Middle District of Florida
Press releases recorded for this federal judicial district.
Lakeland Woman Convicted of Fraudulently Obtaining Federal Disaster Relief Following Hurricane IrmaRead the Press Release
Tampa, FL – A federal jury has found Karen Latrice Houston (37, Lakeland) guilty of three counts of theft of government funds. She faces a maximum penalty of 10 years in federal prison on each count. A sentencing date has not yet been set.
Houston was indicted on May 8, 2019.
According to evidence presented at trial, in September 2017, Houston filed a false application with the Federal Emergency Management Agency (FEMA) to obtain disaster relief benefits following Hurricane Irma. In the application, Houston falsely claimed that a home located in a Lakeland mobile home park was her primary residence, and that the home was damaged during Hurricane Irma. In fact, Houston had been evicted from the mobile home park in early 2017. In connection with her application for disaster aid, Houston misrepresented to a FEMA inspector that she still resided at the address that she had listed on her FEMA application. As a result of those misrepresentations, Houston obtained $21,875.57 in FEMA funds and benefits to which she was not entitled.
The FEMA funds and benefits Houston received were intended for critical needs, home repair, replacement of personal property, and shelter for persons displaced from their residence due to Hurricane Irma.
This case was investigated by the U.S. Department of Homeland Security – Office of Inspector General. It is being prosecuted by Assistant United States Attorney Jennifer L. Peresie.
Jury Convicts Gang Members of Drug-Related ShootingRead the Press Release
Tampa, Florida – A federal jury has found Leon Williams (30) and Reginald Jones, Jr. (25), both of Tampa, guilty of conspiring to distribute cocaine, crack cocaine, and marijuana, and discharging a firearm during and in relation to that conspiracy. Each faces a minimum mandatory penalty of 10 years, and up to life, in federal prison. A sentencing date has not yet been set.
According to evidence presented during the two-week trial, Williams and Jones are members of the Bird Gang, a violent street-level drug trafficking organization that has operated in Tampa Park for years and is responsible for multiple homicides and shootings. The Bird Gang principally sold drugs at two locations, the Tampa Park housing complex and a nearby boarding house known as the “Blue House,” which the Bird Gang had essentially taken over. On May 29, 2018, in the middle of the afternoon, Williams and Jones shot at people whom they believed had been communicating with law enforcement about the Bird Gang’s drug sales at the Blue House.
This case was investigated by the Federal Bureau of Investigation, the Drug Enforcement Administration, the Tampa Police Department, and the Florida Department of Law Enforcement. It is part of a year-long effort to dismantle the Bird Gang, so far resulting in charges against 30 individuals. It is being prosecuted by Assistant United States Attorney Michael M. Gordon.
This case is the result of an Organized Crime Drug Enforcement Task Force (OCDETF) investigation and was 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.
Orlando Man Found Guilty of Possessing A Firearm After Having Been Convicted of A FelonyRead the Press Release
Orlando, Florida – A federal jury has found Rondre Antwan Powell (32, Orlando) guilty of possessing a firearm as a convicted felon. He faces a maximum penalty of 10 years in federal prison. His sentencing hearing is scheduled for February 19, 2020.
A grand jury had returned a superseding indictment on July 17, 2019.
According to testimony and evidence presented at trial, on November 28, 2018, a deputy from the Orange County Sheriff’s Office conducted a stop of an SUV for traffic violations, and because the vehicle was suspected of being stolen. The driver and a passenger of the SUV fled on foot. A 9mm firearm, with an extended magazine holding over 20 rounds of ammunition, was left behind in the passenger compartment of the vehicle. Law enforcement identified Powell as the passenger and arrested him six days later in Pasco County. When Powell was arrested, officers executed search warrants on a hotel room and on Powell’s cellphone that yielded additional evidence that it was Powell who had fled from the SUV, leaving behind the 9mm pistol and extended magazine.
Powell has been convicted of numerous felonies and admitted during the trial that he was a felon. As a previously convicted felon, he is prohibited from possessing a firearm or ammunition under federal law.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Orange County Sheriff’s Office, and the Pasco Sheriff’s Office. 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.
New Port Richey Man Convicted of Bank RobberyRead the Press Release
Tampa, Florida – A federal jury has found Derrick Coleman (41, New Port Richey) guilty of bank robbery. He faces a maximum penalty of 20 years in federal prison. A sentencing date has not yet been set.
Coleman was indicted on August 28, 2019.
According to testimony presented at trial, on June 30, 2018, Coleman visited a Chase Bank in Tarpon Springs and spoke to a teller about opening a new account. As the teller explained the process, Coleman placed a bag on the counter, told the teller that he had a gun, and demanded money from the teller. The teller complied and Coleman fled the bank with $5,000. The teller later identified Coleman in a photo lineup.
On that same day, Coleman told his then-girlfriend, who later testified during the trial, about the robbery. He told her that he had gotten $5,000 from the robbery. That detail of the robbery was never released to the public.
This case was investigated by the Federal Bureau of Investigation and the Tarpon Springs Police Department. It is being prosecuted by Assistant United States Attorney Charlie D. Connally.
This is another case prosecuted as part of the Department of Justice’s “Project Safe Neighborhoods” Program (PSN) — a nationwide, crime reduction strategy aimed at decreasing violent crime in communities. It involves a comprehensive approach to public safety-one that includes investigating and prosecuting crimes, along with prevention and reentry efforts. In the Middle District of Florida, U.S. Attorney Maria Chapa Lopez coordinates PSN efforts in cooperation with various federal, state, and local law enforcement officials.
Honduran National Sentenced to Fifteen Months for Illegal ReentryRead the Press Release
Orlando, Florida – U.S. District Judge Carlos E. Mendoza today sentenced Ever Jose Diaz-Lara (30, Honduras) to 15 months in federal prison for illegal reentry after deportation. Diaz-Lara had pleaded guilty on September 6, 2019.
According to testimony and court documents, since 2009, Diaz-Lara has been arrested at least five times for violent domestic assaults. The Department of Homeland Security removed Diaz-Lara to Honduras in 2010, 2014, and 2015. Immigration and Customs Enforcement (ICE) most recently encountered Diaz-Lara following his July 17, 2019, domestic battery arrest in Orlando.
“Thanks to the hard work of our Enforcement and Removal Operations (ERO) team, this violent criminal illegal alien is out of our communities,” said Miami ERO Field Office Director Michael W. Meade.
This case was investigated by U.S. Immigration and Customs Enforcement’s Enforcement and Removal Operations (ICE-ERO). It was prosecuted by Special Assistant United States Attorney Brandon Bayliss, on assignment from the Office of Principal Legal Advisor, ICE, in the Middle District of Florida.
Daytona Beach Member of Cocaine Trafficking Conspiracy Sentenced to More Than Nine YearsRead the Press Release
Orlando, Florida – U.S. District Judge G. Kendall Sharp today sentenced Benjamin Green Robinson (32, Daytona Beach) to nine years and two months in federal prison for conspiracy to possess with the intent to distribute more than 500 grams of cocaine. A federal jury found Robinson guilty on August 9, 2019.
According to testimony and evidence presented at trial, in January 2016, Robinson and three co-conspirators arranged for multiple shipments of cocaine to be sent through the U.S. Postal Service (USPS) from California. During the investigation, the FBI and the USPS seized three of the packages, each containing two kilograms of cocaine hidden inside tubs of protein powder. Law enforcement also identified five additional shipments that the conspirators had successfully shipped through the mail. In 2016, during the month of January, Robinson and his conspirators were responsible shipping 14 kilograms of cocaine through mail, estimated to be worth a total of $490,000.
Two of Robinson’s co-conspirators, Dondi Kentrail Freeney and Telvin Williams, previously pleaded guilty for their roles in the conspiracy. They were sentenced to seven years and six months in federal prison and five years in federal prison, respectively. Legal proceedings against a fourth individual, Antonio Chandler, are ongoing.
This case was investigated by the Federal Bureau of Investigation, with assistance from the U.S. Postal Inspection Service, the Lake County Sherriff’s Office, and the Volusia Bureau of Investigation. It is being prosecuted by Assistant United States Attorney Dana E. Hill.
Vero Beach Man Charged with More Than $50 Million in Attempted FraudRead the Press Release
Orlando, Florida – United States Attorney Maria Chapa Lopez announces the unsealing of an indictment charging David John Ridling (57, Vero Beach) with 10 counts of wire fraud, 4 counts of bank fraud, 9 counts of money laundering, and 2 counts of aggravated identity theft. If convicted, Ridling faces a maximum penalty of 20 years in federal prison for each wire fraud count, 30 years in federal prison for each bank fraud count, 10 years in federal prison for each money laundering count, and a mandatory penalty of 2 years’ imprisonment for the aggravated identity theft counts.
According to the
indictment and information presented in court, Ridling, over the past three years, has attempted to defraud five financial institutions, one financial services provider, and one local Orlando business out of more than $50 million. Ridling’s scheme involved the use of false brokerage account statements, fabricated tax returns, and false financial statements to obtain loans and lines of credit. As part of his scheme, Ridling falsely claimed that certain individuals served as his account representatives at a financial brokerage company. He used email accounts for two of those representatives, purporting to be them, in an effort to convince lenders that he had millions of dollars in his two brokerage accounts. In fact, Ridling only had one account, which never had more than $2,000 in it. Ridling used some of the proceeds that he had obtained from his victims to pay amounts that he had owed to other victims to prolong his scheme.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 will be prosecuted by Assistant United States Attorney Roger B. Handberg.
Lady Lake Man Sentenced to 30 Years for Producing Child Pornography of 6-Year-Old GirlRead the Press Release
Ocala, Florida – Senior United States District Judge James D. Whittemore sentenced Brian Alan Jones (37, Lady Lake) today to 30 years in federal prison for production of child pornography. Jones had pleaded guilty on May 23, 2019.
According to court records, Jones produced sexually explicit images of a 6-year-old girl who was under his supervision. He took explicit photographs of the victim on his cellphone and sent them to an undercover officer posing as a pedophile.
Jones also admitted to sending another undercover officer sexually explicit videos depicting young children having sexual intercourse with adult men. Jones’s cellphone was later found to contain more than 100 images of the child victim and over 70 images of other child pornography or child erotica.
“The crimes committed by this child predator are beyond comprehension,” said HSI Orlando Assistant Special Agent in Charge David J. Pezzutti. “HSI special agents, with the Marion County Sheriff’s Office and the Florida Department of Law Enforcement, have ensured this criminal will no longer be able to sexually abuse children and we hope this brings a small measure of closure to his victim.”
This case was investigated by Homeland Security Investigations. It was prosecuted by Assistant United States Attorney Michael P. Felicetta.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Jamaican Citizen Pleads Guilty in Scheme to Defraud United States CitizensRead the Press Release
Jacksonville, Florida – Darryl Cleon Forbes (26), a Jamaican citizen, has pleaded guilty to conspiracy to commit wire fraud. He faces a maximum penalty of 20 years in federal prison. A sentencing date has not yet been set.
According to court documents, between 2015 and 2017, Forbes participated in a fraudulent sweepstakes scheme, originating in Jamaica, which targeted victims throughout the United States, many of whom were elderly, and falsely informed them that they had won a significant cash prize in a sweepstakes contest. In order to carry out the scheme, Forbes and his co-conspirators called victims and posed as federal law enforcement agents. The conspirators advised the victims that in order to collect their prize, they first had to pay taxes and fees amounting to tens of thousands of dollars. Over the course of this conspiracy, Forbes and others collected between $2.5 and $3.5 million from their victims.
This case was investigated by the Federal Bureau of Investigation. It is being prosecuted by Assistant United States Attorney Jay Taylor.
Mexican National Involved in Fatal Hit and Run Pleads Guilty to Illegal ReentryRead the Press Release
Orlando, FL – Jesus Bolanos Rodriguez (26, Orlando) today pleaded guilty to illegal reentry after deportation. He faces a maximum penalty of two years in federal prison. A sentencing date has not yet been set.
According to court documents, in January 2015, Bolanos Rodriguez, a native and citizen of Mexico, was convicted of illegal entry into the United States and was deported. He returned to the United States at some point thereafter, and, on September 22, 2019, he was arrested by the Apopka Police Department for leaving the scene of a crash involving death and physical injury. Bolanos Rodriguez was subsequently released on bond and taken into federal custody, at which point he was charged with illegal reentry after deportation.
This case was investigated by Immigration and Customs Enforcement – Enforcement and Removal Operations. It is being prosecuted by Special Assistant United States Attorney Brandon Bayliss, on assignment from the Office of Principal Legal Advisor, U.S. Immigration and Customs Enforcement.
Georgia Man Sentenced to 18 Years for Conspiring to Distribute MethamphetamineRead the Press Release
Ocala, Florida – U.S. District Judge Paul Byron today sentenced Eric Pedro Valdez (39, Atlanta) to 18 years in federal prison for conspiring to distribute methamphetamine. A federal jury had found Valdez guilty on August 2, 2019.
According to testimony and evidence presented at trial, between November 2015 and May 2016, Valdez conspired with others to distribute more than 70 kilograms of methamphetamine. On March 23, 2016, Valdez hand-delivered 4 kilograms of methamphetamine to two co-conspirators at a business in the Atlanta area. The drugs were intended for distribution in Sumter County.
This case was investigated by the Drug Enforcement Administration and the Sumter County Sheriff’s Office. It was prosecuted by Assistant United States Attorney William S. Hamilton.
Eleven Indicted for Conspiracy to Commit Healthcare Fraud Related to Kickbacks Involving Compounded Medication Prescriptions and Tricare BeneficiariesRead the Press Release
UPDATE
On October 18, 2021, a federal jury acquitted defendants Greg Carter and John Clark Walton of the charges alleged in the indictment described in the press release below.
Jacksonville, FL – United States Attorney Maria Chapa Lopez announces the return of an indictment charging Scott Balotin (49, Saint Johns), Greg Carter (62, Fleming Island), Thomas Jones (50, Jacksonville), John Clark Walton (49, Jacksonville), David Stevens (40, Callahan), Sam Todd (40, Jacksonville Beach), Derwin Allen (50, Jacksonville), and Pablo Ortiz (51, Middleburg) with conspiracy. Various defendants are also charged with multiple counts of receiving and paying kickbacks and/or money laundering. The maximum penalty for the conspiracy count and each count of money laundering is 10 years in federal prison. The maximum penalty for each count of receiving and paying kickbacks is 5 years in federal prison. The indictment also notifies the individuals that the United States intends to forfeit the proceeds traceable to the offense, as well as items and properties purchased with proceeds traceable to the offense, including a 2015 Cadillac Escalade, a 2015 Ford Thor Motor Coach, and two residences.
In a related case, a grand jury returned an indictment charging Qualla Miller (42, Orange Park), Earl Smalls (57, Jacksonville), and Mario Correa Jackson (35, Jacksonville) each with one count of conspiracy to commit health care fraud and separate counts of soliciting and receiving kickbacks. In addition, Smalls and Jackson were each charged with paying kickbacks, and Miller and Smalls were each charged with money laundering. The maximum penalty for the conspiracy count and each count of receiving and paying kickbacks is 5 years in federal prison. The maximum penalty for each count of money laundering is 10 years in federal prison. The indictment also notifies the individuals that the United States intends to forfeit the proceeds traceable to the offense.
According to the indictments, Balotin owned and operated Casepark, a marketing firm in Jacksonville that utilized sales representatives to market compounded medications, including creams for pain and scars, to health care benefit program beneficiaries. The creams had very high reimbursement rates, ranging from approximately $4,000 to $17,000 for a one-month supply. Casepark focused its promotional efforts on TRICARE beneficiaries, based upon an understanding and belief that TRICARE would pay claims for these compounded medications. The indictment alleges that a large number of the prescriptions generated for the recruited TRICARE beneficiaries were directed to Park and King Pharmacy, owned and operated by Greg Carter. Casepark received approximately 55 percent of the after-cost amount of each claim paid by a health care benefit program to Park and King Pharmacy for each prescription filled. Casepark, and Park and King, paid the sales representatives a percentage of the paid claims they received from the pharmacies.
To induce beneficiaries to provide their TRICARE information and obtain prescriptions for compounded creams from various doctors, patient recruiters (Jones, Walton, Stevens, Todd, Allen, Ortiz, Miller, Smalls, and Jackson) agreed to make, made, and caused to be made illegal kickbacks in the form of cash payments to the beneficiaries. Those prescriptions were filled at Park and King and other pharmacies and resulted in commission payments being made to Casepark and its sales representatives, including the defendants.
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 Internal Revenue Service - Criminal Investigation, the Defense Criminal Investigative Service, the Naval Criminal Investigative Service, the Jacksonville Sheriff’s Office, the Florida Department of Law Enforcement, and the United States Marshals Service. It will be prosecuted by Assistant United States Attorney Julie Hackenberry.
Sarasota Men Charged with International Arms TraffickingRead the Press Release
Tampa, Florida – United States Attorney Maria Chapa Lopez announces the return of a superseding indictment charging Romen Rafael Perez (47, Sarasota), Pedro Perez-Garcia (51, Sarasota), and Juan Miguel Martinez-Garcia (33, Sarasota) with conspiracy, making a false statement to a firearms dealer, delivery of firearms to a common carrier for shipment in foreign commerce without written notice, and smuggling goods from the United States. If convicted on all counts, each faces a maximum penalty of 30 years in federal prison.
According to the
superseding indictment , during the course of the conspiracy, Perez, Perez-Garcia, and Martinez-Garcia purchased more than 80 firearms from federally licensed firearms dealers located in the Middle District of Florida. The defendants represented themselves to be the actual buyers of each firearm at the time of purchase, despite having preexisting plans to ship those firearms to the Dominican Republic. During shipment, the men hid the firearms among innocuous items, such as clothing and food, and failed to inform the common carrier that the packages contained firearms. On September 11, 2019, investigators intercepted one such package destined for Puerto Plata, Dominican Republic. Inside, they discovered and seized 12 Glock semi-automatic 9mm handguns and accompanying magazines, as well as speed loaders hidden within several packages of breakfast cereal.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, Homeland Security Investigations, and the Manatee County Sheriff’s Office. It will be prosecuted by Assistant United States Attorney Carlton C. Gammons.
Pennsylvania Man Sentenced to Twenty Five Years in Prison After He Traveled to Orlando to Rape Notional Thirteen-Year-Old GirlRead the Press Release
Orlando, Florida – U.S. District Judge Paul G. Byron has sentenced Thomas Rowland (51, Pennsylvania) to 25 years in federal prison for attempted enticement of a minor to engage in sexual activity.
Rowland had pleaded guilty on August 29, 2019.
According to court documents, in April and May 2019, Rowland engaged in conversations with an undercover (“UC”) agent on a “dark web” website. Over the course of several conversations, Rowland discussed plans to travel to Florida and videotape his rape of the UC’s fictional 13-year old daughter. Rowland was very specific in his requests, including asking for the “child’s” body measurements so that he could buy “sexy outfits” for her to wear during his sexual encounters with her.
Throughout their conversations, Rowland kept in touch with the UC and maintained his desire to fly to Florida to have sex with the “child.” Rowland also stated that he was bringing sexual devices to use on the “child.”
On June 21, 2019, Rowland arrived at the Orlando International Airport and was subsequently arrested. Inside Rowland’s luggage, law enforcement officers found sex toys and “sexy outfits,” along with other paraphernalia for use in sexual activity.
“This child predator thought he was going to travel into our local communities to sexually abuse a child,” said HSI Orlando Assistant Special Agent in Charge David J. Pezzutti. “Instead, he was met by HSI special agents and Brevard County Sheriff’s Office deputies and now he is being held accountable for his crimes.”
This case was investigated by the U.S. Department of Homeland Security Investigations and the Brevard County Sheriff’s Office. It is being prosecuted by Assistant United States Attorneys Sean P. Shecter 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.
Owner of Winter Park Tax Business Sentenced to 36 Months in Federal Prison for Filing Fraudulent Tax ReturnsRead the Press Release
Orlando, Florida – U.S. District Judge Paul G. Byron has sentenced Leslie Muniz to 36 months in federal prison for aiding and abetting the filing of false federal income tax returns. Muniz was also ordered to pay $1,615,143 in restitution to the United States.
Muniz had pleaded guilty on August 20, 2019.
According to court documents, between 2012 and 2016, Muniz owned and operated Royalty Tax Services, a tax preparation business located in Winter Park. During this time, in order to inflate her clients’ refunds, Muniz prepared, or caused her employees to prepare, hundreds of fraudulent tax returns for clients claiming false itemized deductions and fake Schedule C businesses and business losses. Muniz then used tax preparation numbers assigned to her employees to file the fraudulent tax returns with the IRS to avoid having the returns traced to her. When employees at Royalty Tax Services questioned Muniz about her tax practices or her use of their tax preparation numbers, she fired them. The total loss to the United States as a result of Muniz’s conduct was more than $1.6 million.
This case was investigated by IRS – Criminal Investigation. It was prosecuted by Assistant United States Attorney Chauncey A. Bratt.
Jury Convicts Florida Man for Attempting to Entice A Minor to Engage in Sexual ActivityRead the Press Release
Tampa, Florida – United States Attorney Maria Chapa Lopez announces that a federal jury today found Dameon Kerk Allen (42, St. Petersburg) guilty of attempted enticement of a child to engage in sexual activity. Allen faces a minimum mandatory term of 10 years, up to life, in federal prison. His sentencing hearing is scheduled for February 13, 2020.
Allen was indicted on August 20, 2019.
According to evidence presented at trial, Allen communicated online and over text messages with someone he believed to be a 14-year-old child. In reality, he was communicating with an undercover agent. In the conversations, Allen proposed and planned to meet up with the child to have sex, discussing in graphic detail the sex acts he would engage in when they met.
This case was investigated by the Federal Bureau of Investigation and the St. Petersburg Police Department. It is being prosecuted by Assistant United States Attorneys Lisa Thelwell and Colin McDonell.
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.
Final Member of Violent Robbery Organization Sentenced to More Than 25 Years in Federal PrisonRead the Press Release
Tampa, Florida – U.S. District Judge Elizabeth A. Kovachevich today sentenced Antonio Marquis Roddy, a/k/a “Lil Head” (32, Apopka) to 25 years and 4 months in federal prison for conspiracy to commit robbery, robbery, and using or carrying a firearm in furtherance of a violent crime.
Roddy had pleaded guilty on September 12, 2018.
According to court documents, from at least May 2015 and continuing through July 20, 2017, co-defendant Marion Dwight, Jr. conspired with Roddy and others to commit multiple armed robberies and burglaries of several local drug dealers. To date, the FBI has identified at least 14 armed robberies and 4 armed burglaries that were committed by Dwight and his coconspirators. The conspirators discharged and otherwise brandished firearms during each of the robberies and burglaries.
In January 2016, Roddy and his coconspirators, Michael James Baker, a/k/a “Bake,” and Fredrick James Burney, Jr. a/k/a “Frido,” forced their way inside a residence in Kissimmee in search of narcotics and cash. While inside, they held three women and three children at gunpoint and stated that, if the victims complied, no one would die. Roddy and his coconspirators stole approximately $95,000 in cash from the home and divided the proceeds amongst themselves.
A few months later, in April 2016, Roddy and Burney attempted to rob a residence in Lakeland in search of narcotics and cash. The victim, however, returned to the home during the course of the attempted robbery and a shoot-out resulted. Roddy and Burney fled, but not before Burney stole a firearm from the residence. Roddy was shot in the knee and was treated at a nearby hospital.
Roddy was the last member of the Polk County-based criminal organization to be sentenced. Roddy’s coconspirators have been sentenced as noted below:
Name
Age, Residence
Federal Prison Sentence Imposed
Bradney Henry McGary
32, Lakeland
19 years and 2 months
Sherrod Raeshad Gordon,
a/k/a “Hott”
32, Tampa
29 years and 8 months
Marion Dwight, Jr.
a/k/a “Woe,”
a/k/a “Woe Money”
31, Lakeland
23 years
Michael James Baker,
a/k/a “Bake,”
a/k/a “Maserati”
35, Clearwater
19 years and 6 months
Fredrick James Burney, Jr.,
a/k/a “Frido”
a/k/a “Free”
28, Clearwater
30 years
Jevin Michael Stone
30, Lakeland
23 years and 5 months
Shamar Lajuan Thomas
a/k/a “Baby”
27, Clearwater
35 years
This case was investigated by the Federal Bureau of Investigation. It was prosecuted by Assistant United States Attorney Lisa M. Thelwell.
Career Offender Sentenced to 17 Years for Distributing Heroin and Violating Supervised ReleaseRead the Press Release
Fort Myers, Florida – U.S. District Judge Sheri Polster Chappell has sentenced Willie D. Hayden (33, Cape Coral) to 17 years in federal prison for distributing a controlled substance, possessing with the intent to distribute a controlled substance, and violating his supervised release.
Hayden had pleaded guilty on May 8, 2019, and he admitted to violating the conditions of his supervised release on November 12, 2019.
According to court documents, on two separate occasions, in August and October 2018, while on supervised release, Hayden sold heroin to a confidential informant working with law enforcement. In November 2018, law enforcement officers executed a search warrant at Hayden’s residence and seized 10.4 grams of heroin packaged in 29 separate baggies.
This case was investigated by the Federal Bureau of Investigation and the Lee County Sheriff’s Office. It was prosecuted by Assistant United States Attorney Trent Reichling.
OATH Corporation CEO Sentenced for Wire, Tax, and Bankruptcy FraudRead the Press Release
Orlando, Florida – U.S. District Judge Roy B. Dalton, Jr. has sentenced David Martin “Marty” Golloher to three years in federal prison for wire fraud, tax fraud, and bankruptcy fraud.
Golloher had pleaded guilty on August 30, 2019.
According to court documents and evidence presented during the sentencing hearing, Golloher was the President and Chief Executive Officer of OATH Corporation, a bullet-manufacturing company based in Brevard County. In that capacity, Golloher recruited individuals to invest significant sums of money in OATH Corporation. He defrauded one investor of nearly $70,000 by embezzling funds intended for corporate use. Golloher defrauded another individual of more than $40,000 by convincing him to purchase the rights to an “exclusive distributorship” that did not actually exist.
In addition, for six quarters in 2015 and 2016, Golloher collected payroll taxes on behalf of OATH Corporation employees, but failed to pay over that tax to the Internal Revenue Service. Golloher also failed to pay over OATH Corporation’s payroll tax obligations, resulting in a total tax loss of more than $458,000.
Eventually, Golloher filed for bankruptcy on behalf of OATH Corporation. During the course of the bankruptcy proceeding, Golloher knowingly made a false declaration, understating the amount of compensation and personal expenses he had received from OATH Corporation. Golloher admitted that he did so with the intent to deceive OATH Corporation’s creditors, the bankruptcy trustee, and the bankruptcy judge.
This case was investigated by the Federal Bureau of Investigation, Internal Revenue Service – Criminal Investigation, and the Orlando Office of the United States Trustee Program. It was prosecuted by Assistant United States Attorney Emily C. L. Chang.
Collier County Man Sentenced to 2 Years for Aiding in the Preparation of False Tax ReturnsRead the Press Release
Fort Myers, Florida – U.S. District Judge Sheri Polster Chappell has sentenced Rubens Casseus to two years in federal prison for aiding or assisting in the preparation of false documents under Internal Revenue laws. The court also ordered Casseus to pay $59,322 in restitution to the IRS.
Casseus had pleaded guilty on August 8, 2019.
According to court documents, Casseus operated Three Brothers Tax Multiservices, Inc. in Naples, where he routinely prepared income tax returns for his clients. Between January 2014 and February 2018, Casseus, on behalf of his clients, aided in the preparation and presentation of false and fraudulent tax returns to the Internal Revenue Service. Many of these tax returns contained fraudulent information, including representing that the taxpayers were entitled to claim head of household filing status, a false or fictitious dependent, and deductions and credits that the taxpayers were not entitled to claim. Casseus knew that the taxpayers were not entitled to such claims. Casseus also used the identifying information of children to increase tax refunds for some of his clients. The false statements Casseus included in the tax returns inflated the tax refunds, thereby defrauding the government of tax revenue in the amount of $59,322 for tax years 2013 through 2017.
This case was investigated by the Internal Revenue Service - Criminal Investigation. It was prosecuted by Assistant United States Attorney Yolande G. Viacava.
Attorney General Announces Launch of Project Guardian – A Nationwide Strategic Plan to Reduce Gun ViolenceRead the Press Release
Today, Attorney General William P. Barr announced the launch of Project Guardian, a new initiative designed to reduce gun violence and enforce federal firearms laws across the country. Specifically, Project Guardian focuses on investigating, prosecuting, and preventing gun crimes.
Reducing gun violence and enforcing federal firearms laws have always been among the Department’s highest priorities. In order to develop a new and robust effort to promote and ensure public safety, the Department reviewed and adapted some of the successes of past strategies to curb gun violence. Project Guardian draws on the Department’s earlier achievements, such as the “Triggerlock” program, and it serves as a complementary effort to the success of Project Safe Neighborhoods (PSN). In addition, the initiative emphasizes the importance of using all modern technologies available to law enforcement to promote gun crime intelligence.
“Gun crime remains a pervasive problem in too many communities across America. Today, the Department of Justice is redoubling its commitment to tackling this issue through the launch of Project Guardian,” said Attorney General William P. Barr. “Building on the success of past programs like Triggerlock, Project Guardian will strengthen our efforts to reduce gun violence by allowing the federal government and our state and local partners to better target offenders who use guns in crimes and those who try to buy guns illegally.”
“The U.S. Attorney’s Office will continue to work with its law enforcement partners to vigorously prosecute those who violate our nation’s gun laws,” stated U.S. Attorney Maria Chapa Lopez. “For years, the Middle District has applied a holistic approach to reducing violent crime and improving the quality of life in neighborhoods. With Project Guardian, we will continue to coordinate resources among various stakeholders and create a comprehensive strategy that prevents illegal access to firearms, deters the use of guns in resolving conflicts, and provides additional support to our communities.”
“ATF has a long history of strong partnerships in the law enforcement community,” said Acting Director Regina Lombardo. “Make no mistake, the women and men of ATF remain steadfast to our core mission of getting crime guns off of our streets. ATF and U.S. Attorneys nationwide will leverage these partnerships even further through enhanced community outreach initiatives and coordination with local, state, and tribal law enforcement and prosecutors to cut the pipeline of crime guns from those violent individuals who seek to terrorize our communities. Project Guardian will enhance ATF’s Crime Gun Intelligence, to include identifying, investigating and prosecuting those involved in the straw purchases of firearms, lying on federal firearms transaction forms, and those subject to the mental health prohibition of possessing firearms.”
Project Guardian’s implementation is based on five principles:
- Coordinated Prosecution. Federal prosecutors and law enforcement will coordinate with state, local, and tribal law enforcement and prosecutors to consider potential federal prosecution for new cases involving a defendant who: a) was arrested in possession of a firearm; b) is believed to have used a firearm in committing a crime of violence or drug trafficking crime prosecutable in federal court; or c) is suspected of actively committing violent crime(s) in the community on behalf of a criminal organization.
- Enforcing the Background Check System. United States Attorneys, in consultation with the Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) in their district, will create new, or review existing, guidelines for intake and prosecution of federal cases involving false statements (including lie-and-try, lie-and-buy, and straw purchasers) made during the acquisition or attempted acquisition of firearms from Federal Firearms Licensees.
Particular emphasis is placed on individuals convicted of violent felonies or misdemeanor crimes of domestic violence, individuals subject to protective orders, and individuals who are fugitives where the underlying offense is a felony or misdemeanor crime of domestic violence; individuals suspected of involvement in criminal organizations or of providing firearms to criminal organizations; and individuals involved in repeat denials.
- Improved Information Sharing. On a regular basis, and as often as practicable given current technical limitations, ATF will provide to state law enforcement fusion centers a report listing individuals for whom the National Instant Criminal Background Check System (NICS) has issued denials, including the basis for the denial, so that state and local law enforcement can take appropriate steps under their laws.
- Coordinated Response to Mental Health Denials. Each United States Attorney will ensure that whenever there is federal case information regarding individuals who are prohibited from possessing a firearm under the mental health prohibition, such information continues to be entered timely and accurately into the United States Attorneys’ Offices’ case-management system for prompt submission to NICS. ATF should engage in additional outreach to state and local law enforcement on how to use this denial information to better assure public safety.
Additionally, United States Attorneys will consult with relevant district stakeholders to assess feasibility of adopting disruption of early engagement programs to address mental-health-prohibited individuals who attempt to acquire a firearm. United States Attorneys should consider, when appropriate, recommending court-ordered mental health treatment for any sentences issued to individuals prohibited based on mental health.
- Crime Gun Intelligence Coordination. Federal, state, local, and tribal prosecutors and law enforcement will work together to ensure effective use of the ATF’s Crime Gun Intelligence Centers (CGICs), and all related resources, to maximize the use of modern intelligence tools and technology. These tools can greatly enhance the speed and effectiveness in identifying trigger-pullers and finding their guns, but the success depends in large part on state, local, and tribal law enforcement partners sharing ballistic evidence and firearm recovery data with the ATF.
Federal law enforcement represents only about 15% of all law enforcement resources nationwide. Therefore, partnerships with state, local, and tribal law enforcement and the communities they serve are critical to addressing gun crime. The Department recognizes that sharing information with our state, local, and tribal law enforcement partners at every level will enhance public safety, and provide a greater depth of resources available to address gun crime on a national level.
For more information on Project Guardian, see the Attorney General’s memorandum at: https://www.justice.gov/ag/project-guardian-memo-2019/download.
- Coordinated Prosecution. Federal prosecutors and law enforcement will coordinate with state, local, and tribal law enforcement and prosecutors to consider potential federal prosecution for new cases involving a defendant who: a) was arrested in possession of a firearm; b) is believed to have used a firearm in committing a crime of violence or drug trafficking crime prosecutable in federal court; or c) is suspected of actively committing violent crime(s) in the community on behalf of a criminal organization.
Ocala Man Convicted of Conspiring to Distribute Large Quantities of Cocaine, Heroin, and FentanylRead the Press Release
Ocala, Florida – A federal jury has found Kevin Gene Hart (31, Ocala) guilty of conspiracy to distribute 5 kilograms or more of cocaine, 1 kilogram or more of heroin, and 400 grams or more of fentanyl. He faces a minimum mandatory penalty of 15 years, up to life, in federal prison. A sentencing hearing has been scheduled for January 28, 2020.
Hart was indicted on March 27, 2019.
According to testimony and evidence presented at trial, between January 2012 and May 2019, Hart conspired with others to distribute hundreds of kilograms of cocaine and heroin through a network of stash houses in Marion County. Large quantities of the heroin were also laced with fentanyl. On April 10, 2019, after learning of his federal indictment, Hart fled from federal agents in a high-speed vehicle chase. He was apprehended by agents in Marion County on May 24, 2019, as he attempted to flee through a local business.
This case was investigated by the Drug Enforcement Administration, the City of Ocala Police Department, the Unified Drug Enforcement Strike Team (UDEST), and the Marion County Sheriff’s Office. It was prosecuted by Assistant United States Attorney William S. Hamilton.
Former VA Employee and Two Family Members Indicted with Defrauding Veterans Healthcare in the VillagesRead the Press Release
Ocala, Florida – United States Attorney Maria Chapa Lopez announces the return of an indictment charging Miller Wilson, Jr. (49, Sparr), his daughter Myoshi Wilson (25, Citra), and his ex-wife Erica Wilson (42, Ocala), with conspiracy to commit health care fraud and wire fraud. Miller Wilson, Jr. is also charged with eight counts of solicitation and receipt of health care kickbacks, and Erica and Myoshi Wilson are each charged with one count of making false statements. If convicted, each faces a maximum penalty of 5 years in federal prison for the conspiracy count. Erica and Myoshi Wilson each face up to 5 years’ imprisonment for the false statement count. In addition, Miller Wilson, Jr. faces up to 10 years in federal prison for each count of soliciting and receiving health care kickbacks. The indictment also notifies the defendants that the United States is seeking a money judgment in the amount of $382,462, which represents the proceeds of the charged criminal conduct.
According to the
indictment , Miller Wilson, Jr. was an employee at the Department of Veterans Affairs (“VA”) Clinic located in The Villages. As part of his employment, he provided transportation arrangements for veterans needing medical treatment. From 2014 through 2016, Miller Wilson, Jr. obtained cash kickbacks from the transportation vendors in exchange for awarding them health care contracts from the VA. Thereafter, from 2016-2017, Miller Wilson, Jr. conspired with Erica and Myoshi Wilson to open and manage two different transportation companies to provide these services to veterans. Miller Wilson, Jr. used his official position at the VA to funnel health care contracts to the companies that he had formed with Erica and Myoshi Wilson. During a 17-month period, the two companies billed the federal government $305,673.In 2019, Myoshi and Erica Wilson made false statements to a federal agent in to conceal their wrongdoing.
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 Department of Veterans Affairs, Office of Inspector General. It will be prosecuted by Assistant United States Attorney Michael P. Felicetta.
Bradenton Man Convicted for Felonious Possession of A Firearm and CocaineRead the Press Release
Tampa, Florida – A federal jury has found Danyel Megal Black (39, Bradenton) guilty of possessing a firearm and ammunition as a convicted felon and possessing cocaine. Black faces a mandatory minimum sentence of 15 years, and up to life, in federal prison. His sentencing hearing is pending.
Black was indicted on August 27, 2019.
According to testimony presented at trial, on February 19, 2019, Black was serving a term of probation from a state court sentence. Black’s probation officer had scheduled a home compliance visit and search for that day. The probation officer did not inform Black of the search, and on that day, a team of law enforcement officers arrived at Black’s apartment to perform the search. Black arrived at his residence over half an hour late and let the officers into the apartment, which he shared with his girlfriend and their two small children.
During the search, the officers found nearly half an ounce of cocaine in a plastic bag, along with a razor, in Black’s nightstand next to his bed. That same drawer contained several small baggies of individually wrapped cocaine. Officers also discovered a loaded 9mm magazine in the bedroom linen closet. In the kitchen, they found an orange pot and scale, both containing cocaine residue. Inside a dresser drawer in Black’s two-year-old son’s room, officers discovered a stolen, loaded gun. In addition, they found two cellphones and $1,865 in Black’s car.
As a previously convicted felon, Black is prohibited from possessing a firearm or ammunition under federal law.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives, the Florida Department of Corrections-Sarasota Circuit Office, the Manatee County Sheriff’s Office, and the Sarasota Police Department. It was prosecuted by Assistant United States Attorneys Charlie D. Connally and Michael Sinacore.
This is another case prosecuted as part of the Department of Justice’s “Project Safe Neighborhoods” Program (PSN) — a nationwide, crime reduction strategy aimed at decreasing violent crime in communities. It involves a comprehensive approach to public safety-one that includes investigating and prosecuting crimes, along with prevention and reentry efforts. In the Middle District of Florida, U.S. Attorney Maria Chapa Lopez coordinates PSN efforts in cooperation with various federal, state, and local law enforcement officials.
Ocala Convicted Felon Arrested for Possessing 25 Firearms and Hundreds of Rounds of AmmunitionRead the Press Release
Ocala, Florida – United States Attorney Maria Chapa Lopez announces the arrest of Nicholas Allen Groves (35, Ocala) on a criminal complaint charging him with possession of a firearm affecting commerce by a convicted felon. If convicted, Groves faces a maximum penalty of 10 years in federal prison.
According to the
criminal complaint , Groves has a 2012 felony conviction in Maryland for assault-first Degree. That incident involved Groves threatening another person with a firearm. Because of this felony conviction, Groves is prohibited from possessing firearms or ammunition under federal law.On November 6, 2019, federal agents executed a search warrant on an Ocala residence where Groves lived alone. Inside the residence, agents recovered at least 25 firearms (including AR-15 and AK-47 rifles), hundreds of rounds of ammunition, and personal identification documents belonging to Groves. Among the recovered ammunition, agents located three military-style 40mm smoke and parachute rounds.
A criminal complaint is merely an allegation that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.
This case is being investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Marion County Sheriff’s Office, and the City of Ocala Police Department. It will be prosecuted by Assistant United States Attorney Robert E. Bodnar, Jr.
This is another case prosecuted as part of the Department of Justice’s “Project Safe Neighborhoods” Program (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.
Fernandina Beach Woman Charged with FEMA Fraud Involving Hurricane IrmaRead the Press Release
Jacksonville, Florida – A federal grand jury has returned an indictment charging Jessica Ann Smothers (35, Fernandina Beach) with disaster assistance fraud involving Hurricane Irma. If convicted, Smothers faces a maximum penalty of 30 years in federal prison, plus payment of restitution to the United States. Smothers was arrested on November 4, 2019. She has been detained pending her January 6, 2020 trial.
According to the indictment, Smothers made a fraudulent application for assistance from FEMA’s Individuals and Households Program from Hurricane Irma, in which she falsely represented that she was in need of rental assistance due to storm damage to her primary residence.
An indictment is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.
This case was investigated by the Department of Homeland Security - Office of Inspector General and Homeland Security Investigations, with assistance from the Fernandina Beach Police Department. It will be prosecuted by Assistant United States Attorney Kevin C. Frein.
Compound Ingredient Supplier Fagron Holding USA LLC to Pay $22.05 Million to Resolve Allegations of False and Inflated Average Wholesale Prices for Ingredients Used in Compounded PrescriptionsRead the Press Release
The Department of Justice announced today that Fagron Holding USA LLC (Fagron) has agreed to pay $22.05 million to resolve allegations concerning the establishment of false and inflated Average Wholesale Prices (AWPs) by its wholly owned subsidiary Freedom Pharmaceuticals Inc. (Freedom) for active pharmaceutical ingredients used in compound prescriptions. Freedom’s pricing scheme caused pharmacies that purchased Freedom’s compound ingredients to submit false prescription claims to the Defense Health Agency, which administers the TRICARE Program for the Department of Defense and the Department of Labor’s Office of Workers Compensation Programs (federal healthcare programs).
“We will not allow the systematic abuse of federal healthcare programs through pricing schemes designed to enrich a few at the expense of federal taxpayers,” said Assistant Attorney General Jody Hunt of the Department of Justice’s Civil Division. “Our commitment to protect these programs extends not only to the pursuit of those that submit fraudulent claims but also those who cause others to submit such claims.”
Compounding pharmacies purchase ingredients or chemicals from ingredient suppliers such as Freedom to prepare and fill compound prescriptions for patients who require a specially made prescription that is not generally available in the marketplace. Freedom knew that compound prescription reimbursement under these federal programs was based in part on the AWPs it reported to various price listing agencies for its ingredients. Freedom knowingly inflated the AWPs for its ingredients in order to increase the reimbursement that its pharmacy customers received from federal healthcare programs for using Freedom’s ingredients. For example, Freedom established an AWP for the ingredient Fluticasone Propionate at $3,500 per gram even though it typically sold the Fluticasone Propionate for approximately $160 per gram.
Freedom promoted its high AWPs and the resulting profit potential from the reimbursement of compound prescriptions as an inducement to pharmacies to purchase its ingredients. Freedom’s fraudulent pricing scheme for its ingredients enabled its pharmacy customers to bill federal healthcare programs thousands of dollars per prescription for some compound formulations.
“We have no tolerance for the abuse of federal healthcare programs, especially where it impacts the healthcare program for our veterans and their families,” said U.S. Attorney John Bash of the Western District of Texas.
“Deception and avarice have no place in our healthcare system,” said U.S. Attorney Maria Chapa Lopez of the Middle District of Florida. “Taxpayers expect that the programs they fund be administered according to the law and utilized for the purposes that they were intended. We will continue to guard against abuse of healthcare programs to ensure that patients receive the care they deserve.”
The settlement also resolves allegations that Fagron’s wholly owned pharmacy subsidiary, Pharmacy Services Inc. (PSI) and its pharmacy affiliates, submitted fraudulent compound prescription claims to federal healthcare programs, used sham insurance programs to manipulate pricing, paid kickbacks to physicians for bogus consulting agreements, and illegally waived copays. It also addresses allegations against another Fagron subsidiary, B&B Pharmaceuticals Inc. (B&B), for setting an inflated AWP for Gabapentin.
The settlement resolves allegations contained in two separate actions filed against Freedom, PSI, and B&B under the whistleblower or qui tam provisions of the False Claims Act. Under the False Claims Act, private parties may sue on behalf of the government for false claims for government funds and to receive a share of any recovery. The whistleblowers will receive a combined total of $3,749,000 plus accrued interest from the proceeds of the settlement. The two lawsuits are captioned United States ex rel. Hueseman v. PSI et al., (WDTX) and United States ex rel. Sten v. Midwest Compounders, et al., (NDIA).
The case was handled by the Civil Division, Commercial Litigation Branch, the U.S. Attorney’s Offices for the Western District of Texas and the Middle District of Florida, with investigative support from the Defense Criminal Investigative Service, U.S. Postal Service, Department of Labor, and the U.S. Drug Enforcement Agency.
Compound Ingredient Supplier Fagron Holding USA LLC to Pay $22.05 Million to Resolve Allegations of False and Inflated Average Wholesale Prices for Ingredients Used in Compounded PrescriptionsRead the Press Release
The Department of Justice announced today that Fagron Holding USA LLC (Fagron) has agreed to pay $22.05 million to resolve allegations concerning the establishment of false and inflated Average Wholesale Prices (AWPs) by its wholly owned subsidiary Freedom Pharmaceuticals Inc. (Freedom) for active pharmaceutical ingredients used in compound prescriptions. Freedom’s pricing scheme caused pharmacies that purchased Freedom’s compound ingredients to submit false prescription claims to the Defense Health Agency, which administers the TRICARE Program for the Department of Defense and the Department of Labor’s Office of Workers Compensation Programs (federal healthcare programs).
“We will not allow the systematic abuse of federal healthcare programs through pricing schemes designed to enrich a few at the expense of federal taxpayers,” said Assistant Attorney General Jody Hunt of the Department of Justice’s Civil Division. “Our commitment to protect these programs extends not only to the pursuit of those that submit fraudulent claims but also those who cause others to submit such claims.”
Compounding pharmacies purchase ingredients or chemicals from ingredient suppliers such as Freedom to prepare and fill compound prescriptions for patients who require a specially made prescription that is not generally available in the marketplace. Freedom knew that compound prescription reimbursement under these federal programs was based in part on the AWPs it reported to various price listing agencies for its ingredients. Freedom knowingly inflated the AWPs for its ingredients in order to increase the reimbursement that its pharmacy customers received from federal healthcare programs for using Freedom’s ingredients. For example, Freedom established an AWP for the ingredient Fluticasone Propionate at $3,500 per gram even though it typically sold the Fluticasone Propionate for approximately $160 per gram.
Freedom promoted its high AWPs and the resulting profit potential from the reimbursement of compound prescriptions as an inducement to pharmacies to purchase its ingredients. Freedom’s fraudulent pricing scheme for its ingredients enabled its pharmacy customers to bill federal healthcare programs thousands of dollars per prescription for some compound formulations.
“We have no tolerance for the abuse of federal healthcare programs, especially where it impacts the healthcare program for our veterans and their families,” said U.S. Attorney John Bash of the Western District of Texas.
“Deception and avarice have no place in our healthcare system,” said U.S. Attorney Maria Chapa Lopez of the Middle District of Florida. “Taxpayers expect that the programs they fund be administered according to the law and utilized for the purposes that they were intended. We will continue to guard against abuse of healthcare programs to ensure that patients receive the care they deserve.”
The settlement also resolves allegations that Fagron’s wholly owned pharmacy subsidiary, Pharmacy Services Inc. (PSI) and its pharmacy affiliates, submitted fraudulent compound prescription claims to federal healthcare programs, used sham insurance programs to manipulate pricing, paid kickbacks to physicians for bogus consulting agreements, and illegally waived copays. It also addresses allegations against another Fagron subsidiary, B&B Pharmaceuticals Inc. (B&B), for setting an inflated AWP for Gabapentin.
The settlement resolves allegations contained in two separate actions filed against Freedom, PSI, and B&B under the whistleblower or qui tam provisions of the False Claims Act. Under the False Claims Act, private parties may sue on behalf of the government for false claims for government funds and to receive a share of any recovery. The whistleblowers will receive a combined total of $3,749,000 plus accrued interest from the proceeds of the settlement. The two lawsuits are captioned United States ex rel. Hueseman v. PSI et al., (WDTX) and United States ex rel. Sten v. Midwest Compounders, et al., (NDIA).
The case was handled by the Civil Division, Commercial Litigation Branch, the U.S. Attorney’s Offices for the Western District of Texas and the Middle District of Florida, with investigative support from the Defense Criminal Investigative Service, U.S. Postal Service, Department of Labor, and the U.S. Drug Enforcement Agency.
Two South Florida Men Plead Guilty to Conspiracy to Traffic in Credit CardRead the Press Release
Tampa, Florida – Michel Verona Saavedra (20) and Yoandy Del Prado (26), both of Hialeah, have pleaded guilty to conspiracy to traffic in access devices and to possessing device-making equipment. Each faces a maximum penalty of five years in federal prison. A sentencing date has not yet been set.
According to the plea agreements and facts presented during the plea hearing, in the early morning hours of December 6, 2017, Del Prado and Saavedra had credit card skimming devices in their possession when deputies from the Sarasota County Sherriff’s Office stopped their car near a then-closed Sunoco gas station on Bee Ridge Road in Sarasota. The deputies located two skimming devices in the rear of the car, along with a laptop computer. In addition, following Saavedra’s arrest, deputies found five counterfeit credit cards, with altered data information, in his possession. A subsequent investigation revealed that similar skimming devices were hidden inside of gas pumps at three gas stations in the immediate area, including the closed Sunoco station. Evidence of the scheme was also found on the laptop recovered from the car.
This case was investigated by the United States Secret Service and the Sarasota County Sherriff’s Office. It is being prosecuted by Assistant United States Attorney Jay L. Hoffer.
Serial Bank Robber Sentenced to 10 Years’ ImprisonmentRead the Press Release
Tampa, Florida – U.S. District Judge James S. Moody today sentenced Myron William Ernst (61, Orlando) to 10 years in federal prison for bank robbery.
Ernst had pleaded guilty on May 6, 2019.
According to
court documents , between October and November 2018, Ernst committed seven bank robberies and two attempted bank robberies in Florida and Alabama. During each incident, Ernst presented bank employees with a threatening note demanding money.“This serial bank robber was brought to justice by the strong, investigative efforts of the FBI’s Safe Streets Task Force. Crimes like this get solved because of the ongoing cooperation and communication with our federal, state, and local law enforcement partners,” said Special Agent in Charge of the FBI Tampa Division, Michael F. McPherson.
This case was investigated by the Federal Bureau of Investigation. It was prosecuted by Assistant United States Attorney Callan L. Albritton.
Eight Members of Puerto Rican-Based Drug Trafficking Organization Charged and ArrestedRead the Press Release
Tampa, Florida – United States Attorney Maria Chapa Lopez announces the unsealing of an indictment charging Jacques Orsini-Martinez, a/k/a “Papi” (43, Puerto Rico), Juan Orsini-Martinez a/k/a “Tio Cano” (44, Atlanta), Jose Manuel Robles Negron a/k/a “Chelo” (25, Puerto Rico), Pedro Javier Hernandez Sosa a/k/a “Javi Carolina” (29, Puerto Rico), Jose Antonio Chinea Santos, (34, Puerto Rico), Raymond Jose De La Cruz, a/k/a “Sanky” (42, Clearwater), Briss Malone Warren (41, New Port Richey), and Luis Daniel Agosto-Morales (27, Tampa) with conspiracy to distribute and possess with the intent to distribute five kilograms or more of cocaine. If convicted, each faces a minimum mandatory sentence of 10 years, up to life, in federal prison. The indictment also notifies the defendants that the United States intends to forfeit any assets that are alleged to be traceable to proceeds of the offense.
According to the indictment, from at least September 2018 through August 2019, the individuals conspired to distribute cocaine throughout the Middle District of Florida.
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 the result of an Organized Crime Drug Enforcement Task Force (OCDETF) investigation. The investigation was conducted by the Federal Bureau of Investigation, with assistance from the Tampa Police Department and the United States Postal Inspection Service.
It will be prosecuted by Assistant United States Attorneys Dan Baeza and Diego F. Novaes.
Westside Man Sentenced to 10 Years in Federal PrisonRead the Press Release
Jacksonville, Florida – U.S. District Judge Brian J. Davis has sentenced Duane Allen Sikes (66, Jacksonville) to 10 years in federal prison for mail fraud, embezzlement of credit union funds, and filing a false federal income tax return. In addition, Sikes was ordered to pay restitution to VyStar Credit Union in the amount of $178,161, to CUMIS Insurance Society, Inc. in the amount of $5,284,800, and to the Internal Revenue Service in the amount of $1,009,175. The court also ordered Sikes to forfeit two pieces of real property, which are traceable to proceeds of the offenses, and entered a forfeiture money judgment in the amount of $3,663,200, the proceeds of the charged criminal conduct.
Sikes had pleaded guilty on March 15, 2019.
According to court documents, over a 10-year period, Sikes, a mailroom employee of Vystar Credit Union, embezzled funds intended for Vystar’s postage costs. Sikes used the funds to purchase U.S. Postal Service stamps, which he sold to a third-party vendor. Sikes then used the proceeds from the stamp sales for his own benefit. According to evidence introduced at sentencing, this included grooming and enticing young boys to engage in sexual acts for money.
Upon discovery of the crime, Vystar Credit Union alerted the authorities and assisted with the investigation. The embezzlement did not impact account holders’ accounts but rather internal Vystar accounts.
Additionally, Sykes failed to report the funds he had embezzled on his federal income tax returns for the years 2007 through 2017, resulting in a total tax loss to the government of $1,009,175.
“IRS Special Agents tend to focus on crimes entirely motivated by greed,” stated Assistant Special in Charge Ronald A. Loecker of IRS Criminal Investigation. “That was the case when we teamed with the U.S. Postal Inspection Service to investigate Mr. Sikes for embezzlement and tax fraud. Little did we know at the time that his fraudulent pursuits and ill-gotten gains supported a much more sinister plot. We hope that today’s sentence brings some sense of closure to the victims.”
This case was investigated by the United States Postal Inspection Service and Internal Revenue Service - Criminal Investigation. It was prosecuted by Assistant United States Attorneys Bonnie Glober and Kelly S. Karase.
Jury Convicts Three Individuals of Four Murders, Racketeering, and Drug and Firearms OffensesRead the Press Release
Tampa, Florida – Today, following a three week trial, a federal jury found Jordan Rodriguez (Bradenton, 26), Andrew Thompson, a/k/a “Nico,” (Bradenton, 25), and Alfonzo Churchwell (Bradenton, 32) guilty of multiple charges, including racketeering conspiracy, drug conspiracy, murder conspiracy, drug and firearms offenses, and four murders. See the summary chart below for a list of charges and related penalties.
In July 2019, seven individuals were charged in a 20-count superseding indictment. Four defendants pleaded guilty to a variety of charges prior to trial. Each of the three defendants that proceeded to trial were accused of committing at least one murder. The evidence in the case showed that the defendants were engaged in a violent and deadly rivalry with others in Oneco, a community in Bradenton, and that the defendants worked together to traffic in controlled substances and to control and protect their drug business with violence and murder.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Manatee County Sheriff’s Office, and the State Attorney’s Office (Twelfth Judicial Circuit). It is being prosecuted by Assistant United States Attorneys Natalie Hirt Adams and Christopher F. Murray.
Charge
Name
Maximum Penalties
Count One
RICO Conspiracy
Jordan Rodriguez
Andrew Thompson
Alfonzo Churchwell
Maximum term of life imprisonment, a fine not to exceed $250,000, a term of supervised release of up to 5 years, and a $100 special assessment.
Count Two
Drug Trafficking Conspiracy
Jordan Rodriguez
Andrew Thompson
Alfonzo Churchwell
Maximum term of imprisonment of 20 years, a fine not to exceed $1 million, a term of supervised release of up to 5 years, and a $100 special assessment.
Count Three
Conspiracy to Commit Murder in Aid of Racketeering (relating to the murder of Julio Tellez)
Jordan Rodriguez
A maximum term of imprisonment of 10 years, a fine not to exceed $250,000, a term of supervised release of up to 3 years, and a $100 special assessment.
Count Four
Murder in Aid of Racketeering, or Aiding and Abetting the Same (relating to the murder of Julio Tellez)
Jordan Rodriguez
A mandatory term of life imprisonment, a fine not to exceed $250,000, a term of supervised release of up to 5 years, and a $100 special assessment.
Count Five
Use of a Firearm During and in Relation to a Crime of Violence, resulting in the murder of Julio Tellez, or Aiding and Abetting the Same
Jordan Rodriguez
A mandatory minimum term of imprisonment of 10 years, up to life (said term to run consecutive to any other term of imprisonment), a fine not to exceed $250,000, a term of supervised release of up to 5 years, and a $100 special assessment.
Count Eight
Possession with Intent to Distribute Controlled Substances Involving Heroin, Cocaine, And Crack Cocaine
Andrew Thompson
Maximum term of imprisonment of 20 years, a fine not to exceed $1 million, a term of supervised release of up to 5 years, and a $100 special assessment.
Count Ten
Use of a Firearm During and in Relation to Drug Trafficking Crimes and a Crime of Violence, resulting in the murder of Earnestine Gardner
Alfonzo Churchwell
A mandatory minimum term of imprisonment of 10 years, up to life (said term to run consecutive to any other term of imprisonment), a fine not to exceed $250,000, a term of supervised release of up to 5 years, and a $100 special assessment.
Count Eleven
Felon In Possession Of Ammunition
Alfonzo Churchwell
Maximum term of imprisonment of 10 years, a fine not to exceed $250,000, a term of supervised release of up to 3 years, and a $100 special assessment.
Count Twelve
Accessory After the Fact
Jordan Rodriguez
Maximum term of imprisonment of 15 years, a fine not to exceed $250,000, a term of supervised release of up to 3 years, and a $100 special assessment.
Count Thirteen
Attempted Possession with Intent to Distribute Cocaine and Methamphetamine
Andrew Thompson
Maximum term of imprisonment of 20 years, a fine not to exceed $1 million, a term of supervised release of up to 5 years, and a $100 special assessment.
Count Fourteen
Murder in Aid of Racketeering (relating to the murder of LaShawna Stevenson-Weeks)
Andrew Thompson
A mandatory term of life imprisonment, a fine not to exceed $250,000, a term of supervised release of up to 5 years, and a $100 special assessment.
Count Fifteen
Use of a Firearm During and in Relation to Drug Trafficking Crimes and a Crime of Violence, resulting in the murder of Lashawna Stevenson-Weeks
Andrew Thompson
A mandatory minimum term of imprisonment of 10 years, up to life (said term to run consecutive to any other term of imprisonment), a fine not to exceed $250,000, a term of supervised release of up to 5 years, and a $100 special assessment.
Count Sixteen
Murder in Aid of Racketeering (relating to the murder of Berry Joseph, a/k/a “B-1”)
Andrew Thompson
A mandatory term of life imprisonment, a fine not to exceed $250,000, a term of supervised release of up to 5 years, and a $100 special assessment.
Count Seventeen
Use of a Firearm During and in Relation to Drug Trafficking Crimes and a Crime of Violence resulting in the murder of Berry Joseph, a/k/a “B-1”
Andrew Thompson
A mandatory minimum term of imprisonment of 10 years, up to life (said term to run consecutive to any other term of imprisonment), a fine not to exceed $250,000, a term of supervised release of up to 5 years, and a $100 special assessment.
Count Eighteen
Possession of a Firearm and Ammunition While Subject to a Domestic Violence Restraining Order
Andrew Thompson
Maximum term of imprisonment of 10 years, a fine not to exceed $250,000, a term of supervised release of up to 3 years, and a $100 special assessment.
Count Nineteen
Accessory After the Fact
Jordan Rodriguez
Maximum term of imprisonment of 15 year, a fine not to exceed $250,000, a term of supervised release of up to 3 years, and a $100 special assessment.
Count Twenty
Using or Maintaining a Drug Premises
Jordan Rodriguez
Andrew Thompson
Alfonzo Churchwell
Maximum term of imprisonment of 20 years, a fine not to exceed $500,000, a term of supervised release of up to 5 years, and a $100 special assessment.
Former Pasco County Assistant Principal Sentenced to 35 Years in Federal PrisonRead the Press Release
Tampa, Florida – U.S. District Judge Mary S. Scriven today sentenced Kyle Dale Ritsema (36, Land O’Lakes) to 35 years in federal prison for producing, distributing, and possessing child pornography.
Ritsema had pleaded guilty on December 21, 2018.
According to court documents, in 2014, Ritsema, a former teacher and Assistant Principal at Cypress Creek Middle High School in Pasco County, enticed a 14-year-old child on the mobile application “Grindr.” Ritsema had sex with the child on at least five occasions over the course of one year and produced pornographic images of the child. Ritsema shared the images with others, including another employee of Pasco County Schools. A subsequent investigation revealed that Ritsema had targeted many other minors, including former students, and enticed them for sex, and on several occasions sexually abused them. Ritsema’s conversations also revealed that he is HIV positive and that, on multiple occasions, he did not disclose his HIV status despite having unprotected sex with unknowing children and adults.
Beginning in March 2017, and continuing until his arrest in this case, Ritsema had been an Assistant Principal at Cypress Creek Middle High School. Before holding that position, he was the Assistant Principal at Pine View Middle School (appointed in July 2015), an Assistant Principal Administrative Intern at River Ridge Middle School (appointed in January 2015), and a math teacher and math coach at Paul R. Smith Middle School, Gulf Highland Elementary School, and Seven Springs Middle School (beginning in 2006).
“Our communities are safer today with this deviant child sexual predator behind bars, thanks to our HSI special agents, the Florida Department of Law Enforcement and the Middle District Florida U.S. Attorney’s Office,” said HSI Tampa Special Agent in Charge James C. Spero. “This criminal’s former position of trust makes this case all the more egregious and we hope today’s sentencing can bring a small measure of closure to the innocent victims and their families.”
This case was investigated by the Department of Homeland Security, Homeland Security Investigations, with assistance from the Florida Department of Law Enforcement and the Tampa Police Department. It was prosecuted by Assistant United States Attorney Frank Murray.
Any person who had unprotected sexual contact with Ritsema, or any person who was, or knows of someone who may have been, a possible child victim, is urged to contact HSI at 1-866-DHS-2ICE or http://www.ice.gov/webform/hsi-tip-form.
Collier County Tax Preparer Convicted in Multi-Million Dollar Tax Fraud SchemeRead the Press Release
Fort Myers, FL – A federal jury has found Augustin Dalusma guilty of 12 counts of filing false claims against the Internal Revenue Service and three counts of making or subscribing to false tax returns. He faces a maximum penalty of five years in federal prison for each count of filing a false claim and up to three years’ imprisonment for each count of making a false tax return. His sentencing hearing is scheduled for January 27, 2020.
Dalusma was indicted on September 26, 2018.
According to evidence presented at trial, between 2012 and 2015, Dalusma, a tax preparer, falsified information in tax returns for 630 of his clients, fraudulently qualifying them for thousands of dollars in tax refunds that they were not lawfully entitled to collect. In total, the false claims filed on behalf of his clients exceeded $4 million over the four-year period. Dalusma also falsified his own tax returns from 2012 through 2014, significantly underreporting his own income to evade more than $30,000 in taxes for each of those years.
This case was investigated by Internal Revenue Service – Criminal Investigation. It is being prosecuted by Assistant United States Attorney Simon R. Eth and Trial Attorney Eyitayo St. Matthew-Daniel of the Justice Department’s Antitrust Division.
Pasco Man Pleads Guilty to Causing Series of Overdoses While Incarcerated at the Pasco County JailRead the Press Release
Tampa, Florida –Timothy CathCart (33, Pasco County) has pleaded guilty to conspiracy to distribute and possession with the intent to distribute a mixture and substance containing detectable amounts of fentanyl and norfentanyl, the use of which resulted in serious bodily injury to three individuals. CathCart faces a minimum mandatory penalty of 20 years, and up to life, in federal prison. A sentencing date has not yet been set.
According to the
plea agreement , CathCart was part of a drug trafficking organization (DTO) that conspired to distribute fentanyl and methamphetamine throughout the Middle District of Florida. In January 2019, CathCart was arrested for a traffic violation in Pasco County. Moments before his arrest, CathCart concealed approximately seven grams of fentanyl, which he had mixed with seven grams of gabapentin and methamphetamine. CathCart then smuggled the controlled substances into the Pasco County Jail.Between January 24 and January 25, 2019, CathCart distributed the fentanyl that he had smuggled into the jail to three inmates. All three inmates lost consciousness, overdosed, and suffered serious bodily injury. Deputies from Pasco County and emergency personnel successfully revived all three victims.
This case was investigated by the Drug Enforcement Administration and the Pasco Sheriff’s Office. It is being prosecuted by Assistant United States Attorney Diego F. Novaes.
Nassau County Man Who Traded Methamphetamine for Guns Sentenced to 10 Years in Federal PrisonRead the Press Release
Jacksonville, Florida – U.S. District Judge Marcia Morales Howard today sentenced Richard Earl Carroll (55, Hilliard) to 10 years in federal prison for conspiring to distribute 500 grams or more of methamphetamine.
Carroll had pleaded guilty on July 26, 2019.
According to court documents, multiple witnesses identified Carroll as a methamphetamine supplier in Nassau County. During the execution of two separate search warrants at Carroll’s home, state and federal law enforcement officers seized methamphetamine, assorted prescription pills (including hydrocodone and Xanax), marijuana plants and baggies containing marijuana, and 24 firearms. During a post-arrest interview, Carroll admitted to obtaining more than 500 grams of methamphetamine from a source to sell to his customers. He also admitted that, at times, he traded the drugs to his customers for firearms.
Carroll’s sentencing follows a series of related state and federal drug prosecutions involving the distribution of methamphetamine, including Billy Crayton Skinner (43, Hilliard) – sentenced to 37 months in federal prison on September 9, 2019; and Thomas A. Crews (45, Hilliard) – sentenced to 29 months in federal prison in 2017.
This case was investigated by the Nassau County Sherriff’s Office, the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the Drug Enforcement Administration. It was prosecuted by Assistant United States Attorney Michael J. Coolican.
U.S. Navy Officer, His Wife, and Two Chinese Nationals Charged with Conspiring to Smuggle Military Style Inflatable Boats and Evinrude Military Outboard Motors to ChinaRead the Press Release
Assistant Attorney General John C. Demers and U.S. Attorney Maria Chapa Lopez for the Middle District of Florida announces the return of an indictment today of four individuals, including two Chinese nationals, an active-duty United States Navy officer, and his wife, on charges relating to a conspiracy to unlawfully smuggle military-style inflatable boats, with Evinrude MFE military outboard motors, to the People’s Republic of China. The Navy officer and two other defendants have also been charged with conspiring to violate firearms law, and the Navy officer has been charged with an additional firearms-related offense and with making false official statements.
The four defendants charged in the indictment are:
Fan Yang, 34, a naturalized citizen of the United States and Lieutenant in the United States Navy residing in Jacksonville, Florida; Yang Yang, 33, wife of Fan Yang, and a naturalized citizen of the United States residing in Jacksonville, Florida; Ge Songtao, 49, a citizen and resident of the People’s Republic of China; and Zheng Yan, 27, a citizen and resident of the People’s Republic of China.
The defendants were arrested on Oct. 17, 2019, and are currently detained.
All four defendants have been charged with conspiring to submit false export information and to fraudulently attempt to export articles from the United States. Additionally, Yang Yang, Ge Songtao, and Zheng Yan have been charged with causing the submission of false and misleading information into the U.S. Automated Export System, and fraudulently attempting to export seven vessels and eight engines. If convicted for conspiracy or for the submission of false export information, the charged defendants each face a maximum penalty of five years in federal prison. If convicted on the attempted-smuggling charge, the defendants each face a maximum sentence of 10 years in federal prison.
Fan Yang, Yang Yang, and Ge Songtao are charged with other offenses as well. All three have been charged with conspiring to violate laws prohibiting an alien admitted under a nonimmigrant visa from possessing a firearm and prohibiting the transfer of a firearm to a nonresident. Fan Yang has also been charged with making a false statement to a firearms dealer, which carries a maximum penalty of 10 years’ imprisonment, and with making false official statements in his application for a security clearance, which carries a maximum penalty of five years’ imprisonment.
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 FBI, the U.S. Naval Criminal Investigative Service, the U.S. Department of Commerce, Bureau of Industry and Security; and the U.S. Bureau of Alcohol, Tobacco, Firearms and Explosives. It will be prosecuted by Assistant United States Attorney Michael Coolican and Heather Schmidt, Senior Trial Attorney, Counterintelligence and Export Section, U.S. Department of Justice.
U.S. Navy Officer, His Wife, and Two Chinese Nationals Charged with Conspiring to Smuggle Military-Style Inflatable Boats and Evinrude Military Outboard Motors to ChinaRead the Press Release
Jacksonville, Florida – United States Attorney Maria Chapa Lopez announces the return of an
indictment today of four individuals, including two Chinese nationals, an active-duty United States Navy officer, and his wife, on charges relating to a conspiracy to unlawfully smuggle military-style inflatable boats, with Evinrude MFE military outboard motors, to the People’s Republic of China. The Navy officer and two other defendants have also been charged with conspiring to violate firearms law, and the Navy officer has been charged with an additional firearms-related offense and with making false official statements. The four defendants charged in the indictment are:Fan Yang, 34, a naturalized citizen of the United States and Lieutenant in the United States Navy residing in Jacksonville, Florida;
Yang Yang, 33, wife of Fan Yang, and a naturalized citizen of the United States residing in Jacksonville, Florida;
Ge Songtao, 49, a citizen and resident of the People’s Republic of China; and
Zheng Yan, 27, a citizen and resident of the People’s Republic of China.
The defendants were arrested on October 17, 2019, and are currently detained.
All four defendants have been charged with conspiring to submit false export information and to fraudulently attempt to export articles from the United States. Additionally, Yang Yang, Ge Songtao, and Zheng Yan have been charged with causing the submission of false and misleading information into the U.S. Automated Export System, and fraudulently attempting to export seven vessels and eight engines. If convicted for conspiracy or for the submission of false export information, the charged defendants each face a maximum penalty of five years in federal prison. The attempted smuggling charge carries a maximum sentence of 10 years in federal prison.
Fan Yang, Yang Yang, and Ge Songtao are charged with other offenses as well. All three have been charged with conspiring to violate laws prohibiting an alien admitted under a nonimmigrant visa from possessing a firearm and prohibiting the transfer of a firearm to a nonresident. Fan Yang has also been charged with making a false statement to a firearms dealer, which carries a maximum penalty of 10 years’ imprisonment, and with making false official statements in his application for a security clearance, which carries a maximum penalty of five years’ imprisonment.
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, the U.S. Naval Criminal Investigative Service, the U.S. Department of Commerce, Bureau of Industry and Security; and the U.S. Bureau of Alcohol, Tobacco, Firearms and Explosives. It will be prosecuted by Assistant United States Attorney Michael Coolican and Heather Schmidt, Senior Trial Attorney, Counterintelligence and Export Section, U.S. Department of Justice.
Jacksonville Man Pleads Guilty to Killing A SawfishRead the Press Release
Jacksonville, Florida – Chad Ponce (38, Jacksonville) today pleaded guilty to killing an endangered species. Ponce faces a maximum penalty of one year in federal prison and a $50,000 fine. A sentencing date has not yet been set.
Sawfishes are a family of rays characterized by a long, narrow, flattened rostrum, or nose extension, lined with sharp teeth, arranged in a way that resembles a saw. They are among the largest fish, with some species reaching lengths of up to 17 feet. The fish are found in meaningful numbers only in the southeastern United States, primarily the southwest coast of Florida (smalltooth), and in Australia (largetooth). At one time, both species were found worldwide, throughout tropical and subtropical regions in coastal marine and estuarial waters, as well as freshwater rivers and lakes. In Florida, the smalltooth sawfish is dependent on estuarial mangrove waters on the southern and southwest borders of the state. It is there that they breed and give birth. The sawfish has been recognized as an endangered species since May 1, 2003.
Sawfish are generally harmless to humans, although they can inflict serious injury with their saws if threatened. The rostrum of the sawfish is used by the animal to locate and disable its prey, and is believed to carry sensory cells that assist it in orienting itself to time and location. The smalltooth sawfish cannot survive without its rostrum. On July 18, 2018, Ponce was seen removing the rostrum from a live 12-foot smalltooth sawfish with a power saw aboard his fishing vessel off the coast of Ponte Vedra, Florida.
This case was investigated by the National Oceanic and Atmospheric Administration and the Florida Wildlife Commission. It is being prosecuted by Assistant United States Attorney Jay Taylor.
Tampa Woman Pleads Guilty to Charges Related to Immigration Fraud Scheme Stretching from Tampa to ChicagoRead the Press Release
Tampa, Florida – Erika Paola Intriago (44, Tampa) today pleaded guilty to wire fraud in connection with a fraud scheme involving her posing as an immigration attorney to victims in Chicago and Tampa. Intriago faces a maximum penalty of 20 years in federal prison. A sentencing date has not yet been set.
According to court documents, Intriago portrayed herself as an immigration attorney and personal representative offering immigration-related services. She advertised her services on social media, targeting immigrants and immigrant families from Spanish-speaking countries. In fact, Intriago was not a licensed attorney in any state.
Victims retained and paid Intriago to represent them in immigration-related matters before U.S. Citizenship and Immigration Services (USCIS) and other agencies. To prove that she was acting on the victims’ behalf, Intriago sent fraudulent letters, emails, receipts, documents, and communications to her victims, fraudulently representing that these records were legitimate communications sent from agencies of the United States, including the Department of Homeland Security and USCIS. In actuality, Intriago had either never filed the necessary immigration paperwork, had abandoned the immigration process, or the applications had already been denied without Intriago informing the victims. Intriago also threatened and intimidated victims who complained about her conduct by telling them that she would report their immigration status to U.S. immigration authorities, which Intriago claimed would result in the victims being deported.
Any person who was, or knows of someone who may have been, a possible victim is urged to contact the Department of Homeland Security, Homeland Security Investigations, at 1-866-DHS-2ICE or www.ice.gov/webform/hsi-tip-form.
This case was investigated by the Department of Homeland Security, Homeland Security Investigations and the United States Citizenship and Immigration Service. It is being prosecuted by Assistant United States Attorney Frank Murray.
Large-Scale Counterfeit Fentanyl Pill Dealer Sentenced to 30 Years in PrisonRead the Press Release
Tampa, FL – United States District Judge Virginia M. Hernandez Covington has sentenced Dion Gregory Fisher (33, formerly of Seminole) to 30 years in federal prison for conspiring to manufacture and distribute fentanyl and fentanyl analogue, and money laundering. Fisher was also ordered to forfeit several high-end vehicles, including an Aston Martin and Audi R8, and a forfeiture money order of nearly $800,000 was entered against him. A federal jury had found Fisher guilty on June 5, 2019.
According to testimony and evidence presented during the seven-day trial, Fisher and others, including co-defendant Christopher McKinney, manufactured and distributed hundreds of thousands of counterfeit oxycodone 30 mg pills that were made with fentanyl that Fisher had ordered from China. Fisher also ordered pill presses from China, some of which were seized by Homeland Security. He also purchased binding and cutting agents used in the manufacturing process.
Another co-defendant, Samuel Huffman, used the pill presses and materials supplied by Fisher to press fentanyl pills out of his automotive business in Pinellas Park. Huffman pleaded guilty to the fentanyl conspiracy on October 9, 2018, testified against Fisher at trial, and was sentenced to 33 months in federal prison on June 24, 2019.
Fisher also stored fentanyl and fentanyl analogue in a work bay in Clearwater. In January and February 2018, large quantities of fentanyl and fentanyl analogue were seized from these locations, as well as from Fisher’s residence in Seminole, and McKinney’s residence and work bay. More than three kilograms of fentanyl and fentanyl analogue were admitted into evidence during the trial. On July 2, 2018, Christopher McKinney pleaded guilty to conspiring to distribute and manufacture fentanyl and fentanyl analogue. McKinney forfeited $1.4 million in cash, two residences, and several high-end vehicles/motorcycle. McKinney testified against Fisher at trial, and was sentenced to 2 years in federal prison on June 28, 2019.
Fisher and McKinney sold hundreds of thousands of counterfeit oxycodone pills, mostly via the U.S. Mail, to Phil Morose in Boston. Morose then distributed the pills. Morose was charged with conspiring to distribute and manufacture fentanyl and fentanyl analogue. He pleaded guilty to these charges and was sentenced on July 8, 2019, to 10 years in federal prison. He is also currently facing money laundering charges in Boston.
In addition, Fisher laundered the proceeds from his fentanyl pill sales with Konrad Guzewicz, who owned and operated automotive and tire-and-rim companies in Pinellas County. Fisher purchased several high-end luxury vehicles, including an Aston Martin, a Bentley, a Maserati, a BMW, and an Audi R8, using fentanyl proceeds. Guzewicz also laundered fentanyl cash proceeds for Fisher. On four occasions, Fisher provided Guzewicz with $35,000 in cash that he had obtained from selling fentanyl pills, and Guzewicz, in turn, wrote Fisher a check for $30,000 from his business and personal accounts. Guzewicz pleaded guilty to money laundering charges on June 28, 2018, testified against Fisher at trial, and was sentenced to 15 months in federal prison on July 2, 2019.
This case was investigated by the Middle District of Florida Opioid Fraud and Abuse Detection Unit, a Department of Justice program created to help combat the devastating opioid crisis that is ravaging families and communities across America and to prosecute individuals that are contributing to the opioid epidemic. The investigative agencies included the Drug Enforcement Administration, the Pinellas County Sheriff’s Office, the Pinellas Park Police Department, the Tarpon Springs Police Department, the U.S. Marshals Service, the U.S. Postal Inspection Service, and IRS – Criminal Investigation. It was prosecuted by Assistant United States Attorneys Kelley Howard-Allen, Maria Guzman, and Greg Pizzo.
Jury Convicts Jacksonville Man for Possessing Child Sex Abuse Videos and ImagesRead the Press Release
Jacksonville, Florida – A federal jury has found Jason Ryan Fain (38, Jacksonville) guilty of possessing videos and images depicting the sexual abuse of young children. He faces a maximum penalty of 20 years in federal prison followed by a potential life term of supervised release. A sentencing date has not yet been set.
According to the testimony and evidence presented at trial, on January 9, 2017, an officer with the Jacksonville Sheriff’s Office (JSO) responded to a citizen complaint at a Jacksonville residence where Fain resided. The officer recovered a USB thumb drive belonging to Fain. A subsequent search of the thumb drive revealed 3,614 images and 7 videos depicting the sexual abuse of young children, together with “selfie”-type photos depicting Fain. On October 27, 2017, Fain was arrested in Youngstown by investigators from the Bay County Sheriff’s Office. During an interview, Fain admitted that the thumb drive belonged to him and that it contained “hundreds” of pornographic images of children that he had obtained from the internet.
A forensic analysis conducted by the FBI confirmed that Fain’s thumb drive had accessed a particular file-sharing network on the internet. The device also contained a document that advocated the legalization of child pornography possession.
This case was investigated by the Jacksonville Sheriff’s Office, the Bay County Sheriff’s Office, and the Federal Bureau of Investigation. It is being prosecuted by Assistant United States Attorney D. Rodney Brown.
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.
Third Suspect in “Ghost Mask” Bank Robberies ArrestedRead the Press Release
Orlando, Florida – Daniel Joseph Zirk (23, Spring Hill) has been arrested and charged by a federal criminal complaint with attempted bank robbery and using a firearm during a crime of violence. Zirk made his initial appearance in federal court today and was detained.
Zirk’s alleged co-conspirators, John Armstrong, Jr. (30, North Fort Myers) and Tanya Legg (43, North Fort Myers) were arrested on October 7, 2019, on related charges. On October 16, 2019, a grand jury returned an indictment charging Armstrong with Hobbs Act robbery, attempted bank robbery, bank robbery, three counts of brandishing a firearm during a crime of violence, and possession of a firearm by a convicted felon. The indictment charges Legg with aiding and abetting a bank robbery, aiding and abetting the brandishing of a firearm during a crime of violence, and possession of a firearm by a convicted felon. If convicted, Zirk, Legg, and Armstrong each face up to life in federal prison.
According to allegation in the
complaint against Zirk and indictment against Armstrong and Legg, on June 14, 2019, Armstrong used a firearm to rob a 7-11 store in North Fort Myers. During the robbery, Armstrong struck one of the store employees in the face with his firearm, causing a laceration to the bottom corner of her left eye.On September 25, 2019, Armstrong and Zirk attempted to commit an armed robbery of a PNC Bank in Davenport. Zirk had carjacked a vehicle earlier that morning, holding the victim at gunpoint. Armstrong and Zirk later used the stolen vehicle as a getaway vehicle following the attempted PNC Bank robbery.
On September 26, 2019, Armstrong, Zirk, and Legg robbed a BB&T Bank in Altamonte Springs. Armstrong and Zirk used firearms to force bank employees to open the bank’s safe and then stole approximately $22,000 in cash. Legg assisted in purchasing items used to complete the BB&T robbery and then served as the getaway driver. Zirk and Armstrong wore ghost masks at each of the banks.
A criminal complaint is merely an allegation that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.
This case is being investigated by the Federal Bureau of Investigation, with assistance from the Altamonte Springs Police Department, the Fort Myers Police Department, the Hernando County Sheriff’s Office, the Lee County Sheriff’s Office, the Orange County Sheriff’s Office, the Osceola County Sheriff’s Office, the Pasco Sheriff’s Office, the Punta Gorda Police Department, the Seminole County Sheriff’s Office, and the Tampa Police Department. It is being prosecuted by Assistant United States Attorney Chauncey A. Bratt.
Pinellas County Man Pleads Guilty to Trafficking in Counterfeit Sports JerseysRead the Press Release
Tampa, Florida – Thomas Walker (74, Clearwater) has pleaded guilty to trafficking in counterfeit sports jerseys. Walker faces a maximum penalty of 10 years in federal prison. His sentencing date is not yet scheduled.
According to the plea agreement and facts presented at the plea hearing, Walker owned and operated a business called “Tim’s Sports Cards Plus,” which he operated from a booth at the Oldsmar Flea Market. Among the items sold were numerous sports jerseys bearing the counterfeit trademarks of purported sports organizations, including the National Football League (NFL), the National Hockey League (NHL), and Major League Baseball (MLB).
On January 27, 2017, federal law enforcement agents went to Walker’s booth at the Oldsmar Flea Market, spoke with him, and seized 699 jerseys that were for sale and bearing counterfeit NFL marks. The agents also went to Walker’s home and seized over 1,500 additional counterfeit jerseys from all three purported sports leagues. During an interview with agents, Walker admitted that he had purchased the counterfeit jerseys from a supplier located in China.
This case was investigated by Homeland Security Investigations. It is being prosecuted by Assistant United States Attorney Jay L. Hoffer.
Lakeland Man Sentenced to 30 Months for Possessing Firearm and AmmunitionRead the Press Release
Tampa, Florida – U.S. District Judge Susan C. Bucklew has sentenced Solease Asiman Babb (32, Lakeland) to 30 months in federal prison for possessing a firearm and ammunition as a convicted felon. The court ordered Babb to forfeit the firearm and ammunition, and to serve a three-year term of supervised release following his release from prison. Babb had pleaded guilty on July 24, 2019.
According to court documents, officers from the Lakeland Police Department executed a search warrant at Babb’s home. Inside, detectives found a stolen, semi-automatic firearm, nine rounds of ammunition, and various controlled substances, including cocaine, marijuana, methamphetamine, and MDMA. In addition, the officers found several cellphones, digital scales, clear plastic bags, and a vacuum sealer. Babb admitted that the firearm and ammunition belonged to him. Babb, who had previously been convicted of a felony, is prohibited from possessing a firearm or ammunition under federal law.
This case was investigated by the Federal Bureau of Investigation and the Lakeland Police Department. It was prosecuted by Assistant United States Attorney David C. Waterman.
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.
Former U.S. Navy Airman Apprentice Sentenced to More Than 19 Years for Attempting to Entice A 13-Year-Old and 15-Year-Old for SexRead the Press Release
Jacksonville, Florida – U.S. District Judge Marcia Morales Howard has sentenced Erold Martin Panopio (25, Jacksonville) to 19 years and 7 months in federal prison for attempted enticement of two minors to engage in sexual conduct. Panopio had pleaded guilty on April 24, 2019.
According to court documents, in October 2018, law enforcement learned of online communications of a sexual nature between Panopio and a 15-year-old girl. A forensic analysis of the girl’s phone revealed that Panopio had filmed himself engaging in sexual acts with two 15-year-old girls earlier that month. A Homeland Security Investigations agent assumed the identity of one of the girls and began communicating with Panopio. Panopio told the undercover agent, posing as the child, all of the sexual acts that he wanted to engage in with the child and a “friend” of the child who was 13 years old. Panopio traveled from his home in Jacksonville to Clay County, where he intended to meet the 15-year-old and 13-year-old girls for sex, and was subsequently arrested. During an interview with law enforcement, Panopio admitted that he had traveled for the purpose of meeting the children to have sex with them. He also acknowledged having sex with the 15-year-old on a prior occasion.
A search of Panopio’s phone revealed chats from July and August 2018 with another 15-year-old girl with whom he had previously engaged in sexual conduct. In those chats, Panopio repeatedly demanded nude photographs, threatened to appear at the child’s house, and threatened to tell the child’s parents if the child would not have sex with him again or send nude photographs of herself.
“This predator used social media applications to groom minor girls and magnify their abuse,” said HSI Tampa Special Agent in Charge James C. Spero. “But now, thanks to our HSI special agents and law enforcement partners at the Clay County Sheriff’s Office, he will be held accountable for his crimes.”
This case was investigated by the Clay County Sheriff’s Office and Homeland Security Investigations. It is was 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.
Former Missouri Hospital Executive Pleads Guilty to Pass-Through Billing Scheme that Caused over $100 Million in LossesRead the Press Release
The former CEO of a Missouri hospital pleaded guilty today for his role in a pass-through billing scheme in which the hospital was used to submit fraudulent claims for toxicology and blood testing, resulting in multiple insurance companies and the Missouri Medicaid program paying over $100 million in claims.
Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division, U.S. Attorney Maria Chapa Lopez of the Middle District of Florida, U.S. Attorney Timothy A. Garrison of the Western District of Missouri, Special Agent in Charge Rachel Rojas of the FBI’s Jacksonville Field Office, Special Agent in Charge Timothy R. Langan Jr., of the FBI’s Kansas City Field Office, Deputy Assistant Inspector General for Investigations Thomas W. South of the U.S. Office of Personnel Management Office of the Inspector General (OPM-OIG), Special Agent in Charge Rafiq Ahmad of the U.S. Department of Labor-Office of Inspector General (DOL-OIG) and Special Agent in Charge Basil P. Demczak of the Amtrak Office of Inspector General (Amtrak-OIG) made the announcement.
David Lane Byrns, 62, of Lighthouse Point, Florida, the former CEO of Putnam County Memorial Hospital (Putnam), of Unionville, Missouri, pleaded guilty before U.S. Magistrate Judge James R. Klindt of the Middle District of Florida to a one-count information charging him with conspiracy to commit health care fraud. The information was filed in the Western District of Missouri and the case was transferred to the Middle District of Florida by consent for the entry of Byrns’ plea. As part of his guilty plea, Byrns agreed to a forfeiture judgment of $5,100,000. Sentencing before U.S. District Judge Timothy Corrigan of the Middle District of Florida has not yet been scheduled.
According to admissions made as part of his guilty plea, in 2016, Byrns and another individual took control of Putnam, a rural hospital in Missouri, through a management agreement with the hospital’s board, and Byrns was installed as the hospital’s CEO. Byrns and others, including a laboratory owner, then arranged for urine drug tests (UDTs) and blood tests to be performed on a massive scale at diagnostic testing laboratories outside Missouri, on behalf of individuals who were not Putnam patients and who otherwise had no connection to Putnam. To obtain samples for testing, Byrns and his co-conspirators entered into arrangements with marketers, who solicited samples from substance abuse treatment centers, sober living homes, physicians’ offices and other sources throughout the United States, in exchange for a portion of the insurance reimbursements. Many of the tests conducted were medically unnecessary. Byrns and his co-conspirators billed the tests to private insurers and to the Missouri Medicaid program using Putnam’s billing credentials, in order to take advantage of Putnam’s favorable reimbursement rates under its in-network contracts with the insurers, while failing to identify the fact that most testing had not taken place at Putnam, Byrns admitted.
During a 15-month period, Byrns and his co-conspirators caused private insurers and the Missouri Medicaid Program to reimburse Putnam approximately $114 million for the laboratory tests, most of which was shared among Byrns and his co-conspirators, including the laboratories, marketers and billing companies involved in the scheme, Byrns admitted.
The case was investigated by the FBI’s Jacksonville Field Office, the Jefferson City, Missouri Resident Agency of the FBI’s Kansas City Field Office, OPM-OIG, DOL-OIG and Amtrak OIG. Trial Attorneys Gary A. Winters and James V. Hayes of the Criminal Division’s Fraud Section, Assistant U.S. Attorney Tysen Duva of the Middle District of Florida and Assistant U.S. Attorney Lucinda Woolery of the Western District of Missouri are prosecuting the case.
The Department wishes to acknowledge the assistance of the Missouri State Auditor’s Office and the Missouri Attorney General’s Medicaid Fraud Control Unit.
The Fraud Section leads the Medicare Fraud Strike Force. Since its inception in March 2007, the Medicare Fraud Strike Force, which maintains 15 strike forces operating in 24 districts, has charged more than 4,200 defendants who have collectively billed the Medicare program for nearly $19 billion. In addition, the HHS Centers for Medicare & Medicaid Services, working in conjunction with the HHS-OIG, are taking steps to increase accountability and decrease the presence of fraudulent providers.
Former Missouri Hospital Executive Pleads Guilty to Pass-Through Billing Scheme That Caused over $100 Million in LossesRead the Press Release
WASHINGTON – The former CEO of a Missouri hospital pleaded guilty today for his role in a pass-through billing scheme in which the hospital was used to submit fraudulent claims for toxicology and blood testing, resulting in multiple insurance companies and the Missouri Medicaid program paying over $100 million in claims.
Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division, U.S. Attorney Maria Chapa Lopez of the Middle District of Florida, U.S. Attorney Timothy A. Garrison of the Western District of Missouri, Special Agent in Charge Rachel Rojas of the FBI’s Jacksonville Field Office, Special Agent in Charge Timothy R. Langan Jr., of the FBI’s Kansas City Field Office, Deputy Assistant Inspector General Thomas W. South of the U.S. Office of Personnel Management-Office of Inspector General (OPM-OIG), Special Agent in Charge Rafiq Ahmad of the U.S. Department of Labor-Office of Inspector General (DOL-OIG) and Special Agent in Charge Basil P. Demczak of the Amtrak Office of Inspector General (Amtrak-OIG) made the announcement.
David Lane Byrns, 62, of Lighthouse Point, Florida, the former CEO of Putnam County Memorial Hospital (Putnam), of Unionville, Missouri, pleaded guilty before U.S. Magistrate Judge James R. Klindt of the Middle District of Florida to a one-count information charging him with conspiracy to commit health care fraud. The information was filed in the Western District of Missouri and the case was transferred to the Middle District of Florida by consent for the entry of Byrns’ plea. As part of his guilty plea, Byrns agreed to a forfeiture judgment of $5,100,000. Sentencing before U.S. District Judge Timothy Corrigan of the Middle District of Florida has not yet been scheduled.
According to admissions made as part of his guilty plea, in 2016, Byrns and another individual took control of Putnam, a rural hospital in Missouri, through a management agreement with the hospital’s board, and Byrns was installed as the hospital’s CEO. Byrns and others, including a laboratory owner, then arranged for urine drug tests (UDTs) and blood tests to be performed on a massive scale at diagnostic testing laboratories outside Missouri, on behalf of individuals who were not Putnam patients and who otherwise had no connection to Putnam. To obtain samples for testing, Byrns and his co-conspirators entered into arrangements with marketers, who solicited samples from substance abuse treatment centers, sober living homes, physicians’ offices and other sources throughout the United States, in exchange for a portion of the insurance reimbursements. Many of the tests conducted were medically unnecessary. Byrns and his co-conspirators billed the tests to private insurers and to the Missouri Medicaid program using Putnam’s billing credentials, in order to take advantage of Putnam’s favorable reimbursement rates under its in-network contracts with the insurers, while failing to identify the fact that most testing had not taken place at Putnam, Byrns admitted.
During a 15-month period, Byrns and his co-conspirators caused private insurers and the Missouri Medicaid Program to reimburse Putnam approximately $114 million for the laboratory tests, most of which was shared among Byrns and his co-conspirators, including the laboratories, marketers and billing companies involved in the scheme, Byrns admitted.
The case was investigated by the FBI’s Jacksonville Field Office, the Jefferson City, Missouri Resident Agency of the FBI’s Kansas City Field Office, OPM-OIG, DOL-OIG and Amtrak OIG. Trial Attorneys Gary A. Winters and James V. Hayes of the Criminal Division’s Fraud Section, Assistant U.S. Attorney Tysen Duva of the Middle District of Florida and Assistant U.S. Attorney Lucinda Woolery of the Western District of Missouri are prosecuting the case.
The Department wishes to acknowledge the assistance of the Missouri State Auditor’s Office and the Missouri Attorney General’s Medicaid Fraud Control Unit.
The Fraud Section leads the Medicare Fraud Strike Force. Since its inception in March 2007, the Medicare Fraud Strike Force, which maintains 15 strike forces operating in 24 districts, has charged more than 4,200 defendants who have collectively billed the Medicare program for nearly $19 billion. In addition, the HHS Centers for Medicare & Medicaid Services, working in conjunction with the HHS-OIG, are taking steps to increase accountability and decrease the presence of fraudulent providers.
Former Jacksonville Beach Doctor’s Office Employee Pleads Guilty to Opioid Distribution ConspiracyRead the Press Release
Jacksonville, Florida – Rhiannon Rader (34, Fern Park) has pleaded guilty to conspiracy to distribute oxycodone, hydrocodone, and alprazolam (also known as Xanax). She faces a maximum penalty of 20 years in federal prison. A sentencing date has not yet been set.
According to the plea agreement, as an employee in a Jacksonville Beach physician’s office, Rader had access to her employer’s prescription pad. Without her employer’s knowledge, Rader sold fraudulent prescriptions for controlled substances, including oxycodone, hydrocodone, and Xanax to drug dealers. She also filled fraudulent prescriptions for drugs in her own name.
Pharmacy records show that between March and September 2016, in Duval and Nassau Counties, 44 different pharmacies filled approximately 116 fraudulent prescriptions for 46 individuals who were not actually patients of Rader’s employer. Records from multiple pharmacies show that on certain occasions, when pharmacy employees called the physician’s office to confirm whether such prescriptions were genuine, Rader falsely confirmed that the prescriptions were legitimate.
As part of her guilty plea, Rader admitted that her actions resulted in the illegal distribution of nearly 7,000 doses of controlled substances.
Rader is the eighth member of this drug distribution ring to plead guilty in federal court. Christopher John Bates (27, Nassau County), Christopher Lee Calhoun Jr. (24, Fernandina Beach), Christopher Oquendo Martinez (27, Baldwin, Georgia), Otis Kirkland (32, Jacksonville), Reginald Ray (33, Jacksonville), LaRhonda Lukes (31, Jacksonville), and Jon’quill Holmes (30, Jacksonville) have previously pleaded guilty for their involvement in this case.
This case was investigated by the Jacksonville Sheriff’s Office, the Nassau County Sheriff’s Office, the Drug Enforcement Administration, and the State Attorney’s Office for the Fourth Judicial Circuit. It is being prosecuted by Assistant United States Attorney Michael J. Coolican.