District of Massachusetts
Press releases recorded for this federal judicial district.
Operator of Temporary Employment Agency Pleads Guilty to Tax Crimes and Insurance FraudRead the Press Release
BOSTON – A Swansea resident pleaded guilty yesterday in federal court in Boston in connection with a long-running, off-the-books payroll scheme through which her temporary employment agency evaded federal employment taxes and workers’ compensation insurance premiums.
Souleang Kane, 48, pleaded guilty to 18 counts of willful failure to collect and pay over taxes to the Internal Revenue Service (IRS) and five counts of mail fraud in connection with her evasion of workers’ compensation insurance premiums. U.S. District Court Judge Douglas P. Woodlock scheduled sentencing for Jan. 9, 2018.
From 2010 to 2015, Kane operated a series of temporary employment agencies under the names Expert Staffing, Affordable Staffing and M&K Temp Inc., which provided labor for Massachusetts companies in agricultural industries. Kane failed to report to the IRS approximately $4.3 million that her agencies paid in employee wages. She thereby avoided collecting and paying both the taxes required to be withheld from employee wages and the matching taxes required to be paid by the employer. As a result, Kane evaded payment of more than $1.3 million in federal taxes.
Kane also grossly understated her business’ payroll in dealings with her workers’ compensation insurance providers. As a result, her workers’ compensation insurance premiums were fraudulently reduced by more than $100,000 between 2010 and 2015.
Each count of failure to collect and pay over federal taxes provides for a sentence of no greater than five years in prison, three years of supervised release and a fine of $250,000. Each count of mail fraud provides for a sentence of no greater than 20 years in prison, five years of supervised release and a fine of $250,000. Sentences are imposed by the federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
Acting United States Attorney William D. Weinreb; Joel P. Garland, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigation in Boston; and Anthony DiPaolo, Chief of Investigations of the Massachusetts Insurance Fraud Bureau, made the announcement. Assistant U.S. Attorney Victor A. Wild of Weinreb’s Economic Crimes Unit prosecuted the case.
Guatemalan National Sentenced for Illegal Reentry After DeportationRead the Press Release
BOSTON - A Guatemalan national charged with an immigration crime pleaded guilty and was sentenced yesterday in federal court in Boston.
Eric Contreras, 29, pleaded guilty to one count of illegal reentry after deportation before U.S. Senior District Court Judge Mark L. Wolf, who sentenced Contreras to two months in prison and two years of supervised release. Contreras will be subject to deportation proceedings upon completion of his sentence.
Contreras was previously deported on May 11, 2016. On June 7, 2017, Contreras was arrested in Waltham on unrelated state charges.
Acting United States Attorney William D. Weinreb and Matthew J. Etre, Special Agent in Charge of Homeland Security Investigations in Boston, made the announcement today. Assistant U.S. Attorney Nicholas Soivilien of Weinreb’s Major Crimes Unit prosecuted the case.
Guatemalan National Sentenced for Illegal Reentry After DeportationRead the Press Release
BOSTON - A Guatemalan national charged with an immigration crime pleaded guilty and was sentenced yesterday in federal court in Boston.
Victor Deleon, 37, pleaded guilty to one count of unlawful reentry of a deported alien before U.S. Senior District Court Judge Mark L. Wolf, who sentenced Deleon to time served (approximately three months in prison) and two years of supervised release. Deleon will be subject to deportation proceedings.
Deleon was previously deported on Nov. 4, 2011. Law enforcement officers in Boston encountered Deleon in May 2017 and found him to be illegally present in the United States.
Acting United States Attorney William D. Weinreb and Matthew J. Etre, Special Agent in Charge of Homeland Security Investigations in Boston, made the announcement today. Assistant U.S. Attorney Kenneth G. Shine of Weinreb’s Major Crimes Unit prosecuted the case.
Guatemalan National Pleads Guilty to Illegal Reentry After DeportationRead the Press Release
BOSTON - A Guatemalan national pleaded guilty today in federal court in Boston to illegally reentering the United States after being deported.
Elmer Noe Esquivel-Mendoza, 34, pleaded guilty to one count of unlawful reentry of a deported alien. U.S. District Court Judge F. Dennis Saylor IV scheduled sentencing for Dec. 13, 2017.
Esquivel-Mendoza was previously deported on May 20, 2013. In January 2017, law enforcement officers in Boston encountered Esquivel-Mendoza and determined him to be illegally present in the United States.
The charge provides for a sentence of no greater than two years in prison, one year of supervised release and a fine of $250,000. Esquivel-Mendoza will be subject to deportation upon completion of his sentence. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
Acting United States Attorney William D. Weinreb and Matthew J. Etre, Special Agent in Charge of Homeland Security Investigations in Boston, made the announcement today. Assistant U.S. Attorney Kenneth G. Shine of Weinreb’s Major Crimes Unit is prosecuting the case.
Framingham Man Sentenced to 17 Years in Prison for Sexually Exploiting Approximately 150 BoysRead the Press Release
BOSTON – A Framingham man was sentenced yesterday in federal court in Boston for sexually exploiting approximately 150 boys by posing as a teenage girl on the internet and convincing the boys to send nude photos and videos of themselves to him.
Curtis Simoneau, 24, was sentenced by U.S. District Court Judge Leo T. Sorokin to 17 years in prison and 10 years of supervised release. Simoneau will also have to register as a sex offender upon his release from federal prison. In June 2017, Simoneau pleaded guilty to two counts of coercion and enticement of a minor and one count of possession of child pornography.
On March 7, 2016, law enforcement in central Massachusetts responded to a complaint regarding the possible sexual exploitation of a 13-year-old boy. When an officer interviewed the victim and his parents, the victim said he began communicating with “LJ” via KiK Messenger, a mobile instant messaging app, in December 2015.
Simoneau, posing online as “LJ,” told the victim that he was a 14-year-old girl living in Maine and offered to exchange nude images and nude videos with the victim, which they did on multiple occasions. The victim believed he was in an online relationship with “LJ.” The victim also told law enforcement that he had introduced his friend, a 12-year-old boy, to “LJ” via KiK, and that his friend and “LJ” also exchanged nude images. An interview with the second victim confirmed that he too had exchanged nude images with “LJ.”
Law enforcement was able to identify Simoneau as the individual who was posing as “LJ” as well as confirm his Framingham address. The investigation further determined that Simoneau was previously convicted in a Massachusetts state court of possession of child pornography and placed on probation.
During a search of Simoneau’s home on Aug. 4, 2016, 1,128 videos of child pornography and 712 photos of child pornography were discovered on Simoneau’s digital devices. Most of the child pornography in Simoneau’s collection had been sent to him by boys who believed they were sending nude and sexually suggestive material of themselves to a teenage girl. In total, Simoneau victimized approximately 150 boys.
Acting United States Attorney William D. Weinreb; Harold H. Shaw, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; Boston Police Commissioner William Evans; and Framingham Police Chief Kenneth Ferguson made the announcement today. Assistant U.S. Attorney David G. Tobin of Weinreb’s Major Crimes Unit prosecuted the case.
Dominican National Sentenced for Illegal Reentry After DeportationRead the Press Release
BOSTON - A Dominican national charged with a federal immigration crime pleaded guilty and was sentenced yesterday in federal court in Boston.
Victor Melo, 49, a Dominican national residing in Boston, pleaded guilty before U.S. Senior District Court Judge Mark L. Wolf, who sentenced Melo to time served (approximately five months in prison) and one year of supervised release. Melo also faces deportation proceedings.
Melo was previously deported in March 1991. In May 2017, federal agents in Boston encountered Melo and found him to be illegally present in the United States.
Acting United States Attorney William D. Weinreb and Matthew J. Etre, Special Agent in Charge of Homeland Security Investigations in Boston, made the announcement today. Assistant U.S. Attorney Kenneth G. Shine of Weinreb’s Major Crimes Unit prosecuted the case.
Dominican National Pleads Guilty to Passport FraudRead the Press Release
BOSTON - A Dominican national pleaded guilty today in federal court in Worcester to passport fraud.
Adolfo Santana Gonzalez, 31, pleaded guilty to one count of misuse of a Social Security number and one count of making a false statement in an application for a United States Passport. U.S. District Court Judge Timothy S. Hillman scheduled sentencing for Jan. 4, 2018.
In November 2016, Santana Gonzalez, using the identification and Social Security number assigned to another individual, submitted an application for a U.S. passport at a U.S. Post Office in Worcester in that individual’s name.
The charge of misusing 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 charge of passport fraud provides for a sentence of no greater than 10 years in prison, three years of supervised release, and a fine of $250,000. Santana Gonzalez will be subject to deportation upon completion of his sentence. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
Acting United States Attorney William D. Weinreb and William B. Gannon, Special Agent in Charge of the U.S. Department of State, Bureau of Diplomatic Security, Boston Field Office, made the announcement today. U.S. Customs and Border Protection provided assistance with the investigation. Assistant U.S. Attorney Kenneth G. Shine of Weinreb’s Major Crimes Unit is prosecuting the case.
Dominican National Pleads Guilty to Illegal Reentry After DeportationRead the Press Release
BOSTON - A Dominican national pleaded guilty today in federal court in Springfield to a federal immigration crime.
Reynaldo Rodriguez, 49, pleaded guilty to one count of unlawful reentry of a deported alien. U.S. District Court Judge Mark G. Mastroianni scheduled sentencing for Nov. 28, 2017.
Rodriguez was previously deported on June 14, 2007. In June 2017, law enforcement officers in Hampden County encountered Rodriguez and determined him to be illegally present in the United States.
Rodriguez faces a sentence of no greater than 10 years in prison, three years of supervised release, a fine of $250,000 and will be subject to deportation upon completion of his sentence. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
Acting United States Attorney William D. Weinreb and Matthew J. Etre, Special Agent in Charge of Homeland Security Investigations in Boston, made the announcement today. Assistant U.S. Attorney Todd E. Newhouse of Weinreb’s Springfield Branch Office is prosecuting the case.
Lawrence Man Sentenced for Drug and Firearm OffensesRead the Press Release
BOSTON – A Lawrence man was sentenced today in federal court in Boston for drug and firearm offenses.
Melvin Difo, 31, was sentenced by U.S. District Court Judge Douglas P. Woodlock to five years in prison and five years of supervised release. In June 2017, Difo pleaded guilty to one count of possession with intent to distribute cocaine, heroin, and oxycodone; one count of conspiracy to distribute and possess with intent to distribute oxycodone; and one count of possession of a firearm by a convicted felon.
In the fall of 2015, after federal investigators learned that Difo was receiving oxycodone for re-sale, they arranged to have sources make numerous controlled purchases of narcotics from Difo. In August 2016, two federal search warrants were executed, one at Difo’s home, where a firearm was seized, and one at Difo’s business, where approximately 40 grams of heroin, 100 grams of cocaine and 50 oxycodone pills were seized.
Acting United States Attorney William D. Weinreb and Michael J. Ferguson, Special Agent in Charge of the Drug Enforcement Administration, New England Field Division, made the announcement today. The Massachusetts State Police and Lawrence Police Department provided valuable assistance with the investigation. Assistant U.S. Attorney Eric Rosen of Weinreb’s Criminal Division prosecuted the case.
Dominican National Sentenced for Illegal Reentry after DeportationRead the Press Release
Boston – A Dominican national was sentenced today in federal court in Boston for illegally reentering the United States after being deported.
Jose Manuel Arroyo, a/k/a Juan Manuel Tejeda-Serrano, 39, a Dominican national residing in Boston, was sentenced by U.S. District Court Judge George A. O’Toole Jr. to 21 months in prison and three years of supervised release. Arroyo will be subject to deportation proceedings upon completion of his sentence. In May 2016, Arroyo pleaded guilty to one count of illegal reentry after deportation.
Between 2005 and 2014, Arroyo was deported from the United States five times. Between 2010 and 2013, Arroyo was convicted of illegal reentry after deportation on three occasions in federal court in Boston, as well as once in Texas in 2006. Arroyo most recently came to the attention of federal immigration officials after being arrested for identity fraud. In March 2017, Arroyo, under the name Juan Manuel Tejeda-Serrano, pleaded guilty in federal court in Boston to one count of conspiracy to distribute and possess with intent to distribute controlled substances, including cocaine. His sentencing is scheduled for November 2017.
Acting United States Attorney William D. Weinreb and Matthew J. Etre, Special Agent in Charge of Homeland Security Investigations in Boston, made the announcement today. Assistant U.S. Attorney David Tobin of Weinreb’s Major Crimes Unit prosecuted the case.
Defendants in Massachusetts Registry of Motor Vehicles Identity Theft Scheme Agree to Plead GuiltyRead the Press Release
BOSTON – Five individuals have agreed to plead guilty in federal court in Boston for their roles in a scheme to produce false identification documents through the Massachusetts Registry of Motor Vehicles (RMV).
Evelyn Medina, 56, of Boston; Annette Gracia, 37, of Boston; Kimberly Jordan, 33, of Randolph; David Brimage, 46, of Boston; and Bivian Yohanny Brea, 41, of Boston, have agreed to plead guilty to one count of producing without lawful authority an identification document or a false identification document. At the time of their arrest, Medina, Gracia, Jordan, and Brimage were all employed as clerks at the Haymarket Registry of Motor Vehicles.
Angel Miguel Beltre Tejada, 32, a Dominican national illegally residing in Jamaica Plain, was charged in an Information with one count of aggravated identity theft. The defendants were arrested in August 2017.
In October 2015, law enforcement received an anonymous letter alleging that a corrupt RMV employee was providing Massachusetts identifications and drivers’ licenses to individuals who were using false identifications. An investigation revealed that several Haymarket RMV clerks – Medina, Gracia, Jordan, and Brimage – were working with Brea and Tejada to fraudulently provide Massachusetts licenses and identification cards to illegal aliens for cash.
The scheme involved several steps. Tejada and Brea would obtain identification documents belonging to United States citizens in Puerto Rico and sell them to clients who were seeking legitimate identities in Massachusetts. These clients included illegal aliens, individuals who were previously deported, and an individual who admitted to previously facing drug charges. Tejada would receive several hundred dollars in cash each time he sold identification documents. Brea received up to $2,700 per identity for her role in the scheme, which included helping clients obtain the documents and facilitating their acquisition of Massachusetts identity documents.
Typically, Brea and the client brought the stolen identities to the Haymarket RMV, where Medina, Gracia, Jordan, and/or Brimage would accept hundreds of dollars in cash to illegally issue authentic RMV documents, including Massachusetts licenses and ID cards. The clerks also accepted bribes to use the RMV’s system to run queries, including Social Security number audits, to confirm that the identities the clients were stealing actually belonged to verifiable individuals.
If the Court accepts the binding plea agreements for the clerks, Medina will be sentenced to 15 months in prison; Gracia to one year and one day in prison; Jordan to eight months in prison; and Brimage to eight months in prison. They all face two years of supervised release. Brea, who has entered a non-binding plea agreement, faces a sentence of no greater than 15 years in prison, three years of supervised release and a fine of $250,000. The charge of aggravated identity theft for which Tejada is charged provides for a mandatory minimum of two years in prison. Tejada will also be subject to deportation proceedings upon completion of any sentence imposed. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
Acting United States Attorney William D. Weinreb; Matthew J. Etre, Special Agent in Charge of Homeland Security Investigations in Boston; William B. Gannon, Special Agent in Charge of the U.S. Department of State’s Bureau of Diplomatic Security, Boston Field Office; and Colonel Richard D. McKeon, Superintendent of the Massachusetts State Police, made the announcement today. HSI’s Document and Benefit Fraud Task Force investigated the case. Assistant U.S. Attorney Eugenia M. Carris of Weinreb’s Public Corruption & Special Prosecutions Unit is prosecuting the case.
Cape Cod Woman Sentenced for Role in Drug and Money Laundering RingRead the Press Release
BOSTON – A Cape Cod woman was sentenced today in federal court in Boston in connection with a drug and money laundering ring.
Diane Johnson, 51, of Mashpee, was sentenced by U.S. District Court Judge Indira Talwani to five years of probation, with the first six months to be served in home detention. In May 2017, Johnson pleaded guilty to one count of money laundering conspiracy.
From 2010 to 2015, Johnson and her son David Landry conspired to launder drug proceeds in order to disguise the nature of the funds and continue their drug trafficking activity. From May 2014 to January 2015, two of Johnson’s co-defendants, Landry and Justin Groom, conspired to manufacture and distribute marijuana and possessed marijuana with the intent to distribute it. Landry, a convicted felon, was also found in possession of a .40 caliber semi-automatic pistol. He continued participating in the criminal offense while in jail on state charges. Groom was also charged with eight counts of money laundering in connection with using the proceeds of the illegal activities to pay the rent of the home where he grew marijuana, at Landry’s direction. A third co-defendant, Evan Lopes, aided by Landry, possessed methylone.
David Landry was sentenced to 78 months in prison; Justin Groom and Evan Lopes were sentenced to two years and three years of probation, respectively.
Acting United States Attorney William D. Weinreb; Mickey D. Leadingham, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms, and Explosives, Boston Field Division; Joel P. Garland, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigation in Boston; Barnstable Police Chief Paul MacDonald; Barnstable County Sheriff James M. Cummings; Colonel Richard D. McKeon, Superintendent of the Massachusetts State Police; and Cape & Islands District Attorney Michael O’Keefe made the announcement. Assistant U.S. Attorney Ted Heinrich of Weinreb’s Narcotics and Money Laundering Unit prosecuted the case.
Washington Man Sentenced for ATM Card Skimming SchemeRead the Press Release
BOSTON - A Washington man was sentenced Wednesday, Sept. 27, 2017, in federal court in Springfield for his role in an ATM card skimming scheme.
Aaron Dario, 37, was sentenced by U.S. District Court Judge Mark G. Mastroianni to 13 months in prison, five years of supervised release, and was ordered to pay restitution of $129,189 to TD Bank, N.A. On Aug. 30, 2017, Dario pleaded guilty to one count each of conspiracy to commit bank fraud, attempted bank fraud, and aggravated identity theft.
From approximately February 2014 until his arrest on Sept. 21, 2014, Dario conspired with others to defraud, and did defraud, several banks through a multi-state ATM skimming scheme operated by a Romanian organized crime group in New York City. In this conspiracy, Dario and others first installed skimmer devices and pinhole cameras on the bank’s ATMs. The skimmer devices captured names and account numbers of hundreds of customers as they used their debit and other account cards to withdraw funds or engage in other transactions at the ATMs. The pinhole cameras recorded the personal identification numbers of the customers as they entered the information on the ATM keypads. Dario and others then removed the skimmer devices and pinhole cameras and used the account numbers and personal identification numbers to create fraudulent cards. The conspirators then used the fraudulent cards to withdraw money from the customers’ bank accounts, resulting in substantial losses to the financial institutions.
Acting United States Attorney William D. Weinreb; David L. Jaffe, Acting Chief of the Justice Department’s Organized Crime and Gang Section; Stephen A. Marks, Special Agent in Charge of the U.S. Secret Service, Boston Field Division; Matthew Etre, Special Agent in Charge of Homeland Security Investigations in Boston; and East Longmeadow Police Chief Jeffrey Dalessio made the announcement today. Assistant U.S. Attorney Steven H. Breslow of Weinreb’s Springfield Branch Office and Trial Attorney Marianne Shelvey of the Justice Department’s Organized Crime and Gang Section prosecuted the case.
Salvadoran National Charged with Illegal Reentry After DeportationRead the Press Release
BOSTON - A Salvadoran national was charged yesterday in federal court in Boston with a federal immigration crime.
Gerardo Alberto Perez-Fuentes, 22, was indicted on one count of unlawful reentry of a deported alien. Perez-Fuentes was previously deported on Oct. 8, 2015. On Sept. 6, 2017, law enforcement in Chelsea encountered Perez-Fuentes and determined him to be illegally present in the United States.
The charge provides for a sentence of no greater than 10 years in prison, three year of supervised release, and a fine of $250,000. Perez-Fuentes will be subject to deportation upon completion of his sentence. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
Acting United States Attorney William D. Weinreb and Matthew J. Etre, Special Agent in Charge of Homeland Security Investigations in Boston, made the announcement today. Assistant U.S. Attorney Suzanne Sullivan Jacobus of Weinreb’s Major Crimes Unit is prosecuting this 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.
Pennsylvania Tobacco Distributor Agrees to Plead Guilty to Aiding Tobacco Trafficking in MassachusettsRead the Press Release
BOSTON – A Pennsylvania wholesale tobacco distributor agreed to plead guilty yesterday in federal court in Boston to aiding and abetting untaxed shipments of tobacco products into Massachusetts and evading financial reporting requirements.
Kamlesh Patel, 60, was charged and agreed to plead guilty to one count of aiding and abetting a large Norwood-based customer to violate the Prevent All Cigarette Trafficking Act (PACT Act) and one count of failing to report large cash transactions to the IRS.
Patel owned and operated RDK Distributors (RDK) and MV Distributors (MV) in Stroudsburg, Penn., through which he distributed wholesale quantities of cigars, smoking tobacco and smokeless tobacco (such as snuff and chewing tobacco), among other products.
Title 15 of the PACT Act requires people who sell, advertise for sale, transfer or ship for profit smokeless tobacco between states to file a statement with the Attorney General and the tobacco tax administrator in the states to which they ship their products. The PACT Act also requires them to file with the tax administrator a monthly record of each shipment of smokeless tobacco that they transport into the state.
Beginning in approximately January 2013, Patel sold large quantities of tobacco products to a Norwood wholesaler, often worth more than $100,000 at a time. The Norwood wholesaler typically paid Patel for tobacco products in cash. To evade financial reporting requirements that would have notified the IRS of the size, nature and income of the Norwood wholesaler’s business, Patel falsely divided among multiple invoices the bulk cash payments he received. Patel created and instructed his employees to record the large cash payments he received as if there had been numerous sales over numerous days among numerous companies, each less than $10,000, rather than the single sale for which he had received one or two sizeable cash payments, often amounting to more than $100,000 at a time.
The charge of structuring cash transactions to evade financial reporting requirements provides for a sentence of no greater than 10 years in prison, three years of supervised release, a fine of up to $500,000 and forfeiture. The charge of aiding and abetting violation of the PACT Act provides for a sentence of no greater than three years in prison, up to one year 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.
Acting United States Attorney William D. Weinreb and Joel P. Garland, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigations in Boston, made the announcement today. The Massachusetts Department of Revenue also provided valuable assistance. Assistant U.S. Attorney Stephen Heymann of Weinreb’s Economic Crimes Unit is prosecuting the case.
Pennsylvania Man Sentenced to 12 Years in Prison for Attempting to Exploit Nine-Year-Old Massachusetts BoyRead the Press Release
BOSTON - A Pennsylvania man was sentenced late yesterday in federal court in Boston for attempting to engage in sexual activity with a nine-year-old boy he met via online PlayStation games.
Robert Rang, 28, of Coaldale, Penn., was sentenced by U.S. District Court Judge Indira Talwani to 12 years in prison and 15 years of supervised release. In July 2017, following a seven-day trial, a federal jury convicted Rang of one count of attempted coercion and enticement of a minor.
On Oct. 29, 2014, a Massachusetts woman contacted her local police department to report that her nine-year-old grandchild, with whom she lived, had been in contact with an adult male via Sony PlayStation and text message. The woman discovered the illicit contact when she observed sexually explicit messages from Rang on her grandchild’s iPod.
Further investigation revealed that Rang had been communicating with the child for months via PlayStation, telephone and Facebook. During that time, Rang sent the child gift cards to make PlayStation-related purchases. Over the course of several months, Rang asked the child to masturbate with him and send him naked pictures; the child refused Rang’s requests.
When law enforcement executed a federal search warrant at Rang’s Coaldale home on Dec. 29, 2014, they found several images of child pornography on Rang’s cell phone, as well as evidence of his sexually explicit communications with and attempted exploitation of other minors – including a boy in New York and a boy in Kentucky - and confirmation that Rang had made plans to visit the child in Massachusetts. Rang has a prior conviction for corruption of minors in Schuylkill County, Penn.
Acting United States Attorney William D. Weinreb; Shelly Binkowski, Inspector in Charge of U.S. Postal Inspection Service, Boston Division; Colonel Richard D. McKeon, Superintendent of the Massachusetts State Police; Plymouth County Sherriff Joseph D. McDonald Jr.; and Plymouth Police Chief Michael E. Botieri made the announcement today. Assistant U.S. Attorneys David G. Tobin and Anne Paruti of Weinreb’s Major Crimes Unit prosecuted the case.
Liberian National Charged with Resisting a Federal Officer During RemovalRead the Press Release
BOSTON - A Liberian national was charged today in federal court in Boston with resisting a federal officer at Logan International Airport during removal.
Mohammed Kenneh, 35, was indicted on one count of resisting a federal officer. Kenneh was charged by complaint on Aug. 30, 3017.
On July 16, 2016, Kenneh was ordered removed from the United States back to Liberia. On Aug. 29, 2017, Kenneh was transported to Logan International Airport for removal. Once at the airport, Kenneh was met by two deportation officers who asked him to exit the van in which he arrived. It is alleged that Kenneh refused to exit the van; therefore, one of the officers entered the van and attempted to remove Kenneh from the vehicle. Kenneh resisted the officer and struck the officer on the head and shoulders multiple times, eventually knocking the officer onto the floor of the van. Kenneh then allegedly wrapped his handcuffed hands around the officer’s wrist and hands and refused to release the officer. Another officer then entered the van and, together, the two officers were able to remove Kenneh from the van onto the sidewalk. A decision was then made to abort the removal proceedings and return Kenneh to Immigration and Customs Enforcement custody.
Kenneh faces a sentence of no greater than 20 years in prison, three years of supervised release, a fine of $250,000 and will be subject to deportation upon completion of his sentence. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
Acting United States Attorney William D. Weinreb and Christopher Cronen, Field Office Director, Enforcement and Removal Operations Boston Field Office, U.S. Immigration and Customs Enforcement, made the announcement today. Assistant U.S. Attorney Kenneth G. Shine of Weinreb’s Major Crimes 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.
Former Social Security Administration Employee Sentenced for Accepting a BribeRead the Press Release
BOSTON - A former Social Security Administration (SSA) employee was sentenced today in federal court in Worcester for bribery.
Julio Klapper, 40, of Worcester, was sentenced by U.S. District Court Judge Timothy S. Hillman to 15 months in prison, three years of supervised release, and ordered to pay restitution of $70,337 and forfeiture of $17,800. In June 2017, Klapper pleaded guilty to one count of bribery for accepting a payment in return for submitting a fraudulent claim for payment to the SSA on behalf of a beneficiary.
Between Aug. 30, 2016, and Sept. 27, 2016, Klapper used his position with SSA to submit a request for release of Supplemental Security Income Disabled Child (SSIDC) funds by falsely claiming that the person representing the child was purchasing a car for the benefit of the SSIDC beneficiary, even though Klapper knew that the child’s representative was not intending to purchase a car with the SSIDC funds. Klapper provided false documentation to the SSA in support of the submitted claim. In exchange for Klapper’s submission of the false claim and documentation, Klapper received $2,000 from the child’s representative.
Acting United States Attorney William D. Weinreb; Scott Antolik, Special Agent in Charge of the Social Security Administration, Office of Inspector General, Office of Investigations, Boston Field Division; and Matthew Etre, Special Agent in Charge of Homeland Security Investigations, made the announcement today. Assistant U.S. Attorney Michelle L. Dineen Jerrett of Weinreb’s Worcester Branch Office prosecuted the case.
Abington Man Charged with Robbing Three BanksRead the Press Release
BOSTON – An Abington man was arrested and charged today in federal court in Boston with robbing three Boston-area banks.
John Soule, 52, was charged with three counts of bank robbery. Following his initial appearance this afternoon, U.S. Magistrate Judge M. Page Kelley ordered Soule detained and scheduled a probable cause and detention hearing for Oct. 5, 2017.
According to court documents, Soule robbed a branch of the Eastern Bank in Cambridge on July 12, 2017; a branch of the Webster Bank in Boston on Aug. 9, 2017; and a branch of the Rockland Trust in Quincy on Sept. 8, 2017. In all three robberies, the defendant, wearing a hat, sunglasses, and gloves, entered the bank, jumped over the teller counter, and made verbal demands for the bank’s money. In total, Soule stole approximately $58,000 from the banks.
The charge of bank robbery provides for a sentence of no greater 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.
Acting United States Attorney William D. Weinreb and Harold H. Shaw, Special Agent in Charge of the Federal Bureau of Investigation in Boston, made the announcement today. Assistant U.S. Attorney Kenneth G. Shine of Weinreb’s Major Crimes Unit is prosecuting this 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.
Vietnamese National Sentenced for Role in Marijuana ConspiracyRead the Press Release
BOSTON – A Vietnamese national was sentenced today to 28 months in federal prison for her role in an extensive marijuana conspiracy operating out of central Massachusetts.
Nhi Le, 46, was sentenced by U.S. District Court Judge Timothy S. Hillman to 28 months in prison and two years of supervised release. On June 30, 2017, Le was convicted by a federal jury of one count of conspiracy to manufacture and possess with intent to distribute marijuana; one count of manufacturing or possessing with intent to distribute marijuana; and one count of maintaining a drug involved premises.
From approximately October 2011 through September 2013, Le and seven others were involved in a marijuana conspiracy operating out of six grow houses in Worcester, Webster, Douglas and Leicester. In September 2013, when law enforcement executed multiple search warrants, they seized over 1200 marijuana plants valued at over $1 million.
An elaborate indoor marijuana growing operation,185 marijuana plants, and over $100,000 in cash were discovered during a search at Le’s residence in Webster. Evidence at trial demonstrated that Le had paid over $17,000 in cash for an Audi SUV less than two months prior to the execution of the search warrants and had over $3,700 in her purse, despite being unemployed.
Acting United States Attorney William Weinreb; Michael J. Ferguson, Special Agent in Charge of the Drug Enforcement Administration, New England Field Division; Mickey D. Leadingham, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms & Explosives, Boston Field Division; Shelly Binkowski, Inspector in Charge of the U.S. Postal Inspection Service; Joel P. Garland, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigation in Boston; Colonel Richard D. McKeon, Superintendent of the Massachusetts State Police; Webster Police Chief Timothy J. Bent; Worcester Police Chief Steven M. Sargent; Douglas Police Chief Patrick T. Foley; Oxford Police Chief Anthony Saad; Paxton Police Chief Robert Desrosiers; and Leominster Interim Police Chief Michael Goldman made the announcement today. Assistant U.S. Attorney Mark Grady of Weinreb’s Worcester Branch Office prosecuted the case.
Springfield Man Pleads Guilty to Federal Firearm and Drug ChargesRead the Press Release
BOSTON – A Springfield man pleaded guilty today in federal court in Springfield to firearm and drug offenses.
Robert Crichlow, 37, pleaded guilty to one count of being a convicted felon in possession of a firearm and ammunition and one count of possession with intent to distribute crack cocaine. U.S. District Court Judge Mark G. Mastroianni scheduled sentencing for Jan. 4, 2018.
On June 4, 2015, Crichlow possessed a Taurus Model PT 145 .45 caliber pistol and seven rounds of .45 caliber ammunition. He also possessed eight rocks of crack cocaine packaged for sale.
The charge of being a felon in possession of a firearm 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 crack cocaine with intent to distribute provides for a sentence of no greater than 20 years in prison, at least three years 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.
Acting United States Attorney William D. Weinreb and Mickey D. Leadingham, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms & Explosives, Boston Field Division, made the announcement today. Assistant U.S. Attorney Katharine A. Wagner of Weinreb’s Springfield Branch Office is prosecuting the case.
MS-13 Member Pleads Guilty to RICO Conspiracy Involving Attempted MurderRead the Press Release
BOSTON – A member of MS-13’s Enfermos Criminales Salvatrucha (ECS) clique in Chelsea, Mass., pleaded guilty today in federal court in Boston to RICO conspiracy involving the attempted murder of a rival gang member.
Domingo Tizol, a/k/a “Chapin,” 23, a Guatemalan national who resided in Chelsea, pleaded guilty to conspiracy to conduct enterprise affairs through a pattern of racketeering activity, more commonly referred to as RICO conspiracy, and admitted responsibility for the attempted murder of a rival 18th Street gang member in Chelsea in May 2015. U.S. District Court Judge F. Dennis Saylor IV scheduled sentencing for Jan. 4, 2018. Tizol is the 17th defendant to plead guilty in this case.
On May 26, 2015, Tizol and, allegedly, Bryan Galicia-Barillas, a/k/a “Chucky,” another MS-13 member, repeatedly stabbed an 18th Street gang member on Bellingham Street in Chelsea. The victim survived the attack.
After a three-year investigation, Tizol was one of 61 defendants named in a January 2016 superseding indictment targeting the criminal activities of alleged leaders, members, and associates of MS-13 in Massachusetts. According to court documents, MS-13 was identified as a violent transnational criminal organization whose branches or “cliques” operate throughout the United States, including in Massachusetts. MS-13 members are required to commit acts of violence to maintain membership and discipline within the group. Specifically, MS-13 members are required to attack and murder gang rivals whenever possible.
The RICO conspiracy charge provides for a sentence of no greater than 20 years in prison, three years of supervised release, and a fine of $250,000. According to the terms of the plea agreement, the parties will recommend that Tizol be sentenced to 10 years in prison. Tizol will also be subject to deportation upon the completion of his sentence. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
Acting United States Attorney William D. Weinreb; Harold H. Shaw, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; Matthew Etre, Special Agent in Charge of Homeland Security Investigations in Boston; Colonel Richard D. McKeon, Superintendent of the Massachusetts State Police; Commissioner Thomas Turco of the Massachusetts Department of Corrections; Essex County Sheriff Kevin F. Coppinger; Suffolk County Sheriff Steven W. Thompkins; Suffolk County District Attorney Daniel F. Conley; Middlesex County District Attorney Marian T. Ryan; Essex County District Attorney Jonathan Blodgett; Boston Police Commissioner William Evans; Chelsea Police Chief Brian A. Kyes; Everett Police Chief Steven A. Mazzie; Lynn Police Chief Michael Mageary; Revere Police Chief Joseph Cafarelli; and Somerville Police Chief David Fallon made the announcement.
The details contained in the charging documents are allegations and the remaining defendants are presumed to be innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
MS-13 East Coast Program Leader Charged with RICO ConspiracyRead the Press Release
BOSTON – The alleged leader of the MS-13’s East Coast Program was charged in an indictment unsealed today in federal court in Boston in connection with his role as one of the El Salvador-based leaders of MS-13’s East Coast Program.
Edwin Manica Flores, a/k/a “Sugar,” a/k/a “Chugar,” a/k/a “Shugar,” 35, of El Salvador and Everett, Mass., was indicted on conspiracy to conduct enterprise affairs through a pattern of racketeering activity, commonly referred to as RICO conspiracy. Manica Flores is allegedly a member of MS-13’s Everett Loco Salvatrucha clique and one of the El Salvador-based leaders of MS-13’s East Coast Program. The charges are the result of an ongoing investigation into the criminal activities of leaders, members, and associates of the criminal organization La Mara Salvatrucha, or “MS-13.”
According to court documents, MS-13’s East Coast Program included so-called MS-13 “cliques” in Boston, Mass.; Houston, Texas; Columbus, Ohio; New Jersey, Virginia, Maryland and North Carolina. The East Coast Program, like other MS-13 programs, is alleged to have an organizational structure established by MS-13’s incarcerated leadership in El Salvador to facilitate the communication of orders and information from MS-13 leadership to cliques operating in the U.S. and to facilitate the transfer of money from cliques to MS-13 leadership in El Salvador.
In December 2015, while he was in El Salvador, Manica Flores was secretly recorded by law enforcement during a conference call with the U.S.-based leaders of MS-13’s East Coast Program who were attending a leadership meeting in Richmond, Va. During that meeting, which included East Coast Program leaders from Boston, Mass.; Houston, Texas; Maryland; Columbus, Ohio; and Virginia, Manica Flores allegedly provided direction to the group on behalf of MS-13 leadership in El Salvador about working together in a united fashion, recruiting new members and making money to send to MS-13 leadership in El Salvador.
It is further alleged that most of the MS-13 cliques in Massachusetts, including the Everett Loco Salvatrucha; Molinos Loco Salvatrucha; East Boston Loco Salvatrucha; Trece Loco Salvatrucha; and Enfermos Criminales Salvatrucha, belonged to MS-13’s East Coast Program, and that these cliques worked both independently and cooperatively to engage in criminal activity. Such activity included drug distribution, robbery, and extortion, to obtain money for themselves and for MS-13 leadership in El Salvador, and to assist one another in avoiding detection by law enforcement. The indictment alleges that these cliques held meetings to collect dues from individual MS-13 members, a portion of which was then transmitted back to MS-13 leadership in El Salvador, usually by wire transfer.
The charge of RICO conspiracy provides 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.
Acting United States Attorney William D. Weinreb; Harold H. Shaw, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; Matthew Etre, Special Agent in Charge of Homeland Security Investigations in Boston; Colonel Richard D. McKeon, Superintendent of the Massachusetts State Police; Commissioner Thomas Truco of the Massachusetts Department of Corrections; Essex County Sheriff Kevin F. Coppinger; Suffolk County Sheriff Steven W. Thompkins; Suffolk County District Attorney Daniel F. Conley; Middlesex County District Attorney Marian T. Ryan; Essex County District Attorney Jonathan Blodgett; Boston Police Commissioner William Evans; Chelsea Police Chief Brian A. Kyes; Everett Police Chief Steven A. Mazzie; Lynn Police Chief Michael Mageary; Revere Police Chief Joseph Cafarelli; and Somerville Police Chief David Fallon, made the announcement.
The details contained in the charging documents are allegations. The defendant is presumed to be innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Former Investment Advisor Indicted for Fraud and PerjuryRead the Press Release
BOSTON – A former investment advisor was arrested today and charged with deceiving and manipulating his former clients concerning the management of their retirement savings as well as lying to the U.S. Securities and Exchange Commission (SEC).
Richard G. Cody, 43, of Jacksonville, Fla., was arrested today in Florida on an indictment out of the U.S. District Court in Boston charging him with one count of violating the Investment Advisors Act of 1940 and two counts of making a false declaration in a court proceeding. Cody is scheduled to appear in federal court in Boston on Oct. 12, 2017.
The indictment alleges that from May 2005 to August 2016, Cody acted as an investment advisor and managed the retirement savings of three victims, including two in Massachusetts. Cody falsely assured the victims that their retirement savings were secure, when in fact he knew they were not. Contrary to his fraudulent assurances, by 2014 the total value of their retirement savings had substantially diminished, and the retirement savings of two victims were entirely gone. In order to conceal these losses, Cody allegedly provided the victims with fraudulent account statements and tax documents. In addition, Cody failed to inform his victims that regulators had suspended him in 2013 from acting as investment advisor.
According to the indictment, Cody lied to the SEC during a March 2017 sworn deposition in connection with a civil enforcement action the SEC had filed against him in December 2016. Cody allegedly made false declarations regarding fraudulent documents that he denied giving to two victims of the scheme.
The charges of violating the Investment Advisors Act of 1940 and making a false declaration in a court proceeding each provide for a sentence of no greater than five years in prison, two 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.
Acting United States Attorney William Weinreb and Harold H. Shaw, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division, made the announcement today. The U.S. Attorney’s Office gratefully acknowledges the assistance of the U.S. Securities and Exchange Commission. Assistant U.S. Attorney Neil J. Gallagher Jr. of Weinreb’s Economic Crimes Unit is prosecuting the case.
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.
Dominican National Sentenced for Trafficking Heroin and FentanylRead the Press Release
BOSTON – A Dominican national was sentenced today in federal court in Boston for supplying heroin and fentanyl to traffickers in Taunton and surrounding communities.
Jonathan Ruiz, 33, a Dominican national residing in Lawrence, was sentenced by U.S. District Court Judge George A. O’Toole Jr. to six years in prison and three years of supervised release. Ruiz will be subject to deportation upon completion of his sentence. In June 2017, Ruiz pleaded guilty to conspiracy to possess with intent to distribute and to distribute heroin and fentanyl.
In April 2016, Ruiz was arrested and charged in a superseding indictment along with 25 others who had been charged the previous October in connection with a heroin trafficking ring operating primarily in southeastern Massachusetts. Ruiz trafficked in narcotics from Lawrence, supplying distributers in Taunton, Fall River and other locations. The charges are the result of a 15-month investigation into heroin and fentanyl trafficking in Taunton and surrounding communities.
Ruiz and co-defendants, Dedwin Cruz-Rivera, a heroin supplier based in Taunton, Manuel Romero-Gonsalez, a heroin supplier based in Providence, R.I., and Eric Matos, a heroin and fentanyl supplier based in Lawrence, supplied co-conspirators, Oniel Rivera, Cory Nickerson, and Maria Elena Ocasio, among others, with heroin and occasionally fentanyl for distribution. Ruiz also supplied fentanyl and heroin to Cruz-Rivera.
Matos, Ocasio, Nickerson, Rivera, and Romero-Gonsalez all pleaded guilty and have been sentenced. Cruz-Rivera pleaded guilty and is scheduled to be sentenced Nov. 28, 2017.
Acting United States Attorney William D. Weinreb and Michael J. Ferguson, Special Agent in Charge of the Drug Enforcement Administration, New England Field Division, made the announcement. Assistant U.S. Attorneys Thomas E. Kanwit, Karen Beausey, Katherine Ferguson and Ann Taylor of Weinreb’s Narcotics and Money Laundering Unit are prosecuting the cases.
Rwandan Man Indicted on Immigration Fraud and Perjury ChargesRead the Press Release
BOSTON – A Rwandan man who fled Rwanda near the end of the 1994 genocide was indicted in federal court in Boston with immigration fraud and perjury in connection with his application for asylum.
Jean Leonard Teganya, 46, was indicted on two counts of immigration fraud and three counts of perjury. In August 2017, Teganya was charged and arrested on a criminal complaint.
As alleged in court documents, Teganya lied about his activities and political affiliation during the 1994 Rwandan genocide, during which approximately 800,000 people were murdered. Prior to and during the genocide, Teganya was a medical student and trainee at the Butare Hospital in Butare, Rwanda. It is alleged that several witnesses present in Butare during the genocide described Teganya as active in the political party of the genocidal regime, the MRND, and its militia, and stated that he actively participated in the persecution of Tutsis, the group that was largely targeted during the genocide.
According to court documents, Teganya left Rwanda in mid-July 1994 and traveled to the Democratic Republic of Congo, India, and then Canada. In 1999, Teganya applied for refugee status and later asylum in Canada. Canadian authorities twice determined that Teganya was not entitled to asylum because he had been complicit in atrocities committed at the Butare Hospital during the genocide. After 15 years of litigation, Teganya evaded the order of deportation and fled across the border into the United States. On Aug. 3, 2014, Teganya was encountered walking on foot after he had crossed from Canada into Houlton, Maine. Teganya was taken into custody and he formally applied for asylum. On the application for Asylum and Withholding of Removal, Teganya made false statements by failing to disclose the extent of his affiliations and activities with the MRND and Hutu extremists.
The charge of immigration fraud provides for a sentence of no greater than 10 years in prison, three years of supervised release and a fine of $250,000. The charge of perjury 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.
Acting United States Attorney William D. Weinreb and Matthew Etre, Special Agent in Charge of Homeland Security Investigations in Boston, made the announcement today. U.S. Customs and Border Protection, the U.S. State Department and the Revere Police Department provided valuable assistance. Assistant U.S. Attorneys John A. Capin and Aloke S. Chakravarty of Weinreb’s National Security Unit are 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.
Rhode Island Tax Return Preparer Indicted for Filing False Tax ReturnsRead the Press Release
BOSTON – A Rhode Island tax return preparer was indicted today by a federal grand jury in Providence, R.I., on charges of preparing and filing fraudulent tax returns in the names of his clients.
Raymond P. Petrarca, 63, of West Warwick was charged with 44 counts of preparing false federal income tax returns.
According to the indictment, Petrarca owned and operated Stratus Financial Group, a tax preparation business located in Warwick. From at least 2011 through 2015, Petrarca allegedly prepared and filed falsified federal tax returns in his clients’ names by adding false and inflated deductions for home mortgage interest and charitable donations, as well as false and inflated credits for purported home energy improvements.
The charging statute provides for a sentence of no greater than three years in prison, one year of supervised release and a fine of $250,000. Sentences for federal crimes are imposed by a federal district judge based on the U.S. Sentencing Guidelines and other sentencing factors.
Acting United States Attorney for the District of Massachusetts William D. Weinreb; Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division; and Joel P. Garland, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigation in Boston, made the announcement today. Assistant U.S. Attorney Victor A. Wild of Weinreb’s Economic Crimes Unit and Trial Attorney Kimberly G. Ang of the Justice Department’s Tax Division are prosecuting the case.
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.
Rhode Island Tax Return Preparer Indicted for Allegedly Filing Fraudulent Tax ReturnsRead the Press Release
A federal grand jury in Providence, Rhode Island returned an indictment today charging a West Warwick, Rhone Island tax return preparer with 44 counts of filing fraudulent tax returns for clients, announced Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division and Acting U.S. Attorney for the District of Massachusetts William D. Weinreb.
According to the indictment, Raymond P. Petrarca owned and operated Stratus Financial Group, a tax preparation business located in Warwick. For at least tax years 2010 through 2015, Petrarca allegedly falsified his clients’ tax returns, seeking refunds from the Internal Revenue Service (IRS) to which his clients were not entitled. Petrarca allegedly included false and inflated deductions for home mortgage interest and charitable donations, as well as false and inflated credits for purported home energy improvements.
If convicted, Petrarca faces a statutory maximum sentence of three years in prison for each count, as well as a period of supervised release, restitution and monetary penalties.
Acting Deputy Assistant Attorney General Goldberg and Acting U.S. Attorney Weinreb thanked special agents of the IRS Criminal Investigation, who conducted the investigation, and Assistant U.S. Attorney Victor A. Wild and Trial Attorney Kimberly G. Ang of the Tax Division, who are prosecuting the case.
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.
Additional information about the Tax Division’s enforcement efforts can be found on the division’s website.
Methuen Man Pleads Guilty to Steroid ConspiracyRead the Press Release
BOSTON – A Methuen man pleaded guilty yesterday in federal court in Boston to a steroid distribution conspiracy.
Scott Birchall, 33, pleaded guilty to one count of conspiracy to possess with intent to distribute steroids. U.S. District Court Judge Nathaniel M. Gorton scheduled sentencing for Jan. 5, 2018.
From approximately July 2013 until February 2014, Birchall was involved in a conspiracy to distribute steroids in and around Methuen. Birchall obtained steroids from alleged co-conspirator Daniel Frederickson for redistribution. On six occasions, Birchall distributed steroids to an undercover officer. At the conclusion of the investigation, agents executed a search warrant at Birchall’s residence, where they seized steroid pills and $26,000 in cash.
The charge of conspiracy provides for a sentence of no greater than 10 years in prison, a mandatory minimum of two years and up to a lifetime of supervised release, and a fine of up to $500,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
Acting United States Attorney William D. Weinreb; Michael J. Ferguson, Special Agent in Charge of the Drug Enforcement Administration, New England Field Division; Shelly Binkowski, Inspector in Charge of the U.S. Postal Inspection Service; North Reading Police Chief Michael Murphy; and North Andover Police Chief Charles Gray made the announcement today. Assistant U.S. Attorney Katherine Ferguson of Weinreb’s Narcotics and Money Laundering Unit is prosecuting the case.
Mattapan Man Re-Sentenced for Firearm OffenseRead the Press Release
BOSTON – A Mattapan man was re-sentenced yesterday in federal court in Boston for a federal firearm offense.
Terrance Moon, 50, was re-sentenced by U.S. District Court Judge Denise J. Casper to time served of approximately 80 months in prison. In October 2013, Moon was sentenced to 220 months in prison after he was convicted by a federal jury of one count of being a felon in possession of a firearm and ammunition. In February 2011, Moon was charged with illegally possessing a Sturm, Ruger & Co, model Service-Six, .357 caliber revolver and six rounds of .357 ammunition.
Moon’s sentencing was revisited as a result of a 2015 United States Supreme Court decision, Johnson v. United States, in which the definition of “violent felony” under the Armed Career Criminal Act (ACCA) was deemed unconstitutionally vague. Moon received his original 220-month sentence based on the ACCA, which provides for enhanced sentences of at least 15 years in prison for defendants convicted of certain firearms possession offenses who have at least three prior felony convictions for violent felonies and/or serious drug offenses. As a result of the Johnson decision and a recent First Circuit case holding that Massachusetts robbery does not satisfy the remaining part of the “violent felony” definition, Moon’s prior sentence was vacated and he was re-sentenced to a non-ACCA sentence.
Acting United States Attorney William D. Weinreb and Mickey D. Leadingham, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms & Explosives, Boston Field Division, made the announcement today. Assistant U.S. Attorney Robert Richardson of Weinreb’s Major Crimes Unit prosecuted the case.
Holbrook Man Pleads Guilty to Federal Drug ChargesRead the Press Release
BOSTON – A Holbrook man pleaded guilty yesterday in federal court in Boston to federal drug charges.
Arcelino Silva, 28, pleaded guilty to one count of possession with intent to distribute heroin, fentanyl, and cocaine; and one count of possession with intent to distribute heroin and cocaine. U.S. District Court Judge Indira Talwani scheduled sentencing for Dec. 19, 2017.
Silva was arrested on May 1, 2016, for possession of suboxone while Silva was inside a vehicle in the parking lot of the apartment complex where he lived. Four cell phones, $8,500 in cash, and numerous bags containing over 60 grams of heroin, fentanyl, and cocaine were recovered during a search of the vehicle. While out on bail for state charges stemming from his May arrest, Silva was arrested on federal charges on Aug. 10, 2016. At the time of his arrest, officers seized from him over $3,000, six grams of cocaine and cocaine base, and approximately nine grams of heroin.
Each charge of possession with intent to distribute heroin, fentanyl, or cocaine provides for a sentence of no greater than 20 years in prison, up to a life term 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.
Acting United States Attorney William D. Weinreb; Michael J. Ferguson, Special Agent in Charge of the Drug Enforcement Administration, New England Field Division; Colonel Richard D. McKeon, Superintendent of the Massachusetts State Police; Holbrook Police Chief William J. Smith; and Brockton Police Chief John Crowley made the announcement today. Assistant U.S. Attorney Theodore Heinrich of Weinreb’s Narcotics and Money Laundering Unit is prosecuting the case.
Dominican National Pleads Guilty to Illegal Reentry after DeportationRead the Press Release
BOSTON - A Dominican national pleaded guilty today in federal court in Boston to illegally reentering the United States after being deported.
Rafael Tejeda, 54, pleaded guilty to one count of unlawful reentry of a deported alien. U.S. District Court Judge Leo T. Sorokin scheduled sentencing for Dec. 19, 2017. Tejeda was previously deported from the United States in April 2013. In May 2017, federal agents in Boston encountered Tejeda and found him to be illegally present in the United States.
Tejeda faces a sentence of no greater than 10 years in prison, three years of supervised release, a fine of $250,000 and will be subject to deportation upon completion of his sentence. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
Acting United States Attorney William D. Weinreb and Matthew J. Etre, Special Agent in Charge of Homeland Security Investigations in Boston, made the announcement today. Assistant U.S. Attorney David G. Tobin of Weinreb’s Major Crimes Unit is prosecuting the case.
Dominican National Pleads Guilty to Heroin, Cocaine ChargesRead the Press Release
BOSTON – A Dominican national pleaded guilty yesterday in federal court in Boston to his role in a heroin distribution conspiracy operating in and around Waltham.
Richard R. Fernandez, 23, a Dominican national residing in Lawrence, pleaded guilty to eight counts of distribution and possession with intent to distribute heroin and cocaine. U.S. District Court Judge Dennis Saylor IV scheduled sentencing for Jan. 2, 2018. In March 2017, Fernandez was arrested along with three others, Jose C. Torres, Angel G. Rivera Serrano, and Luis Humberto Arias Lara.
Fernandez and the three other defendants distributed heroin in and around Waltham over the course of several months. Each of the defendants allegedly sold drugs to an undercover investigator. On March 30, 2016, law enforcement executed federal search warrants at two residences and two alleged stash houses where they seized approximately $200,000 in cash and approximately 1.5 kilograms of narcotics.
In August 2017, Arias Lara was sentenced to five months in prison. In September 2017, Rivera Serrano was sentenced to 10 months in prison. Torres pleaded guilty and is scheduled to be sentenced on Oct. 27, 2017.
The charges 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 up to $1 million. Sentences are imposed by a federal district court judge based upon the United States Sentencing Guidelines and other statutory factors.
Acting United States Attorney William D. Weinreb; Michael J. Ferguson, Special Agent in Charge of the Drug Enforcement Administration, Boston Field Division; and John Gibbons, U.S. Marshal for the District of Massachusetts, made the announcement today. Assistance was provided by members of the Suburban Middlesex County Drug Task Force, which is composed of the Waltham, Watertown, Newton, Arlington, Belmont, Weston and Lexington Police Departments. Assistant U.S. Attorney Miranda Hooker of Weinreb’s Narcotics and Money Laundering Unit is prosecuting the case.
Barnstable Man Sentenced for Illegally Possessing a FirearmRead the Press Release
BOSTON – A Barnstable man was sentenced today in federal court in Boston for illegally possessing a firearm.
Matthew Monroe, 27, was sentenced by U.S. Senior District Court Judge Mark L. Wolf to two years in prison and three years of supervised release. In October 2016, Monroe pleaded guilty to one count of being a felon in possession of a firearm.
On March 11, 2016, Monroe sold an IMI Uzi Model A, semi-automatic rifle to a cooperating witness for $800 at a hotel in Hyannis. The transaction was recorded by law enforcement. Monroe was convicted of breaking and entering in 2013, and was therefore prohibited from possessing a firearm in 2016.
Acting United States Attorney William D. Weinreb; Mickey D. Leadingham, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms & Explosives, Boston Field Division; Cape and Islands District Attorney Michael O’Keefe; and Barnstable Police Chief Paul MacDonald made the announcement today. Assistant U.S. Attorney Eric S. Rosen of Weinreb’s Criminal Division prosecuted the case.
South Sudanese National Charged with Assaulting a Deportation Officer During RemovalRead the Press Release
BOSTON - A South Sudanese national was charged today in federal court in Boston with assaulting a deportation officer at the Suffolk County House of Corrections as he was being processed for removal.
Charles Ali, 31, was arrested this morning and charged with assault on a federal officer. Ali appeared before U.S. Magistrate Judge M. Page Kelley, who ordered Ali detained and scheduled a probable cause and detention hearing for Sept. 27, 2017, at 2:00 pm.
According to court documents, on Feb. 16, 2011, Ali was ordered removed from the United States back to the Republic of South Sudan. On Sept. 11, 2017, federal deportation officers arrived at the Suffolk County House of Corrections and informed Ali that he was scheduled for removal that morning and that the officers would be traveling with him. Ali questioned the officers’ authority to remove him and refused to sign removal documents and provide the officers his fingerprints. An altercation ensued, resulting in one of the officers sustaining a broken ankle. A decision was then made to abort the removal proceedings and return Ali to federal immigration custody.
Ali faces a sentence of no greater than 20 years in prison, three years of supervised release, a fine of $250,000, and will be subject to deportation upon completion of his sentence. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
Acting United States Attorney William D. Weinreb; Matthew J. Etre, Special Agent in Charge of Homeland Security Investigations in Boston; and Christopher Cronen, Field Office Director of U.S. Immigration and Customs Enforcement, Enforcement and Removal Operations, Boston Field Office, made the announcement today. Assistant U.S. Attorney Kenneth G. Shine of Weinreb’s Major Crimes Unit is 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.
Owner of One of the Nation’s Largest Commercial Fishing Businesses Sentenced for Falsifying Records & Smuggling Proceeds AbroadRead the Press Release
BOSTON – The owner of one of the largest commercial fishing businesses in the United States was sentenced today in U.S. District Court in Boston for falsifying records to the federal government to evade federal fishing quotas and smuggling a portion of his business’ proceeds to Portugal to avoid U.S. taxation.
Carlos Rafael, 65, of Dartmouth, was sentenced by U.S. District Court Judge William G. Young to 46 months in prison and three years of supervised release, during which time he is banned from working in the fishing industry. The Court also ordered Rafael to pay a fine of $200,000 and restitution to the U.S. Treasury of $108,929. Rafael may also be subject to forfeiture of a portion of his fishing fleet, but the Court held that issue for further consideration.
In March 2017, Rafael pleaded guilty to one count of conspiring to commit offenses against the United States, 23 counts of false labeling and fish identification, two counts of falsifying federal records, one count of bulk cash smuggling, and one count of tax evasion. He was initially arrested and charged in February 2016.
Rafael, the owner of Carlos Seafood Inc., based in New Bedford, Mass., owned 32 fishing vessels through independent corporate shells and 44 permits, which amounted to one of the largest commercial fishing businesses in the United States.
“Mr. Rafael profited at the expense of other hard-working commercial fishermen by falsifying records so he could keep fishing while they were sidelined,” said Acting United States Attorney William D. Weinreb. “The Court accurately described Mr. Rafael’s actions as systematic corruption. He will now face the consequences of violating federal laws designed to sustain the New England fishery.”
“The significant sentence imposed by the Court today reflects the profound impact of Mr. Rafael’s long-running criminal scheme,” said Joel P. Garland, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigations in Boston. “As a fishing industry leader, Mr. Rafael’s false catch reports and tax evasion scheme gave him an unfair advantage, to the detriment of honest fishermen and our precious ocean resources. IRS-CI is proud of this remarkable investigative team, and the important role our undercover agents played in bringing “the Codfather” to justice.”
“As the Nation’s federal maritime law enforcement agency, the Coast Guard has a critical role in enforcing federal fisheries regulations to protect our precious marine resources, promote sustainable fish stocks, and ensure a level playing field for all the honest fishermen,” said Rear Admiral Steven D. Poulin, Commander, First Coast Guard District. “I am proud of the Coast Guard's partnership with the NOAA Office of Law Enforcement, the IRS Criminal Investigation Division, and the U.S. Attorney’s Office to help bring Mr. Rafael’s illegal operations to a halt.”
“Mr. Rafael’s criminal sentence is the result of excellent collaboration among federal partners, and reflects NOAA’s deep commitment to investigate fisheries violations and bring wrongdoers to justice,” said Chris Oliver, Assistant Administrator for NOAA Fisheries.
The charges arose out of an undercover investigation in which federal agents posed as organized crime figures interested in buying Carlos Seafood. From 2012 to January 2016, Rafael routinely lied to the National Oceanic and Atmospheric Administration (NOAA) about the quantity and species of fish his boats caught in order to evade federal quotas designed to guarantee the sustainability of certain fish species.
During that period, Rafael misreported to NOAA approximately 782,812 pounds of fish, telling NOAA that the fish was haddock, or some other abundant species subject to high quotas, when in fact the fish was cod, sole, or other species subject to strict quotas. After submitting false records to federal regulators, Rafael sold much of the fish to a wholesale business in New York City in exchange for duffle bags of cash. During meetings with the undercover agents, Rafael said that in his most recent dealings with the New York buyer he received $668,000 in cash. Rafael smuggled at least some of that cash out of the United States to his native Portugal, hiding it there to evade federal taxation on that revenue.
Acting U.S. Attorney Weinreb; IRS-CI SAC Garland; Rear Admiral Poulin; and Assistant Administrator Oliver made the announcement today. Assistant U.S. Attorney Andrew E. Lelling of Weinreb’s Economic Crimes Unit prosecuted the case.
New Hampshire Company Sentenced for Trafficking Counterfeit Patriots Playoff T-ShirtsRead the Press Release
BOSTON – A New Hampshire company was sentenced today in federal court in Boston for trafficking counterfeit New England Patriots AFC Championship and Super Bowl t-shirts during the 2015 NFL playoffs.
At the sentencing hearing, CK Productions Inc., based in Pelham, N.H., was ordered by U.S. Senior District Court Judge Mark L. Wolf to pay restitution in the amount of $29,405 to the NFL and a fine of $30,000. In April 2017, CK productions pleaded guilty to trafficking in counterfeit goods.
From January through February 2015, CK Productions printed and sold approximately 1,724 counterfeit t-shirts, with a total retail value of approximately $29,405. The playoff t-shirts bore the trademarked words “Patriots” and “Super Bowl” and pictured the Patriots logo.
NEW ENGLAND PATRIOTS LLCActing United States Attorney William D. Weinreb and Matthew Etre, Special Agent in Charge of Homeland Security Investigations in Boston, made the announcement today. Assistant U.S. Attorney Adam Bookbinder, Chief of Weinreb’s Cyber Crime Unit, prosecuted the case.
Malden Woman Pleads Guilty to Theft of Government BenefitsRead the Press Release
BOSTON – A Malden woman pleaded guilty today to collecting over $176,000 in government benefits by providing false information about her family.
Julie Mijal, 40, pleaded guilty to three counts of theft of public money and three counts of making false statements. U.S. District Court Judge F. Dennis Saylor IV scheduled sentencing for Dec. 13, 2017.
Mijal has lived in Malden with her children and their father since at least 2003. During that time, Mijal and her children’s father owned a house together and used the same address on their driver’s licenses, tax returns and other records.
During the same years, however, Mijal collected needs-based Supplemental Security Income (SSI) benefits on behalf of her child by telling the Social Security Administration that her child only lived with her and a sibling, and not with the child’s father. Social Security uses the household’s total income to determine whether someone is eligible for SSI benefits. As a result, Social Security did not count the father’s income when determining whether Mijal’s child was eligible for benefits. Mijal collected $87,053 in SSI benefits that she would not have received if she had reported that her children’s father was also part of the household. In a similar manner, Mijal collected $47,745 in Supplemental Nutrition Assistance Program benefits and $41,435 in MassHealth benefits by failing to disclose that her children’s father lived with them.
The charge of theft of public money 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, whichever is greater. The charge of making a false statement provides for a sentence of no greater than five years in prison, three years of supervised release, and a fine of $250,000 or twice the gross gain or loss, whichever is greater. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
Acting United States Attorney William D. Weinreb; Scott Antolik, Special Agent in Charge of the Social Security Administration, Office of Inspector General, Office of Investigations, Boston Field Division; and Suzanne M. Bump, State Auditor of the Commonwealth of Massachusetts, made the announcement. Special Assistant U.S. Attorney Karen Burzycki of Weinreb’s Major Crimes Unit is prosecuting the case.
Two Men Plead Guilty to Their Roles in Steroid Distribution RingRead the Press Release
BOSTON – A Shrewsbury man and a Worcester man pleaded guilty yesterday in federal court in Worcester for their roles in a steroid-distribution ring in Worcester County.
Ryan Baillargeon, 34, of Worcester, pleaded guilty to one count of conspiracy to possess with intent to distribute steroids. Alan Rich, 32, of Shrewsbury, pleaded guilty to one count of possession of a tableting machine to manufacture a controlled substance. U.S. District Court Judge Timothy S. Hillman scheduled the sentencings for Dec. 15, 2017.
Baillargeon and Rich were part of a steroid distribution conspiracy that distributed steroids in and around Worcester and Shrewsbury. In 2014, a cooperating witness told law enforcement that he went to alleged co-conspirator Daniel Frederickson’s home over many months to purchase steroids from Frederickson. On one occasion, while in Frederickson’s home, the cooperating witness observed Baillargeon, Frederickson’s roommate, packaging steroids. Thereafter, the cooperating witness made two controlled purchases of steroids from Frederickson.
On March 12, 2014, law enforcement executed a search warrant at the home of Frederickson and Baillargeon, where they uncovered a functioning anabolic steroid conversion laboratory and seized approximately 20,000 doses of steroids in liquid and pill form, as well as approximately 100 grams of raw steroids in powder form, and approximately 10,000 doses of liquid steroids still in production. The following day, law enforcement intercepted a package from China addressed to Baillargeon that contained Nandrolone Decanoate, a controlled substance. The investigation further revealed that Rich allowed Frederickson to store a tableting machine, used to create steroid pills, at Rich’s home in exchange for monetary compensation and a small amount of steroids.
The charge of conspiracy provides for a sentence of no greater than 10 years in prison, a mandatory minimum of two years and up to a lifetime of supervised release, and a fine of up to $500,000. The charge of possession of a tableting machine provides for a sentence of no greater than four 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.
Acting United States Attorney William D. Weinreb; Michael J. Ferguson, Special Agent in Charge of the Drug Enforcement Administration, New England Field Division; Shelly Binkowski, Inspector in Charge of the U.S. Postal Inspection Service; North Reading Police Chief Michael Murphy; and North Andover Police Chief Charles Gray made the announcement today. Assistant U.S. Attorney Katherine Ferguson of Weinreb’s Narcotics and Money Laundering Unit 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.
Guatemalan National Charged with Illegal Reentry after DeportationRead the Press Release
BOSTON - A Guatemalan national was charged yesterday in federal court in Boston with a federal immigration crime.
Juan Chilel-Sandoval, a/k/a Jose Bartolome Chilel Sandoval, 28, was indicted on one count of unlawful reentry of a deported alien. Chilel-Sandoval was previously deported on Oct. 22, 2010. On Aug. 31, 2017, Chilel-Sandoval was encountered by law enforcement in Lynn and determined to be illegally present in the United States.
Chilel-Sandoval faces a sentence of no greater than two years in prison, one year of supervised release, a fine of $250,000, and will be subject to deportation upon completion of his sentence. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
Acting United States Attorney William D. Weinreb and Matthew J. Etre, Special Agent in Charge of Homeland Security Investigations in Boston, made the announcement today. Assistant U.S. Attorney Suzanne Sullivan Jacobus of Weinreb’s Major Crimes Unit is prosecuting this 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.
Guatemalan National Charged with Illegal Reentry after DeportationRead the Press Release
BOSTON - A Guatemalan national was charged yesterday in federal court in Boston with an immigration crime.
Gilberto Chavez-Mendez, 24, was indicted on one count of unlawful reentry of a deported alien. Chavez-Mendez was previously deported on May 23, 2012. On Aug. 28, 2017, Chavez-Mendez was encountered by law enforcement in Lynn and determined to be illegally present in the United States.
Chavez-Mendez faces a sentence of no greater than two years in prison, one year of supervised release, a fine of $250,000, and will be subject to deportation upon completion of his sentence. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
Acting United States Attorney William D. Weinreb and Matthew J. Etre, Special Agent in Charge of Homeland Security Investigations in Boston, made the announcement today. Assistant U.S. Attorney Suzanne Sullivan Jacobus of Weinreb’s Major Crimes Unit is prosecuting this 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.
Drug Maker Aegerion Agrees to Plead Guilty; Will Pay More Than $35 Million to Resolve Criminal Charges and Civil False Claims AllegationsRead the Press Release
Aegerion Pharmaceuticals Inc., a Cambridge, Massachusetts-based subsidiary of Novelion Therapeutics Inc., has agreed to plead guilty to charges relating to its prescription drug, Juxtapid, the Justice Department announced today.
As charged in a criminal information filed today, Aegerion introduced Juxtapid into interstate commerce that was misbranded because, among other things, Aegerion failed to comply with a Risk Evaluation and Mitigation Strategy (REMS). The resolution also includes a deferred prosecution agreement relating to criminal liability under the Health Insurance Portability and Accountability Act of 1996 (HIPAA). In addition, Aegerion has agreed to settle allegations that it caused false claims to be submitted to federal health care programs for Juxtapid. Aegerion has agreed to pay more than $35 million to resolve criminal and civil liability arising from these matters. Aegerion has also agreed to enter into a civil consent decree of permanent injunction aimed at preventing future violations of the Federal Food, Drug, and Cosmetic Act (FDCA).
“Today’s settlement shows that the government will continue to hold accountable drug companies that violate laws designed to protect the health and safety of patients,” said Acting Assistant Attorney General Chad A. Readler of the Justice Department’s Civil Division. “Aegerion has agreed to plead guilty to breaking the law. The Justice Department will continue to ensure that taxpayers do not foot the bill when such conduct occurs.”
In a criminal information filed on Sept. 22 in the District of Massachusetts, the United States charged that, from December 2012 to December 2015, Aegerion introduced into interstate commerce Juxtapid, a drug that was misbranded under the FDCA. During this time period, Juxtapid was approved by the U.S. Food and Drug Administration (FDA) to treat patients with homozygous familial hypercholesterolemia (HoFH), a rare disorder, inherited from both parents, that prevents the removal of LDL-C, often called the “bad” cholesterol, from the blood, causing abnormally high levels of circulating LDL-C. The Juxtapid label carried a black box warning that Juxtapid may cause liver toxicity, a serious side effect of using the drug, and the label also warned that Juxtapid may cause gastrointestinal adverse reactions. FDA required a REMS, which is a risk management plan deemed necessary to ensure that a drug’s benefits outweigh its risks, as part of Juxtapid’s approval. The specific purpose of the Juxtapid REMS was to educate prescribers about the risks of liver toxicity and to restrict access to Juxtapid only to those patients with a clinical or laboratory diagnosis consistent with HoFH.
The information alleges that during the relevant time period, Aegerion failed to give health care providers complete and accurate information about HoFH and how to properly diagnose it, and that Aegerion also filed a misleading REMS assessment report. According to the information, Aegerion therefore failed to comply with the required elements under the REMS to assure safe use of Juxtapid, in violation of the FDCA. The information further alleges that Aegerion management and sales personnel distributed Juxtapid not only for the treatment of HoFH, but also as a treatment for high cholesterol generally, without adequate directions for such use. Under the terms of a plea agreement, Aegerion has agreed to plead guilty to these charges and pay a criminal fine and forfeiture of $7.2 million.
In a deferred prosecution agreement to resolve a felony charge that Aegerion conspired to violate HIPAA, 42 U.S.C. §§ 1320d-6(a) and 1320-6(b)(3), Aegerion admitted that it conspired to obtain patients’ personally identifiable health information, without patient authorization, for commercial gain. Under the terms of the deferred prosecution agreement, Aegerion will implement enhanced compliance provisions, including periodic certifications to the government concerning its implementation of those provisions.
Under the civil false claims settlement, Aegerion will pay $28.8 million over three years to resolve federal and state civil liability for causing false claims for Juxtapid to be submitted to government health care programs (Medicare, Medicaid, and TRICARE) arising from its promotion of Juxtapid for patients without a diagnosis of, or consistent with, HoFH; false and misleading statements to doctors that the use of Juxtapid was appropriate in patients with symptoms including high cholesterol, irrespective of whether such patients had a diagnosis of HoFH and despite counter-indications to a diagnosis of HoFH; and alteration or falsification of statements of medical necessity and prior authorizations that were submitted to federal health care programs. The government further alleged that Aegerion defrayed patients’ copayment obligations for Juxtapid, in violation of the Anti-Kickback Statute (AKS), by funneling funds through Patient Services Inc. (PSI), an entity that claimed to be a non-profit patient assistance organization. The federal share of the $28.8 million civil false claims settlement is $26.1 million and the state portion is $2.7 million.
“Aegerion put profits over patient safety and enriched itself at taxpayer expense,” said Acting U.S. Attorney William D. Weinreb for the District of Massachusetts. “Our Office is committed to protecting patient safety and the integrity of federal health care programs, and we will continue to use our criminal and civil authority to ensure that drug companies play by the rules that protect the public, ensure quality of care, and preserve patient privacy.”
As part of the resolution, Aegerion has agreed to enter into a separate civil consent decree to resolve civil liability under the FDCA in connection with its failure to comply with the requirements of the Juxtapid REMS program and its distribution of Juxtapid with labeling that lacked adequate directions for all of Juxtapid’s intended uses. Aegerion also entered into a Corporate Integrity Agreement (CIA) with the HHS-OIG. The five-year CIA requires, among other things, that Aegerion implement measures designed to ensure that its promotional activities and any arrangements and interactions with third-party patient assistance programs comply with the law. In addition, the CIA requires reviews by an independent review organization and compliance-related certifications from company executives and Board members.
“We sometimes require companies to put in place certain measures to more closely manage a drug’s risks when we don’t believe a medicine’s benefits would outweigh its side effects without these risk mitigation strategies,” said FDA Commissioner Scott Gottlieb, M.D. “This might include requiring prescribers to undergo certain training on a drug’s risks, or having providers take steps to more closely monitor patients. By failing to follow the safety requirements that Aegerion had agreed to, the company put patients’ lives at risk and didn’t honor the safety commitments they made as a condition of gaining approval for their drug. This is unacceptable. We will continue to pursue those who skirt the law, and flout patient safety and other post-market commitments, using all of the enforcement tools available to us. Post-market safety requirements are a key element of FDA’s public health protections and we will ensure that they are fulfilled.”
“Today’s plea and settlement with Aegerion shows how the government will hold the pharmaceutical industry accountable for violating important FDA and privacy rules that are intended to keep patients safe and ensure the confidentiality of their information,” said Special Agent in Charge Harold H. Shaw of the FBI, Boston Field Division. “The FBI will continue to investigate companies like Aegerion that profit from exploiting patients who are searching for treatments for serious medical conditions.”
“Our corporate integrity agreement increases individual accountability for board members and company executives and it requires Aegerion to strengthen controls around promotional activities and other interactions with health care providers,” said Chief Counsel to the U.S. Department of Health and Human Services (HHS) Inspector General Gregory E. Demske. “Importantly, the CIA also requires that Aegerion implement controls and monitoring designed to ensure true independence from any charity patient assistance programs to which it donates in the future.”
“Today’s agreement demonstrates that we will not allow pharmaceutical manufacturers to provide the medical community with false and incomplete information about their products, thereby jeopardizing the health and safety of our citizens,” said Special Agent in Charge Phillip Coyne for the HHS Office of Inspector General (OIG). “Nor will we allow corporations to profit at the expense of patient care and their personal information.”
The civil false claims settlement resolves a lawsuit filed by Michele Clarke, Tricia Mullins, and Kristi Winger Szudlo, former employees of Aegerion, under the qui tam or whistleblower, provisions of the False Claims Act, which permit private individuals, known as relators, to sue on behalf of the government for false claims and to share in any recovery. The qui tam suit was filed in the District of Massachusetts and is captioned United States ex rel. Clarke, et al. v. Aegerion Pharmaceuticals, Inc., et al., No. 13-CV-11785 (D. Mass.). Relators will receive $4.7 million from the federal proceeds of the civil false claims settlement.
The government’s resolution of this matter illustrates the government’s emphasis on combating health care fraud. One of the most powerful tools in this effort is the False Claims Act. Tips and complaints from all sources about potential fraud, waste, abuse, and mismanagement can be reported to the Department of Health and Human Services at 900-HHS-TIPS (800-447-8477).
This resolution was the result of a coordinated effort by the U.S. Attorney’s Office for the District of Massachusetts, the Civil Division’s Consumer Protection Branch and Commercial Litigation Branch, the FDA’s Office of Chief Counsel and Office of Criminal Investigations, the FBI, HHS-OIG, and the Department of Labor’s Employee Benefits Security Administration.
Except as to conduct admitted as part of the guilty plea and deferred prosecution agreement, the claims resolved by the civil settlement are allegations only and there has been no determination of liability.
Drug Maker Aegerion Agrees to Plead Guilty and Pay $35 Million to Resolve Criminal Charges and False Claims Act AllegationsRead the Press Release
BOSTON – The U.S. Attorney’s Office announced today that Aegerion Pharmaceuticals, Inc, a Cambridge, Massachusetts-based subsidiary of Novelion Therapeutics Inc., has agreed to pay over $35 million to resolve criminal and civil charges relating to its marketing of Juxtapid, a drug that is labeled with a warning that it may cause serious liver and stomach problems and that is approved to treat high cholesterol only for patients with a rare genetic disease called homozygous familial hypercholesterolemia (HoFH).
“Aegerion put profits over patient safety and enriched itself at taxpayer expense,” said Acting U.S. Attorney William D. Weinreb. “Our Office is committed to protecting patient safety and the integrity of federal health care programs, and we will continue to use our criminal and civil authority to ensure that drug companies play by the rules that protect the public, ensure quality of care, and preserve patient privacy.”
“Today’s settlement shows that the government will continue to hold accountable drug companies that violate laws designed to protect the health and safety of patients,” said Acting Assistant Attorney General Chad A. Readler, head of the Justice Department’s Civil Division. “Aegerion has agreed to plead guilty to breaking the law. The Justice Department will continue to ensure that taxpayers do not foot the bill when such conduct occurs.”
In a criminal Information filed today, the United States charged that, from December 2012 to December 2015, Aegerion violated the Federal Food, Drug, and Cosmetic Act in connection with its sale and promotion of the drug Juxtapid. Aegerion management and sales personnel distributed Juxtapid not only for the treatment of HoFH, but also as a treatment for high cholesterol generally, without adequate directions for such use. Furthermore, even though the FDA had approved Juxtapid subject to a Risk Evaluation Mitigation Strategy (REMS) to ensure that prescribers were informed of the drug’s risks and that Juxtapid was prescribed only for patients with a clinical or laboratory diagnosis consistent with HoFH, the Information alleges that, during the relevant time period, Aegerion failed to give health care providers complete and accurate information about the clinical diagnosis of HoFH, therefore failing to comply with the required elements under the REMS to assure safe use of Juxtapid. Under the terms of a plea agreement, Aegerion has agreed to plead guilty to these charges and to pay a criminal fine and forfeiture of $7.2 million.
Today’s resolution includes a deferred prosecution agreement to resolve a felony charge that Aegerion conspired to violate the Health Insurance Portability and Accountability Act of 1996 (HIPAA). Under the terms of the deferred prosecution agreement, Aegerion admitted to facts demonstrating that the company conspired with its sales employees, including senior managers, to obtain patients’ personally identifiable health information, without patient authorization, for commercial gain. Aegerion has agreed to implement enhanced compliance provisions, including periodic certifications to the government concerning its implementation of those provisions.
Under the terms of a civil False Claims Act settlement, Aegerion will pay $28.8 million over three years to resolve allegations that: Aegerion distributed Juxtapid for patients without a diagnosis of, or consistent with, HoFH; Aegerion employees, including senior managers, made false and misleading statements to doctors that the use of Juxtapid was appropriate in patients with high cholesterol, irrespective of whether such patients had a diagnosis of HoFH and despite counter-indications to a diagnosis of HoFH; Aegerion employees at times altered or falsified statements of medical necessity and prior authorizations that were submitted to federal health care programs; and Aegerion defrayed patients’ copayment obligations for Juxtapid, in violation of the Anti-Kickback Statute, by funneling funds through Patient Services, Inc., an entity that promoted its ability to create a “reimbursement vehicle” for Aegerion from patients who otherwise would have received free drug.
As part of the resolution, Aegerion has also agreed to enter into a separate civil consent decree with the FDA to resolve civil liability under the FDCA for its distribution of Juxtapid that was misbranded because Aegerion failed to comply with the requirements of the Juxtapid REMS program and because Juxtapid’s labeling lacked adequate directions for all of Juxtapid’s intended uses.. Aegerion also entered into a Corporate Integrity Agreement (CIA) with the Office of Inspector General of the Department of Health and Human Services. The five-year CIA requires, among other things, that Aegerion implement measures designed to ensure that its promotional activities and any arrangements and interactions with third-party patient assistance programs are compliant with the law. In addition, the CIA requires reviews by an independent review organization and compliance-related certifications from company executives and Board members.
“Today’s settlement with Aegerion shows how the government will hold the pharmaceutical industry accountable for violating important FDA and privacy rules that are intended to keep patients safe and ensure the confidentiality of their information,” said Harold H. Shaw, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division. “The FBI will continue to investigate companies like Aegerion that profit from exploiting patients who are searching for treatments to serious medical conditions.”
“Today’s agreement demonstrates that we will not allow pharmaceutical manufacturers to provide the medical community with false and incomplete information about their products, thereby jeopardizing the health and safety of our citizens,” said Phillip Coyne, Special Agent in Charge for the U.S. Department of Health and Human Services Office of Inspector General. “Nor will we allow corporations to profit at the expense of patient care and their personal information.”
“Our corporate integrity agreement increases individual accountability for board members and company executives and it requires Aegerion to strengthen controls around promotional activities and other interactions with health care providers,” said Gregory E. Demske, Chief Counsel to the Inspector General for the U.S. Department of Health and Human Services. “Importantly, the CIA also requires that Aegerion implement controls and monitoring designed to ensure true independence from any charity patient assistance programs to which it donates in the future.”
“We sometimes require companies to put in place certain measures to more closely manage a drug’s risks when we don’t believe a medicine’s benefits would outweigh its side effects without these risk mitigation strategies. This might include requiring prescribers to undergo certain training on a drug’s risks, or having providers take steps to more closely monitor patients,” said FDA Commissioner Scott Gottlieb, M.D. “By failing to follow the safety requirements that Aegerion had agreed to, the company put patients’ lives at risk and didn’t honor the safety commitments they made as a condition of gaining approval for their drug. This is unacceptable. We will continue to pursue those who skirt the law, and flout safety patient and other post-market commitments, using all of the enforcement tools available to us. Post-market safety requirements are a key element of FDA’s public health protections and we will ensure that they are fulfilled.”
“By failing to comply with all requirements of FDA’s approval of Juxtapid, including its Risk Evaluation and Mitigation Strategy, Aegerion subjected patients to unnecessary risk” said Mark S. McCormack, Special Agent in Charge, FDA Office of Criminal Investigations, Metro Washington Field Office. “When a company subverts FDA’s approval conditions, we will pursue and bring them to justice in order to fulfill our mission of protecting the public health.”
“EBSA is very pleased to have had the opportunity to work collaboratively with our law enforcement partners on this important investigation,” said Susan A. Hensley, Regional Director, U. S. Dept. of Labor, Employee Benefits Security Administration, Boston Regional Office. “I commend the exceptional work performed by our investigators and their law enforcement partners. This office will continue to vigorously pursue cases where participants and private sector health benefit plans are victimized by unscrupulous and illegal pharmaceutical sales practices.”
The civil settlement resolves a lawsuit filed by Michele Clarke, Tricia Mullins, and Kristi Winger Szudlo, former employees of Aegerion, under the qui tam, or whistleblower, provisions of the False Claims Act, which permit private individuals, known as relators, to sue on behalf of the government for false claims and to share in any recovery. The qui tam suit was filed in the District of Massachusetts and is captioned United States ex rel. Clarke, et al. v. Aegerion Pharmaceuticals, Inc., et al., No. 13-CV-11785 (D. Mass.). Relators will receive $4.7 million from the proceeds of the federal civil settlement.
The government’s resolution of this matter illustrates the government’s emphasis on combating health care fraud. One of the most powerful tools in this effort is the False Claims Act. Tips and complaints from all sources about potential fraud, waste, abuse, and mismanagement can be reported to the Department of Health and Human Services, at 800-HHS-TIPS (800-447-8477).
This matter was investigated by the Federal Bureau of Investigation, the Department of Health and Human Services’ Office of Inspector General, the Department of Labor’s Employee Benefits Security Administration, and the FDA. This matter was handled by Assistant U.S. Attorneys Kriss Basil, Young Paik, Sara Bloom and Abraham George of Weinreb’s Office and Trial Attorneys Shannon Pedersen and Holly Snow of the Civil Division’s Consumer Protection Branch and Civil Fraud Section, respectively.
Dominican National Charged with Identity TheftRead the Press Release
BOSTON – A Dominican national was charged yesterday in federal court in Boston with identity theft.
Willy Antonio Hernandez Camilo, 33, a Dominican national residing in Lawrence, was indicted on one count of passport fraud, two counts of misuse of a Social Security number, and two counts of aggravated identity theft.
According to the indictment, Hernandez Camilo purported to be a U.S. citizen in 2014 when he applied for a passport at a Methuen post office. On the passport application, Hernandez Camilo represented the name, Social Security number, and date of birth of a U.S. citizen from Puerto Rico as his own and supported the application by presenting a birth certificate and Massachusetts driver’s license in the victim’s name. Court documents further allege that Hernandez Camilo misused a Social Security number and committed aggravated identity theft in connection with a Massachusetts driver’s license renewal application that he submitted in 2016.
The charge of aggravated identity theft provides for a mandatory sentence of two years in prison, one year of supervised release, and a fine of up to $250,000. The charge of passport fraud provides for a sentence of no greater than 10 years in prison, three years of supervised released, and a fine of up to $250,000. The charge of 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. Sentences are imposed by a federal district court judge based on the U.S. Sentencing Guidelines and other statutory factors.
Acting United States Attorney William D. Weinreb and Matthew J. Etre, Special Agent in Charge of Homeland Security Investigations in Boston, made the announcement today. Assistant U.S. Attorney Christine Wichers of Weinreb’s Major Crimes 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 Police Sergeant Detective Agrees to Plead Guilty to Making False Statements and Unlawfully Entering Secure Airport AreaRead the Press Release
BOSTON – A Boston Police Sergeant Detective agreed to plead guilty today to repeatedly making false statements so that he could fly armed on personal trips and enable a friend to fly with him without being screened by security personnel at Boston’s Logan International Airport.
Bruce E. Smith, 53, of Randolph, agreed to plead guilty to making false statements to the Transportation Security Administration (TSA) and the Department of Homeland Security, as well as unlawfully entering a secure airport area with intent to evade security requirements. In June 2017, Smith was arrested and charged by criminal complaint.
Smith has been employed with the Boston Police Department since 1989 and is currently a Sergeant Detective assigned to District E-13, Jamaica Plain, as a district detective supervisor. Under the terms of the plea agreement, Smith faces a sentence of six months to one year of probation, with the possibility of home confinement. Smith has also agreed to resign from the Boston Police Department and pay a $7,500 fine.
Between May 2011 and April 2017, Smith flew armed on approximately 28 separate trips departing from Logan Airport even though he was not on official business, which is a violation of federal law. On each of those trips, he falsely claimed to have obtained supervisor approval for his travel. On at least two of them, Smith also escorted or attempted to escort a friend through Logan Airport without security screening. Smith falsely claimed that his friend was a “dignitary” under Smith’s official police escort. When questioned by TSA security personnel as to what type of dignitary his friend was, Smith falsely replied, “I am not at liberty to divulge that information.” In fact, Smith’s friend, who has a criminal record, is not a dignitary, but a mobile HIV clinic operator.
Acting United States Attorney William D. Weinreb; Boston Police Commissioner William Evans; and Mark Tasky, Special Agent in Charge of the Department of Homeland Security, Office of Inspector General, Washington Field Office, made the announcement today. The investigation was conducted jointly by BPD’s Anti-Corruption Division and DHS-OIG. Assistant U.S. Attorney Zachary R. Hafer of Weinreb’s Public Corruption and Special Prosecutions Unit is prosecuting the case.
Boston Man Pleads Guilty to Robbing Five BanksRead the Press Release
BOSTON – A Boston man pleaded guilty yesterday in federal court in Boston to robbing five banks throughout April and June 2017.
Thomas W. Nee, 46, pleaded guilty to five counts of bank robbery. U.S. District Court Judge George A. O’Toole Jr. scheduled sentencing for Jan. 9, 2018.
Nee robbed five different banks stealing a total of over $8,200. The robberies occurred at Santander Bank on Commonwealth Avenue on April 21; Citizens Bank on Tremont Street on May 5; Century Bank on State Street on May 8; Randolph Savings Bank on May 22; and Eastern Bank on West Broadway on June 8. Nee committed each of the robberies by handing a teller a note demanding money.
Each count of bank robbery provides for a sentence of no greater than 20 years in prison, three years of supervised released, 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.
Acting United States Attorney William D. Weinreb and Harold H. Shaw, Special Agent in Charge of the Federal Bureau of Investigation’s Boston Field Office, made the announcement today. Assistant U.S. Attorney Christine Wichers of Weinreb’s Major Crimes Unit is prosecuting the case.
Attorney General Sessions to Travel to Boston, Massachusetts to Give Remarks to Federal Law EnforcementRead the Press Release
WASHINGTON – Attorney General Sessions will travel to Boston, Massachusetts, on THURSDAY, SEPTEMBER 21, 2017 to give remarks to federal law enforcement about transnational criminal organizations.
WHO:
Attorney General Jeff Sessions
WHAT:
Attorney General Sessions will give remarks to federal law enforcement about transnational criminal organizations.
WHEN:
Thursday, September 21, 2017
3:00 p.m. EDT
WHERE:
U.S. Attorney’s Office
1 Courthouse Way, Suite 9200
Boston, MA 02210
OPEN PRESS
(Preset at 2:00 p.m. // Final Access 2:15 p.m.)
NOTE: All media must RSVP and present government-issued photo I.D. (such as a driver’s license) as well as valid media credentials. The RSVP and any inquiries regarding logistics should be directed to Devin O’Malley in the Office of Public Affairs at (202) 514-2007 or [email protected]. Please include the email address of the person(s) attending the event, so that we may reach them directly if details change.Providence Man Pleads Guilty to Distributing HeroinRead the Press Release
BOSTON – A Providence, R.I., man pleaded guilty yesterday in federal court in Boston to federal drug charges.
Dennys Villalona, a/k/a Xavier Martinez-Gonzalez, 32, pleaded guilty to one count of possession with intent to distribute and distribution of heroin and one count of possession with intent to distribute and distribution of more than 100 grams of heroin. U.S. District Court Judge Douglas P. Woodlock scheduled sentencing for Jan. 11, 2018.
In November 2016, a cooperating source introduced an undercover officer to Villalona for the purpose of supplying heroin to the undercover officer. On Nov. 17, 2016, Villalona and the undercover officer met in a restaurant parking lot in Foxboro where Villalona agreed to sell the undercover officer one kilogram of heroin for $55,000. He also stated that, if the undercover officer kept coming back and business was good, the price would drop to $50,000 or even less per kilogram. Two days later, Villalona and the undercover officer met again, and Villalona supplied the undercover officer with a nearly 10-gram sample of heroin. On Nov. 22, 2016, Villalona and the undercover officer met at a restaurant in Wrentham, where Villalona delivered a package containing 992 grams of heroin to the undercover officer. All three meetings were recorded.
The charge of possession with intent to distribute and distribution of heroin provides for a sentence of no greater than 30 years in prison, a minimum of six years and up to a lifetime of supervised release, and a fine of $2 million. The charge of possession with intent to distribute and distribution of more than 100 grams of heroin provides for a mandatory minimum sentence of 10 years and up to a lifetime in prison, a minimum of eight years and up to a lifetime of supervised release, and a fine of $8 million. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney William D. Weinreb and Michael J. Ferguson, Special Agent in Charge of the Drug Enforcement Administration, New England Division, made the announcement today. Assistant U.S. Attorney Linda Ricci, Deputy Chief of Weinreb’s Narcotics and Money Laundering Unit, is prosecuting the case.
Former CFO of International Public Relations Firm Charged in Multi-Million Dollar Embezzlement SchemeRead the Press Release
BOSTON – The former chief financial officer of an international marketing and public relations firm was charged today with embezzling over $3 million from the company.
Edward J. Abell III, 44, of Gloucester, was charged with wire fraud and money laundering and is scheduled to make an initial appearance in federal court before U.S. Chief Magistrate Judge David H. Hennessy on Sept. 21, 2017.
According to court documents unsealed today, Abell served as Vice President of Finance and later Chief Financial Officer of a global integrated marketing agency based in Boston. In that capacity, Abell oversaw all aspects of the company’s finances and controlled all corporate bank accounts. It is alleged that between 2006 and his departure in 2016, Abell embezzled over $3.6 million from his employer by writing company checks to Pinehurst Tax Associates – a firm Abell owned. However, Pinehurst allegedly did not provide any services to Abell’s employer. Rather, it is alleged that Abell used Pinehurst as a shell company through which he channeled embezzled funds to personal bank accounts.
In order to avoid detection, Abell allegedly created fake profiles for Pinehurst within his employer’s internal vendor database and attributed all the fraudulent payments to Pinehurst as “Professional Services” in the financial accounting system. Abell also allegedly filed false personal tax returns with the IRS, which failed to report the millions he obtained through Pinehurst.
In addition to the criminal complaint, the United States obtained seizure warrants for several of Abell’s assets allegedly acquired with fraudulent proceeds. As part of the operation, federal agents seized a 2015 Porsche Macan S, a 2015 Ford F-350 Super Duty, and an E*TRADE brokerage account all owned by Abell or held in his name.
The charge of wire fraud provides for a sentence of no greater than 20 years in prison, three years of supervised release, and a fine of $250,000, or twice the gross gain or loss. The charge of money laundering 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 value of the criminally derived property. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
Acting United States Attorney William D. Weinreb; Shelly Binkowski, Inspector in Charge of the U.S. Postal Inspection Service’s Boston Field Division; and Joel P. Garland, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigation in Boston, made the announcement today. Assistant U.S. Attorney Jordi de Llano, Deputy Chief of Weinreb’s Economic Crimes Unit, is prosecuting the case.
The charges contained in the complaint are merely accusations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Fitchburg Man Sentenced for Dealing Heroin and CocaineRead the Press Release
BOSTON – A Fitchburg man was sentenced today in federal court in Worcester for his role in a drug trafficking conspiracy.
Elvis Genao, 28, was sentenced by U.S. District Court Judge Timothy S. Hillman to 37 months in prison and three years of supervised release. In May 2017, Genao and four co-defendants pleaded guilty to conspiracy to distribute heroin and cocaine in Worcester County.
In the late summer of 2014, federal agents began investigating the narcotics trafficking activities of Osvaldo Vasquez and his associates, Genao, Jose Federico Vasquez, Felix Melendez, and Hugo Santana-Dones. Between November 2014 and July 2015, with the help of a cooperating witness, agents made numerous recorded purchases of heroin - sometimes laced with fentanyl - from members of the conspiracy, seizing over 400 grams of heroin as a result.
During the controlled purchases, Genao was recorded distributing over 100 grams of heroin to a cooperating source in July 2015. Genao was also captured on wire intercepts between April and July of 2015 discussing the delivery and sale of additional narcotics.
Santana-Dones was sentenced on Sept. 6, 2017, to 80 months in prison and will be subject to deportation hearings upon completion of his sentence; Federico Vasquez was sentenced yesterday to five years in prison and will be subject to deportation hearings upon completion of his sentence. Osvaldo Vasquez and Melendez are scheduled to be sentenced on Nov. 3, 2017, and Oct. 25, 2017, respectively.
Acting United States Attorney William D. Weinreb; Michael J. Ferguson, Special Agent in Charge of the Drug Enforcement Administration, New England Field Division; Colonel Richard D. McKeon, Superintendent of the Massachusetts State Police; Worcester Police Chief Steven M. Sargent; Fitchburg Police Chief Ernest F. Martineau; and Leominster Interim Police Chief Michael Goldman made the announcement today. Assistant U.S. Attorney Mark J. Grady of Weinreb’s Worcester Branch Office is prosecuting the cases.