Middle District of Florida
Press releases recorded for this federal judicial district.
Melbourne Man Sentenced to 15 Months in Prison for Threatening to Kill the PresidentRead the Press Release
Orlando, Florida - U.S. District Judge John Antoon, II sentenced Christopher Castillo (28, Melbourne) today to 15 months in federal prison for threatening to kill the President of the United States. Castillo was convicted by a federal jury on February 5, 2013.
According to testimony and evidence presented at trial, Castillo posted the following threat on Facebook, "that's the last straw, if he gets re-elected I'm going to hunt him down and kill him watch the life disappear from his eyes." Later, after someone informed him that threatening the President was a federal offense, Castillo "doubled-down" as the witness described, by posting, "I wouldn't call it a threat but more of a promise, let them come after me...Be more than happy to take a few of them with me."
A witness reported the threat to the United States Secret Service and law enforcement officers subsequently interviewed Castillo at his home. During the interview, Castillo admitted making the statements. He also stated that he meant it because of his "severe anger" toward the President because of the President's views on healthcare. When asked what he would do if the President were standing in front of him, Castillo made an explicit statement about slapping and beating the President. Castillo also told agents that he would call the President a terrorist. During the trial, Castillo testified that he was just angry and did not really mean that he would kill the President.
This case was investigated by the United States Secret Service. It is being prosecuted by Assistant United States Attorney Shawn P. Napier.
Leader of Sarasota Oxycodone Distribution Ring Pleads GuiltyRead the Press Release
Tampa, Florida - Acting United States Attorney A. Lee Bentley, III announces that Robert Benefield (44, Sarasota) pleaded guilty today to a one count information charging him with conspiring with others to distribute Oxycodone. Benefield faces a maximum penalty of thirty years in federal prison because of his prior felony drug convictions.
According to the plea agreement, in 2012, Benefield recruited drug users to unlawfully obtain Oxycodone and other prescription pain medications. Benefield coordinated with doctors in the Miami area, and drove his co-conspirators from Sarasota to these doctors' offices in Miami. The doctors sometimes met with persons recruited by Benefield, and gave them prescriptions for Oxycodone and other pain medications. Upon their return to Sarasota, the co-conspirators filled the prescriptions and turned the drugs over to Benefield for further illegal distribution, in exchange for money and drugs. Benefield also obtained prescriptions from doctors without having the prescribed patients actually present at the doctors' offices.
This case was investigated by the Drug Enforcement Administration, the Bureau of Alcohol, Tobacco, Firearms, and Explosives, and the Sarasota Police Department as part of Organized Crime Drug Enforcement Task Force (OCDETF) Operation SRQ Cartel II, an ongoing investigation into the most serious drug traffickers in and around Sarasota. 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 is being prosecuted by Assistant United States Attorney Christopher F. Murray.
Convicted Felon Sentenced to More Than Eight Years for Possession of A FirearmRead the Press Release
Orlando, FL - U.S. District Judge John Antoon, II sentenced Kameron E. McCall (30, Orlando) today to 8 years and 4 months in federal prison for being a convicted felon in possession of a firearm. A federal jury found McCall guilty on May 7, 2013.
According to testimony and evidence presented at trial, Orlando Police Department officers detained and searched McCall's vehicle while investigating an alleged carjacking in North Orlando. During that search, officers located a loaded firearm in the glove compartment. McCall admitted to the officers that he was a convicted felon and that he possessed the firearm because "he was a rapper and people hated him." Further investigation revealed that McCall has at least five previous felony convictions, including possessing a firearm as a convicted felon, carjacking, and various drug offenses. As such, he was not permitted to possess a firearm or ammunition under federal law.
This case was investigated by the Orlando Police Department and the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF). It was prosecuted by Assistant United States Attorney Shawn P. Napier.
This is another case prosecuted as a part of the Department of Justice’s “Project Safe Neighborhoods” program - a nationwide, gun-violence reduction strategy. Acting United States Attorney A. Lee Bentley, III, along with Julie Leon, 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.
Brooksville Man Pleads Guilty to Transporting Child PornographyRead the Press Release
Tampa, FL - Acting United States Attorney A. Lee Bentley, III announces that Paul Thorpe (43, Brooksville) today pleaded guilty to transportation of child pornography. Thorpe faces a mandatory minimum penalty of 5 years and a maximum penalty of 20 years in federal prison. A sentencing date has been set for October 24, 2013.
According to the plea agreement, an undercover agent downloaded 33 images and a video from an IP address connected to Thorpe. On January 31, 2013, law enforcement seized Thorpe's computer pursuant to a federal search warrant. An examination of the computer revealed that it contained 155 images of child pornography. Thorpe confessed to possessing, receiving, and transporting child pornography.
This case was investigated by the Federal Bureau of Investigation. It is being prosecuted by Assistant United States Attorney Jennifer L. Peresie.
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.usdoj.gov/psc.
Melbourne Man Convicted of Firearm and Drug OffensesRead the Press Release
Orlando, Florida - Acting United States Attorney A. Lee Bentley, III announces that a federal jury today found Lander Carlton McLoyd (39, Melbourne) guilty of possession with intent to distribute cocaine base and marijuana, possession of a firearm in furtherance of a drug trafficking crime, and possession of a firearm by a convicted felon. McLoyd faces a mandatory minimum sentence of 15 years, up to a maximum penalty of life in federal prison. His sentencing hearing is scheduled for October 2013. McLoyd was indicted on January 30, 2013.
According to evidence presented at trial, a confidential source working at the direction of law enforcement purchased cocaine base from McLoyd's residence in Melbourne, on two separate occasions. A search warrant was executed at the residence on October 12, 2012. During the execution of that search warrant, investigators found, among other things, cocaine base, marijuana, and three loaded firearms. McLoyd has a prior federal felony conviction for conspiracy and possession with intent to distribute cocaine base, as well as prior state felony convictions for vehicular homicide, cocaine possession, and uttering a forged instrument. Due to his prior federal conviction, he is facing enhanced penalties at sentencing.
This case was investigated by the Melbourne Police Department, the Drug Enforcement Administration, the Bureau of Alcohol, Tobacco, Firearms, and Explosives, and the Florida Department of Law Enforcement. It is being prosecuted by Assistant United States Attorney Roger B. Handberg.
Cape Coral Man Fined $4,000 for Speeding in Manatee ZoneRead the Press Release
Fort Myers, Florida - U.S. Magistrate Judge Douglas N. Frazier sentenced Juergen H. Kreuzer (52, Cape Coral) yesterday to a fine of $4,000 for operating a vessel at 55 miles per hour in a posted and marked 25 mile per hour manatee protection zone. Kreuzer was operating his vessel on the Caloosahatchee River, near Shell Point. He pleaded guilty on July 16, 2013.
According to court documents, Kreuzer had seven prior convictions for manatee zone speeding violations. Kreuzer operates All Around Boats - a business in Cape Coral that is engaged in boat rentals, and fishing and boat tours.
This case was investigated by the U.S. Fish and Wildlife Service, Office of Law Enforcement. It was prosecuted by Assistant United States Attorney Jeffrey F. Michelland.
Largo Felon Sentenced to 15 Years in Prison for Possessing A FirearmRead the Press Release
Tampa, Florida - U.S. District Judge William J. Castagna sentenced Kwamane Coleman (23, Largo) yesterday to 15 years in federal prison for being a felon in possession of a firearm. Coleman pleaded guilty on February 27, 2013.
According to court documents, Coleman was arrested for trespassing in Largo, and was found to be in possession of a firearm and crack cocaine. As a previously convicted felon, Coleman is prohibited from possessing a firearm or ammunition under federal law.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Pinellas County Sheriff's Office. It was be prosecuted by Assistant United States Attorney Jennifer L. Peresie.
It is another case prosecuted as a part of the Department of Justice's "Project Safe Neighborhoods" program - a nationwide, gun-violence reduction strategy. Acting United States Attorney A. Lee Bentley, III, along with Julie Leon, 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.
Three Lakeland Men Sentenced to Federal Prison for Selling Firearms and DrugsRead the Press Release
Tampa, FL - U.S. District Judge Steven D. Merryday has sentenced three Lakeland residents to federal prison terms for various firearm and drug violations. Phillip Thomas (28) was sentenced today to three years in federal prison for transferring an unregistered short barreled shotgun and aiding and abetting a felon in possession of a firearm. On July 24, 2013, Michael Joseph Harper (25) was sentenced to eight years’ imprisonment for transferring an unregistered short barreled shotgun and for being a felon in possession of a firearm. On July 17, 2013, Merryday sentenced Joshua Paul Blevins (20) to 5 years’ probation for aiding and abetting a felon in possession of a firearm. Thomas, Harper and Blevins pleaded guilty to the offenses in May 2013.
According to court documents, Harper, along with Thomas and Blevins, sold multiple firearms and drugs to undercover law enforcement agents. Harper, a convicted felon, either sold or was involved in selling forty-five firearms, Hydrocodone, Xanax, and Oxycodone pills, marijuana, and cocaine. Thomas sold six firearms, including a short barreled shotgun, cocaine, Xanax, and Hydrocodone pills. Blevins assisted Harper in selling two high-powered rifles.
Thomas, Harper and Blevins were arrested during Operation “Smoke-N-Guns.” “Smoke-N-Guns” was a joint law enforcement effort that targeted convicted felons, drug dealers and gang members who were illegally possessing or selling firearms in the Lakeland area.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Lakeland Police Department. 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. Acting United States Attorney A. Lee Bentley, III, along with Julie Leon, 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.
Largo Puppeteer Sentenced to 20 Years in Federal PrisonRead the Press Release
Tampa, FL - U.S. District Judge James D. Whittemore today sentenced Ronald William Brown (58, Largo) to 20 years in federal prison for receipt and possession of child pornography. In addition, he was sentenced to a lifetime of supervision, following his release from prison. The court also ordered Brown to forfeit his computer equipment and phone which were used to commit the offenses. On March 25, 2013, Brown pleaded guilty to five counts of receiving child pornography and three counts of possessing child pornography.
According to court documents, approximately on May 23, 2012, Michael Arnett was arrested by Homeland Security Investigations special agents in Roeland Park, Kansas for the production of child pornography. This investigation revealed that Arnett, had images including bondage-type photographs, involving four child victims. Previously, on May 15, 2012, a search warrant had been executed at Arnett's residence and computers were seized. A forensic examination of Arnett's computers revealed that he had been communicating and exchanging child pornography materials with other individuals using online chat programs, as well as engaging in extremely graphic discussions regarding the kidnaping, sexually abuse, murder, and eating of children. One of the individuals with whom Arnett discussed these acts was Ronald William Brown.
On July 19, 2012, law enforcement agents conducted a search of Brown's residence in Largo, Florida. During the search, agents seized multiple pieces of electronic media, including, but not limited to, a computer, various CD/DVDS, micro disks, cameras and a thumb drive. A forensic review of Brown's electronic media showed that he possessed hundreds of images of child pornography and child erotica, including various images showing children being bound and tortured. Additionally, Brown had hundreds of images of deceased children. In chats with various individuals, Brown discussed abducting, torturing, and murdering children.
“Brown, a church puppeteer, lived a double life,” said Shane Folden, deputy special agent in charge of Homeland Security Investigations Tampa. “Behind closed doors, he had a sick obsession that focused on children. Let this case be an example to other child predators. We will find you, arrest you and make sure you are prosecuted to the fullest extent of the law. Homeland Security Investigations does not tolerate adults that prey on innocent children.”
Brown’s sentencing is part of Operation Holitna, an ongoing investigation led by Homeland Security Investigations that originated in Boston. In 2010, the U.S. Attorney's Office for the District of Massachusetts and HSI Boston arrested Robert Diduca on charges of producing child pornography. Diduca was convicted and sentenced to 18 years in federal prison in June 2012. Forensic analysis of Diduca's computer led investigators to the Netherlands where a Dutch national was arrested and charged with producing, distributing and possessing child pornography, as well as sexually assaulting 87 minors. Since that time, a worldwide network of offenders continues to be unraveled, which also included Brown. Defendants and victims continue to be identified around the world. To date, more than 160 children have been rescued and more than 50 perpetrators arrested worldwide as a result of Operation Holitna.
This case was investigated by U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI). 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 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.usdoj.gov/psc.
Columbia County Man Indicted on Federal Charge of Receiving Child Pornography over the InternetRead the Press Release
Jacksonville, Florida - Acting United States Attorney A. Lee Bentley, III announced today that John George Sessine (53, Lake City) has been indicted by a federal grand jury in Jacksonville on child pornography charges. Sessine is charged with three counts of receiving child pornography. On each of the receipt counts, he faces a mandatory minimum of not less than 5 years, up to 20 years in prison. Sessine was taken into federal custody on July 29, 2013 and is currently in the custody of the U.S. Marshals Service. His arraignment and detention hearing is scheduled for August 1, 2013 at 2:30 p.m. before U.S. Magistrate Judge Joel B. Toomey at the U.S. Courthouse in Jacksonville.
According to the indictment, Sessine did knowingly receive visual depictions of a minor engaged in sexually explicit conduct over the Internet, on three separate occasions. 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 until, and unless, proven guilty.
This case was investigated by the Federal Bureau of Investigation, the Columbia County Sheriff’s Office, and the Jacksonville Sheriff’s Office. It is being prosecuted by Assistant United States Attorney D. Rodney Brown.
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 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.usdoj.gov/psc.
Bao Pham, D.O., and AccMed Healthcare Systems, LLC, d/b/a Florida Spine Care and Pain CenterRead the Press Release
JACKSONVILLE – The United States Attorney’s Office for the Middle District of Florida announced today that Bao Pham, D.O., and AccMed Healthcare Systems, LLC, d/b/a Florida Spine Care and Pain Center, have paid $448,794 to resolve allegations that they violated the False Claims Act by submitting false claims for medical services to the Medicare and federal Office of Workers Compensation (OWCP) programs. Pham is an osteopathic physician who focuses his practice on pain management and who, through Florida Spine Care and Pain Center, provides treatment to Medicare recipients for various conditions and to federal employees who are suffering various types of on-the-job injuries. Florida Spine Care and Pain Center is a Florida corporation located in Clay and Duval Counties in Florida.
Medicare benefits are available to eligible patients who are disabled or are aged 65 and older and who are enrolled in Part B of the Medicare Program to obtain benefits from participating healthcare providers. The federal OWCP benefits are available to federal civilian workers who are injured at work or who have acquired an occupational disease.
Today’s settlement resolves allegations that, between January 1, 2004, and December 31, 2008, Pham and Florida Spine Care and Pain Center submitted false Medicare and OWCP claims for non-reimbursable procedures and services by upcoding and unbundling medical services provided to beneficiaries of these two federal programs. The government alleged that Pham and Florida Spine Care and Pain Center upcoded a non-reimbursable procedure, performed in-office, as a surgical procedure and further routinely unbundled claims for certain pain management services in order to obtain reimbursement that would be higher than if properly submitted.
“This settlement represents another notable achievement in our battle against health care fraud in this district,” stated A. Lee Bentley, III, Acting United States Attorney for the Middle District of Florida. “Civil health care fraud enforcement is, and will continue to be, one of our top priorities.”
“Billing Medicare for one procedure but actually providing another, much cheaper procedure – as Pham allegedly did – is plain and simple fraud,” said Christopher B. Dennis, Special Agent in Charge, Office of Inspector General (OIG), Department of Health and Human Services, Miami region. “When providers pad their pockets at Medicare’s expense, they can expect the OIG to investigate and hold them responsible.”
“This settlement demonstrates the OIG’s commitment to investigate those who defraud the U.S. Department of Labor’s Federal Employees’ Compensation Program by billing for services that were not rendered. We will continue to work with our law enforcement partners to investigate these types of schemes,” said Richard Walker, the Special Agent-in-Charge of the Atlanta Regional Office of the U.S. Department of Labor, Office of Inspector General, Office of Labor Racketeering and Fraud Investigations.
These allegations arose as a result of information received from a fraud investigator at a major health insurance carrier, which was simultaneously conducting an investigation into Dr. Pham’s billing practices.
This matter was handled by the U.S. Attorney’s Office for the Middle District of Florida, the Office of the Inspector General for the Department of Health and Human Services, the Office of the Inspector General for the Department of Labor and the Office of Inspector General for the United States Postal Service.
This matter was settled prior to filing suit by the United States of America. The claims settled by this agreement are allegations only; there has been no determination of liability.St. Petersburg Man Arrested on Charges of Possession and Distribution of Child PornographyRead the Press Release
Tampa, FL - Acting United States Attorney A. Lee Bentley, III announces the arrest of Donald E. Gallagher, Jr. (51, St. Petersburg), on charges of distribution and possession of child pornography. If convicted, Gallagher faces a mandatory minimum penalty of 5 years and a maximum penalty of 20 years in federal prison on the distribution charge, and a maximum of 10 years in federal prison on the possession charge.
According to the complaint, Gallagher used an online peer-to-peer file sharing program to download and share numerous images and videos of minors, some pre-pubescent, engaging in explicit sexual activity. Based upon the investigation into the origin of these images, the Federal Bureau of Investigation obtained and executed a federal search warrant at a residence in St. Petersburg. During the search on July 24, 2013, agents located and seized a laptop computer belonging to Gallagher. A preliminary examination of the computer revealed hundreds of images of child pornography.
An complaint is merely a charge that probable cause exists that a defendant has committed a violation of the federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.
This case is being investigated by the Federal Bureau of Investigation, the Florida Department of Law Enforcement, the St. Petersburg Police Department, and the Largo Police Department. It will be prosecuted by Assistant United States Attorney Josephine W. Thomas.
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.usdoj.gov/psc.
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St. Petersburg Crack Cocaine Dealer Sentenced to 20 YearsRead the Press Release
Tampa, FL - U.S. District Judge James D. Whittemore yesterday sentenced Michael M. Rucker (34, St. Petersburg) to twenty years in federal prison for possession with intent to distribute crack cocaine and marijuana within 1,000 feet of a school and being a convicted felon in possession of firearms and ammunition. The court also ordered Rucker to forfeit firearms and ammunition involved in the commission of the offenses. Rucker was found guilty by a jury on February 14, 2013.
According to court documents, on May 15, 2012, the St. Petersburg Police Department Vice and Narcotics Unit executed a search warrant at Rucker's residence located on 9th Avenue South, in St. Petersburg. During the execution of the search warrant, officers located two fully loaded handguns in Rucker's bedroom, distribution amounts of crack cocaine under a couch, marijuana, and tools of the drug trade commonly used to make and sell crack cocaine. The residence was located within 1,000 feet of both a middle school and daycare center.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the St. Petersburg Police Department. It was prosecuted by Assistant United States Attorney Josephine W. Thomas.
It is another case prosecuted as a part of the Department of Justice’s “Project Safe Neighborhoods” program - a nationwide, gun-violence reduction strategy led by ATF. Acting United States Attorney A. Lee Bentley, III, along with Julie Leon, 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.
Sarasota County Heroin Dealer Sentenced to 20 Years in Federal PrisonRead the Press Release
Tampa, Florida - U.S. District Judge Richard A. Lazzara today sentenced Arlin Troncoso-Pena (33, Sarasota) to 20 years in federal prison for conspiracy to possess with intent to distribute, and to distribute, 100 grams or more of heroin. The court also ordered Troncoso-Pena to forfeit $3,005, proceeds of the offense. Troncoso-Pena pleaded guilty on March 29, 2013.
According to his plea agreement, in October 2010, Troncoso-Pena arranged for two females to travel from Boston to Florida with heroin. After Troncoso-Pena picked up the two females at the train station in Osceola County, his vehicle was stopped by law enforcement. One of the women in Troncoso-Pena's vehicle possessed heroin weighing approximately 150 grams.
In 2012, law enforcement authorities in Sarasota County learned that Troncoso-Pena was selling heroin as part of a conspiracy. In May 2012, law enforcement purchased a total of approximately 40 grams of heroin, after arranging the sales through Troncoso-Pena. In June 2012, during the execution of search warrant at a residence used by members of the conspiracy, approximately 35 grams of heroin and more than $5,000 were recovered. On that same date, Troncoso-Pena was arrested and found to be in possession of $3,005.
This case was investigated by U.S. Immigration and Customs Enforcement's Homeland Security Investigations, the Sarasota County Sheriff's Office, the Sarasota Police Department, the Osceola County Investigative Bureau, and U.S. Immigration and Customs Enforcement's (ICE) Enforcement and Removal Operations (ERO). It was prosecuted by Assistant United States Attorney Joseph W. Swanson.
Ocala Felon Sentenced to 15 Years in Federal Prison for Possession of A Firearm and AmmunitionRead the Press Release
Ocala, Florida - Senior United States District Judge Wm. Terrell Hodges today sentenced Roberto Jesus Acosta (54, Cuba) to 15 years in federal prison for possession of a firearm and ammunition affecting interstate commerce by a convicted felon. Acosta pleaded guilty on April 24, 2013.
According to court documents, members of the Ocala Police Department executed a search warrant at Acosta's apartment on February 2, 2013, after learning that Acosta had just purchased a 50-round box of ammunition at a local retailer. Video footage from the business showed Acosta buying the box of .25 caliber ammunition earlier that day. During the search of the apartment, officers recovered the box of ammunition, a .25 caliber handgun and three other rounds of ammunition. The box of ammunition had been hidden inside of an air conditioning unit. When interviewed by the officers, Acosta admitted that he had purchased the box of ammunition "for a neighbor."
Acosta has prior state convictions for manslaughter, burglary, aggravated assault and possession of a firearm by a convicted felon. As a previously convicted felon, he is prohibited from possessing firearms or ammunition under federal law. Furthermore, because Acosta's prior criminal record included several crimes of violence, he qualified for enhanced sentencing as an Armed Career Criminal under federal law.
This case jointly was investigated by the Ocala Police Department and 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 a part of the Department of Justice’s “Project Safe Neighborhoods” program - a nationwide, gun-violence reduction strategy. Acting United States Attorney A. Lee Bentley, III, along with Julie Torres, 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.
Volusia County Armed Career Criminal Sentenced to 15 Years in Federal PrisonRead the Press Release
Orlando, Florida - U.S. District Judge Charlene Edwards Honeywell yesterday sentenced Christopher Holladay (37, Deland) to 15 years in federal prison for possession of a firearm by a previously convicted felon and possession with intent to distribute a controlled substance. Holladay pleaded guilty on April 30, 2013.
According to his plea agreement, Holladay, a previously convicted felon, sold a stolen Remington rifle to an undercover officer and a confidential informant for $350 on August 2, 2012. The rifle had been stolen the day before in a residential burglary. Later that month, a deputy with the Volusia County Sheriff's Office stopped a vehicle being driven by Holladay. A drug detection canine alerted to the presence of drugs in the vehicle. In a subsequent search of the vehicle, investigators found marijuana and methamphetamine.
Holladay has ten prior state felony convictions, including drug possession, conspiracy to traffic in methamphetamine, grand theft, robbery, burglary, possession of a firearm by a convicted felon, resisting an officer with violence, accessory after the fact, and failure of a career offender to properly register. As a previously convicted felon, Holladay is prohibited from possessing firearms or ammunition under federal law. As a result of his prior criminal record, Holladay qualified for enhanced sentencing as an Armed Career Criminal under federal law.
This case was investigated by the Volusia County Sheriff's Office and the Bureau of Alcohol, Tobacco, Firearms, and Explosives. It was prosecuted by Assistant United States Attorney Roger B. Handberg.
It is another case prosecuted as a part of the Department of Justice’s “Project Safe Neighborhoods” program - a nationwide, gun-violence reduction strategy. Acting United States Attorney A. Lee Bentley, III, along with Julie Torres, 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 Man Pleads Guilty to Stolen Identity Refund FraudRead the Press Release
Tampa, Florida - Acting United States Attorney A. Lee Bentley, III announces that Marterrance Q. Holloway (33, Tampa) pleaded guilty today to aggravated identity theft and access device fraud charges, in addition to charges that he conspired with others to defraud the United States Treasury. Holloway faces a maximum penalty of five years in federal prison on the conspiracy charge, ten years on the fraud charge, and a consecutive two-year prison sentence on the aggravated identity theft charge. As part of the plea, Holloway also agreed to forfeit two 2010 Chevrolet Camaros, a 2011 Dodge Charger, a 2005 Dodge Magnum, a motor scooter, an Apple iPad, cash and assorted jewelry -- all of which were purchased with the proceeds of his fraud. The net proceeds of the forfeited items will be credited towards any future forfeiture money judgment. A sentencing date has not yet been scheduled.
On April 17, 2013, Holloway's co-defendant, Maurice Larry, pleaded guilty to similar charges. Larry is scheduled for sentencing on September 23, 2013, at 10:30 A.M. before U.S. District Judge Elizabeth A. Kovachevich.
According to Holloway's plea agreement, he and Larry filed fraudulent tax returns from the Howard Johnson Hotel on 50th Street in Tampa. A room at the hotel was purchased in Larry's name. In the hotel room were four computers that were used to electronically file fraudulent tax returns in the names of deceased individuals. Also located in the room were pages from an internet website, along with ledgers and lists of stolen names, dates of birth and social security numbers. Some of the names included specific codes to be used for electronic filing purposes or notes about whether a tax return had been either accepted or rejected. Multiple "Turbo Tax" reloadable debit cards were found in the hotel room, along with ATM receipts for cash withdrawals, and approximately $3,700 in cash. Both Holloway and Larry admitted to filing fraudulent tax returns while staying at the hotel.
Approximately one year later, Holloway used a fraudulent debit card at a local bank ATM machine. The debit card was loaded with the proceeds of a fraudulently filed tax return in the amount of over $9,800.
This case was investigated by the Internal Revenue Service - Criminal Investigation, the United States Secret Service and the Tampa Police Department. It is being prosecuted by Assistant United States Attorney Kelley Howard-Allen.
Three Men Sentenced in International Investment Fraud and Money Laundering SchemeRead the Press Release
Tampa, Florida - U.S. District Judge Mary S. Scriven today sentenced Paul Robert Gunter (64, Odessa, Florida; originally of London) to 25 years in federal prison, Simon Andrew Odoni (56, originally of Hertfordshire, UK) to 13 years, 4 months in federal prison, and Richard Sinclair Pope (55, originally of Hertfordshire, UK) to 4 years, 9 months in federal prison for their respective roles in an international investment fraud and money laundering scheme. The court also ordered all three individuals to forfeit their interests in real property and bank accounts in the U.S. and abroad, an airplane, vessels, and vehicles purchased with proceeds of the fraud scheme.
As part of the investigation, federal agents seized nearly $5 million in U.S. currency. At the sentencing hearing, the court granted the government's request to use these assets to help compensate victims for their losses. In addition, the court entered money judgments in excess of $137 million against Paul Gunter and Simon Odoni.
On April 19, 2013, Paul Gunter and Simon Odoni were found guilty by a federal jury, following a 19-day trial. Specifically, the jury returned verdicts of guilty on three counts of conspiracy to commit mail fraud, wire fraud, and money laundering, as well as nineteen counts of mail and wire fraud, and fourteen counts of money laundering.
Prior to trial, on March 10, 2011, Richard Pope pleaded guilty to one count of conspiracy to commit wire and mail fraud. Pope cooperated with the government and testified at trial.
According to the evidence and testimony presented at trial, from at least as early as July 2004 through at least March 13, 2008, Gunter, Odoni, Pope and others engaged in a sophisticated investment fraud and money laundering scheme, in which worthless stock in hijacked dormant, publicly-traded companies in the United States was sold to victim-investors, primarily in the United Kingdom. The scheme used boiler room telemarketers, mostly in Spain, who employed high pressure and misleading sales techniques. The victim-investors wired more than $127 million to Gunter's bank accounts in the Middle District of Florida. The conspirators bilked victim-investors out of another $10 million via a FOREX currency trading scheme, which also utilized the boiler rooms in Spain.
Gunter, Odoni, Pope and their co-conspirators used the victim-investors' funds to perpetuate the fraud scheme and for their own personal enrichment. Victim-investors' funds were used to buy, among other things, an airplane, two vessels, vehicles, including a Ferrari, and real property in the Caribbean islands, England, and Florida.
In a related trial that took place in May 2012, Houston lawyers Roger Lee Shoss and Nicolette Loisel were convicted of one count of conspiracy to commit wire fraud in connection with their participation in the corporate identity theft aspect of the scheme.
The case remains pending as to one individual, Lawrence S. Hartman, a/k/a Larry Hartman, a/k/a Larry Hart, a/k/a Lawrence Scott Hartman-Grosser (48, Costa Rica; a U.S. lawyer formerly of New York and Florida), who allegedly conspired with Gunter, Odoni, Pope and others in this case. In May 2013, Hartman was arrested on an immigration violation by Nicaraguan authorities. He was expelled and deported from Nicaragua and turned over to U.S. authorities to face the charges in this case. Hartman's apprehension and expulsion was achieved with the special assistance of the U.S. Department of State Bureau of Diplomatic Security, U.S. Embassy Managua, INTERPOL Washington, and the Nicaraguan National Police.
The case was investigated by the U.S. Immigration and Customs Enforcement's (ICE) Homeland Security Investigations (HSI), Tampa, Florida, as well as the U.S. Secret Service, Tampa, Florida and Newark, New Jersey Field Offices. The government received assistance from several other authorities, including the City of London Police, the UK's Serious Fraud Office and Norfolk Constabulary, the Spanish National Police, the U.S. Securities and Exchange Commission, the Ontario Securities Commission, and the British Columbia Securities Commission.
“This investment fraud and money laundering scheme stretched across continents. The three defendants sentenced today had no qualms with preying on innocent victims – many of them elderly U.K. citizens – to further their own assets,” said Susan McCormick, special agent in charge of Homeland Security Investigations Tampa. “Let today’s sentences serve as notice to other fraudsters. HSI and our law enforcement partners will investigate and ensure that you are prosecuted for your crimes.” "This case is a great example of how law enforcement partnerships work on an international scale," said John Joyce, Special Agent in Charge Tampa. "The United States Attorney’s Office, HSI and the US Secret Service worked this case with their law enforcement partners from London to investigate, prosecute and convict Mr. Gunter, Mr. Odoni and Mr. Pope. Their sentences should send a clear message to other fraudsters."
"Unfortunately, this sentencing will not repair the huge damage they caused to the lives of thousands of people who were simply looking for a safe place to invest their money, but hopefully it will bring a measure of comfort and a sense of closure to those caught up in what was fraud committed on a truly significant scale. That Pope, Gunter and Odoni have now been successfully prosecuted is thanks to trans-Atlantic law enforcement cooperation, painstakingly piecing together this crime, insuring that those involved would one day face their day of reckoning," stated City of London Police Detective Inspector Kerrie Gower.
The case is being prosecuted by Assistant United States Attorneys Rachelle DesVaux Bedke and Kelley Howard-Allen.
HPH Hospice to Pay $1 Million to Resolve False Claims Act AllegationsRead the Press Release
TAMPA – The United States Attorney’s Office for the Middle District of Florida announced today that Hernando-Pasco Hospice, Inc., d/b/a HPH Hospice, has agreed to pay $1 million to resolve allegations that it violated the False Claims Act by submitting false claims for hospice services to the Medicare and Medicaid programs. HPH Hospice is a Florida not-for-profit corporation that provides hospice services in various locations throughout Hernando, Pasco, and Citrus counties in Florida.
The Medicare hospice benefit is available for patients who have a life expectancy of six months or less if their disease runs its normal course. Patients admitted to a hospice stop receiving care to cure their illnesses and instead receive medical care focussed on providing them with relief from the symptoms, pain, and stress of a terminal illness. Medicare reimburses for different levels of hospice care.
Today’s settlement resolves allegations that between January 1, 2005, and December 31, 2010, HPH Hospice submitted false Medicare and Medicaid claims for patients who did not need end of life care. The government alleged that HPH Hospice caused staff to admit ineligible patients in order to meet targets imposed by management, adopted procedures to delay and discourage staff from discharging patients who were not appropriate for hospice services, instructed staff to make false or misleading statements in patients’ medical records to make them appear eligible when they were not, and failed to implement an adequate compliance program that might have corrected these problems.
The settlement also resolves allegations that HPH Hospice billed the government at higher reimbursement rates than it was entitled to receive, and provided illegal kickbacks when it provided free services to skilled nursing facilities in exchange for patient referrals.
“The hospice industry provides medical care to our most vulnerable citizens. This settlement should send a message to providers that misconduct of this kind will not be tolerated,” stated A. Lee Bentley, III, Acting United States Attorney for the Middle District of Florida.
As part of the settlement, HPH Hospice has agreed to enter into a Corporate Integrity Agreement with the Inspector General of the Department of Health and Human Services that provides for procedures and reviews to be put in place to avoid and promptly detect conduct similar to that which gave rise to the settlement.
The allegations settled today arose from a lawsuit filed by two former HPH Hospice employees, Heather Numbers and Greg Davis, under the qui tam or whistleblower provisions of the False Claims Act. Under the Act, private citizens can bring suit on behalf of the United States for false claims and share in any recovery. The whistleblowers in this case will collectively receive $250,000.
This matter was handled by the Justice Department’s Civil Division, the U.S. Attorney’s Office for the Middle District of Florida, the Office of the Inspector General for the Department of Health and Human Services, and the Florida Attorney General’s Office, Medicaid Fraud Control Unit.
The lawsuit is captioned United States and State of Florida ex rel. Numbers and Davis v. Hernando-Pasco Hospice, Inc., et al., No. 10-cv-912 (M.D. Fla.). The claims settled by this agreement are allegations only; there has been no determination of liability.
Florida Woman Pleads Guilty to Role in Fraudulent Home Inspection BusinessRead the Press Release
Tampa, Florida - Acting United States Attorney A. Lee Bentley, III announces that Tammy Roaderick (39, Largo) pleaded guilty yesterday to conspiracy to commit wire fraud. Roaderick faces a maximum penalty of five years in federal prison. Her sentencing hearing is scheduled for November 7, 2013.
Dean Counce pleaded guilty to conspiracy to commit wire fraud on September 14, 2012. On February 20, 2013, he was sentenced to 97 months in federal prison.
According to the plea agreement, Roaderick and her co-conspirator, Dean Counce, owned a company called American Mortgage Field Services, LLC (AMFS). AMFS performed preservation and inspection work for homes in various phases of foreclosure, including homes that were owned by government entities such as Fannie Mae, Freddie Mac, and the Federal Housing Administration (FHA). The government entities paid servicing lenders, such as Bank of America, to protect and maintain their properties. Beginning in or around 2007, some of these servicing lenders retained AMFS to conduct periodic inspections of government-owned or insured properties to prevent unnecessary deterioration that may have resulted from neglect or vandalism.
The servicing lenders would send Counce, Roaderick, and AMFS a list of properties each month that required inspection. These inspections required AMFS employees to visit a property, fill out an inspection report, and take photographs. Counce, Roaderick, and others then compiled these inspection reports and transmitted them electronically to the requesting party, such as Bank of America. The servicing lenders then paid AMFS a fee per inspection.
As the real estate market declined in Florida and throughout the country, AMFS began to receive more and more requests for inspections on properties in foreclosure. Most or all of the mortgages on the properties were owned or insured by Fannie Mae, Freddie Mac or FHA. The requests for inspections far exceeded AMFS’s capacity to complete them. As a result, Counce, Roaderick, and other AMFS employees began fabricating inspection reports.
For example, Counce and Roaderick would direct that each new property be inspected the first time and that inspectors take numerous photographs, far more than were required for a single month’s inspection report. AMFS employed individuals, many of whom were high school students or recent high school graduates, to use previous months’ photographs to fabricate subsequent inspection reports on properties. Counce and Roaderick also instructed AMFS employees to fabricate inspection reports by using publicly available websites, such as property appraiser sites, to obtain data about properties that were not inspected. AMFS employees acting under Counce and Roaderick's direction submitted the falsified inspection reports to AMFS’s clients along with false claims for payments. Employees who produced large numbers of false inspection reports were often rewarded with cash bonuses.
In total, between 2007 and 2009, Bank of America remitted $4,490,398.87 to Mid-Florida Home Securing (later known as AMFS) and, between 2009 and 2012, Bank of America paid AMFS $19,044,973.06 for inspections, a large percentage of which were never actually performed. Based on employee reports of fabrication rates, the government estimates the loss in this case to be approximately $12,774,102.
This case was investigated by the Federal Housing Finance Agency, Office of the Inspector General, the Department of Housing and Urban Development, Office of the Inspector General, and the United States Secret Service. It is being prosecuted by Assistant United States Attorney Mandy Riedel.
Engineer Convicted of Tax Fraud and ObstructionRead the Press Release
Orlando, Florida - Acting United States Attorney A. Lee Bentley, III announces that a federal jury found Daniel M. Metz (54, Oviedo) guilty yesterday of filing false claims and obstructing the IRS. Metz faces a maximum penalty of five years in federal prison for the false claims charge and a maximum penalty of three years for the obstruction charge. His sentencing hearing is scheduled for October 28, 2013, before Senior District Judge Gregory A. Presnell. Metz was indicted on August 19, 2012.
According to testimony and evidence presented at trial, Metz's business account was the subject of an IRS civil audit in 2009. During the course of the audit, the auditor realized that Metz had not filed personal tax returns for years 2005, 2006, and 2007. After being told about the missing returns, Metz prepared the returns and attached false 1099s that he also had prepared. Metz then mailed the returns to the auditor. Suspecting that the 1099s were false, the auditor requested records from Metz's personal bank accounts. The banks confirmed that the 1099s were false. The personal returns were never processed. Had the returns been processed, Metz would have received approximately $330,344 in refunds from the IRS. Through various means, Metz tried to hinder the IRS's investigation, including filing a lawsuit against the IRS Commissioner and the special agent who was conducting a criminal investigation. That lawsuit was ultimately dismissed.
Evidence at trial also showed that Metz, in 2009, had filed personal returns using false 1099s, which canceled out almost $500,000 in tax debt he owed to the IRS.
This case was investigated by the Internal Revenue Service - Criminal Investigation. It is being prosecuted by Assistant United States Attorney Tanya Davis Wilson.
Jacksonville Man Indicted for Conspiring and Attempting to Provide Material Support to TerroristsRead the Press Release
Jacksonville, Florida - Acting United States Attorney A. Lee Bentley, III, along with Acting Assistant Attorney General John Carlin, U.S. Department of Justice, National Security Division, and Michelle Klimt, Special Agent in Charge, FBI Jacksonville Division, today announced the return by a grand jury of an indictment charging Shelton Thomas Bell (19, Jacksonville) with conspiring and attempting to provide material support to terrorists. If convicted, Bell faces a maximum penalty of 15 years in federal prison on each of the two charges. Bell is currently detained in the Duval County Jail on unrelated charges. According to the indictment, Bell devised a plan to travel to the Arabian Peninsula and join Ansar Al-Sharia ("AAS"), an alias for Al-Qa'ida in the Arabian Peninsula ("AQAP"), and participate in violent armed conflict which he termed, "jihad." AAS has taken responsibility for multiple attacks on Yemeni forces, including a suicide bombing during a parade in May 2012, that killed more than 100 Yemeni soldiers and a series of armed assaults in March 2012, killing more than 100 people, including Yemeni soldiers.
The indictment alleges that between May 2012 and September 2012, Bell and others engaged in physical, firearms, and other training in preparation for armed conflict in the Middle East, which Bell described as "the actions of jihad." Bell allegedly solicited other individuals, including juveniles, to travel overseas with him in furtherance of this conspiracy. Bell made video and audio recordings intended to be distributed to others once he arrived in the Middle East, for the purpose of soliciting and recruiting others there to participate in violent jihad. In September 2012, Bell and a juvenile traveled to Amman, Jordan and made contact with an individual who could facilitate their travel to Yemen to participate in violent jihad.
An indictment is merely a formal charge that a defendant has committed a violation of the federal criminal laws, and every defendant is presumed innocent unless, and until, proven guilty.
This case was investigated by the FBI's Jacksonville Joint Terrorism Task Force (JTTF). The JTTF is a multi-agency task force comprised of full-time personnel from the FBI, U.S. Coast Guard Investigative Service, U.S. Customs and Border Protection, U.S. Immigration and Customs Enforcement's Homeland Security Investigations, the Jacksonville Sheriff's Office, Florida Highway Patrol, the Florida Department of Law Enforcement, and the Naval Criminal Investigative Service. It will be prosecuted by Assistant United States Attorney Mac D. Heavener, III and Department of Justice Trial Attorney Mara M. Kohn from the Department's Counter terrorism Section, National Security Division.
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Conspirators Plead Guilty to Selling HIPAA-Protected Patient Information for Tax FraudRead the Press Release
Tampa, FL - Acting United States Attorney A. Lee Bentley, III announces that Denetria Barnes (24) and Jakiel Bazart (28), both of Tampa, today pleaded guilty to conspiracy to defraud the United States and wrongfully disclosing HIPAA information. Both face a maximum penalty of ten years in federal prison.
According to court documents, in August of 2012, the Tampa Police Department recovered stolen means of identification when they executed a narcotics-related search warrant. Those documents were being used to file fraudulent tax returns. The documents ultimately led law enforcement to Barnes and Bazart, who had been selling patients' names, dates of birth, and Social Security numbers.
Working in an undercover capacity, law enforcement purchased a number of HIPAA-protected records from both Bazart and Barnes. With respect to Bazart, this included an incident, on April 3, 2013, where Bazart offered to sell fifteen pages of means of identification for $1,500. Bazart also said that he had a “trash barrel” filled with patients’ means of identification. On May 22, 2013, Barnes attempted to sell a spreadsheet containing approximately 400 stolen means of identification for $15,000. One of the columns on the spreadsheet contained each patient’s home address.
This case was investigated by Internal Revenue Service-Criminal Investigation, the Tampa Police Department, the Hillsborough County Sheriff's Office, and the Florida Department of Law Enforcement. It is being prosecuted by Assistant United States Attorney Thomas N. Palermo.
Baker County Man Indicted on Federal Charge of Failure to Register as Sex OffenderRead the Press Release
Jacksonville, Florida - Acting United States Attorney A. Lee Bentley, III announced today the return of an indictment charging Ray Charles Gasaway (47, Glen St. Mary) with failing to register as sex offender in the state of Florida, after traveling from the state of Tennessee. Gasaway faces up to 10 years in federal prison and a $250,000 fine. An arraignment and detention hearing are scheduled for July 17, 2013, at 11:15 a.m. before United States Magistrate Judge Thomas E. Morris in Jacksonville.
According to the indictment, on March 12, 1996, Gasaway was convicted of committing sexual battery and rape in Davidson County, Tennessee. Subsequent to his conviction, between June 14, 2012, and May 1, 2013, Gasaway traveled from Tennessee to Florida, where he has since resided. Gasaway allegedly failed to register as a sex offender as required by the Sex Offender Registration and Notification Act.
The Sex Offender Registration and Notification Act is part of the Adam Walsh Child Protection and Safety Act of 2006. The Adam Walsh Act also provides for the use of federal law enforcement resources, including the U.S. Marshals Service, to assist the states in locating and apprehending non-compliant sex offenders. This case was investigated by the Baker County Sheriff’s Office, the United States Marshals Service, and the Florida Department of Law Enforcement. It is being prosecuted by Assistant United States Attorney D. Rodney Brown.
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 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.usdoj.gov/psc for more information about internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
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 until, and unless, proven guilty.
Self Proclaimed "First Lady" of Tax Fraud Sentenced to 21 YearsRead the Press Release
Tampa, FL - U.S. District Judge James S. Moody, Jr. today sentenced Rashia Wilson (27, formerly of Wimauma) to 19 ½ years in federal prison on wire fraud and aggravated identity theft charges stemming from her scheme to defraud the IRS, and to a consecutive 18 months in federal prison for being a felon in possession of a firearm. The court also ordered Wilson to forfeit $2,240,096.39, which constitute the proceeds traceable to the offense. Wilson pleaded guilty to being a felon in possession of a firearm(s) on December 6, 2012. She pleaded guilty to the wire fraud and aggravated identity theft counts on April 3, 2013.
"Today's sentencing was a result of criminal actions by Rashia Wilson and sends a strong message to others who file false tax returns with stolen identities, that they will face severe consequences," says James Robnett, Special Agent in Charge for the IRS-Criminal Investigation. "These crimes victimize the most venerable of our fellow citizens; the elderly, our youth and family members of the deceased. IRS-CI and its Tampa Bay Alliance partners, along with the US Attorney's Office, will continue to vigorously investigate these crimes."
“Ms. Wilson’s sentence today is an indication of how the courts look upon identity theft," stated John Joyce, Special Agent in Charge for the U.S. Secret Service - Tampa. "To those who venture down the same road, know that you will be caught, and you will be severely punished. The judge’s message is crystal clear.”
"The Inspection Service is committed to preventing the use of the U.S. Mail in criminal schemes and collaborating with sister law enforcement agencies to successfully prosecute responsible parties," said Assistant Inspector in Charge Barney Morris. "The culmination of the Rashia Wilson investigation reflects what can happen when local, state and federal law enforcement agencies work collaboratively to combat these types of crimes."
“There are some in the community who think they can commit tax fraud and get away with it. Those days are over! This case is just an example of the consequences violators will face when they try to steal from hard working taxpayers,” said Tampa Police Chief Jane Castor.
"The success of this investigation was a result of the various agencies working together. This case represents one of the worst tax fraud cases in the Tampa Bay area and the outcome should send a clear message to others that this type of criminal activity will not be tolerated in our community," said Colonel Donna Lusczynski of the Hillsborough County Sheriff's Office.
According to court documents, from at least April 2009, through their arrests in September 2012, Rashia Wilson and her co-conspirator, Maurice J. Larry, engaged in a scheme to defraud the Internal Revenue Service by negotiating fraudulently obtained tax refunds. They did so by receiving U.S. Treasury checks and pre-paid debit cards that were loaded with proceeds derived from filing false and fraudulent federal income tax returns in other persons' names, without those persons’ permission or knowledge. Wilson and Larry filed these false and fraudulent federal income tax returns from multiple locations, including Wilson's residence and hotels in the Tampa area. Wilson, Larry, and others then used these fraudulently obtained tax refunds to make hundreds of thousands of dollars worth of retail purchases, to purchase money orders, and to withdraw cash.
During the course of the investigation, agents searched Wilson's residence and Larry's storage unit and recovered thousands of names and social security numbers in ledgers and on various other records, including medical billing records. Agents also found high end accessories, jewelry, and a hand gun in Wilson's home. Additional reloadable debit cards loaded with fraudulent tax refunds were also found in both locations.
Law enforcement officials also discovered that Wilson, who referred to herself as the "First Lady" and "Queen of Tax Fraud," spent $30,000 on her daughter's first birthday party and purchased a 2013 Audi valued at approximately $90,000, using the proceeds of the tax fraud scheme. The government seized the Audi and other items during the course of the investigation. The IRS estimates that the actual loss from Wilson and Larry's scheme is at least $3,147,477, and the intended loss is in excess of $11 million.
Maurice Larry is set for sentencing in this matter on August 6, 2013.
This case was investigated by the Internal Revenue Service - Criminal Investigation, the United States Secret Service, the United States Postal Inspection Service, the Tampa Police Department, and the Hillsborough County Sheriff's Office. It was prosecuted by Assistant United States Attorneys Sara C. Sweeney and Mandy Riedel.
Fugitive Apprehended and Sentenced to Federal Prison for Role in Prostitution ConspiracyRead the Press Release
Tampa, FL - United States District Judge James D. Whittemore sentenced Blanca Ceballos (49, Orlando) yesterday to three years in federal prison for conspiring with others to promote a prostitution ring in Polk County. Ceballos pleaded guilty on November 7, 2007.
According to the indictment and testimony in court, Ceballos, who was a citizen of the Dominican Republic, conspired with others to operate numerous houses of prostitution in the Middle District of Florida. She aided that conspiracy by arranging for the transport of women to the houses to work as prostitutes, and by collecting and depositing the proceeds from their prostitution activity. In 2007, Ceballos pleaded guilty and then failed to appear for sentencing before the court in 2008. Ceballos apparently fled the United States at that time and law enforcement was unable to apprehend her. She was arrested in April 2013 when she flew back into the United States from the Dominican Republic.
This case was investigated by U.S. Immigration and Customs Enforcement's (ICE) Homeland Security Investigations (HSI). It was prosecuted by Assistant United States Attorney Jay L. Hoffer of the Tampa Division.
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 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.usdoj.gov/psc.
Career Criminal Facing at Least 20 Years in Prison on Federal Firearm ChargesRead the Press Release
Ocala, Florida - Acting United States Attorney A. Lee Bentley, III announces that Ellis Michael Cook (37, Gainesville) pleaded guilty today to two counts of possessing a firearm and ammunition by a prohibited person (convicted felon - armed career criminal) and possessing a firearm in furtherance of a drug trafficking crime. Cook faces a mandatory minimum sentence of 20 years in federal prison, up to a maximum penalty of life in federal prison for the offenses. A sentencing date has not yet been set.
According to the facts presented in the change of plea hearing, on January 30, 2013, at approximately 12:30 a.m., a deputy with the Marion County Sheriff's Office observed Cook driving a stolen motorcycle in the parking lot of an Ocala convenience store. When confronted about the stolen motorcycle, Cook ran from the deputy and discarded a backpack that had been in his possession. After being apprehended by the deputy, Cook warned the deputy that there was a firearm in the backpack. A subsequent search of Cook's backpack revealed a loaded .45 caliber pistol, assorted ammunition, 42.9 grams of methamphetamine, heroin, ecstasy pills, marijuana and drug paraphernalia.
Cook has an extensive criminal record that includes prior convictions for burglary, possession of cocaine with intent to sell, and trafficking in cocaine. As such, Cook qualifies for enhanced federal penalties as both an Armed Career Criminal and Career Offender.
This case was investigated by the Marion County Sheriff's Office, the Florida Department of Law Enforcement (FDLE) and the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF). It is being prosecuted by Assistant United States Attorney Robert E. Bodnar, Jr.
Ocala Man Arrested for Manufacturing Machine Guns and Firearm SilencersRead the Press Release
Ocala, Florida - Acting United States Attorney A. Lee Bentley, III announces the arrest today of Charles Robert Lester (48, Ocala) on charges of possession of firearms and ammunition by an unlawful user of a controlled substance; unlawful possession and transfer of machine guns; and unlawful possession and transfer of unlicensed machine guns and firearm silencers. Each of these offenses carries a maximum penalty of 10 years in federal prison.
According to court documents, on June 24, 2013, Lester’s family contacted local authorities because of threats he had made to kill them. When detectives with the Marion County Sheriff’s Office responded to Lester’s Ocala residence, they found Lester with a concealed .22 caliber handgun in his pocket and a .40 caliber handgun in a holster on his hip. The holstered gun had been illegally modified to fire as a fully-automatic weapon. After obtaining a search warrant for the residence, agents subsequently recovered five additional firearms that had been illegally converted into machine guns; two firearm silencers; numerous rounds of ammunition; and assorted drug paraphernalia. None of the fully automatic weapons or firearm silencers had ever been registered with the Bureau of Alcohol, Tobacco, Firearms and Explosives, (ATF) as required by federal law. Lester’s family members told authorities that Lester had been building and selling the illegal firearms over the Internet.
A criminal complaint is merely an allegation that a defendant has committed a violation of the federal criminal laws, and every defendant is presumed innocent unless, and until, proven guilty.
This case was investigated by the Marion County Sheriff’s Office and ATF. It will be prosecuted by Assistant United States Attorney Robert E. Bodnar, Jr.
It is another case prosecuted as a part of the Department of Justice’s “Project Safe Neighborhoods” program - a nationwide, gun-violence reduction strategy. Acting United States Attorney A. Lee Bentley, III, along with Julie Torres, 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.
Members of Robbery Crew Receive Lengthy Prison SentencesRead the Press Release
Orlando, Florida - Acting United States Attorney A. Lee Bentley, III announces that U.S. District Judge Gregory A. Presnell today sentenced Jimmy Anthony Montgomery, Jr. (25, Deland) to 15 years in federal prison for a drug trafficking conspiracy and possession of a firearm in furtherance of a drug trafficking offense. The court also sentenced Brandon Terrance Blanks (25, Deland) to 11 years’ imprisonment for the same charges. Montgomery pleaded guilty on March 25, 2013. Blanks pleaded guilty on March 26, 2013.
According to court documents, Blanks, Montgomery, Dexter Eugene Mims, and Genesis Mark Chappelle all conspired to commit an armed drug robbery. During the course of the planning, they met several times with an undercover agent to make arrangements to carry out the robbery. During a subsequent search of a house where the individuals gathered, on the morning prior to executing the robbery, agents found two assault-style rifles and two handguns, which the individuals had planned to use in the crime.
On May 20, 2013, Chappelle was sentenced to 17 years in prison and Mims was sentenced to 10 years’ imprisonment, for their respective roles in the crime.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives. It was prosecuted by Assistant United States Attorney Vincent S. Chiu.
Georgia Man Sentenced to 15 Years in Prison on Federal Child Pornography ChargesRead the Press Release
Jacksonville, Florida - U.S. District Judge Timothy J. Corrigan yesterday sentenced Stephen Joseph Woods (34, Savannah, Georgia) to 15 years in prison for sending notices over the Internet offering to produce and receive child pornography. Woods was also ordered to serve a life term of supervision and to register as a sex offender, following his release from prison. Woods has been in custody since his arrest on November 2, 2012, in St. Augustine, Florida. Woods pleaded guilty to this charge on March 14, 2013.
According to court documents, during October and November 2012, the Volusia County Sheriff’s Office (“VCSO”), the St. Johns County Sheriff’s Office (“SJCSO”) and other law enforcement officers conducted undercover Internet operations targeting individuals seeking to have sex with minor children. On October 12, 2012, Woods responded to an Internet bulletin board posting, indicating that Woods could teach a 14-year old “child” about sex. During the ensuing email conversation, Woods confirmed that the “child” was 14 years old.
During the next two weeks, Woods and the undercover detective, who used the personae of a 14-year old female “child,” engaged in online conversations by instant messaging and email. During these conversations, Woods indicated his desire to have sex with the “child.” On October 29, 2012, Woods and the “child” engaged in an online conversation and discussed a location for their meeting, during which Woods offered to produce videos of the “child” engaged in sexually explicit conduct. That same day, Woods asked if he could “come see [‘the child’]” that weekend.
On October 31, 2012, Woods and the undercover detective arranged to meet in St. Augustine at a motel, at a later date. On the evening of November 2, 2012, Woods arrived at the motel in his vehicle. Woods approached the undercover detective, whom he believed was the “child’s” relative, and subsequently asked the detective to have the “child” come outside. At that point, Woods was arrested.
This case was investigated by the St. Johns County Sheriff’s Office, the Clay County Sheriff’s Office, the Volusia County Sheriffs’ Office, the Bay County Sheriff’s Office, and the Federal Bureau of Investigation. It was prosecuted by Assistant United States Attorney D. Rodney Brown.
It is another 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 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.usdoj.gov/psc. For more information about internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
Bail Bondsman Convicted of Tax Fraud and Identity Theft SchemeRead the Press Release
Tampa, FL - Acting United States Attorney A. Lee Bentley, III announces that a federal jury today found Freddie Wilson (40, Temple Terrace) guilty of six counts of theft of government funds, five counts of aggravated identity theft, one count of money laundering, and one count of obstruction of justice. Wilson faces a maximum penalty of ten years in federal prison on each count of theft of government funds, two years' consecutive imprisonment on each count of aggravated identity theft, ten years' imprisonment for money laundering, and five years' imprisonment for obstruction of justice. His sentencing hearing is scheduled for October 8, 2013. Wilson was indicted on April 23, 2013.
According to testimony and evidence presented at trial, Wilson was a licensed bail bondsman who operated "Against All Odds Bail Bonds, Inc." (AAO) in Tampa. In June 2012, he opened an account in the name of AAO at a local bank, under the guise that he was a check casher. Within a three month period, Wilson deposited over $318,000 in U.S. Treasury income tax refund checks into that account. The checks had been issued as a result of fraudulently filed federal income tax returns, which were derived from the identities of deceased, elderly, and disabled victims.
In January 2013, a federal search warrant was executed at AAO and agents seized a 2011 Camaro and approximately $8,600 in cash. Wilson subsequently obstructed the criminal investigation by taking records that were seized during the search warrant and failing to return them to the government. Wilson spent all of the money that he received from the fraudulent tax returns on personal expenses, including the purchase of the 2011 Chevrolet Camaro, mortgage payments, expensive restaurants, hotels, and large dollar transactions at the Seminole Hard Rock Casino.
This case was investigated by the Internal Revenue Service Criminal Investigation. It is being prosecuted by Assistant United States Attorney Josephine W. Thomas.
Sarasota Tax Preparer Pleads Guilty to Preparing Fraudulent Tax Returns for Illegal AliensRead the Press Release
Tampa, Florida - Acting United States Attorney A. Lee Bentley, III announces that Fernando Torres (41, Sarasota) pleaded guilty today to aiding and assisting in the preparation and presentation of fraudulent tax returns. Torres faces a maximum penalty of six years in federal prison.
According to the plea agreement, Torres operated a tax preparation business in Sarasota. Torres’ tax preparation business catered mostly to an illegal immigrant population in and around Sarasota County. During 2011 and 2012, Torres prepared and filed 239 fraudulent tax returns with the Internal Revenue Service, on behalf of his illegal immigrant clients. Torres ensured that his clients obtained refunds by falsely claiming that they had one or more qualified dependents, when in fact, they did not. In order to increase the amount of refunds received by his clients, Torres also fraudulently claimed the Additional Child Tax Credit for them.
As a result of Torres’ conduct, the IRS paid out $697,573.00 in tax refunds. Had Torres completed the returns accurately and legitimately, most of his clients would have owed money to the IRS.
This case was investigated by the Internal Revenue Service Criminal Investigation, U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI), the U.S. Department of Agriculture, and the Sarasota Police Department. It is being prosecuted by Assistant United States Attorney Simon Gaugush.
Dade City Man Sentenced to Nineteen Years in Federal Prison for Armed Drug TraffickingRead the Press Release
Tampa, Florida - U.S. District Judge Elizabeth A. Kovachevich today sentenced Angel Martinez (34, Dade City) to nineteen years in federal prison for possessing methamphetamine with intent to distribute, and possessing firearms in furtherance of a drug trafficking crime. The sentence consists of 14 years in federal prison for the drug trafficking offense, followed by a five year consecutive sentence for the firearm charge. Martinez pleaded guilty on April 19, 2013.
According to court documents, on September 20, 2012, investigators executed a search warrant at Martinez's residence in Dade City. In Martinez's bedroom, investigators located twenty-nine grams of methamphetamine and three firearms. In a shed next to his house, investigators located more than 250 grams of methamphetamine, two hand guns, numerous rounds of ammunition, and five digital scales.
This case was investigated by the Drug Enforcement Administration and the Pasco County Sheriff’s Office as part of an ongoing Organized Crime Drug Enforcement Task Force (OCDETF) investigation. 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 Christopher F. Murray.
Tampa Men Plead Guilty to Armed Robberies Involving GrenadesRead the Press Release
Tampa, Florida - Acting United States Attorney A. Lee Bentley, III announces that Gabriel James Brown, Jr. (33, Tampa) pleaded guilty last week to two counts of carrying, using and brandishing a firearm in furtherance of a violent crime. Brown faces a mandatory minimum sentence of 32 years in federal prison, and a maximum of life imprisonment. Brown’s co-defendant, Robert A. McChristian (44, Tampa) pleaded guilty on June 27, 2013, to a single count of carrying, using, brandishing and discharging a firearm in furtherance of a violent crime. McChristian faces a mandatory minimum sentence of 30 years in prison and a maximum of life imprisonment.
According to the Brown’s plea agreement, from December 2012 through February 6, 2013, Brown and McChristian committed a series of armed robberies of businesses in the Tampa area. Brown was arrested on February 6, 2013. On February 5, 2013, acting along, Brown robbed a T.D. Bank in Auburndale of $19,127. He robbed the bank at gun-point and used a smoke grenade while fleeing from the bank to obscure his escape. Brown also pleaded guilty to a January 18, 2013, robbery of a Metro PCS store during which he took $631 in cash and a total of 29 cell phones and accessories valued at approximately $2,332.
According to McChristian’s plea agreement, on December 20, 2012, McChristian used a military grade flash bang grenade and a gun provided by Brown to rob a Papa John’s Pizza restaurant in Tampa. McChristian threw the flash bang grenade into the store. He then ran in and robbed the store at gunpoint of approximately $300. Prior to the restaurant robbery, Brown and McChristian arranged to meet via text message. In the text messages, McChristian arranged to meet Brown to get the gun and the flash bang grenade so that McChristian could “shake the spot myself.” McChristian was caught, in part, based on the text messages recovered by law enforcement.This case was investigated by the Federal Bureau of Investigation, the Polk County Sheriff's Office, the Auburndale Police Department, the Hillsborough County Sheriff's Office, and the Tampa Police Department. It is being prosecuted by Assistant United States Attorney Mark E. Bini.
A. Lee Bentley, III to Serve as Acting United States Attorney for the Middle District of FloridaRead the Press Release
Lee Bentley became the Acting United States Attorney for the Middle District of Florida following the departure of U.S. Attorney Robert E. O’Neill on July 8, 2013. Previously, Mr. Bentley served as the First Assistant to U.S. Attorney O’Neill. Mr. Bentley has been an Assistant United States Attorney in the Middle District of Florida since 2000. Prior to that, he worked at the law firm of Hogan & Hartson in Washington, DC as an associate (1990-1992) and a partner (1993-2000). Mr. Bentley also has served as a Special Assistant United States Attorney in the Southern District of Florida (Miami), an Attorney-Advisor in the Office of Legal Counsel, Department of Justice (Washington, DC), a law clerk to Hon. Lewis F. Powell, Jr., United States Supreme Court (Washington, DC), and a law clerk to Hon. Clement F. Haynsworth, Jr., United States Court of Appeals for the Fourth Circuit (Greenville, South Carolina). He graduated with highest honors from the University of Georgia (1980) and the University of Virginia School of Law (1983).
Woman Pleads Guilty to Theft of Government PropertyRead the Press Release
Tampa, Florida - United States Attorney Robert E. O'Neill announces that Kayla M. Noble, a student at Florida A&M University in Tallahassee, pleaded guilty today to one count of theft of government property. Noble faces a maximum penalty of ten years in federal prison. As part of her plea agreement, she agreed to forfeit to the United States $102,237 representing the proceeds obtained as a result of the offense.
According to the plea agreement, in September and October 2011, Noble participated in a scheme to defraud the United States Treasury. As part of the scheme, fraudulently-obtained federal income tax refunds were deposited into her checking and savings accounts. For her role in the scheme, Noble was compensated with a portion of the proceeds. In total, twelve fraudulent income tax refunds totaling $102,237 were deposited into her bank accounts.
This case was investigated by the Internal Revenue Service Criminal Investigation. It is being prosecuted by Assistant United States Attorney Matthew J. Mueller.
Suwannee County Man Sentenced to 18 Months in Federal Prison for Failing to Register as Sex OffenderRead the Press Release
Jacksonville, Florida - United States District Judge Marcia Morales Howard today sentenced Denny Junior Jenkins (42, Live Oak) to 18 months in prison for failing to register as sex offender in the state of Florida, after traveling from the state of South Carolina. Jenkins was also ordered to serve a 10-year term of supervised release following his prison sentence. He pleaded guilty on March 18, 2013.
According to court documents, on September 4, 1992, Jenkins was convicted in Suwannee County, Florida of two counts of attempted sexual battery upon a child under 12 years of age. Because of these convictions, Jenkins is required to register as a sex offender under Florida law for the remainder of his life. After being released from prison, Jenkins received and executed documents that advised him of these conditions.
Court documents show that, in 2010, Jenkins changed his residence to the state of South Carolina and executed documents that advised, among other things, that if he moved to another state he must register as a sex offender in that state. In April 2012, Jenkins left South Carolina and moved back to Florida and established residence in Suwannee County. According to court documents, after establishing residence in Florida in April 2012, Jenkins was required to register and keep his registration current with the state of Florida under the Sex Offender Registration and Notification Act (SORNA). He failed to do so. On February 15, 2013, Jenkins was arrested and stated, among other things, that he moved from South Carolina to Florida in April 2012 and acknowledged that he did not register as a sex offender.
This case was investigated by the United States Marshals Service, the Suwannee County Sheriff’s Office, and the Florida Department of Law Enforcement. It was 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.usdoj.gov/psc for more information about internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
St. Jude's Pharmacy Owner & Wife Indicted on Federal ChargesRead the Press Release
Fort Myers, Florida - United States Attorney Robert E. O'Neill announces the return of an indictment charging Cape Coral residents Jorge Otano (51) and his wife, Martha Otano (41). Jorge Otano, the owner of the former St. Jude's Pharmacy in Cape Coral, is charged with conspiracy to distribute oxycodone, a controlled substance outside the usual course of professional practice and for other than legitimate medical purposes. In addition, Jorge and Martha Otano (vice-president of the former St. Jude's Pharmacy) are both charged with conspiring to evade the reporting requirements of the Bank Secrecy Act, as part of a pattern of illegal activity involving more than $100,000 in a 12-month period. They are each also charged with three substantive counts of structuring transactions to evade the reporting requirements.
If convicted of conspiring to distribute a controlled substance, Jorge Otano faces a maximum penalty of twenty years in federal prison. If convicted of conspiring to structure deposits to evade reporting requirements, they each face a maximum penalty of five years in federal prison. Each structuring transactions to evade reporting requirements charge carries a maximum penalty of ten years in federal prison. The indictment also notifies both that the United States intends to forfeit $750,525.17 that was seized during the course of the investigation, computer equipment used to facilitate the crime, a house in Cape Coral, and two vehicles which are alleged to be traceable to proceeds of the offense. In addition, the United States is seeking a money judgment in the amount of $430,000.00, as additional proceeds of the crimes charged in the indictment.
According to the indictment, Jorge and Martha Otano were registered pharmacy technicians and operators of St. Jude's Pharmacy in Cape Coral. From approximately August 2009 until November 15, 2012, Jorge Otano conspired with others to possess with intent to distribute, and distribute oxycodone outside the usual course of professional practice and for other than legitimate medical purposes. In addition, Jorge and Martha Otano made cash deposits, including deposits of illegal proceeds, into domestic financial institutions in amounts of $10,000 or less in order to avoid triggering bank reporting requirements. The Otanos allegedly made multiple deposits below the reporting requirement at multiple banks on the same day and at the same branch on successive days. The indictment alleges that they made in excess of $100,000 in structured cash deposits in one year.
An indictment is merely a formal charge that a defendant has committed a violation of the federal criminal laws, and every defendant is presumed innocent unless, and until, proven guilty.
This case was investigated by the United States Secret Service and the Drug Enforcement Administration. It will be prosecuted by Assistant United States Attorneys David G. Lazarus and Yolande G. Viacava.
Virginia-Based Corporation Agrees to Pay $5.75 Million to Resolve False Claims Act AllegationsRead the Press Release
Tampa, FL – The Justice Department announced today that Science Applications International Corporation (SAIC) will pay $5.75 million to the federal government to resolve a lawsuit alleging violations of the False Claims Act. SAIC, headquartered in McLean, Virginia, is a defense contractor that provides professional engineering and other services to various agencies and departments of the United States.
The lawsuit centered on a General Services Administration Blanket Purchase Agreement (BPA) awarded to SAIC, in September 2006, for the provision of professional engineering and consulting services. Those services aided non-traditional assessment (NTA) work, which is the study and evaluation of the military utility of new products and emerging technologies. Through nineteen Task Orders issued under the BPA, SAIC performed NTA work for multiple DOD entities including U.S. Central Command at MacDill Air Force Base in Tampa, as well as the Coalition and Irregular Warfare Center at Nellis AFB in Las Vegas, Nevada. The General Services Administration (GSA) is an agency of the United States Government. Through its Federal Acquisition Service, GSA assists in the management and support of other federal agencies and government components through the provision of products and services to them. In some instances, GSA will assist a federal government agency by issuing a competitive contract solicitation for services required by that agency.
The United States contends that SAIC personnel aided others to induce GSA to issue the BPA solicitation by misleading GSA personnel into believing they were issuing the BPA on behalf of a federal government agency. In fact, the solicitations were issued on behalf of an entity associated with a state institution in New Mexico. An employee of that state institution was appointed to review cost proposals and billings by SAIC, but failed to discharge his duties independently by, among other things, not properly reviewing and vetting cost and scope of work estimates prepared by SAIC. Additionally, the government alleges that SAIC, and others, promoted the BPA to various DOD entities as a contract vehicle that had already been subject to competition, thereby bypassing truly competitive bidding on that work.
Pursuant to the settlement, SAIC will make a one-time payment of $5,750,000.00 to the United States. The DOD entities will retain all work performed, or work product created by SAIC, under the BPA. The U.S. will not pay any further monies for that work, nor remit or refund any monies to SAIC for that work.
“Federal contracts must be awarded based on full disclosure and fair dealing,” said Stuart F. Delery, Acting Assistant Attorney General for the Civil Division of the Department of Justice. “It is completely unacceptable for taxpayer dollars to be paid under circumstances where the integrity of the contracting process has been undermined.” “This recovery illustrates the emphasis and resources we place on detection and recovery of fraud, waste, and abuse in government procurement contracts – particularly those involving defense contractors and others who supply goods and services to the Department of Defense, the branches of our military, and their bases,” said Robert E. O’Neill, U.S. Attorney for the Middle District of Florida."SAIC received a contract, awarded by GSA, from a fictitious government agency," said GSA Inspector General Brian D. Miller. "This deceptive scheme shows that we must be on the lookout for all forms of contract fraud."
The lawsuit was filed by a whistleblower (also known as a relator), under the qui tam provisions of the False Claims Act, which allows private parties to file suit on behalf of the United States and share in any recovery. Timothy Ferner, a former active-duty Lt. Colonel assigned to the CIWC, made the allegations which initiated the government’s investigation. Ferner will receive a $977,500.00 share of the recovery from SAIC.
This case was investigated jointly by Assistant U.S. Attorney Charles Harden of the United States Attorney’s Office for the Middle District of Florida, Trial Attorneys Don Williamson and Niall O’Donnell of the Commercial Litigation Branch of the Justice Department’s Civil Division, and Assistant Special Agent in Charge James Taylor of the Atlanta Office of the Inspector General for GSA. Substantial investigative support was also provided by agents from the Tampa Resident Agency of the Defense Criminal Investigative Service, the Melbourne Major Procurement Fraud Unit of the U.S. Army Criminal Investigation Command, and the MacDill Detachment of the Air Force Office of Special Investigations.
The claims settled by today’s agreement are allegations only; there has been no determination of liability.
Veteran Affairs Employee Indicted for Sale of Veterans' Identity InformationRead the Press Release
Tampa, Florida - United States Attorney Robert E. O'Neill announces the unsealing of an indictment yesterday charging David F. Lewis with wrongful disclosure of health information, access device fraud, and aggravated identity theft. If convicted, Lewis faces a maximum penalty of ten years in federal prison on each count of wrongful disclosure of health information and ten years’ imprisonment on each count of access device fraud, all to be followed by up to two years for each aggravated identity theft offense. The Indictment also notifies Lewis that the United States is seeking a money judgment in the amount of $105,271.00, the proceeds of the charged criminal conduct.
According to the indictment and court documents, Lewis was a Department of Veterans Affairs employee who stole the identities of patients at the James A. Haley Veterans Hospital. Lewis then sold those identities to others, who used them to file fraudulent U.S. income tax returns and obtain fraudulent tax refunds.
Special Agent in Charge Quentin G. Aucoin of the Veterans Affairs, Office of the Inspector General, stated, "These crimes are particularly egregious, and the VA Office of Inspector General is dedicated to aggressively investigating individuals who misuse patient information, especially when used for personal and financial gain."
Special Agent in Charge James Robnett of the Internal Revenue Service - Criminal Investigation stated, "The indictment and arrest of David F. Lewis by members of the Tampa Bay Alliance, in partnership with the US Attorney's office, demonstrates the continued commitment the members of the alliance have in investigating identity theft and stolen identify refund fraud that is in the Tampa Bay area. The alliance will continue to vigorously investigate this crime which has victimized the most vulnerable citizens in the Tampa Bay area."
An indictment is merely a formal charge that a defendant has committed a violation of the federal criminal laws, and every defendant is presumed innocent unless, and until, proven guilty.
This case was investigated by the Department of Veterans Affairs - OIG, the Internal Revenue Service - Criminal Investigation, the Tampa Police Department, and the Florida Highway Patrol. It will be prosecuted by Assistant United States Attorney Sara C. Sweeney.
Jacksonville Man Charged in Conspiracy to Send Money SyriaRead the Press Release
Jacksonville, Florida - United States Attorney Robert E. O'Neill announces the indictment of Emell Meda Meda (44, Jacksonville) charging him with one count of conspiracy to structure financial transactions, and one count of structuring financial transactions. If convicted on both counts, Meda Meda faces a maximum penalty of 10 years in federal prison. The indictment also notifies Meda Meda that the United States intends to forfeit $18,500, which is alleged to be traceable to the offense. Meda Meda was arrested on July 2, 2013.
According to the indictment, on or about June 10, 2009, Meda Meda instructed and paid two other individuals to each send $6,120 to a specific individual in Syria. The individuals were instructed to use their own names, as opposed to using Emell Meda Meda's name, when completing the required paperwork for the international electronic funds transfers. Thereafter, on June 12, 2009, Meda Meda instructed a third individual to use his/her own name to send $6,630 to an individual in Syria via an electronic funds transfer. On each occasion, the individuals were instructed to send the funds in this manner in order to conceal the fact that Meda Meda was the source of the money. Syria is a country classified by the U.S. Department of State as a state sponsor of terrorism.
An indictment is merely a formal charge that a defendant has committed a violation of the federal criminal laws, and every defendant is presumed innocent unless, and until, proven guilty.
This case was investigated by the Internal Revenue Service - Criminal Investigation. It will be prosecuted by Assistant United States Attorney Mark B. Devereaux.
Title of the news release goes hereRead the Press Release
Jacksonville, Florida - United States Attorney Robert E. O'Neill announced today that John Charles Stevenson (45, Rincon, Georgia) has been indicted by a federal grand jury, in Jacksonville, on child pornography charges. Stevenson is charged with two counts of receiving child pornography over the Internet. He faces a mandatory minimum sentence of 5 years, up to 20 years in prison and a $250,000 fine.
Stevenson was arrested in Rincon, Georgia on June 21, 2013 and remains in the custody of the U.S. Marshals Service pending a detention hearing on July 11, 2013, at the U.S. Courthouse in Jacksonville.
According to the indictment, on two separate occasions, Stevenson knowingly received visual depictions of a minor engaged in sexually explicit conduct via the Internet.This case was investigated by the Federal Bureau of Investigation and the Jacksonville Sheriff’s Office. It is being prosecuted by Assistant United States Attorney D. Rodney Brown.
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 until, and unless, 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 the 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.projectsafechildhood.gov. For more information about internet safety education, please visit www.projectsafechildhood.gov and click on the tab "other resources."
Lakeland Man Sentenced to Fifteen Years in Prison for Selling Firearms to Law EnforcementRead the Press Release
Tampa, FL - U.S. District Judge Richard A. Lazzara today sentenced Jacques D. Randolph (31, Lakeland) to fifteen years in federal prison for being a felon in possession of a firearm. Randolph pleaded guilty before Judge Richard A. Lazzara on April 4, 2013.
According to court documents, Randolph met with undercover law enforcement officers on multiple dates for the purpose of selling firearms. Over a three-month period, Randolph sold sixteen firearms to undercover officers. Randolph has been a convicted felon since 1997. On the dates that he sold the firearms to law enforcement, Randolph was on felony probation.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives. It was prosecuted by Assistant United States Attorney Stacie B. Harris.
It 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 Robert E. O’Neill, along with Julie Torres, 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.
Three Plead Guilty in Marijuana Distribution ConspiracyRead the Press Release
Tampa, Florida - United States Attorney Robert E. O'Neill announces that Chad Sunyich (37, St. George, Utah), Jason Vowell (38, St. George, Utah), and Timothy Long (39, Tampa) have pleaded guilty to conspiring to distribute more than 100 kilograms of marijuana. Sunyich and Vowell also pleaded guilty to possessing marijuana with intent to distribute. Long pleaded guilty today. Vowell pleaded guilty on June 3, 2013. Sunyich pleaded guilty on June 4, 2013. Each faces a mandatory minimum term of five years, up to forty years in federal prison on the conspiracy charge. For the possession with intent to distribute charge, Sunyich and Long also face a maximum term of twenty years in federal prison. Vowell has agreed to forfeit property that was used to facilitate the conspiracy, including his Piper Aerostar fixed wing airplane and $166,228 in cash.
According to court documents, the conspiracy began in 2010 when Sunyich sent marijuana grown in northern California to a person who would later become a cooperating witness (CW-1), in Tampa. The marijuana trafficking relationship between Sunyich and CW-1 continued into 2011 and 2012. During those years, Sunyich supplied CW-1 with quantities of marijuana ranging between thirty and ninety-nine pounds at a time, generally every 45 to 60 days.
In early 2012, Long joined the conspiracy. Long regularly collected marijuana proceeds for Sunyich and received pounds of marijuana from Sunyich for further distribution.
This case was investigated by the Drug Enforcement Administration. It is being prosecuted by Assistant United States Attorney Christopher F. Murray.
Mortgage Broker Pleads Guilty to Defrauding Lenders to Purchase Jewelry StoreRead the Press Release
Tampa, Florida - United States Attorney Robert E. O'Neill announces that David Vazquez (35, Puerto Rico) today pleaded guilty to making false statements to a financial institution. Vazquez faces a maximum penalty of 30 years in federal prison.
According to the plea agreement, between November 7, 2007, and January 9, 2008, Vazquez knowingly made and induced other persons to make materially false and fraudulent statements to an FDIC-insured financial institution and other mortgage lenders, in connection with a mortgage fraud scheme. During the time frame of his offense, Vazquez worked as a mortgage broker for DVA & Associates, LLC, located in Tampa. As a mortgage broker, Vazquez’s job was to assist prospective borrowers with obtaining mortgage loans to purchase real property.
In 2007, Vazquez decided to purchase a jewelry store in Tampa, along with two other individuals. To finance the purchase of the jewelry store, Vazquez and his partners decided to purchase three condo units at The Arbors at Carrollwood. The Arbors was a 390-unit condominium complex located at 3939 Ehrlich Road, in Tampa. Vazquez was aware of the fact that purchasers of condo units at the Arbors were being given tens of thousands of dollars in cash-back incentives.
Vazquez listed material misrepresentations, including employment, gross monthly income, assets and liabilities, and intent to occupy the condo units as a primary residence on the loan applications. As a result of their scheme, Vazquez and his partners received more than $270,000.00 for purchasing three condo units at the Arbors. These funds were then used to purchase the jewelry store. The properties all went into foreclosure. Ultimately, Vazquez and his co-conspirator business partners defrauded the mortgage lenders out of approximately $645,872.00.
This case was investigated by the Federal Bureau of Investigation. It is being prosecuted by Assistant United States Attorney Simon Gaugush.
Clearwater Man Sentenced to 15 Years in Federal Prison for Possession of A FirearmRead the Press Release
Tampa, FL - United States District Court Judge Elizabeth A. Kovachevich today sentenced Martez Jamar Cook (28, Clearwater) to 15 years in prison for possession of a firearm by a convicted felon. Cook pleaded guilty on March 4, 2013.
According to the criminal indictment and testimony in court, on April 26, 2012, Cook sold a Chinese made Norinco SKS 7.62 rifle, along with numerous rounds of 7.62 ammunition, to an undercover police officer in Clearwater. Included in the sale were an extended capacity magazine and ammunition.
This case was investigated by agents of the United States Bureau of Alcohol, Tobacco, Firearms, and Explosives, with the assistance of the Largo Police Department. It was prosecuted by Assistant United States Attorney Jay L. Hoffer.
It 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 Robert E. O’Neill, along with Julie Torres, 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.
St. Johns County Man Sentenced to More Than 15 Years in Prison in Methamphetamine CaseRead the Press Release
Jacksonville, FL - U.S. District Judge Marcia Morales Howard today sentenced Frank Higginbotham (36, Hastings, Florida) to 15 years and 10 months in federal prison for conspiracy to manufacture methamphetamine and distribution of methamphetamine. The court also ordered Higginbotham to serve 8 years of supervised release after his from prison. A jury found Higginbotham guilty of the offenses on February 21, 2013.
According to court documents, Higginbotham manufactured and sold methamphetamine at various locations in St. Johns County. During the conspiracy, methamphetamine users gave Higginbotham boxes of medication containing pseudoephedrine in exchange for methamphetamine. Pseudoephedrine, which is an ingredient in many cold and allergy medications, is the primary ingredient needed to manufacture methamphetamine. On February 13, 2012, Higginbotham sold methamphetamine to an undercover Drug Enforcement Administration (DEA) agent. Higginbotham had previously served three years in state prison for trafficking in methamphetamine.
This case was investigated by the Drug Enforcement Administration and the St. Johns County Sheriff’s Office. It was prosecuted by Assistant United States Attorney Arnold B. Corsmeier.
“Straw” Owner of Venice Physical Therapy Clinic Pleads Guilty to Conspiracy to Commit Health Care FraudRead the Press Release
Tampa, Florida - United States Attorney Robert E. O'Neill announces that Roberto Fernandez Gonzalez (63, Naples) pleaded guilty today to conspiracy to commit health care fraud. Gonzalez faces a maximum penalty of 10 years in federal prison.
According to the plea agreement, from January 16, 2008, through at least March 31, 2008, Gonzalez conspired with various individuals to execute a scheme to defraud Medicare. During the course of this conspiracy, Gonzalez functioned as the nominee (straw) owner of Rehab Dynamics, Inc. (“Rehab Dynamics”), a physical therapy clinic located in Venice, Florida. Gonzalez had no background in the health care industry, nor did he have money to buy Rehab Dynamics. Rather, the conspirators paid Gonzalez more than $20,000.00 to serve as the straw owner of Rehab Dynamics, as a sham.
During the three months that Gonzalez served as the nominee owner of Rehab Dynamics, the conspirators submitted approximately $1,633,512.21 in fraudulent claims for reimbursement to Medicare. Ultimately, Medicare paid $446,738.85 of those false claims.
This case was investigated by the U.S. Department of Health and Human Services, Office of Inspector General, the Defense Criminal Investigative Service, and the Federal Bureau of Investigation. It is being prosecuted by Assistant United States Attorney Simon Gaugush.
Orlando Man Pleads Guilty to More Than $300,000 in Attempted Tax FraudRead the Press Release
Orlando, Florida - United States Attorney Robert E. O'Neill announces that Hussein Chery pleaded guilty yesterday to two counts of mail fraud and one count of access device fraud. Chery faces a maximum penalty of 20 years in federal prison for each mail fraud count, and up to 10 years in federal prison for the access device fraud count. A sentencing date has not been scheduled. Chery was indicted on May 8, 2013.
According to his plea agreement, Chery was stopped by an Orange County Sheriff’s Office deputy on March 22, 2012, for a traffic violation. A consent search of Chery’s vehicle resulted in the discovery of 38 cash/debit cards that were issued in the names of other people, a bundled assortment of delivered mail addressed to individuals other than Chery, and four notebooks containing handwritten information that corresponded to the debit cards.
Further investigation determined that Chery was part of a group of individuals who used stolen personal information to submit false income tax returns. The fraudulently obtained refunds were deposited onto prepaid debit cards that were issued in the victims’ name. Those prepaid debit cards were mailed to abandoned homes and others addresses located in Central Florida, where they were then retrieved by Chery and others. The participants in the scheme then attempted to use the debit cards to withdraw cash or pay for personal items.
The debit cards and notebooks found in Chery’s possession contained approximately 200 names of victims whose identities were used in some aspect of this scheme. Agents have found more than $340,000 in actual and attempted losses associated with the fraudulent tax returns that were filed using the stolen identities of the victims found in Chery’s notebooks.
This case was investigated by the Orange County Sheriff’s Office, the Federal Bureau of Investigation, and the Internal Revenue Service Criminal Investigation Division. It is being prosecuted by Assistant United States Attorney Roger B. Handberg.
Jury Finds Davenport Man Guilty of Conspiracy to Distribute More Than 100 Grams of HeroinRead the Press Release
Orlando, Florida - United States Attorney Robert E. O'Neill announces that a federal jury found Henry Negron (59, Davenport) guilty of conspiracy to possess with intent to distribute over 100 grams of heroin and four counts of possession and distribution of heroin. He faces a maximum penalty of 40 years on the conspiracy count and up to 20 years on each of the possession and distribution counts. Negron’s sentencing hearing is scheduled for September 16, 2013, before Senior U.S. District Judge Gregory A. Presnell. Negron was indicted on February 27, 2013.
According to evidence presented at trial, from October 12, 2012, through January 28, 2013, Negron was part of a heroin distribution conspiracy based out of Osceola County. On four separate dates, Negron worked with a co-conspirator to sell more than 100 grams of heroin to an undercover agent who was posing as a drug dealer. During the conspiracy, Negron drove his co-conspirator to all four heroin deals. On one occasion, he stored more than four ounces of heroin in his vehicle. He also participated in a phone conversation with the undercover agent leading to one of the deals.
This case was investigated by the Drug Enforcement Administration and the Osceola County Investigative Bureau. It is being prosecuted by Assistant United States Attorneys Andrew C. Searle and E. Jackson Boggs.