listed on official documents as though they were the true owners of the clinics. The conspirators controlled the finances and oversaw and managed the clinics' day-to-day business, including the insurance billing practices. 

According to his plea agreement, Joseph conspired to defraud automobile insurance companies of approximately $2 million from October 2012 to February 2015. He and a co-conspirator were the true owners of Parkway Medical and Rehab and Collier Chiropractic Center. They caused automobile insurance companies to be billed for claims that violated Florida law because the clinics were not properly licensed. They also submitted claims for unnecessary treatments and/or services that had not actually been rendered. 

From June 2013 to February 2015, Cyrius and Toussaint conspired with others to solicit individuals to participate in staged motor vehicle accidents in exchange for compensation. The conspirators also sent automobile insurance companies claims for unnecessary services rendered to purported accident victims who had been paid to participate in the staged accidents. The conspirators also submitted claims to automobile insurance companies that were unlawful under Florida law because the clinics submitting the claims were not properly licensed. Cyrius and Toussaint used a shell corporation to conduct financial transactions designed to conceal the proceeds and to avoid reporting requirements. 

According to her plea agreement, between October and December 2014, Lopez conspired with others to defraud automobile insurance companies. She had worked in billing and customer service at more than one clinic operated by her co-conspirators. Lopez was coached to mislead others about the true ownership of clinics and knew that non-health practitioners were directing medical treatments in order to maximize claims for payment. In addition, knowing that a patient had participated in a staged accident, Lopez coached that patient to receive medically unnecessary treatment. She directed another patient not to tell his insurance company that he was being compensated for receiving unnecessary treatment.

Joseph is scheduled to be sentenced on June 27, 2016. Toussaint and Lopez are scheduled to be sentenced on July 11, 2016. Each faces a maximum penalty of 20 years in federal prison. The United States will also seek a forfeiture money judgment from each defendant equal to the amount of proceeds obtained as a result of each offense.

A fifth individual, Nesly Loute, was also charged in Operation Fraudulent Pain. He is scheduled for trial in July 2016.   

This case was investigated by the Federal Bureau of Investigation, the State of Florida’s Department of Financial Services Division of Insurance Fraud, the Internal Revenue Service - Criminal Investigation, and U.S. Immigration and Customs Enforcement’s Homeland Security Investigations. Assistance was also provided by the Florida Highway Patrol, the National Insurance Crime Bureau, the Florida Department of Health, and the State Attorneys’ Offices for the 13th and 19th Judicial Circuits. The following insurance companies also assisted with the case: Travelers, Nationwide, Bristol West, Esurance, Windhaven, Farmers, Direct General, Allstate, State Farm, Progressive, Geico, Infinity, and Foremost. It is being prosecuted by Assistant United States Attorney David G. Lazarus.

Jacksonville, Florida – U.S. District Court Judge Timothy J. Corrigan has sentenced Jacksonville residents David Lee Mitchell (60) and Hezekiah Williams (59) to 10 years in federal prison, respectively, for their role in an identity theft and counterfeit check scheme. Varying upward at the time of sentencing, both men were ordered to serve eight years in federal prison for attempted bank fraud and possession of counterfeit business checks, followed by a consecutive mandatory minimum term of two years’ imprisonment for aggravated identity theft.

A third co-defendant, Travis Ware (24, Jacksonville), was sentenced on March 9, 2016, to a mandatary minimum term of two years in federal prison for aggravated identity theft.     

According to court documents, on November 23, 2014, Florida Highway Patrol troopers pulled over a vehicle occupied by Williams, Mitchell, and Ware. During the traffic stop, the troopers observed marijuana inside the vehicle. A search of the vehicle revealed 25 counterfeit business checks made out to various individuals and 15 forms of identification from 7 different people. Many of the names on the identification documents matched those printed on the counterfeit checks. Further investigation determined that Mitchell, Williams, and Ware had been driving around three days earlier, attempting to fraudulently cash the counterfeit checks and recruiting others to use the various forms of identification to cash the counterfeit checks. 

This case was investigated by the Florida Highway Patrol and the United States Secret Service, Jacksonville Field Office. It was prosecuted by Assistant United States Attorney Kevin C. Frein.

Orlando, Florida – United States Attorney A. Lee Bentley, III announces the return of an indictment charging Kennedy “KJ” Harris, Jr. (22, Cocoa) with sex trafficking of a minor and child enticement.  If convicted, he faces a maximum penalty of life in federal prison. 

According to court documents, in January 2016, Harris took in a 16-year old girl, after she ran away from home.  He promised to keep her safe, and to clothe and feed her.  Instead, Harris took sexually suggestive photographs of the girl and posted ads online advertising her for sex. He also enticed the teen to engage in sexually explicit conduct for the purpose of photographing her.  Over the course of approximately two weeks, the victim had sex with four to five men per day, and gave the money she received to Harris.  On February 10, 2016, the victim was recovered by the Cocoa Police Department.

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 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.

This case was investigated by the Federal Bureau of Investigation, the Brevard County Sheriff’s Office, and the Cocoa Police Department.  It will be prosecuted by Assistant United States Attorney Tiffany L. Cummins.

Fort Myers, Florida – United States Attorney A. Lee Bentley, III the return of  indictments charging Marque Amason (49) and William Soong (27, both of Fort Myers Beach, with fraud-related offenses in connection with their submission of false claims to British Petroleum (“BP”) Deepwater Horizon oil spill settlement fund. Amason is charged with one count of wire fraud, and Soong is charged with one count of mail fraud. If convicted, each faces a maximum penalty of 20 years in federal prison. 

According to the indictment, Soong submitted a claim to the BP Deepwater Horizon oil spill settlement fund seeking payment for damages he allegedly had sustained as a boat captain. However, Soong was not, and had not been, a boat captain and was not entitled to the payment that he sought and received.

According to a second indictment, Amason submitted a claim to the BP Deepwater Horizon oil spill settlement fund seeking payment for damages he allegedly had received as a boat captain. To support his claim for damages, he falsely and fraudulently claimed that he had been a shrimp boat captain during a particular time period. However, Amason was actually incarcerated during a portion of that same time period.      

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 Federal Bureau of Investigation and the Florida Department of Law Enforcement. It will be prosecuted by Assistant United States Attorneys David G. Lazarus and Sara Sweeney.

Tampa, Florida – U.S. District Judge Susan C. Bucklew today sentenced Samuel Lee Lynch (29, Temple Terrace) to life imprisonment and Reo Thomas Nance (31, Temple Terrace) to 52 years’ imprisonment for conspiracy, armed robbery, and firearms offenses in connection with five Tampa Bay area armed robberies occurring in March and April of 2015. As part of their sentences, the Court also entered money judgments in the amount of $93,519, the proceeds of the armed robberies. Lynch and Nance were found guilty on January 29, 2016.    

According to evidence presented at trial, Lynch, Nance, and co-defendants Christopher Marquis Fruster (21, Tampa) and Brittany Jenae Hall (27, Tampa) targeted check cashing businesses that kept large amounts of cash on hand, ultimately stealing more than $93,000. During each robbery, Lynch and Nance brandished firearms. During the March 26, 2015 robbery of the Nebraska Food Market, Lynch shot an accomplice and bystander. 

Both Fruster and Hall previously pleaded guilty in relation to this case. On March 22, 2016, Fruster was sentenced to 13 years in federal prison, and on April 12, 2016, Hall was sentenced to three years in federal prison.

This case was investigated by Federal Bureau of Investigation, the Bureau of Alcohol, Tobacco, Firearms, and Explosives, the Tampa Police Department, and the Temple Terrace Police Department. It was prosecuted by Assistant United States Attorney Carlton C. Gammons.

Tampa, FL – U.S. District Judge Virginia Hernandez Covington has sentenced Tonia Bright (53, Tampa) to two years in federal prison for obtaining information from a protected computer for a fraudulent purpose.  The Court also ordered her to forfeit $29,057 and to pay restitution totaling $166,026, which are the proceeds traceable to the offenses. 

According to court documents, Bright was a civilian employee of the Tampa Police Department and worked as a community service officer. As part of her authorized duties, Bright took reports from citizens related to incidents not requiring the response of a sworn police officer.  In this capacity, she had access to local, state, and federal law enforcement databases, including the National Crime Information Center (NCIC) computerized index that contains the personally identifiable information (PII) of millions of individuals.  Bright’s use of these databases was restricted to the performance of her authorized duties.

Between 2009 and 2014, Bright accessed NCIC and other password-protected law enforcement databases to obtain PII, and then provided it to her friend, Rita Monique Girven, on at least ten occasions. for the purpose of Girven then used the information to file filing fraudulent federal income tax returns and claim refunds to which she was not entitled. When Girven received the fraudulently obtained refunds, she shared some of the proceeds with Bright. 

Girven previously pleaded guilty in a separate case.  On November 20, 2015, she was sentenced to 12 years in federal prison. 

This case was investigated by the Internal Revenue Service – Criminal Investigation, the Tampa Police Department, and the Federal Bureau of Investigation.  It was prosecuted by Assistant United States Attorneys Mandy Riedel and Megan Kistler.

The Justice Department announced today that Martin Alan Schnitzler, 43, was sentenced to one year and a day in prison for calling two mosques in Pinellas County, Florida, and threatening to firebomb them and shoot their worshippers.

Schnitzler pleaded guilty on Feb. 12, 2016, to obstructing persons in the free exercise of religious beliefs for issuing the threats.  He was sentenced by U.S. District Court Judge James D. Whittemore of the Middle District of Florida.

As part of his plea, Schnitzler admitted that on Nov. 13, 2015, he intentionally obstructed members of the Islamic Society of St. Petersburg, Florida, and the Islamic Society of Pinellas County from practicing their religion when he left voicemail messages threatening the safety of the mosques’ congregants.  Schnitzler claimed that his threats were prompted by the terrorist attacks in Paris.  Among other things, Schnitzler also admitted that in one of the voicemails he threatened to “personally have a militia” report to one of the mosques and “firebomb you, shoot whoever is there on sight in the head.  I don’t care if they’re [expletive] two years old or a hundred.”

In response to the threats, both mosques requested increased law-enforcement presence at their locations and took extra safety precautions for congregants.

“Criminal threats of violence that target people and communities because of their religious beliefs threaten the core values that define a fair and just society – equal protection and mutual respect for all,” said Principal Deputy Assistant Attorney General Vanita Gupta, head of the Justice Department’s Civil Rights Division.  “When individuals commit religion-based hate crimes, we will hold them accountable for their actions and ensure they face justice.”

“This prosecution sends a clear message to anyone who contemplates the use of threats or intimidation to interfere with the right of individuals to worship as they choose, without fear,” said U.S. Attorney A. Lee Bentley III of the Middle District of Florida.  “The U.S. Attorney’s Office is committed to taking whatever action is necessary to protect this important First Amendment right.”

The FBI investigated the case with the assistance of the St. Petersburg Police Department.  The case was prosecuted by Assistant U.S. Attorneys Daniel George and Daniel Irick of the Middle District of Florida and Trial Attorney Gabriel Davis of the Civil Rights Division’s Criminal Section.

Tampa, FL – The Justice Department announced today that Martin Alan Schnitzler, 43, was sentenced to a year and a day in prison for calling two mosques in Pinellas County, Florida, and threatening to firebomb them and shoot their worshippers.  

Schnitzler pleaded guilty on Feb. 12, 2016, to obstructing persons in the free exercise of religious beliefs for issuing the threats.  He was sentenced by U.S. District Court Judge James D. Whittemore of the Middle District of Florida.

As part of his plea, Schnitzler admitted that on Nov. 13, 2015, he intentionally obstructed members of the Islamic Society of St. Petersburg, Florida, and the Islamic Society of Pinellas County from practicing their religion when he left voicemail messages threatening the safety of the mosques’ congregants.  Schnitzler claimed that his threats were prompted by the terrorist attacks in Paris.  Among other things, Schnitzler also admitted that in one of the voicemails he threatened to “personally have a militia” report to one of the mosques and “firebomb you, shoot whoever is there on sight in the head.  I don’t care if they’re [expletive] two years old or a hundred.”  

In response to the threats, both mosques requested increased law-enforcement presence at their locations and took extra safety precautions for congregants.  

“This prosecution sends a clear message to anyone who contemplates the use of threats or intimidation to interfere with the right of individuals to worship as they choose, without fear,” said U.S. Attorney A. Lee Bentley III of the Middle District of Florida. “The U.S. Attorney’s Office is committed to taking whatever action is necessary to protect this important First Amendment right.”

“Criminal threats of violence that target people and communities because of their religious beliefs threaten the core values that define a fair and just society – equal protection and mutual respect for all,” said Principal Deputy Assistant Attorney General Vanita Gupta, head of the Justice Department’s Civil Rights Division.  “When individuals commit religion-based hate crimes, we will hold them accountable for their actions and ensure they face justice.”

The FBI investigated the case with the assistance of the St. Petersburg Police Department.  The case was prosecuted by Assistant U.S. Attorneys Daniel George and Daniel Irick of the Middle District of Florida and Trial Attorney Gabriel Davis of the Civil Rights Division’s Criminal Section.

Fort Myers, Florida – U.S. District Judge John E. Steele has sentenced Yaisel Rodriguez (25, Cape Coral) to 20 years in federal prison for producing child pornography. The Court also ordered him to forfeit his computer, tablet, a thumb drive, and two DVDs that were used to commit the offense. Rodriguez pleaded guilty on January 5, 2016.

According to court documents, on four separate occasions between April 2014 and January 2015, an FBI agent was able to download files depicting child pornography that Rodriguez had made available for sharing over the Internet.

On March 5, 2015, the FBI executed a search warrant at Rodriguez’s home. During the course of an interview with agents, he disclosed that he had been downloading and viewing child pornography since he was a teenager. He also told agents that he had recently ended a two-year relationship with a minor boy who lived in Ohio. Rodriguez said that he had met the boy in a chat room and the two later communicated via Skype and Facebook. Rodriguez also told the agents that he and the boy had exchanged naked photographs and videos.

Rodriguez further admitted that he had traveled to Ohio on at least three occasions to visit the boy, stayed in his home, and that one of his visits had lasted for a month.  According to Rodriguez, in the summer of 2013, the boy and his mother traveled to Cape Coral and stayed in Rodriguez’s home for two weeks. Rodriguez said that he and the boy had shared a bedroom, and that he had taken sexually explicit images of and with the minor during this stay.     

A subsequent digital forensic examination of the computer and media found in Rodriguez’s bedroom revealed that he had collected more than 120 videos depicting children engaged in sexually explicit conduct. In addition, more than 500 images and 20 videos depicting the minor engaged in sexually explicit conduct were recovered.      

This case was investigated by the Federal Bureau of Investigation, FBI Child Exploitation Task Force, which includes the Cape Coral Police Department. It was prosecuted by Assistant United States Attorney Yolande G. Viacava.

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 – United States District Judge Charlene E. Honeywell has sentenced Isaias Villa, a/k/a “Fish” (44, Duluth, GA) to 21 years and 10 months in federal prison for conspiracy to distribute methamphetamine.  He pleaded guilty in February 2016.

According to court documents, Villa began obtaining methamphetamine from Georgia in approximately 2013. He arranged for shipments of multiple kilograms of methamphetamine to be delivered to others in the Polk County area.  He then directed co-conspirators to collect the drug proceeds and transport them to him in Georgia.

On September 3, 2015, Villa was arrested in a Winter Haven motel room. He had in his possession close to a half kilogram of methamphetamine and more than $30,000.  On September 8, 2015, while in the Polk County Jail, Villa was recorded calling co-conspirators regarding the delivery of drug proceeds and methamphetamine.  An additional $42,000 in drug proceeds was recovered as a result of those calls.

To date, the investigation has resulted in the federal convictions of five individuals and the seizure of approximately two kilograms of methamphetamine, more than $100,000, and homemade explosives.

This case was investigated by the Drug Enforcement Administration and the Polk County Sheriff’s Office. It is being prosecuted by Assistant United States Attorney Dan Baeza.

Tampa, Florida – United States Attorney A. Lee Bentley, III announces that Samuel Murad (62, Clearwater) has pleaded guilty to tax evasion and witness tampering.  He faces a maximum penalty of 5 years’ imprisonment for the tax evasion count and up to 20 years in federal prison for the witness tampering count. His sentencing hearing has been set for August 4, 2016.

According to the plea agreement, in the mid-1990’s, while working as a DEA Special Agent, Murad served as the case agent in an investigation of a marijuana importation conspiracy.  One of the participants in that conspiracy, J.P., was convicted and sentenced to 30 years in prison. 

Around 2009, after Murad had retired from the DEA, J.P.’s attorney hired Murad to assist with their effort to obtain a reduction in J.P.’s prison sentence.  Because Murad was the former case agent in this investigation, he was prohibited by federal law from being physically present in any formal or informal setting on behalf of J.P., to include meeting with an employee of DEA, or appearing on behalf of J.P. before a judge.  DEA’s Office of Professional Responsibility also advised Murad that he could not communicate with the government on behalf of J.P. with the intent to influence the government. 

Around this time, J.P.’s attorney met with DEA Special Agent Robert Joseph Quinn about plans to initiate an effort to obtain a sentence reduction for J.P.  During their meeting, J.P.’s attorney informed Agent Quinn that Murad — a friend and former colleague of Quinn — was involved in the effort to reduce J.P.’s prison sentence.  After this meeting, Agent Quinn contacted Murad about the sentence reduction effort.  During their conversation, Murad asked Agent Quinn to handle, on the DEA end, the effort to obtain a sentence reduction for J.P.  Agent Quinn then communicated with representatives from the U.S. Attorney’s Office to explore the possibility of obtaining the sentence reduction.

In June 2012, once arrests had been made related to J.P.’s cooperation efforts, Murad became frustrated at the prospect of not getting paid for his involvement in the J.P. matter.  Murad sent a series of emails to J.P.’s brother demanding large sums of money to stay involved.  In one email, Murad asked for $700,000 and said, “if we can’t come [to] some kind of understanding, then you guys get to keep your money and [J.P.] stays in jail because good luck getting him out without my testimony.”  In a subsequent meeting with J.P.’s brother, Murad demanded $750,000 to stay involved in the matter.  Ultimately, J.P.’s brother agreed to pay Murad $500,000 in cash.

On Friday, August 17, 2012, J.P.’s brother handed Murad a shopping bag containing $223,000 in cash.  During this meeting, Murad asked J.P.’s brother how much money he had in his wallet.  J.P.’s brother showed Murad that he had $800 in his wallet; Murad took that money and added it to the shopping bag full of cash.  Murad also told J.P.’s brother to tell J.P. to “shut up” on the prison telephone.  Although Murad did not tell J.P.’s brother why he gave this instruction, Murad knew that J.P.’s jail calls were being monitored by law enforcement.

After this meeting, Murad told Agent Quinn that he had received over $200,000 in cash from J.P.’s brother and had put it in a safe deposit box.  Murad laughed that he had to get a larger safe deposit box because there was so much cash.  Murad never paid taxes on the $223,800 he received from J.P.’s brother.

The FBI then began investigating the effort to obtain a sentence reduction for J.P.  In an interview on November 22, 2013, Agent Quinn lied about Murad not receiving any money, other than expenses, for his work on the J.P. matter.  After his interview with the FBI, Murad met with Agent Quinn and directed Quinn not to talk to the FBI.  Murad attempted to corruptly persuade Agent Quinn not to provide the FBI with information about the $223,800 cash payment and Murad’s concealment of those funds in the safe deposit box. 

On February 13, 2014, the FBI executed a search warrant on Murad’s safe deposit box and seized $73,420.  Pursuant to a seizure warrant, the FBI also seized $60,139.03 from Murad’s checking account.  The day after the search, Murad met with Quinn (who had retired from the DEA) and accused him of saying too much to the FBI, which Quinn denied.  Murad, again, instructed Quinn not to talk to the FBI any further.  Two months later, in his second interview with the FBI, Quinn lied again about Murad not getting paid by J.P.’s family.  After being confronted by the FBI, Quinn ultimately told the truth.

Quinn previously pleaded guilty for his role in this case.  His sentencing hearing has been set for May 11, 2016.

This case was investigated by Federal Bureau of Investigation. It is being prosecuted by Assistant United States Attorneys Simon Gaugush and Josephine Thomas.