Southern District of Florida

Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, Donnell Young, Acting Special Agent in Charge, Internal Revenue Service, Criminal Investigation (IRS-CI), and George L. Piro, Special Agent in Charge, Federal Bureau of Investigation (FBI), Miami Field Office, announce that Angel Arcos, 23, of Pompano Beach, was sentenced, and Monique Smith, 31, of Pompano Beach, and Arrington Basil Segu, 28, of Miami pled guilty before U.S. District Judge Marcia G. Cooke for participating in a conspiracy to unjustly enrich themselves by stealing personal identifying information and using the information to make unauthorized wire transfers from the victims’ bank accounts and obtain unauthorized credit or debit cards.

Arcos was sentenced to time served, to be followed by four years of supervised release. As a condition of his supervised release, Arcos was subject to 180 days of home detention with electronic monitoring. Arcos pled guilty on May 15, 2014, to one count of conspiracy to commit bank fraud, in violation of Title 18, United States Code, Section 1349.

Smith pled guilty to one count of conspiracy to commit bank fraud, in violation of Title 18, United States Code, Section 1349, and one count of aggravated identity theft in violation of Title 18, United States Code, Section and 1028A. Segu pled guilty to one count of access device fraud and one count of aggravated identity theft, in violation of Title 18, United States Code, Sections 1029(a)(2) and 1028A. Sentencing for Smith and Segu is scheduled for November 19, 2014.

On August 6, 2014, Judge Cooke sentenced Chouman Emily Syrilien, 25, of Lauderdale Lakes, to 34 months in prison, to be followed by three years of supervised release. Syrilien pled guilty to one count of possession of 15 or more unauthorized access devices and one count of aggravated identity theft, in violation of Title 18, United States Code, Sections 1029(a)(3) and 1028A.

Co-defendants Jacqueline Nicole Lee Warrick, 26, of Miami, and Tracy Delva, 27, of Deerfield Beach, pled guilty on July 30, 2014, and Carlos Antonio Alexander, 24, of Orlando, pled guilty on July 16, 2014, to one count of using an authorized access device and one count of aggravated identity theft, in violation of Title 18, United States Code, Sections 1029(a)(2) and 1028A. Alexander’s sentencing is scheduled for October 1, 2014. Sentencing for Warrick and Delva is scheduled for October 15, 2014.

Trial is scheduled on September 22, 2014, for Shantegra La’Shae Godfrey, 23, of Deerfield Beach.

According to court documents, defendant Syrilien was employed by Interactive Response Technologies, Inc. (IRT) located in Margate. IRT provides staffing for call centers to handle direct sales and customer inquiries for AT&T. Syrilien unlawfully provided a co-conspirator with the personal identifying information from multiple AT&T customer files. Segu also unlawfully provided personal identifying information of numerous individuals to the co-conspirator.

Alexander, Delva, Godfrey, Smith and Warrick were added as “authorized users” on victims’ credit or debit card accounts or bank accounts to access the accounts of persons whose personal identifying information had been stolen. Once a co-conspirator’s name was added as an “authorized user,” the bank and/or credit card company was directed to mail additional debit or credit cards bearing the names of these newly added “authorized users” to their addresses or addresses under their control, all without the true account holder's knowledge or consent. The defendants used these credit and debit cards to make purchases or obtain money.

Delva and Warrick both utilized fraudulently obtained debit and credit cards that bore their names as additional “authorized users” on victims’ accounts to make both retail purchases as well as cash advances in excess of $28,000. Alexander, Smith and Godfrey made retail purchases as well as cash advances in excess of $24,000, $12,000 and $8,200, respectively.

Arcos allowed his personal information to be used to open a bank account to further the fraudulent activity. From September 16 to 18, 2013, five withdrawals totaling $13,000 were made from the fraudulent account and deposited into Arcos’ checking account.

The defendants face a maximum of 30 years in prison for the conspiracy charge, a maximum of 10 years in prison for the access device fraud charge, and a mandatory term of two years in prison for the aggravated identity theft charge.

Mr. Ferrer commended the investigative efforts of IRS-CI and FBI. The case is being prosecuted by Assistant U.S. Attorney Cynthia R. Wood.

A copy of this press release may be found on the website of the United States Attorney's Office for the Southern District of Florida at http://www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.

Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, and George L. Piro, Special Agent in Charge, Federal Bureau of Investigation (FBI), announce that Joel Steinger, a/k/a “Joel Steiner,” (Steinger) was sentenced to 20 years in prison, three years of supervised release, and ordered to forfeit $15 million by U.S. District Judge Robert N. Scola, Jr. A restitution hearing is scheduled for November 24, 2014. .

Steinger previously pled guilty to conspiracy to commit mail and wire fraud, in violation of 18 U.S.C. §1349, as a result of his scheme to defraud investors in Mutual Benefits Corporation (MBC), which marketed viatical and life settlements.

Steinger is the final defendant to be convicted out of 13 charged as a result of the MBC scheme, which defrauded approximately 30,000 victims. As the de facto head of MBC, Steinger, along with conspirators Steven Steiner, a/k/a Steven Steinger, Michael McNerney, and Anthony M. Livoti, Jr., Esq., and others, raised more than $1.25 billion from investors before being shut down by federal regulators in May 2004. By the time charges were filed in December, 2009, investor losses were estimated to amount to more than $800 million.

According to the evidence presented in a related trial and summarized during Steinger’s guilty plea, from approximately 1994 to May 2004, MBC purchased life insurance policies from persons suffering from AIDS, the chronically ill, and elderly persons. Having purchased the life insurance policies, MBC sold fractionalized interests in insurance policy death benefits, known as “viatical settlements,” to approximately 30,000 investors. MBC solicited the investments through an international network of sales agents. In promotional materials, MBC told investors that its viatical settlements offered a fixed rate of return with low risk, and that investors’ principal and returns were paid by the insurance companies. Under Steinger’s direction, MBC misrepresented various important facts relating to its viatical settlements, including, for example, the estimated life expectancies of the insured persons, the supposedly independent role of doctors determining those life expectancies, MBC’s fraudulent methods used to acquire life insurance policies, the risks associated with certain policies, the payment of premiums, and the source of funds used to pay investors.

Steinger, already a convicted felon at the time of the MBC fraud, hid behind a figurehead company president to conceal a criminal and disciplinary history that otherwise would have prevented the company from obtaining a license to conduct business in Florida and elsewhere.

Evidence supporting his conviction also established that new investor money was used to pay premiums on life insurance policies purchased by earlier investors and to pay investors who requested their money back. In essence, the evidence demonstrated that Steinger and his co-conspirators were operating a Ponzi-like scheme, using new investor money to pay for earlier investor obligations, and that money from new investors was continuously required to prevent the MBC Ponzi-scheme from collapsing, which, ultimately, it did.

Co-defendant Steiner was also a founding principal of MBC, was actively involved in MBC’s marketing and promotional activities, and encouraged investors to buy MBC’s investments. On September 3, 2013, Steiner pled guilty to charges in the same case. Steiner was also found guilty by a federal jury in a related case, United States v. Steven Steiner, No. 11-20578-CR-Williams in connection with money laundering and obstruction of justice related to the use and concealment of more than $15 million dollars in proceeds derived from the MBC fraud. Steiner was sentenced to a total of 15 years in prison.

Co-defendant Livoti, Jr. was convicted for his role in the MBC fraud on December 4, 2013, after a jury trial. Livoti was sentenced to 10 years in prison.

Today’s sentencing also resolved Steinger’s more recent Case No. 12-CR-20123-Scola, charging conspiracy to commit mail and wire fraud against health insurers, where Steinger, his brother Steven Steiner, and his brother’s life partner, Henry Fecker, made false claims of employment in order to secure group health coverage. Steinger received a total sentence of 20 years, followed by three years of supervised release to run concurrently with the sentence imposed in the MBC case. Mr. Ferrer commended the investigative efforts of the Internal Revenue Service, Criminal Investigation. This case was prosecuted by Assistant U.S. Attorneys Jerrob Duffy, Dwayne Williams and Alison W. Lehr.

Mr. Ferrer commended the investigative efforts of the FBI and the Miami Regional Office of the Securities and Exchange Commission, which previously brought a civil action against MBC and its principals. The MBC case is being prosecuted by Assistant U.S. Attorneys Karen Rochlin and Alison W. Lehr.

A copy of this press release may be found on the website of the United States Attorney's Office for the Southern District of Florida at http://www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.

Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, Donnell Young, Acting Special Agent in Charge, Internal Revenue Service, Criminal Investigation (IRS-CI), and George L. Piro, Special Agent in Charge, Federal Bureau of Investigation (FBI), Miami Field Office, announce that Irene Shannon, formerly known as Irene Stay, 50, of Miami, was sentenced today in Miami by U.S. District Judge Ursula Ungaro to five years in prison, to be followed by two years of supervised release.

On May 21, 2014, Shannon pled guilty to conspiracy to commit money laundering and bank fraud, in violation of Title 18, United States Code, Section 371, through the operation of the former Fort Lauderdale law firm of Rothstein, Rosenfeldt and Adler, P.A. (RRA). Shannon was the Chief Financial Officer of RRA. In 2009, it was discovered that RRA was being utilized by its Chairman and Chief Executive Officer, Scott W. Rothstein, to commit a massive Ponzi scheme stemming from the sale of fictitious confidential settlements.

When she entered her guilty plea, Shannon admitted that she oversaw the accounting functions of RRA, including the deposits and withdrawals made by RRA and Rothstein at TD Bank and other financial institutions. In furtherance of the Ponzi scheme, Shannon transferred hundreds of millions of dollars obtained from investors to pay prior investors in the scheme and to supplement and support the operation and activities of RRA, among other purposes. The defendant further admitted that she was well aware that hundreds of millions of dollars were not being held in trust accounts for investors, contrary to what those investors had been told, and that the funds were instead being disbursed to further Rothstein’s fraudulent scheme. The defendant also admitted that she utilized her position to float checks between and among certain bank accounts maintained by RRA in a form of bank fraud commonly known as “check kiting.”

Mr. Ferrer commended the investigative efforts of the IRS-CI and FBI. This case is being prosecuted by Assistant U.S. Attorneys Lawrence D. LaVecchio, Paul F. Schwartz, and Jeffrey N. Kaplan.

A copy of this press release may be found on the website of the United States Attorney's Office for the Southern District of Florida at http://www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.

Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, and George L. Piro, Special Agent in Charge, Federal Bureau of Investigation (FBI), Miami Field Office, announce that Haider Zafar, 36, formerly of Miami-Dade County, has been charged with five counts of wire fraud in connection with an investment scam that yielded millions of dollars from investors and Miami Heat premium ticket package.

If convicted, Zafar faces a maximum penalty of 20 years in prison on each wire fraud count.

According to the indictment, Zafar would introduce and portray himself as Haider Zafar Haswhani, a member of a wealthy and influential Pakistani family that operated several hotels, including the Marriott Hotel bombed in Islamabad, Pakistan, textile plants and oil businesses. He claimed he lived in a penthouse in The Essex house in New York, but also had residences at The Setai, the Mondrian, and 10 Museum Park, across the street from the American Airlines Arena.

In approximately October of 2012, Zafar approached a Miami Heat sales executive and said he wanted to purchase a premium three-season ticket package, which would cost $1,055,000, along with other items related to the Miami Heat and games played at the American Airlines Arena. He was provided the package in anticipation of later payment.

Shortly thereafter, and using this same identity, the indictment alleges Zafar obtained a loan and millions of dollars from investors wanting to invest in an investment opportunity he proposed to them. Zafar, according to the indictment, never invested anything, and instead used the money provided for personal expenses and to pay a portion of what was owed for the Miami Heat tickets.

Though at the time of this offense Zafar was living in Miami-Dade County, Zafar is presently incarcerated in Ohio awaiting sentencing on federal fraud charges there.

Mr. Ferrer commended the investigative efforts of the FBI. The case is being prosecuted by Assistant U.S. Attorney Luis M. Pérez.

An indictment is only an accusation and a defendant is presumed innocent until and unless proven guilty.

A copy of this press release may be found on the website of the United States Attorney's Office for the Southern District of Florida at http://www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.

The owner of a Florida mortgage company, seven employees of the company and two real estate developers were indicted in the Southern District of Florida in connection with an alleged $50 million mortgage fraud scheme.

U.S. Attorney Wifredo A. Ferrer of the Southern District of Florida, Assistant Attorney General Leslie R. Caldwell of the Justice Department’s Criminal Division and David A. Montoya, Inspector General for the Department of Housing and Urban Development (HUD) made the announcement.

Hector Hernandez, 56, of Miami, Florida, the owner and operator of Great Country Mortgage Bankers (Great Country), a mortgage lender in Miami, was charged with one count of conspiracy to commit wire fraud affecting a financial institution and 25 counts of wire fraud affecting a financial institution. Great Country loan officers Durand Deeb, 43, of Miami, Frank Carino, 48, of Apollo Beach, Florida, and Fabian Perez, 39, of Miami; Great Country loan processors Juliette Del Rio, 37, of Miami, and Julissa Saavedra, 43, of Miami,; Great Country underwriters Olga Hernandez, 58, of Lake Mary, Florida, and Olga Rodriguez, 53, of Miami; and real estate developers Armando Bravo, 42, of Coral Gables, Florida, and Aleida Fontao, 61, of Miami, were also indicted for conspiracy to commit wire fraud affecting a financial institution and varying counts of wire fraud affecting a financial institution.

According to the indictment, beginning in January 2006 and continuing through September 2008, Hernandez and others allegedly obtained mortgage loans insured by the Federal Housing Administration (FHA), a division of HUD, for unqualified borrowers by exaggerating the borrowers’ income and otherwise misrepresenting their financial condition.

Specifically, Hernandez and others allegedly created false documents on behalf of borrowers who could not otherwise qualify for FHA-insured loans due to insufficient income, high levels of debt, and outstanding collections. These documents included bogus earnings statements that inflated the borrowers’ income and false verification of employment forms that overstated their work histories.

In addition to creating these false documents, Hernandez and others allegedly offered the unqualified borrowers cash back after closing as an incentive to purchase condominiums. These secret payments were not disclosed in the loan applications and were omitted from loan closing documents so that HUD and the financial institutions that subsequently purchased the loans would not know of their existence.

By later selling the fraudulent loans to financial institutions, Great Country transferred the risk of loss to those institutions . The vast majority of the unqualified borrowers failed to meet their monthly mortgage obligations and defaulted on their loans. When the loans went into foreclosure, HUD, which insured the loans, was required to pay the outstanding balances to the financial institutions, resulting in losses in excess of $50 million to the agency.

The charges contained in an indictment are merely accusations, and a defendant is presumed innocent unless and until proven guilty.

This case is being investigated by HUD’s Office of Inspector General with assistance from the U.S. Marshals Service, Miami-Dade Police Department Warrants Bureau and Miami-Dade State Attorney’s Office – Public Corruption Task Force. This is being prosecuted by Senior Litigation Counsel David A. Bybee and Trial Attorney Michael T. O’Neill of the Criminal Division’s Fraud Section.

A copy of this press release may be found on the website of the United States Attorney's Office for the Southern District of Florida at http://www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.

Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, George L. Piro, Special Agent in Charge, Federal Bureau of Investigation (FBI), Miami Field Office, John A. Bolduc, Chief, Port St. Lucie Police Department, Ken J. Mascara, St. Lucie County Sheriff’s Office, Sean Baldwin Chief, Ft. Pierce Police Department, J. Michelle Morris, Chief, Sebastian Police Department, and Deryl Loar, Sheriff, Indian River Sheriff’s Office, announce the sentencing of Anthony Isaac Johnson, 25, and Allen Demetrius Bradford, 23, both of West Palm Beach, by U.S. District Judge Jose E. Martinez. Johnson was sentenced to 35 years in prison, followed by five years of supervised release. Bradford was sentenced to 481 months (over 40 years) in prison, followed by five years of supervised release.

Previously sentenced in this case were defendants Ivory Lee Robinson, III, 22, and Tomaleesha Jeffie Laqua McKeliver, 22, both of West Palm Beach, by U.S. District Judge Donald L. Graham. Robinson, a career offender, was sentenced to 262 months in prison, followed by five years of supervised release on February 27, 2014. McKeliver was sentenced to 102 months in prison, followed by three years of supervised release on December 16, 2013.

Defendants Raven Simone Sayers, 23, of Hallandale, Herbert Lenorris Smith, 37, of West Palm Beach, and Joe JR Desilien, 25, of West Palm Beach, were previously sentenced by Judge Martinez. Sayers was sentenced to 162 months in prison, followed by three years of supervised release on March 10, 2014. Smith was sentenced to 204 months, followed by five years of supervised release on May 20, 2014. Desilien was sentenced to 194 months, followed by five years of supervised release on July 14, 2014.

Paul Edward Moore pled guilty on May 14, 2014, and is scheduled to be sentenced on November 18, 2014.

Each of the defendants previously pled guilty to interference with commerce by robbery (Hobbs Act), in violation of Title 18, United States Code, Section 1951, and using and carrying a firearm in furtherance of a crime of violence, in violation of Title 18, United States Code, Section 924(c).

According to court documents, between June 8, 2013 and July 8, 2013, employees of five PNC bank branches, located in the counties of Indian River, Volusia, Hillsborough, and St. Lucie Counties, were robbed at gunpoint by three black males, whose faces were covered, wearing gloves. In all of the robberies, one male would brandish a handgun, while the other two approached and/or jumped the tellers’ counters demanding money.

On June 8, 2013, three black males entered the PNC Bank in Sebastian. Moore, Johnson and a third male ran into the bank, with Moore and Johnson jumping over the counter, with the third male remaining in the lobby area, brandishing a semiautomatic handgun. Bank employees and a customer, who was at the front counter, were ordered and forced to the floor, as the Moore and Johnson searched the teller drawers. After taking a large quantity of cash, which included a dye pack, all three males fled in a stolen vehicle, which they abandoned nearby.

On June 20, 2013, Moore, Johnson and Bradford entered the PNC Bank in Port Orange with faces covered and wearing gloves. Bradford brandished a firearm at the bank employees, while Moore and Johnson jumped the teller counters, demanding and taking United States currency. The three males fled the bank in a stolen vehicle, driven by Desilien, which was found abandoned nearby. Prior to the robbery, at a nearby McDonald’s restaurant, surveillance camera shows Moore, with Johnson and Desilien.

On July 1, 2013, Moore, Johnson and Bradford entered the PNC Bank in Tampa with faces covered, wearing gloves. One male brandished a firearm at the bank employees while the other two males jumped the teller counters, demanding and taking United States currency. The three males fled the bank in a stolen vehicle, found abandoned nearby. On this date, Sayers was in possession of a leased vehicle, in which the robbers fled the Tampa area.

During the night of July 7, 2013, into the early morning hours of July 8, 2013, Johnson, Moore, Bradford, Desilien, Sayers, Robinson, McKeliver, and Smith, met in West Palm Beach and planned and agreed to rob two St. Lucie County PNC banks at gun point. In order to carry out the two robberies, the group separated into two teams. The plan was for each team to have a female as a getaway driver and three males. Sayers and McKeliver agreed to be the robbery getaway drivers. Each team would steal a van, rob each of the banks at gunpoint, with their faces covered, leave the bank in the van, and transfer into the getaway vehicles, in order to flee the area. Sayers and McKeliver drove rental cars. The two teams travelled from Palm Beach County to St. Lucie County in the two rented cars. While en route, the two teams remained in cellular phone contact with one another. Once in St. Lucie County, the teams scouted PNC Banks and escape routes and stole two vans in Ft. Pierce for use in the two bank robberies. Later on July 8, 2013, two St. Lucie County PNC Banks were robbed at gunpoint, almost simultaneously. Law enforcement eventually identified, located, arrested and charged Sayers, Robinson, McKeliver, and their co- conspirators.

Mr. Ferrer commended the investigative efforts of the FBI, Port St. Lucie Police Department, St. Lucie County Sheriff’s Office, Ft. Pierce Police Department, Sebastian Police Department, Indian River Sheriff’s Office, Palm Beach County Sheriff’s Office, Port Orange Police Department, and Hillsborough County Sheriff’s Office for their work on this case. The case is being prosecuted by Assistant U.S. Attorney Carmen Lineberger.

A copy of this press release may be found on the website of the United States Attorney's Office for the Southern District of Florida at http://www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.

Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, Ronald A. Cimino, Deputy Assistant Attorney General of the Justice Department’s Tax Division, and Donnell Young, Acting Special Agent in Charge, Internal Revenue Service, Criminal Investigation (IRS-CI), announce that Claudia Zuloaga, 43, and Sharon Elizabeth Angulo, 49, both of Miami, have been charged in a 32 count indictment with one count of conspiring to defraud the United States, in violation of Title 18, United States Code, Section 371, and 20 and 11 counts, respectively, of assisting in the preparation of false federal income tax returns, in violation of Title 26, United States Code, Section 7206(2).

If convicted, the defendants face a maximum of five years in prison on the conspiracy count and a maximum of three years in prison on each of the Title 26 counts.

According to the indictment, beginning in approximately September 2008 and continuing through September 2012, the defendants jointly operated a tax preparation business from offices located at 18710 SW 107th Avenue, Miami, Florida. The indictment further alleges that Zuloaga and Angulo recruited clients by falsely representing that they could eliminate a substantial portion of their debts by obtaining sizable tax refunds for them. As alleged in the indictment, this would be accomplished through false and fraudulent tax returns which the defendants would prepare for each client in exchange for fees usually amounting to 30percent of the tax refunds fraudulently obtained and totaled in excess of $250,000 from those clients who were successful in receiving fraudulently obtained refunds.

As further alleged in the indictment, the tax returns prepared by the defendants falsely set forth that certain financial institutions had withheld sizable amounts of tax from falsely declared interest income earned from these same financial institutions. Through this fraudulent mechanism, each return gave the false appearance of entitling the client to a significant tax refund due to over-withholding of tax payments in connection with their claimed interest earnings. In addition, the indictment alleges that, in order to provide false substantiation for these fraudulent tax refund claims, the defendants caused fictitious IRS Forms 1099-OID to be created which set forth the false interest and tax withholding amounts fraudulently reported upon their clients’ tax returns.

The indictment also alleges that Zuloaga and Angulo promoted the fictitious “redemption theory” to their clients as the purported justification for their fraudulent tax refund claims. Through this promotion, clients were falsely informed that the submission of tax returns in this manner allowed their clients to legitimately access large amounts of money allegedly contained in certain non-existent “straw man” accounts which the defendants claimed were being maintained by the United States Treasury for each individual who possessed a Social Security number.

As part of the conspiracy, Zuloaga and Angulo are also alleged to have engaged in various acts designed to prevent the IRS from investigating their fraudulent activities and collecting the repayment of any tax refunds falsely and fraudulently obtained. These acts included the submission of numerous false documents on behalf of both their clients and themselves which were designed to obstruct the IRS from taking investigative and enforcement actions against their clients and themselves.

Mr. Ferrer commended the investigative efforts of the IRS-CI. The case is being prosecuted by Assistant U.S. Attorney Peter B. Outerbridge and the department’s Tax Division Trial Attorney Alexander Effendi

An indictment is only an accusation and a defendant is presumed innocent until and unless proven guilty.

A copy of this press release may be found on the website of the United States Attorney's Office for the Southern District of Florida at http://www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.

Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, George L. Piro, Special Agent in Charge, Federal Bureau of Investigation (FBI), Miami Field Office, and Danny Banks, Special Agent in Charge, Orlando Regional Operations Center, Florida Department of Law Enforcement (FDLE), announce that Paul Elvidge, 54, of Port Saint Lucie, was sentenced by U.S. District Judge Jose E. Martinez to 87 months in prison, followed by three years supervised release, and ordered to pay restitution in the amount of $1,289,878 for embezzling from client investment accounts while acting as a securities broker for Cape Securities, Inc. (Cape Securities) and Seacoast Investor Services, Inc. (Seacoast).

Specifically, Elvidge was sentenced to 63 months in prison for eight counts of wire fraud, in violation of Title 18, United States Code, Section 1343, followed by a consecutive 24 months on the aggravated identity theft count, in violation of Title 18, United States Code, Section 1028A.

According to court documents, Elvidge, formerly a registered representative and stockbroker with Cape Securities and Seacoast from 2010 to 2012, did willfully and knowingly obtain money fraudulently by authorizing numerous wire transfers from his clients’ brokerage accounts to his own personal bank and brokerage accounts.

To carry out the fraud, Elvidge prepared fraudulent letters of authorization directing that funds be transferred from a client’s account to his own Seacoast brokerage or his PNC bank account. He would then forge the client’s signature on the letter of authorization to make it appear that the transfer was authorized by the account holder. Thereafter, he would fax the fraudulent letter of authorization to Cape Securities’ main office in Georgia, or – when he operated as Seacoast – to Pershing LLC, which was the clearing house used to conduct Seacoast transactions. Once the money was transferred to his accounts, he used the money to pay his personal and business expenses, and to conduct day trades through a personal account he had at AMP Global Clearing.

Mr. Ferrer commended the investigative efforts of the FBI and FDLE. This case was prosecuted by former Assistant U.S. Attorney Shaniek Maynard.

A copy of this press release may be found on the website of the United States Attorney's Office for the Southern District of Florida at http://www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.

A co-owner of Professional Medical Home Health LLC was sentenced today to serve 70 months in prison and ordered to pay $6.2 million in restitution for her participation in a health care fraud scheme involving the now defunct home health care company.

U.S. Attorney Wifredo A. Ferrer of the Southern District of Florida, Assistant Attorney General Leslie R. Caldwell of the Justice Department’s Criminal Division, Special Agent in Charge George L. Piro of the FBI’s Miami Field Office, and Acting Special Agent in Charge Reginald France of the U.S. Department of Health and Human Services Office of Inspector General (HHS-OIG), Office of Investigations Miami Office made the announcement. U.S. District Judge Federico A. Moreno of the Southern District of Florida imposed the sentence.

According to court documents, Annarella Garcia, 44, of Hialeah, Florida, was a co-owner of Professional Medical Home Health, a Miami home health care agency that purported to provide home health and therapy services to Medicare beneficiaries. Between December 2008 and February 2014, Garcia and others engaged in a scheme to bill the Medicare Program for expensive physical therapy and home health care services that were not medically necessary or were not provided. During that time, Professional Medical Home Health was paid approximately $6.25 million by Medicare for the fraudulent claims.

Specifically, Garcia and her co-conspirators paid kickbacks and bribes to patient recruiters in return for their providing patients to Professional Medical Home Health for home health and therapy services that were not medically necessary or were not provided. In furtherance of the scheme, Garcia and her co-conspirators falsified patient documentation to make it appear that beneficiaries qualified for and received home health care services, when, in fact, many of the beneficiaries did not actually qualify for such services and did not receive such services.

Garcia pleaded guilty to conspiracy to commit health care fraud on June 25, 2014.

The case was investigated by the FBI and HHS-OIG and was brought as part of the Medicare Fraud Strike Force, under the supervision of the Criminal Division’s Fraud Section and the U.S. Attorney’s Office for the Southern District of Florida. This case is being prosecuted by Trial Attorneys A. Brendan Stewart and Anne P. McNamara of the Criminal Division’s Fraud Section.

Since its inception in March 2007, the Medicare Fraud Strike Force, now operating in nine cities across the country, has charged nearly 1,900 defendants who have collectively billed the Medicare program for more than $6 billion. In addition, the HHS Centers for Medicare and Medicaid Services, working in conjunction with the HHS-OIG, are taking steps to increase accountability and decrease the presence of fraudulent providers.

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

A copy of this press release may be found on the website of the United States Attorney's Office for the Southern District of Florida at http://www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.

Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, Paula Reid, Special Agent in Charge, United States Secret Service (USSS), Miami Field Office, and Ronald J. Verrochio, Inspector in Charge, United States Postal Inspection Service (USPIS), Miami Division, announce that Robert Bacon, 35, of West Newbury, Massachusetts, was sentenced by U.S. District Judge Kenneth Marra to 72 months in prison, to be followed by three years of supervised release and payment of restitution in an amount to be determined. Bacon previously pled guilty to charges of conspiracy to commit mail fraud and wire fraud, and mail fraud, in violation of Title 18, United States Code, Sections 1349 and 1341.

Eight of ten defendants charged in this case have pled guilty to the charges, which involved a scheme to bilk thousands of homeowners who were struggling to make their mortgage payments. Defendants Jason Vitulano and Jeffrey Taylor are currently set for trial starting on November 10, 2014.

According to the indictment and other documents filed in the case, between September 2008 and August 2009, the defendants operated boiler rooms that collected advance fees from distressed homeowners purportedly in exchange for obtaining loan modifications for the homeowners which were, with few exceptions, never provided.

The other defendants who have previously been sentenced include the following, with their respective sentences:

• Peter Brown, 27, of Sound Beach, NY, was sentenced to 33 months in prison and two years of supervised release;
• Ajay Thuraisingham, 27, of Ontario, Canada, was sentenced to 54 months in prison and three years of supervised release;
• Christopher Duharte, 36, of Coconut Creek, was sentenced to 30 months in prison and three of years supervised release;
• Gregory Small, 29, of Boca Raton, was sentenced to 30 months in prison and two years of supervised release;
• Arthur Fogarty, 57, of Hollywood, was sentenced to 21 months in prison and two years of supervised release.

Co-defendants Neil Sack, 40, of Ft. Lauderdale, and Brian Fleuridor, 30, of Delray Beach, are each scheduled for sentencing on September 26, 2014, at 9:00 a.m. and 9:30 a.m., respectively.

The indictment alleges that Jason Vitulano was the organizer and operator of FHA All Day.com, Inc. and two other companies, Housing Assistance Law Center, Inc. and Safety Financial Corp., which operated the boiler rooms in Boca Raton and later in Deerfield Beach. According to the indictment and the factual proffers submitted in support of the guilty pleas, Robert Bacon was an operations manager who wrote and edited sales scripts, while the other eight defendants served as team managers of four to eight telemarketers who made thousands of phone calls to homeowners behind on their mortgage payments.

As alleged in the indictment, the defendants made false statements to the homeowners including telling homeowners they had already been approved or pre-approved for a loan modification that would save the homeowner a specific amount off their mortgage payment, reducing the interest rate and often the principal balance on the mortgage loan. The defendants, according to the indictment, routinely told customers that they had been approved by an “underwriter” and that they had a team of “expert attorneys” who would finalize the loan modifications.

The indictment further alleges that the defendants targeted homeowners across the country who were facing foreclosure, falsely telling them that the company would stop the foreclosure process and that homeowners could stop making mortgage payments while they waited for the company to finalize their loan modifications. FHA All Day, as alleged in the indictment, moved its offices and changed the corporate name several times to avoid law enforcement scrutiny and to hamper consumer complaints. Through the use of these and other false representations, the defendants, according to the indictment, induced over 2,000 distressed homeowners to pay up front fees totaling more than seven million dollars to the defendants.

Mr. Ferrer commended the investigative efforts of USSS and USPIS. This case is being prosecuted by Assistant U.S. Attorney Lauren Jorgensen.

A copy of this press release may be found on the website of the United States Attorney's Office for the Southern District of Florida at http://www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.

Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, Donnell Young, Acting Special Agent in Charge, Internal Revenue Service, Criminal Investigation (IRS-CI), and Amos Rojas, Jr., U.S. Marshal, U.S. Marshals Service (USMS), announce the indictment of seven individuals for their roles in a stolen identity tax refund fraud scheme. The indictment charges defendants Lukner Blanc, 31, of Royal Palm Beach, Frank Fleuzinord, 29, of Cape Coral, Jean Juste, a/k/a “Junior” or “Shorty,” 24, of West Palm Beach, Benoit Placide, a/k/a “Snow” or “Mario,” 26, of West Palm Beach, Shelda Phadael, 28, of Lake Worth, Marie Claude, 25, of Lantana, and Marie Demesyeux, 29, of Lake Worth. Six of the defendants have been arrested. Fleuzinord remains at-large.

Defendants Phadael, Claude, and Demesyeux were arraigned today before United States Magistrate Judge Dave Lee Brannon. All three of the defendants pled not guilty. A trial date has not yet been set. Placide’s arraignment is scheduled for August 26, 2014, Juste’s arraignment is scheduled for August 27, 2014, and Blanc’s arraignment is scheduled for August 28, 2014.

All defendants are charged with one count of conspiracy to receive, conceal and retain monies stolen from the United States, in violation of Title 18, United States Code, Section 371.

In addition, Defendant Blanc is charged with three counts of theft of government money, in violation of Title 18, United States Code, Section 641, nine counts of aggravated identity theft, in violation of Title 18, United States Code, Section 1028A(a)(1), and five counts of wire fraud, in violation of Title 18, United States Code, Section 1343. Defendant Fleuzinord is charged with two counts of aggravated identity theft. Defendant Juste was charged with one count of theft of government money, five counts of aggravated identity theft, and five counts of wire fraud. Defendant Placide is charged with five counts of aggravated identity theft and five counts of wire fraud. Defendant Phadael is charged with one count of theft of government money.

Defendants Claude and Demesyeux are each charged with one count of perjury, in violation of Title 18, United States Code, Section 1623(a), for making a false statement while testifying under oath before a Federal Grand Jury.

According to court documents, the defendants stole the identities of real persons (names, dates of birth, and Social Security numbers) and used the information to file fraudulent income tax returns online to the IRS. The defendants opened personal bank accounts and purchased debit cards that were utilized to receive the fraudulent income tax refunds. After the fraudulent refunds were sent by wire to the bank accounts and debit cards, the defendants and their co-conspirators withdrew the funds at automatic teller machines (ATMs) and point of sale electronic terminals at various retail establishments.

If convicted, the defendants face a maximum of five years in prison for the conspiracy charge, a maximum of ten years in prison for the theft of government money charge, a mandatory term of two years in prison for the aggravated identity theft charge, a maximum of twenty years in prison for the wire fraud charge, and a maximum of five years in prison for the perjury charge.

Mr. Ferrer commended the investigative efforts of IRS-CI and the USMS Regional Fugitive Task Force. This case is being prosecuted by Assistant U.S. Attorney Stephen Carlton.

An indictment is only an accusation and a defendant is presumed innocent until and unless proven guilty.

A copy of this press release may be found on the website of the United States Attorney's Office for the Southern District of Florida at http://www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.

Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, Donnell Young, Acting Special Agent in Charge, Internal Revenue Service, Criminal Investigation (IRS-CI), and Paula Reid, Special Agent in Charge, United States Secret Service (USSS), Miami Field Office, announce that Mark Anthony Dacres, Jr., 30, of Homestead, was sentenced today before U.S. District Judge Ursula Ungaro to 81 months in prison, to be followed by three years of supervised release. Dacres was also ordered to pay $34,920.00 in restitution.

Dacres previously pled guilty to one count of possessing fifteen or more unauthorized access devices (social security numbers), in violation of Title 18, United States Code, Section 1029(a)(3), and one count of aggravated identity theft, in violation of Title 18, United States Code, Section 1028A(a)(1).

According to court documents, special agents executed a search warrant at the residence where Dacres stayed and found numerous prepaid debit cards, printed lists, handwritten notes/papers and books containing the names, date of births, and social security numbers of at least 1,750 individuals. Eighty-five tax returns were filed from the IP address registered to the residence using the names and social security numbers of individuals found on the printed lists and handwritten notes/papers. IRS-CI special agents contacted six of these eighty-five taxpayers and all six taxpayers stated that they did not know Dacres, that they did not authorize Dacres to possess their names, date of births, and social security numbers, and that they did not authorize Dacres to file federal tax returns for the 2013 tax year using their names and social security numbers.

Mr. Ferrer commended the investigative efforts of the Identity Theft Strike Force, with special commendation to IRS-CI and the USSS. The case was prosecuted by Assistant U.S. Attorney Gera R. Peoples.

A copy of this press release may be found on the website of the United States Attorney's Office for the Southern District of Florida at http://www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.

A Lighthouse Point, Florida, man was sentenced today to serve 12 months and one day in prison for filing a false claim for a tax refund with the Internal Revenue Service (IRS), U.S. Attorney Wifredo Ferrer for the Southern District of Florida and Deputy Assistant Attorney General Ronald A. Cimino of the Justice Department’s Tax Division announced.

Bradley Bowman was also ordered to pay $300,403 in restitution to the IRS and to serve three years of supervised release. According to court documents, in 2009, Bowman submitted to the IRS a false individual income tax return for tax year 2005 that fraudulently claimed a refund of $299,024. Bowman engaged Penny Jones, who is currently serving 12 years in prison in a related case involving more than 380 false returns, to prepare this false return. Bowman fraudulently claimed his gross income was $447,036 and then falsely claimed that all of his income was withheld to satisfy his income tax liabilities. Bowman pleaded guilty to this charge on May 27.

The case was investigated by special agents of the IRS-Criminal Investigation. The case is being prosecuted by Assistant U.S. Attorney Bertha Mitrani for the Southern District of Florida and Trial Attorney Greg Bailey of the Tax Division.

Additional information about the Tax Division and its enforcement efforts may be found at the division website.

A copy of this press release may be found on the website of the United States Attorney's Office for the Southern District of Florida at http://www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.

Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, David W. Bourne, Special Agent in Charge, U.S. Food and Drug Administration (FDA), Office of Criminal Investigations, Miami Field Office, and Ric Bradshaw, Sheriff, Palm Beach Sheriff’s Office (PBSO), announce that Frank Fiore, 59, of Parkland, Gary Lee Jones, 55, of Boca Raton, and Anthony Carbone, 32, of Deerfield Beach, have been charged with conspiring to possess Alprazolam, a controlled substance, with the intent to distribute it, conspiring to traffic in counterfeit Xanax, distributing Alprazolam, and trafficking in counterfeit Xanax. In addition, Fiore and Carbone have been charged with conspiring to possess anabolic steroids and 500 grams or more of cocaine with the intent to distribute them, distributing anabolic steroids, and attempting to possess 500 grams or more of cocaine with the intent to distribute it. Jones has also been charged with possession of a firearm after conviction for a felony.

According to the allegations in the complaints and indictment, the defendants initially sold an undercover officer counterfeit Xanax. The tablets contained Alprazolam, which is the active ingredient in Xanax and is a Schedule IV controlled substance. In addition, Jones, who has a prior felony conviction, sold the undercover officer a ROMARM Wassenaar Arrangement Semiautomatic Rifles, a Romanian variant of the AK-47 rifle, for $1,000 cash. Fiore and Carbone then sold a second undercover officer various anabolic steroids. Carbone, with Fiore’s assistance, also attempted to buy a kilogram of cocaine from a second undercover officer. During the course of these drug dealings, Fiore also asked the undercover officer to kill an associate of Fiore’s and to “beat up” another associate.

Evidence at trial established that Burke and Garland created fictitious companies, including Next Level Development, and used an abandoned coin laundry in Delray Beach, to create an empire of fraudulently obtained investment properties. The abandoned coin laundry had a mailbox that served as the official address for the defendants, various fake companies, and other conspirators and fictitious individuals. Trial evidence established that Burke and Garland used fake documents, including false wage and tax documents, and false claims of employment and income, to obtain bank loans for investment properties in low-income neighborhoods. Garland was held out as the “President” of Next Level, and would sell properties to Burke, using his alias, “David Middleton.” The defendants would then enroll the properties in the U.S. Department of Housing and Urban Development (HUD), Section 8 voucher program, and obtain proceeds from HUD and from low-income tenants. The defendants then used false claims of status for Burke and also for the fake name, “David Middleton,” as total and permanent disabled veterans to avoid property taxes on various fraudulently obtained properties. Burke and his fake alias were neither veterans nor disabled. Trial evidence established that the loans and rental proceeds totaled millions of dollars.

If convicted, Fiore faces maximum possible statutory sentences of 40 years in prison for conspiring to possess controlled substances with the intent to distribute them; 40 years in prison for attempting to possess cocaine with the intent to distribute it; 20 years in prison for conspiring to traffic in counterfeit Xanax; 20 years in prison for each of the four counts of trafficking in counterfeit Xanax; 10 years in prison for each of the two counts of distributing anabolic steroids; and five years in prison for each of the four counts of distributing Alprazolam.

If convicted, Jones faces maximum possible statutory sentences of 20 years in prison for conspiring to traffic in counterfeit Xanax; 20 years in prison for each of the two counts of trafficking in counterfeit Xanax; 10 years in prison for possession of a firearm after conviction for a felony; five years in prison for conspiring to possess Alprazolam with the intent to distribute it; and five years in prison for each of the three counts of distributing Alprazolam.

If convicted, Carbone faces maximum possible statutory sentences of 40 years in prison for conspiring to possess controlled substances with the intent to distribute them; 40 years in prison for attempting to possess cocaine with the intent to distribute it; 20 years in prison for conspiring to traffic in counterfeit Xanax; 20 years in prison for each of the four counts of trafficking in counterfeit Xanax; 10 years in prison for each of the three counts of distributing anabolic steroids; and five years in prison for each of the two counts of distributing Alprazolam.

Mr. Ferrer commended the investigative efforts of FDA–Office of Criminal Investigations and PBSO. This case is being prosecuted by Assistant U.S. Attorney Marc Osborne.

An indictment and information is only an accusation and a defendant is presumed innocent unless and until proven guilty.

A copy of this press release may be found on the website of the United States Attorney's Office for the Southern District of Florida at http://www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.

Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, Donnell Young, Acting Special Agent in Charge, Internal Revenue Service, Criminal Investigation (IRS-CI), and George L. Piro, Special Agent in Charge, Federal Bureau of Investigation (FBI), Miami Field Office, announce that Frank Preve, 70, of Coral Springs, pled guilty today in Ft. Lauderdale before U. S. District Judge James I. Cohn to conspiracy to commit wire fraud, in violation of 18 U.S.C. § 371. At his sentencing, scheduled for December 12, 2014, Preve faces a maximum statutory sentence of up to five years in prison.

In 2009, it was discovered that the law firm of Rothstein, Rosenfeldt and Adler, P.A. (RRA) was being utilized by its Chairman and Chief Executive Officer, Scott W. Rothstein, to commit a massive Ponzi scheme stemming from the sale of fictitious confidential settlements. In a written factual stipulation filed in connection with his guilty plea, Preve admitted that he worked for a number of companies, referred to as “the Banyon Group,” which solicited lenders and investors into the confidential settlement business being offered by Rothstein. The defendant further admitted that, from on or about July 9, 2009 through October 31, 2009, he defrauded investors by not disclosing that Rothstein had failed to make payments that were due to the Banyon Group, that Rothstein had frozen certain bank accounts that were holding investor funds, that certain paperwork was not being prepared, and that verification of the investments was not taking place, all in violation of a private placement memorandum which had been circulated to potential investors by the Banyon Group. The defendant further admitted that, through these material misrepresentations and omissions, Preve caused more than $20 million to be paid by investors to the Banyon Group.

Mr. Ferrer commended the investigative efforts of the IRS-CI and FBI. This case is being prosecuted by Assistant U.S. Attorneys Lawrence D. LaVecchio, Paul F. Schwartz, and Jeffrey N. Kaplan.

A copy of this press release may be found on the website of the United States Attorney's Office for the Southern District of Florida at http://www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.

Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, and Paula Reid, Special Agent in Charge, U.S. Secret Service (USSS), Miami Field Office, announce that Darryl Burke, 50, and Vicki Garland, 50, both of Delray Beach, were sentenced yesterday by U.S. District Judge James I. Cohn for their roles in a multi-million dollar bank fraud scheme spanning from at least 2002 through 2013. Burke was sentenced to 30 years in prison and Garland was sentenced to 15 years in prison.

Previously, Burke and Garland were convicted on February 5, 2014, by a federal jury in Ft. Lauderdale of bank fraud and wire fraud conspiracy, after a two and half week trial. Burke was also convicted of four substantive counts of bank fraud, and Garland was convicted of three substantive counts of bank fraud. Each defendant was also sentenced to serve five years of supervised release and ordered to pay restitution.

Evidence at trial established that Burke and Garland created fictitious companies, including Next Level Development, and used an abandoned coin laundry in Delray Beach, to create an empire of fraudulently obtained investment properties. The abandoned coin laundry had a mailbox that served as the official address for the defendants, various fake companies, and other conspirators and fictitious individuals. Trial evidence established that Burke and Garland used fake documents, including false wage and tax documents, and false claims of employment and income, to obtain bank loans for investment properties in low-income neighborhoods. Garland was held out as the “President” of Next Level, and would sell properties to Burke, using his alias, “David Middleton.” The defendants would then enroll the properties in the U.S. Department of Housing and Urban Development (HUD), Section 8 voucher program, and obtain proceeds from HUD and from low-income tenants. The defendants then used false claims of status for Burke and also for the fake name, “David Middleton,” as total and permanent disabled veterans to avoid property taxes on various fraudulently obtained properties. Burke and his fake alias were neither veterans nor disabled. Trial evidence established that the loans and rental proceeds totaled millions of dollars.

Defendants used the proceeds of the fraud to acquire a multi-residence waterfront compound in Delray Beach, as well as Bentley, Mercedes and Range Rover automobiles, luxury goods, courtside season tickets for the Miami Heat, and to obtain large amounts of cash. Evidence further showed that Burke was convicted in 1997 in the Southern District of Florida of federal bank fraud charges, in relation to conduct that spanned the late 1980s and early 1990s.

Previously, four defendants were convicted in connection with the scheme to defraud multiple lenders. Three title agents, Osvaldo Sanchez, 38, Rafael Amador, 32, both of Miami, Devon Fraser, 31, of Sunrise, and real estate investor Chiquita Alexis, 46, of Boca Raton, all pled guilty to the same conspiracy involving Burke and Garland.

Mr. Ferrer commended the investigative efforts of USSS and the Federal Deposit Insurance Corporation, Office of the Inspector General. This case is being prosecuted by Assistant U.S. Attorneys Jerrob Duffy and Evelyn B. Sheehan.

A copy of this press release may be found on the website of the United States Attorney's Office for the Southern District of Florida at http://www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.

Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, and George L. Piro, Special Agent in Charge, Federal Bureau of Investigation (FBI), Miami Field Office, announce that Ana Alliegro, 44, of Miami, pled guilty today before U.S. District Court Judge Robert N. Scola, Jr. to having violated the Federal Election Campaign Act in connection with the Democratic Party primary election for Florida’s 26th Congressional District. Sentencing for Alliegro has been scheduled for September 10, 2014 at 8:30 a.m. before U.S. District Court Judge Scola.

Specifically, Alliegro pled guilty to engaging in a conspiracy to make false statements to the Federal Election Commission and to violate the contribution limits of the Federal Election Campaign Act (Count 1); making a false statement (Count 2); and making illegal campaign contributions (Counts 3 & 4). At sentencing, Alliegro faces a maximum term of five years in prison on each count and a fine of up to $250,000 on each count.

Mr. Ferrer commended the investigative efforts of the FBI’s Miami Area Corruption Task Force. The case is being prosecuted by Senior Litigation Counsel Thomas J. Mulvihill.

A copy of this press release may be found on the website of the United States Attorney's Office for the Southern District of Florida at http://www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.

Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, Donnell Young, Acting Special Agent in Charge, Internal Revenue Service, Criminal Investigation (IRS-CI), and Ronald J. Verrochio, Inspector in Charge, U.S. Postal Inspection Service (USPIS), Miami Division, announce that Steven Toussaint, 33, and Emmanuel Marvin Alphonse, 28, both of Miami, were sentenced before U.S. District Judge Jose E. Martinez. Toussaint was sentenced to 46 months in prison, to be followed by three years of supervised release. Alphonse was sentenced to 37 months in prison, to be followed by three years of supervised release. Each defendant previously pled guilty to one count of money laundering, in violation of Title 18, United States Code, Section 1956(a)(1)(B)(i).

According to court documents, from January 1, 2011 through July 29, 2011, the defendants engaged in money laundering activities involving the cashing of money orders funded with fraudulent, stolen identity tax refunds. Both Toussaint and Alphonse had their own check cashing accounts at the Cash-A-Check check-cashing store. Steven Toussaint cashed 985 money orders, totaling $490,401, using his own Cash-A-Check account. Emmanuel Marvin Alphonse cashed 581 money orders, totaling $286,995, using his own Cash-A-Check account. The defendants knew that the money orders were funded by unlawful activity, and knowingly conducted the transactions on behalf of third-parties for the purpose of concealing and disguising the nature and source of the unlawful proceeds in exchange for a portion of the funds involved in each transaction.

Mr. Ferrer commended the investigative efforts of IRS-CI and USPIS. The case is being prosecuted by Assistant U.S. Attorney Frank R. Maderal.

A copy of this press release may be found on the website of the United States Attorney's Office for the Southern District of Florida at http://www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.

Two Miami, Florida, residents pleaded guilty this week to participating in a mortgage fraud scheme involving the sale of condominium units in the Miami area.

U.S. Attorney Wifredo A. Ferrer of the Southern District of Florida, Assistant Attorney General Leslie R. Caldwell of the Justice Department’s Criminal Division, Special Agent in Charge Nadine Gurley of the Department of Housing and Urban Development’s Office of the Inspector General in Miami (HUD-OIG) and Acting Inspector General Michael P. Stephens of the Federal Housing Finance Administration (FHFA) made the announcement.

Luis Michael Mendez, 44, and Wilkie Perez, 39, each pleaded guilty to one count of conspiracy to commit bank fraud and wire fraud before U.S. District Court Judge Darrin P. Gayles in the Southern District of Florida. In their pleas, both defendants admitted that they participated in a scheme to place straw buyers in condominium units owned by real estate developers who are members of Mendez’s immediate family in return for a share of the profits.

As part of Mendez’s plea agreement, he admitted participating in a scheme to sell condominium units in developments controlled by members of his immediate family to straw buyers who would neither own nor be financially responsible for the properties. Mendez conspired with two Florida mortgage brokers to finance the fraudulent transactions with loans obtained by submitting false loan applications and supporting documentation. Mendez also admitted submitting false loan applications in his own name to purchase a number of properties. Following the purchase of the units, the seller funneled a portion of the sale proceeds to shell corporations controlled by Mendez. In total, Mendez admitted that his conduct caused a loss of over $3 million.

According to court papers, Perez was a licensed mortgage broker who owned Kinetic Mortgage Group, Inc., a mortgage brokerage company in Miami, Florida. Perez admitted that he and Luis Mendez, one of Mendez’s immediate family members who owned and controlled the real estate developments, entered into an agreement in which Perez arranged for straw buyers to obtain financing to purchase units controlled by Luis Mendez by, among other things, submitting to financial institutions loan applications and supporting documents containing false information about buyers’ employment, income, and assets. Luis Mendez paid kickbacks to Perez out of the loan proceeds following the closings on the properties. Perez, in turn, used a portion of the kickback payments to compensate straw buyers for the use of their identities and credit information. In total, Perez admitted to obtaining more than $2.5 million in fraudulent loans.

Mendez and Perez were indicted by a federal grand jury on March 31, 2014, with Luis Mendez, Stavroula Mendez, Marie Mendez, and Enrique Angulo, who have entered pleas of not guilty and are scheduled for trial beginning Sept. 8, 2014. The charges contained in an indictment are merely accusations, and a defendant is presumed innocent unless and until proven guilty.

The case is being investigated by HUD-OIG and FHFA. The case is being prosecuted by Trial Attorneys Gary A. Winters and Brian Young of the Criminal Division’s Fraud Section.

A copy of this press release may be found on the website of the United States Attorney's Office for the Southern District of Florida at http://www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.

Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, Paula Reid Reid, Special Agent in Charge, United States Secret Service (USSS), Alysa D. Erichs, Special Agent in Charge, U.S. Immigration and Customs Enforcement’s Homeland Security Investigations (ICE-HSI), and Daniel J. Oates, Chief, Miami Beach Police Department, announce that U.S. District Judge Robert N. Scola sentenced Daniel Bays, 30, of Clermont, to 52 months in prison, followed by 25 years of supervised release and registration as a sex offender.

In October 2013, officers of the Miami Electronic Crimes Task Force (MECTF) of the USSS and ICE-HSI identified a user on a peer-to-peer file-sharing network who was in possession of files indicative of child pornography. Through investigation, agents identified that Bays, an anesthesiology resident at Jackson Memorial Hospital, was the user.

Through additional investigation, agents determined that the files in Bay’s digital folder matched files that were known to depict child pornography. From approximately August 7, 2013, through December 4, 2013, the shared folder associated with Bay’s username had displayed over 700 videos with titles indicative of child pornography.

On December 11, 2013, MECTF, assisted by the Miami Beach Police Department, executed a federal search warrant at Bay’s residence, located in Miami Beach. Inside the residence, the agents found Bay’s laptop computer. After conducting a forensic analysis of the computer, law enforcement found images and videos that depicted child pornography that had been downloaded using a peer-to-peer file-sharing program.

On January 10, 2014, a federal grand jury sitting in the Southern District of Florida returned a one-count indictment, charging Bays with possessing child pornography. On April 14, 2014, Bays pled guilty to this crime.

Mr. Ferrer commends the investigative efforts of USSS, ICE-HSI and the Miami Beach Police Department for their assistance and their work on this case. The case is being prosecuted by Assistant U.S. Attorney Cristina Moreno.

A copy of this press release may be found on the website of the United States Attorney's Office for the Southern District of Florida at http://www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.

Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, Donnell Young, Acting Special Agent in Charge, Internal Revenue Service, Criminal Investigation (IRS-CI), and Paula Reid, Special Agent in Charge, United States Secret Service (USSS), Miami Field Office, announce that La Toya Yvette Tillman, 33, of Hollywood, pled guilty today to one count of possessing fifteen or more unauthorized access devices with the intent to defraud, in violation of Title 18, United States Code, Section 1029(a)(3), and one count of aggravated identity theft, in violation of Title 18, United States Code, Section 1028A. Sentencing is scheduled for October 24, 2014 at 9:30 a.m. before U.S. District Judge Darrin P. Gayles. At sentencing, Tillman faces up to ten years in prison for the access device charge, and a mandatory term of two years in prison, consecutive to any other term in prison, for the aggravated identity theft charge.

According to court documents, Tillman, who worked as a medical assistant at Gastroenterology Consultants in Hollywood, confessed to accessing the Memorial Healthcare System database through her computer at work to steal patient identities, including names, dates of birth, and social security numbers, so that she could sell them. She sold an individual approximately 2,000 identities for $1 each, and the individual told her that he used the identities to file fraudulent tax returns. In addition, in her car, Tillman had a list of 114 identities, including names, dates of birth, and social security numbers. Tillman knew that the victims did not authorize her to possess their personal information.

Mr. Ferrer commended the investigative efforts of IRS-CI and the USSS. The case is being prosecuted by Assistant U.S. Attorney Vanessa Snyder.

A copy of this press release may be found on the website of the United States Attorney's Office for the Southern District of Florida at http://www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.

22 defendants have been charged to date; financial institutions report millions of dollars in losses

Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, and George L. Piro, Special Agent in Charge, Federal Bureau of Investigation (FBI), Miami Field Office, announce that five individuals have been charged in connection with a scheme that uses stolen identification information to gain online access to personal bank accounts in order to steal from unwitting account holders. The charges represent the most recent efforts to neutralize this cybercrime scheme, which has already led to 17 convictions in three separate cases. Today’s cases bring the number of people charged in this scheme to 22 in six separate cases. As a result of this fraud, several financial institutions have reported millions of dollars in losses.

Those charged today include Wassim Jamal Abouassali, 22, of Plantation; Luis M. Jimenez, 25, of Miami; Jesus Venereo, 27, of Hialeah; Lazaro Perez, 27, of Hialeah; and Raul Riveron, 43, of Hialeah. Abouassali is charged with conspiracy to commit bank fraud, in violation of 18 U.S.C. §1349, 15 substantive counts of bank fraud, in violation of 18 U.S.C. §1344, and seven counts of aggravated identity theft, in violation of 18 U.S.C. §1028A, all in case number 14-20565-CR-Ungaro. Jimenez is charged with conspiracy to commit bank fraud, in violation of 18 U.S.C. §1349, 22 substantive counts of bank fraud, in violation of 18 U.S.C. §1344, and 10 counts of aggravated identity theft, in violation of 18 U.S.C. §1028A, all in case number 14-20564-CR-Cooke. In case number 14-20566-CR-Williams, Venereo, Perez, and Riveron are charged with conspiracy to commit bank fraud, in violation of 18 U.S.C. §1349; Venereo and Perez are charged in 15 substantive bank fraud counts, in violation of 18 U.S.C. §1344, while Riveron is charged in nine of those same counts; and Venereo and Perez are charged in eight counts of aggravated identity theft, in violation of 18 U.S.C. §1028A, while Riveron is charged in four of those same counts. The indictments allege that Abouassali and Jimenez were tellers at different Wells Fargo bank branches.

All defendants charged have been taken into custody and are expected to make their initial appearances today at 2:00 p.m. before U.S. Magistrate Judge Alicia M. Otazo-Reyes.

If convicted, the defendants face the following possible maximum statutory sentences: 30 years in prison on the bank fraud and bank fraud conspiracy counts; and consecutive two-years in prison on the aggravated identity theft counts.

According to the charges, members of the scheme paid for personal identification information such as names, birthdates and social security numbers, along with bank account numbers, which they would use to make online intrusions into the accounts of victims. In some cases, members of the scheme created online access for accounts where it did not previously exist. Once they obtained access, conspirators changed account passwords and contact information in order to take control of the victims’ accounts. They then used that online access to obtain images of checks and signatures in order to create counterfeit and forged checks. As a final step, additional individuals would be recruited to cash the counterfeit checks at various bank branches. Several financial institutions have reported losses amounting to millions of dollars as a result of this fraud. Today’s arrests involve efforts to target accounts at Wells Fargo, while previous cases have involved intrusions into accounts at other financial institutions.

“Today’s charges involve an alleged modern-day bank robbery scheme that targeted banks using stolen personal identification information (PII) from various individuals to hijack personal checking accounts and steal funds. However, instead of using guns or masks to rob the banks, these charged individuals used the internet,” said U.S. Attorney Wifredo A. Ferrer. “Cybercrime is one of the greatest threats we face today. These cases should serve as a reminder to all consumers to exercise vigilance in protecting their PII and for all institutions to remain vigilant in safekeeping our PII.”

“These indictments are due in large part to the diligent investigative work of the FBI’s Miami Cyber Task Force,” said George L. Piro, Special Agent in Charge, FBI Miami. “More and more, criminals are using the Internet to steal millions of dollars from thousands of account holders without ever stepping inside a bank. The FBI and our partners continue to actively target these fraudsters who seek illicit gains from unwitting victims.”

Mr. Ferrer commended the investigative efforts of the FBI. These cases are being prosecuted by Assistant U.S. Attorney Karen Rochlin.

An indictment is only an accusation and every defendant is presumed innocent until proven guilty beyond a reasonable doubt.

A copy of this press release may be found on the website of the United States Attorney's Office for the Southern District of Florida at http://www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.

Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, and George L. Piro, Special Agent in Charge, Federal Bureau of Investigation (FBI), Miami Field Office, announce that Louis N. Gallo, III, 45, of Parkland, the Vice-President of Commodities Online LLC (COL), pled guilty on Friday, August 8, 2014, for his participation in a $21 million investment fraud scheme.

Gallo pled guilty before U.S. Magistrate Judge Jonathan Goodman to one count of conspiracy to commit mail and wire fraud, in violation of Title 18, United States Code, Section 1349. Sentencing for Gallo is scheduled for October 16, 2014.

According to court documents, Gallo conspired with co-defendants James C. Howard, III, Patricia S. Saa, Michael R. Casey and others to defraud individuals who invested in COL. From approximately January 2010 through April 2011, Howard and his co-conspirators used material false and fraudulent representations and material omissions to obtain over $21 million from over 700 investors.

According to court documents, Gallo and his co-conspirators used COL to sell COL ownership units, subscriptions to the COL website, and investments in purported transactions to buy and sell commodities. Via the COL website, Gallo and his co-conspirators offered investors the opportunity to participate in funding certain purported “pre-sold” commodities contracts. Gallo and his co-conspirators represented to investors that COL had a track record of profits. However, COL did not have profits. Any payments made to investors were made using funds received from newer investors.

Also according to court documents, Gallo and his co-conspirators also caused material misrepresentations to be made about the leaders of COL. After mid-2010, Howard stepped down as President of COL, and Casey, an attorney, became the President of COL. Gallo and his co-conspirators represented to investors that Howard was no longer managing COL, when in fact, Howard remained in charge. Also, Gallo and his co-conspirators did not disclose to investors that both Gallo and Howard had previously been convicted of federal felonies and that Gallo was still serving a term of supervised release.

According to court documents, Gallo and his co-conspirators also made material misrepresentations and omissions about the misuse of funds that COL received from investors. For example, Gallo caused at least $2.5 million to be diverted for himself and his family.

Also according to court documents, after COL was taken over by a court-appointed Receiver, Gallo participated in a similar scheme involving Global Solutions and Acquisitions LLC (GSA). Approximately 50 individuals invested about $1.1 million in GSA. About $200,000 was paid to investors using funds from other investors. The GSA investors lost about $900,000. As part of his plea agreement, Gallo agreed to pay restitution to the victims of both COL and GSA.

Mr. Ferrer commended the investigative efforts of the FBI. This case is being prosecuted by Assistant U.S. Attorneys Ana Maria Martinez and John P. Gonsoulin.

A copy of this press release may be found on the website of the United States Attorney's Office for the Southern District of Florida at http://www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.

Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, and Tracy Dunn, Special Agent in Charge, National Oceanic and Atmospheric Administration (NOAA), Office of Law Enforcement, announce that Eric Burman, 60, of Boca Raton, pled guilty and was sentenced today by Senior U.S. District Court Judge James Lawrence King to a term of three years of probation. Burman was also ordered to pay a fine of $250,000, the fine to be transferred upon receipt to the Magnuson-Stevens Fishery Conservation and Management Act Fund administered by the Department of Commerce, National Oceanic & Atmospheric Administration, pursuant to the authority of Title 16, United States Code, Section 1861(e).

Burman was charged with a one count information with conspiracy to violate the federal Lacey Act, by transporting, selling, receiving, acquiring, and purchasing wildlife, that is Florida spiny lobster (Panulirus argus) with a fair market value in excess of $350.00, knowing that said wildlife was taken, possessed, transported, and sold in foreign commerce, in violation of the laws and regulations of the State of Florida, all in violation of Title 16, United States Code, Sections 3372(a)(2)(A), 3373(d)(1) and (2).

According to statements in court, and the court pleadings, at the relevant times, Burman was President and the sole Director of a Florida corporation with its principal place of business in Pompano Beach. Burman, through the business entity, was engaged in the wholesale commercial seafood industry, including the export of live Florida spiny lobster to the seafood market in China.

Burman admitted that during August and September 2010, he and a co-conspirator purchased spiny lobster from harvesters in Monroe County without creating and providing to the harvesters and the Florida Fish & Wildlife Conservation Commission, trip tickets reflecting the transactions. Thereafter, a co-conspirator of Burman’s caused the lobster to be transported to the corporate business premises in Pompano Beach for packing and shipping in foreign commerce. Burman agreed to allow the co-conspirator to package, mark, and ship the spiny lobster under the corporate entity’s name and through the corporation’s shipping agent. The lobster was ultimately transported from the business in Pompano Beach to a commercial airfreight carrier at Miami International Airport and exported to Hong Kong, China. The charges included a series of “overt acts”, describing multiple instances when specific shipments of spiny lobster were made to China by air freight, and the unlicensed and undocumented purchase of spiny lobsters in the Florida Keys.

Mr. Ferrer commended the investigative efforts NOAA Office of Law Enforcement and U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, Islamorada Field Office. This matter is being prosecuted by Assistant U.S. Attorneys Thomas Watts-FitzGerald and Antonia Barnes.

A copy of this press release may be found on the website of the United States Attorney's Office for the Southern District of Florida at http://www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.

92 defendants have been charged to date in Operation Sledgehammer I-VI

Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, George L. Piro, Special Agent in Charge, Federal Bureau of Investigation (FBI), Miami Field Office, Donnell Young, Acting Special Agent in Charge, Internal Revenue Service, Criminal Investigation (IRS-CI), Jeff Atwater, Florida Chief Financial Officer, Florida Department of Financial Services, and Dave Aronberg, State Attorney, Office of the State Attorney for Palm Beach County, announce that Lawrence Schechtman, 45, chiropractor, of Parkland, and Sircy Sacerio, a/k/a “Sisi” a/k/a “Sircy Santos”, 31, receptionist and office assistant, of Palm Springs, were sentenced today by U.S. District Judge Kenneth A. Marra for their participation in an automobile insurance fraud scheme involving staged automobile accidents.

Schechtman was sentenced to 52 months in prison, to be followed by two years of supervised release, and was ordered to pay $2,446,906.79 in restitution. Sacerio was sentenced to 48 months in prison, to be followed by two years of supervised release, and was ordered to pay $1,146,824.26 in restitution. Both defendants previously pled guilty to one count of conspiracy to commit mail fraud, in violation of Title 18, United States Code, Section 1341, all in violation of Title 18, United States Code, Section 1349. Schechtman also pled guilty to four counts of mail fraud, and Sacerio also pled guilty to five counts of mail fraud, in violation of Title 18, United States Code, Sections 1341 and 2.

According to court documents, between approximately October 2006 and December 2012, the conspiracy members staged automobile accidents by recruiting individuals to participate in the accidents. The participants were referred to as “Perro” and “Perra” or “Macho” and “Hembra.” Thereafter, the clinic owners caused the submission of false insurance claims through chiropractic clinics that were controlled by members of the conspiracy. To execute the scheme, the true owners of the chiropractic clinics recruited individuals who had the medical or chiropractic licenses required by the state to open a clinic, including Schechtman, to act as “nominee owners” of the clinics. The co-conspirators also hired complicit licensed chiropractors, including Schechtman, who prescribed and billed for unnecessary treatments and/or for services that had not been rendered. Thereafter, complicit clinic employees, including Sacerio, prepared and submitted claims to the automobile insurance companies for payment for these unnecessary or non-rendered services. Twenty-one clinics participated in this scheme.

Starting with Operation Sledgehammer I in June 2011 and including the defendants charged in Operation Sledgehammer VI, 92 defendants have been charged for their participation in this automobile insurance fraud scheme. Of those 92 defendants, 56 have been charged federally by the U.S. Attorney's Office, resulting in court-ordered restitution of more than $5 million to the defrauded insurance companies. Thirty-six defendants have been charged by the Palm Beach County State Attorney's Office.

Mr. Ferrer commended the efforts of the FBI, IRS-CI, the Florida Department of Insurance Fraud, the Palm Beach County State Attorney's Office, and the Greater Palm Beach County Health Care Fraud Task Force for their outstanding work in this case. Mr. Ferrer also recognized the National Insurance Crime Bureau (NICB) for its collaboration and assistance in this investigation. The federal cases are being prosecuted by Assistant U.S. Attorney A. Marie Villafaña and the state cases are being prosecuted by the Palm Beach County State Attorney's Office.

A copy of this press release may be found on the website of the United States Attorney's Office for the Southern District of Florida at http://www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.

Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, and Donnell Young, Acting Special Agent in Charge, Internal Revenue Service, Criminal Investigation (IRS-CI), announce that U.S. District Judge James I. Cohn sentenced Erica Jacovia Bryant, 33, of Miramar, to 27 months in prison, to be followed by three years of supervised release, and ordered her to pay $89,190.27 in restitution to the IRS. Bryant was convicted after a two day jury trial on charges of filing a false claim, in violation of Title 18, United States Code, Section 287.

According to the indictment and evidence introduced in court, Bryant filed a false 2011 tax return that fraudulently sought a $110,859.00 tax refund. Based upon this fraudulent return and the information contained therein, Bryant ultimately obtained a $100,653.22 tax refund from the IRS which was later utilized to purchase a 2013 Lincoln MKZ, which was later seized by the IRS for forfeiture.

Mr. Ferrer commended the investigative efforts of IRS-CI. This case is being handled by Assistant U.S. Attorney Marc Anton.

A copy of this press release may be found on the website of the United States Attorney's Office for the Southern District of Florida at http://www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.

Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, Donnell Young, Acting Special Agent in Charge, Internal Revenue Service, Criminal Investigation (IRS-CI), and George L. Piro, Special Agent in Charge, Federal Bureau of Investigation (FBI), Miami Field Office, announce that U.S. District Judge Marcia G. Cooke sentenced Chouman Emily Syrilien, 25, of Lauderdale Lakes, to 34 months in prison, to be followed by three years of supervised release.

Syrilien previously pled guilty to one count of possession of 15 or more unauthorized access devices and one count of aggravated identity theft, in violation of Title 18, United States Code, Sections 1029(a)(3) and 1028A for participating in a conspiracy to unjustly enrich themselves by stealing personal identifying information and using the information to make unauthorized wire transfers from the victims’ bank accounts and obtain unauthorized credit or debit cards.

Co-defendants Jacqueline Nicole Lee Warrick, 26, of Miami, and Tracy Delva, 27, of Deerfield Beach, pled guilty on July 30, 2014, and Carlos Antonio Alexander, 24, of Orlando, pled guilty on July 16, 2014, to one count of using an authorized access device and one count of aggravated identity theft, in violation of Title 18, United States Code, Sections 1029(a)(2) and 1028A. Alexander’s sentencing is scheduled for October 1, 2014. Sentencing for Warrick and Delva is scheduled for October 15, 2014.

Co-defendant Angel Arcos, 23, of Pompano Beach, pled guilty on May 15, 2014, to one count conspiracy to commit bank fraud, in violation of Title 18, United States Code, Section 1349. Arcos’ sentencing is scheduled for September 3, 2014 at 2:00 p.m.

Change of plea hearings are scheduled on September 3, 2014, for Monique Smith, 31, of Pompano Beach, and Shantegra La’Shae Godfrey, 23, of Deerfield Beach.

Trial is scheduled on September 22, 2014, for Arrington Basil Segu, 28, of Miami.

According to court documents, defendant Syrilien was employed by Interactive Response Technologies, Inc. (IRT) located in Margate. IRT provides staffing for call centers to handle direct sales and customer inquiries for AT&T. Syrilien unlawfully provided a co-conspirator with the personal identifying information from multiple AT&T customer files. Defendant Segu also unlawfully provided personal identifying information of numerous individuals to the co-conspirator.

Defendants Alexander, Delva, Godfrey, Smith and Warrick were added as “authorized users” on victims’ credit or debit card accounts or bank accounts to access the accounts of persons whose personal identifying information had been stolen. Once a co-conspirator’s name was added as an “authorized user,” the bank and/or credit card company was directed to mail additional debit or credit cards bearing the names of these newly added “authorized users” to their addresses or addresses under their control, all without the true account holder's knowledge or consent. The defendants used these credit and debit cards to make purchases or obtain money.

Defendants Delva and Warrick both utilized fraudulently obtained debit and credit cards that bore their names as additional “authorized users” on victims’ accounts to make both retail purchases as well as cash advances in excess of $28,000. Defendants Alexander, Smith and Godfrey made retail purchases as well as cash advances in excess of $24,000, $12,000 and $8,200, respectively.

Defendant Arcos allowed his personal information to be used to open a bank account to further the fraudulent activity. From September 16 to 18, 2013, five withdrawals totaling $13,000 were made from the fraudulent account and deposited into Arcos’ checking account.

The defendants face a maximum of thirty years in prison for the conspiracy charge, a maximum of ten years in prison for the access device fraud charge, and a mandatory term of two years in prison for the aggravated identity theft charge.

Mr. Ferrer commended the investigative efforts of IRS-CI and FBI. The case is being prosecuted by Assistant U.S. Attorney Cynthia R. Wood.

A copy of this press release may be found on the website of the United States Attorney's Office for the Southern District of Florida at http://www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.

Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, Mark R. Trouville, Special Agent in Charge, Drug Enforcement Administration (DEA), Miami Field Division, and George L. Piro, Special Agent in Charge, Federal Bureau of Investigation (FBI), Miami Field Office, announce that U.S. District Judge Patricia A. Seitz sentenced Diego Perez Henao, a/k/a “Diego Rastrojo,” 43, a Colombian national, to 360 months in prison. Perez Henao was also ordered to forfeit $1,000,000.00 to the United States.

Perez Henao had been indicted by a federal grand jury on February 8, 2011, and previously pled guilty on January 24, 2014, to a single count of conspiring with others to manufacture and distribute five or more kilograms of cocaine from 1993 until February 2011, knowing that the cocaine would be imported into the United States.

Perez Henao acknowledged that he was involved in the manufacture, investment or shipment of in excess of 81,100 kilograms of cocaine during the timeframe of his conspiracy. He further acknowledged that he controlled numerous armed workers in his organization and used both airplanes and semi-submersibles to ship the cocaine north from South America to points in Central America and Mexico – en route to its eventual destination of the United States.

Following Perez Henao’s indictment, the U.S. Department of State offered a reward of up to $5 million for information leading to his capture. Perez Henao was ultimately captured by Venezuelan authorities in Venezuela on June 3, 2012. The Venezuelan authorities sent Perez Henao to Colombia, which in turn extradited Perez Henao on August 28, 2013, to the United States to face the current charges.

“For over a decade, Perez Henao – one of the most powerful and prolific drug lords in recent history – controlled dozens of heavily-armed workers in his drug trafficking organization and oversaw the manufacture and distribution of over 80 tons of cocaine into the United States,” said U.S. Attorney Ferrer. “Perez Henao will now spend the next three decades of his life in prison. With this sentence, one of the largest cartel heads in Colombian history was brought to justice.”

DEA Special Agent in Charge Mark R. Trouville stated, “Diego Perez-Henao, one of the last leaders of the North Valley Cartel, was responsible for smuggling more than 80 tons of cocaine into the United States. He used violence and intimidation to line his greedy pockets at the expense of his own people and had no regard for those who would consume this addictive poison. Today’s sentencing is a reminder that there is no place to hide, the DEA along with our domestic and international law enforcement partners will continue to pursue and prosecute those who engage in drug trafficking into our borders.”

“Diego Perez-Henao was a notorious, international drug kingpin who for years profited from the shipment and sale of illegal drugs,” said Ken Sena, Acting Assistant Special Agent in Charge, FBI Miami. “His illicit career was brought to an end through close cooperation with our law enforcement partners.”

The indictment of Perez Henao is the result of an ongoing Organized Crime Drug Enforcement Task Force (OCDETF) led by DEA and FBI. The principal mission of the OCDETF program is to identify, disrupt and dismantle the most serious drug trafficking, weapons trafficking and money laundering organizations, and those primarily responsible for the nation’s illegal drug supply.

Mr. Ferrer commends the outstanding investigative efforts of DEA, FBI, the DEA Andean Region and their Colombian law enforcement partners. The case was prosecuted by Assistant U.S. Attorneys Adam Fels and Daren Grove.

A copy of this press release may be found on the website of the United States Attorney's Office for the Southern District of Florida at http://www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.

In Separate Case, Three Miami-Dade County Residents Charged in Conspiracy to Distribute and Attempted Possession of Molly

Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, and Mark R. Trouville, Special Agent in Charge, Drug Enforcement Administration (DEA), Miami Field Division, announce that seven individuals have been charged with conspiring to distribute anabolic steroid testosterone to underage high school and professional athletes.

Charged in this investigation are Anthony Publio Bosch, 50, of Key Biscayne, Carlos Javier Acevedo, 35, of Miami, Yuri Sucart, 52, of Miami, Jorge Augustine Velazquez, a/k/a “Ugi,” 43, of Miami, Christopher Benjamin Engroba, 25, of Miami, Lazaro Daniel Collazo, a/k/a “Lazer” and “Laser,” 50, of Hialeah, and Juan Carlos Nuñez, 48, of Fort Lauderdale. The charges stem from an over 21-month-long investigation by DEA, which focused on the illegal distribution of testosterone by the charged defendants in Miami-Dade County, and elsewhere. Specifically, the investigation focused on the operators of several anti-aging clinics in Miami, recruiters of these clinics, and a black market distributor of testosterone. These anti-aging clinics were incorporated under several different corporate names: Biogenesis of America, LLC; Biokem, LLC; Revive Miami, LLC; and others by the same group of people who occasionally worked together from 2008 through 2012.

In addition, the investigation also uncovered a separate conspiracy which involved Acevedo and the alleged illegal distribution of 3,4-Methylenedioxy-N-Methylcathinone Hydrochloride, a Schedule I controlled substance. The controlled substance 3,4-Methylenedioxy-N-Methylcathinone Hydrochloride is commonly referred to as “molly.” Charged in a separate case with conspiring to distribute molly are Giovanny Brenes, 35, and Jorge Canela, Jr., 25; and charged with attempted possession of molly is Carlos Luis Ruiz, 34, all of Miami.

“The defendants charged today are alleged to have provided easy access to dangerous concoctions of performance enhancing drugs (PEDs) to impressionable high school kids and professional athletes on the promise of playing better, recovering faster from injury and having more energy,” said U.S. Attorney Wifredo A. Ferrer. “Bosch and his network of recruiters and black market suppliers ignored the serious health risks posed to their so-called “patients,” all for a profit. Simply put, doping children is unacceptable – it is not only wrong and illegal, but dangerous. Cheating doesn’t pay and individuals like Bosch and his co-defendants, who distributed PEDs to athletes and, more importantly, to our children, will be held accountable for their actions.”

“Anthony Bosch, the self-acclaimed “Best Fake Doctor Ever” has turned in his lab coat for an orange jumpsuit,” said DEA Special Agent in Charge Mark R. Trouville. “Mr. Bosch’s alleged actions were a danger to the minors and adults who consumed his concoctions. I’m so proud of the men and women of the DEA and our law enforcement partners who conducted this investigation, which focused on greedy drug traffickers, who exploited athletes of all ages for their personal gain.”

The cases announced today include:

1. United States v. Anthony Publio Bosch, Case No. 14-20555-CR-Gayles

Bosch was charged by information with conspiracy to distribute a Schedule III controlled substance, that is, the anabolic steroid testosterone, in violation of Title 21, United States Code, Section 846. The conspiracy charge against Bosch alleges that beginning in at least October 2008 through December 2012, Bosch operated various anti-aging clinics in Miami. Through these anti-aging clinics, the defendant conspired with recruiters of high school and professional athletes, as well as a black market distributor of testosterone, to distribute testosterone in Miami-Dade County, and elsewhere. Many of Bosch’s clients thought he was a doctor. However, Bosch did not have a license to practice medicine in the State of Florida, or anywhere else, nor did he have any kind of license or authorization from the DEA to dispense or prescribe Schedule III drugs, like testosterone. Bosch is expected to be arraigned today.

If convicted, Bosch faces a maximum possible statutory sentence of 10 years in prison.

2. United States v. Carlos Javier Acevedo, Case No. 14-20556-CR-Gayles

Acevedo was charged by information with conspiracy to distribute a Schedule III controlled substance, that is, the anabolic steroid testosterone, in violation of Title 21, United States Code, Section 846; and with conspiracy to distribute molly, in violation of Title 21, United States Code, Section 846. Acevedo is expected to be arraigned today.

If convicted, Acevedo faces a maximum possible statutory sentence of 10 years in prison for the conspiracy to distribute testosterone count and 20 years in prison on the conspiracy to distribute molly count.

3. United States v. Yuri Sucart, et al., Case No. 14-20550-CR-Altonaga

Yuri Sucart, Jorge Augustine Velazquez, a/k/a “Ugi,” Christopher Benjamin Engroba, Lazaro Daniel Collazo, a/k/a “Lazer” and “Laser,” and Juan Carlos Nuñez, were charged in an eight count indictment for their participation in a conspiracy to distribute a Schedule III controlled substance, that is, the anabolic steroid testosterone, in violation of Title 21, United States Code, Section 846. In addition, Sucart has been charged with five counts of distribution of testosterone; Engroba has been charged with one count of distribution of testosterone; and Velazquez has been charged with six counts of distribution of testosterone, all in violation of Title 21, United States Code, Section 841(a)(1) and Title 18, United States Code, Section 2. Velazquez was also charged with one count of obstruction of justice, in violation of Title 18, United States Code, Sections 1503 and 2. The defendants are expected to be arraigned today.

If convicted, the defendants face a maximum possible statutory sentence of 10 years in prison for the conspiracy to distribute testosterone count. As to the substantive distribution of steroids counts, Sucart, Velazquez and Engroba face a maximum possible statutory sentence of 10 years in prison as to each count. Velazquez faces a maximum possible statutory sentence of 10 years in prison on the obstruction of justice count.

4. United States v. Giovanny Brenes, et. al., Case No. 14-20551-CR-Moreno

Giovanny Brenes and Jorge Canela, Jr. were charged in a four count indictment for their participation in a conspiracy to distribute molly, in violation of Title 21, United States Code, Section 846. In addition, Brenes has been charged with one count of distribution of molly, in violation of Title 21, United States Code, Section 841(a)(1); Canela, Jr. has been charged with one count of possession with intent to distribute molly, in violation of Title 21, United States Code, Section 841(a)(1); and Carlos Luis Ruiz was charged with one count of attempted possession of a controlled substance, in violation of Title 21, United States Code, Section 844(a) and Title 21, United States Code, Section 846.

If convicted, Brenes and Canela, Jr. face a maximum possible statutory sentence of 20 years in prison for each of the following counts: conspiracy to distribute; distribution and possession with intent to distribute. Ruiz faces a maximum possible statutory sentence of one year in prison on the attempted possession of a controlled substance count.

Mr. Ferrer commended the investigative efforts of the DEA Miami Tactical Diversion Squad, which consists of the DEA, Miami-Dade Police Department, Hollywood Police Department, Fort Lauderdale Police Department and the City of Miami Police Department. These cases are being prosecuted by Assistant U.S. Attorneys Michael P. Sullivan and Sharad A. Motiani.

An information and indictment is only an accusation and a defendant is presumed innocent unless and until proven guilty.

Attachments: Acevedo, Carlos Javier - Information (PDF)
Bosch, Anthony - Information (PDF)
Brenes, Giovanny et al - Indictment (PDF)
Sucart, Yuri et al - Indictment (PDF)

A copy of this press release may be found on the website of the United States Attorney's Office for the Southern District of Florida at http://www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.

Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, and Tracy Dunn, Special Agent in Charge, National Oceanic and Atmospheric Administration (NOAA), Office of Law Enforcement, announce that the Miami-based seafood company True Nature Seafood, LLC (TNS), was sentenced in Miami on a one count information, which count charged the defendant with knowingly making and submitting a false record, account, or label for fish which had been or was intended to be imported, exported, transported, sold, purchased, in violation of the Lacey Act, Title 16, United States Code, Sections 3372(d)(1) and (2), 3373(d)(3)(A), and Title 18, United States Code, Section 2.

U.S. District Judge Ursula Ungaro, who accepted the guilty plea of TNS on Friday, August 1, 2014, also imposed the sentence in the case. TNS was sentenced to pay a fine of $500,000, community service payments of $500,000, placed on probation for a term of five years, ordered to implement an Environmental Compliance Plan as a special condition of probation, and ordered to forfeit proceeds in the sale of approximately 43,150.5 pounds of toothfish (Dissostichus Spp.) valued at $400,862.88, previously seized by NOAA.

According to a joint factual statement executed by the parties, statements in court and case-related records, TNS was engaged in the wholesale purchase, importation, processing, packaging, sale, and distribution of seafood products, in interstate and foreign commerce. These activities included transactions involving seafood product, which was imported, re-labelled, and transshipped from Miami to both domestic and foreign customers by and at the direction of the officers and agents of TNS, acting within the scope of their employment and for the benefit of TNS.

TNS admitted in court that in August 2010, at Miami International Airport, it imported approximately 11,192 pounds of seafood product by commercial air carrier from Santiago, Chile. Documents accompanying the shipment and filed with U.S. authorities, described the shipment as processed Steelhead Trout, with a wholesale value of $62,233.86. After clearing U.S. Customs, the shipment was transferred to a cold storage facility in Miami. On August 20, 26, and 27, 2010, an employee of TNS acting within the scope of employment and for the benefit of the defendant, transmitted instructions by email to a subsidiary of TNS, directing that the August 2010 consignment be re-labelled as Salmon. Thereafter, TNS caused the seafood product to be shipped to customers in both the United States and Canada, for which it subsequently received payments from its interstate and foreign customers in the approximate amount of $77,536.80.

U.S. Attorney Wifredo A. Ferrer stated, “Imports have become a major source for the fish, shrimp, and other seafood products enjoyed by many Americans. False labelling of these products undermines efforts to ensure that the seafood has been legally harvested, properly handled, and is otherwise safe for distribution to consumers. The U.S. Attorney’s Office strongly supports the efforts of NOAA Fisheries and other federal agencies in insuring the public is not misled, and that all regulatory requirements are met.”

“Combating seafood fraud is a high priority for NOAA Fisheries,” said Eileen Sobeck, Assistant Administrator for NOAA Fisheries. “This fraudulent activity had a direct financial impact on honest fishermen. Our agents and officers will continue to ensure that legitimately harvested and marketed seafood is not undercut by fraudulent products thus protecting fish stocks, the honest fisherman, and consumers.”

Mr. Ferrer commended the investigative efforts of NOAA Office of Law Enforcement and the efforts of U.S. Immigration and Customs Enforcement’s, Homeland Security Investigations (ICE-HSI), Miami Field Office which contributed to bringing the investigation to a successful conclusion. The case was prosecuted by Assistant U.S. Attorney Thomas Watts-FitzGerald.

A copy of this press release may be found on the website of the United States Attorney's Office for the Southern District of Florida at http://www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.

Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, George L. Piro, Special Agent in Charge, Federal Bureau of Investigation (FBI), Miami Filed Office, and J.D. Patterson, Director, Miami-Dade Police Department (MDPD), announce the indictment of Roderick Silva, 45, of Miami, a police officer who formerly served as a detective assigned to the MDPD Narcotics Bureau. The indictment charges Silva with one count of aiding and abetting a conspiracy to possess with intent to distribute marijuana in violation of Title 21, United States Code, Section 846, and one of count of extortion in violation of Title 18, United States Code, Section 1951. .

The conspiracy charge against Officer Silva alleges that he aided and abetted a group of persons who were illegally growing hydroponic marijuana in numerous homes that they owned, rented, or otherwise controlled, in the south west Miami-Dade County area. The conspiracy charge further identified this group of persons as members of the Santiesteban family, and their friends and associates. The Santiesteban family members, and a number of their friends and associates, have already been convicted in a federal prosecution brought against them in 2012 for conspiracy to possess with intent to distribute over 1000 marijuana plants. They pled guilty to that charge in 2013, and are serving long prison sentences.

The conspiracy charge also alleges that Officer Silva aided and abetted the Santiesteban family members, and their friends and associates, in their marijuana growing activities by providing them with confidential MDPD information about when MDPD narcotics detectives were investigating them, and when they might have their marijuana grow houses searched, and their marijuana plants seized; and by providing advice to the Santiestebans and their friends and associates about how to avoid, deflect, frustrate, and obstruct those MDPD investigations and by providing confidential MDPD information about suspected grow houses operated by other marijuana growers, so the Santiestebans and their friends and associates could rob those grow houses of their marijuana plants.

The extortion count of the indictment charges that Officer Silva obtained money from Santiesteban family members, “under color of official right.” It specifies that Officer Silva received $1500 cash on January 5, 2011, in Miami-Dade County for “maintaining his silence and not disclosing to any law enforcement authorities all that he knew about the illegal, criminal activities of the Santiesteban family members.”

U.S. Attorney Wifredo A. Ferrer stated, “We are especially saddened when a public servant misuses his position of trust to engage in criminal conduct. Mr. Silva’s criminal conduct not only undermined the trust of this community, but also undermined the trust of the officers who served by his side. Today’s indictment sends a message to all public officials who commit crime that they are not above the law and that they will be brought to justice.”

“Mr. Silva’s actions undermines the public’s trust in law enforcement, as well as betrays the officers and agents who worked by his side” said Special Agent in Charge George L. Piro of the FBI’s Miami Division. “Silva must now face the consequences of his actions in large part due to the dedication and commitment of the Miami Dade Police Department and the FBI.”

Director J.D. Patterson stated, “The community’s trust is vital to us and make no mistake, the Miami-Dade Police Department remains committed in seeking out, identifying, and ridding itself of individuals who violate that trust. This violation of trust tarnishes the badge of every hard-working officer who risks his/her life daily to protect this community. We appreciate the partnership and support of our federal partners during this sensitive investigation.”

If convicted, Officer Silva faces a minimum mandatory sentence of 10 years in prison up to life in prison on the aiding and abetting a conspiracy count and up to 20 years in prison on the extortion count.

An indictment is only an accusation and each defendant is presumed innocent unless and until proven guilty.

Mr. Ferrer commended the investigative efforts of FBI and MDPD. This case is being prosecuted by Assistant U.S. Attorneys Michael P. Sullivan and Andy Camacho.

A copy of this press release may be found on the website of the United States Attorney's Office for the Southern District of Florida at http://www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.

Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, Donnell Young, Acting Special Agent in Charge, Internal Revenue Service, Criminal Investigation (IRS-CI), and George L. Piro, Special Agent in Charge, Federal Bureau of Investigation (FBI), Miami Field Office, announce that Jacqueline Nicole Lee Warrick, 26, of Miami, and Tracy Delva, 27, of Deerfield Beach, pled guilty today for their participation in a conspiracy to unjustly enrich themselves by stealing personal identifying information and using the information to make unauthorized wire transfers from the victims’ bank accounts and obtain unauthorized credit or debit cards.

Specifically, Warrick and Delva each pled guilty today to one count of using an authorized access device and one count of aggravated identity theft, in violation of Title 18, United States Code, Sections 1029(a)(2) and 1028A. Sentencing for both defendants is scheduled for October 15, 2014, before U.S. District Court Judge Marcia G. Cooke.

Co-defendant Chouman Emily Syrilien, 25, of Lauderdale Lakes, pled guilty on May 19, 2014, to one count of possession of 15 or more unauthorized access devices and one count of aggravated identity theft, in violation of Title 18, United States Code, Sections 1029(a)(3) and 1028A. Syrilien’s sentencing is scheduled for August 6, 2014, at 1:30 p.m.

Co-defendant Carlos Antonio Alexander, 24, of Orlando, pled guilty on July 16, 2014 to one count of using an unauthorized access device and one count of aggravated identity theft, in violation of Title 18, United States Code, Sections 1029(a)(2) and 1028A. Alexander’s sentencing is scheduled for October 1, 2014, at 10:00 a.m.

Co-defendant Angel Arcos, 23, of Pompano Beach, pled guilty on May 15, 2014 to one count conspiracy to commit bank fraud, in violation of Title 18, United States Code, Section 1349. Arcos’ sentencing is scheduled for September 3, 2014, at 2:00 p.m.

Change of plea hearings are scheduled on September 3, 2014 for Monique Smith, 31, of Pompano Beach, and Shantegra La’Shae Godfrey, 23, of Deerfield Beach.

Trial is scheduled on September 22, 2014 for Arrington Basil Segu, 28, of Miami.

According to court documents, defendant Syrilien was employed by Interactive Response Technologies, Inc. (IRT) located in Margate. IRT provides staffing for call centers to handle direct sales and customer inquiries for AT&T. Syrilien unlawfully provided a co-conspirator with the personal identifying information from multiple AT&T customer files. Defendant Segu also unlawfully provided personal identifying information of numerous individuals to the co-conspirator.

Defendants Alexander, Delva, Godfrey, Smith and Warrick were added as “authorized users” on victims’ credit or debit card accounts or bank accounts to access the accounts of persons whose personal identifying information had been stolen. Once a co-conspirator’s name was added as an “authorized user,” the bank and/or credit card company was directed to mail additional debit or credit cards bearing the names of these newly added “authorized users” to their addresses or addresses under their control, all without the true account holder's knowledge or consent. The defendants used these credit and debit cards to make purchases or obtain money.

Defendants Delva and Warrick both utilized fraudulently obtained debit and credit cards that bore their names as additional “authorized users” on victims’ accounts to make both retail purchases as well as cash advances in excess of $28,000. Defendants Alexander, Smith and Godfrey each made both retail purchases as well as cash advances in excess of $24,000, $12,000 and $8,200, respectively.

Defendant Arcos allowed his personal information to be used to open a bank account to further the fraudulent activity. From September 16 to 18, 2013, five withdrawals totaling $13,000, were made from the fraudulent account and deposited into Arcos’ checking account.

The defendants face a maximum of thirty years in prison for the conspiracy charge, a maximum of ten years in prison for the access device fraud charge, and a mandatory term of two years in prison for the aggravated identity theft charge.

Mr. Ferrer commended the investigative efforts of IRS-CI and FBI. The case is being prosecuted by Assistant U.S. Attorney Cynthia R. Wood.

A copy of this press release may be found on the website of the United States Attorney's Office for the Southern District of Florida at http://www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.

A former director of nursing pleaded guilty yesterday in connection with a health care fraud scheme involving Anna Nursing Services Corp. (Anna Nursing), a defunct home health care company in Miami. U.S. Attorney Wifredo A. Ferrer of the Southern District of Florida, Assistant Attorney General Leslie R. Caldwell of the Justice Department’s Criminal Division, Special Agent in Charge George L. Piro of the FBI’s Miami Field Office, and Acting Special Agent in Charge Ryan Lynch of the U.S. Department of Health and Human Services Office of Inspector General (HHS-OIG), Office of Investigations Miami office made the announcement.

Armando Buchillon, 42, of Hialeah, Florida, pleaded guilty before U.S. District Judge Joan A. Lenard in the Southern District of Florida to one count of conspiracy to commit health care fraud. Sentencing is scheduled for Oct. 6, 2014, before Judge Lenard.

According to court documents, Buchillon was a director of nursing at Anna Nursing, a Miami home health care agency that purported to provide home health and therapy services to Medicare beneficiaries. The owners and operators of Anna Nursing agreed to and actually did operate Anna Nursing for the purpose of billing the Medicare Program for, among other things, expensive physical therapy and home health care services that were not medically necessary and/or were not provided.

As part of the fraudulent scheme, Buchillon and his co-conspirators regularly falsified patient documentation in order to make it appear that beneficiaries qualified for and received home health care services, when, in fact, many of the beneficiaries did not actually qualify for or receive such services. In addition, Buchillon paid kickbacks and bribes to patient recruiters, in return for the recruiters providing patients to Anna Nursing for home health care and therapy services that were medically unnecessary and/or were not provided. Buchillon also worked as a patient recruiter for Anna Nursing and was paid kickbacks and bribes by the owner of Anna Nursing. Buchillon and his co-conspirators caused the submission of false and fraudulent claims to Medicare on behalf of these beneficiaries.

From approximately October 2010 through approximately April 2013, Anna Nursing was paid by Medicare approximately $7 million for fraudulent claims for home health care services that were medically unnecessary and/or were not provided.

The case was investigated by the FBI and HHS-OIG and was brought as part of the Medicare Fraud Strike Force, under the supervision of the Criminal Division’s Fraud Section and the U.S. Attorney’s Office for the Southern District of Florida. This case is being prosecuted by Trial Attorneys A. Brendan Stewart and Anne P. McNamara of the Criminal Division’s Fraud Section.

Since its inception in March 2007, the Medicare Fraud Strike Force, now operating in nine cities across the country, has charged nearly 1,900 defendants who have collectively billed the Medicare program for more than $6 billion. In addition, the HHS Centers for Medicare and Medicaid Services, working in conjunction with the HHS-OIG, are taking steps to increase accountability and decrease the presence of fraudulent providers.

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

A copy of this press release may be found on the website of the United States Attorney's Office for the Southern District of Florida at http://www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.

Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, Donnell Young, Acting Special Agent in Charge, Internal Revenue Service, Criminal Investigation (IRS-CI), Paula Reid, Special Agent in Charge, United States Secret Service (USSS), Miami Field Office, and J. Scott Dennis, Chief, North Miami Beach Police Department, announce that Donald Claude, 34, of Miramar, pled guilty today to one count of wire fraud, in violation of Title 18, United States Code, Section 1343, and one count of aggravated identity theft, in violation of Title 18, United States Code, Section 1028A(a)(1). Sentencing is scheduled for October 24, 2014. At sentencing, Claude faces up to 20 years in prison for wire fraud, and a mandatory term of two years in prison, consecutive to any other term in prison, for aggravated identity theft.

According to court documents, Claude was the Chief Executive Officer of J&D Tax Services, LLC. Claude obtained an Electronic Filing Identification Number (EFIN) for J&D Tax Services, LLC which permitted Claude and co-defendant James Jean-Baptiste to file tax returns electronically in the names of other individuals. Claude also obtained a Preparer Tax Identification Number (PTIN) as a tax preparer that permitted him to identify himself as the preparer on tax returns electronically filed in the names of other individuals.

Claude and Jean-Baptiste obtained the personal identification information (PIl) of students from an employee of Miami-Dade County Public Schools. Claude and Jean-Baptiste used the students’ stolen identities to file false and fraudulent tax returns with the IRS to fraudulently obtain tax refunds for their personal use and benefit. Claude and his co-conspirators caused over $200,000 in false and fraudulent tax refund claims to be submitted to the IRS from 2009 through 2011 through his EFIN and PTIN.

James Jean-Baptiste was charged with one count of conspiracy to commit wire fraud, in violation of Title 18, United States Code, Section 1349, seven counts of wire fraud, in violation of Title 18, United States Code, Section 1343, and seven counts of aggravated identity theft, in violation of Title 18, United States Code, Section 1028A(a)(1). Jean-Baptiste remains at large.

Mr. Ferrer commended the investigative efforts of IRS-CI, the USSS, and the North Miami Beach Police Department. The case is being prosecuted by Assistant U.S. Attorney Gera R. Peoples.

A copy of this press release may be found on the website of the United States Attorney's Office for the Southern District of Florida at http://www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.

A federal jury in Miami convicted a physician assistant and a certified nursing assistant, both South Florida residents, for their participation in a Medicare fraud scheme involving approximately $200 million in fraudulent billings by American Therapeutic Corporation (ATC), a mental health care company headquartered in Miami.

U.S. Attorney Wifredo A. Ferrer of the Southern District of Florida, Assistant Attorney General Leslie R. Caldwell of the Justice Department’s Criminal Division, Special Agent in Charge George L. Piro of the FBI’s Miami Field Office, and Acting Special Agent in Charge Reginald France of the Health and Human Services Office of Inspector General (HHS-OIG) region including all of Florida made the announcement.

Roger Bergman, 65, a physician assistant licensed in Florida, and Rodolfo Santaya, 55, a certified nursing assistant licensed in Florida, were each charged in an indictment on Jan. 28, 2014. Yesterday, Bergman was found guilty of conspiracy to commit health care fraud and wire fraud and conspiracy to make false statements relating to health care matters. Santaya was found guilty of conspiracy to commit health care fraud and wire fraud, conspiracy to pay and receive bribes and kickbacks, and two counts of receiving bribes and kickbacks in connection with a federal health care benefit program.

ATC, Medlink Professional Management Group Inc. – a management company associated with ATC – and multiple individuals, including ATC’s owners, have all previously pleaded guilty or have been convicted at trial in connection with the fraud scheme. ATC operated purported partial hospitalization programs (PHPs) in seven locations throughout Orlando and south Florida. A PHP is a form of intensive treatment for severe mental illness.

According to evidence presented at trial, Bergman, Santaya and their co-conspirators caused the submission of fraudulent claims to Medicare through ATC seeking reimbursement for mental health services that were not provided or were provided to patients who were not eligible to receive the services. Bergman, who worked at ATC’s Miami and Homestead, Florida, offices, created, falsified and signed fraudulent medical documentation to make it appear to Medicare that ATC’s patients qualified for, and received, PHP services, even though they did not. Santaya received hundreds of thousands of dollars in illegal kickback payments in exchange for delivering ineligible Medicare beneficiaries to ATC’s Homestead office.

Throughout the course of the conspiracy, ATC and its employees paid tens of millions of dollars in kickbacks in exchange for the names and identification numbers of Medicare beneficiaries so that ATC could fraudulently bill Medicare for PHP services that it never provided or that it purportedly provided to beneficiaries who were not eligible to receive PHP treatment.

The case is being investigated by the FBI and HHS-OIG and was brought as part of the Medicare Fraud Strike Force, under the supervision of the Criminal Division’s Fraud Section and the U.S. Attorney’s Office for the Southern District of Florida. The case is being prosecuted by Assistant Chief Robert A. Zink and Trial Attorneys Nicholas E. Surmacz and Kelly Graves of the Criminal Division.

Since its inception in March 2007, the Medicare Fraud Strike Force, now operating in nine cities across the country, has charged nearly 1,900 defendants who have collectively billed the Medicare program for more than $6 billion. In addition, the HHS Centers for Medicare and Medicaid Services, working in conjunction with the HHS-OIG, are taking steps to increase accountability and decrease the presence of fraudulent providers.

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

A copy of this press release may be found on the website of the United States Attorney's Office for the Southern District of Florida at http://www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.

Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, and Donnell Young, Acting Special Agent in Charge, Internal Revenue Service, Criminal Investigation (IRS-CI), announce that United States District Judge Jose E. Martinez sentenced Tia Lashonda Miller, 39, of West Palm Beach, to 70 months imprisonment, to be followed by 2 years of supervised release. .

Miller previously pled guilty to one count of unlawful possession of more than fifteen access devices, in violation of Title 18, United States Code, Section 1029(a)(3), and one count of aggravated identity theft, in violation of Title 18, United States Code, Section 1028A(a)(1).

According to court documents, Miller was found in possession of notebooks containing stolen personal identifying information (PII) for 726 persons (including names, dates of birth and social security numbers), and 20 debit cards, eighteen of which were in the names of persons also found in the notebooks. The IRS determined that approximately 59 of the names and accompanying information were used to file fraudulent tax returns. During a court-authorized search of Miller’s home, agents found additional names and identifying information of identity theft victims, and some letters from the IRS addressed in other persons’ names. Miller admitted that she went to houses, collected mail and debit cards, and gave the envelopes and cards to two other individuals, whom Miller knew were filing fraudulent tax returns using the stolen PII.

Mr. Ferrer commended the investigative efforts of IRS-CI and the Martin County Sheriff’s Office. The case was prosecuted by Assistant U.S. Attorney Theodore Cooperstein.

A copy of this press release may be found on the website of the United States Attorney's Office for the Southern District of Florida at http://www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.

Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, Donnell Young, Acting Special Agent in Charge, Internal Revenue Service, Criminal Investigation (IRS-CI), and Alysa D. Erichs, Special Agent in Charge, U.S. Immigration and Customs Enforcement’s Homeland Security Investigations (ICE-HSI), announce that Paul Evans Auguste, 30, of Miami, was sentenced today to 61 months in prison, to be followed by three years of supervised release for his participation in a stolen identity tax refund scheme.

Auguste previously pled guilty to one count of access device fraud, in violation of Title 18, United States Code, Section 1029(b)(2), and one count of aggravated identity theft, in violation of Title 18, United States Code, Section 1028A.

According to court documents, beginning on approximately September 30, 2013, Auguste began advertising to friends and acquaintances that he had personal identifying information (PII) for sale, that is, stolen names, dates of birth, and social security numbers belonging to real individuals. On December 9, 2013, Auguste sold PII belonging to 200 different individuals to an undercover law enforcement officer for $2,000. The PII sold by the defendant consisted of patient information sheets from rehabilitation center in Philadelphia.

Court documents also state that on January 6, 2014, the defendant sold an additional 60 pieces of PII to an undercover law enforcement officer for $500. During that exchange, the defendant stated that he was opening a “tax” office and needed money; the defendant reiterated that he obtained the PII from Philadelphia and offered to sell another 200 pieces of PII for $1,000.

According to court documents, on January 28, 2014, law enforcement executed a search warrant of the defendant’s residence and discovered an additional 2,164 pieces of PII (702 of which were in his car, which the defendant was driving on his way to another controlled sale to law enforcement, and the remaining 1,462 of which were found in the defendant’s room).

Mr. Ferrer commended the investigative efforts of IRS-CI and ICE-HSI. The case is being prosecuted by Assistant U.S. Attorney Francisco R. Maderal.

A copy of this press release may be found on the website of the United States Attorney's Office for the Southern District of Florida at http://www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.

Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, George L. Piro, Special Agent in Charge, Federal Bureau of Investigation (FBI), Miami Field Office, and Donnell Young, Acting Special Agent in Charge, Internal Revenue Service, Criminal Investigation (IRS-CI), announce that today United States District Judge Cecilia M. Altonaga sentenced Garfield Perry, 67, of North Miami Beach, to 60 months imprisonment, to be followed by one year of supervised release. Perry was also ordered to pay a fine of $12,500. Perry previously pled guilty to a one-count information charging him with conspiring to accept bribes in connection with programs receiving federal funds and to commit extortion, all in violation of Title 18, United States Code, Section 371.

According to a previously filed stipulation of facts, from at least 2002 through 2009, Perry was the Roadway Lighting Coordinator for the Department of Public Works in Miami-Dade County. In this capacity, Perry was responsible for, among other things, overseeing the maintenance of more than 22,000 street lights in the county’s roadway system. The Information charges that from 2006 through October 2009, Perry accepted bribe payments from a Manufacturer’s Representative totaling approximately $150,000. Perry regularly directed the Manufacturer’s Representative to make the bribe payments by paying down debts owed by Perry, including payments on two home mortgages, one car loan, two home insurance policies, two car insurance policies, and eight credit cards. Perry accepted as bribe payments from the Manufacturer’s Representative, cruise vacations, domestic and international airline tickets, payments for hotels and theater tickets. Perry regularly directed the Manufacturer’s Representative to make bribe payments by issuing checks payable to third parties, and, after the checks were cashed, determined the manner in which the proceeds were to be split. Perry falsely certified to Miami-Dade County that he was not engaged in any outside employment and did not receive any gratuities. In return for the bribe payments, Perry helped to ensure that lighting products used in Public Works’ projects were represented by the Manufacturer’s Representative.

Mr. Ferrer commended the investigative efforts of the FBI and IRS-CI. The case was prosecuted by Assistant U.S. Attorney Jeffrey N. Kaplan.

A copy of this press release may be found on the website of the United States Attorney's Office for the Southern District of Florida at http://www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.

Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, and George L. Piro, Special Agent in Charge, Federal Bureau of Investigation (FBI), Miami Field Office, announced that Peter D. Kirschner, 49, of Delray Beach, Stuart R. Rubens, 61, of North Miami, Dean R. Baker, 34, of Coral Springs, and Bret A. Grove, 35, of Delray Beach, were charged with conspiracy to commit mail fraud and substantive mail fraud. The four men are charged for allegedly operating call rooms targeting senior citizens and tricking them into purchasing $2.4 million in stock. U.S. Attorney Wifredo A. Ferrer stated, “Securities fraud jeopardizes the well-being of our citizens. The defendants in this case are alleged to have raised approximately $2.4 million by targeting the elderly and representing that they had technology that was about to be used by the NFL. In truth, there was no such arrangement. Today’s charges are the first step in holding them accountable for robbing these elderly folks of their hard-earned savings for their own personal gain.”

“Those charged today materially misrepresented investments to a vulnerable part of our population,” said George L. Piro, Special Agent in Charge of the FBI’s Miami Field Office. “The FBI will continue to prioritize investigations of investment fraud perpetrators who target the elderly.”

According to the indictment and related Securities and Exchange Commission (SEC) civil complaints, the defendants pressured seniors and other investors into purchasing stock in Thought Development Inc. (TDI), a Miami Beach-based company that claimed its signature invention generated a green laser line on the football field visible in the stadium to players, fans as well as on television. TDI represented that use of its technology would decrease the time used by officials to determine first downs, freeing up broadcast time that could then be sold to television advertisers. The defendants raised approximately $2.4 million through the use of call rooms that targeted more than 200 investors throughout the nation, who were told that an initial public offering (IPO) in TDI was imminent and that their money would be safe and used to develop the ground-breaking technology. Instead, the indictment alleges that the IPO was not forthcoming as promised, and at least 50 percent of the offering proceeds were retained by the defendants or paid to sales agents through undisclosed, exorbitant commissions and fees. The defendants also lured investors by misrepresenting that TDI’s technology was about to be used by the NFL. One investor even made a second $75,000 investment on top of an initial $2,500 investment after being told that NFL Commissioner Roger Goodell purchased TDI’s technology for use in the 2013 Super Bowl. In fact, there was no such arrangement. The defendants also neglected to tell investors the TDI laser technology posed a potential risk of blindness to players on the football field.

The SEC recently announced similar civil charges against Baker and Grove, filed today in federal district court in Miami. This brings to six the number of individuals charged criminally with this scheme. The U.S. Attorney for the Central District of California charged Daniel Baker and Demosthenes Dritsas with mail fraud stemming from this investigation, both of whom recently pled guilty.

Mr. Ferrer commended the investigative efforts of the FBI and the SEC. This case is being prosecuted by Assistant U.S. Attorney Roger Cruz.

An indictment is only an accusation and a defendant is presumed innocent unless and until proven guilty.

A copy of this press release may be found on the website of the United States Attorney's Office for the Southern District of Florida at http://www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.

Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, George L. Piro, Special Agent in Charge, Federal Bureau of Investigation (FBI), Miami Field Office, and Donnell Young, Acting Special Agent in Charge, Internal Revenue Service, Criminal Investigation (IRS-CI), announce that defendant Nydia Nelson, 30, of Miami, was sentenced today before U.S. District Judge Cecilia M. Altonaga to 84 months in prison, to be followed by three years of supervised release, and was ordered to pay $87,736 in restitution.

Co-defendants Pamela Rhim-Grant, 40, and Eugene Moss, 33, both of Miami, were sentenced on July 9, 2014, before U.S. District Judge Joan A. Lenard. Rhim-Grant was sentenced to 81 months in prison, to be followed by two years of supervised release. Moss was sentenced to 70 months in prison, to be followed by two years of supervised release. Rhim-Grant and Moss were each also ordered to pay restitution in the amount of $87,736.

Each of the defendants previously pled guilty to one count of computer fraud, in violation of Title 18, United States Code, Section 1030, and one count of aggravated identity theft, in violation of Title 18, United States Code, Section 1028A.

According to court documents, Rhim-Grant was a food service manager at Horace Mann Middle School and an employee of Miami-Dade Public Schools. In connection with her position, Rhim-Grant had network computer access to the Miami-Dade Public Schools’ Integrated Student Information System (ISIS) database through which Rhim-Grant could access information regarding current and former Miami-Dade County Public Schools students' personal identifying information (PII), including names, dates of birth, and social security numbers.

Court documents also state that from approximately October 2012 through January 21, 2014, Rhim-Grant and co-conspirators Moss and Nelson agreed and conspired to access the network computer, with the intent to commit stolen identity fraud, for the purpose of obtaining student PII in furtherance of that fraud. Moss and Nelson placed orders for student PII with Rhim-Grant. Once the order was received, Rhim-Grant accessed the network computer and printed student information sheets containing the PII from the ISIS database and delivered them to either Moss or Nelson at a prearranged location. Once in possession, Moss and Nelson used the student PII to file income tax returns seeking fraudulent refunds. The fraudulent refunds were directed either to prepaid debit cards or accounts controlled by Nelson.

According to court documents, Rhim-Grant was paid $10 per student’s PII in either cash or gift cards. According to Rhim-Grant, approximately 400 students’ PII were fraudulently accessed on the network computer and delivered to Moss or Nelson pursuant to the scheme.

Mr. Ferrer commended the investigative efforts of the FBI, IRS-CI, and the Miami-Dade Schools Police Department. The case is being prosecuted by Assistant U.S. Attorney Frank R. Maderal.

A copy of this press release may be found on the website of the United States Attorney's Office for the Southern District of Florida at http://www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.

Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, Dave Aronberg, State Attorney, Office of the State Attorney for Palm Beach County, Karen Citizen-Wilcox, Special Agent in Charge, U.S. Department of Agriculture, Office of Inspector General (USDA-OIG), Donnell Young, Acting Special Agent in Charge, Internal Revenue Service, Criminal Investigation (IRS-CI), Ryan P. Lynch, Acting Special Agent in Charge, U.S. Department of Health and Human Services, Office of Inspector General (HHS-OIG), and Ric Bradshaw, Sheriff, Palm Beach County Sheriff’s Office (PBSO), announce that Ali Jaber, 52, and his brother, Hadi Jaber, 42, both of Greenacres, and Jaber Enterprises, Inc., doing business as Fajita’s Meat and Fish Market (Fajita’s), located in Palm Springs, were sentenced today before U.S. Judge Donald M. Middlebrooks. Ali and Habi Jaber were each sentenced to 70 months in prison, to be followed by three years of supervised release. Both defendants agreed to pay $4 million, jointly and severally, as restitution to the United States Department of Agriculture. The corporation, Jaber Enterprises, Inc., was sentenced to five years of organizational probation and $4 million in restitution.

All three defendants previously pled guilty to one count of conspiracy, in violation of Title 18, United States Code, Section 371. Defendants Ali and Hadi Jaber also each pled guilty to one count of bankruptcy fraud, in violation of Title 18, United States Code, Section 152, and one count of engaging in a monetary transaction in criminally derived property, in violation of Title 18, United States Code, Section 1957.

According to court documents, from October 2006 through their arrest in December 2013, Ali and Hadi Jaber operated a grocery store known as Fajita's. Fajita’s was an authorized retailer for the Supplemental Nutrition Assistance Program (SNAP), formerly known as the Food Stamp Program. SNAP is a program that affords low and middle income households the opportunity to achieve a more nutritious diet by increasing their ability to purchase food. Eligible foods include any food or food product intended to be prepared and eaten at home, such as breads and cereals, fruits and vegetables, meat, fish and poultry, and dairy products. USDA rules specifically prohibit the exchange of SNAP benefits for cash. SNAP recipients collect their benefits through Electronic Benefit Transfer (EBT) cards which operate like debit cards. On a monthly basis, each EBT card is credited with a dollar amount to be used for the purchase of eligible food items.

Between October 2006, when they purchased Fajita’s, and their arrest in December 2013, Ali and Hadi Jaber unlawfully provided certain SNAP recipients cash in exchange for their SNAP benefits. The defendants charged a substantial fee to the SNAP recipient’s EBT card for the cash exchange. In some cases, the fee was as much as approximately 30% to 50% of the amount of the SNAP benefits redeemed.

From January 1, 2009 through April 30, 2013, over $6 million in SNAP proceeds were redeemed by Fajita's. The defendants admitted that between $2.8 and $6 million of the proceeds were fraudulent.

Defendants Ali and Hadi Jaber admitted to withdrawing over $1.8 million in cash from the scheme. In addition, Ali Jaber admitted wiring approximately $179,000 in fraud proceeds to an account in his name in Beirut, Lebanon, and over $400,000 in fraudulent proceeds was wired to various entities and individuals in Lebanon and Canada.

Hadi and Ali Jaber also admitted that approximately $220,000 from the Jaber Enterprises, Inc. accounts was used to purchase a single family home in Greenacres. Though titled in the name of Jaber Enterprises, Inc., the home was the residence of Hadi Jaber and his family.

Ali and Hadi Jaber also admitted to bankruptcy fraud. Ali Jaber admitted that he did not disclose his Beirut account in his bankruptcy filings, and defendant Hadi Jaber admitted he did not disclose his interest in Fajita’s in his filings.

Previously, defendant Daniel Velazquez, a/k/a Diego Antonio Simone, 33, of Greenacres, pled guilty to one count of theft of government funds, in violation of Title 18, United States Code, Section 641, and was sentenced to five months in prison. Velazquez was a long-time clerk at Fajita’s who participated in the fraud.

Mr. Ferrer commended the investigative efforts of USDA-OIG, IRS-CI, HHS-OIG and PBSO. This case was prosecuted by Assistant U.S. Attorneys Carolyn Bell and Adam McMichael.

A copy of this press release may be found on the website of the United States Attorney's Office for the Southern District of Florida at http://www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.

Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, Leslie R. Caldwell, Assistant Attorney General, Criminal Division Department of Justice, George L. Piro, Special Agent in Charge, Federal Bureau of Investigation, Miami Field Office and Ryan Lynch, Acting Special Agent in Charge, U.S. Department of Health and Human Services Office of Inspector General (HHS-OIG), Office of Investigations Miami announced that Elsa Ruiz, 45, of Miami pled guilty yesterday, for her participation in a $74 million Medicare fraud scheme, before U.S. District Judge Marcia G. Cooke to one count of conspiracy to commit health care fraud. Her sentencing is scheduled for October 8, 2014.

According to court documents, Ruiz was an owner of Professional Home Care Solutions Inc. (Professional Home Care) and an administrator of LTC Professional Consultants Inc. (LTC), Miami home health care agencies that purported to provide home health and therapy services to Medicare beneficiaries. Ruiz and her co-conspirators operated LTC and Professional Home Care for the purpose of billing the Medicare program for, among other things, expensive physical therapy and home health care services that were not medically necessary and/or were not provided.

Also according to court documents, Ruiz ran and oversaw the schemes operating out of LTC and Professional Home Care. Ruiz and co-conspirators paid kickbacks and bribes to patient recruiters, who provided patients to LTC and Professional Home Care, as well as prescriptions, plans of care (POCs) and certifications for medically unnecessary therapy and home health services for Medicare beneficiaries. Ruiz and her co-conspirators used these prescriptions, POCs and medical certifications to fraudulently bill the Medicare program for unnecessary home health care and therapy services.

From approximately January 2006 to June 2012, LTC and Professional Home Care submitted approximately $74 million in claims for home health care services that were not medically necessary and/or not provided, and Medicare paid approximately $45 million on those claims.

Mr. Ferrer commended the outstanding investigative efforts of the FBI and HHS-OIG. The case is being prosecuted by Assistant Chief Joseph S. Beemsterboer of the Department of Justice’s Criminal Division’s Fraud Section.

Since its inception in March 2007, the Medicare Fraud Strike Force, now operating in nine cities across the country, has charged nearly 1,900 defendants who have collectively billed the Medicare program for more than $6 billion. In addition, the HHS Centers for Medicare and Medicaid Services, working in conjunction with the HHS-OIG, are taking steps to increase accountability and decrease the presence of fraudulent providers. To learn more about the Health Care Fraud Prevention and Enforcement Action Team (HEAT), go to: www.stopmedicarefraud.gov.

A copy of this press release may be found on the website of the United States Attorney's Office for the Southern District of Florida at http://www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.

Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, and George L. Piro, Special Agent in Charge, Federal Bureau of Investigation (FBI), Miami Field Office, announce the conviction and sentencing of Soloman Zaid Alkadhi, 24, of Plantation. On April 24, 2014, Alkadhi pled guilty to a one count information charging him with providing a false statement to Special Agents of the FBI in a matter involving international terrorism, in violation of Title 18, United States Code, Section 1001(a)(2). Alkadhi was sentenced yesterday by U.S. District Judge Joan A. Lenard to 60 months in prison, followed by three years of supervised release.

In October 2009, Alkadhi denied to FBI agents that he planned to travel to Somalia to join and provide assistance to al-Shabaab, a designated foreign terrorist organization. According to court documents, Alkadhi planned to travel to Somalia to join and provide assistance to the extremist group. Alkadhi acknowledged that after conducting online research into al-Shabaab and its efforts to wage jihad, he traveled from Florida to Kenya and then attempted to cross the Kenyan-Somalian border in an effort to join and provide assistance to that organization.

Mr. Ferrer commended the outstanding investigative efforts of the FBI. The case was prosecuted by Assistant U.S. Attorney Adam Fels, with assistance of Trial Attorney Jerome Teresinski of the United States Department of Justice, National Security Division, Counterterrorism Section.

A copy of this press release may be found on the website of the United States Attorney's Office for the Southern District of Florida at http://www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.

Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, George L. Piro, Special Agent in Charge, Federal Bureau of Investigation (FBI), Miami Field Office, Donnell Young, Acting Special Agent in Charge, Internal Revenue Service, Criminal Investigation (IRS-CI), and Scott Israel, Sheriff, Broward Sheriff’s Office (BSO), announce that Jeff Alan Poole, 47, of Weston, was sentenced today in Ft. Lauderdale by U.S. District Judge William P. Dimitrouleas to one year and one day in prison, followed by three years of supervised release. Poole was also ordered to pay $22,071.02 in restitution.

On May 8, 2014, Poole pled guilty to conspiracy to violate civil rights, in violation of Title 18, United States Code, Section 241. At the time of the offense, the defendant was employed by BSO as a detective.

When he entered his guilty plea, the defendant admitted that he utilized his position within BSO unlawfully to arrest the ex-wife of an attorney who was engaged in a child custody dispute with her at the request of BSO Lt. David Benjamin. Poole also agreed at his guilty plea that this request emanated from Scott W. Rothstein, a former attorney who is now serving a 50-year sentence in connection with a Ponzi scheme which he had operated. On July 21, 2014, Benjamin was sentenced to a prison term of five years in connection with the Rothstein case.

Mr. Ferrer commended the investigative efforts of the FBI, IRS-CI and BSO. This case is being prosecuted by Assistant U.S. Attorneys Lawrence D. LaVecchio, Paul F. Schwartz, and Jeffrey N. Kaplan.

A copy of this press release may be found on the website of the United States Attorney's Office for the Southern District of Florida at http://www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.

Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, and George L. Piro, Special Agent in Charge, Federal Bureau of Investigation (FBI), Miami Field Office, announce the sentencing of William Garcia, 39, of Miami, a former Sweetwater Police Department detective, for his role in a credit card fraud and aggravated identity theft scheme.

On April 21, 2014, a jury in federal court found Garcia guilty of twelve counts of the fifteen count indictment. Specifically, the defendant was found guilty of: conspiring to produce, use, or traffic in one or more counterfeit access devices, in violation of Title 18, United States Code, Section 371; use of a counterfeit access device, in violation of Title 18, United States Code, Section 1029(a)(1); and ten counts of aggravated identity theft, in violation of Title 18, United States Code, Section 1028A(a)(1). United States District Judge Federico A. Moreno sentenced Garcia to a term of 112 months imprisonment, to be followed by one year of supervised release. Garcia was also ordered to pay approximately $13,000.00 in restitution.

During trial, the United States presented evidence documenting Garcia’s improper friendship with a former confidential source. The confidential source, a convicted felon, would provide Garcia and another former South Miami Detective, Richard Munoz, with counterfeit credit cards. During the trial, the source, Munoz, and others testified about Garcia’s possession and use of those cards during shopping trips to the Dolphin and Florida City shopping malls in late 2010 and early 2011. During a meeting recorded by an FBI source, Garcia was recorded providing his own personal credit card for use in stealing account numbers and manufacturing counterfeit cards.

After the source started cooperating in June 2011, Garcia was caught on videotape bringing eight counterfeit credit cards to the confidential sources’ residence. During that and other recorded meetings, Garcia explained that he had taken the counterfeit cards from work and that he would share them with the confidential source. During the next two weeks, Garcia was again caught on tape discussing his use of the cards at restaurants, movies, and the Dolphin Mall. Garcia’s presence during the transactions was further documented through use of phone records, placing Garcia’s cellular telephone in the area of each transaction at the time it occurred.

U.S. Attorney Wifredo A. Ferrer stated, “William Garcia violated his oath as a police officer and misused his position to victimize the civilians he was sworn to protect. Mr. Garcia’s participation in these crimes betrayed not only the public trust, but also his fellow officers’ daily sacrifices as they work tirelessly to protect this community. Today’s sentence sends a strong message that we expect and deserve more from our public servants. I congratulate the hard work of the FBI that led to this successful prosecution.”

"The FBI’s Miami Area Corruption Task Force was assembled to ensure public officials are brought to justice if they betray the community’s trust,” said George L. Piro, Special Agent in Charge, FBI Miami. “In this case, the Task Force along with the assistance of the Sweetwater Police Department worked diligently to ensure justice was served.”

Mr. Ferrer commended the outstanding investigative efforts of the FBI. This case is being prosecuted by Assistant U.S. Attorneys Anthony Lacosta and Sarah Schall.

A copy of this press release may be found on the website of the United States Attorney's Office for the Southern District of Florida at http://www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.

Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, Thomas Caul, Special Agent in Charge, Social Security Administration (SSA), Office of Inspector General (OIG), Donnell Young, Acting Special Agent in Charge, Internal Revenue Service, Criminal Investigation (IRS-CI), and George L. Piro, Special Agent in Charge, Federal Bureau of Investigation (FBI), Miami Field Office, announce that Thervil Alcinor, 34, of Miami, pled guilty to one count of access device fraud, in violation of Title 18, United States Code, Section 1029(a)(2), and one count of aggravated identity theft, in violation of Title 18, United States Code, Section 1028A. Sentencing is scheduled for September 29, 2014, at 2:00 p.m. At sentencing, Alcinor faces up to ten years in prison for the access device charge, and a mandatory term of two years in prison, consecutive to any other term in prison, for the aggravated identity theft charge.

According to court documents, from January 2013 through May 2014, Alcinor was involved in the use of personal identifying information (names, dates of birth, and social security numbers belonging to real people) to file fraudulent applications for Social Security Retirement Insurance Benefits (RIB) and Social Security Disability Insurance Benefits (DIB), and to file fraudulent income tax returns with the IRS claiming false refunds.

Court documents state that Alcinor was involved in establishing online accounts on the Social Security Administration website, MySSA.gov, for already-existing RIB or DIB beneficiaries to redirect RIB and DIB payments to accounts (often prepaid debit card accounts) controlled by him. Law enforcement identified 945 fraudulently established MySSA accounts, all with similarly concocted fraudulent email addresses. The fraudulent claims resulted in $700,462 in fraudulent RIB and DIB payments.

According to court documents, Alcinor was also involved in the filing of fraudulent tax returns claiming refunds from the IRS which he directed into accounts (often prepaid debit card accounts) controlled by him. Specifically from April 2012 through September 2013, 54 fraudulent income tax refunds, totaling $174,862.20, were identified by H&R Block records as having been deposited into accounts associated with Alcinor. An additional 14 fraudulent tax refunds, totaling $31,137.28, were connected to the scheme by IRS.

Mr. Ferrer commended the investigative efforts of SSA-OIG, IRS-CI and FBI. The case is being prosecuted by Assistant U.S. Attorney Frank R. Maderal.

A copy of this press release may be found on the website of the United States Attorney's Office for the Southern District of Florida at http://www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.

Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, George L. Piro, Special Agent in Charge, Federal Bureau of Investigation (FBI), Miami Field Office, Donnell Young, Acting Special Agent in Charge, Internal Revenue Service, Criminal Investigation (IRS-CI), and Scott Israel, Sheriff, Broward County Sheriff’s Office (BSO), announce that David Benjamin, 48, of Boca Raton, was sentenced today in Ft. Lauderdale by U.S. District Judge James I. Cohn to five years in prison, to be followed by three years of supervised release. Benjamin was also ordered to pay $22,071.00 in restitution for conspiring to commit crimes in connection with the operation of the former Fort Lauderdale law firm of Rothstein, Rosenfeldt and Adler, P.A. (RRA). On May 13, 2014, Benjamin pled guilty to conspiracy to commit extortion and to violate civil rights, in violation of Title 18, United States Code, Section 371. At the time of the offense, Benjamin was a Lieutenant and served as Executive Officer to then Sheriff Al Lamberti.

When he entered his guilty plea, the defendant admitted that he utilized his position within BSO unlawfully to further the interests of RRA, its Chairman and CEO, Scott W. Rothstein, and other persons associated with Rothstein. Specifically, Benjamin admitted that he received approximately $185,000 in money and other things of value from Rothstein and RRA in return for providing his assistance when needed, including arranging with another deputy to arrest the ex-wife of an attorney who was engaged in a child custody dispute with her, arranging to use force and threats of force against the boyfriend of an escort who was threatening to expose the illicit relationship which existed between the escort and one of the partners at RRA, and assisting Rothstein in loading cash and jewelry onto a private airplane which was used by Rothstein to flee to Morocco on October 27, 2009, as the Ponzi scheme being conducted through RRA was beginning to unravel.

Mr. Ferrer commended the investigative efforts of the FBI, IRS-CI and BSO. This case is being prosecuted by Assistant U.S. Attorneys Lawrence D. LaVecchio, Paul F. Schwartz, and Jeffrey N. Kaplan.

A copy of this press release may be found on the website of the United States Attorney's Office for the Southern District of Florida at http://www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.

Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, George L. Piro, Special Agent in Charge, Federal Bureau of Investigation (FBI), Miami Field Office, David W. Bourne, Special Agent in Charge, U.S. Food and Drug Administration (FDA), Office of Criminal Investigations, Miami Field Office, and Bryan Kummerlen, Chief, West Palm Beach Police Department, announce that Dewitt McDonald, 46, of Wellington, was sentenced today in Ft. Lauderdale by United States District Judge James I. Cohn to five years in prison, to be followed by three years of supervised release. McDonald was also ordered to pay $25,810.00 in restitution. The defendant pled guilty on April 30, 2014, to carrying a firearm during and in relation to a drug trafficking crime, in violation of Title 18, United States Code, Section 924(c)(1)(A). At the time of this offense, the defendant was a police officer with the West Palm Beach Police Department.

When he entered his guilty plea, the defendant admitted that, while he was employed as a police officer, the defendant operated two businesses: Prime Performance Wellness Centers, Inc., located in Lake Worth, and Prime Health and Rejuvenation Clinic, located in Wellington, through which he unlawfully distributed anabolic steroids and other prescription drugs. The defendant further admitted that, on March 5, 2013, while on duty and carrying his Smith & Wesson MP40 pistol, the defendant made a delivery of these drugs to someone in Palm Beach County.

Mr. Ferrer commended the investigative efforts of the FBI and FDA-Office of Criminal Investigations. Mr. Ferrer also thanked the West Palm Beach Police Department for their cooperation and assistance in this matter. This case is being prosecuted by Assistant U.S. Attorneys Lawrence D. LaVecchio, Paul F. Schwartz and Jeffrey N. Kaplan.

A copy of this press release may be found on the website of the United States Attorney's Office for the Southern District of Florida at http://www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.

Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, Donnell Young, Acting Special Agent in Charge, Internal Revenue Service, Criminal Investigation (IRS-CI), and Paula Reid, Special Agent in Charge, United States Secret Service (USSS), Miami Field Office, announce that Willy Toussaint, 41, of Lauderhill, pled guilty today to one count of conspiracy to commit bank fraud, in violation of Title 18, United States Code, Section 1349, and two counts of bank fraud, in violation of Title 18, United States Code, Section 1344. Toussaint also agreed to an order of restitution in the amount of $208,261.90, which represents the actual loss suffered by the IRS in this case.

At sentencing, the defendant faces a maximum statutory sentence of up to thirty years in prison, five years of supervised release, and a $1,000,000 fine. Sentencing has been scheduled for October 10, 2014, at 3:00 p.m. before U.S. District Judge Beth Bloom in Ft. Lauderdale.

According to court documents, Toussaint obtained counterfeit means of identification, including counterfeit State of Florida driver’s licenses, and caused multiple unauthorized personal and business bank accounts to be created at JP Morgan Chase Bank in the names of unsuspecting identity theft victims utilizing their personal identification information (PII). As compensation for opening the bank accounts, Toussaint paid the bank employees between $2,000 and $10,000.

Court documents also state that co-conspirators utilized stolen PII to submit false, fictitious, and fraudulent federal income tax returns to the IRS claiming tax refunds to which they were not entitled. The fraudulently claimed tax refunds were then deposited into the bank accounts established with the assistance of Toussaint. After the tax refunds were received at the bank, co-conspirators would either “wire” the money out of the established accounts or would utilize multiple automated teller machines (ATMs) to withdraw the money in cash.

Mr. Ferrer commended the investigative efforts of IRS-CI and the USSS. The case is being prosecuted by Assistant U.S. Attorney Marc S. Anton.

A copy of this press release may be found on the website of the United States Attorney's Office for the Southern District of Florida at http://www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.

Wifredo A. Ferrer, United States Attorney for the Southern District of Florida, and George L. Piro, Special Agent in Charge, Federal Bureau of Investigation (FBI), Miami Field Office, announce that William Potts, Jr., a/k/a William Freeman, a/k/a Lieutenant Spartacus, 57, was sentenced today to 20 years in prison on charges of kidnapping. Potts is eligible for parole after he serves one third of his 20-year sentence.

On May 1, 2014, Potts pled guilty to a superseding information charging him with one count of kidnapping, in violation of Title 18, United States Code, Section 1201(a)(3) (1984).

In 1985, Potts was originally indicted in the Southern District of Florida with one count of air piracy, in violation of Title 49, United States Code, Section 1472(i) (1984), after diverting a Piedmont Airlines passenger aircraft to Havana, Cuba as the aircraft was approaching Miami International Airport.

According to court documents, Potts threatened to blow up the airplane and shoot passengers if the plane landed in Miami. The pilot diverted the aircraft and landed in Havana, Cuba. After the plane landed in Havana, Cuban authorities boarded and escorted Potts off of the plane. Cuban authorities charged Potts for diverting the aircraft. Potts was convicted and sentenced to 15 years in prison in Cuba. Potts served approximately 13 years in Cuban custody. Potts remained in Cuba after his release from Cuban custody until his return to Miami on November 6, 2013.

Mr. Ferrer commended the investigative efforts of the FBI. Mr. Ferrer also thanked the Diplomatic Security Service, the Coast Guard, and the Transportation Security Administration for their assistance in this case. This case was prosecuted by Assistant U.S. Attorney Maria K. Medetis.

A copy of this press release may be found on the website of the United States Attorney's Office for the Southern District of Florida at http://www.usdoj.gov/usao/fls. Related court documents and information may be found on the website of the District Court for the Southern District of Florida at http://www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.