District of Massachusetts

BOSTON – A Methuen man was charged in federal court in Boston with illegal possession of a firearm and ammunition. 

Michael O’Neil, 37, was indicted on one count of being a felon in possession of a firearm and ammunition. O’Neil was arrested on Dec. 1, 2018, in Andover, when police seized a loaded .380 caliber pistol from him. He has been in state custody since that time and will appear in federal court at a later date. O’Neil is prohibited from possessing a firearm due to a prior conviction punishable by more than one year in prison.      

The charge of being a felon in possession of a firearm and ammunition provides for a sentence of no greater than 10 years in prison, one year of supervised release, and a fine of up to $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.

United States Attorney Andrew E. Lelling; Essex County District Attorney Jonathan W. Blodgett; Kelly D. Brady, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives, Boston Field Division; and Colonel Kerry A. Gilpin, Superintendent of the Massachusetts State Police made the announcement today. Assistant U.S. Attorney Evan Panich of Lelling’s Office is prosecuting the case.

This case is 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. PSN is part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.

The details contained in the indictment are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.

BOSTON – A suspended Massachusetts State Police Trooper agreed to plead guilty in connection with the ongoing investigation of overtime abuse at the Massachusetts State Police (MSP). 

Heath McAuliffe, 40, of Hopkinton, agreed to plead guilty pursuant to a plea agreement to one count of embezzlement from an agency receiving federal funds. A date for the plea hearing has not yet been scheduled. 

According to court documents, McAuliffe was a Trooper assigned to Troop E, which was responsible for enforcing criminal and traffic regulations along the Massachusetts Turnpike, Interstate I-90.

In 2016, McAuliffe earned approximately $164,680, which included approximately $60,908 in overtime pay. In 2015, McAuliffe earned approximately $180,215, which included approximately $83,496 in overtime pay. 

McAuliffe was paid for overtime shifts that he did not work at all, for which he arrived late, and from which he left early. McAuliffe concealed his fraud by submitting fraudulent citations designed to create the appearance that he had worked overtime hours that he had not, and, falsely claimed in MSP paperwork and payroll entries that he had worked the entirety of his overtime shifts. 

McAuliffe agreed to plead guilty to collecting $7,860 for overtime hours that he did not work between August of 2015 and August of 2016. Pursuant to the plea agreement, the government will recommendation a sentence of between six to twelve months incarceration. 

The overtime in question involved the Accident and Injury Reduction Effort program (AIRE), which was intended to reduce accidents, crashes, and injuries on I-90 through an enhanced presence of MSP Troopers who were to target vehicles traveling at excessive speeds. 

In 2016 and 2015, MSP received annual benefits from the U.S. Department of Transportation in excess of $10,000, which were funded pursuant to numerous federal grants.   

Thus far, eight MSP troopers have been charged in the ongoing investigation. Seven have previously pleaded guilty.

The charge of theft of government funds provides for a sentence of no greater than 10 years in prison, three years of supervised release, and a fine of $250,000 or twice the gross gain or loss. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.

United States Attorney Andrew E. Lelling; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; and Douglas Shoemaker, Special Agent in Charge of the U.S. Department of Transportation’s Office of Inspector General made the announcement today. Assistant U.S. Attorneys Dustin Chao and Mark Grady of Lelling’s Public Corruption Unit are prosecuting the case.

The details contained in the court documents are allegations. The remaining defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.

BOSTON – A Dominican national residing in Lynn pleaded guilty yesterday in federal court in Boston to Social Security fraud.

Kelvin Bautista Valdez, 32, pleaded guilty to one count of false representation of a Social Security number. U.S. District Court Judge Denise J. Casper scheduled sentencing for May 20, 2019. Bautista Valdez was arrested and charged in a July 2018 federal law enforcement sweep of 25 individuals accused of document and benefit fraud.

Dubbed “Double Trouble,” the July 2018 investigation was aimed at detecting, deterring and disrupting organizations and individuals involved in various types of document, identity and benefit fraud schemes. 

On Jan. 20, 2015, Bautista Valdez, applied for a Massachusetts driver’s license using the name and Social Security number of a Puerto Rican citizen. He presented a Puerto Rican birth certificate and a Social Security card in the other person’s name to the Massachusetts Registry of Motor Vehicles as proof of his identity. Based on the application and supporting identity documents, Bautista Valdez was issued a driver’s license in the name of the Puerto Rican citizen. 

The charge of false representation of a Social Security number provides for a sentence of no greater than five years in prison, three years of supervised release and a fine of $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.   

United States Attorney Andrew E. Lelling; Peter C. Fitzhugh, Special Agent in Charge of Homeland Security Investigations in Boston; Phillip Coyne, Special Agent in Charge of the U.S. Department of Health and Human Services, Office of the Inspector General, Office of Investigations; Adam Schneider, Acting Special Agent in Charge of the Social Security Administration, Office of Inspector General, Office of Investigations, Boston Field Division; Christina Scaringi, Special Agent in Charge of the U.S. Department of Housing and Urban Development, Office of Inspector General, Northeast Regional Office; Michael Mikulka, Special Agent in Charge of the U.S. Department of Labor, Office of Inspector General, Office of Investigations; William B. Gannon, Special Agent in Charge of the U.S. Department of State, Diplomatic Security Service, Boston Field Office; Joseph W. Cronin, Inspector in Charge of the U.S. Postal Inspection Service; Colonel Kerry A. Gilpin, Superintendent of the Massachusetts State Police; and Massachusetts State Auditor Suzanne M. Bump made the announcement. Special Assistant U.S. Attorney Karen Burzycki of Lelling’s Major Crimes Unit is prosecuting the case.  

BOSTON – One Romanian national was sentenced and two Romanian nationals pleaded guilty yesterday in federal court in Boston in connection with an ATM skimming scheme operating throughout Massachusetts and other states including Connecticut, New York and South Carolina. 

Florinel Vaduva, 22, was sentenced by U.S. District Court Judge William G. Young to three years in prison, three years of supervised release, and ordered to pay restitution of $50,453.12. In October 2018, Vaduva pleaded guilty to conspiracy to conduct enterprise affairs through a pattern of racketeering activity, conspiracy to use counterfeit access devices, and aggravated identity theft.

In a separate hearing, Ion Vaduva, 38, and Florin Hornea, 37, each pleaded guilty to conspiracy to conduct enterprise affairs through a pattern of racketeering activity and conspiracy to use counterfeit access devices. Hornea also pleaded guilty to aggravated identity theft. Judge Young scheduled their sentencing hearings for May 7, 2019. In May 2017, Florinel Vaduva, Ion Vaduva and Florin Hornea and 11 others were indicted in connection with the ATM skimming scheme. A superseding indictment later added another defendant.

The defendants, except for one, were members of the Hornea Crew, led by Constantin Denis Hornea and Ludemis Hornea, and engaged in ATM skimming – obtaining debit card numbers and PINs from unsuspecting bank customers, creating counterfeit cards, and making unauthorized withdrawals from the victims’ bank accounts.

Over an 18 month period, the Crew installed skimming devices and made unauthorized withdrawals in seven states, including Massachusetts. In particular, members of the Crew installed skimming devices in the following locations: Amherst, Bellingham, Billerica, Braintree, Chicopee, Quincy, Southwick, Waltham, Weymouth, and Whately, Mass.; Enfield, Conn.; Columbia, Greenville, Greenwood, Mauldin, and Saluda, S.C.; Savannah, Ga.; and Yadkinville, N.C.  The Crew made unauthorized withdrawals at ATMs in approximately 29 Massachusetts towns; seven Connecticut towns; six New York towns; Salem, N.H.; and Sumter, S.C.

Members of the Hornea Crew transferred money throughout the United States and to Romania and the People’s Republic of China. Some of those transfers were for the purchase of skimming devices and related components from abroad.

In May 2018, Judge Young sentenced Constantin Denis Hornea, 23, to 65 months in prison, three years of supervised release and ordered him to pay $242,141 in restitution and a money judgment of $54,260. Ludemis Hornea, 21, was sentenced to 42 months in prison, which includes credit for 15 months served on a state sentence, three years of supervised release and ordered him to pay $57,422 in restitution and a money judgment of $11,124. Of the 15 charged defendants, eight have been sentenced, four have pleaded guilty and awaiting are sentencing, one is awaiting trial, and two have not been arrested. 

The charge of conspiracy to conduct enterprise affairs through a pattern of racketeering conspiracy provides for a sentence of no greater than 20 years in prison, three years of supervised release, and fine of $250,000. The charge of conspiracy to use counterfeit access devices provides for a sentence of no greater than five years in prison, three years of supervised release, and fine of $250,000. The charge of aggravated identity theft provides for a mandatory sentence of two years in prison to be served consecutive to any other sentence imposed, up to one year of supervised release, and a maximum fine of $250,000. The defendants are subject to deportation proceedings. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.

United States Attorney Andrew E. Lelling; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; and Colonel Kerry A. Gilpin, Superintendent of the Massachusetts State Police, made the announcement today.  Assistance with the investigation was also provided by the Internal Revenue Service’s Criminal Investigations in Boston; U.S. Secret Service; U.S. Postal Service; Massachusetts Department of Correction; U.S. Customs and Border Protection; the Amherst, Billerica, Braintree, Boston, Quincy, Southwick, Waltham, Whately, and Westwood Police Departments; Connecticut State Police; Greenwich Police Department; the New York City Police Department; Houston Police Department; South Carolina Law Enforcement Division; Richland County (South Carolina) Sheriff’s Department; Florence and Saluda (South Carolina) Police Departments; and the Solicitor’s Offices of Greenville and Saluda Counties. Assistant U.S. Attorney Timothy E. Moran of Lelling’s Organized Crime and Gang Unit is prosecuting the case.

The details contained in the charging document are allegations. The remaining defendants are presumed to be innocent unless and until proven guilty beyond a reasonable doubt in the court of law. 

BOSTON – A Ludlow couple pleaded guilty yesterday in federal court in Springfield to mail fraud, identity theft, and tax evasion.

Joanne Murray, 54, and James Murray, 53, each pleaded guilty to an Information charging them with one count of conspiracy to commit mail fraud, aggravated identity theft, and tax evasion. 

From approximately 2010 through 2015, the Murrays, along with others, engaged in a scheme to defraud the Federal Home Loan Mortgage Corporation, commonly known as Freddie Mac. Joanne worked at a Springfield real estate brokerage, which managed hundreds of foreclosed properties owned by Freddie Mac. 

In the scheme, Joanne, James, and others, agreed to submit fraudulent “reimbursements” by the brokerage to Freddie Mac for James’ company, amounting to approximately $1,372,099 in repair, improvement, and maintenance projects. After Freddie Mac paid the purported reimbursements, the brokerage paid James approximately 90% of those amounts and retained an approximate 10% skim. Joanne ensured that James’s company would win these projects by submitting fraudulent bids to Freddie Mac by purported competitors. To avoid detection by Freddie Mac, Joanne submitted bids in a friend’s name, without his knowledge, instead of James’ company, for work that was ultimately performed by James’ company. The Murrays also agreed to submit similar fraudulent requests for reimbursement of minor cleaning projects for James’ relative, amounting to approximately $68,960, in exchange for the brokerage’s retention of approximately 10% of the relative’s payments.  

In addition, from 2012 through 2014, the Murrays willfully evaded payment on outstanding federal tax debts based upon their 2008, 2009, 2010, and 2011 tax years by cashing numerous checks from the brokerage totaling approximately $461,030 rather than depositing those checks into their bank accounts. Lastly, in 2014, the Murrays jointly filed an individual federal income tax return that under-reported their gross receipts by approximately $151,178. 

The conspiracy charge provides for a sentence of no greater than five years in prison, up to five years of supervised release, and a fine of $250,000. The aggravated identity theft charges provide for a mandatory two year sentence consecutive to any other term of imprisonment. The tax evasion charge provides for a sentence of no greater than of five years in prison, a maximum of five years of supervised release, and a fine of $100,000. Sentences are imposed based upon the U.S. Sentencing Guidelines and other statutory factors.   

United States Attorney Andrew E. Lelling; Robert Manchak, Acting Special Agent in Charge of the Federal Housing Finance Agency; Kristina O’Connell, Special Agent In Charge of the Internal Revenue Service, Criminal Investigation, New England Field Division; John Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; and Joseph W. Cronin, Inspector in Charge of the U.S. Postal Inspection Service, Boston Division, made the announcement. Assistant U.S. Attorneys Steven H. Breslow and Deepika Shukla of Lelling’s Springfield Branch Office are prosecuting the case.

BOSTON – A Brazilian national pleaded guilty yesterday in federal court in Boston to charges of ATM skimming in towns north of Boston.

Alexandre Kawamura, 43, pleaded guilty to two counts of using counterfeit access devices (debit and credit cards), four counts of possessing device-making equipment (ATM skimming devices and pinhole cameras), and two counts of aggravated identity theft. U.S. District Court Judge Leo T. Sorokin scheduled sentencing for April 17, 2019. Kawamura, who legally entered the U.S. on a tourist visa, will be subject to deportation after he completes his sentence.

Kawamura placed hidden skimming devices and pinhole cameras on Eastern Bank ATMs in Saugus, Stoneham, Medford, and Everett, every day between February 25 and March 16, 2018, when he was arrested. The purpose of the skimming devices was to record bank account information on the magnetic strips of debit and credit cards that unwitting victims inserted into the ATMs. The purpose of the pinhole cameras was to capture the victims’ PINs as they were entered on the ATM keypads.

On March 8, 2018, Kawamura possessed a counterfeit debit card with a magnetic strip that contained the stolen bank account number of a Milton woman. At an ATM in Malden, Kawamura used the card and the victim’s PIN to withdraw $500 cash from the victim’s account.

On March 16, 2018, Kawamura used a counterfeit credit card to buy clothing at a sporting goods store in Medford. The name on the card was an alias, and the card’s magnetic strip contained the stolen Eastern Bank account number of a Medford man, whose account had been compromised the day before.

Kawamura was arrested on March 16 after a bank customer called police to report that he had found a skimming device on a drive-up ATM at an Eastern Bank branch in Stoneham. Police responded and discovered that the pinhole camera was still attached to the ATM. They set up surveillance and waited for the suspect to return. Kawamura drove up to the ATM in a rental car shortly before 11 pm. He appeared to look for the skimming device and then drove off. Stoneham police stopped the car and discovered that the driver had a Brazilian passport in his real name and had rented the car under an alias. Kawamura was in possession of the counterfeit credit card that he had just used to buy clothing at the sporting goods store.  

The charging statute for using a counterfeit access device provides for a sentence of no greater than 10 years in prison, three years of supervised release, and a fine of up to $250,000. The charge of possessing device-making equipment provides for a sentence of no greater than 15 years in prison, three years of supervised release, and a fine of $250,000. The charging statute for aggravated identity theft provides for a mandatory sentence of two years in prison, to be served consecutive to any other sentence imposed, up to one year of supervised release and a fine of up to $250,000. Sentences are imposed by a federal district court judge based on the U.S. Sentencing Guidelines and other statutory factors.

United States Attorney Andrew E. Lelling and Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Office, made the announcement. Assistant U.S. Attorney Christine Wichers of Lelling’s Major Crimes Unit is prosecuting the case. 

BOSTON – An East Longmeadow man was arrested on Friday, Feb. 8, 2019, and charged in federal court in Springfield for marijuana trafficking.

John Americo Pereira, 33, was charged with possession with intent to distribute marijuana. He appeared in federal court in Springfield this afternoon and was ordered detained pending a detention hearing.

According to court documents, since January 2018, law enforcement have been investigating Pereira and others for distributing marijuana. A search warrant was executed on Feb. 8, 2019, at Pereira’s home where agents discovered approximately $688,000 in a safe and 260 pounds of suspected marijuana. Additional search warrants have been executed at locations in East Longmeadow, Springfield and Ellington, Conn., where law enforcement have discovered, in total, more than 1,000 pounds of marijuana.

Pereira faces a sentence of no greater than 20 years in prison, a minimum of three years and up to a lifetime of supervised release, and a fine of $1 million. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.

United States Attorney Andrew E. Lelling; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Office; Colonel Kerry A. Gilpin, Superintendent of the Massachusetts State Police; and Peter C. Fitzhugh, Special Agent in Charge of Homeland Security Investigations in Boston, made the announcement today. Assistant U.S. Attorney Neil L. Desroches of Lelling’s Springfield Branch Office and Trial Attorney Marianne Shelvey, of the U.S. Department of Justice, Criminal Division, Organized Crime and Gang Section, are prosecuting the case. 

The details contained in the charging document are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.

BOSTON – Today, U.S. Attorney Andrew E. Lelling announced the launch of a new wave of public service announcements primarily aimed at increasing awareness about the dangers and consequences of abusing, selling and sharing opioids. The ads can be found at www.justice.gov/usao-ma/ResistTheRisk.

The scope of the opioid crisis requires a multi-faceted government response that includes educating the public about opioids to prevent addiction before it starts. The U.S. Attorney’s Office, with insight and feedback from various stakeholders, including local law enforcement and first responders, public health professionals, high school students, and formal and informal focus group participants, developed various public service announcements that provide targeted information about opioids. The ads tackle a wide variety of topics such as what constitutes an opioid, the importance of properly storing prescription medications, the dangers associated with abusing pain pills – including mixing pain pills with alcohol or other controlled substances, as well as the laws associated with sharing and distributing opioids, and the legal rights afforded to individuals living with opioid dependence.

“Our mission at the Justice Department is not just to prosecute crime but to prevent it,” said U.S. Attorney Lelling. “We are in the midst of a major public health crisis. Every day federal authorities see people whose lives are being destroyed by opioids, whether those drugs came from street-level dealers or diverted prescriptions. By this point, every drug dealer knows that heroin and fentanyl are killing thousands of people a year, and I will continue to seek the highest sentences available for those who prey on addicts by selling them these deadly substances. But that’s not enough: we should also play a role in educating the public about the dangers of recreational opioid use, of counterfeit pills bought on the street, of mixing prescription opioids with alcohol or other controlled substances, and about the need for increased treatment and rehabilitation opportunities for people in the grip of opioid addiction.”

The new public service announcements released today supplement existing materials launched in November 2017. The new wave includes four 30-second videos (produced by Ted Reed Productions, LLC), six short audio messages, and an animation. The ads will be disseminated widely across both traditional and digital media platforms – from recreational venues, cinemas, television and radio stations, to online music streaming sites, Google advertising, and the most popular social media platforms. While each message addresses a different aspect of the crisis, they all serve the same goal: prevention. 

For more information about the campaign, please visit www.justice.gov/usao-ma/ResistTheRisk. 

United States Attorney Andrew E. Lelling offers a new wave of public service announcements designed primarily to increasing awareness about the dangers and consequences of abusing, selling and sharing prescription opioids.

Over the past few years, Massachusetts has ranked as one of the hardest hit in the nation with opioid-related overdose deaths.  To help address the crisis, the U.S. Attorney’s Office has created these radio and TV PSAs to remind the public of the dangers of opioid abuse.

“Our mission at the Justice Department is not just to prosecute crime but to prevent it,” said U.S. Attorney Lelling. “We are in the midst of a major public health crisis. We should play a role in educating the public about the dangers of recreational opioid use; of counterfeit pills bought on the street; of mixing prescription opioids with alcohol or other controlled substances; and about the need for increased treatment and rehabilitation opportunities for people in the grip of opioid addiction.”

The new opioid-related PSAs released by the U.S. Attorney’s Office features four :30 TV PSAs and six :30 second radio PSAs.   Each of the messages address a different aspect of the opioid crisis. 

By utilizing these Massachusetts-based PSAs in your daily programming, you will help to educate the citizens of Massachusetts.

For more information contact: Kristina Mastropasqua, Public Affairs Specialist, United States Attorney’s Office, at [email protected] or 617-748-3147

BOSTON – A Hyannis woman pleaded guilty today in federal court in Springfield in connection with a cocaine smuggling conspiracy.  

Cristina M. Delle Femine, 28, pleaded guilty to one count of conspiring to import cocaine and one count of conspiring to possess with intent to distribute cocaine. U.S. District Court Judge Mark G. Mastroianni scheduled sentencing for June 6, 2019. Delle Femine was arrested in Maine on Oct. 23, 2017, and appeared in federal court in Springfield later that month.

Around May 2017, Delle Femine conspired to import cocaine into the United States from Jamaica and conspired to possess with the intent to distribute cocaine.

The charges of conspiracy to import cocaine and conspiracy to possess with intent to distribute cocaine each provide for a sentence of no greater than 20 years in prison, a minimum of three years and up to a lifetime of supervised release, and a fine of $1 million. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.   

United States Attorney Andrew E. Lelling and Peter C. Fitzhugh, Special Agent in Charge of Homeland Security Investigations in Boston, made the announcement. Assistant U.S. Attorney Deepika Bains Shukla of Lelling’s Springfield Branch Office is prosecuting the case. 

BOSTON - A Charlestown man pleaded guilty yesterday in federal court in Boston to bank robbery.

Robert H. Brady, 41, pleaded guilty to one count of bank robbery. U.S. District Court Judge Douglas P. Woodlock scheduled sentencing for May 7, 2019. Brady is currently in federal custody.

On June 28, 2018, an individual, later identified as Brady, entered a branch of the Cambridge Savings Bank in Charlestown, approached a teller, and demanded the bank’s money - stating words to the effect of: “Give me everything or I will come back and blow this place up.” The teller gave Brady money from her cash drawer, which included a GPS tracking device. Brady then fled the scene.

Law enforcement activated the GPS tracking device, and a short time later, located and arrested Brady. At the time of his arrest, Brady was in possession of the bank’s money and the GPS tracking device. 

The charge provides for a sentence of no greater than 20 years in prison, three years of supervised release, and a fine of $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.

United States Attorney Andrew E. Lelling; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Office; and Boston Police Commissioner William Gross made the announcement. Assistant U.S. Attorney Kenneth G. Shine of Lelling’s Major Crimes Unit is prosecuting the case.

BOSTON – An employee of PixarBio Corp., a Boston-based biotech company, pleaded guilty yesterday to securities fraud charges in connection with a scheme to defraud investors and manipulate the company’s shares. 

M. Jay Herod, 52, of Cambridge, pleaded guilty to one count of securities fraud and one count of obstruction of an agency proceeding. In April 2018, Herod was initially charged by criminal complaint and arrested with co-defendant Frank Reynolds, the former chief executive officer of PixarBio. Reynolds has pleaded not guilty.

Herod admitted that, beginning in or about December 2016, he engaged in manipulative trades in PixarBio stock that were intended to simulate market demand for the stock and thereby artificially inflate its price and trading volume. The trades included overlapping orders to buy and sell PixarBio shares at the same price per share (a manipulative technique known as “matched trading”), as well as small purchases submitted shortly before the market closed that were intended to boost the closing price (a technique known as “marking the close”). Herod admitted to sharing the proceeds of his trading with Reynolds and PixarBio itself.

Herod also admitted that, between January 2017 and September 2017, he made materially false statements to the Securities and Exchange Commission (SEC) and provided a back-dated document to the SEC, with the intent to obstruct the SEC’s investigation of trading in PixarBio shares.

The charges of securities fraud provide for a sentence of no greater than 20 years in prison, three years of supervised release, and a fine of $5 million or twice the gross gain/loss, whichever is greater. The charge of obstruction of an agency proceeding provides for a sentence of no greater than five years in prison, one year of supervised release, and a fine of $250,000.  Sentences are imposed by a federal district court judge based on the U.S. Sentencing Guidelines and other statutory factors.

United States Attorney Andrew E. Lelling; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; and Carl W. Hoecker, Inspector General of the U.S. Securities and Exchange Commission Office of Inspector General, made the announcement today. Assistant U.S. Attorney Sara Miron Bloom of Lelling’s Securities and Financial Fraud Unit is prosecuting the case.

The details contained in the court documents are allegations. The remaining defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.

BOSTON - A Brazilian national was indicted and charged with illegally reentering the United States after deportation.

Walter Gomes DaSilva, 47, was indicted on one count of illegal reentry after deportation. He appeared in federal court in Boston today.

According to court records, DaSilva was first encountered by law enforcement in 1998 while an inmate at the Bristol House of Corrections. At that time, DaSilva was serving a two-year sentence for domestic assault and battery. Upon completion of his sentence, he was placed in removal proceedings, and on Nov. 29, 1999, he was deported to Brazil.

Sometime thereafter, DaSilva illegally reentered the United States. In 2003, DaSilva was convicted in Middlesex Superior Court of assault and battery with a dangerous weapon and assault to kill and was sentenced to 8-10 years in prison. After completing his sentence, DaSilva was placed into removal proceedings, and on March 27, 2012, he was deported to Brazil.

DaSilva again illegally reentered the United States, and in 2016, he was charged in Bristol County with illegal possession of a firearm and the murder of his daughter. In 2018, DaSilva was convicted of murder and sentenced to 25-years-to-life in prison.

The charging statute provides for a sentence of no greater than 20 years in prison, up to three years of supervised release, and a fine of $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.

United States Attorney Andrew E. Lelling and Todd M. Lyons, Acting Field Office Director, Boston, U.S. Immigration and Customs Enforcement’s Enforcement and Removal Operations. Assistant U.S. Attorney Kenneth G. Shine of Lelling’s Major Crimes Unit is prosecuting the case.

BOSTON – A Brazilian national was arrested today and charged in connection with sending a letter to U.S. Citizenship and Immigration Services (USCIS) that threatened an armed attack on a South Boston school in 2018. 

Clebio P. De Lima, 43, a Brazilian national illegally residing in Quincy, was arrested and charged in an indictment unsealed today with two counts of making false statements to federal authorities. De Lima will appear at 11:30 a.m. in federal court in Boston.

According to the charging documents, in February 2018, USCIS’ Boston Office received an unsigned letter handwritten in Portuguese stating that an individual identified by the name of “Mario” was going to carry out an attack at a South Boston school. The letter stated that Mario had purchased two firearms and that he was looking to buy more. It is alleged that the letter concluded by stating, “I invite you to take action, I trust in you. Thank you for the great security of this country.” 

Following an investigation, it was determined that the allegations in the letter were false. During an interview with agents in September 2018, De Lima falsely denied any knowledge about the unsigned letter sent to USCIS. 

The charging statute provides for a sentence of no greater than five years in prison, one year of supervised release and a $250,000 fine. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.

United States Attorney Andrew E. Lelling; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; and Peter C. Fitzhugh, Special Agent in Charge of the Homeland Security Investigations in Boston, made the announcement today.  The case was investigated by the FBI Boston Joint Terrorism Task Force. Assistant U.S. Attorney George P. Varghese of Lelling’s National Security Unit is prosecuting the case.

The details contained in the charging documents are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.

BOSTON – A Bedford, Mass. man was arrested late last night on a federal arrest warrant in Key West, Fla., and charged in connection with a kidnapping that began in Concord, Mass., and ended in Connecticut.

Julian Field, 24, was charged with one count of kidnapping and will appear in federal court in Key West, Fla., on Friday, Feb. 8, 2019. Field will be brought to Massachusetts at a later date.

According to court documents, on the evening of Feb. 3, 2019, Field broke into the home of a Concord resident and forced the victim to drive him to a train station in Connecticut, first stopping in Springfield, Mass., to attempt to procure illegal drugs.  Field ultimately allowed the victim to leave. Authorities subsequently tracked Field to Florida, where he was arrested. 

The charge of kidnapping provides for a sentence of up to life in prison, up to five years of supervised release and a fine of $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.

United States Attorney Andrew E. Lelling; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation Boston Field Division; Concord Police Chief Joseph O’Connor; and Bedford Police Chief Robert Bongiorno made the announcement today. FBI Miami and the Monroe County (FL) Sheriff’s Office provided valuable assistance with the investigation. Assistant U.S. Attorney Anne Paruti with Lelling’s Criminal Division is prosecuting the case.

The details contained in the charging documents are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.

BOSTON – A Woburn man was indicted today in federal court in Boston for being a felon in possession of a firearm.

Vasily Hardy, 28, was indicted on one count of being a felon in possession of a firearm and ammunition. On Jan. 18, 2019, Hardy was charged by criminal complaint and arrested.

According to charging documents, on Nov. 14, 2018, a police officer conducted a vehicle stop after observing the driver committing multiple traffic violations. After identifying the driver as Hardy, the officer was informed over the radio that there was an active warrant for Hardy’s arrest. Hardy was subsequently arrested and his vehicle was searched. During the search, the officer recovered a Sig Sauer, semi-automatic pistol loaded with an eight-round magazine of .45 caliber ammunition as well as a second eight-round magazine. During an interview with law enforcement, Hardy confirmed that the handgun belonged to him and that he did not have a license to carry a firearm in Massachusetts. Further investigation revealed that Hardy was prohibited from possessing firearms and ammunition due to previous convictions, including assault and battery in 2012 and  larceny from a person in 2013, which are each punishable by more than a year in jail.

The charging statute provides for a sentence of no greater than 10 years in prison, up to three years of supervised release, and a fine of $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.

United States Attorney Andrew E. Lelling and Kelly Brady, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms & Explosives, Boston Field Division, made the announcement today. Valuable assistance was provided by the Wellesley Police Department, Norfolk County District Attorney’s Office and the Hillsborough County Attorney’s Office in New Hampshire. Assistant U.S. Attorney Stephen W. Hassink of Lelling’s Criminal Division is prosecuting the case.

The details contained in the charging documents are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.

BOSTON –  A physician at the now-defunct New England Pain Management Associates Inc. was sentenced today in federal court in Boston for conspiring to falsify patient medical records in order to obtain payments from Medicare and commercial insurers for medical services that were not performed.

Moustafa Moataz Ibrahim Aboshady, 36, of Lake Forest, Calif., was sentenced by U.S. District Court Judge Nathaniel M. Gorton to 75 months in prison, three years of supervised release and ordered to pay restitution in the amount of $1,852,459. In September 2018, a federal jury convicted Aboshady of one count of conspiracy to make false statements in connection with health care benefit programs and two counts of making false statements in connection with health care benefit programs. In March 2018, co-conspirator Dr. Fathalla Mashali was sentenced to eight years in prison after pleading guilty to 27 counts of health care fraud, one count of conspiracy to commit mail fraud and 16 counts of money laundering.

“Mr. Aboshady helped Dr. Mashali operate one of the most dangerous pain management practices in Massachusetts,” said United States Attorney Andrew E. Lelling. “Dr. Mashali routinely dispensed large quantities of powerful narcotics to addicted patients. Mr. Aboshady assisted Dr. Mashali’s illegal behavior by using his training as a doctor to fabricate patient records, with the goal of duping Medicare and other insurers into paying Dr. Mashali for his fraudulent conduct. Moreover, Aboshady later lied about Mashali’s medical practices to regulatory authorities.”

“Dr. Aboshady engaged in unlawful, unethical, and unprofessional conduct. He used the Medicare system as his own personal ATM, cheating taxpayers and private insurance companies out of thousands of dollars by billing them for medical services that were never performed. The FBI is committed to protecting government and private health care programs and stopping those who steal from them,” said Joseph R. Bonavolonta, Special Agent in Charge of the FBI Boston Division.

During the time of the conspiracy, Aboshady was a medical resident in Massachusetts and Rhode Island, employed at New England Wellness & Pain Management, P.C., which was also known as New England Pain Associates, P.C., Greystone Pain Management, Inc., and New England Pain Institute, P.C., or NEPA. NEPA had locations in Massachusetts and Rhode Island, and was operated by Fathallah Mashali, a pain management physician.

Aboshady conspired with Mashali, other members of NEPA, and members of a satellite office in Cairo, Egypt, to falsify medical records and urine drug test results to support claims for payment to Medicare and insurers for services that Mashali did not render.

Part of the conspiracy involved falsification of patient encounter notes. Such false information included, but was not limited to, detailed descriptions of extensive physical examinations and treatment plans, and durations of face-to-face interactions with patients exceeding 20 to 40 minutes per appointment, to create the appearance of lengthy and involved patient encounters, when in fact these services did not take place. Aboshady instructed the Cairo office on how to fake patient encounter notes, how to create false electronic signatures on the encounter notes and how to make the timestamps for those signatures look realistic. 

Aboshady was also responsible, in conjunction with the office in Cairo, for fabricating urine drug test results with false test dates, so that the tests appeared to have been performed within days of specimen collection rather than weeks or months thereafter. This information was necessary to support urine drug test billing codes submitted to Medicare and insurance companies. In fact, NEPA tested patients’ urine weeks and sometimes three months after the specimens had been collected and stored unrefrigerated in large plastic bags and containers. In addition, in response to a subpoena from the State of Rhode Island concerning some of Mashali’s patients, Aboshady helped Mashali falsify patient medical records.

“Healthcare fraud is corrosive, wasting taxpayer dollars, driving up healthcare costs, and undermining the Medicare program,” said Phillip M. Coyne, Special Agent in Charge for the U.S. Department of Health & Human Services, Office of Inspector General. “Aboshady’s falsification and fabrication of medical records to further his healthcare fraud scheme compromised the integrity of our public healthcare system, and we will continue to aggressively investigate such reckless conduct.”

“I hope this sentence sends a message to other medical providers that medical billing fraud is not tolerated in Massachusetts and when caught, you will pay a price,” said Anthony M DiPaolo, Chief of Investigations of the Insurance Fraud Bureau. “This matter also illustrates the commitment of all agencies to combat medical billing fraud which affects all citizens. The Insurance Fraud Bureau of Massachusetts places a high priority on fighting this type of insurance fraud. The collaboration in this matter is unprecedented.”

U.S. Attorney Lelling; Boston FBI SAC Bonavolonta, HHS-OIG SAC Coyne, and Massachusetts IFB Chief of Investigations DiPaolo, made the announcement today. Assistance was also provided by the Internal Revenue Service’s Criminal Investigation in Boston. Assistant U.S. Attorneys Abraham R. George, Senior Litigation Counsel of Lelling’s Civil Division, and David G. Lazarus, Chief of Lelling’s Asset Recovery Unit, prosecuted the case.

BOSTON – A Marstons Mills man was arrested today and charged in federal court in Boston with receipt and possession of child pornography.

Steven Carme, 30, was charged with one count of receipt and one count of possession of child pornography. He appeared in federal court in Boston and was ordered detained pending a detention hearing. 

According to court documents, law enforcement learned that an individual whose IP address was traced to Carme’s Marstons Mills residence had shared child pornography over the internet using peer-to-peer sharing software. A search at the residence resulted in the seizure of a laptop computer, an external hard drive and an iPhone X. The external hard drive contained hundreds of images and videos of children, including some that depict the rape of children as young as five-years-old.

The charge of receipt of child pornography provides for a mandatory minimum sentence of five years and up to 20 years in prison. The charge of possession of child pornography provides for a sentence of no greater than 10 years in prison. Each charge also provides for a mandatory minimum of five years and up to a lifetime of supervised release and a fine of up to $250,000. Sentences are imposed by a federal district court judge based on the U.S. Sentencing Guidelines and other statutory factors.

United States Attorney Andrew E. Lelling; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; and Barnstable Police Chief Matthew Sonnabend made the announcement today. Assistant U.S. Attorney Elianna Nuzum of Lelling’s Major Crimes Unit is prosecuting the case.

The case was brought as part of Project Safe Childhood. In 2006, the Department of Justice created Project Safe Childhood, a nationwide initiative designed to protect children from exploitation and abuse. Led by the U.S. Attorneys’ Offices and the DOJ’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who exploit children, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov/.

The details contained in the charging document are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.

BOSTON – A Springfield man pleaded guilty in federal court in Springfield yesterday in connection with various fraud schemes.

Talal H. Soffan, 46, pleaded guilty to making false statements to a federally insured financial institution, wire fraud, aggravated identity theft, conspiracy, and bank fraud. U.S. District Court Judge Mark G. Mastroianni scheduled Soffan’s sentencing for May 23, 2019. 

In 2014, Soffan was charged by indictment, and in 2018, he was charged by information with additional criminal counts.

In March 2007, Soffan applied for two bank loans totaling $45,000 for his company, All Waste Management LLP. In the process of securing the loans, Soffan concealed his and an associate’s prior felony convictions. After receiving the loans, Soffan then misspent the loan proceeds, defaulted on the loans, and exploited both accounts in connection with a series of credit card bust-out schemes. In those schemes, Soffan defrauded various banks and credit card companies through 27 different accounts obtained in his name, the name of his business, other businesses, and other individuals, resulting in an overall loss of approximately $528,624.

In addition, Soffan conspired with a local real estate broker to defraud various banks relating to foreclosed properties owned by the banks. Soffan sent the broker e-mails containing his company’s genuine bid and false bids from other companies to ensure that his company received contracts to perform repair and maintenance work on the foreclosed properties. In exchange for receiving approximately $75,186 in contracts for his company, Soffan allowed the broker to keep approximately five percent of his company’s invoiced amounts. 

The charges of making false statements to a federally insured financial institution and bank fraud each provide for a sentence of no greater than 30 years in prison, up to five years of supervised release, and a fine of $1 million. The wire fraud charges each provide for a sentence of no greater than 20 years in prison, up to three years of supervised release, and a fine of $250,000.  The conspiracy charge provides for a sentence of no greater than five years in prison, up to three years of supervised release, and a fine of $250,000. The aggravated identity theft charges provide for a mandatory two year prison sentence consecutive to any other sentence imposed. Sentences are imposed based upon the U.S. Sentencing Guidelines and other statutory factors.   

United States Attorney Andrew E. Lelling; Robert Manchak, Acting Special Agent in Charge of the Federal Housing Finance Agency; Kristina O’Connell, Special Agent In Charge of the Internal Revenue Service, Criminal Investigation, New England Field Division; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; and Joseph W. Cronin, Inspector in Charge of the U.S. Postal Inspection Service, Boston Division, made the announcement. Assistant U.S. Attorneys Steven H. Breslow and Deepika Shukla of Lelling’s Springfield Branch Office are prosecuting the case. 

BOSTON – A Boston man was indicted today in federal court in Boston for being a felon in possession of a firearm.

On Nov. 26, 2018, Reginald Boyd, 29, was allegedly found in possession of a .22 caliber North American Arms revolver with five rounds of ammunition.  Boyd is prohibited from possessing a firearm due to three previous drug convictions, all punishable by more than a year in prison.

The charging statute provides for a sentence of no greater than 10 years in prison, up to three years of supervised release, and a fine of $250,000 or twice the gross gain or loss. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.

United States Attorney Andrew E. Lelling and Kelly Brady, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms & Explosives, Boston Field Division, made the announcement today. Valuable assistance was provided by the Norfolk County District Attorney’s Office and the Massachusetts State Police. Assistant U.S. Attorney Evan Gotlob of Lelling’s Criminal Division is prosecuting the case.

The details contained in the charging documents are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.

BOSTON – A former Hadley Police Department Officer was found guilty today of using unreasonable force during an arrest and then falsifying a police report of the incident.

Christopher M. Roeder, 49, of Agawam, was convicted by a federal jury after a seven-day trial of one count of deprivation of rights under color of law and one count of falsification of a document.

Evidence presented at trial established that, on April 3, 2017, Roeder struck an arrestee in the face without legal justification, while the arrestee was seated on a bench in the Hadley Police Department booking area. The strike fractured the arrestee’s nose in multiple places and required plastic surgery to repair. Roeder subsequently attempted to obstruct the investigation into his assault of the arrestee by falsifying his police report describing the incident.

“Police officers put themselves at risk for the public good every day. The defendant, however, diminished the sacrifices of his fellow officers by violating the constitutional rights of an arrestee,” said United States Attorney Andrew E. Lelling. “Law enforcement officers are rightfully held to a higher standard and, on the very rare occasions when officers refuse to meet that standard, they will be held to account.”

“Law enforcement officers are sworn to uphold and defend the laws of our nation,” said Assistant Attorney General Eric Dreiband. “When they abuse their power to violate those very laws, they not only deprive citizens of their individual rights, but they also compromise the public’s trust in law enforcement. The Department of Justice will continue to hold officers accountable for their actions.”

“With today’s conviction, Mr. Roeder finds himself on the opposite end of the very laws he was sworn to uphold. Wearing a badge is a privilege and honor that most law enforcement officers take seriously. It’s not a license to corrupt the administration of justice, but Mr. Roeder clearly forgot that when he broke a man’s nose and tried to cover it up by falsifying his police report. His actions undermined the hard work of the entire law enforcement community,” said Joseph R. Bonavolonta, Special Agent in Charge of the FBI Boston Division.

The charge of deprivation of civil rights under color of law resulting in injury provides for a sentence of no greater than 10 years in prison, three years of supervised release and a fine of up to $250,000. The charge of falsifying a police report provides for a sentence of no greater than 20 years in prison, three years of supervised release, and a fine of up to $250,000. Sentences are imposed by a federal district court judge based on the U.S. Sentencing Guidelines and other statutory factors.

U.S. Attorney Lelling; Assistant Attorney General Dreiband; and FBI SAC Bonavolonta made the announcement today. Assistant U.S. Attorney Deepika Bains Shukla of Lelling’s Springfield Branch Office and Trial Attorney Timothy Visser of the Department of Justice’s Civil Rights Division are prosecuting the case.

A former Hadley Police Department Officer was found guilty today of using unreasonable force during an arrest and then falsifying a police report of the incident.

Christopher M. Roeder, 49, of Agawam, was convicted by a federal jury after a seven-day trial of one count of deprivation of rights under color of law and one count of falsification of a document.

Evidence presented at trial established that, on April 3, 2017, Roeder struck an arrestee in the face without legal justification, while the arrestee was seated on a bench in the Hadley Police Department booking area. The strike fractured the arrestee’s nose in multiple places and required plastic surgery to repair.

It was further established that Roeder subsequently attempted to obstruct the investigation into his assault of the arrestee by falsifying his police report describing the incident.

“Law enforcement officers are sworn to uphold and defend the laws of our nation,” said Assistant Attorney General Eric Dreiband. “When they abuse their power to violate those very laws, they not only deprive citizens of their individual rights, but they also compromise the public’s trust in law enforcement. The Department of Justice will continue to hold officers accountable for their actions.”

“Police officers put themselves at risk for the public good every day.  The defendant, however, diminished the sacrifices of his fellow officers by violating the constitutional rights of an arrestee,” said United States Attorney Andrew E. Lelling. “Law enforcement officers are rightfully held to a higher standard and, on the very rare occasions when officers refuse to meet that standard, they will be held to account.”

“With today’s conviction, Mr. Roeder finds himself on the opposite end of the very laws he was sworn to uphold. Wearing a badge is a privilege and honor that most law enforcement officers take seriously. It’s not a license to corrupt the administration of justice, but Mr. Roeder clearly forgot that when he broke a man’s nose and tried to cover it up by falsifying his police report. His actions undermined the hard work of the entire law enforcement community,” said Joseph R. Bonavolonta, Special Agent in Charge of the FBI Boston Division.

The charge of deprivation of civil rights under color of law resulting in injury provides for a sentence of no greater than 10 years in prison, three years of supervised release, and a fine of up to $250,000. The charge of falsifying a police report provides for a sentence of no greater than 20 years in prison, three years of supervised release, and a fine of up to $250,000. Sentences are imposed by a federal district court judge based on the U.S. Sentencing Guidelines and other statutory factors.

Assistant Attorney General Eric Dreiband of the Justice Department’s Civil Rights Division; United States Attorney Andrew E. Lelling; and Joseph Bonavolonta, Special Agent in Charge of the FBI, Boston Field Division, made the announcement today. Assistant U.S. Attorney Deepika Bains Shukla of Lelling’s Springfield Branch Office and Trial Attorney Timothy Visser of the Department of Justice’s Civil Rights Division are prosecuting the case.

BOSTON – A Brockton man was indicted today in federal court in Boston in connection with an August 2018 computer intrusion of a Massachusetts company.

Colby Anderson, 25, was indicted on one count of intentionally causing damage to a protected computer without authorization. In October 2018, Anderson was arrested and charged by complaint; he was released on conditions.

According to the charging documents, in July 2018, Anderson was terminated from his position as a Network Operations Center Technician at Blueport Wireless, a high speed internet access provider. Following his termination, Anderson subsequently used his former colleagues’ account login information to delete approximately 120 customer configuration profiles, causing widespread internet service issues at customer facilities.

The charging statute provides for a sentence of no greater than 10 years in prison, up to three years of supervised release, and a fine of $250,000 or twice the gross gain or loss.  Sentences are imposed by a federal district court judge based on the U.S. Sentencing Guidelines and other statutory factors. 

United States Attorney Andrew E. Lelling; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Office made the announcement today. Assistant U.S. Attorney Mackenzie A. Queenin of Lelling’s Cybercrimes Unit is prosecuting the case.

The details contained in the charging documents are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.

BOSTON – A Swiss lawyer pleaded guilty yesterday in federal court in Boston in connection with participating in an international pump-and-dump scheme.

Matthew Ledvina, 46, pleaded guilty to one count of conspiracy to commit securities fraud. U.S. District Court Judge William G. Young scheduled sentencing for April 25, 2019.

In or about June 2017, Ledvina assisted his co-conspirators by creating nominee entities that were used to hold shares in Environmental Packaging Technologies Inc. (EPTI), a publicly-traded company. The nominee entities allowed the true owners of the shares to mask their identities and to secretly sell large quantities of EPTI shares, even as they and others simultaneously orchestrated promotional campaigns and other manipulative efforts to artificially inflate the price and trading volume of those shares.

The government previously charged Roger Knox, the operator of Silverton, a Switzerland-based asset management firm, with helping to facilitate the EPTI pump-and-dump and other market manipulation schemes. During the pump-and-dump, Silverton sold approximately $1.5 million worth of EPTI stock before trading was halted by the Securities and Exchange Commission.  Knox previously pleaded not guilty and is currently detained pending trial. 

The charging statute provides for a sentence of no greater than five years in prison, three years of supervised release, and a fine of up to $250,000 or twice the gross gain or loss. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.

United States Attorney Andrew E. Lelling and Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division, made the announcement.  Assistant U.S. Attorney Eric Rosen of Lelling’s Securities and Financial Fraud Unit is prosecuting the case.

BOSTON – A Nahant couple was charged yesterday in federal court in Boston with two counts of tax evasion. 

Gary P. DeCicco, 60, and Pamela M. Avedisian, 55, were charged in a superseding indictment with one count of conspiracy to commit tax fraud and one count of evasion of payment of taxes. The original indictment returned in January 2018 charged DeCicco and Avedisian with conspiracy to commit wire fraud and one count of wire fraud. DeCicco was also charged with one count of conspiracy to commit bank fraud, one count of bank fraud, four counts of wire fraud and attempted wire fraud and six counts of engaging in unlawful monetary transactions. 

According to the charging documents, between April 2012 and February 2013, DeCicco repeatedly told the IRS that he did not have the ability to pay his over $340,000 liability, and that he had very little cash, no vehicles or real property, and no ownership interest in any asset with a positive value. However, the indictment alleges that DeCicco had ownership interests in several businesses, vehicles, and real properties during that time period, titled in his name and the names of Avedisian, Lynnway Auto Sales Inc., and other entities in order to conceal those assets from the IRS. In addition, beginning in March 2013, after the IRS accepted DeCicco’s proposed monthly payment plan (based on the false information DeCicco provided about his assets and income), DeCicco allegedly bought and sold numerous real properties, boats and high end cars, and concealed those assets and his income from the IRS, often with Avedisian’s assistance.   

According to court documents, Avedisian owned a property in Nahant that was subject to a mortgage in excess of $1 million. In October 2015, DeCicco and Avedisian allegedly conspired to defraud the mortgage holder by proposing the sale of the property for significantly less than the outstanding mortgage, in what is commonly referred to as a “short sale.” By their very nature, short sales are intended to be arms-length transactions in which the buyers and sellers are unrelated and act independently, allowing sellers to cede their ownership of the property in exchange for the short-selling bank’s agreement to release them from their unpaid mortgage debt.  In order to get approval for the sale, DeCicco and Avedisian concealed their long-term romantic and business relationships from the loan servicing company and falsely represented that Avedisian could no longer make payments towards the mortgage on the property.  In fact, just two months before the “short sale” closed, Avedisian purportedly received $3.5 million from the sale of another asset to DeCicco.

The indictment also alleges that from November 2015 to September 2016, DeCicco and a co-conspirator falsified rent rolls and prepared fake leases, which they then provided to financial institutions in support of their applications for a $5.5 million loan secured by a commercial building in Peabody.  Between September 2016 and January 2017, DeCicco allegedly committed unlawful monetary transactions with the proceeds of the bank fraud scheme, and between February and December 2016, DeCicco engaged in a scheme to defraud multiple insurance companies using fake invoices and other documents to support his claims.

The charges of wire fraud and conspiracy, as well as bank fraud and conspiracy, provide for a sentence of no greater than 30 years in prison, three years of supervised release and a fine of $250,000. The charges of wire fraud and attempted wire fraud provide for a sentence of no greater than 20 years in prison, three years of supervised release and a fine of $250,000. The charge of engaging in unlawful monetary transactions provides for a sentence of no greater than ten years in prison, three years of supervised release and a fine of $250,000. The charges of conspiracy to defraud the United States and tax evasion each provide for a sentence of no greater than five years in prison, three years of supervised release and a fine of $250,000. Sentences are imposed by a federal district court judge based on the U.S. Sentencing Guidelines and other statutory factors. 

United States Attorney Andrew E. Lelling; Joseph R. Bonavolanta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; and, Kristian O’Connell, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigation in Boston, made the announcement today. Assistant U.S. Attorney Kristina E. Barclay of Lelling’s Public Corruption and Special Prosecutions Unit is prosecuting the case.

The details contained in the charging documents are allegations. The defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.

BOSTON – A man identified as a member of the Heath Street Gang was sentenced yesterday in federal court in Boston for drug trafficking and illegal possession of a firearm.

Kendrick Tate, a/k/a “K-Roc,” 26, of Chelsea, was sentenced by U.S. District Court Judge Indira Talwani to 159 months in prison and three years of supervised release. In August 2018, Tate pleaded guilty to one count of distribution of cocaine base and one count of being a felon in possession of a firearm and ammunition. Tate has been serving a state sentence for unrelated drug and gun convictions.

On subsequent days in April 2017, Tate sold a cooperating witness crack cocaine and a firearm with a partially obliterated serial number. Although Tate has been identified by law enforcement as a member of the Heath Street Gang, he was living in Chelsea at the time of these sales.

According to court documents, Tate was convicted in state court in November 2017 of unrelated drug and firearm charges and is presently serving a 3 ½ - 4-year sentence. Tate was also previously convicted of assault with a dangerous weapon on two occasions, assault and battery with a dangerous weapon, resisting arrest, assault and battery on a police officer, and possession to distribute a Class B substance on two occasions.

Following a two-year investigation, Tate and eight co-defendants were charged in January 2018 in connection with illegal drug distribution and firearm possession within and near the Mildred C. Hailey Apartments, formerly known as the Bromley Heath Housing Development. The investigation and arrests sought to reduce violence and improve the quality of life for residents in and around the Mildred C. Hailey Apartments by removing individuals who trafficked drugs and who were actively involved in violence and gang disputes.

United States Attorney Andrew E. Lelling; Kelly Brady, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms & Explosives, Boston Field Division; and Boston Police Commissioner William Gross made the announcement. Assistance was also provided by the Boston Housing Authority’s Department of Police and Public Safety. The case was prosecuted by Lelling’s Organized Crime and Gang Unit.

The details contained in the charging documents are allegations. The remaining defendants are presumed to be innocent unless and until proven guilty beyond a reasonable doubt in a court of law.       

BOSTON – A Dominican national was sentenced today in federal court in Boston in connection with his participation in a conspiracy to distribute fentanyl. 

Angel Milciades Santana Polanco, 31, was sentenced by U.S. District Court Judge F. Dennis Saylor IV to 60 months in prison and three years of supervised release. In November 2018, Santana Polanco pleaded guilty to one count of conspiracy to possess with intent to distribute and to distribute more than 400 grams or more of fentanyl. 

According to court records, as part of an ongoing drug trafficking investigation, law enforcement agents intercepted phones used by Wareng Jhonny Villar-Ortiz and another member of the conspiracy, both of whom are also Dominican nationals.  Agents determined that Villar-Ortiz was a mid-level drug distributor, who had received a kilogram of fentanyl in late January 2018. The intercepted calls further established that Villar-Ortiz arranged for Santana Polanco, who was typically a distributor for Villar-Ortiz, to test the drugs. Santana Polanco found three individuals, gave the drugs to them, and then reported back to Villar-Ortiz how the individuals responded to the drugs. 

Between Feb. 8 and Feb. 12, 2018, agents intercepted communications between Santana Polanco and Villar-Ortiz in which Santana Polanco offered to supply Villar-Ortiz with a kilogram of drugs. Villar-Ortiz took possession of the drugs in order to test the quality before deciding whether to purchase them. On Feb. 15, 2018, Villar-Ortiz reported that the drugs were unacceptable and made arrangements for Santana Polanco to retrieve them. A search of Villar-Ortiz’s residence resulted in the seizure of 978.6 grams of fentanyl from a hiding spot in the bathroom wall. 

Court records indicate that Santana Polanco entered the United States illegally. After serving his sentence, he will be subject to deportation proceedings. Villar-Ortiz pleaded guilty on Jan. 11, 2019, and is scheduled to be sentenced on April 5, 2019.

United States Attorney Andrew E. Lelling and Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration, New England Division, made the announcement today.  Valuable assistance was provided by the Boston, Ipswich, and Arlington Police Departments.  Assistant U.S. Attorney James E. Arnold of Lelling’s Narcotics and Money Laundering Unit is prosecuting the case.

BOSTON – A Worcester restaurant manager pleaded guilty yesterday in federal court in Worcester to conspiring with the wife of a convicted drug dealer to use drug proceeds to renovate and operate a Shrewsbury Street restaurant. 

Joseph Herman, 37, pleaded guilty to conspiracy to commit money laundering, making false statements to federal investigators and attempted witness tampering. U.S. District Court Judge Timothy S. Hillman scheduled sentencing for May 28, 2019.

Between May 2017 and September 2017, Herman conspired with co-defendant Stacy Gala to launder the proceeds of illegal drug sales by Gala’s husband, Kevin A. Perry Jr.   Herman worked as the manager of The Usual, a Worcester restaurant owned and operated by Perry and Gala. Herman admitted that, after Perry’s arrest in March 2017, he and Gala conspired to use Perry’s drug proceeds to renovate the restaurant and to reopen the business under a new name, “The Chameleon.” Herman also admitted that he lied to federal investigators about the source of the funds used to renovate the restaurant, and attempted to convince another witness to falsely testify about Herman’s involvement in the money laundering scheme.

In October 2017, Perry pleaded guilty to money laundering and drug distribution charges and was sentenced to 14 years in prison. Stacy Gala is scheduled for trial on May 6, 2019. 

Herman faces up to 20 years in prison for the charges of conspiracy to commit money laundering and attempted witness tampering and up to five years in prison for making false statements to investigators. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.

United States Attorney Andrew E. Lelling; Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration, Boston Field Division; and Joseph W. Cronin, Inspector in Charge of the U.S. Postal Inspection Service in Boston made the announcement. Assistant U.S. Attorney Greg A. Friedholm, Chief of Lelling’s Worcester Branch Office, is prosecuting the case. 

The details contained in the charging documents are allegations. The remaining defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.

BOSTON – A North Carolina man was sentenced yesterday in federal court in Boston for his role in a market manipulation scheme which was actually part of an undercover operation.

David Aubel, 60, of Matthews, N.C., was sentenced by U.S. District Court Chief Judge Patti B. Saris to 87 months in prison, five years of supervised release and ordered to pay restitution in the amount of $242,553. In November 2017, Aubel pleaded guilty to one count of conspiracy to commit securities fraud and wire fraud, one count of securities fraud, and three counts of wire fraud.

In 2016, Aubel and co-conspirator Robert Raffa, of Penacook, N.H., were arrested and charged in a criminal complaint in connection with their involvement in a scheme to manipulate the market for the publicly traded securities of Green Energy Renewable Solutions, Inc., a penny stock company that claimed to be in the business of developing and operating waste processing and recycling facilities near Detroit, MI. Raffa previously pleaded guilty and was sentenced in January 2018 to two years in prison and two years of supervised release.

In early 2012, Raffa and Aubel used four foreign entities to covertly acquire nearly all of Green Energy’s unrestricted stock without reporting their controlling interest as required by law.  They then hired a promoter to send blast e-mails touting Green Energy to potential investors, all while selling shares without disclosing that they had orchestrated the campaign encouraging investors to buy. 

The initial promotion enabled Raffa and Aubel to sell more than 1.5 million shares of Green Energy stock for proceeds of about $900,000. However, Raffa and Aubel continued to control a substantial amount of Green Energy stock after the promotion ended, and they used manipulative trading techniques to stabilize Green Energy’s stock price while they searched for another promoter to run a second touting campaign. Their search led them to a stock promoter who was secretly cooperating with federal agents and an undercover agent who claimed to have access to a network of corrupt stockbrokers who would buy their shares in exchange for kickbacks. Raffa and Aubel executed a trade in which they sold 174,000 shares of their Green Energy stock to an account purportedly controlled by a corrupt broker, which was in fact controlled by federal authorities. Following the trade, the conspirators wired a $6,000 kickback payment to an account they believed to be controlled by the corrupt broker, but which was actually controlled by federal authorities.

In November 2018, Aubel was charged with bail jumping after repeatedly failing to appear for sentencing before Judge Saris. U.S. Marshals located and apprehended Aubel as he exited a hotel in Charlotte, NC.

In a parallel action, the Securities and Exchange Commission (SEC) previously charged Aubel and Raffa with securities fraud in connection with the scheme.

United States Attorney Andrew E. Lelling and Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division, made the announcement. Gregory Allyn Forest, U.S. Marshal of the Western District of North Carolina, and John Gibbons, U.S. Marshal of the District of Massachusetts provided assistance with the apprehension. The United States Attorney’s Office received valuable assistance from the SEC. SEC Attorney Andrew Palid, who was appointed as a Special Assistant U.S. Attorney, and Jordi de Llano, Deputy Chief of Lelling’s Securities & Financial Fraud Unit, prosecuted the case.

BOSTON – Two Malaysian nationals were arrested today and charged with conspiring to illegally export firearms and firearm parts from the United States to an individual located in Hong Kong, China.

Lionel Chan, 35, who resided in Brighton, Mass., and Muhammad Radzi, 26, who resided in Brooklyn, N.Y., were each charged by criminal complaint with one count of conspiring to violate the Arms Export Control Act. Chan was also charged with one count of obstruction of justice. Chan will appear this afternoon in federal court in Boston and Radzi will appear in federal court in the Eastern District of New York.

According to the criminal complaint, beginning in or around March 2018, Chan began purchasing a variety of U.S.-origin firearm parts, including parts used to assemble AR-15 assault rifles and 9MM semi-automatic handguns, at the request of a buyer in Hong Kong. Chan purchased the parts online through a variety of websites, including eBay and gunbroker.com.  These firearm parts are restricted items and cannot be exported from the United States without a license. Nevertheless, Chan allegedly shipped the firearm parts via Federal Express to the buyer in Hong Kong without first obtaining the necessary export licenses. Chan intentionally concealed the contents of the shipments by providing false descriptions of the items contained in each shipment and by concealing the parts inside the package. For example, in one text exchange, Chan and the Hong Kong buyer discussed how to illegally ship a Glock 19 semi-automatic handgun. The Hong Kong buyer wrote, “this is how we are shipping the Glock 19 and USP compact barrel. I usually stuff them into a pair of sneakers, and cover it with Doritos or chips.”  Between March and May 2018, Chan shipped 12 packages from Brighton, Mass., to the buyer in Hong Kong.

In or around April 2018, Radzi allegedly joined the conspiracy and began illegally exporting firearm parts to Hong Kong as well. Between May and October 2018, Radzi allegedly shipped 21 packages from Brooklyn, N.Y., to the buyer in Hong Kong. In October 2018, two of those packages were interdicted by Hong Kong authorities and found to contain numerous firearms parts, including a firing pin and gun sight, which were export-controlled. Like Chan, Radzi failed to obtain an export license for any of these shipments.

Chan allegedly obstructed justice by deleting numerous text messages relating to illegally exporting firearms during a flight from Dublin, Ireland, to Boston, Mass. 

The charge of conspiring to illegally export firearms provides for a sentence of no greater than five years in prison, one year of supervised release and a $250,000 fine. The charge of obstructing justice provides for a sentence of no greater than 20 years in prison, three years of supervised release, and a $250,000 fine. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.

United States Attorney Andrew Lelling and Peter C. Fitzhugh, Special Agent in Charge of Homeland Security Investigations in Boston, made the announcement. The Massachusetts State Police and U.S. Customs and Border Protection also assisted in the investigation. Assistant U.S. Attorneys George P. Varghese and Jason A. Casey of Lelling’s National Security Unit are prosecuting the case.

The details contained in the charging documents are allegations. The defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.

BOSTON – An Idaho man was sentenced yesterday in federal court in Boston for participating in a market manipulation scheme involving the stock of Endeavor Power Corp., and then making false statements to the U.S. Securities and Exchange Commission (SEC) in connection with its investigation of the fraud scheme.

Samuel Brown, 38, of Bonners Ferry, Idaho, was sentenced by U.S. District Court Judge Indira Talwani to three years of probation – with the first five months to be served in home detention – and ordered to pay restitution in the amount of $22,237. In July 2015, Brown pleaded guilty to one count of conspiracy to commit securities fraud and wire fraud, and one count of making false statements to the SEC. 

Between approximately July 2012 and March 2013, Brown conspired to manipulate the securities of Endeavor. In September 2013, Brown provided sworn testimony to the SEC relating to questions about trading in the stock. In pleading guilty, Brown admitted that he misled the SEC during the course of its examination.

In October 2015, Edward Withrow III and Marco Babini were charged in an indictment for conspiring with Brown. Withrow’s trial ended in a hung jury in December 2017, and he subsequently pleaded guilty to also making false statements to the SEC. Babini remains at large and is charged with one count of conspiracy, one count of securities fraud and two counts of wire fraud.

United States Attorney Andrew E. Lelling and Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division, made the announcement. SEC Attorney Eric A. Forni, who was appointed as a Special Assistant U.S. Attorney, prosecuted the case.

The remaining defendant is presumed to be innocent unless and until proven guilty beyond a reasonable doubt in a court of law.

BOSTON – An Everett man was sentenced today in federal court in Boston in connection with a scheme to defraud the Massachusetts Department of Unemployment Assistance (DUA) of more than $1.7 million.

Edison Delarosa, 53, was sentenced by U.S. Senior District Court Judge George A. O’Toole Jr. to two years in prison, three years of supervised release, and ordered to pay restitution in the amount of $27,227.  In October 2018, Delarosa pleaded guilty to three counts of mail fraud and three counts of wire fraud. In February 2017, Delarosa was arrested and charged and subsequently released on conditions. 

From approximately January 5 through November 24, 2016, Delarosa engaged in a scheme to defraud the Commonwealth of Massachusetts by exploiting DUA’s online system, which allows claimants to manage their unemployment insurance accounts over the internet. On multiple occasions, Delarosa, who did not actually owe DUA any money, submitted bogus “repayments” online, which triggered the release of “refund” checks payable to him in varying amounts. During the course of the scheme, Delarosa submitted a total of 136 fraudulent “repayments,” amounting to $1,763,418, for which DUA issued him 15 paper “refund” checks, totaling $1,251,283. DUA uncovered the scheme after six of those checks, totaling $27,227, were mailed to Delarosa and deposited into his account.   

United States Attorney Andrew E. Lelling; Michael Mikulka, Special Agent in Charge of the U.S. Department of Labor, Office of Inspector General, Office of Investigations, New York Region; Peter C. Fitzhugh, Special Agent in Charge of Homeland Security Investigations in Boston; and Joseph W. Cronin, Inspector in Charge of the U.S. Postal Inspection Service, made the announcement today. The Commonwealth of Massachusetts’ Department of Unemployment Assistance provided valuable assistance to the investigation. Assistant U.S. Attorney Anne Paruti of Lelling’s Major Crimes Unit prosecuted the case.

BOSTON – A Dominican national, formerly residing in Lawrence, but presently serving a state prison term for fentanyl trafficking, pleaded guilty today in federal court in Boston to charges including identity theft.

Rafael Aguasviva Peralta, 32, pleaded guilty to one count of misuse of a Social Security number and one count of aggravated identity theft. U.S. District Court Judge Rya Zobel scheduled sentencing for May 2, 2019.

On Nov. 19, 2013, Aguasviva falsely represented that a Social Security number was his in an application for a learner’s permit, using the identity of a Puerto Rican man, at the Lawrence branch of the Registry of Motor Vehicles.

The charging statute for misuse of a Social Security number provides for a sentence of no greater than five years in prison, three years of supervised release, and a fine of up to $250,000.  The charging statute for aggravated identity theft provides for a mandatory sentence of two years in prison, consecutive to any other sentence imposed, up to one year of supervised release and a fine of up to $250,000. Sentences are imposed by a federal district court judge based on the U.S. Sentencing Guidelines and other statutory factors.

United States Attorney Andrew E. Lelling; Peter C. Fitzhugh, Special Agent in Charge of Homeland Security Investigations in Boston; and Scott Antolik, Special Agent in Charge of the Social Security Administration, Office of Inspector General, Office of Investigations, Boston Field Division, made the announcement today. Assistant U.S. Attorney Sandra S. Bower of Lelling’s Major Crimes Unit is prosecuting the case.

BOSTON – A Chelsea man pleaded guilty yesterday in federal court in Boston to RICO conspiracy involving attempted murder and drug trafficking.

Brandon Baez, aka “Big Baby,” pleaded guilty to one count of conspiracy to conduct enterprise affairs through a pattern of racketeering activity and one count of conspiracy to distribute cocaine base and cocaine. U.S. District Court Judge Richard G. Stearns scheduled sentencing for May 3, 2019.

During an investigation into a network of street gangs that had created alliances to traffic weapons and drugs throughout Massachusetts, Baez was identified as a member of the East Side Money Gang (ESMG), a Chelsea-based street gang, which used violence to further its criminal activities and enforce its internal rules. Specifically, ESMG uses violence to protect its members/associates, target rival gang members/associates and intimidate potential witnesses.

In intercepted calls on April 3, 2016, Baez informed Angel Mejia, a leader in the ESMG, that he had just shot two men in a black Cadillac at a gas station in Revere because he believed that they were members of a rival street gang. Baez told Mejia that he believed he had killed at least one of the intended victims. Two days before the shooting, Mejia and fellow ESMG member Josue Rodriguez had provided Baez with the .22 caliber revolver used in the shooting.  Following the shooting, Baez asked Mejia for assistance getting a larger caliber handgun as no one was killed during the Revere shooting. Baez was subsequently arrested in Chelsea by local law enforcement officers while armed with the .22 caliber revolver used in the Revere shooting.

In October 2017, Rodriguez was sentenced to over 10 years in prison. Mejia previously pleaded guilty and is pending sentencing.

Baez is one of 53 defendants indicted in June 2016 on federal firearms and drug charges following an investigation into a network of street gangs that created alliances to traffic weapons and drugs and to generate violence against rival gang members. According to court documents, the defendants, who are leaders, members, and associates of the 18th Street Gang, East Side Money Gang and the Boylston Street Gang, were responsible for fueling a gun and drug pipeline across a number of cities and towns in eastern Massachusetts.  During the course of the investigation, over 70 firearms were seized.

The charge of RICO conspiracy provides for a sentence of no greater than 20 years in prison, three years of supervised release and a fine of $250,000. The charge of conspiracy to distribute cocaine and cocaine base provides for a maximum sentence of twenty years, a minimum of three years and up to life of supervised release and a fine of $1 million. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.

United States Attorney Andrew E. Lelling; Kelly Brady, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms & Explosives, Boston Field Division; Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration, New England Field Division; Peter C. Fitzhugh, Special Agent in Charge of Homeland Security Investigations in Boston; John Gibbons, U.S. Marshal for the District of Massachusetts; Maura Healey, Attorney General of Massachusetts; Colonel Kerry A. Gilpin, Superintendent of the Massachusetts State Police; Boston Police Commissioner William Gross; Chelsea Police Chief Brian Kyes; and Brockton Police Chief John Crowley made the announcement. The U.S. Attorney’s Office also acknowledges the assistance of the Suffolk and Middlesex County Sheriff Departments and the Malden, Revere and Everett Police Departments. Lelling’s Organized Crime and Gang Unit is prosecuting the case.

BOSTON – Two Lowell men were indicted today in federal court in Boston for heroin and fentanyl trafficking.

Joshua Ramos-Rios, 30, and Anderson Daniel Jorge Cruz, 20, were indicted for conspiracy to distribute and to possess with intent to distribute one kilogram or more of heroin and fentanyl. Ramos-Rios and Jorge Cruz were arrested on Jan. 23, 2019, and charged by complaint. They have been in custody since.

According to the charging documents, on Jan. 23, 2019, federal, state, and local law enforcement seized over one kilogram of suspected heroin and fentanyl from Ramos-Rios and Jorge Cruz in an undercover operation. Ramos-Rios is currently on parole in Massachusetts for drug and firearm offenses, and Jorge Cruz has an outstanding warrant for homicide in Allentown, Pennsylvania.

The charge of conspiracy to distribute and to possess with intent to distribute one kilogram or more of heroin and fentanyl provides for a mandatory minimum sentence of 10 years and up to life in prison, a minimum of five years of supervised release, and a fine of $10 million. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.

United States Attorney Andrew Lelling; Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration’s New England Division; Lowell Police Superintendent Raymond Kelly Richardson; and Colonel Kerry Gilpin, Superintendent of the Massachusetts State Police, made the announcement. Assistant U.S. Attorney Philip C. Cheng of Lelling’s Narcotics and Money Laundering Unit is prosecuting the case.

The details contained in the charging documents are allegations. The defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.

This case is 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. The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.

BOSTON – Two Dominican nationals were indicted today in federal court in Boston for heroin trafficking.

Angel Martinez-Peguero, 27, and his brother Alexander Martinez-Peguero, 38, both of whom resided in Lawrence, were charged with conspiracy to distribute and to possess with intent to distribute 100 grams or more of heroin. Angel Martinez-Peguero was additionally charged with possession of a firearm in furtherance of a drug trafficking crime. The brothers will be arraigned at a later date set by the court.

According to the charging documents, on Dec. 20, 2018, investigators seized nearly one kilogram of heroin from the Martinez-Peguero brothers during a law enforcement operation in Lawrence. Investigators also seized a loaded semi-automatic pistol from Angel Martinez-Peguero’s waistband upon his arrest.

The charge of conspiracy to distribute and to possess with intent to distribute 100 grams or more of heroin carries a mandatory minimum sentence of five years and up to 40 years in prison, at least four years of supervised release, and a fine of $5 million. The charge of possession of a firearm in furtherance of a drug trafficking crime provides for a mandatory minimum sentence of five years in prison to be served consecutive to any sentence imposed for the underlying drug trafficking crime. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.

United States Attorney Andrew Lelling; Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration’s New England Division; and Colonel Kerry Gilpin, Superintendent of the Massachusetts State Police, made the announcement. Assistant U.S. Attorney Philip C. Cheng of Lelling’s Narcotics and Money Laundering Unit is prosecuting the case.

The details contained in the charging documents are allegations. The defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.

BOSTON - A Rhode Island man was sentenced today in federal court in Boston for bank robbery.

Stephen A. Davidow, 55, of Pawtucket, R.I., was sentenced by U.S. District Court Chief Judge Patti B. Saris to seven years in prison, three years of supervised release, and ordered to pay restitution of $8,817. In September 2018, Davidow pleaded guilty to four counts of bank robbery.

Between Dec. 6 and Dec. 11, 2017, an individual, later identified as Davidow, robbed four banks in the Greater Boston area. Based on the physical location of the banks, surveillance footage, the bank tellers’ descriptions of the robber, and other similarities, law enforcement determined that the same individual was involved in each robbery. On Dec. 15, 2017, having distributed images of the alleged perpetrator to the local news, law enforcement received a tip that the suspect was Davidow. Photos of Davidow were shown to one of the tellers who positively identified Davidow as the man who robbed the bank.   

During the time of the robberies, Davidow was on supervised release for a 2007 bank robbery conviction in Rhode Island. Davidow was located and was arrested on Dec. 18, 2017, in Massachusetts on a Rhode Island federal warrant and has been in custody since his arrest.

United States Attorney Andrew E. Lelling; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Office; John Gibbons, U.S. Marshal for the District of Massachusetts; Boston Police Commissioner William Gross; and Boston University Police Chief Kelly A. Nee made the announcement. Assistant U.S. Attorney Kenneth G. Shine of Lelling’s Major Crimes Unit prosecuted the case.

BOSTON – A Lynn man pleaded guilty yesterday in federal court in Boston to multiple drug charges associated with his distribution of heroin and fentanyl, which led to the 2017 overdose death of a Melrose resident.

Yeffry Reynoso, a/k/a Chris, 27, pleaded guilty to one count of conspiring to distribute at least 100 grams of heroin and at least 40 grams of fentanyl in 2016 and 2017. Reynoso also pleaded guilty to six counts of distributing heroin or fentanyl on various dates in 2017. U.S. District Judge Nathaniel M. Gorton scheduled sentencing for May 9, 2019.

According to court documents, Reynoso admitted that he sold and directed others to sell on his behalf small, retail quantities (typically approximately .25 to .30 grams in a plastic baggie) of heroin, heroin mixed with fentanyl, and/or fentanyl to numerous individuals in Lynn, Melrose, Saugus, Peabody, Malden, and the surrounding areas. Reynoso admitted that he sold the drugs to his customers on an almost daily basis and that he directed others who worked for him to deliver the drugs. Reynoso further admitted that he sold heroin and heroin mixed with fentanyl to a customer in Melrose after being told by her friend not to do so, and that the customer overdosed and died after using the drugs he provided.

Reynoso faces a mandatory minimum sentence of five years and up to 40 years in prison, supervised release for at least four years and up to life, and a fine of $5 million. Pursuant to the plea agreement, the parties will recommend to the Court a sentence of at least nine years but not more than 14 years in prison. Judge Gorton deferred acceptance of the plea agreement until the sentencing hearing.

United States Attorney Andrew E. Lelling and Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration, Boston Field Division, made the announcement today.  Assistant U.S. Attorney James E. Arnold of Lelling’s Narcotics and Money Laundering Unit is prosecuting the case. 

BOSTON - A Lowell man pleaded guilty yesterday in federal court in Boston to a masked and armed bank robbery.

Jason M. Nobles, 37, pleaded guilty to one count of armed bank robbery. U.S. District Court Judge Nathaniel M. Gorton scheduled sentencing for May 7, 2019. Nobles is currently in federal custody.

On Feb. 26, 2018, a masked individual, later identified as Nobles, entered a branch of the Santander Bank in Swansea, approached a teller’s station, brandished what appeared to be a black semi-automatic pistol, pointed the pistol at the bank’s tellers and demanded cash. Throughout the robbery, Nobles pointed the weapon at the tellers ordering them to hurry up and threatening to shoot them. The tellers handed Nobles cash from their drawers, and Nobles fled the bank. A post robbery audit determined that Nobles stole approximately $15,000.

Bank employees witnessed Nobles depart the bank, run to a neighboring parking lot, and leave the area in a gray Toyota SUV. The employees were able to provide law enforcement with a vehicle description and the physical description of the robber. Law enforcement across multiple towns worked together to locate the Toyota SUV, stop it, and detain the driver - Nobles - who matched the description of the robber given by the bank’s employees. Later, when law enforcement executed a search of the vehicle, they found a large sum of money and a black Sig Sauer semi-automatic pellet gun.

The charge provides for a sentence of no greater than 25 years in prison and five years of supervised release. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.

United States Attorney Andrew E. Lelling; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Office; Bristol County District Attorney Thomas M. Quinn; Swansea Police Chief George Arruda; and Rehoboth Police Chief James J. Trombetta made the announcement. Assistant U.S. Attorney Kenneth G. Shine of Lelling’s Major Crimes Unit is prosecuting the case.

BOSTON – A Holland man pleaded guilty today in federal court in Worcester to drug and money laundering charges.

Peter Molle Jr., 36, pleaded guilty to two counts of manufacturing marijuana and possessing marijuana with intent to distribute and one count of money laundering. U.S. District Court Judge Timothy S. Hillman scheduled sentencing for April 29, 2019. Molle was arrested in December 2017. 

In February 2017, federal agents executed a search warrant at Molle’s residence in Holland where they discovered a commercial-style marijuana grow operation with more than 100 marijuana plants. Even after the execution of the search warrant, Molle continued to engage in substantial black-market marijuana cultivation. In December 2017, agents executed another search warrant at Molle’s house and again located a significant commercial-style marijuana grow operation. The investigation also found that Molle used cash derived from the sale of marijuana to pay for expenses relating to his marijuana business, including to pay down the balance on a credit card that he used to purchase marijuana-related cultivation supplies.

Molle faces a minimum sentence of five years and up to 40 years in prison, a minimum of four years and up to a lifetime of supervised release, and a fine of $5 million on the drug charges. The charge of money laundering provides for a sentence of no greater than 20 years in prison, up to three years of supervised release, and a fine of up to $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors. 

United States Attorney Andrew E. Lelling and Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration, New England Field Office, made the announcement today. Assistant U.S. Attorney Bill Abely of Lelling’s Criminal Division is prosecuting the case.

BOSTON – A Dominican national was sentenced yesterday for his role in a conspiracy to distribute fentanyl. 

Julio Cesar Baez, 50, was sentenced by U.S. District Court Judge F. Dennis Saylor IV to 30 months in prison and three years of supervised release. In November 2018, Baez pleaded guilty to one count of conspiracy to possess with intent to distribute and to distribute more than 400 grams or more of fentanyl, and one count of possession with intent to distribute and distribution of more than 400 grams of fentanyl.

According to court records, as part of an ongoing drug trafficking investigation, law enforcement agents intercepted telephones used by Wareng Jhonny Villar-Ortiz and another member of the conspiracy, both of whom are also Dominican nationals, and determined that Villar-Ortiz was a mid-level drug distributor, who had received a kilogram of drugs in late January 2018. In February 2018, Villar-Ortiz was dissatisfied with the quality of the drugs and made arrangements to return the drugs. On Feb. 14, 2018, agents observed Villar-Ortiz’s supplier exit Villar-Ortiz’s apartment building, get into his car, and drive off. A short while later, agents observed Baez exit the vehicle and enter a second vehicle. Law enforcement officers then stopped the second vehicle and seized approximately 789 grams of fentanyl from Baez.

According to court records, Baez was as a runner responsible for delivering fentanyl from the supplier. Three other members of the conspiracy, including Villar-Ortiz, have been convicted in connection with the investigation, but have not yet been sentenced.

United States Attorney Andrew E. Lelling; and Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration, New England Division, made the announcement.  Valuable assistance was provided by the Boston, Ipswich, and Arlington Police Departments.  Assistant U.S. Attorney James E. Arnold of Lelling’s Narcotics and Money Laundering Unit prosecuted the case.

BOSTON – A retired Massachusetts State Police Trooper pleaded guilty yesterday in connection with the ongoing investigation of overtime abuse at the Massachusetts State Police (MSP). 

Daren DeJong, 57, of Uxbridge, pleaded guilty to one count of embezzlement from an agency receiving federal funds. U.S. District Court Senior Judge Mark L. Wolf scheduled sentencing for May 1, 2019. DeJong was arrested on July 25, 2018, and indicted on Sept. 6, 2018. 

DeJong, who is currently retired, was a Trooper assigned to Troop E, which is responsible for enforcing criminal law and traffic regulations along the Massachusetts Turnpike, Interstate I-90. DeJong received overtime pay for hours that he either did not actually work at all, or shifts in which he departed one to seven hours early.   

The conduct involves overtime pay for selective enforcement initiatives, including the Accident and Injury Reduction Effort program (AIRE) and the “X-Team” initiative. Both initiatives are intended to reduce accidents, crashes, and injuries on I-90 through an enhanced presence of MSP Troopers and targeting vehicles traveling at excessive speeds. DeJong was required to work the entire duration of the shifts – either four or eight hours – and truthfully report the date, time and sector of deployment on the citations issued during the shift. DeJong concealed the fraud by submitting citations that were issued outside the overtime shift, altered the citations to create the appearance that citations were issued during the overtime shift, and/or submitted citations that were never issued and never took place. 

Trooper DeJong earned $200,416 in 2016, which included approximately $68,394 in overtime, of which more than $14,000 was attributable to AIRE and X-Team shifts that DeJong either left early or did not show up for.

In 2015 and 2016, MSP received annual benefits from the U.S. Department of Transportation in excess of $10,000, which were funded pursuant to numerous federal grants. 

Thus far, eight MSP troopers have been charged in the ongoing investigation, seven of whom have pleaded guilty or have agreed to do so.

The charge of theft of government funds provides for a sentence of no greater than 10 years in prison, three years of supervised release, and a fine of $250,000 or twice the gross gain or loss. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.

United States Attorney Andrew E. Lelling; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; and Douglas Shoemaker, Special Agent in Charge of the U.S. Department of Transportation’s Office of Inspector General made the announcement. Assistant U.S. Attorneys Dustin Chao and Mark Grady of Lelling’s Public Corruption Unit are prosecuting the case.

BOSTON – A Lynnfield woman was sentenced today in federal court in Boston for filing false tax returns, on which she claimed, among other things, more than $370,000 in mortgage interest deductions, even though the loan was in default and the property had gone into foreclosure.

Karyn M. Ingram, 51, was sentenced by U.S. Senior District Court Judge Rya W. Zobel to three years of probation with the first six months be served in community confinement, and ordered to pay $177,852 in restitution. In August 2018, Ingram pleaded guilty to three counts of filing false tax returns for tax years 2011, 2012 and 2013.

Ingram filed tax returns in which she reported false and inflated Schedule A deductions and in one year, a Schedule C business loss, in order to reduce her overall tax liability. For example, for tax years 2010 and 2011, Ingram filed returns claiming mortgage interest deductions of $45,072 and $371,427, but she had not made any mortgage payments since 2008; in fact, the loan had defaulted, and the property had gone into foreclosure. She also claimed real estate tax deductions in those same tax years, when, in reality, the real estate taxes had been paid by the mortgage lender and not by Ingram. By falsifying the deductions and losses, Ingram fraudulently reduced her tax liability by more than $126,000.

United States Attorney Andrew E. Lelling and Kristina O’Connell, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigation in Boston, made the announcement. Assistant U.S. Attorney Sandra S. Bower of Lelling’s Criminal Division prosecuted the case.

BOSTON – A Lowell man agreed to plead guilty yesterday in federal court in Boston to distributing fentanyl.

Edilberto Calle-Alvarez, 24, pleaded guilty to conspiracy to distribute and possess with intent to distribute fentanyl and distribution and possession with intent to distribute fentanyl. U.S. District Court Judge Leo T. Sorokin deferred acceptance of the plea until sentencing, which is scheduled for April 22, 2019.

Calle-Alvarez was arrested on Oct. 4, 2018, along with dozens of others as part of a federal drug, firearms, and immigration sweep in and around the City of Lawrence. On Aug. 2, 2018, Calle-Alvarez sold approximately 20 grams of fentanyl to an undercover police officer as part of the investigation. The arrests were part of the Department of Justice’s Project Safe Neighborhood Initiative (PSN), which aims to bring together all levels of law enforcement to reduce violent crime.

The charges of conspiracy to distribute and possess with intent to distribute fentanyl and distribution and possession with intent to distribute fentanyl each carry a sentence of no greater than 20 years in prison, a minimum of three years and up to a lifetime of supervised release, and a fine of up to $1 million. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.

United States Attorney Andrew E. Lelling; Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration, New England Division; and Lowell Police Superintendent Raymond Kelly Richardson made the announcement today. Assistant U.S. Attorney Philip Cheng of Lelling’s Criminal Division is prosecuting the case.

Project Safe Neighborhoods (PSN) is the centerpiece of the Department of Justice’s violent crime reduction efforts. 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 develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.

BOSTON – A retired Massachusetts State Police Lieutenant pleaded guilty today in connection with the ongoing investigation of overtime abuse at the Massachusetts State Police (MSP).

Former Lieutenant David Wilson, 58, of Charlton, pleaded guilty to one count of embezzlement from an agency receiving federal funds. U.S. District Court Judge Richard G. Stearns scheduled sentencing for May 2, 2019. In June 2018, Wilson was arrested and charged by criminal complaint.

Wilson, who served as the Officer-in-Charge of several overtime shifts, received overtime pay for shifts from which he left early or did not work at all.   

The conduct involves overtime pay for selective enforcement initiatives, specifically the Accident and Injury Reduction Effort program (AIRE), which is intended to reduce accidents, crashes, and injuries on I-90 through an enhanced presence of MSP Troopers and targeting vehicles traveling at excessive speeds. Wilson was required to work the entire duration of the four hour shift and truthfully report the date, time and sector of deployment on the citations issued during the shift. During the plea, Wilson admitted that he had been paid for hours he did not work, and for overtime shifts he did not work at all. Wilson concealed his fraud by submitting false paperwork and citations that were issued outside the overtime shifts that had been altered to create the appearance that they were issued during overtime shifts. 

In 2016, Lt. Wilson earned approximately $259,475, which included approximately $102,062 in overtime pay, a portion of which included pay for AIRE shifts. During that year, the investigation revealed that Lt. Wilson earned approximately $12,450 in overtime pay for 124.5 AIRE overtime hours that he did not work.

In 2016, MSP received annual benefits from the U.S. Department of Transportation in excess of $10,000, which were funded pursuant to numerous federal grants. 

The charge of theft of government funds provides for a sentence of no greater than 10 years in prison, three years of supervised release, and a fine of $250,000 or twice the gross gain or loss.  Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors. Pursuant to the plea agreement, the government has agreed to recommend a sentence of not more than 12 and not less than six months in prison.

United States Attorney Andrew E. Lelling; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; and Douglas Shoemaker, Special Agent in Charge of the U.S. Department of Transportation’s Office of Inspector General, made the announcement today. Assistant U.S. Attorneys Dustin Chao and Mark Grady of Lelling’s Public Corruption Unit are prosecuting the case.

BOSTON – A former Quincy man, who had been a fugitive for more than 20 years prior to his arrest in April 2017, was sentenced today in federal court in Boston in connection with a $1.9 million real estate investment fraud scheme in Quincy. 

Scott J. Wolas, 69, was sentenced by U.S. District Court Judge F. Dennis Saylor IV to 81 months in prison, three years of supervised release and ordered to pay $1,949,813 in restitution to the victims of his fraud scheme. Judge Saylor also ordered Wolas to pay restitution of $69,768 to Social Security and Medicare and $318,266 to the IRS. In June 2018, Wolas pleaded guilty to seven counts of wire fraud, one count of aggravated identity theft, misuse of a Social Security number and tax evasion.

From at least 2009 through 2016, Wolas, using the name Eugene Grathwohl, operated a real estate business known as Increasing Fortune Inc. and worked as a licensed real estate agent for Century 21 in Quincy. From 2014 through 2016, he solicited investments for the development of the Beachcomber Bar property on Quincy Shore Drive and for the construction of a single-family home on the adjacent property. He collected more than $1.9 million from at least 24 investors and promised each of them a significant return on their investments. He further promised to pay out at least 125% of the profits related to the single-family home construction.  However, Wolas used the money mostly for personal expenses unrelated to development of the real estate projects.

Wolas was scheduled to close on the Beachcomber property on Sept. 15, 2016. A week before, however, he left Quincy and ceased all contact with his then-girlfriend, his co-workers, and his investors. Law enforcement then discovered that Grathwohl was actually Wolas, a former lawyer who had been a fugitive since 1997 after being charged with fraud and grand larceny in New York. The real Eugene Grathwohl resided in Florida and was known to Wolas.

On Nov. 17, 2016, law enforcement officers interviewed Wolas’ ex-wife, Cecily Sturge, of Delray Beach, Fla., who stated that she had not been in contact with her ex-husband for approximately 15 years. Sturge continued to say that this was so, despite evidence of contact between her cell phone and one known to belong to Wolas that demonstrated more recent communication between the two.

After further investigation, Wolas was arrested on April 7, 2017, at a condominium he was renting in Delray Beach, Fla. Investigators learned that Wolas had first rented a room in the condo from Nov. 12 through Nov. 21, 2016, through an online rental website in the name of Cecily Sturge. Messages exchanged between the condo owner and Sturge depicted a photo of Sturge and messages claiming that Wolas (using the name Cameron Sturge) was Sturge’s brother and a retired paleontologist in need of a place to stay. The owner of the condo told authorities that Sturge and Wolas arrived at the condo together in the same car on Nov. 12, 2016, five days before Sturge’s interview with law enforcement.  

Sturge was divorced from Wolas in 2001 by default judgment in Palm Beach County, Fla. In February 2017, Sturge filed a petition to modify the judgment in order to obtain the contents of Wolas’ retirement account, which had a balance of approximately $647,000, from the New York law firm where he worked prior to being indicted in 1997 by New York authorities. In pleadings filed in February and March 2017 regarding that matter, Sturge swore that Wolas’ whereabouts were unknown to her, despite telephone records showing frequent contact between the two. In addition, copies or drafts of documents filed in the Florida proceeding, along with a thumb drive, were found in the room where Wolas was arrested. Wolas later admitted that he drafted the pleadings that Sturge filed. The United States previously obtained a court order freezing the retirement account pending the resolution of the criminal proceedings.

Sturge previously pleaded guilty to making a materially false statement to a federal agent and was sentenced in May 2018 to one year of probation.

United States Attorney Andrew E. Lelling; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; Kristina O’Connell, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigation in Boston; Scott Antolik, Special Agent in Charge of the Social Security Administration, Office of Inspector General, Office of Investigations, Boston Field Division; and Quincy Police Chief Paul Keenan made the announcement today. Assistant U.S. Attorneys Sandra S. Bower of Lelling’s Criminal Division and David G. Lazarus of Lelling’s Civil Division prosecuted the case.

BOSTON – Two Dominican nationals were arrested yesterday and charged with heroin trafficking.

Angel Martinez-Peguero, 27, and his brother Alexander Martinez-Peguero, 38, both of whom resided in Lawrence, were arrested and charged by criminal complaint with conspiracy to distribute and to possess with intent to distribute controlled substances. Angel Martinez-Peguero was additionally charged with possession of a firearm in furtherance of a drug trafficking crime. They will appear in federal court in Boston this afternoon.

According to charging documents, on Dec. 20, 2018, investigators seized approximately one kilogram of suspected heroin from the Martinez-Peguero brothers during a law enforcement operation in Lawrence. Investigators also seized a loaded semi-automatic pistol from Angel Martinez-Peguero’s waistband upon his arrest.

The charge of conspiracy to distribute and to possess with intent to distribute controlled substances a sentence of no greater than 20 years in prison, a fine of $1 million, and at least three years of supervised release. The charge of possession of a firearm in furtherance of a drug trafficking crime provides for a minimum mandatory sentence of five years in prison to be served consecutive to any sentence imposed for the underlying drug trafficking crime. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.

United States Attorney Andrew Lelling; Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration’s New England Division; and Massachusetts State Police Superintendent Colonel Kerry Gilpin made the announcement. Assistant U.S. Attorney Philip C. Cheng of Lelling’s Narcotics and Money Laundering Unit is prosecuting the case.

The details contained in the charging documents are allegations. The defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.

BOSTON - Eight members of a drug trafficking organization operating between Springfield, Mass., and Barre, Vt., were indicted in federal court in Springfield in connection with a drug conspiracy involving money laundering and illegal firearms trafficking. A Hampden County Superior Court employee was also charged in the indictment.

The following eight individuals were charged in a 24 count superseding indictment unsealed today in connection with a heroin trafficking conspiracy. Each of the defendants were charged with conspiracy to distribute heroin, cocaine, and crack cocaine. Six of the defendants are alleged to have engaged in money laundering offenses, two of the defendants allegedly conspired to engage in the unlicensed dealing of firearms, and a Hampden County Superior Court employee is alleged to have made false statements to federal agents in connection with the investigation. Four of the defendants are already in federal custody having been originally charged and arrested on Jan. 12, 2018; three defendants were arrested today and one is a fugitive.

1. Nia Moore-Bush, also known as “Nia Dinzey,” 28, of Springfield, currently in federal custody;
2. Dinelson Dinzey, 35, of Springfield, currently in federal custody;
3. Jamieson Gallas, 37, of Barre, currently in federal custody;
4. Tracy Parsons, 46, of Barre, currently released on conditions pending trial;
5. Daphne Moore, 55, of Springfield, was arrested today;
6. Oscar Rosario, 33, of Springfield, was arrested today;
7. Luis Niko Santos, 24, of Springfield; is a fugitive; and
8. Amanda Atkins, 35, of Barre, was arrested today.

According to court documents, the organization was trafficking heroin and cocaine base from Springfield to central Vermont. It is alleged that Moore-Bush and Dinzey obtained narcotics in the Springfield area and transported the narcotics to Vermont themselves or via couriers and distributed the drugs in the Barre area, where drug prices are much higher than in Springfield. 

It is further alleged that Moore-Bush, Dinzey, Parsons, Gallas, Moore, and Atkins laundered the proceeds of the drug conspiracy through bank accounts held by Moore in trust for Moore-Bush. The organization allegedly made cash deposits in Vermont, and Moore-Bush and Moore facilitated the withdrawal of those funds from the accounts in Massachusetts. It is further alleged that Moore-Bush and Dinzey conspired to launder drug proceeds through the purchase of an Audi vehicle. 

The superseding indictment also alleges that Moore-Bush and Dinzey conspired to engage in the unlicensed dealing of firearms. Moore-Bush allegedly sold two firearms on Feb. 16, 2017, and four firearms on May 5, 2017. Dinzey is charged with the conspiracy and assisting in the May 5, 2017, firearms sale. According to court documents, federal law enforcement traced all six firearms involved in these two sales to individuals connected to Vermont or New Hampshire. Both Moore-Bush and Dinzey are also charged with being felons in possession of the firearms they sold on May 5, 2017, or aiding and abetting that offense. Court records indicate that Dinzey has at least two prior felony drug convictions.

Finally, the superseding indictment charges Moore with making three false statements to federal agents on Jan. 12, 2018. Court records reveal that Moore is Moore-Bush’s mother and an assistant clerk magistrate at Hampden Superior Court in Springfield. Moore-Bush and Dinzey were residing with Moore at the time of their arrest on Jan. 12, 2018. Moore allegedly falsely stated that she did not know where Moore-Bush conducted her banking when, in fact, she knew that Moore-Bush used accounts held in Moore’s name in trust for Moore-Bush. She also falsely stated that she did not know that individuals from Vermont had been at her house and the whereabouts of a black Audi when, in fact, Moore had met and interacted with individuals from Vermont at her home and knew that Moore-Bush had sold the black Audi.

Conspiracy to distribute and possess with intent to distribute 280 grams or more of cocaine base provides for a mandatory minimum sentence of 10 years and up to life in prison, a minimum of five years of supervised release, and a fine of up to $10 million. Dinzey and Gallas, who each have at least one prior felony drug conviction, face mandatory minimum sentences of 20 years and up to life in prison, a minimum of 10 years of supervised release, and a fine of up to $20 million. The charge of conspiring to distribute and possess with intent to distribute 28 grams or more of cocaine base provides for a mandatory minimum sentence of five years and no greater than 40 years in prison, at least four years of supervised release, and a fine of up to $5 million.  For Santos, who has at least one prior felony drug conviction, the narcotics counts against him provide for a sentence of no greater than 30 years in prison, at least six years of supervised release, and a fine of up to $2 million. The narcotics charges against Rosario and Moore provide for sentences of no greater than 20 years in prison, at least three years of supervised release, and a fine of up to $1 million. Each money laundering charge carries a sentence of no greater than 20 years in prison, up to three years of supervised release, and a fine of up to $250,000. The charges of conspiring to engage in the unlicensed dealing of firearms and engaging in the unlicensed dealing of firearms each carry a sentence of no greater than five years in prison, up to three years of supervised release, and a fine of up to $250,000. The charge of making false statements to a federal agent provides for a sentence of up to five years in prison, up to three years of supervised release, and a fine of up to $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors. 

United States Attorney Andrew E. Lelling; Kelly D. Brady, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives, Boston Field Division; and Kristina O'Connell, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigation in Boston, made the announcement today. Valuable assistance was provided by the Massachusetts State Police, the Vermont State Police, and the Montpelier (VT) and Barre (VT) Police Departments. Assistant U.S. Attorney Katharine A. Wagner of Lelling’s Springfield Branch Office is prosecuting the cases.

The details contained in the charging documents are allegations. The defendants are presumed to be innocent unless and until proven guilty beyond a reasonable doubt in a court of law.

BOSTON – A nurse at the Department of Correction’s Massachusetts Alcohol and Substance Abuse Center (MASAC) in Plymouth, was arrested yesterday and charged with distribution of Suboxone strips to inmates in that facility.

Julie Inglis-Somers, 39, of Kingston, Mass., was arrested yesterday in Jacksonville, Fla. after fleeing the District of Massachusetts last week. She is charged by criminal complaint with one count of distribution of a controlled substance. She will appear for a detention hearing this afternoon in the Middle District of Florida.

According to charging documents, on or about Nov. 18, 2018, and Dec. 4, 2018, Inglis-Somers provided Suboxone to two inmates at MASAC. Suboxone, a Class III controlled substance used to treat heroin addiction, is sometimes misused to get high. Suboxone is a coveted contraband in prisons across the nation and is particularly popular in New England. 

MASAC is one of five facilities in Massachusetts where, under Massachusetts General Laws, a state court judge can send a person who the judge has determined to be a danger to self or others due to substance abuse. MASAC is the only such facility overseen by the Massachusetts Department of Corrections. 

The charge of distribution of a controlled substance provides for a sentence of no greater than 10 years in prison, three years of supervised release and a fine of $500,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.

United States Attorney Andrew E. Lelling; Harold H. Shaw, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; and Commissioner Thomas A. Turco III of the Massachusetts Department of Correction made the announcement today. The FBI Jacksonville (FL) Field Division and the Suwannee County (FL) Sheriff’s Office provided assistance with the arrest. Assistant U.S. Attorney Eugenia M. Carris of Lelling’s Public Corruption and Special Prosecutions Unit is prosecuting the case.

The details contained in the charging document are allegations. The defendant is presumed to be innocent unless and until proven guilty beyond a reasonable doubt in the court of law.

BOSTON – A New Jersey firefighter and a Puerto Rican man were convicted by a federal jury in Worcester yesterday in connection with a heroin conspiracy.

Ivan Cruz-Rivera, 50, of Dorado, P.R., and Carlos Jimenez, 52, of Englishtown, N.J., were each convicted after a 12-day trial of one count of possession with intent to distribute heroin and distribution of more than 100 grams of heroin, and one count of conspiracy to possess with intent to distribute heroin and to distribute heroin; Cruz-Rivera was found responsible for more than 100 grams of heroin with regards to the conspiracy charge. U.S. District Court Judge Timothy S. Hillman scheduled sentencing for Cruz-Rivera and Jimenez for March 20, 2019, and April 24, 2019, respectively.

On Oct. 4, 2013, federal agents were surveilling garages on Union Street in Leominster where they believed drugs were being sold. The agents observed two men in a Lexus with New Jersey plates entering the property and leaving over 90 minutes later. After the Lexus left, an individual at the garage sold heroin to a cooperating source for $7,500. 

A law enforcement officer subsequently followed the Lexus and stopped the vehicle in Sturbridge after the driver committed a traffic violation. The trooper observed that the driver and passenger were visibly nervous – the driver’s hands were trembling and the passenger was avoiding eye contact and fidgeting. The driver provided the trooper with a New Jersey license and conspicuously displayed his firefighter badge, which identified him as Carlos Jimenez, and the passenger, Cruz-Rivera, presented a Puerto Rican identification card. When questioned about the purpose of the trip to Massachusetts, Jimenez gave conflicting answers and said that they had just come from Lawrence. Jimenez denied having weapons or drugs in the car, but indicated that his passenger had some cash in the car. When Cruz-Rivera was questioned about transporting large sums of cash in the car, he gave evasive answers before finally stating that there was $1,000 in the car. After Jimenez consented to a vehicle search, the trooper found $44,000 in a black bag in the back seat of the Lexus. 

The cash was seized, but Jimenez and Cruz-Rivera were released. Subsequently, a cooperating witness provided law enforcement with information regarding Jimenez and Cruz-Rivera’s drug trafficking activity. In approximately 2012, the cooperating witness began purchasing heroin from Cruz-Rivera. On Oct. 4, 2013, Jimenez told the cooperator that he drove for the drug delivery because it was less likely that he would get in trouble if they were pulled over because he was a firefighter.

Both defendants face a mandatory minimum sentence of five years and no greater than 40 years in prison, four years of supervised release, and a fine of $5 million. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.

United States Attorney Andrew E. Lelling; Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration, Boston Field Division; Colonel Kerry A. Gilpin, Superintendent of the Massachusetts State Police; Worcester Police Chief Steven M. Sargent; Fitchburg Police Chief Ernest Martineau; Leominster Interim Police Chief Michael Goldman; and Lunenburg Police Chief James P. Marino made the announcement today. Assistant U.S. Attorneys Michelle L. Dineen Jerrett and William F. Abely of Lelling’s Worcester Branch Office are prosecuting the case.