Middle District of Florida
Press releases recorded for this federal judicial district.
Convicted Sex Offender Sentenced to over 24 Years in Federal Prison for Transporting Child Sex Abuse VideosRead the Press Release
Orlando, Florida – U.S. District Judge Wendy W. Berger today sentenced Michael David Harrison (52, Sparks, NV) to 24 years and 4 months in federal prison for transportation of child pornography.
Harrison was found guilty by a federal jury on September 15, 2020.
According to court documents and evidence presented at trial, Harrison transported numerous videos that depicted the sexual abuse of children from his home in Nevada, to Florida, and to the Bahamas, while on a cruise in November 2019. In 2009, Harrison was convicted in California of sexually abusing several children, including a 14-year-old.
“This repeat child predator continued his abhorrent behavior, even after being convicted of the same crime,” said HSI Tampa acting Deputy Special Agent in Charge David Pezzutti. “Thanks to the work of HSI special agents and the Brevard County Sheriff’s Office, he is being held accountable for his crimes.”
This case was investigated by Homeland Security Investigations and the Brevard County Sheriff’s Office. It was prosecuted by Assistant United States Attorney Emily C. L. Chang.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
Pharmaceutical Distributor Vistapharm, Inc. Agrees to Pay $325,000 to Resolve Alleged Violations of the Controlled Substances ActRead the Press Release
Tampa, Florida – United States Attorney Maria Chapa Lopez announces today that Vistapharm, Inc. has agreed to pay the United States $325,000 to resolve allegations that Vistapharm violated the Controlled Substances Act (CSA) by failing to maintain records required by the CSA. In addition to paying a civil penalty, Vistapharm has agreed to sign separately a Memorandum of Agreement with the Drug Enforcement Administration.
The United States alleges that Vistapharm failed to make available or to maintain in a readily retrievable format more than nine hundred copies of DEA 222 Forms, which are a required record for purchases and sales of Schedule II controlled substances. The United States also alleges that Vistapharm failed to maintain adequate records for six categories of controlled substances handled by its distribution facility in Largo, Florida, which led to overages or shortages in Vistapharm’s expected inventory.
“Scrupulous recordkeeping is essential to maintaining the CSA’s closed system of distribution and preventing dangerous drugs from being diverted and falling into the wrong hands,” said U.S. Attorney Chapa Lopez. “We expect all DEA registrants, regardless of the size of their organization, to be especially meticulous in their recordkeeping because the CSA and the welfare of the public demand it.”
“Pharmaceutical distributors are responsible for helping to ensure that controlled substances are not diverted.” said DEA Miami Field Division’s Special Agent in Charge Keith Weis. “In addition to monitoring employees and customers, distributors are required to inventory their controlled substances, to verify their receipt and distribution, and to maintain complete and accurate records. When one or more of these responsibilities break down, diversion can occur with the consequence of controlled substances potentially falling into the wrong hands.”
This settlement results from a coordinated effort by the U.S. Attorney’s Office for the Middle District of Florida and the Tampa District Office of the Drug Enforcement Administration’s Miami Field Division. Assistant United States Attorneys Lindsay Saxe Griffin and Christopher Emden pursued this civil settlement on behalf of the United States.
The claims resolved by the settlement are allegations only, and there has been no determination of liability.
Orlando Man Sentenced to Nine Years in Federal Prison and Lifetime Supervision for Receiving Images Depicting the Sexual Abuse of ChildrenRead the Press Release
Orlando, Florida – United States District Judge Roy B. Dalton, Jr. has sentenced Willie Humes (65, Orlando) to nine years in federal prison for receiving images over the internet depicting children being sexually abused. Humes was also ordered to serve a lifetime term of supervised release and to register as a sex offender upon his release from prison. Humes had pleaded guilty on August 17, 2020.
According to court documents, Humes was identified during an undercover investigation when FBI agents discovered that he was using peer-to-peer networks to download child sex abuse materials. During an interview with law enforcement, Humes admitted to viewing child exploitation materials for many years. Humes was arrested after a search warrant was executed at his residence and a subsequent search of his electronic devices revealed multiple images of child exploitation materials.
According to evidence and testimony presented at sentencing, Humes had sexually abused a family member when the individual was a child. After learning about the current investigation and Humes’s arrest, the victim provided a statement during the sentencing hearing describing Humes’s prior sexual abuse.
This case was investigated by the Federal Bureau of Investigation. It was prosecuted by Assistant United States Attorney John Gardella.
This is another case brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Pain Clinic Pays More Than $1.6 Million to Settle False Claims Act and Kickback AllegationsRead the Press Release
Fort Myers, FL – United States Attorney Maria Chapa Lopez announces that Collier Anesthesia Pain, LLC, a pain management clinic located in Fort Myers, Florida, and Tampa Pain Relief Center, Inc., have agreed to pay $1,665,000 to resolve allegations that they violated the False Claims Act and Anti-Kickback Statute. As part of the settlement, the United States contends that Collier Anesthesia and Tampa Pain engaged in an illegal kickback scheme by causing affiliated surgery centers to waive copayments for surgical facility fees in order to induce patients to receive injection procedures. Additionally, the United States contends that Collier Anesthesia and Tampa Pain knowingly submitted false claims by improperly billing for evaluation and management services and psychological testing services.
“Kickback arrangements have no place in federal healthcare programs,” said United States Attorney Chapa Lopez. “This settlement reflects our continuing efforts to target improper payment schemes and our intention to advocate for the proper care of government-funded healthcare program beneficiaries.”
“Providers that submit false claims squander Federal health care funds and compromise the integrity of the Federal health care program,” said Norbert E. Vint, Deputy Inspector General Performing the Duties of the Inspector General, OPM OIG. “This settlement demonstrates our commitment to ensuring that all taxpayer funds are spent appropriately.”
This settlement resulted from a coordinated effort by the U.S. Attorney’s Office for the Middle District of Florida, the Defense Criminal Investigative Service, the U.S. Department of Health and Human Services Office of Inspector General, and the U.S. Office of Personnel Management Office of the Inspector General. The investigation was led by Assistant U.S. Attorneys Randy Harwell and David P. Sullivan.
The claims resolved by the settlement are allegations only and there has been no determination of liability. The civil settlement resolves the following captioned case: United States, et al. v. Wayne Isaacson, M.D., et al., 2:17-cv-352-TPB-NPM.
Michigan Man Sentenced to over A Year in Federal Prison for Failing to Register as A Sex OffenderRead the Press Release
Orlando, Florida – U.S. District Judge Roy B. Dalton today sentenced Layce Owens (43, Michigan) to 12 months and a day in federal prison for failing to register as a sex offender in Florida. Owens had pleaded guilty on October 28, 2020.
According to court documents, Owens was convicted of sodomizing a 13-year-old child in Michigan in 2001. As a result, he was required to register as a sex offender when he moved to New Smyrna Beach, Florida in 2019, but he failed to do so.
This case was investigated by the United States Marshals Service, the Volusia County Sheriff’s Office, and the Allegan County Sheriff’s Office (Michigan). It was prosecuted by Assistant United States Attorney E. Jackson Boggs Jr.
This is another case brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Lakeland Man Indicted on Theft of Public Money and Aggravated Identity Theft ChargesRead the Press Release
Tampa, Florida – United States Attorney Maria Chapa Lopez announces the unsealing of an indictment charging Julio Gonzalez (45, Lakeland) with four counts of theft of public money and two counts of aggravated identity theft. If convicted, Gonzalez faces a maximum penalty of 10 years’ imprisonment for each of the theft of public money counts and a mandatory minimum penalty of 2 years in federal prison for the aggravated identity theft counts. The indictment also notifies Gonzalez that the United States is seeking a money judgment of $110,102.90, the proceeds of the alleged offense.
According to the indictment, Gonzalez used the identity of another individual to commit Social Security fraud and theft of government funds. The indictment also alleges that between approximately February 2014 and February 2018, Gonzalez stole Social Security benefits being paid out on behalf of four different individuals.
An indictment is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.
This case was investigated by Social Security Administration, Office of the Inspector General. It will be prosecuted by Special Assistant United States Attorney Suzanne Huyler and Assistant United States Attorney James Muench.
Federal Court Restrains Tampa Pharmacy and Two Individuals from Dispensing Opioids or Other Controlled SubstancesRead the Press Release
Tampa, FL – A federal court in Florida issued a temporary restraining order enjoining a Tampa pharmacy and two of its employees from dispensing opioids and other controlled substances, the Department of Justice announced today.
In a civil complaint unsealed in the Middle District of Florida, the United States alleges that WeCare Pharmacy, its pharmacist owner Qingping Zhang, and pharmacy technician Li Yang, and another related corporate entity, L&Y Holdings LLC, repeatedly dispensed opioids in violation of the Controlled Substances Act. The complaint alleges that over a period of several years, the defendants dispensed highly addictive and highly abused prescription opioids while ignoring “red flags” — that is, obvious indications of drug diversion and drug-seeking behavior. U.S. District Judge Mary Scriven granted the government’s request for a temporary restraining order, which was filed along with the complaint.
“Pharmacists have an important role in ensuring that prescriptions for controlled substances are legitimate,” said Acting Assistant Attorney General Brian Boynton of the Justice Department’s Civil Division. “The Department of Justice will work with its partners to enforce the law where evidence shows pharmacists abdicated their responsibilities when dispensing these powerful drugs.”
“Medical professionals, including pharmacists, must utilize the best methods of efficacy and accountability when dispensing and distributing dangerous medications,” said U.S. Attorney Maria Chapa Lopez of the Middle District of Florida. “Failure to comply with our federal laws and standards places the public at great risk and cannot be tolerated. We intend to work with our law enforcement partners to hold responsible parties accountable for their actions and keep our citizens safe.”
“Pharmacies and their pharmacists have the responsibility to flag suspicious prescriptions written by doctors for highly sought after opioid medications, in order to prevent them from being dispensed,” said DEA’s Miami Field Division Special Agent in Charge Keith Weis. “When they fail to carry out this important responsibility, the dispensing of opioid medication becomes a real threat to the health of legitimate patients, and also gives pill seekers a steady supply to either fuel their addiction or illegally distribute them in our communities.”
The complaint alleges that the defendants failed to take steps required to resolve red flags and ensure the legitimacy of prescriptions before filling them. According to court documents, the prescriptions dispensed by the defendants often involved highly abused opioid painkillers such as oxycodone and hydromorphone, almost always in the highest-strength formulations generally available. The complaint alleges that the defendants repeatedly filled prescriptions written by a particular doctor without examining the red flags those prescriptions presented. The complaint seeks civil penalties as well as a permanent injunction against the defendants.
The claims made in the complaint are merely allegations that the United States must prove if the case proceeds to trial.
The United States is represented by Assistant U.S. Attorney Sean P. Keefe, and Trial Attorney Scott Dahlquist of the Justice Department’s Consumer Protection Branch. The investigation is being conducted by the DEA.
Cocoa Man Sentenced to over 19 Years for Possessing A Firearm After Having Been Convicted of A FelonyRead the Press Release
Orlando, Florida – U.S. District Judge Carlos E. Mendoza has sentenced Raymond Lee Kelly (53, Cocoa) to 19 years and 7 months in federal prison for possessing a firearm as a convicted felon. Because of his extensive criminal record, which includes drug trafficking, resisting arrest with violence, battery on a law enforcement officer, and possession of a firearm in furtherance of a drug trafficking offense, Kelly qualified as an Armed Career Criminal and faced a 15-year minimum mandatory sentence. Kelly was also on supervised release from a federal prison sentence when he committed the recent offense. A federal jury had found Kelly guilty on September 1, 2020.
According to testimony and evidence presented at trial, Kelly, a convicted felon, fled from a traffic stop in Cocoa Beach—first in a car that he crashed shortly after fleeing—then on foot toward the beach. As he fled, he left behind cannabis, a digital scale, a Ruger semi-automatic handgun, and 16 rounds of ammunition. As a previously convicted felon, Kelly is prohibited from possessing a firearm or ammunition under federal law.
This case was investigated by the Federal Bureau of Investigation and the Cocoa Beach Police Department, with assistance from the Bureau of Alcohol, Tobacco, Firearms and Explosives. It was prosecuted by Assistant United States Attorney E. Jackson Boggs Jr.
This is another case prosecuted as part of the Department of Justice’s “Project Safe Neighborhoods” Program (PSN), which is a nationwide, crime reduction strategy aimed at decreasing violent crime in communities. It involves a comprehensive approach to public safety — one that includes investigating and prosecuting crimes, along with prevention and reentry efforts. In the Middle District of Florida, U.S. Attorney Maria Chapa Lopez coordinates PSN efforts in cooperation with various federal, state, and local law enforcement officials.
Individual Sentenced for Postage Stamp SchemeRead the Press Release
Tampa, Florida – U.S. District Judge Thomas P. Barber has sentenced Edward Morgan (49), a/k/a Edward Croce, a/k/a Edward Carrera, to six years and six months in federal prison for theft of government funds. As part of his sentence, the court also entered a money judgment of $405,935.76, the proceeds of the theft.
Morgan had pleaded guilty on September 27, 2019.
According to court documents, beginning in November 2016 and continuing through the date of his arrest in May 2019, Morgan used fictitious checks at hundreds of United States Post Office locations in Florida and other states—Alabama, Arizona, California, Connecticut, Georgia, Illinois, Kentucky, Louisiana, Maryland, Massachusetts, Mississippi, Nevada, New Jersey, New York, North Carolina, Ohio, Pennsylvania, Rhode Island, South Carolina, Tennessee, Texas, and Virginia—to purchase stamps. Morgan then converted the stamps to cash by reselling them to unsuspecting third parties, usually businesses or stamp traders. To further the scheme, Morgan often posed as a business professional during his visits to the post offices, wearing business attire and referencing his “job.” During the course of the scheme, Morgan used the personal identifying information of a real person, P.T. (now deceased), as well as the fictitious names Edward Carrera and Edward Croce. He stole more than $400,000 in stamps and other services from the United States Post Office.
This case was investigated by United States Postal Inspection Service. It was prosecuted by Assistant United States Attorneys Rachel K. Jones and Suzanne Nebesky.
United States Files False Claims Act Complaint Alleging Compounding Pharmacy Kickback SchemeRead the Press Release
United States Attorney Maria Chapa Lopez announces that the government has filed a civil lawsuit against Mihir Taneja alleging that Taneja conspired with Larry Smith, the owner of Z Stat Medical, LLC d/b/a Oldsmar Pharmacy, to enter into a kickback arrangement with a marketing company (Centurion Compounding, Inc.), which led to millions of dollars in TRICARE reimbursement for compounding prescriptions. Specifically, the lawsuit alleges that Taneja and Smith negotiated an arrangement with Centurion in which Centurion was paid a percentage of profits from TRICARE claims that Centurion referred to Oldsmar Pharmacy. As a result, from November 2014 to February 2015, Oldsmar Pharmacy submitted thousands of claims for reimbursement to TRICARE for compounded drugs that were tainted by kickbacks and, therefore, were false.
The actions of Taneja and his co-conspirators contributed to a larger fraud trend against TRICARE involving compounded prescriptions. TRICARE’s costs for compounded drugs skyrocketed during this period, rising from $5 million in 2004 to $514 million in 2014, before reaching a high water mark of $1.75 billion in fiscal year 2015. To date, the U.S. Attorney’s Office for the Middle District of Florida has diligently pursued fraud associated with compounding pharmacy claims, resulting in over $50 million in recoveries.
“Kickback arrangements skew the judgment of medical providers and threaten the integrity and viability of our healthcare programs,” said U.S. Attorney Chapa Lopez. “The TRICARE program has been particularly vulnerable to these schemes in recent years. We will use every remedy at our disposal, including the civil False Claims Act, to eradicate this kind of fraud from our district.”
The lawsuit is filed under the False Claims Act, which makes a person liable to the United States if he presents, or causes another to present, false or fraudulent claims for payments. The Anti-Kickback Statute prohibits anyone from offering or paying remuneration in order to induce or reward referrals for services paid for under federal healthcare systems.
The case is captioned United States v. Mihir Taneja, Case No. 8:21-cv-102-T-24AEP. The claims asserted by the government are allegations only, and there has been no determination of liability. The United States previously filed suit against Smith and Oldsmar Pharmacy arising out of the same conduct. That case is captioned U.S. ex rel. Silva, et al. v. Z Stat Medical, LLC, et al., No. 8:15-cv-00444-T-33TGW (M.D. Fla.).
The government’s complaint in this action illustrates the government’s emphasis on combating health care fraud. One of the most powerful tools in this effort is the False Claims Act. Tips from all sources about potential fraud, waste, abuse, and mismanagement can be reported to the Department of Health and Human Services, at 800-HHS-TIPS (800-447-8477).
The case is being handled by Assistant U.S. Attorney Michael R. Kenneth of the U.S. Attorney’s Office for the Middle District of Florida, with assistance of the Department of Defense Office of Inspector General.
Tampa Man Pleads Guilty to Manufacturing Counterfeit Federal Reserve Notes While on Supervised ReleaseRead the Press Release
Jacksonville, Florida – Darius Jondi Edwards (42, Tampa) has pleaded guilty to manufacturing counterfeit Federal Reserve notes. He faces up to 20 years in federal prison and payment of restitution to the victims he defrauded. Edwards is currently on federal supervised release and faces an additional 2 years in federal prison for violating the terms of his supervision. On September 23, 2020, Edwards appeared in federal court for violating his federal supervised release, and was detained. A sentencing date has not yet been set.
According to court documents, after pleading guilty in federal court in Jacksonville, in 2015, for manufacturing counterfeit Federal Reserve notes, Edwards was sentenced to 33 months in federal prison, followed by 3 years of supervised release. After printing the counterfeit currency, Edwards and others passed the currency throughout the Jacksonville area. After his release from prison, and while on federal supervised release, Edwards was arrested by officers from the Pinellas Park Police Department while in possession of counterfeit currency, partially completed counterfeit currency, and computer media used to manufacture counterfeit Federal Reserve notes. Further investigation by law enforcement determined that Edwards had purchased the computer media used to manufacture the counterfeit notes in Duval County. He then transported the computer media to Pinellas County and began manufacturing counterfeit Federal Reserve notes.
This case was investigated by the Pinellas Park Police Department and the United States Secret Service (Jacksonville Field Office). It is being prosecuted by Assistant United States Attorney Kevin C. Frein.
Orlando Man Sentenced to 18 Years for Distributing, Receiving, and Possessing Images and Videos Depicting the Sexual Abuse of ChildrenRead the Press Release
Orlando, Florida – United States District Judge Carlos E. Mendoza has sentenced Ryan Rusty Rodriguez (45, Orlando) to 18 years in federal prison for distributing, receiving, and possessing images and videos depicting children being sexually abused. Rodriguez was also ordered to serve a 10-year term of supervised release upon the completion of his prison sentence and to register as a sex offender.
A federal jury had found Rodriguez guilty on October 29, 2020.
According to testimony and evidence presented at trial, during an undercover online investigation, FBI agents discovered that Rodriguez was using peer-to-peer networks to download and distribute child sex abuse materials over the internet. When agents executed a search warrant at Rodriguez’s home, he attempted to hide a hard drive as the agents were knocking on his door. Rodriguez also used his training in computers and specialized software to attempt to erase the evidence of his offenses. A subsequent forensic examination of Rodriguez’s computer media revealed evidence of thousands of images and videos depicting the sexual abuse of children.
This case was investigated by the Federal Bureau of Investigation. It was prosecuted by Assistant United States Attorneys John Gardella, Shawn Napier, and Ilianys Rivera Miranda.
This is another case brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Distributor of Fake Pills Containing Fentanyl Sentenced to More Than Three Years in Federal PrisonRead the Press Release
Orlando, Florida – U.S. District Judge Carlos Mendoza today sentenced Antonio Walthour (28, Clarksville, TN) to three years and six months in federal prison for conspiracy to distribute controlled substances. Walthour had pleaded guilty on January 16, 2020.
According to court documents, this investigation began in February 2016 in response to a fatal drug overdose occurring at the home of Eric and Holly Falkowski, who were running a counterfeit prescription pill operation out of their home in Kissimmee. The Falkowskis were using fentanyl to make pills and pressing them to look like legitimate pharmaceutical controlled substances with markings such as “Xanax,” “Lortab,” “Percocet,” or “Watson.” In the summer of 2015, Walthour agreed to receive these pills and resell them for a profit. Walthour received and sold thousands of the pills in Tennessee before being arrested for this activity in August 2015. In 2017, Eric and Holly Falkowski were sentenced for their roles in the conspiracy to 188 months and 36 months, respectively.
This case was investigated by the Drug Enforcement Administration. It was prosecuted by Assistant United States Attorney Dana E. Hill.
Department of Justice Launches Global Action Against NetWalker RansomwareRead the Press Release
The Department of Justice today announced a coordinated international law enforcement action to disrupt a sophisticated form of ransomware known as NetWalker.
NetWalker ransomware has impacted numerous victims, including companies, municipalities, hospitals, law enforcement, emergency services, school districts, colleges, and universities. Attacks have specifically targeted the healthcare sector during the COVID-19 pandemic, taking advantage of the global crisis to extort victims.
“We are striking back against the growing threat of ransomware by not only bringing criminal charges against the responsible actors, but also disrupting criminal online infrastructure and, wherever possible, recovering ransom payments extorted from victims,” said Acting Assistant Attorney General Nicholas L. McQuaid of the Justice Department’s Criminal Division. “Ransomware victims should know that coming forward to law enforcement as soon as possible after an attack can lead to significant results like those achieved in today’s multi-faceted operation.”
The NetWalker action includes charges against a Canadian national in relation to NetWalker ransomware attacks in which tens of millions of dollars were allegedly obtained, the seizure of approximately $454,530.19 in cryptocurrency from ransom payments, and the disablement of a dark web hidden resource used to communicate with NetWalker ransomware victims.
“This action reflects the resolve of the U.S. Attorney’s Office for the Middle District of Florida to target and disrupt sophisticated, international cybercrime schemes,” said U.S. Attorney Maria Chapa Lopez for the Middle District of Florida. “While these individuals believe they operate anonymously in the digital space, we have the skill and tenacity to identify and prosecute these actors to the full extent of the law and seize their criminal proceeds.”
According to court documents, NetWalker operates as a so-called ransomware-as-a-service model, featuring “developers” and “affiliates.” Developers are responsible for creating and updating the ransomware and making it available to affiliates. Affiliates are responsible for identifying and attacking high-value victims with the ransomware, according to the affidavit. After a victim pays, developers and affiliates split the ransom.
“This case illustrates the FBI’s capabilities and global partnerships in tracking ransomware attackers, unmasking them, and holding them accountable for their alleged criminal actions,” said Special Agent in Charge Michael F. McPherson of the FBI’s Tampa Field Office. “If you are a victim of ransomware, contact your local FBI field office or submit a tip to tips.fbi.gov. You can also file a complaint with the FBI’s Internet Crime Complaint Center at www.ic3.gov.”
Seizure page of dark web hidden resource used to communicate with NetWalker ransomware victims.According to the affidavit, once a victim’s computer network is compromised and data is encrypted, actors that deploy NetWalker deliver a file, or ransom note, to the victim. Using Tor, a computer network designed to facilitate anonymous communication over the internet, the victim is then provided with the amount of ransom demanded and instructions for payment.
Actors that deploy NetWalker commonly gain unauthorized access to a victim’s computer network days or weeks prior to the delivery of the ransom note. During this time, they surreptitiously elevate their privileges within the network while spreading the ransomware from workstation to workstation. They then send the ransom note only once they are satisfied that they have sufficiently infiltrated the victim’s network to extort payment, according to the affidavit.
According to an indictment unsealed today, Sebastien Vachon-Desjardins of Gatineau, a Canadian national, was charged in the Middle District of Florida. Vachon-Desjardins is alleged to have obtained at least over $27.6 million as a result of the offenses charged in the indictment.
The Justice Department further announced that on Jan. 10, law enforcement seized approximately $454,530.19 in cryptocurrency, which was comprised of ransom payments made by victims of three separate NetWalker ransomware attacks.
This week, authorities in Bulgaria also seized a dark web hidden resource used by NetWalker ransomware affiliates to provide payment instructions and communicate with victims. Visitors to the resource will now find a seizure banner that notifies them that it has been seized by law enforcement authorities.
The investigation was led by the FBI’s Tampa field office.
Trial Attorneys S. Riane Harper and Brian Mund of the Criminal Division’s Computer Crime and Intellectual Property Section and Assistant U.S. Attorneys Carlton C. Gammons and Suzanne Nebesky of the U.S. Attorney’s Office for the Middle District of Florida are prosecuting the case against Vachon-Desjardins.
Substantial assistance was provided by the Department of Justice’s Office of International Affairs. Additionally, the Bulgarian National Investigation Service and General Directorate Combating Organized Crime provided substantial assistance in the seizure of the dark web hidden resource.
An indictment is merely an allegation. A defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Department of Justice Launches Global Action Against NetWalker RansomwareRead the Press Release
Tampa, FL – The Department of Justice today announced a coordinated international law enforcement action to disrupt a sophisticated form of ransomware known as NetWalker.
NetWalker ransomware has impacted numerous victims, including companies, municipalities, hospitals, law enforcement, emergency services, school districts, colleges, and universities. Attacks have specifically targeted the healthcare sector during the COVID-19 pandemic, taking advantage of the global crisis to extort victims.
“We are striking back against the growing threat of ransomware by not only bringing criminal charges against the responsible actors, but also disrupting criminal online infrastructure and, wherever possible, recovering ransom payments extorted from victims,” said Acting Assistant Attorney General Nicholas L. McQuaid of the Justice Department’s Criminal Division. “Ransomware victims should know that coming forward to law enforcement as soon as possible after an attack can lead to significant results like those achieved in today’s multi-faceted operation.”
The NetWalker action includes charges against a Canadian national in relation to NetWalker ransomware attacks in which tens of millions of dollars were allegedly obtained, the seizure of approximately $454,530.19 in cryptocurrency from ransom payments, and the disablement of a dark web hidden resource used to communicate with NetWalker ransomware victims.
“This action reflects the resolve of the U.S. Attorney’s Office for the Middle District of Florida to target and disrupt sophisticated, international cybercrime schemes,” said U.S. Attorney Maria Chapa Lopez for the Middle District of Florida. “While these individuals believe they operate anonymously in the digital space, we have the skill and tenacity to identify and prosecute these actors to the full extent of the law and seize their criminal proceeds.”
According to court documents, NetWalker operates as a so-called ransomware-as-a-service model, featuring “developers” and “affiliates.” Developers are responsible for creating and updating the ransomware and making it available to affiliates. Affiliates are responsible for identifying and attacking high-value victims with the ransomware, according to the affidavit. After a victim pays, developers and affiliates split the ransom.
“This case illustrates the FBI’s capabilities and global partnerships in tracking ransomware attackers, unmasking them, and holding them accountable for their alleged criminal actions,” said Special Agent in Charge Michael F. McPherson of the FBI’s Tampa Field Office. “If you are a victim of ransomware, contact your local FBI field office or submit a tip to tips.fbi.gov. You can also file a complaint with the FBI’s Internet Crime Complaint Center at www.ic3.gov.”
According to the affidavit, once a victim’s computer network is compromised and data is encrypted, actors that deploy NetWalker deliver a file, or ransom note, to the victim. Using Tor, a computer network designed to facilitate anonymous communication over the internet, the victim is then provided with the amount of ransom demanded and instructions for payment.
Actors that deploy NetWalker commonly gain unauthorized access to a victim’s computer network days or weeks prior to the delivery of the ransom note. During this time, they surreptitiously elevate their privileges within the network while spreading the ransomware from workstation to workstation. They then send the ransom note only once they are satisfied that they have sufficiently infiltrated the victim’s network to extort payment, according to the affidavit.
According to an indictment unsealed today, Sebastien Vachon-Desjardins of Gatineau, a Canadian national, was charged in the Middle District of Florida. Vachon-Desjardins is alleged to have obtained at least over $27.6 million as a result of the offenses charged in the indictment.
The Justice Department further announced that on Jan. 10, law enforcement seized approximately $454,530.19 in cryptocurrency, which was comprised of ransom payments made by victims of three separate NetWalker ransomware attacks.
This week, authorities in Bulgaria also seized a dark web hidden resource used by NetWalker ransomware affiliates to provide payment instructions and communicate with victims. Visitors to the resource will now find a seizure banner that notifies them that it has been seized by law enforcement authorities.
The investigation was led by the FBI’s Tampa field office.
Assistant U.S. Attorneys Carlton C. Gammons and Suzanne Nebesky of the U.S. Attorney’s Office for the Middle District of Florida are prosecuting the case against Vachon-Desjardins, along with Trial Attorneys S. Riane Harper and Brian Mund of the Criminal Division’s Computer Crime and Intellectual Property Section.
Substantial assistance was provided by the Department of Justice’s Office of International Affairs. Additionally, the Bulgarian National Investigation Service and General Directorate Combating Organized Crime provided substantial assistance in the seizure of the dark web hidden resource.
An indictment is merely an allegation. A defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Dade City Man Admits Stealing and Laundering COVID Relief FundsRead the Press Release
Tampa, Florida – Keith Nicoletta (48, Dade City) has pleaded guilty to a conspiracy to launder stolen COVID relief funds. He faces a maximum penalty of 20 years in federal prison. Nicoletta also agreed to forfeit more than $1.9 million, a 2020 Mercedes, a 2020 Ford F-250, real property located in Pasco County, and other funds and assets that are traceable proceeds of the offense.
According to the plea agreement, in May 2020, Nicoletta and his conspirators stole more than $1.9 million in emergency loan funds from the Paycheck Protection Program (“PPP”), which were guaranteed by the Small Business Administration. The fraudulent PPP loan application claimed that Nicoletta’s local business had 69 employees with a purported monthly payroll exceeding $760,000—or more than $9 million annually. In fact, the business had no employees and its address was actually Nicoletta’s home.
Once the emergency loan was secured, the PPP funds were not used for qualified expenses. Instead, the conspirators immediately began laundering the money through several different financial institutions. Nicoletta also withdrew more than $100,000 in cash. In October 2020, more than $40,000 in cash was recovered during a search of Nicoletta’s home. After laundering the PPP funds, Nicoletta spent lavishly, including the purchase of a 2020 Mercedes for more than $100,000, a 2020 special edition Ford F-250 pickup valued at more than $66,000, jewelry, and the installation of a pool at his home costing approximately $63,000. None of the money, however, was used for payroll, as Congress had intended.
The Coronavirus Aid, Relief, and Economic Security (“CARES”) Act is a federal law enacted March 2020. It is designed to provide emergency financial assistance to millions of Americans who are suffering the economic effects resulting from the COVID-19 pandemic. One source of relief provided by the CARES Act is the authorization of up to $349 billion in forgivable loans to small businesses for job retention and certain other expenses through the PPP. In April 2020, Congress authorized over $300 billion in additional PPP funding. The PPP allows qualifying small businesses and other organizations to receive loans with a maturity of two years and an interest rate of one percent. Businesses must use PPP loan proceeds for payroll costs, interest on mortgages, rent, and utilities. The PPP allows the interest and principal to be forgiven if the business spends the proceeds on these expenses within a set time period and uses at least a certain percentage of the loan toward payroll expenses.
This case was investigated by the Federal Bureau of Investigation and the Internal Revenue Service – Criminal Investigation, Tampa Field Office. It is being prosecuted by Assistant United States Attorneys Kristen A. Fiore and Suzanne Nebesky.
Convicted Felon Charged with Possessing A Sawed-Off ShotgunRead the Press Release
Ocala, FL – United States Attorney Maria Chapa Lopez announces the return of a two-count indictment charging Brandon Barnes (29, Lecanto) with possessing a firearm and ammunition as a convicted felon and possessing an unregistered National Firearms Act weapon (sawed-off shotgun). If convicted, Barnes faces a maximum penalty of 10 years in federal prison on each count. The indictment also notifies Barnes that the United States intends to forfeit the firearm and ammunition.
According to court documents, on June 10, 2020, a state search warrant was executed at a Citrus County residence known for illegal drug sales. Barnes was found at the residence with a loaded, sawed-off shotgun on his bed. The shotgun had an overall length of less than 26 inches, making it subject to registration in the National Firearms Registration and Transfer Record. The gun had not been registered.
Barnes is a five-time convicted felon for fraud and illegal drug possession. As a convicted felon, he is prohibited from possessing firearms or ammunition under federal law.
An indictment is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.
This case was investigated by the Citrus County Sheriff’s Office and the Bureau of Alcohol, Tobacco, Firearms and Explosives. It will be prosecuted by Assistant United States Attorney Tyrie Boyer.
This case is part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws. Initiated by the Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence and enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes. For more information on Project Guardian visit www.justice.gov/projectguardian.
Operation Paydirt Results in Federal Charges for Six Individuals for Drug and Gun Offenses in Daytona BeachRead the Press Release
Orlando, Florida – United States Attorney Maria Chapa Lopez, along with federal and state law enforcement partners, announces that six individuals have been charged by federal criminal complaints, as part of a joint investigation – “Operation Paydirt” – targeting firearms and drug trafficking in in Daytona Beach, Florida. (See chart for details).
A complaint is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.
This investigation is the result of a partnership between the United States Attorney’s Office for the Middle District of Florida, the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the Daytona Beach Police Department. The cases will be prosecuted by Assistant United States Attorneys E. Jackson Boggs, Jr., Amanda Daniels, Daniel Jancha, and Terry Livanos.
These cases prosecuted will be prosecuted as part of the Department of Justice’s “Project Safe Neighborhoods” Program (PSN), which is a nationwide, crime reduction strategy aimed at decreasing violent crime in communities. It involves a comprehensive approach to public safety — one that includes investigating and prosecuting crimes, along with prevention and reentry efforts. In the Middle District of Florida, U.S. Attorney Maria Chapa Lopez coordinates PSN efforts in cooperation with various federal, state, and local law enforcement officials.
SUMMARY CHART
Name
(Age, Residence)
Charges
Maximum Penalties
Paris Aviles
(28, Daytona Beach)
Possession of a firearm in furtherance of a drug trafficking crime
Mandatory minimum of 5 years, up to life, in federal prison
Elton Jones
(48, Daytona Beach)
Possession of a firearm in furtherance of a drug trafficking crime
Mandatory minimum of 5 years, up to life, in federal prison
Lascelles Francis
(29, Daytona Beach)
Possession of a firearm in furtherance of a drug trafficking crime
Mandatory minimum of 5 years, up to life, in federal prison
Diven McClure
(56, Daytona Beach)
Possession of a firearm in furtherance of a drug trafficking crime
Mandatory minimum of 5 years, up to life, in federal prison
Marcus Rubin
(40, Daytona Beach)
Conspiracy to distribute a controlled substance
Distribution of a controlled substance
20 years in federal prison
20 years in federal prison
Leven Reynaldo Render, Jr.
(26, Daytona Beach)
Possession of a firearm in furtherance of a drug trafficking crime
Mandatory minimum of 5 years, up to life, in federal prison
Multi-Kilo Fentanyl Dealer Sentenced to More Than 12 Years in Federal PrisonRead the Press Release
Tampa, Florida – U.S. District Judge William F. Jung has sentenced William Johnson (31, Holiday) to 12 years and 7 months in federal prison for participating in a conspiracy to possess with the intent to distribute 400 grams or more of a mixture or substance containing a detectable amount of fentanyl and for possessing 400 grams or more of fentanyl with the intent to distribute it.
Johnson had pleaded guilty on November 4, 2020.
According to court documents, Johnson traveled with a co-conspirator to deliver approximately 5 kilograms of fentanyl. Johnson, driven by his companion, fled the meet location when law enforcement moved in to arrest the two. Johnson led officers on a chase for more than 20 miles, sometimes traveling in excess of 100 miles per hour. During the chase, Johnson attempted to dump the fentanyl out of the car. He also dumped a gallon of chainsaw bar oil out of the window to interfere with the police pursuit. Law enforcement ultimately disabled Johnson’s vehicle with spike strips, but not before Johnson’s vehicle had struck a bystander’s vehicle.
This case was investigated by the Drug Enforcement Administration, the Florida Highway Patrol, and the Pasco Sheriff’s Office. It was prosecuted by Assistant United States Attorney Callan Albritton.
This investigation is the result of the Organized Crime Drug Enforcement Task Forces (OCDETF) program. The principal mission of the OCDETF program is to identify, disrupt, and dismantle the most serious drug trafficking and money laundering organizations and those primarily responsible for the nation’s drug supply.
Estate of Deceased Urologist Agrees to Pay More Than $1.7 Million to Settle False Claims Act LiabilityRead the Press Release
Orlando, FL – United States Attorney Maria Chapa Lopez announces today that the Estate of Dr. Patrick T. Hunter has paid the United States $1.75 million to resolve allegations that Dr. Hunter violated the False Claims Act by submitting claims for kidney stone procedures that were not medically justified and for engaging in an illegal kickback arrangement. Dr. Hunter passed away in March 2019.
The settlement relates to Dr. Hunter’s submission of claims for extracorporeal shock wave lithotripsy, a procedure used to break up kidney stones. According to the settlement agreement, between January 2010 and April of 2016, Dr. Hunter performed lithotripsy procedures on Medicare and TRICARE patients that were medically unnecessary because the procedures were not medically indicated or because there were no kidney stones in those patients.
The settlement agreement also resolves allegations that Dr. Hunter engaged in an illegal kickback arrangement with the Orlando Center for Outpatient Surgery, LP, where he performed the lithotripsy procedures. Dr. Hunter and the Orlando Center allegedly entered into an illegal kickback arrangement where Dr. Hunter agreed to perform his lithotripsy procedures at the Orlando Center in exchange for payments from the Orlando Center, in violation of the Anti-Kickback Statute. These procedures were then billed to and paid by Medicare and TRICARE in violation of the False Claims Act.
“Physicians that perform illegal and baseless procedures violate the sanctity of the doctor-patient relationship,” said U.S. Attorney Chapa Lopez. “The U.S. Attorney’s Office remains committed to pursuing providers who perform unnecessary procedures and engage in illegal kickback agreements that violate the law.”
“Health care fraud impacts both Medicare beneficiaries and taxpayers alike. Fraud schemes are especially insidious when unscrupulous medical professionals try to enrich themselves by performing unnecessary procedures and engaging in kickback arrangements with others in the health care community,” said Special Agent in Charge Omar Pérez Aybar of the U.S. Department of Health and Human Services Office of Inspector General (HHS-OIG). “With our law enforcement partners, our agency will continue to investigate individuals who commit health care fraud.”
The settlement resulted from a lawsuit originally filed in the United States District Court for the Middle District of Florida by Scott Thompson. Mr. Thompson sued under the qui tam, or whistleblower, provisions of the False Claims Act permitting a private citizen to sue on behalf of the United States for false claims and to share in the recovery. The Act also allows the United States to intervene and prosecute the action. Mr. Thompson will receive $385,000 of the proceeds from the settlement with Dr. Hunter’s Estate.
The United States’ intervention in this matter illustrates its emphasis on combating health care fraud. One of the most powerful tools in this effort is the False Claims Act. Tips and complaints from all sources about potential fraud, waste, abuse, and mismanagement, can be reported to the Department of Health and Human Services, at 800-HHS-TIPS (800-447-8477).
This settlement resulted from a coordinated effort by the U.S. Attorney’s Office for the Middle District of Florida, the HHS Office of Inspector General, and the Defense Health Agency. Assistant United States Attorneys Jeremy R. Bloor and Sean Keefe led the investigation.
The case is captioned United States ex rel. Thompson v. Surgical Care Affiliates et al., Case No. 6:16-cv-2189-Orl-22KRS. The settlement resolves the United States’ claims against Dr. Hunter’s Estate in that case. The case remains pending against the other defendants. The claims resolved by the settlement are allegations only, and there has been no determination of liability.
Convicted Felon Sentenced to Two Years in Prison for Possessing A FirearmRead the Press Release
Tampa, Florida – U.S. District Judge Charlene Honeywell has sentenced Tavares Speaight (25, Tampa) to two years in federal prison for possessing a firearm as a convicted felon. The court also ordered Speaight to forfeit the firearm and ammunition used in the offense.
Speaight had pleaded guilty on October 21, 2020.
According to court documents, law enforcement officers went to an apartment complex in Tampa looking for Speaight, who had outstanding arrest warrants. Speaight fled when he saw the officers and, after a brief foot chase, was arrested. Subsequent to the arrest, officers located a handgun on Speaight’s person. Speaight had previously been convicted of robbery, a felony, and 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 Tampa Police Department. It was prosecuted by Assistant United States Attorney Callan Albritton.
This case is part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws. Initiated by the Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence and enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes. For more information on Project Guardian visit www.justice.gov/projectguardian.
Florida Man Known as “the Monkey Whisperer” Indicted for Trafficking in Protected PrimatesRead the Press Release
Tampa, Florida – United States Attorney Maria Chapa Lopez announces the unsealing of an indictment charging Jimmy Wayne Hammonds, also known as “the Monkey Whisperer” (57, Parrish), with conspiracy, trafficking, and submitting a false record in violation of the Lacey Act, a federal law involving the illegal trade in wildlife. Hammonds was also charged with violations of the Endangered Species Act and witness tampering. If convicted, Hammonds faces a maximum penalty of 20 years’ imprisonment on the witness tampering count, up to 5 years in federal prison on each of the conspiracy and Lacey Act counts, and up to 1 year on each Endangered Species count.
According to the indictment, Hammonds owned and operated The Monkey Whisperer, LLC - a business engaged in the breeding and selling of wildlife. From September 2017 until February 2018, Hammonds conspired to sell a capuchin monkey to a buyer in California, even though that buyer could not lawfully possess a capuchin monkey in California. Hammonds facilitated the transportation of the capuchin monkey from Florida to California through individuals who were not permitted to possess that species of monkey in either state. Law enforcement later seized that monkey from the residence of the California buyer.
In addition, according to the indictment, Hammonds illegally sold cotton-top tamarins, which are primates listed as an endangered species, to buyers in Alabama, South Carolina, and Wisconsin. Hammonds allegedly concealed his unlawful wildlife trafficking by submitting false records to a law enforcement officer and attempted to persuade a witness to lie to a law enforcement officer.
An indictment is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.
This case was investigated by the U.S. Fish and Wildlife Service, the Florida Fish and Wildlife Conservation Commission, and the California Department of Fish and Wildlife. It will be prosecuted by Assistant United States Attorney Colin McDonell.
Dealer in Fentanyl and Fentanyl Analogues Sentenced to Ten Years’ ImprisonmentRead the Press Release
Tampa, Florida – U.S. District Judge William F. Jung has sentenced Kwame’ Leon Weaver (31, Clearwater) to 10 years in federal prison for possessing a mixture of fentanyl, acetylfentanyl, and heroin with the intent to distribute it.
Weaver had pleaded guilty on November 20, 2019.
According to court documents, Weaver sold fentanyl and acetylfentanyl to an undercover law enforcement officer on several occasions. When officers executed a search warrant at Weaver’s residence, they found him outside, whereupon he dropped several grams of an acetytlfenatnyl/fentanyl/heroin mixture. The officers also recovered a .38 caliber pistol from inside Weaver’s home. Weaver has prior convictions for carjacking and selling hydromorphone and therefore is prohibited from possessing firearms under federal law.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives. It was prosecuted by Assistant United States Attorney Callan L. Albritton.
Middle District of Florida U.S. Attorney’s Office Collects More Than $276 Million in Civil and Criminal Actions in Fiscal Year 2020Read the Press Release
Tampa – United States Attorney Maria Chapa Lopez announced today that the Middle District of Florida (MDFL) collected $276,324,126.35 in criminal and civil actions in the fiscal year ending September 30, 2020 (FY 2020). Of this amount, $99,349,069.35 represents collections from locally handled criminal and civil actions, including $65,223,665.55 in civil actions and $34,125,403.80 in criminal actions.
The MDFL’s Civil Division, led by Civil Chief Randy Harwell, recovered a total of $222,965,488 on behalf of federal agencies and programs in affirmative civil enforcement cases during the last fiscal year. This amount has two components. In addition to its efforts in local civil cases noted above, the district’s Civil Division also joins forces with other U.S. Attorney’s Offices and with the Department of Justice Civil Frauds Section to address fraud schemes and illegal practices extending beyond district boundaries. The MDFL’s Civil Division recovered an additional $157,741,823 in these jointly handled cases.
Additionally, the district’s Asset Recovery and Victims’ Rights Division, led by Chief Anita Cream, recovered $19,233,234 in asset forfeiture actions last fiscal year. Forfeited assets deposited into the Department of Justice Assets Forfeiture Fund are used to restore funds to crime victims and for a variety of law enforcement purposes. For instance, in FY 2019, nearly $21 million forfeited in the MDFL in this and prior years was returned to victims of the criminal offenses upon which the forfeitures were based, and more than $4.5 million was shared with federal, state, and local law enforcement agencies.
“Through our collaborative work with our federal, state, and local law enforcement partners, our collection efforts have resulted in the recovery of millions of dollars from convicted criminals and others who have benefitted from fraud and other illegal activities,” said U.S. Attorney Chapa Lopez. “These collected funds will assist victims in their recovery and assist law enforcement as they continue to hold criminals accountable for their crimes.”
U.S. Attorneys’ Offices, along with the department’s litigating divisions, are responsible for enforcing and collecting civil and criminal debts owed to the U.S. and criminal debts owed to federal crime victims. The law requires defendants to pay restitution to victims of certain federal crimes who have suffered a physical injury or financial loss. While restitution is paid to the victim, criminal fines and felony assessments are paid to the department’s Crime Victims’ Fund, which distributes the funds to state victim compensation and victim assistance programs.
The largest civil collections were from affirmative civil enforcement cases, in which the United States recovered government money lost to fraud or other misconduct or collected fines imposed on individuals and/or corporations for violations of federal health, safety, civil rights, or environmental laws. In addition, civil debts were collected on behalf of several federal agencies, including the U.S. Department of Housing and Urban Development, the U.S. Department of Health and Human Services, the Defense Health Agency, the Internal Revenue Service, the Small Business Administration, and the Department of Education. See below for MDFL significant civil case highlights.
CIVIL HEALTHCARE ENFORCEMENT CASE SUMMARIES
United States ex rel. Gardner v. Universal Health Services, Inc., et al., case no. 3:12-civ-608 (M.D. Fla.)
A whistleblower filed a complaint under the qui tam provisions of the False Claims Act, alleging that a nationwide provider of behavioral health services, Universal Health Services, Inc., had defrauded federal health programs in a variety of ways, notably by submitting bills for behavioral health services provided to ineligible patients, failing to discharge patients when they no longer needed inpatient or residential treatment, and improper use of physical and chemical restraints and seclusion. While the investigation was underway, seventeen other qui tam cases were filed against the defendants that made overlapping allegations. These cases were transferred to the Eastern District of Pennsylvania where Universal Health maintains its corporate headquarters, and, on July 20, 2020, the cases were globally settled for $122,000,000. Of this amount, $88,124,761 was paid to the United States, with the balance paid to participating state Medicaid plans. In terms of total settlement amount, this is the fifth largest civil health care settlement in the history of the Middle District of Florida. Press release: www.justice.gov/opa/pr/universal-health-services-inc-and-related-entities-pay-122-million-settle-false-claims-act
United States ex rel. Cho v. Surgery Partners, Inc., et al., case no. 8:17-civ-918 (M.D. Fla.)
Within a span of only a few days, two separate whistleblowers filed two qui tam complaints (one in the Eastern District of Pennsylvania and one in the Middle District of Florida) that alleged a large Tampa pain management practice, Tampa Pain Relief Centers, conspired with a local laboratory, Logan Laboratories, and their corporate owner, Surgery Partners, Inc., to defraud federal health programs through claims for medically unnecessary urine drug testing services. The United States intervened in order to settle these claims, and recovered $41,000,000, of which $40,741,823 was paid to the federal government. The balance was paid to state Medicaid plans. Press release: www.justice.gov/opa/pr/reference-laboratory-pain-clinic-and-two-individuals-agree-pay-41-million-resolve-allegations
Opthalmic Consultants, P.A.
A civil investigation was opened into the practices of this Sarasota ophthalmology practice and its co-owners, Robert Snyder, M.D. and Paul Runge, M.D., based upon a referral from the local Medicare integrity contractor. The investigation concluded that from 2013 through 2017, the practice and the two physicians had submitted false claims to Medicare, Tricare, and federal employee health benefit plans arising from treatment of eye conditions. Specifically, the investigation concluded that they had improperly engaged in a practice known as “multi-dosing” (using a single vial of medication to provide doses to multiple patients) in order to receive reimbursement to which they were not entitled. On June 20, 2020, the practice and Dr. Snyder agreed to pay $4.8 million to resolve these civil claims. Press release: https://www.justice.gov/usao-mdfl/pr/sarasota-based-ophthalmic-consultants-agrees-pay-48-million-resolve-claims-multi-dosing
United States ex rel. Parker v. Florida Cancer Research Institute, et al., case no. 2:17-civ-428 (M.D. Fla.)
An employee of the Florida Cancer Research Institute filed a qui tam complaint after she contacted the VA Office of Inspector General’s hotline to report that the institute was being overpaid by the VA for physician-administered drugs. An agency audit following the hotline complaint determined that a mistake in the Fee Basis Claims System had led the Florida Claims Processing Centers to pay the full amount billed by the provider rather than the appropriate Medicare rate. Subsequently, the VA fixed the issue and the institute worked cooperatively with the United States to determine the amount of an overpayment, ultimately returning $2,341,508. Press release: https://www.justice.gov/usao-mdfl/pr/cancer-treatment-center-repays-more-234-million-resolve-civil-claims-pertaining
United States and State of Florida ex rel. Peters v. Hope Hospice and Community Services, et al., case no. 2:16-civ-6 (M.D. Fla.)
A former director of hospice care at a southwest Florida provider of hospice filed a qui tam lawsuit alleging that her former employer, Hope Hospice and Community Services, had defrauded Medicare through claims for reimbursement of medically unnecessary hospice care. The ensuing civil investigation concluded that from July 1, 2012 through June 30, 2016, the provider had submitted claims for services provided to hospice patients who were not terminally ill, in certain instances to patients for a period of over four years. On July 8, 2020, the United States announced a settlement of these civil claims in return for $3,200,000. Press release: https://www.justice.gov/usao-mdfl/pr/hope-hospice-agrees-pay-32-million-settle-false-claims-act-liability
United States ex rel. Silva et al. v. Vici Marketing, Inc., et al., case no. 8:15-civ-444 (M.D. Fla.)
In 2015, two former employees of Oldsmar Pharmacy filed a qui tam complaint alleging that the Tampa Bay area compounding pharmacy submitted claims for millions of dollars in reimbursement to the Tricare health program that were tainted by kickbacks. Among their allegations was that a marketing company owned by Scott Roix – Vici Marketing – was sending patient information to doctors, who certified the patients’ need for compounded pain creams. The compounding pharmacy defendants then billed Tricare for millions of dollars in reimbursement for these medically unnecessary creams. In August, 2018, the United States intervened in the qui tam lawsuit and filed its own complaint, alleging that Roix and his marketing companies fraudulently obtained insurance coverage information from consumers across the country, used that information to arrange for medically unnecessary prescriptions of pain creams, and sold the prescriptions to pharmacies under the guise of marketing services. The United States further alleged that the payments solicited from the pharmacies were based on the volume and value of the prescriptions. On August 1, 2019, the United States announced an ability to pay settlement with Mr. Roix and his marketing companies (HealthRight, LLC; Health Savings Solutions, LLC; Vici Marketing, LLC; and Vici Marketing Group, LLC) that resolved the allegations of the United States in its civil complaint for $2,500,000. The civil settlement also resolved claims that HealthRight, at the direction of Roix, received payments from Synergy Pharmacy that were based on the value and volume of prescriptions solicited by HealthRight on behalf of Synergy Pharmacy. These allegations were also the subject of a criminal case captioned United States v. Roix, et al., case No. 2:18-cr-133 (E.D. Tenn.), in which Roix and HealthRight pleaded guilty in September 2018. Press release: https://www.justice.gov/usao-mdfl/pr/telemarketer-and-his-companies-agree-pay-25-million-settle-allegations-they-operated
United States ex rel. Green et al. v. Tran, et al., case no. 5:15-civ-60 (M.D. Fla.)
In 2015, two relators filed a qui tam complaint alleging that a Villages dermatologist, Thi Thien Nguyen Tran, and his practice, Village Dermatology and Cosmetic Surgery, had defrauded Medicare through a variety of schemes. After a lengthy investigation, we substantiated that Dr. Tran had upcoded claims for complex wound repairs following Mohs surgery procedures, and billed them as adjacent tissue transfers in order to obtain Medicare reimbursement that he was not entitled to receive. On March 13, 2020, we intervened in order to settle these claims in return for $1,744,000. Press release: https://www.justice.gov/usao-mdfl/pr/villages-dermatologist-agrees-pay-more-17-million-settle-false-claims-act-liability
New York Man Pleads Guilty to Cyberstalking After Harassing and Sextorting Multiple VictimsRead the Press Release
Tampa, Florida – Christopher Buonocore (34, Hicksville, NY) has pleaded guilty to six counts of cyberstalking. He faces a maximum penalty of five years in federal prison on each count. A sentencing date has not yet been set.
According to court documents, over a seven-year period, Buonocore used text messages, fictitious phone numbers, and social media accounts to harass, intimidate, cyberstalk, and attempt to sextort six women, including a minor. Buonocore’s harassment campaign involved posting sexually explicit and nude images of the victims to the internet, and personal identifying information such as their phone numbers, addresses, and social media profile names. Buonocore solicited individuals online, unknown to him, to contact and harass the victims, including, at times, encouraging these individuals to rape a victim or extort additional sexually explicit images from them.
This case was investigated by the Federal Bureau of Investigation. It is being prosecuted by Assistant United States Attorney Lisa M. Thelwell.
Serial Fraudster from Orlando Sentenced to More Than Six Years in Federal PrisonRead the Press Release
Orlando, Florida – U.S. District Judge Paul G. Byron has sentenced Jermica Jerri Dominick Brooks (37, Orlando) a/k/a “Jermica Jerri Dominick Sykes” to six years and nine months in federal prison for two separate wire fraud schemes and aggravated identity theft. The court also ordered Brooks to forfeit more than $25,000, which is traceable to benefits she had received as a result of the offenses.
Brooks had pleaded guilty on November 12, 2020.
According to court documents, following Hurricane Irma in 2017, Brooks used stolen identities to file five applications for disaster assistance from the Federal Emergency Management Agency (FEMA). Brooks had obtained the personally identifiable information of certain victims during the course of her employment at a local plumbing business, where she worked as an office manager in or about 2016. Brooks obtained other stolen identities by purchasing the information through illicit channels. At sentencing, a victim informed the Court that she was unable to obtain FEMA assistance following Hurricane Irma because Brooks had already filed a fraudulent application in her name.
In a separate scheme, from January through May 2018, Brooks applied for and obtained 10 apartment leases in the names of identity theft victims. She used unauthorized or nonexistent financial account information to make it appear that her application and initial rent payments were legitimate, and feigned personal emergencies to secure occupancy in the leased apartments before those electronic payments were returned or rejected. Those leases resulted in a series of evictions in the names of Brooks’s victims. According to victims’ statements provided to the Court at sentencing, Brooks’s repeated use of their identities resulted in significant hardships surrounding their efforts to secure credit, housing, and car loans.
This case was investigated by the Department of Homeland Security – Office of the Inspector General, the Orlando Police Department, the Casselberry Police Department, the Orange County Sheriff’s Office, and the Seminole County Sheriff’s Office. It was prosecuted by Assistant United States Attorney Emily C. L. Chang.
Pasco County Man, Whose Victims Included Children and Foreign Nationals, Indicted on Federal Human Trafficking ChargesRead the Press Release
Tampa, Florida – United States Attorney Maria Chapa Lopez announces the return of an indictment charging David Alan Quarles (49, Odessa) with conspiracy; sex trafficking by force, threats, fraud, or coercion; importation of an alien for the purpose of prostitution; transportation of an individual in interstate commerce for the purpose of prostitution; and using a facility of interstate commerce in aid of prostitution. If convicted on all counts, Quarles faces a maximum penalty of life in federal prison. The indictment also notifies Quarles that the United States intends to forfeit assets alleged to have facilitated these offenses or that are traceable to proceeds of the offenses.
According to the
indictment , Quarles and his conspirators recruited victims, some of whom were children or foreign nationals, to engage in prostitution. Quarles used violent, fraudulent, or otherwise coercive tactics—including physical violence, sexual assault, threats of violence, and misrepresenting the nature of their employment before the victims began working—to recruit victims or keep the victims engaged in prostitution. Quarles and his conspirators allegedly directed these victims to engage in prostitution, posted advertisements featuring these victims, and arranged for the victims to travel across the United States to work. Quarles required his victims to send him the money that they had earned or seek his permission to spend funds on necessities.An indictment is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.
This case was investigated by Homeland Security Investigations and the U.S. Coast Guard Investigative Service. It will be prosecuted by Assistant United States Attorney Colin McDonell.
Two Marion County Residents Indicted for Drug Distribution and Murder of InformantRead the Press Release
Ocala, Florida – United States Attorney Maria Chapa Lopez announces the return of an 11-count superseding indictment charging David Chappell Fey (56, Belleview) and Shari Lynn Gunter (57, Ocklawaha) with the murder of a government witness and conspiracy to murder a government witness. Fey and Gunter are also charged with conspiracy to distribute methamphetamine and fentanyl causing the death of their victim. Fey faces an additional eight counts of distributing methamphetamine and Gunter faces one count of distributing methamphetamine.
The statutory penalties for these offenses include up to life imprisonment and death.
According to the superseding indictment and other court records, Fey and Gunter conspired together and murdered “K.B.” to prevent her from communicating information to law enforcement regarding the distribution of methamphetamine by Gunter and Fey. On April 6, 2016, K.B. was found deceased in her parked vehicle near a cemetery in Oxford, Florida, the victim of an apparent drug overdose. Upon further investigation by local, state, and federal agencies, it was determined that K.B.’s death was not accidental, but that she died from homicide caused by the intentional injection of fentanyl and methamphetamine. K.B. was 31 years old at the time of her death.
In addition to intentionally murdering and conspiring to kill K.B., the superseding indictment alleges that Fey and Gunter conspired to distribute methamphetamine and fentanyl, the use of which resulted in the death of K.B. Fey is separately charged with distribution and possession with intent to distribute methamphetamine on eight different occasions between January 19, 2016, and October 17, 2019. Gunter is charged jointly with Fey in one of the distribution counts, occurring on January 19, 2016.
An indictment is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.
This case is being investigated by the Drug Enforcement Administration, with support from the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Florida Department of Law Enforcement, the Marion County Sheriff’s Office, the Unified Drug Enforcement Strike Team, the Sumter County Sheriff’s Office, and the Clay County Sheriff’s Office. It is being prosecuted by Assistant United States Attorneys Michael P. Felicetta and Tyrie K. Boyer.
Clay County Man Indicted in Nationwide Mortgage Fraud SchemeRead the Press Release
Jacksonville, Florida – United States Attorney Maria Chapa Lopez announces the return of an indictment charging Brian Roy Lozito (51, Orange Park) with conspiracy to commit wire fraud and 12 counts of wire fraud. If convicted, Lozito faces a maximum penalty of 20 years in federal prison on each count and payment of restitution to the victims he defrauded. Lozito was arraigned on the charges on January 11, 2021. His trial is set for March 1, 2021.
According to the indictment, Lozito owned and managed American Investigative Services (AIS). AIS purported to offer consumers mortgage auditing services in exchange for a fee. Lozito and his conspirators solicited customers nationwide through mailings and telephone calls. In these solicitations, Lozito and AIS employees under his direction made false and fraudulent representations to consumers, including that AIS would perform “forensic audits” of mortgage documents in order to uncover evidence of deficiencies in the mortgage documents. Lozito claimed AIS would obtain quitclaim deeds and other remedies, so the mortgage holders would be relieved of their mortgage debt and own their properties free and clear. If AIS could not help the consumer, Lozito promised to refund their money. In reality, AIS did not perform the services paid for by consumers and did not refund money to consumers. Money collected from consumers went to bank accounts controlled by Lozito, and he spent the money.
An indictment is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.
This case was investigated by the U.S. Secret Service (Jacksonville Field Office) and the Office of the Florida Attorney General – Consumer Protection Division, with assistance from the Clay County Sheriff’s Office. It will be prosecuted by Assistant United States Attorney Kevin C. Frein.
Patient Recruiter Convicted in $2.8 Million Telemedicine Scheme Against MedicareRead the Press Release
The owner of an Orlando-area telemarketing call center was convicted for his role in a kickback scheme involving expensive genetic tests and fraudulent telemedicine services that resulted in the payment of approximately $2.8 million in false and fraudulent claims to Medicare.
Acting Assistant Attorney General David P. Burns of the Justice Department’s Criminal Division, U.S. Attorney Maria Chapa Lopez of the Middle District of Florida, Special Agent in Charge Michael F. McPherson of the FBI’s Tampa Division, and Special Agent in Charge Omar Pérez Aybar of the Department of Health and Human Services – Office of Inspector General (HHS-OIG) for the Middle District of Florida, made the announcement.
Ivan Andre Scott, 34, of Kissimmee, Florida was convicted after a four-day trial of one count of conspiracy to commit health care fraud, three counts of health care fraud, one count of conspiracy to defraud the United States and pay and receive health care kickbacks, and three counts of receiving kickbacks.
According to evidence presented at trial, Scott was the owner of Scott Global, a telemarketing call center located in Orlando. The evidence showed that Scott targeted Medicare beneficiaries with telemarketing phone calls falsely stating that Medicare covered expensive cancer screening genetic testing, or “CGx.” The tests could cost as much as $6,000 per test. After beneficiaries agreed to take the test, the evidence showed Scott paid bribes and kickbacks to telemedicine companies to obtain doctor’s orders authorizing the tests.
The evidence showed that the telemedicine doctors approved the expensive testing even though they were not treating the beneficiary for cancer or symptoms of cancer, and often without even speaking with the beneficiary. According to the evidence presented at trial, Scott then sold the genetic tests and doctor’s orders to laboratories in exchange for illegal kickbacks. To conceal the illegal kickbacks, Scott submitted invoices to the laboratories and other marketers making it appears as though he were being paid for hourly marketing services, rather than per referral.
Between November 2018 and May 2019, labs submitted more than $2.8 million in claims to Medicare for genetic tests Scott referred to them, of which Medicare paid over $880,000. In that timeframe, Scott personally received approximately $180,000 for his role in the scheme.
The case was investigated by the HHS-OIG and the FBI and was brought as part of Operation Double Helix, a federal law enforcement action led by the Health Care Fraud Strike Force, under the supervision of the Criminal Division’s Fraud Section, focused on fraudulent genetic cancer testing that has resulted in charges against dozens of defendants associated with telemedicine companies and cancer genetic testing laboratories for their alleged participation in one of the largest health care fraud schemes ever charged. Trial Attorneys Alejandro Salicrup and Jamie de Boer of the Criminal Division’s Fraud Section are prosecuting the case.
U.S. Attorney Recognizes Law Enforcement Officers During Law Enforcement Appreciation DayRead the Press Release
Tampa, FL – U.S. Attorney Maria Chapa Lopez recognizes the service of federal, state, local, and tribal police officers on Law Enforcement Appreciation Day, which is being observed Saturday, January 9, 2021. On this date, communities across the country will show their appreciation and support for law enforcement agencies and their personnel in various ways.
“I ask that you join me in recognizing the tremendous service and sacrifices that our law enforcement officers have made this past year and make every day,” said U.S. Attorney Maria Chapa Lopez. “Together, with our ongoing partnerships, commitment, and dedication, we will continue to work together to ensure that our citizens, here in the Middle District of Florida, are safe and secure.”
As part of this national day of recognition, citizens across the country are encouraged to share their expressions of gratitude and support for local law enforcement agencies, officers, and public safety personnel within their respective communities. Likewise, citizens and officers alike are encouraged to share their positive experiences and collaborations with each other.
The Middle District of Florida serves 35 of the 67 counties in Florida, which is over half the population of Florida. Headquartered in Tampa, five offices are located throughout the district.
Fort Mccoy Man Pleads Guilty to Possession of Illegal Firearm SilencerRead the Press Release
Ocala, Florida – Gary Dewayne Martin (31, Fort McCoy, FL) has pleaded guilty to possessing an unregistered firearm silencer. He faces a maximum penalty of 10 years in federal prison. A sentencing date has not yet been set.
Martin had been indicted on July 15, 2020.
According to the plea agreement, on September 20, 2019, law enforcement officers responded to Martin’s residence to investigate reports that he had been threatening individuals with a gun. Deputies located 37 firearms and large quantities of ammunition, including a .22 caliber rifle with a homemade silencer attached to the barrel. Martin subsequently admitted that the firearm and silencer belonged to him. Martin had never registered the silencer, nor sought permission to manufacture it, as is required under federal law.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Marion County Sheriff’s Office. It is being prosecuted by Assistant United States Attorney William S. Hamilton.
This case is also part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws. Initiated by the Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence and enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes. For more information on Project Guardian visit www.justice.gov/projectguardian.
Florida Man Who Financed and Patronized Child-Sex-Trafficking Ring in the Philippines Sentenced to Life in Federal PrisonRead the Press Release
Tampa, Florida – Senior U.S. District Judge Virginia Hernandez Covington today sentenced Christopher John Streeter (63, Land O’Lakes) to life in federal prison for sex trafficking of a child under the age of 14. Streeter had pleaded guilty on October 15, 2020.
According to court documents, from September 2018 through June 2019, Streeter directly participated in a scheme that sexually exploited children in the Philippines in order to produce child sex-abuse videos for his consumption. Over that period, Streeter communicated and transacted with Philippines-based facilitators to recruit children to engage in sex acts on camera. The child victims—some of whom were as young as 12 and 13 years of age—were particularly vulnerable due to poverty and illness.
Streeter sent payments to the Philippines in exchange for depictions of the victims engaging in sex acts. The money that Streeter remitted covered various recording production costs, such as hotel rooms, transportation, and a commission for the recruiters. In return, Streeter received videos and images of children involved in various sex acts that tracked Streeter’s directives. Streeter negotiated and paid a premium for videos and images depicting female children losing their virginity and being harmed by other forms of sexual violence. He also negotiated and paid a premium for media depicting female children being placed at risk of pregnancy, including additional payment for emergency contraception pills and, occasionally, for abortions.
One of Streeter’s victims was a 12-year-old girl from Ozamis, Philippines. In 2018 and 2019, Streeter communicated with a Philippine recruiter in Ozamis named Analyn Tababini. On multiple occasions, while in the Tampa Bay area, Streeter paid Tababini to arrange for sex-abuse videos to be made of the victim. The monies covered production costs, including the male abuser, money for the victim, hotel expenses, and a commission for Tababini. In return, Tababini sent Streeter several videos of the sexual abuse of the victim. At one point, Streeter voiced displeasure with the videos not depicting insemination of the victim and ordered Tababini to purchase and make the victim take emergency contraception for future videos.
In addition to working for Streeter, Homeland Security Investigations Transnational National Criminal Investigative Unit in Manila discovered that Tababini has facilitated internet sex shows of minors in exchange for payment from an array of international clientele. In a recent, coordinated operation conducted by the Philippine National Police in Ozamis, Philippines, six of Tababini’s child sex-trafficking victims (including Streeter’s 12-year-old victim) were rescued by the Philippine Department of Social Welfare and Development. Philippine authorities also arrested Tababini and executed three search warrants in support of their continuing investigation.
“This morally corrupt individual thought he could circumvent justice because of international borders,” said HSI Tampa Acting Deputy Special Agent in Charge Micah C. McCombs. “Leveraging HSI’s unique international authorities and our strong law enforcement partnership with the Pasco Sheriff’s Office, this human trafficker will now face the justice he deserves.”
"I am proud of the partnership that we have with the Department of Homeland Security,” said Pasco Sheriff Chris Nocco. “We are proud of the hard work of our members that resulted in saving children and getting the perpetuator of these heinous acts out of our community."
This case was investigated by Homeland Security Investigations (Tampa and Manila), with assistance from the Pasco Sheriff’s Office. It was prosecuted by Assistant United States Attorney Frank Murray.
The Philippines victim-rescue operation was conducted by the Philippine National Police (Manila), with assistance from Homeland Security Investigations (Tampa and Manila), U.S. Customs and Border Protection (National Targeting Center), the Philippine National Police Woman and Children Protection Center (Mindanao Field Unit), and the Ozamis City Police Office.
This case was brought as part of the Tampa Bay Human Trafficking Task Force of the Middle District of Florida; one of 13 Task Forces in the country to receive grant funding from the Department of Justice’s Bureau of Justice Assistance. The Task Force is a collaboration of local, state, and federal law-enforcement agents working together with organizations to detect, investigate, and prosecute human trafficking in the Tampa Bay area. This includes trafficking of minors, forced labor, transnational sex trafficking, and sex trafficking of adults by force, fraud, or coercion. Information on the Department of Justice’s efforts to combat human trafficking can be found at www.justice.gov/humantrafficking.
Serial Stalker Sentenced to Nearly Five Years for Making Threats and Mailing A Dead AnimalRead the Press Release
Tampa, Florida – U.S. District Judge Virginia Hernandez Covington today sentenced Romney Christopher Ellis (57, Indianapolis) to 4 years and 10 months in federal prison for making threats and mailing a dead animal using the U.S. Mail. The court also ordered Ellis not to have contact with any of the victims associated with the case.
Ellis had pleaded guilty on April 23, 2020.
According to court documents, for at least four years, Ellis engaged in a campaign of harassment against a victim residing in Hillsborough County. Between 2012 and 2018, a Hillsborough County judge issued multiple domestic violence injunctions against Ellis on the victim’s behalf. Ellis repeatedly violated the orders, including by stalking and threatening the victim, and, in 2013, was convicted of aggravated stalking.
In 2019, Ellis continued his harassment campaign against the victim through text messages, photographs, and videos. Ellis’s communications involved threats of violence, including messages indicating that he intended to travel from Indiana to Florida, and planned to decapitate and set the victim on fire. Ellis routinely made racially and sexually charged statements in the text messages, including sending sexually explicit images of himself to the victim. Ellis also used the U.S. Mail to harass the victim and victim’s family and friends. One on occasion, Ellis mailed a package to the victim’s home containing a dead rat and black rose.
In February 2020, law enforcement executed a search warrant at Ellis’s home in Indianapolis and recovered a handwritten note containing the names and addresses of the victim and the victim’s family and friends.
The investigation also revealed that Ellis had a history of repeatedly stalking and victimizing people throughout his life. Court documents showed that since as early as 1993 and continuing through Ellis’s date of arrest in March 2020, 14 individuals had sought and obtained protective orders against Ellis based on his harassment, stalking, threats, and acts of violence.
This case was investigated by U.S. Postal Inspection Service. It was prosecuted by Assistant United States Attorney Lisa M. Thelwell.
Tampa Man Charged with Possession of Credit Card Manufacturing Equipment and Producing Counterfeit Credit CardsRead the Press Release
Jacksonville, Florida – United States Attorney Maria Chapa Lopez announces the return of an indictment charging Eugene Stephan Cole (30, Tampa) with possession of credit card manufacturing equipment and producing counterfeit credit cards. If convicted on both counts, Cole faces a maximum penalty of 25 years in federal prison and payment of restitution to the victims that he defrauded. The indictment also notifies Cole that the United States intends to forfeit various items of equipment and computer media used by Cole to produce counterfeit credit cards. Cole was arraigned in federal court earlier today in Jacksonville. His trial is set for March 1, 2021.
According to the indictment, on March 4, 2020, Cole possessed items related to his manufacturing of counterfeit credit cards, including a credit card encoder/recoder, a card embosser, an Apple iPad, and multiple Apple iPhones.
An indictment is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.
This case was investigated by the United States Secret Service (Jacksonville Field Office) and the Florida Highway Patrol. It will be prosecuted by Assistant United States Attorney Kevin C. Frein.
Nebraska Fugitive of 35 Years and His Spouse Indicted on Federal Fraud ChargesRead the Press Release
Ocala, Florida – United States Attorney Maria Chapa Lopez announces the return of an indictment charging Howard D. Farley, Jr. (72, Weirsdale) and Duc Hanh Thi Vu (56, Weirsdale) with passport fraud. Farley was also charged with aggravated identity theft, Social Security fraud, possession of a firearm and ammunition by a convicted felon, and operating as a pilot without a legitimate airman’s certificate. Vu was additionally charged with false statements to a federal agency and employing a pilot without a legitimate airman’s certificate. The indictment also includes a forfeiture allegation to seize the couple’s aircraft.
If convicted, Farley faces a maximum penalty of 30 years in federal prison. Vu faces a maximum penalty of 18 years in federal prison.
Farley was previously arrested on December 2, 2020, as “John Doe,” after federal agents obtained an arrest warrant for passport fraud. Once Farley was fingerprinted, agents confirmed that he had been using the identity of a deceased person for more than 35 years to avoid apprehension in the District of Nebraska where, in 1985, he had been indicted as part of a drug distribution conspiracy. Those charges were dismissed in 2014.
According to the indictment and other court records, in or around February 2020, Farley and Vu, acting together, submitted a passport application using the name and date of birth of an infant who had died in 1955. Farley and Vu failed to disclose Farley’s true identity in the application. They also included a Social Security number for the victim, which Farley had obtained by fraudulent means in 1982.
At the time of his arrest on December 2, 2020, authorities executed a search warrant at the couple’s residence, in which agents recovered a firearm and ammunition inside Farley’s nightstand. Farley was convicted in 1970 of a felony in Nebraska and is prohibited from possessing a firearm or ammunition under federal law. While agents were at the residence, Vu allegedly made false statements regarding the true identity of Farley.
The Department of Homeland Security also seized an aircraft located at the residence. While the aircraft was registered to Vu, Farley was the only pilot who operated it. The indictment charges Farley with operating as a pilot without a legitimate airman’s certificate. It further charges Vu with employing Farley as a pilot without a legitimate airman’s certificate. Farley did not have a legitimate airman’s certificate because he falsified his identity to the Federal Aviation Administration. He also failed to disclose his felony conviction from Nebraska and his status as a fugitive from justice. If convicted of these offenses, the aircraft would be subject to forfeiture by the United States.
An indictment is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.
This case is being investigated by the U.S. Department of State’s Diplomatic Security Service (DSS), the Department of Transportation – Office of Inspector General, the Social Security Administration – Office of the Inspector General, Homeland Security Investigations, the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Internal Revenue Service – Criminal Investigation,with support from the Marion County Sheriff’s Office and the Florida Highway Patrol. It is being prosecuted by Assistant United States Attorney Michael P. Felicetta.
Armed Career Criminal Sentenced to More Than Sixteen Years for Possessing A Firearm and AmmunitionRead the Press Release
Orlando, Florida – United States District Judge Carlos E. Mendoza has sentenced Valdez Williams (61, Altamonte Springs) to 16 years and 8 months in federal prison for possessing a firearm and ammunition as a convicted felon. He was also ordered to forfeit the firearm and ammunition. At the time of the offense, Williams was on federal supervised released.
Williams had been found guilty by a federal jury on October 2, 2020.
According to evidence presented at trial, during the execution of a search warrant at Williams’s apartment, law enforcement officers found a .380 caliber firearm in Williams’s bedroom safe. Officers also found stolen property and a plate of cocaine base in the apartment. Williams admitted that he sold the cocaine base and had purchased the stolen property. Williams said that he had obtained the firearm for protection because his apartment had been burglarized a month earlier.
This case was investigated by the Seminole County Sheriff’s Office and the Bureau of Alcohol, Tobacco, Firearms and Explosives. It was prosecuted by Assistant United States Attorneys Daniel P. Jancha and Karen L. Gable.
This is another case prosecuted as part of the Department of Justice’s “Project Safe Neighborhoods” Program (PSN), which is a nationwide, crime reduction strategy aimed at decreasing violent crime in communities. It involves a comprehensive approach to public safety — one that includes investigating and prosecuting crimes, along with prevention and reentry efforts. In the Middle District of Florida, U.S. Attorney Maria Chapa Lopez coordinates PSN efforts in cooperation with various federal, state, and local law enforcement officials.
Justice Department Alleges Conditions at Lowell Correctional Institution Violate the ConstitutionRead the Press Release
The Justice Department’s Civil Rights Division and the U.S. Attorney’s Office for the Middle District of Florida today concluded that there is reasonable cause to believe that the conditions at Lowell Correctional Institution (Lowell) in Ocala, Florida, violate the Eighth Amendment of the Constitution. Specifically, the department concluded that there is reasonable cause to believe that Lowell fails to protect prisoners from sexual abuse by the facility’s staff.
As required by the Civil Rights of Institutionalized Persons Act (CRIPA), the department provided the facility with written notice of the supporting facts for these alleged conditions and the minimum remedial measures necessary to address them.
“Prison officials have a constitutional duty to protect prisoners from harm, including sexual abuse by staff,” said Assistant Attorney General Eric Dreiband for the Civil Rights Division. “Sexual abuse is never acceptable, and it is not part of any prisoner’s sentence. Our investigation found that staff sexually abused women incarcerated at Lowell and that these women remain at substantial risk of sexual abuse by staff. Our investigation also found that sexual abuse is frequent. This systemic misconduct means that many women suffer abuse. In addition, prisoners are discouraged from reporting sexual abuse and investigations of sexual abuse allegations are inadequate. This illegal and indecent treatment of women must end, and the Department of Justice will not tolerate it.”
“Sexual abuse cannot be tolerated anywhere and female prison inmates are particularly vulnerable during their confinement,” said U.S. Attorney Maria Chapa Lopez for the Middle District of Florida. “This investigation represents a first step towards putting an end to sexual abuse at the Lowell Correctional Institution, and we look forward to working with the State of Florida in finding tangible, effective solutions.”
The Civil Rights Division’s Special Litigation Section and the U.S. Attorney’s Office for Middle District of Florida initiated the investigation in April 2018 under CRIPA, which authorizes the department to take action to address a pattern or practice of deprivation of constitutional rights of individuals confined to state or local government-run correctional facilities.
Additional information about the Civil Rights Division of the Justice Department is available on its website at www.justice.gov/crt.
Justice Department Alleges Conditions at Lowell Correctional Institution Violate the ConstitutionRead the Press Release
The Justice Department’s Civil Rights Division and the U.S. Attorney’s Office for the Middle District of Florida today concluded that there is reasonable cause to believe that the conditions at Lowell Correctional Institution (Lowell) in Ocala, Florida, violate the Eighth Amendment of the Constitution. Specifically, the department concluded that there is reasonable cause to believe that Lowell fails to protect prisoners from sexual abuse by the facility’s staff.
As required by the Civil Rights of Institutionalized Persons Act (CRIPA), the department provided the facility with written notice of the supporting facts for these alleged conditions and the minimum remedial measures necessary to address them.
“Prison officials have a constitutional duty to protect prisoners from harm, including sexual abuse by staff,” said Assistant Attorney General Eric Dreiband for the Civil Rights Division. “Sexual abuse is never acceptable, and it is not part of any prisoner’s sentence. Our investigation found that staff sexually abused women incarcerated at Lowell and that these women remain at substantial risk of sexual abuse by staff. Our investigation also found that sexual abuse is frequent. This systemic misconduct means that many women suffer abuse. In addition, prisoners are discouraged from reporting sexual abuse and investigations of sexual abuse allegations are inadequate. This illegal and indecent treatment of women must end, and the Department of Justice will not tolerate it.”
“Sexual abuse cannot be tolerated anywhere and female prison inmates are particularly vulnerable during their confinement,” said U.S. Attorney Maria Chapa Lopez for the Middle District of Florida. “This investigation represents a first step towards putting an end to sexual abuse at the Lowell Correctional Institution, and we look forward to working with the State of Florida in finding tangible, effective solutions.”
The Civil Rights Division’s Special Litigation Section and the U.S. Attorney’s Office for Middle District of Florida initiated the investigation in April 2018 under CRIPA, which authorizes the department to take action to address a pattern or practice of deprivation of constitutional rights of individuals confined to state or local government-run correctional facilities.
Additional information about the Civil Rights Division of the Justice Department is available on its website at www.justice.gov/crt.
Department of Justice Files Nationwide Lawsuit Against Walmart Inc. for Controlled Substances Act ViolationsRead the Press Release
In a civil complaint filed today, the Department of Justice has alleged that Walmart Inc. unlawfully dispensed controlled substances from pharmacies it operated across the country and unlawfully distributed controlled substances to those pharmacies throughout the height of the prescription opioid crisis.
The complaint alleges that this unlawful conduct resulted in hundreds of thousands of violations of the Controlled Substances Act (CSA). The Justice Department seeks civil penalties, which could total in the billions of dollars, and injunctive relief.
“It has been a priority of this administration to hold accountable those responsible for the prescription opioid crisis. As one of the largest pharmacy chains and wholesale drug distributors in the country, Walmart had the responsibility and the means to help prevent the diversion of prescription opioids,” said Jeffrey Bossert Clark, Acting Assistant Attorney General of the Civil Division. “Instead, for years, it did the opposite — filling thousands of invalid prescriptions at its pharmacies and failing to report suspicious orders of opioids and other drugs placed by those pharmacies. This unlawful conduct contributed to the epidemic of opioid abuse throughout the United States. Today’s filing represents an important step in the effort to hold Walmart accountable for such conduct.”
“We entrust distributors and dispensers with the responsibility to ensure controlled substances do not fall into the wrong hands,” said Drug Enforcement Administration (DEA) Acting Administrator Timothy Shea. “When processes to safeguard against drug diversion are violated or ignored, or when pharmacies routinely fill illegitimate prescriptions, we will hold accountable anyone responsible, including Walmart. Too many lives have been lost because of oversight failures and those entrusted with responsibility turning a blind eye.”
The result of a multi-year investigation by the department’s Prescription Interdiction & Litigation (PIL) Task Force, the complaint filed in the U.S. District Court for the District of Delaware alleges that Walmart violated the CSA in multiple ways as the operator of its pharmacies and wholesale drug distribution centers. The complaint alleges that, as the operator of its pharmacies, Walmart knowingly filled thousands of controlled substance prescriptions that were not issued for legitimate medical purposes or in the usual course of medical practice, and that it filled prescriptions outside the ordinary course of pharmacy practice. The complaint also alleges that, as the operator of its distribution centers, which ceased distributing controlled substances in 2018, Walmart received hundreds of thousands of suspicious orders that it failed to report as required to by the DEA. Together, the complaint alleges, these actions helped to fuel the prescription opioid crisis.
If Walmart is found liable for violating the CSA, it could face civil penalties of up to $67,627 for each unlawful prescription filled and $15,691 for each suspicious order not reported. The court also may award injunctive relief to prevent Walmart from committing further CSA violations.
“For years, Walmart failed to meet its obligations in distributing and dispensing dangerous opioids and other drugs,” said Deputy Assistant Attorney General Daniel J. Feith of the Civil Division’s Consumer Protection Branch. “We look forward to advancing this case with our DOJ partners.”
“The opioid crisis has exacted a catastrophic human toll upon the residents of our district and upon our country,” said U.S. Attorney for the Middle District of Florida Maria Chapa Lopez. “National pharmacy chains must meet their legal obligations when dispensing and distributing these powerful medications. The filing of this complaint in collaboration with the Department of Justice and other United States Attorneys’ Offices demonstrates our firm commitment to enforcing these critical legal requirements.”
“As a pharmacy that fills prescriptions for controlled substances, Walmart has an obligation to fill only those prescriptions that are legitimate,” said Acting U.S. Attorney for the Eastern District of New York Seth D. DuCharme. “As a wholesale drug distributor, Walmart also had an obligation to notify DEA of suspicious orders of controlled substances. Walmart failed to comply with both of its obligations, and thereby failed in its responsibility to prevent the diversion of controlled substances.”
“Today’s complaint is the culmination of a painstaking investigation by my office and our Department of Justice colleagues that uncovered years of unlawful conduct that did untold damage to communities around the country, including here in Colorado,” said U.S. Attorney for the District of Colorado Jason R. Dunn. “We look forward to pursuing justice and holding the company accountable for its conduct.”
“Opioid addiction and abuse have devastated communities across our nation, and eastern North Carolina is no exception,” said U.S. Attorney for the Eastern District of North Carolina Robert Higdon Jr. “Walmart’s failures only made these problems worse. For example, our office prosecuted a physician for illegal opioid distribution. A jury convicted him just last year, and he is currently serving a twenty-year prison sentence. As it turns out, that physician expressly directed patients to Walmart to have their opioid prescriptions filled. Walmart’s own pharmacists reported concerns about the doctor up the corporate chain, but for years, Walmart did nothing—except continue to dispense thousands of opioid pills. My office will continue to work with others in the Department to ensure that Walmart — and all others who had a role to play in this ongoing opioid crisis — are held responsible.”
“The misuse of prescription painkillers is a public health crisis,” said U.S. Attorney for the District of Delaware David C. Weiss. “DEA registrants must understand that licensure is a privilege, not a right. Whenever that privilege is abused, whether by the smallest local provider or the largest national chain, our office and the Department of Justice will take all necessary steps to enforce the law and keep the public safe.”
The claims made in the complaint are allegations that United States must prove if the case proceeds to trial.
The United States is represented in the filed action by attorneys from the Department of Justice Civil Division’s Consumer Protection Branch and from the U.S. Attorneys’ Offices for the District of Colorado, District of Delaware, Eastern District of North Carolina, Eastern District of New York, and Middle District of Florida. The DEA’s Dallas Field Division and Diversion Control Operations personnel investigated the case. The DEA’s Office of Chief Counsel and the Criminal Division’s Narcotic and Dangerous Drug Section provided substantial support.
Additional information about the Consumer Protection Branch and its enforcement efforts may be found at www.justice.gov/civil/consumer-protection-branch. For information about the U.S. Attorneys’ Offices, visit: District of Colorado, https://www.justice.gov/usao-co; District of Delaware https://www.justice.gov/usao-de; Eastern District of North Carolina https://www.justice.gov/usao-ednc; Eastern District of New York https://www.justice.gov/usao-edny; Middle District of Florida https://www.justice.gov/usao-mdfl. Information about the DEA is available at www.dea.gov.
Download 2020.12.22 walmart complaint finalJacksonville Man Indicted for Possessing Firearms Following Multiple Felony ConvictionsRead the Press Release
Jacksonville, Florida – United States Attorney Maria Chapa Lopez announces the return by a grand jury of an indictment charging Vershaun Lamar Puzie (32, Jacksonville) with two counts of possessing a firearm as a convicted felon. If convicted, Puzie faces a mandatory minimum penalty of 15 years, and up to life, in federal prison on each count. The indictment also notifies Puzie that the United States intends to forfeit two Smith & Wesson pistols, which are alleged to have been used in the offenses.
According to the indictment, Puzie possessed a Smith & Wesson .40 caliber pistol on January 1, 2019, after being convicted of eight felonies. The indictment also alleges that Puzie possessed a Smith & Wesson 9mm caliber pistol on July 16, 2020, after being convicted of ten felonies. Because Puzie had been convicted of selling drugs on three separate occasions prior to allegedly possessing each of the firearms, he faces enhanced mandatory minimum sentences.
An indictment is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives and the Jacksonville Sheriff’s Office. It will be prosecuted by Assistant United States Attorney Laura Cofer Taylor and Special Assistant United States Attorney Cyrus Zomorodian.
This case is also part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws. Initiated by the Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence and enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes. For more information on Project Guardian visit www.justice.gov/projectguardian.
Gang Member Sentenced to over Four Years for Possessing GunRead the Press Release
Tampa, Florida – U.S. District Judge William F. Jung has sentenced Jeremiah Butler-Jackson (20, Tampa) to four years and two months in federal prison for possessing a loaded gun as a convicted felon. Butler-Jackson had pleaded guilty on October 8, 2020.
According to court documents and information presented during the sentencing hearing, Butler-Jackson is known to law enforcement as a Progress Village gang member. His criminal history involves multiple crimes of violence, including shooting and robbery. On October 2, 2019, officers observed that Butler-Jackson had posted a video on Instagram in which he posed with a handgun clipped to his waistband. A few minutes later, officers observed Butler-Jackson in public wearing the same clothes as in the video. When they attempted to detain him, he fled on foot, discarding the gun in the yard of a private residence as he ran. Officers caught Butler-Jackson and recovered the gun, which matched the one displayed in the Instagram video.
As a previously convicted felon, Butler-Jackson is prohibited from possessing a firearm or ammunition under federal law.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, with assistance from the Hillsborough County Sheriff’s Office. It was prosecuted by Assistant United States Attorney Michael M. Gordon.
This case is part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws. Initiated by the Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence and enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes. For more information on Project Guardian visit www.justice.gov/projectguardian.
Crystal Methamphetamine Distributor Sentenced to over Ten Years in Federal PrisonRead the Press Release
Tampa, Florida – U.S. District Judge Mary S. Scriven has sentenced Aaron Moses (31, Odessa) to 10 years and 6 months in federal prison for conspiracy to possess with intent to distribute methamphetamine, and for possession of cocaine and heroin with intent to distribute. Moses had pleaded guilty on September 22, 2020.
According to court documents, in October and November of 2018, Moses and a co-conspirator distributed over 830 grams of crystal methamphetamine in Pasco County during multiple transactions with a confidential source. Moses supplied the methamphetamine to the co-conspirator at prearranged meeting locations, who in turn, sold it to the confidential source.
Moses also sold cocaine and substances containing fentanyl and heroin to a confidential source in April of 2019. Upon executing a federal search warrant at Moses’s residence on April 22, 2019, investigators recovered powder cocaine, heroin, crack cocaine, MDMA pills, oxycodone pills, multiple cutting agents, and a digital scale. They also found a loaded shotgun and an AK-47 rifle in the master bedroom, a pistol in the living room, and loaded pistol inside a car parked, inside the garage.
his case was investigated by the Drug Enforcement Administration, the Pasco Sheriff’s Office, and the Pinellas County Sheriff’s Office. It was prosecuted by Assistant United States Attorney Michael Sinacore.
Winter Springs Woman Pleads Guilty to More Than $1 Million in FraudRead the Press Release
Orlando, Florida – United States Attorney Maria Chapa Lopez announces that Justina Maria Holland (36, Winter Springs) – now known as Justina Maria Rummel – has pleaded guilty to 12 counts of wire fraud, 3 counts of mail fraud, 2 counts of access device (credit card) fraud, 2 counts of aggravated identity theft, 2 counts of false use of a social security number, and 1 count of theft of government property. Holland faces a mandatory minimum penalty of 2 years’ imprisonment for the aggravated identity theft counts, and maximum penalties ranging between 5 to 20 years in federal prison for the other counts. Sentencing has been set for March 1, 2021.
According to court documents, Holland was employed at a local business, where she had access to the bank and credit accounts of the business and its owner. From March 2015 through June 2018, Holland used her position to embezzle over $1 million from her employer and the employer’s owner. Holland’s scheme consisted of three parts.
First, Holland embezzled over $300,000 by taking funds from various company checking and IRA accounts and by manipulating the company’s payroll system to receive additional salary payments.
Second, Holland engaged in over $700,000 of credit card fraud. She made unauthorized purchases using the victim’s American Express and Visa credit cards by making unauthorized transfers from her employer’s various bank accounts. Holland also opened a Visa credit card account in the victim’s name by using his Social Security number and date of birth. Holland used that VISA card to make over $196,000 in purchases for herself, including for vacations. Holland also used her employer’s bank accounts to pay the bills incurred with that VISA card.
Third, Holland used her minor son’s Social Security number to obtain financing for her purchase of a BMW and a Porsche. She used funds from her employer to make some of the car payments for the vehicles.
Holland covered up her embezzlements by providing her employer with false spreadsheets that concealed her spending, among other things. She also erased contents of her work phone and the hard drive from her computer after her fraud was detected.
During the time that Holland was working at the employer and embezzling funds, she received food stamps through the Supplemental Nutrition Assistance Program (SNAP). SNAP is a federally funded, national program established by United States Department of Agriculture that was administered in Florida by the Florida Department of Children and Families (DCF). In her applications for public SNAP assistance, Holland falsely represented that she and her husband did not earn any income. From May 2012 to August 2016, Holland received over $23,000 in SNAP benefits. She would not have received any of those benefits had she not made those misrepresentations about her financial situation.
This case was investigated by the Federal Bureau of Investigation, the Seminole Financial Crimes Task Force, the U.S. Department of Agriculture – Office of the Inspector General, and the Florida Department of Financial Services – Division of Public Assistance Fraud. It is being prosecuted by Assistant United States Attorneys Roger B. Handberg and Terry B. Livanos.
U.S. Department of Justice Recognizes State Attorney Melissa Nelson for Her Contributions to Project Safe NeighborhoodsRead the Press Release
Jacksonville, Florida – Today, the Department of Justice recognized State Attorney Melissa Nelson of the Fourth Judicial Circuit for her Office’s outstanding support of the Project Safe Neighborhoods (PSN) Initiative.
“Public safety is the culmination of leadership, vision, and a commitment to improving the quality of life in her community,” said U.S. Attorney Maria Chapa Lopez. “Melissa Nelson has achieved all three. Through a spirit of cooperation and public service, she has dedicated herself and her office to reducing crime by investing in people, proven methods and technologies, and imagining new possibilities. The success of Project Safe Neighborhoods in northeast Florida is directly attributable to her ability to galvanize her office, critical agencies and community partners around a common goal – creating safer communities.”
Melissa Nelson was elected State Attorney and sworn into office in 2017. Immediately thereafter, she made PSN a priority, becoming the driving force behind creating Northeast Florida’s first Crime Gun Intelligence Center (CGIC) and working to secure city funding for the CGIC. The Center was later constructed in her office, and officially opened on May 21, 2019. State Attorney Nelson worked closely with the Jacksonville Sheriff's Office (JSO) and the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) to secure officers and agents to fully staff the CGIC. In addition, she has assigned some of the Fourth Circuit’s most experienced prosecutors to work with the CGIC team, welcomed prosecutors from the U.S. Attorney’s Office (MDFL), and has helped foster a great working relationship among all participating agencies. Because of her dedication and leadership, she was named to ATF's National Crime Gun Intelligence Board.
Prior to the CGIC opening, assistant state attorneys accompanied JSO officers to Denver, Colorado to learn about other successful PSN operations and how to incorporate best practices into the newly formed Jacksonville CGIC. As part of the overall effort, State Attorney Nelson helped to secure additional funding for National Integrated Ballistic Information Network (NIBIN) machines to ensure that recovered shell casings from shooting scenes are processed within 48 hours. Housed within JSO, two NIBIN machines and a full-time ballistics expert help accomplish this task. This integration of interagency coordination, cooperation, and technology has resulted in the successful prosecution of numerous state and federal violent crime cases.
To further complement PSN’s comprehensive strategy, State Attorney Nelson completely re-structured the juvenile division within her office to better serve the community and established a program to provide at least one prosecutor to every middle and high school in Duval County. Through this program, prosecutors regularly meet with students to improve relationships between the community, prosecutors, and law enforcement. In addition, as part of the MDFL’s federal Intensive Re-entry Program, assistant state attorneys are involved in the district’s re-entry efforts through the Jacksonville Re-entry Center (JREC).
Revitalized in 2017, PSN is a critical piece of the Department’s crime reduction efforts. PSN has focused on prosecuting those individuals who most significantly drive violence in our communities, and supports and fosters partnerships between law enforcement and schools, the faith community, and local community leaders to prevent and deter future criminal conduct.
St. Augustine Man Sentenced to More Than Fifteen Years in Federal Prison for Offenses Involving Images and Videos of Children Being Sexually AbusedRead the Press Release
Jacksonville, Florida – U.S. District Judge Brian J. Davis has sentenced Patrick Howard Woodyard (29, St. Augustine) to 15 years and 8 months in federal prison, followed by a life term of supervised release, for distributing child sexual abuse materials. On March 4, 2020, Patrick Woodyard and his twin brother, Nicholas Woodyard, were charged by indictment with distribution, receipt, and possession of images and videos depicting children being sexually abused.
Patrick Woodyard had pleaded guilty on August 28, 2020. Nicholas Woodyard is currently scheduled for trial in February 2021.
According to court documents, Homeland Security Investigations began investigating the upload of an image of child pornography that had been distributed from the Woodyard brothers’ residence. Agents executed a search warrant and seized electronic devices that contained hundreds of files of child pornography, including images of the sexual assault of a child approximately two years old. A forensic examination of the devices also revealed Patrick Woodyard’s efforts to secretly record his family members in the nude and his attempts and desires to engage in incest. Records showed that Patrick Woodyard obtained images of his friends’ children and associates from their social media accounts. He then provided those photos to others for the purposes of creating graphic sexual fantasies of the rape and torture of the children.
"For years, this individual preyed on the innocence of our most vulnerable population to satisfy his sick and demented desires,” said Homeland Security Investigations (HSI) Jacksonville, Assistant Special Agent in Charge K. Jim Phillips. "With today's sentencing we have removed him from the community and sent a resounding message that HSI is committed to working with our law enforcement partners to aggressively investigate and prosecute anyone who seeks to exploit our nation's children."
This case was investigated by Homeland Security Investigations, with assistance from the St. Johns County Sheriff’s Office and the Clay County Sheriff’s Office. It is being prosecuted by Assistant United States Attorney Kelly S. Karase.
This is another case brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Kissimmee Man Pleads Guilty to Bringing More Than $600,000 in Cash and A Handgun to Purchase Cocaine from Undercover AgentsRead the Press Release
Orlando, Florida – Jacob Luis Bonilla-Rivera (27, Kissimmee) today pleaded guilty to conspiracy to possess with the intent to distribute cocaine and possession of a firearm in furtherance of that drug conspiracy. He faces a minimum mandatory sentence of 15 years, up to life, in federal prison. A sentencing date has not yet been set.
According to the plea agreement, beginning on September 11, 2020, Bonilla-Rivera engaged in a series of phone calls with individuals who he believed to be cocaine dealers but who were, in fact, undercover agents working on behalf of Homeland Security Investigations (HSI). These discussions culminated in an agreement for Bonilla-Rivera to purchase 20 kilograms of cocaine in Orlando. On September 16, 2020, HSI agents met with Bonilla-Rivera and a conspirator, Juan Omar Rodriguez, Jr. They showed the agents $600,000 in cash that they had transported in a hidden compartment in one of their vehicles. The agents then brought Bonilla-Rivera and Rodriguez to the 20 kilograms of cocaine they had arranged to purchase. After inspecting the cocaine, Bonilla-Rivera and Rodriguez returned to their car to retrieve the cash from the hidden compartment and were arrested. Upon searching both vehicles, agents discovered that both Bonilla-Rivera and Rodriguez had loaded firearms, along with a total of $639,325 in cash.
Juan Omar Rodriguez, Jr. is currently scheduled for trial in January 2021.
An indictment is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.
This case was investigated by Homeland Security Investigations, with assistance from Seminole County Sherriff’s Office. It is being prosecuted by Assistant United States Attorney Dana E. Hill.
Phony Immigration Attorney Who Filed over 215 Fraudulent Asylum Applications Pleads GuiltyRead the Press Release
Tampa, Florida – United States Attorney Maria Chapa Lopez announces that Elvis Harold Reyes (56, Brandon) today pleaded guilty to mail fraud and aggravated identity theft in connection with a scheme where he posed as an immigration attorney and filed hundreds of fraudulent asylum applications. Reyes faces a maximum penalty of 20 years in federal prison for the mail fraud offense and a mandatory consecutive 2 years’ imprisonment for the aggravated identity theft offense. A sentencing date has not yet been set.
According to court documents, Reyes, who owned and operated EHR Ministries Inc., portrayed himself as an immigration attorney. Reyes is not and has never been a licensed attorney. Reyes targeted undocumented immigrants from Spanish-speaking countries who were seeking Florida driver licenses and work authorizations. Reyes gave false, inaccurate, and incomplete legal and immigration advice to victims in order to induce them to retain his services and those of EHR Ministries.
Victims retained and paid Reyes to represent them in immigration-related matters before U.S. Citizenship and Immigration Services (USCIS) and other agencies. Reyes filed fraudulent immigration applications in the victims’ names, seeking asylum relief and withholding-of-removal protections provided for under the United Nations Convention Against Torture. In doing so, Reyes falsified answers to questions in the asylum applications—fabricating stories about threats, persecution, and the applicants’ fear of returning to their native countries. Reyes did not inform the victims of the answers that he had provided on their behalf. He also did not inform the victims about the legal, administrative, and other immigration-related consequences that might follow from filing for asylum relief or for Convention Against Torture protection.
Reyes filed more than 215 fraudulent applications, with intended losses to victims exceeding $1 million. Any person who was, or knows of someone who may have been, a possible victim is urged to contact the Homeland Security Investigations, at 1-866-DHS-2ICE or http://www.ice.gov/webform/hsi-tip-form.
This case was investigated by Homeland Security Investigations, the U.S. Citizenship and Immigration Service, and the Hillsborough County Sheriff’s Office. It is being prosecuted by Assistant United States Attorney Frank Murray.
Michigan Man Ordered Detained Pending Child Sexual Exploitation ChargesRead the Press Release
Jacksonville, Florida – United States Attorney Maria Chapa Lopez announces the return of an indictment charging Arthur Jay Traxler, Jr. (55, Michigan) with one count of attempted online enticement of a minor to engage in sexual activity and one count of attempted production of child sexual exploitation materials. If convicted, Traxler faces a minimum mandatory term of 25 years, and up to life, in federal prison. Traxler was arrested on November 9, 2020, in Monroe, Michigan and was ordered detained pending trial.
According to the indictment, between July 21 and August 4, 2020, Traxler attempted to entice an individual, whom he believed was under the age of 18, to engage in sexual activity. Traxler also attempted to entice a minor to engage to produce child exploitation materials during this same time period.
An indictment is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.
This case was investigated by the Federal Bureau of Investigation. It is being prosecuted by Assistant United States Attorney Ashley Washington.
It is another case brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Illegal Alien Sentenced to Five Years in Prison After Assaulting A Family with A FirearmRead the Press Release
Tampa, Florida – U.S. District Judge Virginia M. Hernandez Covington has sentenced Jose Luis Sanchez-Lule (age 37) to five years in federal prison for possession of a firearm by an illegal alien, and for illegal reentry into the United States after deportation. The court also ordered Sanchez-Lule to forfeit a firearm and ammunition.
Sanchez-Lule had pleaded guilty on September 3, 2020.
According to court documents, Sanchez-Lule assaulted a family as they were driving home from a trip to Cape Canaveral. On April 10, 2019, a man and woman took their 14-year-old son to Cape Canaveral for a rocket launch. After the launch was cancelled, the family began driving back to their home in Ft. Myers. At approximately midnight, the family stopped at a convenience store in Zolfo Springs and then resumed driving south on Highway 17. A few miles later, they saw a black SUV stopped on the shoulder on the opposite side of the road. When they passed it, the black SUV turned on its lights, made a U-turn, and began tailgating the family’s car with bright lights shining from the black SUV’s front grille. Thinking the black SUV could be a police vehicle, the family initially slowed down, but the SUV continued to drive aggressively near them. Realizing it was not a police car, the family made a U-turn back towards Zolfo Springs and called 911. The black SUV made a U-turn and followed them. After unsuccessfully trying to block the family’s vehicle, Sanchez-Lule pulled his SUV alongside the family’s car, lowered his window, and pointed a firearm at them. The family continued to drive at a high rate of speed into the city limits of Zolfo Springs. As they approached town, Sanchez-Lule slowed his SUV.
Deputies from the Hardee County Sheriff’s Office responded to the 911 call and saw the family’s car approaching town with the SUV following them. The deputies stopped the SUV and removed Sanchez-Lule, who was the only occupant in the vehicle. The deputies searched the SUV and found a rifle positioned where it was readily accessible to the driver, along with a box of ammunition. They also found a spent shell casing inside the SUV.
Sanchez-Lule is a citizen of Mexico. After being deported from the United States in 2012, he reentered the country without the consent of the Attorney General or the Secretary for the Department of Homeland Security.
“Removing dangerous criminal aliens like this from our communities is at the core of the mission for ICE’s Enforcement and Removal Operations (ERO),” said Miami ERO Field Office Director Michael Meade. “Thanks to an integrated law enforcement response, he will now be held accountable for his actions.”
“This case is an example of law enforcement partners working together with the goal of making our communities safer and HSI is proud to be part of this investigative effort,” said HSI Tampa Assistant Special Agent in Charge Michael Cochran.
This case was investigated by U.S. Immigrations and Customs Enforcement’s Homeland Security Investigations and Enforcement and Removal Operations, the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Hardee County Sheriff’s Office, and the Wauchula Police Department. It was prosecuted by Assistant United States Attorney Michael Sinacore.