Northern District of Georgia
Press releases recorded for this federal judicial district.
Defendant arraigned in phone scam targeting U.S. victimsRead the Press Release
ATLANTA – Mehboob Mansurali Charania was arraigned on charges relating to his involvement in a transnational criminal organization that victimized over 340 people in the United States through a fraudulent India-based call-center scheme, resulting in over $200,000 in losses. Charania was indicted by a federal grand jury on November 6, 2018.
“Telephone scammers seek to profit by exploiting United States citizens, including the elderly and other vulnerable members of our community,” said U.S. Attorney Byung J. “BJay” Pak. “Citizens should be wary of anyone demanding money over the phone.”
“Since 2013, the Treasury Inspector General for Tax Administration (TIGTA) has investigated numerous instances in which individuals who fraudulently represent themselves as IRS officials in order to extort money from taxpayers,” said J. Russell George, the Treasury Inspector General for Tax Administration. “We will not back down from our pursuit of these criminals, and will continue to work with our law enforcement partners to bring them to justice.”
According to U.S. Attorney Pak, the charges, and other information presented in court: The indictment alleges that the defendant took part in a sophisticated scheme organized in India, including a network of call centers. Call center operators allegedly telephoned U.S. residents and misled the potential victims into sending money utilizing a number of different confidence scams.
The scams included IRS impersonation scams where the callers pretended to be IRS employees demanding payment of taxes and fees. Other scams included grant scams where callers directed victims to pay upfront fees for fictitious grants, student loan scams where callers threatened victims if they did not pay fictitious taxes and fees associated with student loans, and hacking scams where callers would gain remote access to the victim’s computer, lock the victim out of the computer, and deny access to the computer until the victim provided payment.
If the victims agreed to pay, the call centers allegedly would have the victims send the funds to the attention of fictitious names used by Charania through wire transfers, including through MoneyGram and Western Union. The indictment charges Charania with wire fraud and operating an unlicensed money transmitting business.
Charania, a citizen of India residing in Atlanta, was arraigned on November 7, 2018 before U.S. Magistrate Judge Justin S. Anand. Members of the public are reminded that the indictment only contains charges. The defendant is presumed innocent of the charges and it will be the government’s burden to prove the defendant’s guilt beyond a reasonable doubt at trial.
This case is being investigated by the U.S. Treasury Inspector General for Tax Administration.
Assistant U.S Attorney Jolee Porter is prosecuting the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Mitzi Bickers arraigned on new bribery charge relating to Mississippi pay-to-play schemeRead the Press Release
ATLANTA - Mitzi Bickers has been charged in a superseding indictment with an additional bribery charge relating to an alleged Jackson, Mississippi pay-to-play scheme. In April 2018, Bickers was charged with 11 other federal offenses, including conspiring to commit bribery, wire fraud, money-laundering, federal obstruction and tax fraud. The federal grand jury investigating this matter returned the superseding indictment on October 22, 2018.
“Bickers allegedly provided flights, limousines, hotel rooms, expensive food and entertainment to Jackson’s mayor and other city officials in an attempt to secure lucrative government contracts,” said U.S. Attorney Byung J. “BJay” Pak. “Her plans eventually unraveled though when she publically bragged that the mayor promised her the contracts and she just needed to ensure the paperwork looked good enough.”
“It is vitally important that government contracts go to the most qualified bidders through a fair and transparent process,” said Chris Hacker, Special Agent in Charge of FBI Atlanta. “Public corruption is one of the FBI’s top priorities, and along with our partners in law enforcement, we will not tolerate those who try to circumvent proper government procedures.”
“This latest indictment represents a pattern and practice when it comes to Bickers’ political activities of pay-to-play,” said Thomas J. Holloman, Special Agent in Charge, IRS- Criminal Investigation. “We are going to continue our efforts and we will not leave a stone unturned until all those who have engaged in corrupt political practices for personal gain are brought to justice.”
According to U.S. Attorney Pak, the charges, and other information presented in court: In February 2014, the former mayor of the City of Jackson died in office. As a result of the incumbent mayor’s death, the City of Jackson held a Special Mayoral Election in the spring of 2014. In March and April 2014, Bickers assisted a candidate with his campaign for mayor of the City of Jackson. On April 22, 2014, the candidate (“Mayor”) was elected Mayor of the City of Jackson.
Beginning in March 2014, Bickers allegedly hosted parties and paid for food, airline flights, hotels, chauffeured car services, entertainment, fundraisers and campaign services for the Mayor and other City of Jackson officials in an effort to influence and reward these public officials, all in an effort to secure government contracts. Elvin R. Mitchell, Jr. helped to fund many of these activities. Mitchell was convicted in this case of conspiring to bribe City of Atlanta officials and was sentenced to five years in federal prison.
Bickers then allegedly met with the Mayor and other City of Jackson officials to discuss city contracts. In May 2015, as she was preparing to submit a contract proposal, Bickers met with a city official. During this meeting, she allegedly bragged that the Mayor had promised her the city contract and that she simply needed to ensure that her paperwork looked good enough to pass muster. In June 2015, Bickers teamed with another company and ultimately submitted a proposal for work relating to Jackson’s Wastewater Consent Decree Program Management Services Contract.
Mitzi Bickers, 51, of Atlanta, Georgia, was arraigned today before U.S. Magistrate Judge Justin Anand. Members of the public are reminded that the indictment only contains charges. The defendant is presumed innocent of the charges and it will be the government’s burden to prove the defendant’s guilt beyond a reasonable doubt at trial.
This case is being investigated by the FBI and Internal Revenue Service Criminal Investigation.
First Assistant U.S. Attorney Kurt R. Erskine; Chief of the Public Integrity and Special Matters Section Jeffrey W. Davis; and Assistant U.S. Attorney Erin Sanders are prosecuting the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
U.S. Attorney Pak Announces Election Monitoring in Conjunction with Nationwide Election Day ProgramRead the Press Release
ATLANTA –The U.S. Attorney for the Northern District of Georgia, Byung J. “BJay” Pak, announces that Assistant U.S. Attorney (AUSA) William Toliver will lead the efforts of this office in connection with the Justice Department’s nationwide Election Day Program for the upcoming general election on November 6, 2018. AUSA William Toliver has been appointed to serve as the District Election Officer (DEO), and in that capacity is responsible for overseeing the handling of complaints of election fraud and voting rights abuses in consultation with Justice Department Headquarters in Washington, D.C.
“Every citizen must be able to vote without interference or discrimination and to have that vote counted without it being stolen because of fraud,” said U.S. Attorney Byung J. “BJay” Pak. “On election day, federal observers will be located at certain polling locations throughout the Northern District of Georgia, including Fulton and Gwinnett Counties, to monitor voting procedures. Free and fair elections depend on the cooperation of the American electorate. It is imperative that those who have specific information about potential discrimination or election fraud make that information available immediately to my office, the FBI, or the Civil Rights Division of the Department of Justice.”
The Department of Justice has an important role in deterring election fraud and discrimination at the polls, and combating these violations whenever and wherever they occur. The Department’s long-standing Election Day Program furthers these goals, and promotes public confidence in the integrity of the election process by providing local points of contact within the Department for the public to report possible election fraud and voting rights violations while the polls are open on Election Day.
Federal law protects against such crimes as intimidating or bribing voters, buying and selling votes, impersonating voters, altering vote tallies, stuffing ballot boxes, and marking ballots for voters against their wishes or without their input. It also contains special protections for the rights of voters, and provides that they can vote free from acts that intimidate or harass them. For example, actions of persons designed to interrupt or intimidate voters at polling places by questioning or challenging them, or by photographing or videotaping them, under the pretext that these are actions to uncover illegal voting may violate federal voting rights law. Further, federal law protects the right of voters to mark their own ballot or to be assisted by a person of their choice (where voters need assistance because of disability or illiteracy).
The franchise is the cornerstone of American democracy. We all must ensure that those who are entitled to the franchise exercise it if they choose, and that those who seek to corrupt it are brought to justice. In order to respond to complaints of election fraud or voting rights abuses on November 6, 2018, and to ensure that such complaints are directed to the appropriate authorities, AUSA William Toliver will be on duty in this District while the polls are open. He can be reached by the public at the following telephone number (404) 581-6001.
In addition, the FBI will have special agents available in each field office and resident agency throughout the country to receive allegations of election fraud and other election abuses on election day. The local FBI field office can be reached by the public at (404) 216-3000.
Complaints about possible violations of the federal voting rights laws can be made directly to the Civil Rights Division’s Voting Section in Washington, DC by phone at 1-800-253-3931 or (202) 307-2767, by fax at (202) 307-3961, by email to [email protected] or by complaint form at http://www.justice.gov/crt/complaint/votintake/index.php.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Woman Indicted for Conspiracy to File False Tax Returns and Making False Statements to a Federal AgentRead the Press Release
A woman was arrested on Friday, October 26, 2018, following an indictment for conspiracy to defraud the United States by filing false tax returns and making false statements to a federal agent, announced Principal Deputy Assistant Attorney General Richard E. Zuckerman of the Justice Department’s Tax Division and United States Attorney Byung J. Pak for the Northern District of Georgia.
According to the indictment, between approximately 2011 and 2014, Tiffany Lewis and her co-conspirators fraudulently obtained the payment of income tax refunds by filing false tax returns. After directing the tax refunds into bank accounts they opened and controlled, Lewis and her co-conspirators used checks and debit cards to withdraw cash or to pay for personal items. Later, when interviewed by an Internal Revenue Service-Criminal Investigation special agent, Lewis lied about her purported purchase of a tax return preparation business.
If convicted, Lewis faces a maximum of 5 years in prison for the conspiracy charge, and 5 years in prison for the false statements charge. She also faces a period of supervised release, restitution, and monetary penalties. One of Lewis’s co-conspirators, Renault Shinall, was sentenced in July 2018 to 37 months’ imprisonment after pleading guilty to his part in the conspiracy.
An indictment merely alleges that crimes have been committed. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.
Principal Deputy Assistant Attorney General Zuckerman and U.S. Attorney Pak thanked special agents of IRS Criminal Investigation, who conducted the investigation, and Tax Division Trial Attorneys David Zisserson and Sean Beaty, as well as Assistant United States Attorney Jeffrey A. Brown, who are prosecuting the case.
Additional information about the Tax Division’s enforcement efforts can be found on the division’s website.
Gang member sentenced to federal prison for killing rival gang memberRead the Press Release
ATLANTA - Julio Ramos, a/k/a “Sleepy,” was sentenced to federal prison for his involvement in an October 2002 drive-by shooting, resulting in the death of Aldo Vallejo, a rival gang member.
“The Brownside Locos were a street gang whose members engaged in drug trafficking and numerous acts of violence, including at least five murders of rival gang members between 1998 and 2002,” said U.S. Attorney Byung J. “BJay” Pak. “After many years as a fugitive, Ramos will now serve a lengthy federal prison sentence for his involvement in Vallejo’s death.”
“This case is an example of the lengths the FBI will go to, to bring violent offenders like Ramos to justice,” said J.C. “Chris” Hacker, Special Agent in Charge of the FBI Atlanta Division. “The violence and indiscriminate exchange of gunfire that took place on our public streets 16-years ago cannot go unpunished and hopefully his sentence will send a message that we will go to any lengths to make sure it doesn’t.”
According to U.S. Attorney Pak, the charges and other information presented in court: The Brownside Locos formed in the mid-1990s and members were required to represent the gang by confronting rival gang members. Brownside Locos members obtained status and influence within the gang by committing acts of violence against other gang members. From 1998 to 2003, Brownside Locos members committed numerous acts of violence, including at least five murders, of rival gang members. Members also engaged in drug trafficking to support the activities of the gang.
Ramos became a member of Brownside Locos in 2001. On October 27, 2002, Ramos, Alex Romero, Israel Stalabera, and three other gang members were in a van driven by Romero when they spotted a car being driven by Aldo Vallejo in the parking lot at Plaza Fiesta on Buford Highway in Atlanta. Vallejo and the passengers in his car were members of the rival 18th Street gang. Romero followed Vallejo’s car out of the parking lot at Plaza Fiesta. When Vallejo realized that his car was being followed, he engaged in evasive driving maneuvers in an attempt to get away from the van.
The two vehicles ended up on an access road leading off Interstate 85 North at Sugarloaf Parkway in Gwinnett County, Georgia, when an exchange of gunfire erupted between the rival gangs. Romero pulled the van alongside Vallejo’s car and the defendants fired multiple shots directly into the passenger compartment of the car. Vallejo, mortally wounded from the shooting, wrecked his car on the access road. Two days later, Vallejo died of the injuries he sustained from the shooting. He was 20 years old.
Julio Ramos, a/k/a “Sleepy,” 41, of Atlanta, Georgia was sentenced by U.S. District Judge Amy Totenberg to six years, six months in federal prison, to be followed by three years of supervised release on October 23, 2018. Ramos, a citizen of Mexico, will be deported upon completion of his prison sentence.
This case was investigated by the FBI and the Gwinnett County Police Department’s Gang Task Force.
Assistant U.S. Attorneys Kim S. Dammers, Chief of the Organized Crime and Gangs Section; and William L. McKinnon, Jr., Division Court Coordinator for Gainesville, Georgia prosecuted the case.
For further information, please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Felon sentenced to federal prison for gun possessionRead the Press Release
ATLANTA – Kenneth Copeland was sentenced to federal prison on October 22, 2018, for being a felon in possession of a firearm after bringing an assault rifle into the Dunbar Recreational Center Gymnasium.
“Our community centers are designed to be a place where the public—especially our children—can safely play and gather together,” said U.S. Attorney Byung J. “BJay” Pak. “By bringing a loaded assault rifle into the gymnasium, Copeland put all those present in danger and took from the community its sense of safety.”
“The illegal possession of a firearm is a crime in itself” said Arthur Peralta, ATF Special Agent in Charge. “However, taking a firearm into a place where children are present and leaving it in plain view, recklessly endangering everyone, is shocking. In this case, a concerned citizen saved the day and the defendant is no longer in a position to endanger anyone else.”
“There’s no place on our streets for guns to be in the hands of convicted felons, and certainly no place for guns of any kind to be in a place that’s supposed to be a safe haven for so many of our children,” said Atlanta Police Chief Erika Shields. “This is great teamwork by our officers and the U.S. Attorney's Office to once again assist us in getting dangerous and irresponsible individuals out of our communities.”
According to U.S. Attorney Pak, the charges and other information presented in court: On April 28, 2015, Copeland came to the Dunbar Center Gymnasium with a loaded assault rifle in a shopping bag. Despite the presence of approximately 20 members of the public, including children, Copeland left the assault rifle on the bleachers and went to play basketball. A concerned citizen called 911 to alert law enforcement that the assault rifle was inside the gymnasium. Atlanta Police Department officers arrived, detained Copeland, and successfully secured the loaded assault rifle. Copeland was convicted of multiple felonies prior to April 28, 2015, and as a result, he is prohibited by law from possessing a firearm.
Kenneth Copeland, 27, of Atlanta, Georgia was sentenced by U.S. District Judge Amy Totenberg to five years in federal prison, to be followed by three years of supervised release. Copeland pleaded guilty to one count of a felon in possession of a firearm on July 25, 2018.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives, and the Atlanta Police Department.
Assistant U.S. Attorneys Katherine I. Terry and Kim Dammers, Chief of the Organized Crime and Gangs Section, prosecuted the case. The Fulton County District Attorney’s office and the Cobb County District Attorney’s Office also provided assistance with the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Cyber criminal sentenced for hacking universitiesRead the Press Release
ATLANTA – Olayinka Olaniyi, a citizen of Nigeria, was sentenced on charges of conspiracy to commit wire fraud, computer fraud and aggravated identity theft. Olaniyi was convicted by a federal jury on August 9, 2018, after a three-day trial. Co-defendant, Damilola Solomon Ibiwoye, pleaded guilty to similar charges and was sentenced on January 31, 2018.
“These defendants’ attempted theft of millions of dollars by tricking unsuspecting victims into providing personal information, subsequently leading to the infiltration of other computer systems,” said U.S. Attorney Byung J. “BJay” Pak. “While cybercrime has no borders, those who operate under the cloak of anonymity that the Internet provides will not be shielded from extradition and prosecution.”
“This sentence is the direct result of the hard work of FBI investigators and federal prosecutors working with their international partners, proving once again that cybercriminals cannot hide behind geographic borders anymore,” said Chris Hacker, Special Agent in Charge of FBI Atlanta. “We are determined to protect our citizens and our institutions no matter how far the investigation reaches.”
“The scheme that these perpetrators attempted against college and university employees in our state is unfortunately all too common and underscores the ever-increasing need to remain vigilant in cybersecurity efforts,” said Attorney General Chris Carr. “We will continue working with our local, state and federal partners to investigate and prosecute those who seek to steal from Georgians and educate our citizens on how to avoid falling victim to deceptive practices.”
According to U.S. Attorney Pak, the charges, and other information presented in court: Olaniyi and Ibiwoye were behind several “phishing scams” that targeted colleges and universities in the United States, including the Georgia Institute of Technology (“Georgia Tech”) and the University of Virginia. While both are Nigerian citizens, they committed their crimes while living in Kuala Lumpur, Malaysia, and were extradited to the United States to face these charges.
A “phishing scam” is the act of sending fraudulent emails that appear to come from legitimate enterprises for the purpose of tricking the recipients into providing personal information, including usernames and passwords. Olaniyi and Ibiwoye directed phishing emails to college and university employees. Once they had possession of employee logins and passwords, they were able to steal payroll deposits by changing the bank account into which the payroll was deposited. Also, while logged into the university system through the stolen logins and passwords, these defendants were able to gain access to employee W2 forms, which they used to file fraudulent tax returns. The attempted theft was over $6 million.
The stolen funds were routed into U.S. bank accounts, and the evidence showed that access to these bank accounts was acquired through the use of romance scams, where fraudsters pose on dating sites and apps as potential partners to gain the trust of their victim. At some point, the fraudsters made requests to deposit money into their victims’ accounts and claimed to need all of the account information, including their account numbers, routing numbers, passwords, and answers to security questions. In this case, all of that information was then used to funnel the proceeds of theft through those accounts and out of the country.
Olayinka Olaniyi, 34, of Nigeria was sentenced to five years, 11 months in prison, to be followed by three years of supervised release on October 22, 2018. Olaniyi was also ordered to pay restitution in the amount of $56,175.44.
Damilola Solomon Ibiwoye, 29, of Nigeria was sentenced to three years, three months in prison to be followed by three years of supervised release on January 31, 2018. He was also ordered to pay $56,175.44 in restitution.
This case was investigated by the Federal Bureau of Investigation.
Assistant U.S. Attorney Jeffrey A. Brown, Deputy Chief of the Complex Frauds Section, and Special Assistant U.S. Attorney Laura D. Pfister prosecuted the case.
Alabama man sentenced for trying to have sex with underage girls in GeorgiaRead the Press Release
NEWNAN, Ga. - Christopher Bradley Braden, who on two separate occasions arranged to meet minor girls for sex, was sentenced to federal prison for enticing a minor to engage in illegal sexual activity.
“This defendant was brazen and persistent in seeking out young girls on the Internet,” said U.S. Attorney Byung J. “BJay” Pak. “On two separate occasions, Braden drove for hours hoping to have sex with young girls. Thanks to the vigilance of our law enforcement partners, Braden is being held accountable for his depraved conduct.”
“On two separate occasions Braden drove for hours hoping to have sex with young girls and most likely would have continued if he wasn’t arrested,” said Chris Hacker, Special Agent in Charge of FBI Atlanta. “The FBI Atlanta Metro Atlanta Child Exploitation Task Force (MATCH) is committed to remain vigilant, holding predators who pose a threat to our children, accountable.”
“Online sexual predators of children are a problem within our communities, said Marietta Police Chief Dan Flynn. “We appreciate the assistance of our federal partners and we are grateful to have intercepted the suspect before another child was harmed.”
According to U.S. Attorney Pak, the charges and other information presented in court: In November 2016, Braden started communicating with a young girl on the cell phone app “Meet24.” She told him that she was 13 years old. He immediately initiated sexual conversations with the minor, asking about her body development and her sexual experience. Braden even sent her a video of himself masturbating. He made arrangements to meet her for the purpose of having sex with her on December 1, 2016. When he showed up at the pre-arranged location in Marietta, he was met by two Marietta Police Department officers and arrested. The 13-year-old girl was actually an undercover police officer. He was later released on bond.
In May 2017 - only six months later - Braden met a 14-year-old girl on the same cell phone app. Again, he asked questions about her body development and her sexual experience. He even sent the girl a photo of his erect penis. Braden then made arrangements to meet her at a gas station in Bremen, Georgia. While traveling to Bremen, he sent the girl a message confirming that she was 14 years old. When Braden showed up near the gas station, he was pulled over and arrested by Bremen Police Department officers. Like before, the 14-year-old girl was actually an undercover police officer.
Braden, 40, of Jasper, Alabama, has been sentenced to 10 years, six months in prison, to be followed by 15 years of supervised release. Braden will also be required to register as a sex offender when he is released from prison. Braden was convicted on these charges on July 11, 2018, after he pleaded guilty.
This case was investigated by the Federal Bureau of Investigation, Marietta Police Department, and Bremen Police Department.
Assistant U.S. States Attorney Paul R. Jones prosecuted the case.
This case is being brought as part of Project Safe Childhood. In February 2006, the Attorney General launched Project Safe Childhood, a nationwide initiative designed to protect children from online exploitation and abuse. Led by the United States Attorney’s Offices around the country, Project Safe Childhood marshals federal, state and local resources to apprehend and prosecute individuals who exploit children. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Atlanta man sentenced to federal prison for aggravated identity theftRead the Press Release
ATLANTA – Khoi Nguyen was sentenced to federal prison for aggravated identity theft on October 19, 2018. As a part of his scheme, Nguyen stole the identity of an unwitting victim, then subsequently opened a fraudulent online bank account at Branch Banking and Trust (BB&T) bank.
“Nguyen brazenly stole thousands of dollars from a financial institution to line his pockets,” said U.S. Attorney Byung J. “BJay” Pak. “The defendant impersonated a federal agent to try to cover his tracks, but fortunately an alert bank employee and the quick response from law enforcement brought his identity theft scheme to a halt.”
“There is no telling how far this fraud scheme would have gone without the alert response from bank employees and the Atlanta Police Department,” according to Chris Hacker, Special Agent in Charge of FBI Atlanta. “Identity fraud affects so many people, not only the individual victim, but also in this case the bank and its customers. The FBI is committed to doing our best to protect the public from identity theft.”
“Identity theft is a serious crime that has an awful impact on people’s lives, costing them not only money, but precious time and resources to fix,” said Atlanta Police Chief Erika Shields. “I’m proud of our team’s work in partnership with the FBI and the U.S. Attorney to ensure criminals like Nguyen suffer the consequences of preying on hard-working people’s finances.”
According to U.S. Attorney Pak, the charges and other information presented in court: Around December 2017, Nguyen opened a fraudulent account online at BB&T Bank in the name of a victim. Nguyen visited a BB&T Bank branch in Atlanta on more than one occasion impersonating the victim. When Nguyen was encountered by law enforcement, he falsely claimed that he was a federal agent and was arrested. At the time of his arrest, Nguyen possessed more than $11,000 in cash, 20 iPhones bearing stickers denoting portions of phone numbers or complete phone numbers and/or initials, fraudulent Department of Defense identification documents with different names, various state driver’s licenses containing Nguyen’s photograph with different names, bank and debit cards in various names, gift cards with various institutions, and documents in the name of the victim whose identity Nguyen used to open an account at BB&T Bank.
Khoi Nguyen, 43, of Atlanta, Georgia, was sentenced by U.S. District Judge Amy Totenberg to two years in prison to be followed by one year of supervised release. He was also ordered to pay $3,208.43 in restitution to BB&T Bank. Nguyen pleaded guilty to aggravated identity theft on July 23, 2018.
This case was investigated by the Federal Bureau of Investigation and the Atlanta Police Department.
Assistant U.S. Attorney Ryan J. Huschka prosecuted the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Government files False Claims Act complaint against ophthalmologist, Dr. Aarti D. PandyaRead the Press Release
ATLANTA - The government intervened and filed a complaint in a False Claims Act lawsuit against Aarti D. Pandya, M.D. a/k/a Arati D. Pandya, M.D., an ophthalmologist from Conyers, Georgia, and her practice Aarti D. Pandya, M.D., P.C. (“the Pandya Defendants”). The lawsuit alleges that the Pandya Defendants submitted false claims to Medicare for surgical procedures, diagnostic tests, and office visits that were medically unnecessary, of worthless value, upcoded, and in some cases, not provided at all.
“Patients and taxpayers who finance health care programs like Medicare are entitled to know that doctors are making decisions solely based upon medical need, and not based upon a desire to increase billings,” said U.S. Attorney Byung J. “BJay” Pak. “Our office is committed to preserving the integrity of the public health programs by pursuing doctors who engage in illegal healthcare practices at the public’s expense.”
“Greed at the expense of the American taxpayer is unacceptable,” said Derrick L. Jackson, Special Agent in Charge of the U.S. Department of Health and Human Services - Office of the Inspector General (HHS-OIG) in Atlanta. “HHS-OIG in tandem with our law enforcement partners will vigorously pursue those who seek to harm our most vulnerable citizens through questionable medical procedures and billing practices.”
“We must ensure patients and taxpayers that care provided by federally funded healthcare programs is dictated by clinical needs, not fiscal greed,” said Chris Hacker, Special Agent in Charge of FBI Atlanta. “To do that, the FBI and its partners are committed to combine resources to investigate and hold providers accountable to bill the government only for necessary services.”
The government’s complaint alleges that, between January 1, 2011 and December 31, 2016, Dr. Pandya engaged in multiple schemes to submit false claims to Medicare, including claims for medically unnecessary cataract extraction surgery. Cataract surgery is only justified when a patient has a cataract that advances to the point where the patient cannot see well enough to carry out their normal daily activities. In many cases, Dr. Pandya performed surgery despite the fact that her patients had little to no vision complaints and normal visual acuity. She also failed to determine whether the patient would benefit from less invasive measures, such as glasses, as is required before submitting Medicare claims for cataract surgery.
The complaint also alleges that Dr. Pandya rendered false glaucoma diagnoses, which she used to submit a battery medically unnecessary diagnostic tests to Medicare. These diagnostic tests were often incomplete, of extremely poor quality, and not used by Dr. Pandya in treating the patients. For a period of time, one of the machines that Dr. Pandya used for diagnostic testing was not functioning, but she continued to bill Medicare for these tests, which were never performed.
The complaint also alleges that the Pandya Defendants submitted large numbers of false claims for office visits, commonly referred to as evaluation and management services. The Pandya Defendants billed Medicare for high level office visits nearly every time patients visited the clinic. Dr. Pandya, however, spent very little time with her patients and failed to provide the services required of these high level office visits. The Pandya Defendants also filed false claims for office visits when patients came to the clinic for care associated with procedures for which Medicare was already paying.
The lawsuit was initially filed by Laura Dildine, a former office manager for the Pandya Defendants, under the qui tam, or whistleblower, provisions of the False Claims Act. Under the act, private citizens can bring suit on behalf of the government for false claims and share in any recovery. The act permits the government to intervene in such lawsuits, as it has done in this case. Defendants found liable under the act are subject to treble damages and penalties.
This matter was investigated by the U.S. Attorney’s Office for the Northern District of Georgia, the Department of Health and Human Services – Office of Inspector General, the Federal Bureau of Investigation, and the Defense Criminal Investigative Service.
The claims asserted against the defendant are allegations only, and there has been no determination of liability. The lawsuit is captioned United States v. Aarti D. Pandya, M.D., et al., Civil Action No. 1:13-CV-3336-LMM. (N.D. Ga.)
Assistant U.S. Attorneys David O’Neal and Austin M. Hall are representing the United States in this matter.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected](link sends e-mail) or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Domestic violence offender sentenced for possessing a sawed-off shotgunRead the Press Release
NEWNAN, Ga. - Robert Bentley Davis was sentenced to federal prison after pleading guilty to possessing a sawed-off shotgun. The Troup County Sheriff’s deputies discovered the weapon in Davis’s residence after responding to a domestic violence call.
“Davis has a history of committing acts of violence, so his possession of an illegal sawed-off shotgun greatly increased the potential for a fatal incident to occur in the home,” said U.S. Attorney Byung J. “BJay” Pak. “Thankfully, through the coordinated work of our federal and local law enforcement partners, this dangerous and violent offender will now serve time in federal prison.”
“Anyone who uses a firearm to intimidate, threaten or terrorize another person poses a significant danger to everyone in our community,” said Special Agent in Charge Arthur Peralta. “ATF is committed to combating violent crime in all its forms. Domestic violence destroys lives, separates families and often times results in significant physical and mental injury to its victims. As a community, we must send a strong message that we will not tolerate this kind of behavior from anyone. Mr. Davis displayed a clear disregard for our laws and his conviction and sentencing is a clear message that this conduct will not be tolerated.”
“The District Attorney’s office expresses our continued appreciation of the Project Safe Neighborhoods (PSN) initiative and values working with the United States Attorney and other participants to keep our communities safe from violent crime,” said Herb Cranford, District Attorney for the Coweta Judicial Circuit. “We sincerely believe this initiative provides our local communities a crucial layer of protection against gun violence. As a result, Robert Bentley Davis, who brutally assaulted his wife while in possession of a sawed-off shotgun, has been brought to justice.”
The Troup County Sheriff’s Office is grateful for the hard work of our investigators and the U.S. Attorney’s Office for their prosecution in this case, said Troup County Sheriff James Woodruff. “Crimes of this nature are very serious and we are dedicated to working with our local, state and federal partners to bring justice.
According to U.S. Attorney Pak, the charges and other information presented in court: On September 12, 2017, Troup County Sheriff’s deputies responded to a residence in LaGrange, Georgia concerning a domestic dispute between Davis and his wife. Upon arrival, the deputies encountered Davis’s wife crying hysterically, and observed heavy bleeding from several areas of her head and severe bruises around her eyes. Davis continued to verbally assault of his wife after the deputies arrived on the scene.
Davis’s wife informed the deputies that her husband was concealing a firearm inside the residence. Officers subsequently recovered a half-cocked, Stevens Model 94C, .410 gauge sawed-off shotgun under a pillow in a couch in the living room. Officers then arrested Davis for the assault of his wife and for his unlawful possession of an unregistered sawed-off shotgun.
Robert Bentley Davis, 60, of LaGrange, Georgia was sentenced to one year in prison, to be followed by three years of supervised release. Davis entered a guilty plea on June 29, 2018, to the offenses of unlawful possession of an unregistered firearm in violation of the National Firearms Act, and unlawful possession of a sawed-off shotgun.
This case was investigated as a part of the Project Safe Neighborhoods (PSN) initiative and exemplifies the collaborative work done by the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Troup County Sheriff’s Office, and the Coweta County Judicial Circuit District Attorney’s Office to assist the U.S. Attorney’s Office in the successful prosecution of this case. In keeping with the U.S. Attorney General’s mission to reduce violent crime, the Northern District of Georgia’s PSN program focuses on prosecuting those individuals who most significantly drive violence in our communities, and supports and fosters partnerships between law enforcement and schools, the faith community, and local community leaders to prevent and deter future criminal conduct.
Assistant U.S. Attorney Phyllis Clerk prosecuted the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Former Equifax manager sentenced for insider tradingRead the Press Release
ATLANTA - Sudhakar Reddy Bonthu, a former manager at Equifax, was sentenced today after pleading guilty to insider trading. Bonthu bought and sold Equifax stock options before Equifax’s data breach was publicly announced, while working as a member of the team assembled to respond to the company’s massive data breach in 2017.
“Bonthu intentionally took advantage of information entrusted to him in order to make a quick profit,” said U.S. Attorney Byung J. “BJay” Pak. “The integrity of the stock markets and the confidence of investors are impaired by those who use nonpublic information for personal gain.”
“If we don’t hold company insiders to the same rules that govern regular investors, the public’s confidence in the stock market erodes,” said Chris Hacker, Special Agent in Charge of FBI Atlanta. “The FBI will do everything in its power to hold accountable those who choose to take advantage of their inside knowledge.”
According to U.S. Attorney Pak, the charges and other information presented in court: Equifax Inc. is a consumer credit reporting agency headquartered in Atlanta. During the summer of 2017, Equifax was the victim of a data breach, where hackers acquired names, Social Security numbers, birth dates, and addresses of over 145 million consumers. Sudhakar Reddy Bonthu was a software product development manager for Equifax’s Global Consumer Services team in August 2017. He was asked to assist in developing data breach remediation applications for an unnamed company and was further told that the project was a high priority with a short deadline because the company intended to announce the breach publicly on September 6, 2017. Among other tasks, his primary role was to help develop an online user interface that would allow consumers to determine whether they were impacted by the breach. Although he was never directly told it was actually Equifax that had been breached, he was entrusted with information that led him to that conclusion. For example, he knew that around 100 million individuals’ information was exposed as part of the breach and that the available information included names and Social Security numbers.
On September 1, 2017, Bonthu bought 86 “put” options in Equifax stock that expired on September 15, 2017. Those options allowed him to profit if the value of Equifax stock dropped within that two-week period. These trades also violated company policy, which did not allow employees to purchase option contracts in Equifax common stock. Equifax publicly disclosed the data breach on September 7, 2017, and its stock fell the next day. Bonthu then exercised his put options, making a profit of more than $75,000.
Sudhakar Reddy Bonthu, 44, of Atlanta, Georgia, was sentenced to eight months of home confinement by U.S. District Court Judge Amy Totenberg. He was fined $50,000 and he was also ordered to forfeit $75,979.
This case was investigated by the Federal Bureau of Investigation.
Assistant U.S. Attorneys Christopher J. Huber, Deputy Chief of the Complex Frauds Section, and Lynsey M. Barron prosecuted the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Doctor sentenced for over $2 million in tax fraudRead the Press Release
ATLANTA – Dr. Michael Jon Kell, was sentenced to federal prison after a two-decade scheme to funnel millions of dollars in assets through a church he created to evade filing federal taxes.
“Despite earning millions of dollars and living a lavish lifestyle, Dr. Kell failed to file tax returns for several years when he falsely asserted that he was a minister under a vow of poverty,” said U.S. Attorney Byung J. “BJay” Pak. “The defendant will now be held accountable for evading his tax obligations.”
“Kell thought he could outsmart the IRS and avoid paying his fair share of taxes to the government by hiding his personal wealth behind the doors of a church he created and controlled in an effort to thwart the IRS while living a lavish lifestyle,“ said Thomas J. Holloman, Special Agent in Charge, Internal Revenue Service, Criminal Investigation. “Taxpayer’s who go to these lengths to evade paying their taxes will be investigated to the fullest extent and referred for prosecution to the Department of Justice in hopes of bringing individuals into compliance with the IRS.”
According to U.S. Attorney Pak, the charges and other information presented in court: Dr. Kell developed numerous patented technologies and worked as a consultant, which generated millions of dollars in income over the years. To hide this income, he founded and was the “pastor” of the First Meliorite Church, which he claimed to be a branch of the Universal Life Church. Dr. Kell directed his substantial income and assets into bank accounts belonging to the church—all of which were under Dr. Kell’s exclusive control. He used these accounts to cover all of his personal expenses—including overseas vacations, dining out, high-end clothing purchases, online dating services, and private school tuition for his children. Dr. Kell also transferred ownership of his multi-million dollar residence in Vinings several times over the years to various entities he created and controlled, in an effort to protect the property from creditors, including the Internal Revenue Service.
Dr. Michael Jon Kell, 68, of Powder Springs, Georgia, was sentenced by U.S. District Court Judge Eleanor L. Ross to one year, six months in prison. He was also ordered to pay $321,878.40 in restitution to the Internal Revenue Service.
This case was investigated by the Internal Revenue Service - Criminal Investigation and Special Enforcement Program.
Assistant U.S. Attorney Lynsey M. Barron prosecuted the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the home page for the U.S. Attorney’s Office for the Northern District of Georgia Atlanta Division is http://www.justice.gov/usao-ndga.
Colombian money launderers sentencedRead the Press Release
ATLANTA - Fernando Vidal-Gonzalez and Jhon Jimenez-Guzman, a former professional soccer player who played with Colombian Team America, have been sentenced for their roles in an international money laundering organization responsible for collecting over $1 million from drug trafficking in the United States. The defendants laundered the funds by filtering them through a network of bank accounts destined for Colombia. Vidal-Gonzalez and Jimenez-Guzman operated out of Cali, Colombia, and were extradited to face charges in the United States following the dismantling of their organization.
“International money launderers function as the financiers of criminal organizations, enabling the victimization of our communities while hiding behind a shield of anonymity built through a maze of bank accounts and business transactions,” said U.S. Attorney Byung J. “BJay” Pak. “We will continue bring those who operate sophisticated money laundering networks to justice, even if they are operating in other countries.”
“Transnational criminal organizations who commit crimes against the United States face accountability for their actions regardless of where they may be physically located,” said Homeland Security Investigations Atlanta Special Agent in Charge Nick S. Annan. “This case shows HSI is committed to using its unique cross-border authority to hold accountable persons who commit serious crimes, and it reflects the excellent partnership between HSI, the Colombian government, and our federal partners.”
According to U.S. Attorney Pak, the charges and other information presented in court: In Cali, Colombia, Vidal-Gonzalez worked with Jimenez-Guzman, as part of a money laundering organization that functioned as a type of “Black Market Peso Exchange” (BMPE). A BMPE is a complex money laundering scheme in which drug proceeds or other illegal profits are layered into the financial system through numerous structured cash deposits with subsequent transfers into bank accounts held by various individuals and businesses (which may be legitimate or shell entities). The funds are also sometimes used to pay for exported goods. The end result is that the illegal funds are transferred to another country – in this case Colombia – in a manner that disguises the true source and owners of the funds, while evading currency exchange and income reporting requirements, taxes, and fees.
While the defendants were in Cali, Colombia, they directed an individual in the United States to open multiple bank accounts. Vidal-Gonzalez and Jimenez-Guzman then arranged for couriers to hand off large bags of cash from drug sales (as much as $108,040 at a time) to the individual at locations such as a park, a gas station, or a nightclub. The individual was told to deposit the money into bank accounts in small increments, and then transfer the funds out by numerous wires to other accounts and businesses located throughout the United States, Mexico, Colombia, and China. The ultimate goal was to transfer the funds back to Colombia. Law enforcement identified over $889,000 that Vidal-Gonzalez and Jimenez-Guzman laundered in this manner between May 2011 and August 2012.
Fernando Vidal-Gonzalez, 56, of Cali, Colombia, was sentenced on October 15, 2018, to eight years, one month in prison, with credit for 10 months served prior to extradition from Colombia, to be followed by three years of supervised release. Vidal-Gonzalez was convicted of conspiracy to commit money laundering after entering a guilty plea on July 6, 2018.
Jhon Jimenez-Guzman, 46, of Cali, Colombia, was sentenced on September 27, 2018, to six years, six months in prison, with credit for 10 months served prior to extradition from Colombia, to be followed by three years of supervised release. Jimenez-Guzman was convicted of conspiracy to commit money laundering after entering a guilty plea on June 19, 2018.
This case is being investigated by the U.S. Immigration and Customs Enforcement’s Homeland Security Investigations in partnership with the Colombian National Police.
Assistant U.S. Attorneys Elizabeth M. Hathaway, Chief of the Narcotics and Dangerous Drugs Section; Lisa W. Tarvin, Deputy Chief of the General Crimes Section; and Garrett L. Bradford prosecuted the case. The Department of Justice’s Office of International Affairs assisted in securing the extradition of the defendants to the United States.
The U.S. Attorney’s Office in Atlanta recommends parents and children learn about the dangers of drugs at the following web site: www.justthinktwice.gov.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Prominent Atlanta attorney convicted of embezzling millions of dollarsRead the Press Release
ATLANTA - A federal district court jury convicted Nathan E. Hardwick IV of twenty-one counts of wire fraud, one count of conspiracy to commit wire fraud, and one count of making false statements to a federally insured financial institution on October 12, 2018.
“Hardwick was motivated by unadulterated deceit and greed when he blatantly violated the trust placed in him by embezzling millions of dollars from his clients and partners,” said U.S. Attorney Byung J. “BJay” Pak. “The extravagant lifestyle that Hardwick enjoyed at the expense of others will now be traded for time in prison.”
“This case is especially troubling given the illegal actions were orchestrated by a lawyer who swore an oath to uphold the law and represent his clients with integrity,” said Chris Hacker, Special Agent in Charge of FBI Atlanta. “The magnitude of theft Hardwick is convicted of merits a lengthy sentence, one that will hopefully send a message that the FBI and U.S. Attorney’s Office will not tolerate this type of white-collar crime.”
According to U.S. Attorney Pak, the charges and other information presented in court: Hardwick and Asha Maurya engaged in a scheme to defraud MHSLAW, Inc. and its subsidiaries, Morris Hardwick Schneider, LLC and LandCastle Title, LLC, (collectively referred to as “MHS”). MHS owned and operated a law firm that specialized in residential real estate closings and foreclosures, and it ran a title business. MHS employed approximately 800 people in 16 states. Hardwick was the managing partner of the law firm and the CEO of the title business. He also ran the law firm’s closing division, which was based in Atlanta. Maurya managed MHS’s accounting operations under Hardwick's supervision and control.
In early 2007, Hardwick and his law partners sold off part of their business, and Hardwick pocketed approximately $11.8 million. Hardwick quickly squandered that money, and by the end of 2010 he was broke and deeply in debt.
From January 2011 through August 2014, Hardwick siphoned off more than $26 million from MHS’s accounts to pay his personal debts and expenses and to finance his extravagant lifestyle. More than $19 million of that was client money that was stolen from MHS’s attorney trust accounts. Hardwick spent approximately $18.5 million of the fraud proceeds on gambling, private jets, and more than 50 different social companions.
MHS’s audited financial statements showed that the firm’s combined net income from 2011 through 2013 was approximately $10 million. During that same three-year period, Hardwick took more than $20 million out of the firm’s accounts.
Hardwick and Maurya conspired to cover-up the fraud and made numerous false statements to Hardwick’s law partners concerning the amount of money that Hardwick was taking out of the firm.
Hardwick and Maurya were originally indicted by a federal grand jury on February 9, 2016. The original indictment charged Hardwick and Maurya with conspiracy, wire fraud, and bank fraud. It also charged Hardwick with making false statements to a federally insured financial institution and charged Maurya with mail fraud. Maurya pled guilty to conspiracy on May 11, 2017. The grand jury returned a superseding indictment against Hardwick on December 5, 2017, charging him with conspiracy to commit wire fraud, wire fraud, and making false statements to a federally insured financial institution.
Hardwick’s trial began on September 17, 2018 and was presided over by U.S. District Judge Eleanor L. Ross. On October 12, 2018, after deliberating approximately nine hours, the jury convicted Hardwick on all counts.
Nathan E. Hardwick IV, 53, of Atlanta, Georgia, and Asha R. Maurya 43, of Atlanta, Georgia will be sentenced at a later date.
This case is being investigated by the Federal Bureau of Investigation.
Assistant U.S. Attorneys Russell Phillips; Doug Gilfillan, Chief of the Cyber & Intellectual Property Crime Section; and Lynsey Barron are prosecuting the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Executives of an Atlanta-based medical company charged with healthcare fraudRead the Press Release
ATLANTA - Shailesh Kothari, a/k/a Shue Kothari, the chief executive officer for Primera Medical Group, was arraigned on federal charges alleging healthcare fraud for submitting more than 4,500 fraudulent claims for allergy treatments. Co-defendant, Timothy McMenamin, the chief operating officer for Primera Medical Group, was also charged for his role in the scheme.
“These defendants allegedly sought more than $8.5 million in insurance payments after submitting thousands of fraudulent claims,” said U.S. Attorney Byung J. “BJay” Pak. “Healthcare fraud unfortunately diverts critical resources away from the patients that truly need care.”
“Healthcare fraud not only betrays the trust a patient places in their providers, but costs everyone when their insurance premiums rise because of it,” said Chris Hacker, Special Agent in Charge of FBI Atlanta. “The FBI is committed to ensuring that funds given to healthcare providers are not abused and are used only for medically necessary services for patients.”
According to U.S. Attorney Pak, the charges, and other information presented in court: Primera Medical Group, Inc., was a health clinic in Atlanta that focused its practice on preventative wellness, specifically corporate wellness, concierge care, and allergy testing. Kothari is a doctor of chiropractic medicine who was licensed to practice in Georgia since January 2009.
Primera Medical Group hired market research companies across the U.S. to recruit patients to participate in allergy testing. Patients were told that there would be no out-of- pocket expenses and that their insurance would cover the costs, in addition to being paid $65 to $100 for participating in the test.
A patient’s blood was purportedly drawn so that it could be sent to a laboratory for allergy and other testing, regardless of whether the patient had any allergy symptoms and without any determination of medical necessity for the testing. Primera Medical Group allegedly then billed the patient’s private insurer for multiple procedures, including blood tests, allergy immunology injections, or other laboratory tests. When billing private insurers, Primera Medical Group used the National Provider Identifier (NPI) numbers of multiple doctors, without their knowledge and without those doctors having performed the services.
As of July 2016, Primera Medical Group billed insurers for hundreds of blood tests that were not completed. When an insurance company requested the medical records to support some of the billed services, Kothari allegedly asked McMenamin to create false laboratory reports to submit to the insurance company. McMenamin allegedly created the false laboratory reports, and those false reports were provided to the insurance company to support the fraudulent billing.
Additionally, when a patient requested the results of a laboratory test that was not completed, McMenamin allegedly created false laboratory results for those patients. On multiple occasions, Kothari and McMenamin allegedly sent false laboratory reports directly to patients.
Shailesh Kothari, a/k/a Shue Kothari, 45, of Atlanta, Georgia was arraigned before U.S. Magistrate Judge Alan J. Baverman on federal charges of conspiracy to commit healthcare fraud and aggravated identity theft. Kothari was charged in an information filed on October 12, 2018.
Timothy McMenamin, 31, of Atlanta, Georgia was also charged with the same offenses in the same information. Members of the public are reminded that the information only contains charges. These defendants are presumed innocent of the charges and it will be the government’s burden to prove the defendants’ guilt beyond a reasonable doubt at trial.
This case is being investigated by the Federal Bureau of Investigation. Assistance was also provided by the Special Investigations Unit for Blue Cross Blue Shield of Georgia.
Assistant U.S. Attorney Christopher J. Huber, Deputy Chief of the Complex Fraud Section, is prosecuting the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
U.S. Attorney announces progress in making our communities safer through Project Safe NeighborhoodsRead the Press Release
ATLANTA – The U.S. Attorney for the Northern District of Georgia announces the one-year anniversary of the revitalization and enhancement of Project Safe Neighborhoods (PSN), a program that Attorney General Jeff Sessions designated as the centerpiece of the Department of Justice’s violent crime reduction strategy. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and to develop comprehensive solutions to address them. Throughout the past year, we have partnered with all levels of law enforcement, local organizations, and members of the community to reduce violent crime and make our neighborhoods safer for everyone.
“Project Safe Neighborhoods is a proven program with demonstrated results,” said Attorney General Jeff Sessions. “We know that the most effective strategy to reduce violent crime is based on sound policing policies that have proven effective over many years, which includes being targeted and responsive to community needs.”
“Our collaborative partnerships with federal, state and local law enforcement, as well as community stakeholders, have proven to be successful in reducing violent crime,” said U.S. Attorney Byung J. “BJay” Pak. “We are strategically and aggressively working to make our communities safer by keeping guns out of the hands of convicted felons, drug dealers, and gang members by identifying and prosecuting these violent repeat offenders.”
“The Project Safe Neighborhoods program has produced consistent results,” said ATF Special Agent in Charge Arthur Peralta. ”Our communities deserve to be safe from violent criminals and PSN allows ATF, and our federal, state and local partners, to focus on the criminals who choose to use guns to commit their crimes and terrorize our communities. ATF will continue to participate in and support this very important initiative. Anyone who shoots a gun in the commission of a crime is a danger to us all and it is imperative that we focus our efforts on identifying, investigating and arresting these criminals.”
As we celebrate the one-year anniversary of the revitalized PSN program, our office is able to highlight many of our PSN actions over the past year:
Enforcement Actions
PSN is working in partnership with local and state law enforcement to ensure that federal efforts are focused on the most violent offenders, by specifically:
- Maintaining ongoing efforts to reduce violent crime in the English Avenue neighborhood of Atlanta and by also identifying additional communities in Clayton, Henry, and Troup Counties as PSN target enforcement areas. These enhanced enforcement efforts include targeted crime prevention in neighborhood schools and focused deterrence concerning gang-affiliated offenders currently incarcerated, but pending release back into local communities; and
- Building on the success of the District’s Violent Repeat Offender (VRO) program implemented in 2012 in metro Atlanta to address persistent violent crime. The VRO initiative was expanded to include the Rome, Gainesville, and Newnan Divisions. Read more about the VRO program here.
The U.S. Attorney’s Office for the Northern District of Georgia prosecuted the following cases as a part of PSN’s increased focus on targeting drivers of violence within our local communities:
- United States v. Jeffrey Alan Bourassa, et al.: Twenty-three members and associates of the Ghostface Gangsters prison gang were charged in a 21-count indictment on February 8, 2018, in relation to conduct ranging from wire fraud to murder. The Ghostface Gangsters originated in the Cobb County, Georgia, jail in 2000 and has since spread through Georgia jails, prisons, and beyond. Read more on this case here.
- United States v. Terrance Rainey, et al.: Terrance Rainey, Latrell Parson, Talante Fisher-Bland, Brittni Dixon, Martavius Askew, and Donnisha Miles were sentenced for trafficking 33 firearms from Georgia to New York. Law enforcement officers recovered several of the guns from convicted felons who had used the firearms in committing various crimes in New York. Read more on this case here.
- United States v. Sherman Jackson, et al.: Sherman Jackson, William Jackson, Gerren Johnson, and Brendan Person were sentenced for their respective roles in a criminal scheme to unlawfully ship firearms to more than 10 countries. The defendants sold more than 70 firearms to international buyers at extremely marked-up prices. ATF coordinated with its international law enforcement partners to recover firearms sold by the defendants in Australia, Austria, Belgium, Canada, Denmark, France, Germany, Ireland, Kazakhstan, the Netherlands, Russia, Sweden, the United Kingdom, and Zambia. Read more on this case here.
Additionally, the correlation between domestic violence and firearms pose a significant risk to families and public safety, and our office now supports local prosecutors and law enforcement whose efforts may be hampered by a combination of weak state firearms laws and overburdened court systems. For example, it is not a crime under Georgia state law for an individual convicted of family violence battery to possess a firearm. Our office is utilizing the revitalized PSN program to fill this prosecutorial gap.
Community PartnershipsOur office also implemented a comprehensive crime prevention and reentry strategy to complement PSN’s enforcement efforts by partnering with agencies such as the Georgia Department of Juvenile Justice, the Georgia Department of Corrections, the Georgia Department of Community Supervision, EGRESS Consultants and Services, LLC, the Offender Alumni Association, and Freedom is a Choice, Inc. Read more about these partnerships here.
Improvements to Community Safety- The FBI’s official crime data for 2017 reflects that, after two consecutive, historic increases in violent crime, in the first year of the Trump Administration the nationwide violent crime rate began to decline. The nationwide violent crime rate decreased by approximately one percent in 2017, while the nationwide homicide rate decreased by nearly one and a half percent.
- The preliminary information for 2018 provides optimism that our efforts are continuing to pay off. Public data from 60 major cities show that violent crime was down by nearly five percent in those cities in the first six months of 2018 compared to the same period a year ago.
- In our District, violent crime arrests slightly declined from 2016 to 2017. For example, in 2017 charges for gang members decreased thirty-two percent compared to 2016. Gang member arrests involving guns also dropped by one-third and their violent-felony crime arrests were down by forty percent.
- In addition, ATF’s ongoing response to the spike in gun trafficking led to a dramatic decrease in the number of thefts from gun stores. For example,
- In 2013, the ATF received reports of 25 burglaries of licensed gun dealers in Georgia resulting in thefts of 338 guns.
- In 2014, the ATF received reports of 34 burglaries of licensed gun dealers in Georgia with a loss of 307 guns.
- In 2015, the ATF received reports of 33 burglaries of licensed gun dealers in Georgia resulting in thefts of 429 guns.
- In 2016, ATF received reports of burglaries of 50 federally licensed firearms dealers in Georgia, with a staggering increase in thefts of more than 1,000 firearms.
- In 2017, the ATF received reports of 23 burglaries of licensed gun dealers in Georgia, with a substantial decrease in thefts of 241guns.
- So far in 2018, 15 burglaries of federally licensed firearms dealers have been reported, resulting in thefts of 259 guns.
These enforcement actions and partnerships are part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. Learn more about Project Safe Neighborhoods.
For the referenced cases, members of the public are reminded that the indictment only contains charges. The defendant is presumed innocent of the charges and it will be the government’s burden to prove the defendant’s guilt beyond a reasonable doubt at trial.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.- Maintaining ongoing efforts to reduce violent crime in the English Avenue neighborhood of Atlanta and by also identifying additional communities in Clayton, Henry, and Troup Counties as PSN target enforcement areas. These enhanced enforcement efforts include targeted crime prevention in neighborhood schools and focused deterrence concerning gang-affiliated offenders currently incarcerated, but pending release back into local communities; and
Former Georgia Department of Corrections officer pleads guilty to smuggling drugs into prisonRead the Press Release
ROME, Ga. – Tiffany Cook, a former Georgia Department of Corrections (GDC) officer, pleaded guilty to being paid by a prison inmate to smuggle methamphetamine and marijuana into Hays State Prison located in Trion, Georgia.
“Georgia correctional officers serve every day, faithfully executing their duties with integrity,” said U.S. Attorney Byung J. “BJay” Pak. “Cook, however, violated the oath of office she swore to uphold and the law when she smuggled drugs into prison. She must now account for her betrayal of trust.”
“It is very troubling that a sworn officer is willing to sell her badge for personal payoff, putting her fellow officers and inmates safety in jeopardy,” said Chris Hacker, Special Agent in Charge of FBI Atlanta. “Cook not only betrayed the institution she was sworn to protect, she also betrayed every hard working corrections officers who uphold their oaths every day.”
“We are pleased to see that justice has been served on this individual, who chose to violate her oath and put other staff at risk by introducing contraband into our facility,” said Gregory C. Dozier, GDC Commissioner. “Our special agents are to be commended for their work in identifying the individual leading to her prosecution, and we are also proud of our officers for their diligence. The commitment to public safety by all of our law enforcement partners is paramount in maintaining safe and secure prisons, and we appreciate their support.”
According to U.S. Attorney Pak, the charges, and other information presented in court: On May 17, 2010, Cook began working with the GDC as a correctional officer. Beginning in April 2017, Cook served as a correctional officer at Hays State Prison. Hays State Prison is located in Trion, Georgia in Chattooga County. The facility opened in 1990 and currently holds approximately 1,680 male prisoners.
In early July 2018, the GDC received information from an inmate that Cook was being paid to smuggle illegal drugs into the prison. On July 9, 2018, Cook arrived at Hays State Prison to report for her regularly-scheduled shift. As Cook approached the time clock, correctional officers asked Cook to walk into a conference room. Following the request, Cook stated that she felt ill and wanted to leave the prison. Correctional officers detained and ultimately searched Cook.
Pursuant to their search, correctional officers recovered more than 118 grams of actual methamphetamine (with a purity of 90%), and more than 150 grams marijuana from Cook’s vaginal cavity and bra. After seizing the methamphetamine and marijuana, correctional officers placed Cook under arrest.
Sentencing for Tiffany Cook, 34, of Summerville, Georgia, is scheduled for December 21, 2018, at 2:00 p.m. before U.S. District Judge Harold L. Murphy. Cook was charged in a criminal information with one count of possession, with intent to distribute, a controlled substance on October 11, 2018.
This case is being investigated by the Federal Bureau of Investigation and the Georgia Department of Corrections.
Assistant U.S. Attorney Jeffrey W. Davis, Chief of the Public Integrity and Special Matters Section, is prosecuting the case.
The U.S. Attorney’s Office in Atlanta recommends parents and children learn about the dangers of drugs at the following web site: www.justthinktwice.gov.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Owners of currency exchange business that made $600 million convicted of fraudRead the Press Release
ATLANTA – The co-owners and chief operating officer of one of the largest Iraqi dinar exchangers in the United States were convicted by a federal jury following a five-week trial. Tyson Rhame, James Shaw, and Frank Bell were each convicted of mail and wire fraud conspiracy, as well as multiple counts of mail and wire fraud. Rhame and Bell were also convicted of making false statements to federal law enforcement agents.
“These executives engaged in a lengthy campaign to defraud investors by spreading lies about the investment potential of the Iraqi dinar,” said Acting U.S. Attorney Kurt R. Erskine. “These convictions resulted from years of investigation, which included dozens of electronic and physical search warrants, hundreds of witness interviews, and extensive financial analysis.”
“The conviction of these three defendants is the result of an extensive effort by the government to protect investors from those who make unsubstantiated claims about the potential revaluation of a foreign currency,” said Chris Hacker, Special Agent in Charge of FBI Atlanta. “Their greed led them to steal the hopes of unsuspecting investors and ultimately led them to their demise. The FBI and its partners make it a priority to root out and punish anyone who preys on investors for their own selfish desires.”
“This was a trial about fraudulent inducements, conspiracy, investment fraud and outright greed,” said Thomas J. Holloman, Special Agent in Charge, IRS-Criminal Investigation. “Rhame, Shaw, and Bell saw an opportunity to build their personal net worth and business position in the currency market by seizing on investors’ desire for high returns on their investments. At the end of the trial, the jury agreed with the government and found the Sterling Currency Group co-owners and chief operating officer guilty of the conspiracy and the underlying frauds. Despite the challenges these complex cases present, IRS-CI is committed to working with our partners at the FBI, and the U.S. Attorney’s Office to show white-collar fraud is still an investigative priority.”
According to Acting U.S Attorney Erskine, the charges, and other information presented in court: Rhame and Shaw owned and operated the Sterling Currency Group, which was once one of the country’s largest sellers of the Iraqi dinar. Bell was Sterling’s chief operating officer. Between 2010 and June 2015, Sterling grossed over $600 million in revenue from the sale of the Iraqi dinar and other currencies, while Rhame and Shaw received over $180 million in distributions.
The evidence at trial established that the defendants took steps to make investors believe they would get rich by investing in the Iraqi dinar. At one point, Rhame posted information on Sterling’s website falsely suggesting that the dinar was about to revalue. At other times, Rhame and Bell falsely claimed that Sterling would cash out investors at airports around the country following a dinar “revaluation.” The defendants also paid substantial sums of money to third parties who in turn spread false information about the dinar on conference calls and Internet chat rooms.
Tyson Rhame, 53, and James Shaw, 55, both of Atlanta, Georgia, and Frank Bell, 55, of Decatur, Georgia, were convicted of conspiracy to commit mail and wire fraud and multiple mail and wire fraud counts. Rhame and Bell were also convicted of making false statements to federal agents regarding Sterling’s operations. The jury acquitted the defendants of money laundering charges. A fourth defendant, Terrence Keller, was acquitted of all charges at trial.
This case is being investigated by the Federal Bureau of Investigation and Internal Revenue Service Criminal Investigation.
Assistant U.S. Attorneys Thomas J. Krepp, Alison B. Prout, and Kamal Ghali, Deputy Chief of the Cyber and Intellectual Property Crime Section are prosecuting the case. Assistant U.S. Attorneys Kelly K. Connors and Dahil D. Goss are handling the parallel civil forfeiture actions related to this case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Prescriber notification initiative for opioidsRead the Press Release
ATLANTA – The U.S. Attorney’s Office for the Northern District of Georgia has identified approximately 30 medical professionals who are prescribing opioids in significantly higher quantities or doses than their peers or to patients who may pose a high risk of abuse or diversion. The U.S. Attorney will provide these prescribers with specific information about their prescription patterns and will refer them to educational materials, such as the Centers for Disease Control and Prevention (CDC) Guidelines for Prescribing Opioids for Chronic Pain, related to safe opioid prescription practices.
“Medical professionals have an obligation to the safety and well-being of their patients,” said U.S. Attorney Byung J. “BJay” Pak. “Many opioid prescribers may not realize that they are overprescribing opioids. We aim to make these medical prescribers - who are outliers - aware of their atypical practices, so that they can make informed decisions about whether their opioid prescriptions are for a legitimate medical purpose. We will also continue to monitor prescribing habits.”
According to the CDC, more than 140 Americans die from an opioid overdose every day. This epidemic was created, in part, by the widespread over-prescription of opioids by medical professionals during previous years. It is our plan to strategically reduce the impact of this crisis within our community by notifying outlier prescribers that their opioid prescribing habits are not in conformity with accepted standards or the prescribing habits of their peers. Through this initiative and others, it is the goal of the Department of Justice to reduce opioid prescriptions by one-third over the next three years.
The Department of Justice has made no determination, at this time, that prescribers who receive these letters have violated the law. We have a duty, however, to protect the lives and safety of our citizens, and making information available to prescribers within the District has the potential to save lives.
This prescriber notification message is part of Operation SCOPE (Strategically Combatting Opioids through Prosecution and Enforcement), an initiative launched by the U.S. Attorney’s Office to partner with federal and local law enforcement to fight the devastating effects that illegally-prescribed painkillers, heroin, and synthetic opioids, such as fentanyl, have on our neighborhoods.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Former correctional officer charged with smuggling narcotics into Hays State PrisonRead the Press Release
ROME, Ga. - Mark Edward Jeffery, a former Georgia Department of Corrections (GDC) officer, who allegedly brought alcohol, drugs, and contraband cellphones into Hays State Prison, was arraigned on federal charges of possession with the intent to distribute methamphetamine.
“Jeffery failed to uphold his duty as a correctional officer when he allegedly smuggled illegal contraband into prison,” said U.S. Attorney Byung J. “BJay” Pak. “Correctional officers who smuggle contraband into prisons not only betray the institutions they protect, but also jeopardize the safety of fellow correctional officers and inmates.”
“It is imperative that our correctional facilities are safe for both inmates and staff,” said Chris Hacker, Special Agent in Charge of FBI Atlanta. “When contraband is brought into prisons it jeopardizes that safety. And when it is a corrections officer who brings in that contraband, violating his or her sworn duty, it is our job to vigorously investigate and hold them accountable.”
“We are committed to ridding our prisons of individuals who bring discredit to the badge, and we are proud of those officers who work with integrity and vigilance in stopping the introduction of contraband into our facilities,” said GDC Commissioner Gregory C. Dozier. “Our appreciation for the continued support of our federal law enforcement partners and the U.S. Attorney’s Office is steadfast, as they help ensure that justice is served on those who choose a path of dishonor.”
According to U.S. Attorney Pak, the charges, and other information presented in court: On February 7, 2018, Jeffery worked as a correctional officer at Hays State Prison in Trion, Georgia. One of Jeffery’s fellow correctional officers observed a large rectangular object, wrapped in black electrical tape, hidden in Jeffery’s beverage container. The fellow officer notified a supervisor about possible contraband.
Later that day, the prison’s chief of security searched Jeffery’s person and belongings, where he found one glass pipe, four cellular phone chargers, four smartphones, two bags containing 190 suspected ecstasy pills, a plastic bag with methamphetamine, and a water bottle with alcohol.
Mark Edward Jeffery, 33, of Fairmount, Georgia, was indicted by a federal grand jury on October 2, 2018. Members of the public are reminded that the indictment only contains charges. The defendant is presumed innocent of the charges and it will be the government’s burden to prove the defendant’s guilt beyond a reasonable doubt at trial.
This case is being investigated by the Federal Bureau of Investigation and the Georgia Department of Corrections.
Assistant U.S. Attorney C. Brock Brockington is prosecuting the case.
The U.S. Attorney’s Office in Atlanta recommends parents and children learn about the dangers of drugs at the following web site: www.justthinktwice.gov.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Plant manager indicted for violating the Clean Water ActRead the Press Release
ATLANTA - Carlos Conde, 37, of Smyrna, Georgia was arraigned on federal charges on October 2, 2018, for allegedly violating the Clean Water Act and for making false statements to a federal agent. Conde was indicted by a federal grand jury on September 25, 2018.
“Conde allegedly instructed workers to intentionally wash toxic and hazardous chemicals into the Chattahoochee River watershed,” said U.S. Attorney Byung J. “BJay” Pak. “The Chattahoochee is one of Georgia’s jewels that must be protected from those who recklessly damage the wildlife and environment.”
“It is important that we continue to remain vigilant to protect our precious waters throughout the southeast,” said Trey Glenn, Regional Administrator for the U.S. Environmental Protection Agency (EPA) Southeast Region (Region 4). “EPA takes seriously any allegations of improper disposal of toxic and hazardous chemicals, which pose serious threats to public health and the environment.”
According to U.S. Attorney Pak, the charges, and other information presented in court: On August 12, 2016, a batching tank at the Apollo Industries chemical mixing facility in Smyrna, Georgia, began leaking a carburetor cleaner containing naphthalene, a toxic and hazardous chemical. The following morning, two workers discovered the spill and called Conde, the plant manager. Conde arrived at the plant and allegedly instructed the employees to wash the chemical away with water from multiple hoses. The chemical was washed into a tributary of Nickajack Creek and the Chattahoochee River. Conde allegedly twice denied his role in the spill cleanup during interviews with a federal agent with the U.S. Environmental Protection Agency.
Members of the public are reminded that the indictment only contains charges. The defendant is presumed innocent of the charges and it will be the government’s burden to prove the defendant’s guilt beyond a reasonable doubt at trial.
This case is being investigated by the U.S. Environmental Protection Agency, Criminal Investigation Division.
Assistant U.S. Attorney Christopher J. Huber, Deputy Chief of the Complex Fraud Section is prosecuting the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Last defendant in a series of inmate escape cases sentenced to additional prison timeRead the Press Release
ATLANTA – Jaye L. Thomas, an inmate at the U.S. Penitentiary in Atlanta (USP Atlanta), has been sentenced to additional prison time for escaping on three separate occasions. Thomas is the last defendant to be sentenced in an operation aimed at combating the rash of inmate escapes from the prison camp in 2016 and 2017.
“Prisoners who escape from custody pose a threat to the community and subvert the authority of the criminal justice system,” said U.S. Attorney Byung J. “BJay” Pak. “These prosecutions make it clear that serious consequences exist for inmates who escape from custody, especially for those who are caught smuggling illegal contraband.”
“This sentencing hopefully marks the end of an investigation that exposed a serious breach of security and safety, both inside and outside of a federal prison,” said Chris Hacker, Special Agent in Charge of FBI Atlanta. “The safety of our communities was breached when these inmates escaped, and the security of the prison was breached when they returned with contraband that allowed them to continue criminal conduct inside the prisons walls. This type of carefree behavior will not go unpunished.”
“This operation highlights the team effort that exists among our agencies,” said Atlanta Police Chief Erika Shields. “Together, we made sure these prisoners continue to pay their debt to society for previous crimes and face the serious consequences for escaping custody and putting the community at risk.”
According to U.S. Attorney Pak, the charges, and other information presented in court: USP Atlanta is a medium-security federal prison for male inmates operated by the Federal Bureau of Prisons. USP Atlanta also operates a satellite prison camp for minimum-security male inmates.
Since 2016, the Federal Bureau of Investigation and the Atlanta Police Department have jointly investigated instances of USP Atlanta inmates temporarily escaping from the prison camp to obtain contraband to smuggle back into the prison or to visit nearby restaurants, hotels, and residences.
In January 2015, Thomas was sentenced to 11 years, three months in prison after being convicted of possession with the intent to distribute cocaine. In 2016, Thomas was assigned to the USP Atlanta’s prison camp.
Law enforcement officers began investigating Thomas when surveillance images showed him escaping from USP Atlanta on March 22, 2016 and April 4, 2016. Eyewitness testimony, cellular telephone records, and other evidence confirmed that Thomas had escaped from USP Atlanta’s prison camp on three occasions to have sex with two different girlfriends.
Jaye L. Thomas, 37, of Dalton, Georgia, was sentenced to an additional one year, nine months in prison, to be served following his current 11 year, three month prison term.
In addition to Thomas, the following individuals were convicted and sentenced for their involvement in inmate escapes from the USP Atlanta prison camp:
●On June 6, 2017, federal inmate Justin B. Stinson, 37, of Panama City, Florida, was sentenced to an additional one year, three months in prison (to be served after his current four year, three month prison term). Stinson pleaded guilty to escaping from federal custody after he was caught outside of USP Atlanta with a duffel bag containing a cellular telephone, scissors, tequila, and cigarettes.
●On September 20, 2017, federal inmate Fernando A. Settles, 37, of Augusta, Georgia, was sentenced to an additional one year, three months in prison (to be served after his current 20-year prison term). Settles pleaded guilty to escaping from prison so that he could celebrate his birthday.
●On February 22, 2018, federal inmate Deldrick D. Jackson, 42, of Atlanta, Georgia, was sentenced to an additional one year, six months in prison (to be served after his current 10 year, eight month prison term). Jackson’s fiancée, Kelly M. Bass, 39, of Stone Mountain, Georgia, was sentenced on September 13, 2017, to six months in prison to be followed by eight months of home confinement. Jackson and Bass were sentenced for running an inmate taxi service. In total, they provided escaped inmates with transportation from USP Atlanta and/or smuggled contraband into the prison on approximately 15 occasions. On the day of their arrests, Jackson and Bass were caught with two cell phones, 83 packs of cigarettes, and eight bottles of whiskey.
●On June 1, 2018, federal inmate Latigree D. James, 36, of Miami, Florida, was sentenced to an additional six months in prison (to be served after his current five-year prison term). James escaped from the prison camp to meet with Claudia Moline, who drove him from USP Atlanta and provided him with cellular phones and approximately $200’s worth of cigarettes. For her role, Moline, 36, of Hiram, Georgia, was sentenced on April 20, 2018, to three years of probation.
The Federal Bureau of Investigation and the Atlanta Police Department investigated these cases.
Assistant U.S. Attorney Jeffrey W. Davis, Chief of the Public Integrity and Special Matters Section; and Assistant U.S. Attorney Timothy H. Lee prosecuted the cases.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Rapper Tommie Walker a/k/a “Columbia BT” charged with trafficking cocaineRead the Press Release
ATLANTA - Tommie L. Walker, a/k/a Columbia BT, and Juan Carlos Garcia-Martinez, a/k/a Carlos Garcia were arraigned before U.S. Magistrate Judge Linda T. Walker on September 21, 2018 on federal charges of drug trafficking and possession with intent to distribute cocaine. Walker, Garcia-Martinez, and Samuel Anchondo-Galaviz were indicted by a federal grand jury on September 12, 2018.
“These defendants were allegedly part of a multi-state drug distribution scheme that transported and distributed cocaine worth approximately $4 million,” said U.S. Attorney Byung J. “BJay” Pak. “Thanks to the work of law enforcement in Georgia, South Carolina and Colorado, this drug enterprise is now history.”
“This investigation is an excellent example of the working relationships that the Drug Enforcement Administration (DEA) and the Atlanta-Carolinas High Intensity Drug Trafficking Area (HIDTA) have with their law enforcement partners,” said Robert J. Murphy, Special Agent in Charge of the Atlanta DEA Field Division. “The defendants were transporting large quantities of drugs throughout our neighborhoods, and the dismantlement of this criminal organization will have a positive local impact and sends a clear message that we will not tolerate illegal drug trafficking in our communities.”
According to U.S. Attorney Pak, the charges, and other information presented in court: Agents of the Atlanta-Carolina High Intensity Drug Trafficking Area program began their investigation in August 2017 in conjunction with Drug Enforcement Administration agents in South Carolina and Colorado. Walker, who raps under the name “Columbia BT,” allegedly participated in a cocaine trafficking conspiracy that extended to Colorado, South Carolina, and Mexico.
Walker allegedly operated a warehouse in the Atlanta area where he received shipments of cocaine hidden in tractor-trailers. The shipments were sent by a co-conspirator in Colorado. Walker allegedly would then distribute the drugs to individuals from South Georgia and South Carolina. Garcia-Martinez is an alleged co-conspirator who facilitated some of Walker’s drug transactions.
Law enforcement officers seized more than 135 kilograms of cocaine from the organization, a quantity worth more than $4 million at current wholesale prices in Atlanta. Law enforcement also seized more than $220,000 in drug proceeds.
October 9, 2017, a tractor-trailer containing approximately 40 kilograms of cocaine, which was driven by Anchondo-Galaviz, was stopped on the way to Walker’s warehouse. Other seizures charged in the indictment took place on December 3, 2017 and February 21, 2018. Walker allegedly used his illegal drug proceeds to finance a lavish lifestyle that he displayed in his rap videos. Some of the property seized from the alleged drug proceeds included a 2016 Rolls-Royce Dawn and a 2013 Bentley Mulsanne.
Tommie L. Walker, a/k/a Columbia BT, 42, of Kennesaw, Georgia is charged with conspiracy to possess with intent to distribute cocaine and three counts of possession with intent to distribute cocaine.
Juan Carlos Garcia-Martinez, a/k/a Carlos Garcia, 37, of Forest Park, Georgia, and Samuel Anchondo-Galaviz, 40, of New Mexico are each charged with conspiracy to possess with intent to distribute cocaine and one count of possession with intent to distribute cocaine. Members of the public are reminded that the indictment only contains charges. The defendant is presumed innocent of the charges and it will be the government’s burden to prove the defendant’s guilt beyond a reasonable doubt at trial.
This case is being investigated by the Drug Enforcement Administration, the Atlanta-Carolina High Intensity Drug Trafficking Area, the Bureau of Alcohol, Tobacco, Firearms, and Explosives, the Georgia State Patrol, the Clayton County Sheriff’s Office, the Marietta Police Department, and the Colorado Attorney General’s Office.
Special Assistant U.S. Attorneys Nicholas N. Joy and Erin Harris and Assistant U.S. Attorney Michael Brown are prosecuting the case.
The U.S. Attorney’s Office in Atlanta recommends parents and children learn about the dangers of drugs at the following web site: www.justthinktwice.gov.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Defendant pleads guilty to illegally possessing firearmRead the Press Release
ROME, Ga. – Jermaine Courtney Brown, a suspected member of the Gangster Disciples gang, has pleaded guilty to possessing a firearm while a convicted felon.
“Brown’s continued criminal behavior jeopardizes the safety of our citizens and shows an utter disregard for the law,” said U.S. Attorney Byung J. “BJay” Pak. “Through the committed and collaborative work of our law enforcement partners, we will continue to vigorously prosecute those who illegally possess firearms within our community.”
“The FBI is committed to pursuing anyone who violates federal law and is a threat to our community,” said J.C. “Chris” Hacker, Special Agent in Charge of FBI Atlanta. “Brown’s persistent criminal behavior in support of a major gang will not be tolerated and the FBI will use all its resources to remove the threat and protect our citizens.”
“The Cedartown Police Department is committed to working together as a team with local, state, and federal agencies to make our neighborhoods safer by holding those accountable who commit violent crimes in our communities,” said Cedartown Police Chief Jamie Newsome.
According to U.S. Attorney Pak, the charges and other information presented in court: Around January 30, 2018, Cedartown Police Department officers observed Brown walking along an intersection in Cedartown, Georgia. The officers were familiar with Brown based on his prior contacts with law enforcement and his suspected membership in the Gangster Disciples gang. The officers were also aware of an outstanding arrest warrant for Brown, stemming from an arrest in February 2017 for possessing a firearm as a felon.
Brown ran when he saw the officers and the officers pursued him on foot and by a patrol car. After a short chase, Brown was apprehended and arrested. Following his arrest, Brown stated that he was carrying a gun in his pants. He also asked one of the officers, “can’t you just throw [the firearm] in the bushes? I already have too many charges on me.”
In addition to recovering a loaded Taurus Millennium PT145PRO .45 caliber semi-automatic handgun, the officers also recovered approximately 26.9 grams of marijuana and a digital scale. Brown was convicted in 2008 of possession of cocaine in the Superior Court of Floyd County, Georgia.
Jermaine Courtney Brown, 28, of Cedartown, Georgia is scheduled to be sentenced at 2:00 p.m. on November 30, 2018, before U.S. District Judge Harold L. Murphy.
This case is being investigated by the Federal Bureau of Investigation and the Cedartown Police Department.
Assistant U.S. Attorney Suzette A. Smikle is prosecuting the case.
This case was brought as part of Project Safe Neighborhoods (PSN). In keeping with the Attorney General’s mission to reduce violent crime, the Northern District of Georgia’s PSN program focuses on prosecuting those individuals who most significantly drive violence in our communities, and supports and fosters partnerships between law enforcement and schools, the faith community, and local community leaders to prevent and deter future criminal conduct.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Atlanta drug dealer charged with distributing fake Roxicodone pills containing fentanylRead the Press Release
ATLANTA - Edward Culton has been arraigned on federal charges of conspiracy to distribute fentanyl, aiding and abetting the distribution of fentanyl, and possession with intent to distribute fentanyl, which resulted in the death of an individual. Culton was indicted by a federal grand jury on August 22, 2018.
“Culton’s alleged fentanyl distribution led to two drug overdoses, resulting in the death of one of the individuals,” said U.S. Attorney Byung J. “BJay” Pak. “The defendant allegedly disguised the dangerous pills to look like legitimate Roxicodone tablets, but they were actually laced with fentanyl - a more potent and potentially lethal substance.”
“This counterfeit ‘pill peddler’ was a menace to society,” said Robert J. Murphy, the Special Agent in Charge of the DEA Atlanta Field Division. “Pills in the underground drug market are often diluted with dangerous and deadly substances, as was the case in this investigation. Purchasing pills on the street is synonymous to playing Russian roulette, as there’s no quality control or efficacy in the process. The success of this investigation was made possible because of the collaborative efforts between all law enforcement agencies involved and the U.S Attorney’s Office.”
According to U.S. Attorney Pak, the charges, and other information presented in court: Between September 2017 and February 2018, Culton allegedly supplied Hubert Nathans, a drug dealer in the Roswell, Georgia area, with hundreds of fake Roxicodone pills from his Buckhead apartment in Atlanta. The counterfeit pills were blue in color and imprinted with M30, which resembled legitimate 30mg Roxicodone tablets, but they actually contained fentanyl.
In October 2017, Nathans allegedly sold a number of these pills to a man who died from a drug overdose on October 3, 2017. On January 8, 2018, Nathans also allegedly sold one pill to a woman who overdosed after ingesting part of the pill.
In January and February 2018, the Roswell Police Department purchased pills from Nathans on multiple occasions. On February 15, 2018, DEA agents executed a search warrant at Culton’s apartment and allegedly seized more than 900 of the same blue fentanyl-laced pills.
Edward Culton, 25, of Atlanta, Georgia was arraigned before U.S. Magistrate Judge Janet F. King on federal charges of conspiracy to distribute fentanyl, seven counts of aiding and abetting the distribution of fentanyl, and one of count of possession with intent to distribute. Members of the public are reminded that the indictment only contains charges. The defendant is presumed innocent of the charges and it will be the government’s burden to prove the defendant’s guilt beyond a reasonable doubt at trial.
Hubert Nathans, 29, of Roswell, Georgia pleaded guilty to conspiracy to distribute fentanyl, the use of which resulted in the death of one individual and serious injury to another, on August 13, 2018.
This case is being investigated by the Drug Enforcement Administration and Roswell Police Department.
Assistant U.S. Attorney Nicholas Hartigan is prosecuting the case.
This case is presented as a part of Operation SCOPE (Strategically Combatting Opioids through Prosecution and Enforcement), which is an initiative launched by the U.S. Attorney’s Office to partner with federal and local law enforcement to fight the devastating effects that illegally-prescribed painkillers, heroin, and synthetic opioids, such as fentanyl have on our neighborhoods.
The U.S. Attorney’s Office in Atlanta recommends parents and children learn about the dangers of drugs at the following web site: www.justthinktwice.gov.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
15 Defendants and Five India-Based Call Centers Indicted in Phone Scam Targeting U.S. VictimsRead the Press Release
ATLANTA – An indictment was unsealed yesterday charging 20 individuals and entities for their alleged involvement in a transnational criminal organization that victimized over 2,000 people in the United States through a fraudulent India-based call-center scheme, resulting in over $5.5 million in losses. In connection with the scheme, seven individuals were arrested yesterday in the United States. Seven defendants and five call centers in India were also charged for their alleged involvement.
“IRS and payday loan phone schemes seek to profit by exploiting United States citizens, including the most vulnerable members of our community,” said U.S. Attorney Byung J. “BJay” Pak. “This indictment and yesterday’s arrests demonstrate our commitment to identifying and prosecuting those who hide behind these types of phone scams.”
“This indictment makes clear that the IRS impersonation scam has risen to a new level, with indictments against five call centers and seven co-conspirators in India who allegedly directed their employees to participate in the scam,” said J. Russell George, Treasury Inspector General for Tax Administration. “I wish to congratulate my investigative team, who labored many long hours to untangle the intricate web of financial transactions that the defendants allegedly completed as part of a transnational conspiracy to extort money from taxpayers and conceal and disguise the proceeds of their unlawful activities. Since 2013, the IRS impersonation scam has been on a relentless path, claiming more than 14,000 victims who have lost upwards of $71 million to the scammers,” the Inspector General noted. “TIGTA will continue to be just as relentless in our pursuit of individuals who fraudulently represent themselves as IRS officials in order to extort money from taxpayers. We will not back down from our pursuit of these criminals, and will continue to work with all law enforcement partners to bring them to justice.”
According to U.S. Attorney Pak, the charges, and other information presented in court: The indictment alleges that the defendants were involved in a sophisticated scheme organized by co-conspirators in India, including a network of call centers in Ahmedabad, India. Using information obtained from data brokers and other sources, call center operators allegedly called potential victims while impersonating officials from the Internal Revenue Service or individuals offering fictitious payday loans.
The call center operators would then threaten potential victims with arrest, imprisonment, or fines if they did not pay taxes or penalties to the government. If the victims agreed to pay, the call centers allegedly would immediately turn to a network of U.S.-based co-conspirators to liquidate and launder the extorted funds by purchasing prepaid debit cards or through wire transfers, including through MoneyGram and Western Union, to the attention of fictitious names and U.S.-based defendants and their co-conspirators.
The indictment charges the following defendants and entities with conspiracy to commit wire fraud, wire fraud, and conspiracy to commit money laundering:
- Excellent Solutions BPO,
- ADN Infotech Pvt. Ltd.,
- Infoace BPO Solutions Pvt. Ltd.,
- Adore Infosource, Inc.,
- Zurik BPO Services Pvt. Ltd.,
- Shylesh Kumar Sharma,
- Dilipkumar Kodwini,
- Radhishraj Natarajan,
- Shubham Sharma,
- Nirav Janakbhai Panchal,
- Athar Parvez Mansuri,
- Mohmmad Samir Memon,
- Mohamed Kazim Momin,
- Palak Kumar Patel,
- Mohmed Sozab Momin,
- Rodrigo Leon-Castillo,
- Devin Bradford Pope,
- Nicholas Alezander Deane,
- Drue Kyle Riggins, and
- Jantz Parrish Miller
Mohamed Kazim Momin, Patel, Mohmed Sozab Momin, Pope, Deane, Riggins and Miller were arraigned yesterday before U.S. Magistrate Judge Janet F. King.
Members of the public are reminded that the indictment only contains charges. The defendants are presumed innocent of the charges and it will be the government’s burden to prove the defendants’ guilt beyond a reasonable doubt at trial.
This case is being investigated by the U.S. Treasury Inspector General for Tax Administration.
Assistant U.S Attorney Jeffrey A. Brown, Deputy Chief of the Complex Frauds Section, and Assistant U.S. Attorney Jolee Porter are prosecuting the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Atlanta Man Charged with International Money Laundering, Fraud, Identity Theft and Immigration CrimeRead the Press Release
ATLANTA - Onosemeraja Idodo-Umeh, a native of Nigeria who was residing in Atlanta, was arraigned on federal charges in an 18-count indictment that was unsealed yesterday. Idodo-Umhel is charged with conspiracy to commit wire fraud and bank fraud, 10 counts of wire fraud, five counts of aggravated identity theft, one count of conspiracy to commit money laundering, and one count of unlawful procurement of naturalization. Idodo-Umeh was indicted by a federal grand jury on August 7, 2018.
“Idodo-Umeh allegedly moved a substantial amount of stolen money out of the United States to Nigeria, doing so with the help of gang members already indicted by this office,” said U.S. Attorney Byung J. “BJay” Pak. “By prosecuting not only the gang members, but also those who allegedly reaped the financial benefit of their crimes, we will work to dismantle the entire criminal network.”
“Onosemeraja Idodo-Umeh allegedly perpetrated multiple fraudulent schemes over many years, including by conspiring with violent gang members, and then laundered the illicit proceeds,” said Assistant Attorney General Benczkowski. “He also allegedly obtained U.S. citizenship only after lying to immigration authorities. These extremely troubling charges once again demonstrate the Department of Justice’s resolve to protect the American people and our financial system from transnational fraud.”
“This arrest was the result of an investigation led by the FBI’s Safe Streets Gang Task Force,” said J. C. “Chris” Hacker, Special Agent in Charge of FBI Atlanta. “It is another example of the expanding criminal enterprises conducted by gangs, and why we continue to dedicate significant resources to dismantling them.”
“This case illustrates the complexity of investigating financial crimes being exploited by transnational criminal networks,” said Special Agent in Charge Nick Annan of the U.S. Immigration and Customs Enforcement, Homeland Security Investigations (HSI) – Atlanta Division. “With this indictment, HSI special agents and our law enforcement partners, have increased the security of our nation, while also making our own communities safer.”
According to U.S. Attorney Pak, the charges, and other information presented in court: The indictment alleges a conspiracy spanning approximately seven years, in which Idodo-Umeh and his co-conspirators perpetrated fraud schemes using stolen identities, compromised credit card numbers, and stolen and counterfeit checks. The alleged conspiracy involved, among other tactics, the creation of fake businesses to which Idodo-Umeh and his co-conspirators, including members of the Gangster Disciples gang, would make credit card payments using stolen credit card numbers.
The indictment also alleges the use of forged checks written for tens of thousands of dollars each. Idodo-Umeh would allegedly funnel the fraud proceeds through bank accounts belonging to a network of subordinates who he recruited and paid on commission, to transfer dirty money back and forth between the United States and Nigeria.
The indictment also alleges that Idodo-Umeh unlawfully obtained his naturalized U.S. citizenship by falsely telling immigration authorities he had not committed any crimes when in fact he was engaged in the charged fraud.
Onosemeraja Idodo-Umeh, 41, of Atlanta, Georgia was arraigned before U.S. Magistrate Judge King on federal charges of conspiracy to commit wire fraud, bank fraud and money laundering. Members of the public are reminded that the indictment only contains charges. The defendant is presumed innocent of the charges and it will be the government’s burden to prove the defendant’s guilt beyond a reasonable doubt at trial.
This case is being investigated by the Federal Bureau of Investigation, the U.S. Immigration and Customs Enforcement’s Homeland Security Investigations Division, the Internal Revenue Service, and the Cobb County Police Department.
Assistant U.S. Attorney Kim S. Dammers, Chief of the Organized Crime and Gang Section, and Conor Mulroe, Trial Attorney for the Department of Justice’s Organized Crime and Gang Section, are prosecuting the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Georgia Man Charged with Fraud and International Money Laundering Conspiracies, Aggravated Identity Theft, and Naturalization FraudRead the Press Release
A Georgia man is charged with fraud and money laundering conspiracies and related offenses, according to an 18-count indictment unsealed today. The charges were announced by Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division, U.S. Attorney Byung J. Pak of the Northern District of Georgia, Special Agent in Charge Chris Hacker of the FBI’s Atlanta Division and Special Agent in Charge Nick Annan of U.S. Immigration and Customs Enforcement’s Homeland Security Investigations (HSI) Atlanta Field Office.
Onosemeraja Idodo-Umeh, 41, a native of Nigeria who was residing in Atlanta, is charged with one count of conspiracy to commit wire fraud and bank fraud, 10 counts of wire fraud, five counts of aggravated identity theft, one count of conspiracy to commit money laundering, and one count of unlawful procurement of naturalization. He was arraigned on the charges earlier today before U.S. Magistrate Judge Janet King. Idodo-Umeh was indicted by a federal grand jury on Aug. 7.
“Onosemeraja Idodo-Umeh allegedly perpetrated multiple fraudulent schemes over many years, including by conspiring with violent gang members, and then laundered the illicit proceeds,” said Assistant Attorney General Benczkowski. “He also allegedly obtained U.S. citizenship only after lying to immigration authorities. These extremely troubling charges once again demonstrate the Department of Justice’s resolve to protect the American people and our financial system from transnational fraud.”
“This Defendant has allegedly moved a substantial amount of money out of the United States to Nigeria, and he did so with the help of gang members already indicted by my Office,” said U.S. Attorney Pak. “By prosecuting not only the gang members but those who reaped the financial benefit of their crimes, we will dismantle the entire criminal network.”
The indictment alleges a conspiracy spanning roughly seven years, in which Idodo-Umeh and his co-conspirators perpetrated fraud schemes using stolen identities, compromised credit card numbers, and stolen and counterfeit checks. The alleged conspiracy involved, among other tactics, the creation of fake businesses to which Idodo-Umeh and his co-conspirators, including members of the gang the Gangster Disciples, would make credit card payments using stolen credit card numbers. The indictment also alleges the use of forged checks written for tens of thousands of dollars each. Idodo-Umeh would allegedly funnel the fraud proceeds through bank accounts belonging to a network of subordinates who he recruited and paid on commission, transfer dirty money back and forth between the United States and Nigeria, and take other steps to launder his criminal income.
The indictment also alleges that Idodo-Umeh unlawfully obtained his naturalized U.S. citizenship by falsely telling immigration authorities he had not committed any crimes when in fact he was engaged in the charged fraud.
“This gang not only threatened our communities with violence, but as a criminal enterprise, victimized innocent civilians by stealing their identities and money,” said FBI Special Agent in Charge Hacker. “FBI investigators are determined to uncover every facet of their illegal activity, and this defendant’s arrest exemplifies that determination.”
“This case illustrates the complexity of financial crimes transnational criminal networks seek to exploit,” said HSI Special Agent in Charge Annan. “With this indictment, HSI special agents in collaboration with our DOJ partners have taken an important action to increase the security of our nation by dismantling a significant transnational criminal organization.”
The charges in the indictment are merely allegations, and the defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
The case is being investigated by FBI Atlanta’s Safe Streets Gang Task Force with assistance from the Cobb County Police Department, and by HSI and IRS Criminal Investigation. Trial Attorney Conor Mulroe of the Criminal Division’s Organized Crime and Gang Section and Assistant U.S. Attorney Kim S. Dammers, Chief of the Organized Crime and Gang Section of the Northern District of Georgia, are prosecuting the case.
Defendants Plead Guilty to $3.5 Million Sweepstakes Scam Targeting ElderlyRead the Press Release
ATLANTA - Silvia Sanchez Valverde, Rodolfo Orozco Aguilar, Priscilla Sibaja, Daniel Sibaja, and Elpelice Figueroa Rosales have pleaded guilty to conspiracies to commit mail fraud and money laundering for their roles in a sweepstakes scam that targeted the elderly.
“These defendants stole the life savings of dozens of elderly victims and received more than $3.5 million,” said U.S. Attorney Byung J. “BJay” Pak. “These schemes unfortunately are all too common and citizens should be wary of contests that require upfront payments to receive a prize.”
“Scammers – whether U.S.-based or abroad -- who mistakenly believe they can avoid accountability for their criminal actions by transferring ill-gotten proceeds outside the country should know they are not immune from federal prosecution,” said Special Agent in Charge of ICE Homeland Security Investigations Atlanta Nick S. Annan. “This case shows an international border is no defense for those who defraud senior citizens, and HSI is committed to using its unique cross-border authority to investigate and hold accountable persons who commit such crimes.”
According to U.S. Attorney Pak, the charges and other information presented in court: From February 2016 through September 2017, dozens of victims, most of whom were elderly, were contacted by telephone and told that they had won a sweepstakes or lottery. The victims were told that they could receive their sweepstakes winnings after they paid various expenses, such as taxes and fees. The victims were directed to pay the expenses to various companies controlled by the defendants, such as J.G. Services, RF Financial Services, and Master Builders. The victims would then mail payments via personal and cashier’s checks to addresses that were linked to mailboxes rented by the defendants. The defendants deposited the checks, totaling over $3.5 million, into their bank accounts and then transferred the majority of the funds to Costa Rican bank accounts.
The defendants will appear before U.S. District Judge Leigh Martin May for sentencing as follows:
Rodolfo Orozco Aguilar, 44, of Costa Rica is scheduled to be sentenced on November 7, 2018, at 2:00 p.m.
Daniel Sibaja, 28, of Buford, Georgia is scheduled to be sentenced on November 15, 2018, at 10:00 a.m.
Elpelice Figueroa Rosales, 62, of Buford, Georgia is scheduled to be sentenced on November 19, 2018, at 10:00.
Silvia Sanchez Valverde, 47, of Buford, Georgia is scheduled to be sentenced on November 19, 2018, at 2:00 p.m.
Priscilla Sibaja, 21, of Buford, Georgia is scheduled to be sentenced on November 20, 2018, at 10:00 a.m.
This case is being investigated by the U.S. Immigration and Customs Enforcement’s Homeland Security Investigations.
Assistant U.S. Attorneys Kelly K. Connors and Cassandra J. Schansman are prosecuting the case.
The Department of Justice Elder Justice Initiative promotes investigations and prosecutions of financial scams targeting the elderly. For more information regarding the Elder Justice Initiative, please visit www.justice.gov/elderjustice.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Armed Bank Robber in High-Speed Chase with Marietta Police Department SentencedRead the Press Release
ATLANTA – Donte Deshawn Alston has been sentenced for the armed robbery of a Fifth Third Bank in Smyrna, Georgia, and for brandishing a firearm during the commission of that crime.
“Alston threatened the life of a bank teller at gunpoint during this robbery then endangered the lives of other citizens and police officers during a dangerous high-speed car chase with law enforcement following the robbery,” said U.S. Attorney Byung J. “BJay” Pak. “His conviction and lengthy sentence resulted from a collaborative effort between federal and local law enforcement agencies that will allow Fifth Third Bank and its employees to put this traumatic chapter behind them.”
“This defendant’s complete disregard for the safety of innocent civilians is reprehensible,” said Chris Hacker, Special Agent in Charge of FBI Atlanta. “Thankfully the quick response by officers from the Marietta Police Department, the diligence of FBI agents who investigated this case, and the U.S. Attorney’s Office who prosecuted this case, Alston’s victims can take solace that he will not be a threat to traumatize anyone else.”
“Robbery is the epitome of a premeditated violent crime and fleeing from the police at a high rate of speed endangers the community as well as police officers,” said Marietta Police Chief Dan Flynn. “I appreciate both our officers who placed themselves in harm’s way to capture this violent criminal and our federal partners who effectively used Project Safe Neighborhoods to protect our community.”
According to U.S. Attorney Pak, the indictment, and other information presented in court: On April 5, 2017, Alston robbed Fifth Third Bank in Smyrna at gunpoint then led police on a high-speed chase before hydroplaning into a fence. Alston entered the bank wearing a hooded sweater, black mask, and gloves. He fled the bank with approximately $2,500 in cash that he placed inside his backpack. Alston did not know that the bank’s funds included a GPS tracking device that allowed the Marietta Police Department (MPD) to immediately track the movement of a 2006 silver Chevy Aveo that he was driving.
Alston attempted to evade officers by speeding through a shopping center parking lot and local streets in excess of 70 miles per hour, before ultimately losing control of his vehicle in a residential neighborhood. Alston also tried to escape following the crash, but MPD officers apprehended him in a nearby wooded area. The officers recovered Alston’s backpack that contained a loaded firearm, the stolen bank funds, and the GPS tracking device.
Donte Deshawn Alston, 23, of Atlanta, Georgia was sentenced to 10 years, one month in prison, to be followed by three years of supervised release. Alston was convicted of the offenses of armed bank robbery and brandishing a firearm during a crime of violence after entering a guilty plea on May 1, 2018.
This case was investigated by the Federal Bureau of Investigation and the Marietta Police Department.
Assistant U.S. Attorney Dash A. Cooper prosecuted the case.
This case was brought as part of Project Safe Neighborhoods (PSN). In keeping with the Attorney General’s mission to reduce violent crime, the Northern District of Georgia’s PSN program focuses on prosecuting those individuals who most significantly drive violence in our communities, and supports and fosters partnerships between law enforcement and schools, the faith community, and local community leaders to prevent and deter future criminal conduct.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
The United States files False Claims Act complaint against Charles C. Adams, M.D. and affiliated entitiesRead the Press Release
ATLANTA – The United States has filed a False Claims Act complaint against Charles C. Adams, M.D.; Charles C. Adams, M.D., P.C. d/b/a Full Circle Medical Center and Personal Integrative Medicine PLLC (the “Adams Defendants”). The lawsuit alleges that the Adams Defendants were responsible for the submission of false claims to Medicare for medically unnecessary chelation therapy.
“When healthcare providers seek to defraud Medicare by billing for medically unnecessary services, they deplete the funds available to patients who are in need of legitimate medical procedures, while also putting their patients potentially at risk,” said U. S. Attorney Byung J. “BJay” Pak. “This complaint should serve as notice to others who consider similar practices that we will vigorously pursue them.”
“Medically unnecessary services waste millions in taxpayer dollars each year and undercut the public’s trust in the medical profession,” said Derrick L. Jackson, Special Agent in Charge at the U.S. Department of Health and Human Services, Office of Inspector General in Atlanta. “The OIG will continue to work with the Department of Justice to ensure the financial well-being of federal health care programs.”
The United States’ complaint alleges that, between November 2008 and September 2015, Dr. Adams undertook chelation therapy and administered the chelation drug edetate calcium disodium (EDTA) to Medicare beneficiaries who were not suffering from lead poisoning. Chelation therapy is a rarely used treatment that is generally only indicated for individuals suffering from lead poisoning and other forms of heavy metal poisoning. EDTA, one of the drugs used in chelation therapy, is indicated only for lead poisoning and lead encephalopathy.
Lead poisoning is diagnosed by determining whether the patient has had recent exposure to lead, and by testing the patient’s blood lead level (BLL). A symptomatic adult patient should only be chelated if there is a significantly heightened BLL (e.g. in excess of 50 mcg/dL). Dr. Adams chelated patients with no lead detected in their blood, or with only exceedingly low BLLs (e.g., less than 2 mcg/dL).
Additionally, Dr. Adams admitted that he does not treat lead poisoning or any other type of heavy metal poisoning. Nonetheless, he submitted hundreds of claims for Medicare beneficiaries for his use of EDTA. Dr. Adams advertised chelation as “alternative” and “integrative” therapy that can be used as an “anti-aging” treatment, and as a way to “improve circulation problems, stimulate bone growth, improve cholesterol and lower blood pressure.” However, Medicare does not cover EDTA chelation therapy for alternative uses such as these.
The United States contends that these chelation treatments are contrary to the standard of care and medically unnecessary. EDTA has a black box warning indicating that it “is capable of producing toxic effects which can be fatal.” Its adverse side effects include fever, chills, malaise, fatigue, myalgia, arthralgia, hypotension, cardiac rhythm irregularities, acute necrosis of proximal tubules (which may result in fatal nephrosis), nausea, vomiting, hypercalcemia, tremors, headaches, numbness and others. Inappropriate use of EDTA risks these harms without benefit.
This matter was investigated by Assistant U.S. Attorney Paris Wynn with the U.S. Attorney’s Office for the Northern District of Georgia and the Department of Health and Human Services - Office of Inspector General.
The claims asserted against the defendants are allegations only and there has been no determination of liability. The lawsuit is captioned United States v. Charles C. Adams, M.D., et al., Civil Action No. 4:18-cv-00191-HLM (N.D.Ga. 2018).
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Former Georgia medical examiner sentenced for opioid conspiracyRead the Press Release
ATLANTA – Dr. Joseph L. Burton, a former county and state medical examiner and forensic pathologist, has been sentenced to federal prison after pleading guilty to conspiring to illegally distribute opioid painkillers. Dr. Burton was indicted along with seven other individuals in February 2018. Four of Dr. Burton’s co-defendants have already been sentenced, and two more are awaiting sentencing after pleading guilty to similar charges.
“As a medical professional, Dr. Burton violated both his legal and ethical responsibilities when he knowingly wrote hundreds of illegal opioid prescriptions in exchange for sexual favors,” said U.S. Attorney Byung J. “BJay” Pak. “We will continue to work closely with our federal, state, and local law enforcement partners to hold those accountable who unlawfully distribute opioids in our community.”
“Addressing the country’s prescription opioid epidemic continues to be one of DEA’s top priorities,” said Robert J. Murphy, the Special Agent in Charge of the DEA Atlanta Field Division. “Dr. Burton prescribed powerful opiate-based pills outside the normal course of professional practice in exchange for sexual favors. Correspondingly, DEA, its law enforcement partners and the U.S. Attorney’s Office used every available resource to ensure he was brought to justice for his egregious prescribing practices. He will now spend well-deserved time in prison.”
According to U.S. Attorney Pak, the indictment, and other information presented in court: Dr. Burton, a licensed physician, operated as a consulting pathologist to determine the medical causes of diseases and death. Federal agents with the DEA began investigating Dr. Burton after agents with the Georgia Drug & Narcotics Agency and the Georgia Department of Public Health visited him in early 2017 and discovered that he was prescribing painkillers to a large number of patients without operating a medical clinic or regularly seeing patients. Over a roughly two-year period beginning in July 2015, Burton wrote over 1,500 prescriptions for controlled substances – including over 1,100 prescriptions for opioid painkillers such as oxycodone, hydrocodone, and methadone – irrespective of any legitimate medical purpose and outside the normal course of professional practice. These illegitimate prescriptions amounted to over 108,000 individual doses of opioids, including over 66,000 30 mg oxycodone pills. Burton wrote the bulk of these prescriptions to women in exchange for sexual favors and romantic affection. With his knowledge, many of the recipients of these prescriptions, in turn, sold or bartered the prescriptions. The approximate street value of the oxycodone pills that Burton prescribed exceeds $2 million.
Dr. Burton prescribed opioids to individuals without: diagnosing legitimate medical conditions, conducting medical exams, reviewing medical records, taking precautions for proper usage or drug screening, or, on occasion, ever meeting the recipients. Several of Burton’s co-defendants, as well as other individuals who were not federally indicted, each engaged in a sexual relationship with Dr. Burton in exchange for prescriptions in their names, as well as the names of others. These women would fill their prescriptions and sell the pills, and then obtain more prescriptions from Burton for other people, who paid them for getting the prescriptions. Dr. Burton also supplied the co-defendants with blank prescriptions and instructed them on how to fill them out.
Joseph Lawson Burton, 73, of Milton, Georgia, was sentenced to eight years in federal prison, to be followed by three years of supervised release on August 29, 2018. Burton pleaded guilty on May 22, 2018 to conspiracy to unlawfully distribute and dispense controlled substances outside of the normal course of professional practice and without a legitimate medical purpose.
The following co-defendants have also pleaded guilty or been sentenced:
●Jennifer Hunter, 29, of Acworth, Georgia, pleaded guilty to conspiracy to unlawfully distribute and dispense controlled substances on May 2, 2018. Hunter’s sentencing is scheduled for September 11, 2018.
●Tiffany Willis, 26, of Cartersville, Georgia, was sentenced on August 15, 2018, to four years, seven months in prison, to be followed by three years of supervised release. She pleaded guilty to conspiracy to unlawfully distribute and dispense controlled substances on May 2, 2018.
●Michelle Danner, 45, of Acworth, Georgia, was sentenced on August 9, 2018 to five years, 10 months in prison, to be followed by three years of supervised release. She pleaded guilty to conspiracy to unlawfully distribute and dispense controlled substances on May 15, 2018.
●Jerry Stephens, Jr., 30, of Cartersville, Georgia, was sentenced on August 28, 2018 to four years in federal prison, to be followed by three years of supervised release. He pleaded guilty to one count of conspiracy to unlawfully distribute and dispense controlled substances and one count of distribution and dispensation of a controlled substance on May 8, 2018.
●Rodney Kennedy, 63, of Cartersville, Georgia was sentenced on August 9, 2018 to two years, nine months in prison, to be followed by three years of supervised release. He pleaded guilty to conspiracy to unlawfully distribute and dispense controlled substances on May 10, 2018.
This case is being investigated by the DEA. The case is part of a coordinated effort with the Acworth Police Department, Barrow County Sheriff’s Office, Bartow County District Attorney’s Office, Bartow County Sheriff’s Office, Cartersville Police Department, Cherokee County Sheriff’s Office, Cherokee County District Attorney’s Office, Clayton County Police Department, Cobb County Sheriff’s Office, Cobb County District Attorney’s Office, Cobb County Police Department, Fayette County Sheriff’s Office, Floyd County District Attorney’s Office, Floyd County Sheriff’s Office, Georgia Department of Community Supervision, Georgia Composite Medical Board, Georgia Drugs and Narcotics Agency, Gwinnett County Sheriff’s Office, Hall County Sheriff’s Office, Jonesboro Police Department, Oakwood Police Department, Paulding County Sheriff’s Office, and the Rome Police Department.
Assistant U.S. Attorneys John T. DeGenova and C. Brock Brockington, Deputy Chief of the Narcotics & Dangerous Drugs Section are prosecuting the case.
This case was presented as a part of Operation SCOPE, (Strategically Combatting Opioids through Prosecution and Enforcement), an initiative that targets individuals who illegally prescribe opioids and drug traffickers who also distribute these dangerous and addictive drugs.
The U.S. Attorney’s Office in Atlanta recommends parents and children learn about the dangers of drugs at the following web site: www.justthinktwice.gov.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Former postal employee arrested for burglarizing post officeRead the Press Release
ATLANTA - Zachary Adam Johnson, a former postal employee, has been arraigned on federal charges for allegedly burglarizing a post office, stealing mail, and negotiating forged checks. Johnson was indicted by a federal grand jury on August 16, 2018.
“Johnson allegedly abused his position as a former postal employee to exploit the U.S. mail system in order to steal identities and commit bank fraud, said U.S. Attorney Byung J. “BJay” Pak. “We are determined to safeguard our citizens from identify theft, as well as protecting the integrity of the postal and banking systems from these types of schemes.”
“The U.S. Postal Inspection Service remains dedicated to the mission of protecting the nation’s mail system from criminal misuse,” said David M. McGinnis, Inspector in Charge of the Charlotte Division. “By working together with the Snellville Police Department, we were able to apprehend a subject that stole for his personal financial gain. The public can rest assured that Postal Inspectors will continue to maintain America’s confidence in the integrity of the U.S. Postal Service.”
According to U.S. Attorney Pak, the charges, and other information presented in court: On June 26, 2018, Johnson was captured on a surveillance camera allegedly cashing a forged check at a SunTrust bank in Loganville, Georgia. On June 28, 2018, Johnson attempted to cash another forged check at a Regions Bank in Snellville, Georgia. Alert bank employees at Regions Bank recognized that the account holder’s signature looked suspicious, and called their customer to confirm whether he had written the check. After learning that the check was forged, the bank employees called the local police. Johnson was arrested by the Snellville Police Department and later released on bond.
While on bond, Johnson was captured twice on a surveillance camera, allegedly stealing letters and parcels from a U.S. Post Office on Oak Road in Snellville. A search of Johnson’s car revealed a large quantity of stolen mail.
Zachary Adam Johnson, 41, of Snellville, Georgia was arraigned before U.S. Magistrate Judge John K. Larkins, III on federal charges of bank fraud, aggravated identity theft, possession of stolen mail, postal burglary, and mail theft on August 28, 2018. Members of the public are reminded that the indictment only contains charges. The defendant is presumed innocent of the charges and it will be the government’s burden to prove the defendant’s guilt beyond a reasonable doubt at trial.
This case is being investigated by the U.S. Postal Inspection Service.
Assistant U.S. Attorney Alana R. Black is prosecuting the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Importer pays civil penalty to settle alleged Controlled Substances Act violationsRead the Press Release
ATLANTA – ACETO Corporation, an international company with a North American headquarters based in New York, has agreed to pay a civil settlement of $120,000 to resolve allegations that it violated the recordkeeping requirements of the Controlled Substances Act (CSA). ACETO imports controlled substances to a warehouse in Atlanta and has agreed to additional oversight from the Drug Enforcement Agency.
“Importers have a responsibility to ensure that all controlled substances can be tracked through the distribution chain,” said U.S. Attorney Byung J. “BJay” Pak. “Our office is committed to preventing the diversion of controlled substances by enforcing the recordkeeping requirements of the Controlled Substances Act.”
Robert J. Murphy, the Special Agent in Charge of the Atlanta Field Division of the DEA said, “The mission of DEA’s Office of Diversion Control is to prevent, detect and investigate the diversion of controlled pharmaceutical and listed chemicals from legitimate sources. In this case, DEA Diversion investigators did an outstanding job of uncovering this importer’s negligence to conduct proper inventories, which led to a civil fine. DEA will continue to work hand in hand with its law enforcement partners and the U.S. Attorney’s Office to make sure that Importers are abiding by its regulations.”
The government alleges that ACETO failed to maintain complete and accurate records of all controlled substances, failed to maintain controlled substances records at its registered location, and failed to complete the required biennial inventory of controlled substances. The claims settled are allegations only, and there has been no determination of liability.
The CSA was enacted by Congress to deter the illegal importation, manufacture, distribution, possession, and improper use of controlled substances, including prescription medications, and requires individuals and entities registered with the DEA to maintain complete and accurate records of all controlled substances and security systems so that no controlled substances are lost, stolen, or inappropriately dispensed. Violations of the recordkeeping requirements subject DEA registrants to civil monetary penalties of up to $14,502 for each violation.
This case was investigated by the Drug Enforcement Administration.
The civil settlement was reached by Assistant U.S. Attorney Lena Amanti.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
ACETO Settlement Agreement
ACETO Settlement Agreement.pdf
Defendants in ticket-switching scam sentencedRead the Press Release
ATLANTA - Charles Blackman, a/k/a Ralph Jones, and Quinton Williams were sentenced to federal prison by U.S. District Judge Amy Totenberg for altering the prices of merchandise, through an elaborate “ticket-switching scheme” at The Home Depot and Lowe’s on August 27, 2018.
“These defendants defrauded Home Depot and Lowe’s of merchandise valued in excess of $300,000 and $1 million, respectively,” said U.S. Attorney Byung J. “BJay” Pak. “Security measures at The Home Depot helped uncover and stop this scheme before they could steal more. It is unfortunate that the consumer pays the cost of these elaborate schemes in a higher cost of goods.”
“The U.S. Secret Service and our law enforcement partners work tirelessly to protect our nation’s electronic financial payment systems,” said Malcolm D. Wiley, Acting Special Agent in Charge of the U.S. Secret Service, Atlanta Field Office. “Today’s sentences should serve as a reminder that criminals will not get away with using point of sale terminals to fund their criminal activities.”
According to U.S. Attorney Pak, the charges, and other information presented in court: Blackman and his associates allegedly switched or altered the prices of merchandise by changing the Universal Product Code (UPC), so the items could be purchased at a lower price and then returned for the actual, higher retail price. They used false information and fake identifications to further their fraud. Their alleged scheme was to cheat The Home Depot and Lowe’s out of the hundreds of thousands of dollars to be made on the price difference after returning the merchandise.
Charles Blackman, a/k/a Ralph Jones, 58, of Atlanta, Georgia was sentenced to three years, one month in prison, to be followed by two years of supervised release. He was also ordered to pay restitution in the amount of $1,269,621.00 to The Home Depot and Lowe’s.
Quinton Williams, 52, of Atlanta, Georgia, was sentenced to time served in prison, to be followed by two years of supervised release. He was also ordered to pay restitution in the amount of $269,515.00 to The Home Depot.
This case was investigated by the U.S. Secret Service. The Woodstock Police Department and Cherokee County District Attorney’s Offices contributed to this case.
Assistant U.S. Attorney Cassandra J. Schansman prosecuted the case.
For further information, please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Defendant sentenced for stealing Social Security benefitsRead the Press Release
ATLANTA - Monty Jack Stansell has been sentenced to federal prison after pleading guilty to stealing his deceased mother’s Social Security benefits.
“Stansell stole his deceased mother’s Social Security payments for six years, using the money to pay for his own personal expenses,” said U.S. Attorney Byung J. “BJay” Pak. “Those who steal Social Security benefits threaten the integrity of the program and divert vital resources away from those who need them most.”
“The Social Security Administration Office of the Inspector General has no higher priority than the investigation and prosecution of those who violate the public’s trust by failing to report Social Security beneficiary deaths and continuing to receive the deceased’s benefits,” stated Special Agent-in-Charge Margaret Moore-Jackson. “I’m grateful that the U.S. Attorney’s Office shares our determination to protect the integrity of the Social Security Administration’s programs for those who rely on them now and into the future.”
According to U.S. Attorney Pak, the charges and other information presented in court: Stansell’s mother died on April 1, 2008. Her Social Security benefits continued to be direct deposited into a joint SunTrust bank account that she shared with Stansell after her death. When investigators initially questioned Stansell, he claimed that he was unaware that his mother’s Social Security benefits were still being paid after her death. Stansell admitted to spending money out of the account, but claimed that he never looked at bank statements.
After investigators questioned Stansell a second time, he admitted that he received notice from the Social Security Administration in late 2008, informing him of his mother’s continued benefits. Instead of notifying the Social Security Administration that his mother had died, Stansell continued to receive and spend her benefits on his own personal expenses. In total, Stansell stole over $90,000 in Social Security benefits.
Monty Jack Stansell, 66, of Douglasville, Georgia was sentenced to one year, nine months in prison to be followed by three years of supervised release, and he was ordered to pay restitution in the amount of $93,872 on August 27, 2018. Stansell was convicted on these charges on April 25, 2018, after he pleaded guilty.
This case was investigated by the Social Security Administration - Office of the Inspector General.
Special Assistant U.S. Attorney Diane C. Schulman prosecuted the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Identity thief sentenced for stealing money from victims’ bank accountsRead the Press Release
ATLANTA - Justin Tony Walker has been sentenced to federal prison for conspiracy to commit wire fraud and aggravated identity theft for fraudulently accessing bank accounts and transferring more than $1.3 million from financial institutions into accounts held by his co-conspirators.
“Walker was crafty and knew no limits on how far he would go to commit fraud, even while on probation,” said U.S. Attorney Byung J. “BJay” Pak. “We encourage citizens to regularly monitor their bank statements to ensure their accounts have not been compromised.”
“The FBI treats these types of financial crimes targeting individuals and the banking industry very seriously,” said J. C. “Chris” Hacker, Special Agent in Charge of the FBI Atlanta Division. “Anyone considering this type of criminal activity should take heed of the punishment imposed in this case.”
According to U.S. Attorney Pak, the charges and other information presented in court: From July 2015 to March 2016, Walker ran a scheme to steal money from various financial institutions and their customers’ bank accounts by using fraudulently acquired personal information to impersonate the account holders.
Walker contacted customer service representatives at financial institutions using the true account holders’ personal information. He would then acquire additional information on customers’ accounts that he used to either take over existing accounts or create new accounts. Walker then would wire sums of money from these accounts to personal accounts held by his co-conspirators. Through this scheme, Walker defrauded financial institutions of more than $1.3 million.
Since 2007, Walker has been arrested on four separate occasions for various forms of fraud and identity theft, including financial transaction card fraud. In 2011 and 2015, Walker violated his probation by committing additional acts of fraud and identity theft, and the conduct in this case was in contravention of a previous judicial sentence.
Justin Tony Walker, 29, of Lawrenceville, Georgia was sentenced to seven years in prison to be followed by two years of supervised release by U.S. District Judge Amy Totenberg on August 24, 2018. He was also ordered to pay restitution in the amount of $514,979.56. Walker pleaded guilty to the charges on May 29, 2018.
This case was investigated by the Federal Bureau of Investigation, with assistance from the Atlanta Police Department.
Assistant U.S. Attorney Bernita B. Malloy prosecuted the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Fifth Defendant Arraigned in Takeover-Style Bank Robbery in Meriwether County, GeorgiaRead the Press Release
ATLANTA – D'Asis Sheffield, 20, of Greenville, Ga., the final defendant of a five-member armed robbery conspiracy, was arraigned yesterday before United States Magistrate Judge John K. Larkins III following Sheffield’s arrest on federal charges of armed bank robbery and brandishing a firearm during a crime of violence. Sheffield and his four co-defendants, Antavious Bray, 29, of Greenville, Ga., Derrick Scott, 26, of Manchester, Ga., Dontavius Prather, 22, of Greenville, Ga., and Shaneka Copeland, 35, of Manchester, Ga., were indicted by a federal grand jury on August 15, 2018.
“Sheffield attempted to evade capture after terrorizing innocent victims and endangering their lives during this armed robbery,” said U.S. Attorney Byung J. “BJay” Pak. “Fortunately, thanks to the assistance of the public and the hard work of law enforcement, Sheffield and his co-defendants will now have to answer for their crimes. This case demonstrates that all citizens play an important role in keeping our communities safe.”
According to United States Attorney Pak, the charges, and other information presented in court: Three of the defendants, Sheffield, Bray, and Scott, allegedly entered United Bank in Woodbury, Georgia, shortly after noon on June 28, 2018. The robbers had covered their faces to disguise their identities, and they were armed with two handguns and a semi-automatic rifle.
After entering the bank, the men ordered two bank employees to lie face down on the floor. Bray allegedly stood over them with the semi-automatic rifle, while Scott and Sheffield pointed handguns at a teller and demanded that she fill a backpack with money. The men then exited the bank through a back door, but thanks to the quick response of the City of Woodbury Police Department, their getaway driver, Prather, fled before he could pick up Sheffield, Bray, and Scott. At that point, the three robbers ran into the nearby woods on foot.
After hiding in a nearby house for several hours, Bray and Scott were captured by the FBI. Sheffield, the third robber, remained unidentified and at large until local news stations played a clip of him in the backyard of a residence without his face concealed by a mask. Several tipsters then identified Sheffield, who the FBI arrested shortly thereafter.
D'Asis Sheffield, Antavious Bray, Derrick Scott, and Dontavius Prather, were charged with armed bank robbery and brandishing a firearm during a crime of violence. Bray and Scott were additionally charged with possessing a firearm after having been convicted of a felony offense. Shaneka Copeland was charged with being an accessory after the robbery.
Members of the public are reminded that the indictment only contains charges. The defendants are presumed innocent of the charges, and it will be the government’s burden to prove the defendants’ guilt beyond a reasonable doubt at trial.
This case is being investigated by the Federal Bureau of Investigation.
Assistant United States Attorney Bret R. Hobson is prosecuting the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Operator of bogus charity sentenced for defrauding multiple companiesRead the Press Release
ATLANTA – Kai Brockington, the former operator of a bogus charity, was sentenced to federal prison for defrauding multiple large companies that donated hundreds of thousands of dollars.
“Brockington stole funds that could have gone to legitimate charities that helped those in need,” said U. S. Attorney Byung J. “BJay” Pak. “His prison sentence is a just punishment for his greed.”
“The FBI is hopeful that Brockington’s sentence will send a strong message to anyone who would try to take advantage of the benevolent intentions of donors,” said J. C. “Chris” Hacker, Special Agent in Charge of FBI Atlanta. “Brockington undermined every legitimate charity’s work to carry out humanitarian missions with his disregard for their generosity to satisfy his own personal greed.”
“Officials who operate non-profit entities designed to assist charitable endeavors hold positions of trust not only in their companies, but also in the eyes of the public and we at the IRS owe it to every American taxpayer to use all lawful means to identify and prosecute those who evade their taxes as well as engage in other financial crimes”, stated Gabriel L. Grchan, Acting Special Agent in Charge of the IRS Criminal Investigation St. Paul Field Office. “It is our hope that Brockington’s sentence sends the strong message that tampering with the integrity of our nation’s tax system will result in prison time."
“Charity fraud, like many financial crimes, erodes the integrity of honest, noble charitable organizations, and threatens the financial health of our communities,” said U.S. Postal Inspector in Charge Kevin Rho of the Denver Division. “This sentence is the culmination of a successful joint investigative effort to protect vulnerable individuals and businesses from charity fraud and its effect on our communities, by ensuring the integrity of the U.S. Mail.”
According to U.S. Attorney Pak, the charges, and other information presented in court: Brockington was the primary operator of “Our Genesis Project,” a non-profit entity that supposedly provided healthcare to underprivileged recipients. In reality, Our Genesis Project never conducted any actual charitable work. Beginning in 2013, Brockington caused employees of several large companies to falsely tell their employers that they had donated money to Our Genesis Project. These large companies had programs that permitted their employees to donate money to a charity and request that the company match those donations. As a result, the companies donated substantial sums of money to Our Genesis Project.
From 2013 through 2017, Brockington caused several large companies to donate approximately $668,000 to Our Genesis Project through their charity matching programs. Instead of using these donations for charitable endeavors, Brockington spent the funds on himself and his family members, including purchases of jewelry and expensive clothing and shoes, trips to Italy and Disney World, as well as updates to the family home and other living expenses.
During this time period, Brockington repeatedly filed false tax returns with the Internal Revenue Service, including false federal income tax returns that failed to account for the money he was earning from his scheme as well as returns that falsely claimed Our Genesis Project was spending the funds on community grants, community activities, and community expenses. Additionally, Brockington filed for personal bankruptcy in 2015 and failed to disclose the substantial sums of money he had earned from this fraud scheme.
Kai Brockington, 36, of Dallas, Georgia, was sentenced to three years, five months in prison, to be followed by three years of supervised release on August 22, 2018. He was also ordered to pay restitution to the victim companies. Brockington pleaded guilty to charges of mail fraud and willfully filing a false federal income tax return on May 23, 2018.
This case was investigated by the Federal Bureau of Investigation, the Internal Revenue Service - Criminal Investigation Division, and the U.S. Postal Inspection Service.
Assistant U.S Attorney Thomas J. Krepp prosecuted the case, with invaluable assistance from Assistant U.S. Attorney Timothy C. Rank of the U.S. Attorney’s Office for the District of Minnesota.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Eye care provider sentenced to federal prison for Medicare and Medicaid fraudRead the Press Release
GAINESVILLE, Ga. - Matilda Lynn Prince has been sentenced to federal prison, after a jury convicted her of twenty-nine counts of healthcare fraud for filing fraudulent claims with Medicare and the Georgia Medicaid program for optometry and ophthalmology services that were never provided to patients.
“Prince will now spend time in federal prison for stealing over a million dollars from the Medicare and Medicaid programs by submitting fraudulent claims for services that were not performed,” said U.S. Attorney Byung J. “BJay” Pak. “Prince diverted critical resources away from the elderly and low-income families who were most in need of care.”
“This sentence sends a clear-cut message to crooked providers who fraudulently bill government health care programs,” said Derrick L. Jackson, Special Agent in Charge for the U.S. Department of Health & Human Services - Office of Inspector General (OIG). “The OIG and our law enforcement partners will continue to aggressively pursue these thieves to ensure they are held accountable.”
“Our Medicaid Fraud Control Unit remains committed to working with our federal partners to investigate and prosecute providers who attempt to steal from healthcare programs designed to provide treatment and care for those most in need,” said Georgia Attorney General Chris Carr.
According to U.S. Attorney Pak, the charges and other information presented in court: Prince owned Pickens Eye Clinic in Jasper, Georgia and operated Eye Gallery 20/20 in Calhoun, Georgia. From September 2011 to February 2014, Prince submitted false claims to Medicare and Medicaid for optometry and ophthalmology services that were never rendered to patients.
Despite being previously excluded from the Medicare and Medicaid programs in September 2011 and informed of her ineligibility to be employed or involved with any entity that received Medicare or Medicaid funds, Prince operated under a company named Eye Gallery 20/20 to bill Medicare and Medicaid for services that were not rendered. As part of the scheme, Prince targeted her advertising towards senior citizens and disabled populations in housing complexes and community centers, offering on-site eye exams and prescription glasses at no charge to patients on Medicare and Medicaid. Prince contracted with two licensed optometrists to provide basic eye exams. The optometrists would sometimes travel with Prince to perform these exams.
Although the patients received only basic eye exams and measurements for prescription glasses, Prince often billed for complex ophthalmological procedures involving the surgical insertion of medical devices called “punctal plugs” into patients' tear ducts to treat dry eye conditions. Prince then used the identities of the two licensed optometrists to bill Medicare and Medicaid repeatedly for this procedure. On some occasions, she billed for the same patient as many as seven times on the same claimed date of service, even though the procedures were never performed. Prince fraudulently submitted over $1.2 million in insurance claims to Medicare and Medicaid for services never rendered.
Matilda Lynn Prince, 42, of Mineral Bluff, Georgia was sentenced to three years, four months in prison, to be followed by three years of supervised release on August 22, 2018. She was also ordered to pay restitution in the amount of $609,000. Prince was found guilty by a jury on January 9, 2018.
This case was investigated by the Department of Health and Human Services - Office of the Inspector General, and the Georgia Medicaid Fraud Control Unit.
Assistant U.S. Attorneys Bernita B. Malloy and Randy S. Chartash prosecuted the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Significant opioid manufacturing reduction proposed for 2019Read the Press Release
ATLANTA – The Department of Justice and U.S. Drug Enforcement Administration (DEA) recently announced a proposed reduction for controlled substances that may be manufactured in the U.S. next year. The proposal decreases manufacturing quotas for the six most frequently misused opioids for 2019 by an average ten percent as compared to the 2018 amount.
“In 2017, nearly 1,050 Georgians died as a result of opioid overdoses,” said U.S. Attorney Byung J. “BJay” Paky. “We must continue to fight this epidemic on all fronts. The proposed decrease in opioid production is a step in the right direction to potentially save lives, while also minimizing the illegal distribution of these drugs within our community.”
“DEA recognizes we must fight this epidemic on multiple fronts,” said Robert J. Murphy, the Special Agent in Charge of the DEA Atlanta Field Division. “This latest action is another tool to prevent others from falling victim to this deadly addiction to opioids.”
In setting the aggregate production quote (APQ), DEA considers data from many sources, including estimates of the legitimate medical need from the Food and Drug Administration; estimates of retail consumption based on prescriptions dispensed; manufacturers’ disposition history and forecasts; data from DEA’s own internal system for tracking controlled substance transactions; and past quota histories. The DEA has proposed to reduce more commonly prescribed schedule II opioids, including oxycodone, hydrocodone, oxymorphone, hydromorphone, morphine, and fentanyl.
Ultimately, the revised limits will encourage vigilance on the part of opioid manufacturers, help DEA respond to the changing drug threat environment, and protect the American people from potential addictive drugs while ensuring that the country has enough opioids for legitimate medical, scientific, research, and industrial needs.
In 2016, the Centers for Disease Control and Prevention issued guidelines to practitioners recommending a reduction in the prescribing of opioid medications for chronic pain. In the last several years, efforts have been to educate practitioners, pharmacists, manufacturers, distributors, and the public about the dangers associated with the misuse of opioid medications and the importance of proper prescribing.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Aggregate Production Quota for Opioids
Aggregate Production Quota for Opioids.pdfFormer City of Atlanta deputy chief of staff pleads guilty to accepting bribesRead the Press Release
ATLANTA - Evelyn Katrina Taylor-Parks has pleaded guilty to conspiring to accept bribe payments while serving as the City of Atlanta’s Deputy Chief of Staff to the Mayor for approximately eight years.
“Parks was trusted to serve the citizens of Atlanta, but opted instead to betray that confidence when she accepted bribes from a vendor,” said U.S. Attorney Byung J. Pak. “Unfortunately, she is not alone. Parks represents the fifth defendant to enter a guilty plea in this investigation. We remain resolute in our commitment to root out those who seek to profit personally at the expense of the public’s trust.”
“Parks plea should strike fear in any public official who chooses to cash in on the trust of the people they are sworn to serve,” said J. C. Hacker, Special Agent in Charge of FBI Atlanta. “Though a bribe to make easy money may be tempting, know this: Public corruption investigations are a top priority for the FBI and we are committed to holding accountable anyone who chooses to disregard the public’s trust.”
“Parks must be held accountable for her crimes in order to restore public trust in city governance,” said Thomas J. Holloman, Special Agent in Charge of the IRS-Criminal Investigation. “IRS-CI will continue to leverage its skilled workforce in partnership with the U.S. Attorney’s Office to eradicate public corruption by recommending prosecution on any elected official or employee involved in criminal activity under the guise of serving the public.”
According to U.S. Attorney Pak, the charges, and other information presented in court: From approximately January 2010 to May 2018, Parks served as the Deputy Chief of Staff to the Mayor of the City of Atlanta, Georgia. As the Deputy Chief of Staff, Parks had various responsibilities, including managing core City of Atlanta operations, coordinating with the Mayor and the executive staff to execute the administration’s policies, and facilitating the procurement process.
In her position, Parks signed an annual Financial Disclosure Statement attesting that she was not self-employed or employed by any business or entity other than the City of Atlanta, and that she had not received more than $5,000 in annual income from any source other than the City of Atlanta. Parks executed the Financial Disclosure Statements, under penalty of perjury, in 2011, 2012, and 2013, stating she was not employed outside the City of Atlanta.
A vendor, who was an executive with a firm in Atlanta during Parks’ tenure as the Deputy Chief of Staff, sought work through his businesses with the City of Atlanta, and the City of Atlanta awarded one project to the vendor’s firm worth $99,999.
From late-2011 to mid-2013, Parks met privately with the vendor on multiple occasions. During these meetings, Parks and the vendor discussed various topics, including the vendor’s desire to obtain work with the City of Atlanta, the idea of sole-source contracting, and the process by which the vendor could obtain a sole-source contract with the City of Atlanta. At the time of these meetings, the vendor was actively seeking projects and work with Atlanta, and at times was performing work for the City of Atlanta.
The vendor paid Parks thousands of dollars and paid for various services on Parks’ behalf, while seeking work with the City of Atlanta. In return for these bribe payments, Parks knew that the vendor wanted her to use her position and power as the Mayor’s Deputy Chief of Staff to assist the vendor with the City of Atlanta’s contracting and procurement process, and to assist the vendor in the future when needed.
In exchange for accepting money from the vendor:
1. Parks met regularly with the vendor, took the vendor’s calls, and responded to the vendor’s emails.
2. She organized and arranged meetings between the vendor and high-ranking employees within the City of Atlanta and with a member of the City Council. Based on the high-level nature of her position, Parks knew that when she contacted City of Atlanta employees, on behalf of the vendor, those employees would feel compelled to comply with her requests.
3. Parks provided the vendor with information and advice regarding the processes and procedures to obtain a sole-source contract with the City of Atlanta.
4. She assisted the vendor in obtaining a City Council Resolution allowing the City of Atlanta to negotiate a sole-source contract with the vendor that was possibly worth millions of dollars. Parks believed that the vendor intended to use the resolution in an attempt to obtain government contracts outside of Atlanta.
5. She also facilitated and expedited the process for the vendor to get paid for work the vendor had completed for the City of Atlanta.
Parks never disclosed her ongoing financial relationship with the vendor and/or the vendor’s firm on her Financial Disclosure Statements to the City Atlanta. In total, from January to July 2013, the City of Atlanta issued payments of $19,900, $11,750, $15,000, $17,200, and $36,149 to the vendor’s firm.
On November 16, 2017 and on February 15, 2018, Parks was interviewed by the Federal Bureau of Investigation. During those interviews, Parks falsely stated that she had never taken money from the vendor.
On August 8, 2018, Evelyn Katrina Taylor-Parks, 49, of Douglas County, Georgia, was charged in a criminal information with one count of conspiratorial bribery.
This case is being investigated by the Federal Bureau of Investigation and the Internal Revenue Service – Criminal Investigation.
Assistant U.S. Attorney Jeffrey W. Davis, Chief of the Public Integrity and Special Matters Section, and Assistant U.S. Attorney Jill E. Steinberg, Deputy Chief of the Criminal Division are prosecuting the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Phony music booking agent sentenced for defrauding victims out of almost $1 millionRead the Press Release
ATLANTA - Octaveon Woods has been sentenced after pleading guilty to defrauding colleges, music festivals organizers, and others by claiming that he was a booking agent for famous musicians such as Migos, Lil Yachty, and Post Malone. Woods continued to operate the scheme even after he pleaded guilty in this case.
“Woods convinced dozens of victims to pay him almost a million dollars to ‘book’ artists for concerts and festivals, when he had no relationship with the artists at all,” said U. S. Attorney Byung J. “BJay” Pak. “Woods will now face the consequences of his actions and his victims will receive a measure of justice.”
According to U.S. Attorney Pak, the charges and other information presented in court: Woods owned and operated several companies, including Global Talent Agency, GTA Bookings, and National Artist Agency, that claimed to be booking agencies in the entertainment industry. Woods advertised that these agencies represented dozens of famous musicians, comedians and other artists, including hip-hop and rap artists Migos, Lil Yachty, and Post Malone.
Student groups at Emory University, the University of Missouri, and victims overseas hired Woods’s fake companies to book artists for concerts and festivals. In reality, Woods had no relationship with the artists. After his victims wired him money to book the concerts, Woods transferred the funds to other accounts and then made cash withdrawals. Hours after he pleaded guilty in April 2018, Woods continued to lure more victims into transferring him money for concerts that were never going to happen.
Octaveon Woods, 27, of Decatur, Illinois was sentenced to three years, 10 months in prison to be followed by three years of supervised release on August 10, 2018. Woods was convicted of the charges on April 16, 2018, after he pleaded guilty.
This case was investigated by the U.S. Department of Education, Office of the Inspector General.
Assistant U.S Attorney Lynsey Morris Barron prosecuted the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Jury convicts cybercriminal for hacking universitiesRead the Press Release
ATLANTA – Olayinka Olaniyi, a citizen of Nigeria, was convicted by a federal jury on August 9, 2018, after a three-day trial, on charges of conspiracy to commit wire fraud, computer fraud and aggravated identity theft. Co-defendant, Damilola Solomon Ibiwoye, pleaded guilty to similar charges and was sentenced on January 31, 2018.
“These defendants used trickery to lure and exploit their unsuspecting victims, but they will now face the consequences of their scheme in federal prison,” said U.S. Attorney Byung J. “BJay” Pak. “We are grateful for the collaborative work by our national and international law enforcement partners in this case, and we will continue to vigorously prosecute cybercriminals who hide behind the anonymity of the internet to commit these types of crimes.”
“The FBI is determined to arrest criminals who believe they can hide out on the internet, protected by geographic boundaries, and prey on the American people and our institutions,” said J. C. “Chris” Hacker, Special Agent in Charge of the FBI Atlanta Division. “This case clearly shows the benefits of global cooperation between the United States and international law enforcement.”
“We were proud to support our federal partners in bringing down this criminal enterprise,” said Georgia Attorney General Chris Carr. “We will remain vigilant in investigating and prosecuting all who attempt to defraud honest, hard-working Georgians.”
According to U.S. Attorney Pak, the charges, and other information presented in court: Olaniyi and Ibiwoye were behind several “phishing scams” that targeted colleges and universities in the United States, including the Georgia Institute of Technology (“Georgia Tech”) and the University of Virginia. While both are Nigerian citizens, they committed their crimes while living in Kuala Lumpur, Malaysia, and were extradited to the United States to face these charges.
A “phishing scam” is the act of sending fraudulent emails that appear to come from legitimate enterprises for the purpose of tricking the recipients into providing personal information, including usernames and passwords. Olaniyi and Ibiwoye directed phishing emails to college and university employees. Once they had possession of employee logins and passwords, they were able to steal payroll deposits by changing the bank account into which the payroll was deposited. Also, while logged into the university system through the stolen logins and passwords, these defendants were able to gain access to employee W2 forms, which they used to file fraudulent tax returns. The attempted theft was over $6 million.
The stolen funds were routed into U.S. bank accounts, and the evidence showed that access to these bank accounts was acquired through the use of romance scams, where fraudsters pose on dating sites and apps as potential partners to gain the trust of their victim. At some point, the fraudster will make a request to deposit money into their victim’s account and claim to need all of the account information, including their account number, routing number, passwords, and answers to security questions. In this case, all of that information was then used to funnel the proceeds of theft through those accounts and out of the country.
Olayinka Olaniyi, 34, of Nigeria is scheduled to be sentenced on October 22, 2018, at 10:00 a.m., before U.S. District Judge Steve C. Jones.
Damilola Solomon Ibiwoye, 29, of Nigeria was sentenced to three years, three months in prison to be followed by three years of supervised release on January 31, 2018.
This case was investigated by the Federal Bureau of Investigation.
Assistant U.S. Attorney Jeffrey A. Brown, Deputy Chief of the Complex Frauds Section, and Special Assistant U.S. Attorney Laura D. Pfister prosecuted the case.
Former attorney indicted for using dozens of his clients’ identities to obtain fraudulent litigation advancesRead the Press Release
ATLANTA - Chalmer “Chuck” Detling, II has been arraigned on seven counts of wire fraud and eight counts of aggravated identity theft. Detling was indicted by a federal grand jury on August 8, 2018, for using the identities of 36 former clients without their knowledge or authorization in order to apply for and obtain 50 fraudulent litigation advances, totaling hundreds of thousands dollars.
“Lawyers are supposed to assist their clients, not use their identities to commit fraud.” said U.S. Attorney Byung J. “BJay” Pak. “Detling allegedly violated his ethical and fiduciary duties by using his clients’ personal information to apply for litigation advances in their names. He then kept the money for himself.”
“Detling’s alleged actions displayed a complete disregard for his clients by stealing their identities to enrich himself,” said J. C. “Chris” Hacker, Special Agent in Charge of FBI Atlanta. “The FBI will continue to hold those accountable who choose to exploit their trusted positions for their own personal financial gain.”
According to U.S. Attorney Pak, the charges, and other information presented in court: Detling was admitted to the State Bar of Georgia in 2004. In May 2012 through December 2016, Detling was the owner and operator of the Detling Law Group, a law firm based in Marietta, Georgia. Detling primarily engaged in personal injury law. On October 31, 2016, the Supreme Court of Georgia accepted Detling’s petition for voluntary surrender of his license. He is no longer licensed to practice law in the State of Georgia.
Various financing companies offer “litigation advances” to cover non-litigation related expenses (e.g., living and medical expenses) for plaintiffs who typically have a pending personal injury or worker’s compensation lawsuit. Typically, a plaintiff applies for litigation advance financing by submitting a signed financing agreement that includes, among other things, the amount of money being advanced to the plaintiff and a repayment schedule. Although the financing agreement contemplates that a plaintiff will repay the litigation advances with interest, the litigation financing entities do not consider such financing to be “loans.” Instead, they characterize the financing as “investments” or “advances” because a plaintiff who has no recovery would not be obligated to repay the litigation financing entity. The litigation advances typically range from several hundred to several thousand dollars.
From October 2014 through April 2016, Detling allegedly devised a scheme to defraud several litigation financing entities by obtaining fraudulent litigation advances in the names of his law firm’s clients without the clients’ knowledge or authorization. During this period, Detling allegedly obtained 50 fraudulent litigation advances totaling more than $383,000 in the names of 36 clients. Detling applied for the fraudulent litigation advances using personal identifying information of his clients, including their names and Social Security numbers. He allegedly submitted applications that were purportedly signed and executed by his respective clients, but Detling knew when he submitted the agreement paperwork that the clients had not actually executed the agreements. Detling was able to secure these fraudulent litigation advances without his clients’ knowledge in part because the litigation financing entities did not require the clients to be present when applying for the litigation advances or receiving the disbursements.
In order to further conceal that he applied for and received the fraudulent litigation advances, Detling allegedly had the loan proceeds wired directly to his law firm’s Interest on Lawyer Trust Account (“IOLTA”) or he personally picked up checks from the lending entity and deposited the funds into the IOLTA account. The fraudulently obtained litigation advances would then be transferred from the IOLTA account to Detling Law Group’s operating accounts or other Detling Law Group accounts. Detling allegedly further concealed that he applied for and received the fraudulent litigation advances in his clients’ names without their knowledge or authorization by often providing inaccurate contact information to the litigation financing entities for the clients who were purportedly seeking the litigation advances. This included providing fake phone numbers and/or email addresses in the financing applications.
Chalmer “Chuck” Detling, II, 42, of Marietta, Georgia was arraigned before U.S. Magistrate Judge Catherine M. Salinas on seven counts of wire fraud and eight counts of aggravated identity theft on August 10, 2018. Members of the public are reminded that the indictment only contains charges. The defendant is presumed innocent of the charges and it will be the government’s burden to prove the defendant’s guilt beyond a reasonable doubt at trial.
This case is being investigated by the Federal Bureau of Investigation with assistance from the State Bar of Georgia.
Assistant U.S. Attorneys Alex R. Sistla and John S. Ghose are prosecuting the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Defendant sentenced to federal prison for using stolen identities to file fraudulent tax returnsRead the Press Release
ATLANTA - Abdulrahman Tijani has been sentenced for his role in a scheme to file fraudulent tax returns, using the stolen personally identifiable information (PII), such as dates of birth and Social Security numbers of taxpayers. Tijani then used some of the funds to pay fees for his immigration application, in which he made false representations concerning prior crimes.
“Tijani victimized numerous taxpayers by filing fraudulent tax returns with their stolen identities,” said U.S. Attorney Byung J. “BJay” Pak. “He then used some of the stolen funds to pay for his immigration application fees, on which he denied committing any crimes. Tijani is now headed to federal prison for his role in this scheme, and he will be turned over to the Department of Homeland Security for potential deportation proceedings.”
“The Treasury Inspector General for Tax Administration remains committed to investigating and pursuing all criminal abuses of the federal system of tax administration, including the digital tax administration system,” said J. Russell George, Treasury Inspector General for Tax Administration. “Let this case serve as a warning to others who are interested in exploiting the Internal Revenue Service’s computer systems to commit identity theft and other forms of criminal activity. I wish to thank my investigators for their excellent work on this case and the U.S. Attorney’s office for helping bring this individual to justice.”
According to U.S. Attorney Pak, the charges and other information presented in court: Tijani was a member of a group which used stolen PII to file fraudulent tax returns with the IRS. He then directed the refunds into fraudulently obtained bank accounts or debit cards. Between February 16, 2015 and April 6, 2015, 47 fraudulent returns were filed, which totaled $265,960 in attempted tax refunds. The IRS flagged 35 of these returns as being potentially fraudulent.
An email account linked to Tijani was used in connection with obtaining a fraudulent refund in the amount of $6,063.10 from a victim in Gretna, Louisiana. The refund was deposited into a bank account on March 13, 2015. On the same day, Tijani withdrew $791.65 from this account to pay for his federal immigration application fees. He then falsely answered “no” on the application to the question asking whether he had committed a crime of moral turpitude for which he had not been arrested.
Another email account linked to Tijani was used to open a separate bank account where another fraudulent refund was directed. Two telephone numbers associated with Tijani were then used to conduct balance checks on the account. The investigation also revealed that Tijani downloaded stolen files containing victims’ PII from a New York tax firm.
Abdulrahman Tijani, 41, of Lawrenceville, Georgia was sentenced by U.S. District Judge Mark H. Cohen to four years in prison, to be followed by three years of supervised release. He was also ordered to pay restitution in the amount of $50,221. Tijani pleaded guilty on March 30, 2018 to theft of public money, aggravated identity theft, and making a false statement on his immigration application.
The case was investigated by the Treasury Inspector General for Tax Administration (TIGTA).
Assistant U.S. Attorney Michael Herskowitz, Deputy Chief of the Organized Crime and Gang Section, prosecuted the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Owners/Operators of a job-staffing company sentenced to federal prison for wire fraudRead the Press Release
ATLANTA – Eric Powell and Ahmad McCormick, former owners and operators of National Vocation Group, who lured hundreds of job-seekers into paying for needless pre-employment certification training have been sentenced to federal prison for wire fraud.
“Powell and McCormick used their job-staffing company to dupe hundreds of victims into paying high fees for unnecessary training,” said U.S. Attorney Byung J. “BJay” Pak. “The defendants further harmed their victims when they did not produce the jobs that were promised to them.
“Erick Powell and Ahmad McCormick deceived victims into believing they were applying for legitimate jobs that required certain Occupational Safety and Health Administration certifications when, in fact, they were not,” said Rafiq Ahmad, Special Agent in Charge, Atlanta Regional Office, U.S. Department of Labor, Office of Inspector General. Powell and McCormick used phony online job postings to lure unsuspecting applicants into fraudulently paying their company for unnecessary OSHA training certifications. We will continue to work with OSHA and our law enforcement partners to investigate those who prey on legitimate job seekers.”
According to U.S. Attorney Pak, the charges, and other information presented in court: From August 2015 through October 2015, Powell and McCormick operated a fraudulent job-staffing company in Atlanta called National Vocation Group (NVG). Powell and McCormick used Indeed.com and ZipRecruiter.com to advertise available jobs in the housekeeping and maintenance industries that paid above-average wages. The advertisements falsely represented that NVG had existing contracts with commercial cleaning companies throughout the Atlanta area; that the jobs paid above-average wages of up to $17 per hour; and that NVG could place its clients in these high-paying jobs.
When NVG’s job applicants were interviewed by Powell, McCormick, and other employees of NVG, the applicants were told that they would have to pay $349 for certain Occupational Safety and Health Administration (OSHA) training prior to being hired for the advertised jobs. The applicants were falsely told that federal law required housecleaning and maintenance workers to take the OSHA General Industries Course before starting work in the advertised jobs. Hundreds of applicants paid the $349 fee and took the OSHA course as required, but none of those applicants received the high-paying jobs they were promised.
Several victims notified law enforcement, while others notified local media outlets regarding NVG’s practices. NVG relocated its offices from downtown Atlanta to East Point, Georgia, where the defendants continued their fraudulent activities. The company eventually disbanded in mid-October 2015, although both McCormick and Powell continued operating other fraudulent job-staffing companies after NVG ceased operating.
Erick Powell, 30, of New Windsor, New York, was sentenced today to two years in prison to be followed by three years of supervised release. On December 11, 2017, after a four-day trial, a federal jury returned a verdict convicting Powell on one count of substantive wire fraud. The jury acquitted Powell on the other counts.
Ahmad McCormick, 32, of Brooklyn, New York, was sentenced to three years in prison, to be followed by three years of supervised release on July 2, 2018. McCormick pleaded guilty to wire fraud conspiracy on August 31, 2017.
This case was investigated by the U.S Department of Labor, Office of the Inspector General. The East Point Police Department also provided assistance.
Assistant U.S. Attorneys John S. Ghose and Lynsey M. Barron prosecuted the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
IRS Employee Pleads Guilty to Identity TheftRead the Press Release
An Atlanta, Georgia resident pleaded guilty today to one count of aggravated identity theft for her role in a stolen identity refund fraud scheme, announced Principal Deputy Assistant Attorney General Richard E. Zuckerman of the Justice Department’s Tax Division and U.S. Attorney Byung J. Pak for the Northern District of Georgia.
According to documents and information presented in court, Stephanie Parker worked for the Internal Revenue Service (IRS) as a Contact Representative in Atlanta, Georgia. Between September 2012 and March 2013, taxpayers called into the IRS for assistance and Parker handled the taxpayers’ inquiries. During the calls, Parker obtained the taxpayers’ Social Security numbers and addresses. On at least five occasions, Parker used the taxpayers’ personal information to electronically file fraudulent tax returns in their names without their authorization. Parker directed the fraudulent tax refunds to bank accounts controlled by her friends. Parker, in turn, had the money withdrawn from at least one of those accounts and deposited a portion of the money into her own bank account and used it for personal expenses.
Parker faces a mandatory sentence of two years in prison, as well as a period of supervised release, restitution and monetary penalties. A sentencing date has not yet been scheduled.
Principal Deputy Assistant Attorney General Zuckerman and U.S. Attorney Pak commended special agents of IRS–Criminal Investigation and Treasury Inspector General for Tax Administration (TIGTA), who conducted the investigation, and Trial Attorneys Michael Boteler, Alexander Effendi, and Melanie Smith of the Tax Division, who are prosecuting this case.
Additional information about the Tax Division and its enforcement efforts may be found on the division’s website.
Gainesville brothers sentenced for distributing crack cocaineRead the Press Release
GAINESVILLE, Ga. – Twin brothers, Kecole Dukes and Kemeca Dukes, have been sentenced for conspiracy to distribute and distribution of crack cocaine.
“Crack cocaine continues to be a scourge in our communities – particularly in North Georgia,” said U.S. Attorney Byung J. “BJay” Pak. “These defendants have multiple state convictions for distributing crack cocaine in the past. Their sentences today demonstrate the serious consequences that career drug dealers face when they are convicted in federal court.”
“The distribution of narcotics, like crack cocaine, fuels violent crime in our community,” said ATF Special Agent in Charge Arthur Peralta. “The Dukes brothers could have chosen a different life path, but unfortunately they did not. ATF will continue to focus on the reduction of violent crime in our communities and this sentence should serve as a warning to anyone who chooses to support or engage in violent crime. ATF, along with our federal and state partners, will find you and we will arrest you.”
According to U.S. Attorney Pak, the charges and other information presented in court: From August 2015 to October 2016, Kemeca Dukes and Kecole Dukes, who are twin brothers, conspired to sell crack cocaine on multiple occasions to informants working for ATF and the Hall County Multi-Agency Narcotics Squad (MANS) Unit. Kemeca Dukes was the primary contact for the informants and sold varying quantities of crack cocaine to them on 10 occasions. Kecole Dukes sold or provided crack cocaine to the informants on three occasions and acted as a lookout for his brother on other occasions when Kemeca Dukes met with the informants to sell them crack cocaine.
At the time, both Kemeca Dukes and Kecole Dukes were on parole with the State of Georgia. Both were convicted in Hall County Superior Court in 2011, for selling crack cocaine and both were released in 2014. Both brothers were back selling crack cocaine less than a year later.
Kecole Dukes, 41, of Gainesville, Georgia was sentenced to eight years in prison to be followed by four years of supervised release on August 7, 2018. He was found guilty on March 29, 2018, by a federal court jury of conspiring to possess with intent to distribute at least 28 grams of crack cocaine and three counts of distributing crack cocaine.
Kemeca Dukes, 41, of Gainesville, Georgia was sentenced to seven years, six months in prison to be followed by four years of supervised release on August 7, 2018. He pleaded guilty to one count of distributing crack cocaine on March 23, 2018.
This case was investigated jointly by the Bureau of Alcohol, Tobacco, Firearms, and Explosives and the Hall County Multi-Agency Narcotics Squad Unit.
Assistant U.S. Attorney William L. McKinnon, Jr., Senior Litigation Counsel for the Gainesville, Georgia Division; Assistant U.S. Attorney Erin E. Sanders; and former Special Assistant U.S. Attorney and Hall County Assistant District Attorney Juliet Aldridge, prosecuted the case.
The U.S. Attorney’s Office in Atlanta recommends parents and children learn about the dangers of drugs at the following web site: www.justthinktwice.gov.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.