District of Massachusetts
Press releases recorded for this federal judicial district.
New Bedford Man Convicted of Passport FraudRead the Press Release
BOSTON – Following a jury trial, a New Bedford man was convicted of passport fraud.
John Doe a/k/a Jose L. Cosme was convicted of two counts of passport fraud. United States District Judge Douglas P. Woodlock scheduled sentencing for July 18, 2013.
On January 5, 2008, the defendant submitted an application for a U.S. passport at the U.S. Postal Office in New Bedford, representing himself as Jose L. Cosme, born in Bayamon, Puerto Rico. The defendant also claimed that his date of birth, social security number, and parents were those that in reality pertained to the true Jose L. Cosme. The defendant affixed his photograph to the application and provided other information required, including his mailing and residential address, which he reported as a New Bedford address. As proof of U.S. citizenship and identity, the defendant provided a birth certificate issued by the Commonwealth of Puerto Rico and a Massachusetts identification card, both in the name of Jose. L. Cosme. The defendant swore to the truth of the statements made in the application before a U.S. Postal Clerk. In due course, the U.S. State Department approved the application and issued a passport to the defendant in the name of Jose L. Cosme.
On May 12, 2012, after arriving at Logan International Airport on a flight from the Dominican Republic, the defendant traveling under the name of Jose L. Cosme attempted to use the issued passport and was referred by a U.S. Customs & Border Protection Officer to secondary admissibility inspection. During questioning, the defendant was unable to provide basic biographical information about his life in Puerto Rico and information regarding his family. A subsequent investigation by the U.S. State Department’s Bureau of Diplomatic Security revealed that the defendant assumed the identity of the true Jose L. Cosme.
The statutory maximum penalty is 10 years in prison, followed by three years of supervised release and a fine of up to $250,000 on each count.
United States Attorney Carmen M. Ortiz; William Wommack, Acting Special Agent in Charge of the U.S. Bureau of Diplomatic Security, Boston Field Office; and Kevin Weeks, Director of Field Operations of U.S. Customs & Border Protection, made the announcement today. The case is being prosecuted by Assistant U.S. Attorneys Robert E. Richardson and Carlos A. Lopez of Ortiz’s Major Crimes Unit.
Convicted Sex Offender Indicted for Production of Child PornographyRead the Press Release
BOSTON – A level II sexual offender was indicted yesterday with the production of child pornography while on probation as a sex offender.
George Shipps, 31, of Chelsea, was charged with two counts of production of child pornography, transportation of child pornography and receipt of child pornography. In February 2013, Shipps was arrested at his home and has since been detained.
According to court documents, agents learned that Shipps, using a Yahoo! email address, had been sending and receiving images containing child pornography from his home in Chelsea to another individual in Hickory, NC. On February 19, 2013, agents executed a search warrant at Shipps’ home, whereupon Shipps admitted to possessing the images containing child pornography and sending them via email. Shipps further identified the six-year-old depicted in those photos and admitted to taking them between August and September of 2012.
Shipps was and is a level II sex offender on probation from the Middlesex County Superior Court for the possession of child pornography and luring a minor for the purpose of sex. Under current Massachusetts law, Shipps’ status as a level II sex offender was not available to the public via the sex offender registry website.
Because of Shipps’ status as a convicted sex offender, he faces a mandatory minimum sentence of 25 years and up to 50 years in prison, to be followed by up to lifetime supervised release, a $250,000 fine, and forfeiture if convicted.United States Attorney Carmen M. Ortiz and Richard DesLauriers, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division, made the announce today. The case is being prosecuted by Assistant U.S. Attorney Stacy Dawson Belf of Ortiz’s Major Crimes Unit.
Members of the public who have questions, concerns or information regarding this case should call 617-748-3274, and messages will be promptly returned.
The case is brought as part of Project Safe Childhood. In 2006, the Department of Justice created Project Safe Childhood, a nationwide initiative designed to protect children from exploitation and abuse. Led by the U.S. Attorneys’ Offices and the Criminal Division’s CEOS, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend, and prosecute individuals who exploit children, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov/.The details contained in the indictment are allegations. The defendant is presumed to be innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Cape Cod Man Sentenced for Possession of Child PornographyRead the Press Release
BOSTON – A West Harwich man, formerly of Charlestown, was sentenced yesterday for possessing child pornography.
Thomas J. Richardson, 67, was sentenced to 24 months in prison, followed by five years of supervised release and ordered to pay $10,000 in restitution to one of the victims. He was also ordered to forfeit the computers he used to store the illicit images and videos. In February 2013, Richardson pleaded guilty to possession of child pornography.
Between July 4th and 8th, 2008, an FBI agent working undercover for the FBI's Innocent Images Unit went online to a peer-to-peer file sharing software program. The FBI agent received a "friend" request and offline messages from Richardson using the screen name "Greatg." In the messages, Richardson asked when the agent would be online, stated that his name was "Gretchne," and falsely indicated that he was a mother of two.
On July 9, 2008, the agent logged into the file sharing program and found files containing child pornography images and videos belonging to Richardson. The agent attempted to download the files, however, Richardson terminated this transaction before it was completed because he was unable to download any content from the agent's online profile. Prior to the termination, the agent was able to download three files. One video was corrupted and could not be viewed. Another video, depicted anal-genital sexual intercourse between an adult man and a toddler boy. And an image depicted a nude, adult man touching the clothed genitals of a minor boy on a bed. The agent determined, through IP address location information, that the user profile belonged to Thomas J. Richardson in Charlestown.In August, 2008, the agent again logged into the file-sharing program and observed that Richardson's profile was also online. The agent browsed Richardson's shared file directories, and found files containing child pornography images and videos. The agent downloaded 11 files of child pornography, including a number of images depicting a prepubescent boy and prepubescent girl engaging in sexual acts with each other. The agent determined, through IP address location information, that the user profile belonged to Richardson's address in West Harwich.
The West Midlands Police, in Birmingham, England, also had reported to the FBI in Boston that an individual using the screen name "GreatG" was communicating and trading pornography with a target in their jurisdiction through the Google Hello program. British law enforcement obtained IP login information for GreatG's account and determined that Richardson had accessed this account from his residences as well as from his then-employer.
On November 6, 2008, the FBI executed a search warrant at Richardson's homes in Charlestown and West Harwich and seized six laptop computers. The FBI conducted a forensic examination of the computers and found evidence of significant child pornography activity. The Internet browsing history and recent link files showed that Richardson accessed a number of files with explicit names indicative of child pornography. Evidence of installation and use of the file-sharing program and Google Hello were also found on an HP laptop in Charlestown.
Forensic analysis revealed at least 10 images in allocated space, including the following:
- An image which depicts a nude girl lying on a bed with her legs spread - her wrists and one visible ankle are tied to the bed frame;
- An image which depicts a girl, who appears to be approximately 12 to 14 years-old, holding a penis near her mouth. There appears to be semen on her face and shirt; and
- An image which depicts a prepubescent, nude girl who is kneeling on the floor and engaging in oral-genital sexual intercourse with an adult male who is standing. The girl is wearing a mask (with an opening at the mouth) and her hands appear to be tied.
Forensics further revealed numerous deleted and temporary internet images of child pornography on the computers.
From Richardson's computer, forensic agents recovered 159 chats between Richardson and 81 other users on Google Hello trading numerous images of child pornography and child erotica, including images of children as young as six engaged in sexual acts and images depicting sadomasochistic sexual abuse of children. The chats indicate Richardson's substantial knowledge of child pornography series as well as his extensive collection of child pornography, which allowed him to provide child pornography tailored to the requester's preferences.
United States Attorney Carmen M. Ortiz and Richard DesLauriers, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division, made the announcement today.
The case was prosecuted by Assistant U.S. Attorneys Michael Yoon and Stacy Dawson Belf of Ortiz's Major Crimes Unit and Trial Attorney Bonnie Kane of the Department of Justice's Child Exploitation & Obscenity Section.
This case was brought as part of Project Safe Childhood. In 2006, the Department of Justice created Project Safe Childhood, a nationwide initiative designed to protect children from exploitation and abuse. Led by the U.S. Attorneys' Offices, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend, and prosecute individuals who exploit children via the Internet, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov/.- An image which depicts a nude girl lying on a bed with her legs spread - her wrists and one visible ankle are tied to the bed frame;
Worcester Tax Preparer Charged with Preparing False ReturnsRead the Press Release
BOSTON - A Worcester woman was charged today on charges of falsifying tax returns.
Jenniffer Cox Elicier, 34, of Worcester was charged in an Indictment with multiple counts of aiding and assisting in the preparation of false tax returns.
The Indictment alleges that Elicier operated Cox Elicier Tax in Worcester where she prepared individual federal income tax returns for clients. Elicier allegedly inserted false information into her clients’ Form 1040 returns, including false Schedule A deductions such as gifts to charity and unreimbursed employee expenses and educator expenses, and thereby generated illegal refunds.
The statutory maximum penalty for the crime charged is three years in prison, to be followed by one year of supervised release and a $250,000 fine.
United States Attorney Carmen M. Ortiz and William P. Offord, Special Agent in Charge of Internal Revenue Service’s Criminal Investigation in Boston made the announcement today. The case is being prosecuted by Assistant U.S. Attorney Lori J. Holik of Ortiz’s Economic Crimes Unit.
The details contained in the Indictment are allegations. The defendant is presumed to be innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Medford Man Charged in Bank BurglaryRead the Press Release
Boston - A Medford man was charged late yesterday in federal court with bank burglary.
Terry K. Leigh, 43 was charged in a criminal complaint with bank burglary. On Aug. 11, 2012, at approximately 9:45 p.m., agents were conducting surveillance at the Bank of America located at 465 Columbus Avenue, Boston. According to the complaint affidavit, agents observed an individual, later identified as Leigh, enter the bank’s ATM, wearing a dark green hat, a fake beard and carrying a dark green messenger-style bag. While inside the ATM, agents witnessed Leigh use a tool to pry the ATM’s internal access door open and enter the ATM’s internal room and close the door behind him. According to the affidavit, as the agents approached the bank’s ATM they observed Leigh exit the ATM’s internal room and walk up a rear stairway. Leigh was located and arrested on the roof of the building with the green messenger-style bag, which contained saw blades, gloves, a fake beard and a grinder saw.
A detention hearing is scheduled before United States Magistrate Judge Marianne B. Bowler on April 18, 2013.The statutory maximum penalty is up to 20 years in prison, to be followed by three years of supervised release and a $250,000 fine.
United States Attorney Carmen M. Ortiz, Richard DesLauriers, Special Agent in Charge of the Federal Bureau of Investigation - Boston Field Office and Boston Police Commissioner Edward Davis made the announcement. The case is being prosecuted by Assistant U.S. Attorney Kenneth G. Shine of Ortiz’s Major Crimes Unit.
The details contained in the complaint are allegations. The defendant is presumed to be innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
West Springfield Man Sentenced to 10 Years for Possessing Child PornographyRead the Press Release
Boston - A West Springfield man was sentenced yesterday in federal court for possession of child pornography.
William Crites, 44, was sentenced by U.S. District Judge Douglas P. Woodlock to 10 years in prison, to be followed by 15 years of supervised release after pleading guilty to possession of child pornography charges on Aug. 6, 2012.Had the case proceeded to trial, the Government’s evidence would have proven that between March 11, 2011 and May 3, 2011 Crites, who had been previously convicted of receipt and distribution of child pornography, possessed child pornography on a tablet computer he owned.
United States Attorney Carmen M. Ortiz; John Gibbons, United States Marshal; Hampden County District Attorney Mark G. Mastroianni; and Colonel Timothy P. Alben, Superintendent of the Massachusetts State Police made the announcement. The case was prosecuted by Assistant U.S. Attorney Alex J. Grant of Ortiz’s Springfield Branch Unit.
Springfield Man Sentenced for Distributing Crack CocaineRead the Press Release
Boston - A Springfield man was sentenced yesterday in federal court for conspiracy and distribution of cocaine base.
Juan Dessasure, 32, was sentenced by U.S. District Judge Douglas P. Woodlock to four years in prison, to be followed by five years of supervised release. Dessasure pleaded guilty to conspiracy and distribution and possession with intent to distribute cocaine on Oct. 27, 2011.
Had the case proceeded to trial the Government’s evidence would have proven that Dessasure, working with another individual, sold crack cocaine to a cooperating witness in November 2009 and again in January 2010.United States Attorney Carmen M. Ortiz; Richard DesLauriers, Special Agent in Charge of the Federal Bureau of Investigation - Boston Field Office; John J. Arvanitis, Special Agent in Charge of the Drug Enforcement Administration - Boston Field Office; Hampden County District Attorney Mark. G. Mastroianni; United States Marshal John Gibbons; Hampden County Sheriff Michael Ashe; Colonel Timothy P. Alben, Superintendent of the Massachusetts State Police; and Holyoke Police Chief James M. Neiswanger made the announcement today. The case was prosecuted by Assistant U.S. Attorney Alex J. Grant of Ortiz’s Springfield Branch Unit.
North Attleboro Bank Employee Sentences for Bank FraudRead the Press Release
BOSTON - A North Attleboro woman was sentenced yesterday in federal court for taking over $112,000 from the bank where she was employed.
Debra S. Antonitis, 45, was sentenced by U.S. District Judge William G. Young to time served, to be followed by two years of supervised release, of which six months will be served in home detention. Antonitis was also order to pay restitution of $92,128.95 and a $100 special assessment. The Court also entered a forfeiture order of $112,385. Antonitis pleaded guilty to one count of bank fraud on Jan. 14, 2013.
Between April 2006 and early January 2012, Antonitis made 143 fraudulent transfers of funds through the records system of the bank where she worked, in order to take approximately $112,385. Antonitis conducted each of these fraudulent transfers by creating fictitious withdrawals from customers’ accounts and transferring the funds to herself in cash or in deposits to her own accounts. She covered up her thefts by creating false entries in the bank’s records to make it appear that customers had withdrawn the funds.
United States Attorney Carmen M. Ortiz and Richard Deslauriers, Special Agent in Charge of the Federal Bureau of Investigation - Boston Field Division made the announcement. The case was prosecuted by Assistant U.S. Attorney Sara Miron Bloom of Ortiz’s Economic Crimes Unit.
Woman Sentenced to Five Years on Forced Labor ChargesRead the Press Release
BOSTON - A New York woman was sentenced today in federal court in Boston on charges of conspiring to transport women in interstate travel for the purpose of prostitution, forced labor and harboring aliens.
Hong Wei, a/k/a “Ms. Chen,” 37, of Flushing, New York, was sentenced by U.S. District Judge George A. O’Toole to five years in prison, to be followed by five years of supervised release.
From August of 2004 through February of 2010, Wei, along with Jing Liang Chen, a/k/a “Mike,” 30 , of Quincy; Xiang Hua Zhang, a/k/a “Darren,” 27, of Flushing, New York; Yuen Jin, a/k/a “Eric,” 26, of Quincy; and Don Kai Chen, 41, of Quincy, engaged in a conspiracy to entice Asian women to travel to Massachusetts to engage in prostitution. The conspiracy involved the use of advertising in various newspapers in New York, California, Massachusetts, and elsewhere, seeking the services of Asian women to work in the defendants’ brothels. The women generally arrived at South Street Bus Station in Boston from New York and elsewhere around the country and were thereafter transported by the defendants to various apartments throughout Massachusetts where they then engaged in prostitution. Some of the women were not legally in the United States when they were harbored in the brothels. Some of the women were forced to work in the brothels.
Jing Liang Chen has pleaded guilty and is awaiting sentencing; Yuen Jin is pending trial; Don Kai Chen pleaded guilty and was sentenced in March 2012 to 15 months in prison. Xiang Hua Zhang pleaded guilty and in November 2011 was sentenced to 21 months.
United States Attorney Carmen M. Ortiz; Bruce M. Foucart, Special Agent in Charge of Homeland Security Investigations in Boston; William P. Offord, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigation in Boston; Boston Police Commissioner Edward Davis; Chief Paul Keenan of the Quincy Police Department; Sheriff Thomas M. Hodgson of the Bristol County Sheriff’s Office; and Chief Michael Kent of the Burlington Police Department made the announcement. The case is being prosecuted by Assistant U.S. Attorneys Laura J. Kaplan and Timothy Moran in the Organized Crime Strike Force Unit.
Peabody Man Charged with Using Stolen Identities of A Florida Company’s EmployeesRead the Press Release
BOSTON – A Peabody man was charged yesterday with heading an identity fraud conspiracy that used identities stolen from employees of a Florida company to fraudulently obtain $368,000 in credit at large chain retail stores.
William G. Dodge, 45, of Peabody, was charged in a criminal complaint with access device fraud, conspiracy to commit access device fraud, and aggravated identity theft.
The complaint alleges that Dodge claimed to have given the employee of a Florida company $3,000 for a list of her coworkers’ identity information, such as their names, dates of birth, Social Security numbers, and salaries. From June 2012 through February 2013, Dodge headed a conspiracy of individuals who obtained false identity cards that looked like Massachusetts drivers’ licenses and bore the co-conspirators’ pictures but the Florida company employees’ personal information. With these false identity cards, Dodge and the co-conspirators posed as the Florida company’s employees at large chain retail stores. In a typical fraudulent transaction, a conspirator would pose as the employee, pretend that he or she had left his store credit card at home, and ask the store personnel to provide the employee’s store credit card number. If the identity victim did not have an account with the store, the conspirator would use the false identity card to apply for a new credit account in the identity victim’s name. Upon obtaining a credit card number, the conspirator would use the account to purchase gift cards and other items such as electronics that they could resell. The store would lose the money, because the co-conspirators did not intend to pay the credit bill.Dodge was originally arrested in December 2012, right after committing about $1,200 in identity fraud at a Peabody department store. Then in February 2013, Dodge was tailed to a Framingham electronics store, where he committed another $3,100 in identity fraud and then was arrested by police. The complaint alleges that Dodge and a co-conspirator were caught with dozens of false identity cards, that the conspiracy as a whole victimized at least 89 identity victims in 30 states, with losses of at least $368,000. The complaint also alleges that Dodge personally used the identities of at least 46 victims to commit at least $183,000 in identity fraud, and that he took 50 percent of the other conspirators’ cut.
On the charge of access device fraud, the maximum penalty under the statute is 10 years in prison, followed by three years of supervised release, forfeiture, restitution and a fine of $250,000 or twice the gain or loss. On the charge of conspiracy to commit access device fraud, the maximum penalty under the statute is five years in prison, followed by three years of supervised release, forfeiture, restitution and a fine of $250,000 or twice the gain or loss. On the charge of aggravated identity theft, the mandatory sentence under the statute is two years in prison, which would be served after any other prison sentence, followed by one year of supervised release, forfeiture, restitution, and a fine of $250,000 or twice the gain or loss.
United States Attorney Carmen M. Ortiz and Richard DesLauriers, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division, and Boston Police Commissioner Edward Davis, made the announcement today. Assistance was also provided by the Peabody Police Department, Framingham Police Department, and the Middlesex District Attorney’s Office. The U.S. Attorney’s Office thanks the Florida company for cooperating during the investigation. The case is being prosecuted by Assistant U.S. Attorney Scott L. Garland of Ortiz’s Cybercrime Unit.
The details contained in the complaint are allegations. The defendant is presumed to be innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Leader of Cape Cod Cocaine and Heroin Ring Sentenced to 25 Years in Federal PrisonRead the Press Release
BOSTON - One of the leaders of a drug trafficking organization operating on Cape Cod was sentenced yesterday to serve 25 years in federal prison.
Yesterday United States District Judge Nathaniel M. Gorton, sentenced Russell Rose, a/k/a “Double R,” a/k/a Baby Russell, 31, of Randolph, to 25 years in federal prison. Rose, along with Kelvin Frye, a/k/a “Kelvin Andrews,” a/k/a “Brian Wright,” a/k/a “Cool Kel,” a/k/a “Cool Cal,” 29, of East Wareham, was convicted in December by a jury of participating in a longstanding, entrenched conspiracy to distribute cocaine and heroin in Falmouth, Mashpee, Bourne, and surrounding areas on Cape Cod.
Rose and Frye were the leaders of an organization responsible for distributing large quantities of cocaine and heroin on Cape Cod between 2008 and 2010. Fifteen members of the conspiracy were convicted in federal court; a sixteenth member of the conspiracy died while awaiting trial.
Law enforcement agents began investigating members of the organization in March 2008, during which time there were court authorized interceptions of seven cellular telephones used by alleged members of the organization. Based upon evidence obtained during hundreds of intercepted calls, agents determined that Rose and Frye were the leaders of the organization, that they had various sources of supply for cocaine and heroin, and that they directed others to distribute the drugs for them. During the course of the investigation, approximately two kilograms of cocaine and more than 300 grams of heroin were seized.
In 2002, Rose was sentenced to 100 months in federal prison for drug trafficking. He was released from federal prison in March 2008, and immediately resumed distributing cocaine. Rose began arranging to purchase kilograms of cocaine that he, Frye, and others then processed and distributed.
Rose was responsible for the distribution of at least nine kilograms of cocaine, along with smaller quantities of heroin and marijuana. Evidence at trial further established that other members of the conspiracy were responsible for receiving and distributing even more cocaine and heroin, and that members of the conspiracy had attempted to smuggle heroin to Anthony Vaughn, a member of the organization who was serving a federal prison in Pollack, Louisiana. In addition, the organization had been provided access to empty units at a vacation resort in Falmouth, where they stored and processed drugs, and that Rose had stored various firearms above the resort’s management offices.
To date, four other members of the conspiracy have been sentenced: Omay Ford, a/k/a “Papa Doc,” 42, of Boston, was sentenced to 180 months; Adalberto Graciani, a/k/a “Berto,” 39, of Marstons Mills, was sentenced to 120 months; Kyle Hicks, a/k/a “Sleepy,” a/k/a “Sleep,” 31, of Marstons Mills was sentenced to 120 months; and Jeremy Wobecky, 38, of Falmouth, was sentenced to 44 months.
United States Attorney Carmen Ortiz; Richard DesLauriers, Special Agent in Charge of the Federal Bureau of Investigation - Boston Field Office; Kevin Niland, Inspector in Charge of the U.S. Postal Inspection Service; John J. Arvantis, Special Agent in Charge of the Drug Enforcement Administration - Boston Field Division; William P. Offord, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigation in Boston; Colonel Timothy P. Alben, Superintendent of the Massachusetts State Police; Cape and Islands District Attorney Michael O’Keefe; Chief Edward Dunne of the Falmouth Police Department; Chief Rodney Collins of the Mashpee Police Department; Chief Dennis R. Woodside of the Bourne Police Department; Chief Brian E. Stewart of the Scituate Police Department; Chief Russell W. Jenkins of the Braintree Police Department; Chief Paul MacDonald of the Barnstable Police Department; Sheriff James M. Cummings of Barnstable County; and Sheriff Joseph D. McDonald, Jr. of Plymouth County made the announcement today.
The case is being prosecuted by Assistant United States Attorneys David J. D’Addio and James E. Arnold of Ortiz’s Organized Crime and Drug Enforcement Task Force.
Holyoke Woman Pleads Guilty to Health Care FraudRead the Press Release
BOSTON - A Holyoke resident pleaded guilty today in U.S. District Court in Springfield to defrauding MassHealth by billing for personal care attendant services that were never provided.
Miosottis Gonzalez, 25, pleaded guilty to conspiracy to commit health care fraud. Three other individuals involved in the conspiracy, including Gonzalez’s aunt and uncle, previously pleaded guilty and were sentenced earlier this month.
Gonzalez engaged in a scheme to defraud the state’s Personal Care Attendant (PCA) Program, which is funded by MassHealth, the Commonwealth’s Medicaid Program, and assists individuals with permanent or chronic disabilities to keep their independence, stay in the community and manage their own personal care. The disabled individual is responsible for recruiting, hiring, scheduling, training, and, if necessary, firing his or her PCA and track the work performed by the PCA on bi-weekly time sheets.
Gonzalez recruited friends to provide identification documents which were used to bill MassHealth for PCA services that were never provided. She also signed and submitted false time sheets in her own name to obtain payment for services she never provided.
United States Attorney Carmen M. Ortiz and Susan J. Waddell, Special Agent in Charge of the Department of Health and Human Services, Office of Inspector General (HHS-OIG) made the announcement today. The case was investigated by HHS-OIG with the assistance of the Massachusetts Auditor’s Office, Bureau of Special Investigations, and the Massachusetts Office of the Attorney General, Medicaid Fraud Division. The case is being prosecuted by Assistant U.S. Attorney Karen L. Goodwin, of Ortiz’s Springfield branch office.
Former Senior Employee Sentenced for Defrauding Mortgage CompanyRead the Press Release
BOSTON - A North Andover man was sentenced today in federal court for financial institution fraud and interstate transporting of stolen property.
Francis X. Sullivan, 45, was sentenced by U.S. District Judge Rya W. Zobel to time served, to be followed by three years of supervised release, of which six months will be served in home confinement with electronic monitoring. Sullivan was also ordered to pay restitution in the amount of $98,720.78 and a $200 special assessment. Sullivan pleaded guilty on Jan. 8, 2013 to one count of financial institution fraud and one count of interstate transportation of stolen property.
Between March and December 2010, Sullivan, a vice president of finance for a real estate financing company (“PRC”), took $113,821 by: making 44 withdrawals from 11 PRC bank accounts totaling $105,608.76; approving his own payroll advances, expense reports for training not taken, and other “miscellaneous” payments to himself in nine transactions totaling $6,777.02; and forging an endorsement of a pension check that was intended for the widow of a former PRC employee. Sullivan deposited the $1,435 check in his personal account.
For one of these unauthorized transactions, Sullivan traveled from Massachusetts to Plaistow, New Hampshire with a check for $5,500 made against PRC and deposited a portion of the money in his own account and took the rest in cash.
United States Attorney Carmen M. Ortiz and Richard Deslauriers, Special Agent in Charge of the Federal Bureau of Investigation - Boston Field Office made the announcement. The case is being prosecuted by Assistant U.S. Attorney Sara Miron Bloom of Ortiz’s Economic Crimes Unit.
Former Massachusetts State Representative SentencedRead the Press Release
BOSTON - A former Massachusetts State Representative was sentenced today in federal court for civil rights violations after his role in submitting fraudulent absentee ballot applications and casting invalid ballots in multiple elections in 2009 and 2010.
Stephen Smith, 57, of Everett, was sentenced by Magistrate Judge Leo T. Sorokin to four months in prison, to be followed by one year of supervised release and a $20,000 fine. Smith was ordered to report to prison on May 21, 2013. On Dec. 20, 2012, Smith pleaded guilty to two misdemeanor counts of deprivation of rights under color of law. Pursuant to the plea agreement, Smith was called to resign his position in the Massachusetts House of Representatives effective Jan. 1, 2013, and is not allowed to seek elected office for five years.Smith, as the Representative of the 28th Middlesex District, cast invalid absentee ballots in support of his races for public office for voters who were ineligible or otherwise unaware of ballots being cast in their names. Smith submitted fraudulent Massachusetts Official Absentee Applications, which resulted in the issuance of absentee ballots. He obtained many of the absentee ballots and cause them to be delivered to the ineligible voters, who would then cast votes despite lacking any eligibility to do so, or Smith would cast the ballots himself.
United States Attorney Carmen M. Ortiz and Richard DesLauriers, Special Agent in Charge of the Federal Bureau of Investigation - Boston Field Division made the announcement today. The case was prosecuted by Assistant U.S. Attorney Eugenia M. Carris of Ortiz’s Public Corruption and Special Prosecutions Unit.
Boston Area Couple Charged with Sex Trafficking of A ChildRead the Press Release
BOSTON – A Boston area couple were arrested today and charged with sex trafficking a child.
David Minasian, 24, of Malden and Madonna Say, 23, of Lynn, were charged via federal complaint with sex trafficking of a child and sex trafficking by force, fraud and coercion.
According to the affidavit, the investigation revealed that in July 2012, Minasian transported a 15-year-old girl to Florida, causing her to engage in prostitution. After returning to Massachusetts, Minasian and Say photographed the victim wearing revealing lingerie and posing in provocative positions. Minasian and Say then posted these photographs to the adult section of Backpage.com with advertisements soliciting customers for “escort services.” Backpage.com is an Internet site used for advertising commercial sex activity. Customers who responded to the advertisements were directed to where Minasian and Say were staying with the victim to have sex for a fee with her. Minasian and Say also transported the victim to motels inside Massachusetts where they paid for rooms for the purposes of prostituting her.
On the charge of sex trafficking of a child, the statutory minimum penalty is 10 years in prison, followed by five years of supervised release and a $250,000 fine. On the charge of sex trafficking by force, fraud and coercion, the statutory minimum penalty is 15 years, followed by five years of supervised release and a $250,000 fine.
United States Attorney Carmen M. Ortiz and Richard DesLauriers, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division, made the announcement today. The case was investigated by the Federal Bureau of Investigation’s Boston Child Exploitation Task Force, which is comprised of members from the FBI, Massachusetts State Police, the Malden Police Department and the Arlington Police Department. It is being prosecuted by Assistant U.S. Attorney Leah Foley in Ortiz’s Civil Rights Enforcement Team.
Easthampton Man Convicted of Drug ConspiracyRead the Press Release
BOSTON – An Easthampton man was convicted today in U.S. District Court in Springfield of distributing more than 500 grams of cocaine.
Julio Vidal Hermida, 26, formerly of Easthampton, pleaded guilty before U.S. District Judge Michael A. Ponsor to conspiring to possess with intent to distribute and distribution of more than 500 grams of cocaine.
Between July 31, 2010, and May 2, 2011, Hermida and others participated in a criminal conspiracy that transported kilograms of cocaine from Texas to western Massachusetts.
Sentencing is scheduled for July 2, 2013. The statutory maximum penalty is up to 40 years in prison, followed by four years of supervised release and a $250,000 fine.
United States Attorney Carmen M. Ortiz, John J. Arvanitis, Special Agent in Charge of the Drug Enforcement Administration Boston Field Division, and Richard DesLauriers, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division, made the announcement today. The case is being prosecuted by Assistant U.S. Attorney Kevin O’Regan of Ortiz’s Springfield Office.
Real Estate Developer, Entrepreneur Convicted of Wire FraudRead the Press Release
BOSTON - A Weston real estate developer and entrepreneur, who was apprehended in Cyprus nearly eight months after he was indicted on federal criminal charges, was convicted yesterday of wire fraud in connection with his defrauding several individuals in 2008.
After a jury trial, Paul John McMann, 54, was convicted of three counts of wire fraud. United States District Judge Rya W. Zobel scheduled sentencing for June 27, 2013.
In October and November of 2008, McMann purchased various fraudulent bank documents, including “Proof of Funds” letters on Bank of America and Wachovia Bank letterhead purporting to show that McMann and his company, Commonwealth Albanian Hydro Ventures, Inc. (CAHV), held accounts in those banks containing large sums of money. McMann used these and other fraudulent documents, including a phony letter of credit purporting to come from Wachovia Bank, as part of fraudulent scheme to obtain money and other consideration from various individuals in the Boston area and elsewhere. Specifically, McMann utilized the fraudulent documents to secure at least $450,000 in loans, as well as to convince a creditor to whom McMann owed over $1.6 million, to hold off on foreclosing on various properties McMann had developed.
The indictment was returned on November 10, 2010, but McMann, after being informed by the United States Secret Service of the pending charges against him, remained at-large, outside the United States, until he was detained on July 10, 2011, in Cyprus. He has been held pending trial.
The statutory maximum penalty is up to 20 years in prison to be followed by three years of supervised release and a fine of up to $250,000 or twice the amount of loss inflicted by his fraud, whichever is greater, on each count of wire fraud.
United States Attorney Carmen M. Ortiz, Steven Ricciardi, Special Agent in Charge of the United States Secret Service, Richard DesLauriers, Special Agent in Charge of the Federal Bureau of Investigation - Boston Field Division and United States Marshal John Gibbons made the announcement today. The case is being prosecuted by Assistant U.S. Attorneys Vassili Thomadakis and Ryan M. DiSantis of Ortiz’s Economic Crimes Unit.
Individuals who believe that they may have been a victim of McMann, should contact the United States Attorney’s Office at: [email protected].
Shrewsbury Man Pleads Guilty to Sex TourismRead the Press Release
BOSTON – A Shrewsbury man pleaded guilty today in U.S. District Court in Worcester to traveling to the Dominican Republic with the intent to engage in illicit sexual conduct.
Conrad Gallant, 61, previously of Winchendon and most recently of Shrewsbury, pleaded guilty before U.S. District Court Judge Timothy S. Hillman to engaging in illicit sexual conduct in foreign places and travel with intent to engage in illicit sexual conduct. Under the terms of the plea agreement, the Court must sentence Gallant to between 60 and 168 months in prison, 10 years of supervised release, restitution and forfeiture. Sentencing is scheduled for June 26, 2013.
According to the agreed upon statement of facts, Gallant traveled to the Dominican Republic in February 2011 and had sexual relations in his apartment with a 14-year-old girl he knew was underage. Gallant returned to the Dominican Republic four times over the course of a year to engage in illicit sexual relations with the underage victim, giving her money, a laptop computer, and jewelry during that time. Additionally, on these trips, Gallant took photographs of the victim while she was nude and while engaging in sexual acts, and took those images back to the United States.In February 2012, the National Tourist Police of the Dominican Republic learned that Gallant had engaged in sexual relations with the then 15-year-old victim. The victim was forensically interviewed by a medical professional and she confirmed that Gallant engaged in sex with her. She provided agents with a cell phone containing images of Gallant naked, including an image of Gallant and the victim engaged in sexual activity. The victim disclosed that Gallant had promised her certain items and money to take her mother to the doctor, but never gave them to her. Additionally, the victim stated that Gallant forced her to have sex with him a couple times when she was unwilling. The victim also informed investigators that Gallant asked her to bring him other minor girls to have sex with and this happened on two occasions. Gallant paid both of these minors $100.
In March 2012, a federal search warrant was executed at Gallant’s Shrewsbury address. During the search, agents recovered images of Gallant and the victim together engaged in sexually explicit conduct, including an image of the victim performing oral sex on Gallant and a close-up image of the victim’s genitalia displayed in a sexually explicit manner.
A second federal search warrant was executed on the items seized from Gallant’s apartment in the Dominican Republic and revealed a laptop containing numerous images of child pornography, including the images mentioned above of Gallant engaging the sexual conduct with the victim.United States Attorney Carmen M. Ortiz; Bruce Foucart, Special Agent in Charge of U.S. Immigration and Customs Enforcement's Homeland Security Investigations in Boston; Worcester County District Attorney Joseph Early; Colonel Timothy P. Alben, Superintendent of the Massachusetts State Police; and Chief James Hester, Jr. of the Shrewsbury Police Department, made the announcement today. The case is being prosecuted by Assistant U.S. Attorneys Michael I. Yoon, Stacy Dawson Belf, and Eve Piemonte Stacey of Ortiz's Major Crimes Unit.
The U.S. Attorney’s Office would like to extend its appreciation to HSI’s attaché in Santo Domingo, the Dominican Tourist Police (Politur), Dominican prosecutors in Higuey and Santo Domingo, Dominican Migration and HSI's Santo Domingo Transnational Criminal Investigative Unit members for their assistance and cooperation.
Quincy Man Convicted of Credit Card SkimmingRead the Press Release
BOSTON – A Quincy man was convicted today of credit card fraud and aggravated identity theft in connection with his use of stolen credit card numbers to purchase more than $64,000 in cigarettes and other items.
Yek Doug Wong, 50, pleaded guilty before U.S. District Judge George A. O’Toole to using counterfeit access devices, possession of device-making equipment, and six counts of aggravated identity theft. For the charge of using counterfeit access devices, the statutory maximum penalty is 10 years in prison, followed by three years of supervised release and a $250,000 fine; for the charge of possession of device-making equipment, the statutory maximum penalty is 15 years in prison, followed by three years of supervised release and $250,000 fine; for the charges of aggravated identity theft, the statute mandates two years in prison. Sentencing is scheduled for July 16, 2013.
In October 2011, the Braintree, Brockton and Holbrook Police Departments received reports from numerous people who identified fraudulent activity on their credit card accounts, even though all of the victims still possessed their actual cards. Law enforcement collected surveillance video from many of the locations where the purchases had been made as well as receipts from suspect transactions. The surveillance videos showed a man, later identified as Wong, making the purchases and then driving off. Ultimately, one clerk noted the license plate of the car which led to Wong and a search of his residence. The search resulted in the seizure of, among other things, more than 1,170 embossed and blank Visa, MasterCard and American Express cards, three credit card skimming devices, a card reader and encoding device, two credit card embossing machines, various pieces of computer equipment, 42 cartons of cigarettes, 22 bottles of rice wine, and $16,900 in cash. Officers also seized two safe deposit box keys which led to the seizure of an additional $4,250 in cash.
United States Attorney Carmen M. Ortiz; Steven D. Ricciardi, Special Agent in Charge of the U.S. Secret Service; Chief Russell W. Jenkins of the Braintree Police Department; Chief Emanuel Gomes of the Brockton Police Department; Chief William D. Marbel, Jr. of the Holbrook Police Department; and Chief Paul Keenan of the Quincy Police Department, made the announcement. The case is being prosecuted by Assistant U.S. Attorney Sandra S. Bower of Ortiz’s Economic Crimes Unit.
Eight Arrested and Charged on Federal Distribution of Oxycodone ChargesRead the Press Release
Boston - Seven men were arrested in Brockton and Stoughton charged today in federal court on oxycodone distribution charges and aiding and abetting. An eighth man was arrested and charged on state drug charges also.
John Cruz, 33; Kenneth A. Harris, Jr., 30; Isaac J. Marrero a/k/a Saki, 19; Joel Marrero, 32; Reinaldo Marrero, a/k/a Joseph, a/k/a Jo Jo, 33; and Louis Porter, 35, all of Brockton and Jose Martinez More, 34, of New York were arrested and charged today in federal court with oxycodone offenses. Cruz, Isaac Marrero, Joel Marrero, Reinaldo Marrero and Porter were arrested this morning in Brockton and Harris was arrested in Stoughton. The defendants all appeared in U.S. District Court this afternoon.
Martinez More was also arrested in Connecticut as part of this investigation and is being held on related state charges. In addition Rey Marrero, 21, of Brockton was arrested on state narcotics charges.
The indictment which was unsealed this afternoon, charges all of the federal defendants with one count of Conspiracy to Possess with Intent to Distribute and Distribute Oxycodone; and charges John Cruz, Joel Marrero, and Reinaldo Marrero with one count of Distribution of Oxycodone and Aiding and Abetting. The indictment also contains a Drug Asset Forefeiture allegation.
United States Attorney Carmen M. Ortiz; John J. Arvanitis, Special Agent in Charge of the Drug Enforcement Administration - Boston Field Division; Chief Emanuel C. Gomes of the Brockton Police Department; Colonel Timothy Alben, Superintendent of the Massachusetts State Police; and Timothy J. Cruz of the Plymouth County District Attorney’s Office made the announcement today. The case is being prosecuted by Assistant U.S. Attorney Linda M. Ricci of Ortiz’s Drug Task Force Unit.
Charlton Man Sentenced for Negligent Discharge of Oil into the EnvironmentRead the Press Release
Boston - The owner of Charlton Welding and Repair, Inc. was sentenced today for violating the federal Clean Water Act.
Larry McKissick, II, 43, of Charlton, was sentenced today by Magistrate Judge Jennifer C. Boal to 12 months of probation, including four months of home detention and ordered to pay a fine of $75,000. In addition, McKissick must submit a written public apology within two weeks of sentencing, at his own expense, to the Boston Globe Metro West Edition, or Worcester Region Edition or Worcester Telegram and Gazette. He must also complete a Spill Prevention and Countermeasures training course. Restitution was not part of McKissick’s plea agreement, as authorities are pursing it through a separate process under the Clean Water Act.
McKissick is President of Charlton Welding, which operates a trucking and plowing company on Griffin Road in Charlton. In October 2012 McKissick plead guilty to negligently discharging a harmful quantity of oil, namely diesel fuel, into or upon the navigable waters of the United States. On June 11, 2010, McKissick washed diesel fuel off of the parking lot at his business property after realizing that the fuel had been released from a storage tanker parked on the property. It is estimated that 3,200 gallons of diesel fuel were released from the storage tank and washed into a tributary stream connected to the Quinebaug River. The fuel spill caused impacts to the wetlands and residents of a nearby housing complex, and triggered a six-month cleanup response by the Massachusetts Department of Environmental Protection (MassDEP) costing more than $680,000.
United States Attorney Carmen Ortiz said, “The federal Clean Water Act is one of the most important tools we have in our ongoing effort to protect our natural resources. Mr. McKissick’s negligence impacted important wetlands and tributary stream, and that could have been much worse, if not for the outstanding clean up efforts of the Massachusetts Department of Environmental Protection. I want to thank the EPA and Mass DEP for their ongoing commitment and partnership in our mutual mission to preserve our precious wetlands and waterways.”
“Mr. McKissick’s efforts to conceal the spill resulted in its spread to a larger area,” said MassDEP Commissioner Kenneth Kimmell. “Washing the spill into the nearby wetland created noxious fumes that endangered nearby residents and greatly complicated the immediate clean up actions performed by MassDEP. This case shows the legal consequences that follow from trying to evade responsibility for spills to the environment.”
“Today’s sentencing underscores EPA’s commitment to ensure that fuel is stored safely and in a manner that will protect the environment. Mr. McKissick chose to ignore all responsibility and instead flush thousands of gallons of spilled diesel into a brook,” said John Gauthier, Acting Special Agent in Charge of EPA-CID.
United States Attorney Ortiz, Acting SAC Gauthier and Commissioner Kimmell made the announcement today. The Mass DEP oversaw extensive cleanup efforts within the wetlands and their Environmental Strike Force assisted in this investigation as well. The case was prosecuted by Assistant U.S. Attorney Anton P. Giedt of Ortiz’s office.Former Investment Adviser Pleas Guilty to FraudRead the Press Release
BOSTON – A Foxboro man was convicted today of fraud and tax evasion in connection with the operation of his financial planning service that targeted senior citizens.
John A. Picini, 54, pleaded guilty before U.S. District Judge Joseph L. Tauro to mail fraud and tax evasion charges. The statutory maximum penalty is 20 years in prison, followed by three years of supervised release and a fine of $250,000 or twice the gross gain/loss, whichever is greater. Sentencing is scheduled for July 9, 2013.
Picini operated a business called the Center for Senior Financial Planning in North Attleboro. Picini targeted senior citizen investors as clients and represented to them that he was knowledgeable in the protection and conservation of their assets. Beginning around 2006, Picini repeatedly advised various clients to liquidate retirement funds invested in annuities or other tax deferred investment vehicles and to re-invest these funds in purported accounts supposedly managed by Picini. Contrary to his representations, Picini did not invest these monies but instead used his clients’ funds for his own personal purposes.
In addition to depleting and spending his clients’ investments, Picini also charged his clients thousands of dollars in fees for nonexistent investments and for purchasing annuities for which he had already been compensated via commissions from the sellers of the annuities. Picini’s scheme also cost his clients thousands of dollars in fees and penalties for cashing out their legitimate investments, based on his directives. Furthermore, Picini filed false individual income tax returns with the IRS which substantially understated his true income.
United States Attorney Carmen M. Ortiz; Kevin Niland, Inspector in Charge of the U.S. Postal Inspection Service; and William P. Offord, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigations in Boston, made the announcement today. Assistance was also provided by the Massachusetts Securities Division. This case is being prosecuted by Assistant U.S. Attorney Holik of Ortiz’s Economic Crimes Unit.
Easthampton Man Sentenced for CounterfeitingRead the Press Release
BOSTON - An Easthampton man was sentenced today in U.S. District Court in Springfield, for counterfeiting United States currency.
Shayne Pancione, 36, was sentenced by U.S. District Judge Michael A. Ponsor to 33 months in prison, to be followed by three years of supervised release. Pancione pleaded guilty to manufacturing and distributing counterfeit currency on Feb. 14, 2013.Between Aug. 28, 2011, and Sept. 6, 2011, Pancione manufactured and distributed counterfeit 20 dollar bills in Easthampton and Southampton.
United States Attorney Carmen M. Ortiz; Steven D. Ricciardi, Special Agent in Charge of the United States Secret Service; and Chief Bruce McMahon of the Easthampton Police Department made the announcement today. The case was prosecuted by Assistant U.S. Attorney Kevin O'Regan of Ortiz’s Springfield Office.
Eleven Men Indicted on Federal Drug Distribution and Firearm ChargesRead the Press Release
BOSTON - Ten Holyoke men, and one Springfield man, were charged today in federal court in Springfield on charges of distributing drugs and possessing firearms and ammunition. In addition, eight individuals were also charged with state drug charges.
Kelly Arzate, 29; Francisco Diaz, 34; Antonio Caraballo, 35; Luzander Montoya, 29; Miguel Medina, 30; William Rodriguez, 28; Pedro Colon, 31; Reynaldo Figueroa, 27; Miguel Alcazar, 23; and Edison Lajara, 25, all of Holyoke, and Charlie Santiago, 32, of Springfield, were charged in separate indictments with distributing and possessing with intent to distribute heroin or cocaine. Figueroa and Colon were also indicted for unlawful possession of a firearm.
The indictments allege that each defendant distributed heroin or cocaine in Holyoke between August of 2012 and March of 2013. The indictments further allege that Figueroa and Colon also possessed a firearm and ammunition during that time period. The indictments were the result of a long-term investigation by the law enforcement into heroin and cocaine trafficking in Holyoke by members of the La Familia and Latin Kings street gangs.If convicted on these charges, Arzate faces up to life in prison, Montoya, Figueroa, Colon, Santiago, Caraballo, Alcazar and Lajara, face up to 30 years and Diaz, Rodriguez, and Medina face up to 20 years. In addition, Figueroa and Colon also face up to 10 years on the firearms charges.
United States Attorney Carmen M. Ortiz; Richard DesLauriers, Special Agent in Charge of the Federal Bureau of Investigation - Boston Field Office; John J. Arvanitis, Special Agent in Charge of the Drug Enforcement Administration - Boston Field Division; Hampden County District Attorney Mark. G. Mastroianni; United States Marshal John Gibbons; Hampden County Sheriff Michael Ashe; Colonel Timothy P. Alben, Superintendent of the Massachusetts State Police; and Holyoke Police Chief James M. Neiswanger, made the announcement today.
The cases are being prosecuted by Assistant U.S. Attorneys Paul Hart Smyth and Todd E. Newhouse of Ortiz’s Springfield Office. The state cases are being prosecuted by the Hampden County District Attorney’s Office.
The details contained in the indictments are allegations. The defendants are presumed to be innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Ludlow Man Charged with Sexual Exploitation of A ChildRead the Press Release
BOSTON – A Ludlow man was charged today in U.S. District Court in Springfield with sexual exploitation of a child.
James Pease, 34, was indicted on four counts of sexual exploitation of a child, receipt of child pornography and possession of child pornography. The sentences under the respective statutes are as follows, sexual exploitation of a child: a minimum of 15 years and up to 30 years; receipt of child pornography: a minimum of five years and up to 20 years; possession of child pornography: a maximum of 10 years in prison.
The indictment alleges that on four occasions in 2010 and 2012, Pease attempted to use a minor to produce child pornography. It also alleges that between 2006 and 2012, Pease received and possessed child pornography.
United States Attorney Carmen M. Ortiz and Leigh-Alistar Barzey, Resident Agent in Charge of the Office of Inspector General, Department of Defense’s Department of Criminal Investigative Service in Boston, made the announcement today. The case is being prosecuted by Assistant U.S. Attorney Alex J. Grant of Ortiz’s Springfield Branch Unit.
The details contained in the indictment are allegations. The defendant is presumed to be innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Braintree Man Pleads Guilty to Using Stolen Credit CardsRead the Press Release
BOSTON – A Braintree man was convicted today of stealing credit cards from a mail-sorting facility and using them to commit fraud.
Gerald K. Acholonu, 32, pleaded guilty before United States District Judge Richard G. Stearns to credit card fraud and theft of mail. Sentencing is scheduled for June 25, 2013. Acholonu faces between 48 and 57 months in prison, followed by three years of supervised release, restitution, forfeiture, and a fine.
From August 2010 through May 2011, Acholonu worked for a contractor that sorted mail for the U.S. Postal System. In late April 2011, Acholonu was spotted leaving his employer’s restroom with a tray of U.S. mail. Investigators then searched the trash from his residence and found 11 stolen Discover credit cards and evidence that Acholonu was using or planning to use the Discover customers’ identities by setting up telephone accounts in their names. In his plea agreement, the parties agreed that all told, there were more than 250 victims and the loss totaled between $400,000 and $1 million.
United States Attorney Carmen M. Ortiz; Kevin Niland, Postal Inspector in Charge of the U.S. Postal Inspection Service; and Rafael Medina, Special Agent in Charge of the U.S. Postal Service, Office of Inspector General, Boston Field Office, made the announcement today. The case is being prosecuted Scott L. Garland and Eric Christofferson, respectively of Ortiz's Cybercrimes and Economic Crimes Units.
Waltham Police Officer Arrested on Child Pornography ChargesRead the Press Release
BOSTON – A Waltham police officer was charged today with sending and receiving child pornography.
Paul Manganelli, 46, of Waltham, was charged in a criminal complaint with receipt of child pornography. The statute provides for a mandatory minimum sentence of five years and up to 20 years in prison, followed by a lifetime of supervised release and a $250,000 fine. At an initial appearance this afternoon, Chief Magistrate Judge Leo T. Sorokin ordered Manganelli detained until March 28, 2013 when he will return to court for a detention hearing.
According to court documents, agents learned that Manganelli, using a Yahoo! email address, had been sending and receiving images containing child pornography from his home in Waltham to individuals outside of Massachusetts. On March 25, 2013, a search warrant was executed at Manganelli’s home, during which Manganelli admitted possessing, receiving and distributing child pornography via email. Manganelli further identified images of child pornography as being photos he sent and received.
United States Attorney Carmen M. Ortiz and Richard DesLauriers, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division, made the announcement today. The case is being prosecuted by Assistant U.S. Attorney Stacy Dawson Belf of Ortiz’s Major Crimes Unit.Members of the public who have questions, concerns or information regarding this case should call 617-748-3274, and messages will be promptly returned.
This case is brought as part of Project Safe Childhood. In 2006, the Department of Justice created Project Safe Childhood, a nationwide initiative designed to protect children from exploitation and abuse. Led by the U.S. Attorneys’ Offices and the Criminal Division’s CEOS, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend, and prosecute individuals who exploit children, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov/.
The details contained in the complaint affidavit are allegations. The defendant is presumed to be innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Three Charged of Sex Trafficking of A MinorThird Sex Trafficking Prosecution in 10 MonthsRead the Press Release
BOSTON - In an indictment unsealed today, a Roxbury woman and two Boston men have been charged with sex trafficking of a minor. This is the third sex trafficking case within 10 months to be charged by United States Attorney Carmen M. Ortiz’s office.
Darian Thomson, a/k/a Bo, 29, of Boston, Corey Norris, a/k/a Case or Jacorey Johnson, 23, of Boston, and Vanessa Grandoit, 24, of Roxbury, were charged with sex trafficking of a minor victim and transportation of the minor with intent to engage in criminal sexual activity. The sentence under the statute is a maximum of life in prison.
According to the indictment, in December 2012, Thomson, Norris and Grandoit conspired to transport a minor from Massachusetts to Rhode Island to engage in criminal sexual activity.U.S. Attorney Ortiz; Bruce M. Foucart, Special Agent in Charge of U.S. Immigration and Custom’s Enforcement Homeland Security Investigations in Boston; and Boston Police Commissioner Edward Davis, made the announcement today. The case is being prosecuted by Assistant U.S. Attorney Amy Harman Burkart of Ortiz’s Civil Rights Enforcement Team.
The details contained in the Indictment are allegations. The defendants are presumed to be innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
The aggressive enforcement of federal civil rights laws is a top priority of the U.S. Attorney’s Office. Since U.S. Attorney Ortiz created the Civil Rights Enforcement Team (CRET) in May 2010, the Office has substantially increased its focus on civil and criminal civil rights enforcement. In recent months, the CRET has charged Michael Gemma and Darrell Graham in separate cases with sex trafficking.
Registered Sex Offender Pleads Guilty to Child PornographyRead the Press Release
BOSTON – A Cape Cod man, who is a registered sex offender, pleaded guilty today to possessing child pornography.
Scott Harrison, 45, of West Yarmouth, will be sentenced by U.S. District Chief Judge Patti B. Saris on June 19, 2013. As a result of his previous conviction for indecent assault and battery on a child under age 14, the statute provides for a minimum sentence of 10 years and up to 20 years in prison, followed by five years of supervised release.
On Oct. 27, 2010, law enforcement officers executed a search warrant at Harrison’s home seizing two computers. A forensic examination of the two computers revealed child pornography. Harrison became the target of a police investigation after an undercover trooper downloaded child pornography from Harrison’s Internet file sharing account. Harrison placed child pornography on the Internet to be shared and copied by other Internet users.
United States Attorney Carmen M. Ortiz; Colonel Timothy P. Alben, Superintendent of the Massachusetts State Police; Chief Frank Frederickson of the Yarmouth Police Department; and Kevin Niland, Inspector in Charge of the U.S. Postal Inspection Service, made the announcement today. The case is being prosecuted by Assistant U.S. Attorneys David G. Tobin and Suzanne M. Sullivan of Ortiz’s Major Crimes Unit.
Medford Man Sentenced in Child Pornography CaseRead the Press Release
BOSTON – A Medford man was sentenced today for possessing child pornography.
James Patrick Judge, 58, was sentenced by United States District Judge William G. Young to three years in prison, followed by five years of supervised release. In January, Judge pleaded guilty to possession of child pornography.In 2011, Judge was arrested after receiving a child pornography video he had ordered through the mail. In a separate case, in May 2012, Judge was arrested at the Medford Public Library after allegedly using the library’s computer to view and print pornographic images of boys. A probable cause hearing in that case is scheduled for April 30, in Somerville District Court.
U.S. Attorney Carmen M. Ortiz; Kevin Niland, Inspector in Charge of the U.S. Postal Inspection Service; Bruce Foucart, Special Agent in Charge of U.S. Immigration and Customs Enforcement’s Homeland Security Investigations in Boston; and Chief Leo A. Sacco, Jr. of the Medford Police Department, made the announcement today. The case was prosecuted by Assistant U.S. Attorneys David G. Tobin and Suzanne M. Sullivan of Ortiz’s Major Crimes Unit.
Milton Man Convicted of Mortgage FraudRead the Press Release
BOSTON – A Milton man was convicted today of bank and wire fraud charges in connection with a property flipping scheme.
Edward Johnson, 52, pleaded guilty before U.S. District Judge Denise J. Casper to bank fraud and six counts of wire fraud.
From May through July 2006, Johnson recruited two financially unqualified individuals to buy multiple properties in Dorchester and Mattapan. To secure their participation in the scheme, Johnson, or others acting with him, promised these individuals that they would have no responsibility for any expenses or payments on the property. Johnson promised that the individuals would hold the titles in their name for a few months until the property was improved and sold, and in exchange, they would receive a payment for each property purchased. The individuals acted under the assumption that this would improve their credit so they could eventually buy their own homes. Johnson, and others, submitted false mortgage applications on behalf of these individuals that misrepresented their income, employment, prior indebtedness, and intention to reside in the purchased properties. The mortgages were not paid as promised and all of the properties went into foreclosure.
Sentencing is scheduled for June 27, 2013. On the charge of bank fraud, the sentence under the statute is a maximum of 30 years in prison, followed by five years of supervised release and a $1 million fine. For wire fraud, the sentence under the statute is a maximum of 20 years in prison, followed by three years of supervised release and a $250,000 fine.
United States Attorney Carmen M. Ortiz; Cary Rubenstein, Special Agent in Charge of the U.S. Department of Housing and Urban Development, Office of the Inspector General, New York Regional Office; Kevin Niland, Inspector in Charge of the U.S. Postal Inspection Service; Richard DesLauriers, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; and Boston Police Commissioner Edward Davis, made the announcement today. The case is being prosecuted by Assistant U.S. Attorneys Lori J. Holik and Sandra S. Bower of Ortiz’s Economic Crimes Unit.
Store Owner Charged with Trafficking Counterfeit Sports ApparelRead the Press Release
BOSTON - A Chicopee store owner was charged today in federal court with selling counterfeit NHL, NFL, MLB and NBA sports apparel.
James M. Dent, 51, was charged in an Information with trafficking in counterfeit goods. The Information alleges that between 2007 and 2012, Dent sold counterfeit sports apparel from the four major professional sports leagues, in his Central and Western Massachusetts stores. The stores were located in the Holyoke Mall in Holyoke (Sports Zone); the Greendale Mall in Worcester (Sports Zone); the Berkshire Mall in Lanesborough (Collectibles and Cards); the Hampshire Mall in Hadley (Collectibles and Cards); and the Eastfield Mall in Springfield (Collectibles and Cards).
The statutory maximum penalty is 10 years in prison, to be followed by three years of supervised release and a $250,000 fine.
United States Attorney Carmen M. Ortiz and Bruce M. Foucart, Special Agent in Charge of Homeland Security Investigations in Boston made the announcement today. The case is being prosecuted by Assistant U.S. Attorney Amy Harman Burkart of Ortiz’s Cybercrime Unit.
The details contained in the Information are allegations. The defendant is presumed to be innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Leominster Man Pleads Guilty to Firearms OffensesRead the Press Release
BOSTON – A Leominster man was convicted Friday in U.S. District Court in Worcester for various firearms offenses.
Benjamin Batista, 32, pleaded guilty before U.S. District Judge Timothy S. Hillman to being a felon in possession of a firearm, being a felon in possession of ammunition, and possession of an unregistered firearm silencer. Sentencing is scheduled for June 13, 2013. For the charges of possessing a firearm and ammunition, the sentence under the statute is a maximum of 10 years in prison, to be followed by three years of supervised release and a $250,000 fine. For the charge of possessing a silencer, the sentence under the statute is a maximum of 10 years in prison, to be followed by three years of supervised release and a $10,000 fine.
In November 2010, Batista, a previously convicted felon, arranged for the sale of a semiautomatic firearm to a cooperating witness. On Dec. 20, 2010, Batista sold a silencer and 43 rounds of ammunition for the semiautomatic firearm to the same cooperating witness. The silencer was not registered to Batista in the National Firearms Registration and Transfer Record.
United States Attorney Carmen M. Ortiz; Eugenio A. Marquez, Acting Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives, Boston Field Division; John J. Arvanitis, Special Agent in Charge of the Drug Enforcement Administration, Boston Field Division; Richard DesLauriers, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; Chief Robert A. DeMoura of the Fitchburg Police Department; and Colonel Timothy P. Alben, Superintendent of the Massachusetts State Police, made the announcement today. The case is being prosecuted by Assistant U.S. Attorneys Michelle L. Dineen Jerrett and Cory Flashner of Ortiz’s Worcester Branch Office.
Former Financial Aid Advisor Arrested for Stealing over $62,000 in Student Financial AidRead the Press Release
BOSTON – A former financial aid advisor at a Brockton training school was arrested today for stealing over $62,000 in student financial aid.
Ayana Bean, 38, of Hyde Park was charged with theft or bribery concerning programs receiving federal funds.
Sullivan and Cogliano Training Centers (SCTC) is a for-profit career training school that offers certificate programs in information technology and other careers. The office of Federal Student Aid within the U.S. Department of Education administers financial aid to eligible students attending educational institutions around the country. Whenever an educational institution, such as SCTC, disburses federal financial aid funds by crediting a student’s account, and the total amount of all federal financial aid funds credited exceeds the amount of tuition and fees, room and board, and other authorized charges, the institution must pay the resulting credit balance directly to the student, often in the form of what is known as a federal financial aid refund check.According to the complaint affidavit, in July 2010, Bean was employed by SCTC as a financial aid advisor. As part of her responsibilities, Bean also had access to SCTC students’ federal financial aid refund checks. On Aug. 15, 2012, a SCTC student contacted SCTC about the status of her federal financial aid refund check. SCTC staff determined that Bean had stolen the student’s check, forged the student’s endorsement, and deposited the check into a personal bank account. A subsequent investigation revealed that Bean had mishandled and stolen approximately 100 federal financial aid refund checks during her employment at SCTC. The complaint affidavit specifically identifies 77 financial aid refund checks, totaling over $62,000, that Bean allegedly stole between June 2011 and August 2012. ATM surveillance images show Bean depositing some of the checks into her personal bank accounts.
Bean was previously convicted in Suffolk Superior Court on multiple counts of uttering false and forged records and larceny. In that case, Bean stole just under $240,000 worth of federal financial aid refund checks from two local colleges. Bean was sentenced to two years in prison; she served six months of that sentence followed by three years of probation.
The maximum sentence under the statute is 10 years in prison, a $250,000 fine and three years of supervised release.
United States Attorney Carmen M. Ortiz; Brian Hickey, Special Agent in Charge of the U.S. Department of Education, Office of Inspector General; and Chief Emanuel Gomes of the Brockton Police Department, made the announcement today. The case is being prosecuted by Assistant U.S. Attorney Maxim Grinberg of Ortiz’s Major Crimes Unit.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.
Fifteen Arrested Today on Federal and State Drug and Firearm ChargesRead the Press Release
BOSTON – Fifteen men from the North Shore, primarily Lynn and Revere, were charged today in federal and state court with various drug trafficking and firearm offenses.
A total of 15 individuals were arrested early this morning. Nine have been charged in federal indictments on drug trafficking and firearm offenses. Five have been charged by the Suffolk District Attorney’s Office and one individual has been charged by the Essex District Attorney’s Office. The charges are a result of a coordinated, joint federal and state investigation into drug trafficking and firearm possession in the North Shore.
The following individuals were arrested on federal charges today:
- Michael Johnson, a/k/a Juni, a/k/a Junebug, 28, of Revere, conspiracy and possession with intent to distribute and distribution of cocaine base;
- Kenny Bailey, a/k/a Bless, 22, of New Bedford, conspiracy and possession with intent to distribute and distribution of cocaine base;
- Freddy Dunbar, a/k/a Fox, 26, of Revere, conspiracy and possession with intent to distribute and distribution of cocaine base;
- Winford McRae, a/k/a E, 38, of Revere, possession with intent to distribute and distribution of cocaine base;
- David Batista, 37, of Lynn, conspiracy and possession with intent to distribute and distribution of heroin;
- Henry Mercado, a/k/a Chapo, 35, of Lynn, conspiracy and possession with intent to distribute and distribution of cocaine base;
- Manuel Rivera, 29, of Lynn, felon in possession of a firearm and ammunition;
- Gilberto Echevarria, a/k/a/ Roberto Echevarria, a/k/a Alberto Echevarria, 40, of Lynn, felon in possession of a firearm and ammunition and distribution of heroin; and
- Jermaine Rucker, 29, of Lynn, charged via complaint with conspiring to distribute crack cocaine.
The following individuals were arrested on state charges in Suffolk County today:
- Quinnelle Wheeler (charges in Suffolk and Essex Counties)
- Kevin Sanchez
- Sigfredo Sanchez
- Sulayman Abdul-Shafi
- Damien Hutchinson
The following individual was arrested on state charges in Essex County:
- Javier Santiago-Rosado
United States Attorney Carmen M. Ortiz; Richard DesLauriers, Special Agent in Charge of the Federal Bureau of Investigation Boston Field Division; Eugenia A. Marquez, Acting Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms & Explosives Boston Field Division; Colonel Timothy P. Alben, Superintendent of the Massachusetts State Police; Commissioner Luis S. Spencer of the Massachusetts Department of Corrections; Sherriff Frank G. Cousins, Jr. of the Essex Sherriff’s Office; Middlesex District Attorney Gerard T. Leone; Essex District Attorney Jonathan Blodgett; Chief Kevin F. Coppinger of the Lynn Police Department; and Chief Joseph Cafarelli of the Revere Police Department, made the announcement today.
The case was investigated by the Federal Bureau of Investigation’s North Shore Gang Task Force and the Bureau of Alcohol, Tobacco, Firearms & Explosives Boston Field Division. The federal cases are being prosecuted by Assistant United States Attorneys in Ortiz=s Organized Crime and Gang Unit. The state defendants will be prosecuted by District Attorney Leone and Blodgett’s Office.
The charges contained in the indictments and complaints are accusations, the defendants are presumed innocent unless and until proven guilty.
For inquiries related to the state defendants, please contact Stephanie Chelf Guyotte, Communications Director, Middlesex District Attorney’s Office at (781) 897-8325 or the Essex District Attorney’s Office at (978) 745-6610 ext. 5079.
Chicopee Man Charged for Sexually Exploiting A ChildRead the Press Release
BOSTON – A Chicopee man and soccer coach was arrested this morning on sexual exploitation of children charges.
Michael DuPont, 36 formerly of Westfield and most recently from Chicopee, was charged by criminal complaint following a search at his residence early this morning. According to the criminal complaint affidavit, on Dec. 26, 2012, Vermont State Police were contacted by a “Minor A” victim’s mother, who reported that on Dec. 19, 2012, she inadvertently discovered inappropriate email correspondence between her minor child and another individual. According to the affidavit, agents met with Minor A who told them that in October 2012, she was contacted by an individual named “Mike” in a chatroom who indicated that he was a 37-year-old soccer coach in Massachusetts. Minor A told “Mike” that she was 14-years-old. It is alleged that Minor A also communicated at times with “Mike” via webcam when she was asked to “put on a show” over the webcam for him. It was later determined by authorities that “Mike” was identified as Dupont.
According to the complaint affidavit, after being advised of his Miranda rights, Mr. Dupont admitted that he has received explicit photos of at least five different girls over the Internet including Minor A and that he had asked Minor A to display herself nude over the webcam. He also admitted that he knew that Minor A was 14 or 15 years old.
If convicted, Dupont faces a mandatory minimum of 15 years and maximum of 30 years in prison, to be followed by a mandatory minimum of five years and maximum life term of supervised release.
United States Attorney Carmen M. Ortiz; Bruce M. Foucart, Special Agent in Charge of Homeland Security Investigations in Boston; and Chief John R. Ferraro, Jr. of the Chicopee Police Department made the announcement today. The case is being prosecuted by Assistant United States Attorney Steven Breslow of Ortiz’s Springfield Branch Office.
The charges contained in the complaint are accusations, and the defendant is presumed innocent unless and until proven guilty.
FBI Provides New Information Regarding the 1990 Isabella Stewart Gardner Museum Art HeistInformation Sought from Those in Philadelphia and Connecticut Who May Have Knowledge of the Art’s LocationRead the Press Release
Boston, MASS: The FBI, along with Boston’s Isabella Stewart Gardner Museum, and the United States Attorney’s Office for the District of Massachusetts, released new information about one of the largest property crimes in U.S. history, the art theft from the museum more than two decades ago. The FBI is appealing to the public for help in what is one of the FBI’s Top Ten Art Crimes.
The FBI believes it has determined where the stolen art was transported in the years after the theft and that it knows the identity of the thieves, Richard DesLauriers, Special Agent in Charge of the FBI’s Boston office, revealed for the first time in the 23 year investigation. “The FBI believes with a high degree of confidence in the years after the theft the art was transported to Connecticut and the Philadelphia region and some of the art was taken to Philadelphia where it was offered for sale by those responsible for the theft.” DesLauriers added, “With that same confidence we have identified the thieves who are members of a criminal organization with a base in the mid-Atlantic states and New England.” After the attempted sale, which took place approximately a decade ago, the FBI’s knowledge of the art’s whereabouts is limited.
Information is being sought from those who possess, or know the whereabouts of, the 13 stolen works of art, including rare paintings by Rembrandt and Vermeer, by publicizing new details about the case and continuing to highlight the $5 million reward for the return of the art. Although the FBI does not know where the art is currently located, the FBI is continuing its search, both in and beyond the Connecticut and Philadelphia areas. “With this announcement, we want to widen the ‘aperture of awareness’ of this crime, to the reach the American public and others around the world,” said DesLauriers.
Anthony Amore, the museum’s chief of security, noted that the reward is for “information that leads directly to the recovery of all of our items in good condition.” He further explained, “You don’t have to hand us the paintings to be eligible for the reward. We hope that through this media campaign people will see how earnest we are in our attempts to pay this reward and make our institution whole. We simply want to recover our paintings and move forward. Today marks 23 years since the robbery. It’s time for these paintings to come home.”
“The investigation into the Gardner Museum theft has been an active and aggressive effort, with law enforcement following leads and tracking down potential sources of information around the globe. Over the past three years, I have visited the museum several times, and each time I entered the Dutch Room and saw the empty frames, I was reminded of the enormous impact of this theft. I do remain optimistic that one day soon the paintings will be returned to their rightful place in the Fenway, as Mrs. Gardner intended,” said U.S. Attorney Carmen M. Ortiz. “As we have said in the past, the U.S. Attorney’s Office will consider the possibility of immunity from criminal prosecution for information that leads to the return of the paintings based on the set of facts and circumstances brought to our attention. Our primary goal is, and always has been, to have the paintings returned.”
To recover stolen items and prosecute art and cultural property crime, the FBI has a specialized Art Crime Team of 14 Special Agents supported by special trial attorneys. The team investigates theft, fraud, looting and trafficking across state and international lines with estimated losses running as high as $6 billion annually. The FBI also runs the National Stolen Art File, a computerized index of stolen art and cultural properties that is used as a reference by law enforcement agencies worldwide.
The FBI stressed that anyone with information about the artwork may contact the FBI at 1-800-CALL FBI (1-800-225-5324) or the museum directly or through a third party, said Special Agent Geoffrey Kelly, who is the lead investigator for the theft and a member of the art crime team, “In the past, people who realize they are in possession of stolen art have returned the art in a variety of ways, including through third parties, attorneys and anonymously leaving items in churches or at police stations.” Tips may also be submitted online at https://tips.fbi.gov.
The publicity campaign announced today includes a dedicated FBI website on the Gardner Museum theft, video postings on FBI social media sites, publicity on digital billboards in Philadelphia region, and a podcast. To view and listen to these items, link to the FBI’s new website about the theft: www.FBI.gov/gardner.
Two California Men Charged with Gift Card Fraud SchemeRead the Press Release
BOSTON – In an indictment unsealed late yesterday, two California men have been charged with remotely hacking into the computerized cash registers of a number of Subway restaurants in order to fraudulently obtain gift cards.
On March 6, Shahin Abdollahi (aka Sean Holdt), 46, of Lake Elsinore, Calif., and Jeffrey Thomas Wilkinson, 35, of Rialto, Calif., were both charged with one count of conspiracy to commit computer intrusion and wire fraud, and one count of wire fraud.
According to the indictment, Abdollahi owned Subway franchises in Southern California from 2005 to 2008, and later operated a California company called “POS Doctor,” which sold and installed point-of-sale (POS) computer systems to Subway restaurant franchises around the country. POS systems are a type of computerized checkout register that allows merchants to manage customer purchases made by credit, debit and gift cards.The indictment alleges that beginning in approximately 2011, Abdollahi and Wilkinson conspired to remotely hack into POS systems in Subway restaurant franchises around the country. According to the indictment, members of the conspiracy hacked into at least 13 Subway POS systems that Abdollahi sold through POS Doctor and fraudulently added at least $40,000 in value to Subway gift cards. Abdollahi and Wilkinson allegedly used the fraudulent gift cards to make purchases at Subway, and Wilkinson also allegedly sold fraudulent gift cards to others using eBay and Craigslist.
The statutory maximum penalty is 20 years in prison to be followed by up to three years of supervised release. Abdollahi is scheduled to have his initial appearance on March 27 at 3:00 p.m.
United States Attorney Carmen M. Ortiz; Acting Assistant Attorney General Mythili Raman; and Resident Agent in Charge Holly Fraumeni, of the United States Secret Service in Manchester, N.H., made the announcement today. The case is being prosecuted by Assistant United States Attorney Adam J. Bookbinder and Mona Sedky, a trial attorney with the Department of Justice’s Computer Crime & Intellectual Property Section.
The charges contained in the indictment are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
Randolph Woman Sentenced for Mortgage FraudRead the Press Release
BOSTON – A Randolph woman was sentenced late yesterday for using a stolen identity to sign fraudulent mortgage loan documents.
Allison Gates, 50, was sentenced by U.S. District Judge George A. O’Toole to six months in prison, followed by two years of supervised release and ordered to pay $1.2 million in restitution to the mortgage lenders. In July 2012, Gates pleaded guilty to seven counts of wire fraud and four counts of identity fraud. She has been ordered to self-surrender to the Bureau of Prisons before April 15.Gates was solicited by co-defendant Peterson Cherimond to pose as the buyer for the purchase of four residential properties in Halifax, Brockton, and Worcester. For each of the four properties, Gates was paid approximately $3,000 to use a stolen identification to execute mortgage loan closing papers. Gates was paid a total of approximately $12,000.
In July 2012, Cherimond pleaded guilty to nine counts of wire fraud and three counts of money laundering, and pleaded guilty to four additional counts of wire fraud, seven counts of identity fraud and two counts of aggravated identity theft in October 2012. Sentencing is scheduled for April 11, 2013.
In February 2013, co-defendant Judy Bonas was also sentenced to six months in prison, followed by two years of supervised release, and ordered to pay $936,000 in restitution. In April 2012, Bonas pleaded guilty to six counts of wire fraud and three counts of identity fraud for playing a similar role in the fraud scheme. Bonas has been ordered to self-surrender to the Bureau of Prisons before April 22, 2013.
United States Attorney Carmen M. Ortiz, Kevin Niland, Inspector in Charge of the U.S. Postal Inspection Service, and William Offord, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigation in Boston, made the announcement today. The case was prosecuted by Assistant U.S. Attorneys Victor A. Wild of Ortiz’s Economic Crimes Unit and Brian Pérez-Daple of Ortiz’s Civil Division.Westfield Man Charged with Sexual Exploitation of A ChildRead the Press Release
BOSTON – A Westfield man was charged today with the sexually exploitation of a child.
Gardner Whitney, 61, was indicted on seven counts of sexual exploitation of a child and possession of child pornography.
The indictment alleges that between June 2010 and December 2011, Whitney used a minor to produce child pornography and that he possessed child pornography.
The maximum sentence under the statute is 30 years in prison on each count of sexual exploitation of a child and 10 years on the charge of possession of child pornography, followed by a lifetime of supervised release and a $2 million fine.
United States Attorney Carmen M. Ortiz; Mark G. Mastroianni, Hampden County District Attorney; Colonel Timothy P. Alben, Superintendent of the Massachusetts State Police; and Chief John Camerota of the Westfield Police Department, made the announcement today. The case was prosecuted by Assistant U.S. Attorney Alex J. Grant of Ortiz’s Springfield Branch Unit.
The details contained in the indictment are allegations. The defendant is presumed to be innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Statement of United States Attorney Carmen M. Ortiz Regarding First Circuit Court of Appeals' Decision in United States V. James "Whitey" BulgerRead the Press Release
"We respect the opinion of the Court and will continue to prepare the matter for trial. We are hopeful that this opinion will not cause a delay, as it has always been our goal to try this case as soon as possible. The victims' families have waited long enough."
For Audio: http://www.justice.gov/usao/ma/audiovideo.html
Spaulding Rehabilitation Hospital North Shore Settles Allegations of Improper Medicare BillingRead the Press Release
BOSTON – On March 12, the United States reached a civil settlement with the Shaughnessy-Kaplan Rehabilitation Hospital (doing business as Spaulding Rehabilitation Hospital for Continuing Medical Care North Shore, or “Spaulding”), resolving allegations that it inappropriately billed Medicare for certain days of patient care in violation of Medicare’s “midnight rule.”
Spaulding has agreed to pay $91,800 to settle the allegations against it. This settlement resolves a civil lawsuit under the qui tam, or whistleblower, provisions of the False Claims Act, which allow private citizens to bring civil actions on behalf of the United States and share in any recovery.
The United States contended that Spaulding billed Medicare for days on which patients left the facility before midnight, in violation of the midnight rule which authorizes Medicare reimbursement only when a patient remains in the nursing facility through midnight on a given day. The investigation revealed that, over a period of years, Spaulding would sometimes transfer patients temporarily to the care of other medical providers before midnight, but still bill Medicare for the preceding day’s stay at Spaulding.
“Health care is too important to allow a single dollar to be wasted,” said United States Attorney Carmen M. Ortiz. “We will continue to investigate claims from whistleblowers to ensure that the tax dollars that fund Medicare and Medicaid are properly allocated.”
“Taxpayers and Medicare bargained to pay an honest day’s pay for an honest day’s work,” said Susan Waddell, Special Agent in Charge of the U.S. Department of Health and Human Services Office of Inspector General’s Boston region. “But when hospitals violate that bargain – as the government charged here – our office will aggressively investigate and prosecute.”
U.S. Attorney Ortiz and SAC Waddell made the announcement today. The case was handled by Assistant United States Attorney Brian Pérez-Daple of Ortiz’s Affirmative Civil Enforcement Unit.
Hells Angels Member Sentenced for Illegal Firearm PossessionRead the Press Release
BOSTON – A Lynn man was sentenced to 21 years in prison yesterday for possessing a firearm and ammunition.
Eric Franco, 38, was sentenced by U.S. District Judge Denise Casper to 262 months in prison, followed by two years of supervised release. In September 2012, Franco was convicted after a jury trial of possessing a firearm and ammunition after receiving a felony conviction.On May 3, 2011, Franco, the sergeant-at-arms of the Lynn chapter of the Hells Angels, was found by Lynn Police to be in possession of a firearm and ammunition. The weapon was discovered when Lynn Police were called to the apartment Franco shared with his girlfriend and her child after receiving a report that Franco assaulted his girlfriend. Franco’s criminal record in Massachusetts includes three convictions for assault and battery by a dangerous weapon, as well as convictions for indecent assault and battery, failure to register as a sex offender, breaking and entering at night with intent to commit a felony, and conspiracy to violate the controlled substances act. Franco also was convicted in Arkansas for battery in the second degree in a case in which Franco and five other members of the Hells Angels assaulted and stabbed four members of another motorcycle gang.
United States Attorney Carmen M. Ortiz, Eugenio A. Marquez, Acting Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives Boston Field Division, and Lynn Police Chief Kevin F. Coppinger made the announcement today. The case was prosecuted by Assistant U.S. Attorneys Suzanne M. Sullivan and David G. Tobin of Ortiz’s Major Crimes Unit.
Chelsea Investment Adviser Sentenced to Seven Years for Defrauding Investors Out of MillionsRead the Press Release
BOSTON – A Chelsea investment advisor was sentenced yesterday for mail and wire fraud.
Gary J. Martel, 55, was sentenced by U.S. District Judge F. Dennis Saylor IV to 87 months in prison, followed by three years of supervised release. Martel was also ordered to pay restitution of $3.2 million and a forfeiture order of $3.2 million. In November 2012, Martel pleaded guilty to three counts of mail fraud and wire fraud.Martel held himself out as an investment adviser and offered to invest his clients’ funds in a variety of specific investments, including bonds, mortgage lending pools and stock. In fact, Martel did not invest the client funds as he had represented, but diverted most of the money for his own personal use and created phony account statements which he sent to investors to hide his ongoing fraud. Some of these clients invested their life savings with Martel and lost everything. Martel stole substantial amounts from close friends, trusting clients and even family members. In total, Martel received approximately $5.4 million from investors, paid back only about $2.1 million, and retained proceeds of approximately $3.3 million.
United States Attorney Carmen M. Ortiz; Richard DesLauriers, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; and Kevin Niland, Inspector in Charge of the U.S. Postal Inspection Service, made the announcement today. The U.S. Attorney’s Office also acknowledges the valuable assistance it received from the U.S. Securities & Exchange Commission, Boston Regional Office; the Massachusetts Securities Division; and the Boston Police Department. The case was prosecuted by Assistant U.S. Attorney Sara Miron Bloom of Ortiz’s Economic Crimes Unit.
Boston Man Convicted in Armed RobberyRead the Press Release
BOSTON – A Boston man was convicted today for the armed robbery of a Dorchester Metro PCS retail store in 2011.
Lynch E. Arthur, 40, pleaded guilty before U.S. District Judge Denise J. Casper to armed robbery, using and carrying a firearm during a crime of violence and being a previously convicted felon in possession of firearm.
On the morning of Oct. 31, 2011, two men entered the Metro-PCS retail store on Washington Street in the Codman Square section of Dorchester. One man distracted the store clerk while the other walked around the counter and displayed a semi-automatic handgun. The two then forced the clerk into the back storage room and demanded cash after arming themselves with semi-automatic handguns. One man used duct tape to tie up the store clerk. The two men then removed cash from the cash register and fled the scene. A short time later, two men fitting the descriptions of the robbers were observed running down a nearby street, and were stopped and questioned. The officers observed articles of clothing, reportedly worn by the subjects, on the sidewalk from the direction that the men came from. The officers did a sweep and recovered the firearms used by the robbers, duct tape, and cash consistent with the amount stolen. The individuals were brought back to the store and positively identified by the store clerk.If convicted on these charges, Arthur faces the statutory maximum of life in prison on the charge of carrying a firearm during an armed robbery, 20 years on the armed robbery charge and 10 years on the felon in possession charge, followed by five years of supervised release. Sentencing is scheduled for June 6, 2013.
The co-defendant, Ronald E. Brown, is currently scheduled for trial later this month.
United States Attorney Carmen M. Ortiz; Commissioner Edward Davis of the Boston Police Department; and Eugenio A. Marquez, Acting Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives, Boston Field Office, made the announcement today. The case is being prosecuted by Assistant U.S. Attorney Kenneth G. Shine of Ortiz's Major Crimes Unit.
Radio Equipment Seized from Pirate Radio StationRead the Press Release
BOSTON – A warrant recently unsealed in U.S. District Court details the seizure of radio transmission equipment of a pirate radio station broadcasting from Brockton.
The seizure, by federal officials on March 1, 2013, occurred at the station’s last known address on Rutland Street in Brockton. The pirate radio station is alleged to have been using frequency 91.7 MHz without a license from the Federal Communications Commission (FCC). A civil action was brought seeking forfeiture of the equipment because it was allegedly used in violation of federal law.
According to an affidavit filed with the civil complaint, the unlicensed FM radio station was causing interference to Federal Aviation Administration (FAA) frequency 120.6 MHz, which is one of the primary frequencies used by pilots to communicate with FAA controllers when flying in the Boston metropolitan area. The FCC issued verbal and written warnings to the residents of 9 Rutland Street on several occasions, but the radio station continued to broadcast.
The Communications Act of 1934 prohibits the operation of radio broadcasting equipment above certain low-intensity thresholds without a license issued by the FCC. The Act authorizes the seizure and forfeiture of any electronic or radio frequency equipment used to broadcast without an FCC license. The number of available radio frequencies is limited, and unlicensed broadcasting can interfere with the broadcasting of legitimate licensed radio stations, potentially causing chaos in the radio spectrum.
“The U.S. Attorney’s Office will work in conjunction with the FCC to identify and seize equipment from pirate broadcasters,” said United States Attorney Carmen M. Ortiz. “It is hazardous to public safety for pirate radio stations to broadcast illegally, potentially interfering with critical radio communications.”
“The FCC remains vigilant about keeping the airwaves free of interference so consumers retain unobstructed access to over-the-air programs and information,” said Michele Ellison, Chief of the FCC’s Enforcement Bureau. “We will continue, with the assistance of the U.S. Attorney’s Office, to seize equipment from pirate broadcasters who potentially endanger public safety and cause interference to the programming of licensed broadcasters. This enforcement action reflects our continued commitment to that important objective.”
U.S. Attorney Ortiz and Chief Ellison made the announcement today. The case is being prosecuted by Assistant U.S. Attorney Christine Wichers of Ortiz’s Civil Division.
Former Fugitive Indicted by A Federal Grand Jury After His Capture in GrenadaChelsea Man Listed on U.S. Diplomatic Security Service’s Most WantedRead the Press Release
BOSTON – A Chelsea man was indicted today by a federal grand jury for making false statements in his application for a U.S. passport.
Glen Turczyn, 42, was originally charged by federal criminal complaint in December 2012. He is alleged to have falsely applied for a United States passport at the U.S. Embassy in St. George’s, Grenada, in October 2012 using an assumed identity of Francis H. Turczyn. Turczyn allegedly presented a fraudulently obtained birth certificate and Massachusetts Identity Card in support of his passport application.
As referenced in the charging documents, the Consular Affairs office in Grenada conducted an investigation into Turczyn’s United States passport application, and determined that a Glen Turczyn had previously made an application for a passport in prior years. The photographs for Glen Turczyn and Francis Turczyn matched which prompted a referral to the Bureau of Diplomatic Security Service for the United States Department of State for further investigation.
Turczyn was detained by Diplomatic Security Service agents in coordination with law enforcement authorities in Grenada and returned to the United States in January 2013 where he was arrested. Turczyn had been listed on the Bureau of Diplomatic Security Service’s Most Wanted List.
The maximum sentence under the statute is 10 years in prison, followed by three years of supervised release and a $250,000 fine.
United States Attorney Carmen M. Ortiz and Todd Ziccarelli, Special Agent in Charge of the Department of State’s Bureau of Diplomatic Security’s Boston Field Office, made the announcement today. The case is being prosecuted by Assistant U.S. Attorney Carlos A. Lopez of Ortiz’s Major Crimes Unit.
The details contained in the Indictment are allegations. The defendant is presumed to be innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
New Jersey Man Charged with Sexual Exploitation of A ChildRead the Press Release
BOSTON - A New Jersey man, charged with sexual exploitation, had his initial appearance today in U.S. District Court in Boston.
Anthony Scarano, 51, of Sayreville, New Jersey, was originally charged on February 26 via criminal complaint with sexual exploitation of a child, specifically with production of child pornography. Scarano arrived in Massachusetts today to face the charges.According to documents filed in court, Scarano met a minor victim around October 2011 on a website called Motherless.com where they exchanged email addresses. It is alleged that the minor and Scarano, who at that time disclosed that he 32, developed a relationship shortly thereafter. It is alleged that sometime in 2012, Scarano sent the minor videos and images of himself in the nude and engaged in sexual activities. Scarano is alleged to have directed the minor to pose nude and perform sexual acts for him in videos.
The maximum sentence under the statute is 30 years to be followed by five years of supervised release. Scarano is scheduled for a detention hearing on March 22 at 2 p.m.
United States Attorney Carmen M. Ortiz; Inspector in Charge Kevin M. Niland, U.S. Postal Inspection Service in Boston; Barnstable Police Chief Paul MacDonald; and Yarmouth Police Chief Frank Frederickson made the announcement today. The matter was jointly investigated by the U.S. Postal Inspection Service and the Cape Cod Computer Crime Unit, a regional task force that handles computer crimes and forensics.
The case is being prosecuted by Assistant U.S. Attorney Dave Tobin of Ortiz’s Major Crimes Unit.
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.This case is being brought as part of Project Safe Childhood. In 2006, the Department of Justice created Project Safe Childhood, a nationwide initiative designed to protect children from exploitation and abuse. Led by the U.S. Attorneys' Offices, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend, and prosecute individuals who exploit children via the Internet, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov/.
Former Quincy Man Pleads Guilty to Tax Evasion Schemes and Theft from Federal Housing ProgramRead the Press Release
BOSTON – A former Quincy man, now living in New Hampshire, was convicted yesterday for carrying out two elaborate tax evasion schemes and theft of federal housing assistance funds.
Raymond Stebbins, 70, of Manchester, NH, pleaded guilty before U.S. District Judge George A. O’Toole, Jr. to two counts of conspiracy, five counts of tax evasion, two counts of making false statements and theft of public money.
Stebbins was engaged in two schemes – first, a false invoice scheme aimed at evading the ascertainment and assessment of income taxes and, second, a Section 8 housing fraud scheme.
In 2001, Christopher McGadden, the General Manager of Xcel Fire Protection, a fire protection indoor sprinkler business, hired Stebbins in a quasi-sales position. Stebbins purportedly owned numerous businesses, among them a trucking company, a moving company, a real estate company, and two or more business equipment resale companies. Stebbins prepared and sent bogus invoices in the names of the companies he purportedly owned to Xcel. The invoices falsely reflected that one of the Stebbins’ companies had provided goods or services to Xcel when they had not. Knowing the invoices were bogus, McGadden authorized Xcel to pay the invoices by check. Stebbins then deposited the Xcel checks into various bank accounts he’d opened, structuring the withdrawals of funds from those accounts. Thereafter, Stebbins gave McGadden 90 percent of the proceeds of those checks in cash and kept 10 percent for himself. In addition, McGadden caused Xcel’s customers to write checks directly in the name of one of Stebbins’ companies. Stebbins deposited those checks in to his bank account and did the same 90/10 split with McGadden. Neither Stebbins nor McGadden paid the proper income taxes on the $490,000 they took from Xcel checks and Xcel’s customer checks.
In a second conspiracy, starting around December 30, 1999, Stebbins conspired with another individual, identified as FV, to defraud the IRS. Stebbins carried out a nearly identical false invoice tax evasion scheme in which the two men fraudulently diverted more than $3.3 million in funds rightfully belonging to FV’s construction company based in Nashua, NH.
This scheme, although larger in scope, worked virtually identically to Stebbins’ scheme with McGadden. Neither Stebbins nor FV paid the proper income taxes on the money they took from FV’s company checks.For the tax years 2005 through 2009, Stebbins attempted to evade a large part of income tax due he owed to the IRS by filing erroneous returns which under-reported his income.
Furthermore, Stebbins made false statements to the U.S. Department of Housing and Urban Development when applying for the Section 8 Housing Assistance Program which provides housing assistance payments to people who need rent subsidy in order to obtain adequate housing.
Beginning in December 1997, Stebbins represented to HUD that he was unable to afford adequate housing. As a result, Stebbins received Section 8 benefits from June 1998 through May 2008. During this time, HUD periodically attempted to establish Stebbins’ continued eligibility for Section 8 benefits, and the level of those benefits, by sending him annual re-certification forms which requested information concerning his household income level and assets. Stebbins filled out the forms with false entries that under-reported his household income and assets. At the time he was receiving Section 8 benefits from HUD, Stebbins was an approved Section 8 housing assistance landlord for two multi-family properties, one in Quincy and another in Nashua, NH. Between January 1, 2002 and May 31, 2008, Stebbins effectively stole money from HUD in the form of Section 8 housing payments that he was not entitled to.
Judge O’Toole scheduled sentencing for June 11, 2013. Defendants convicted under these statutes are subject to serve a maximum sentence of five years in prison, followed by three years of supervised release and a $250,000 fine for each count of conspiracy and false statements; a maximum of five years in prison, followed by three years of supervised release and a $100,000 fine for each count of tax evasion; and a maximum of 10 years in prison, followed by three years of supervised release and a $250,000 fine for theft of public money.
In September 2011, McGadden was sentenced by U.S. District Judge William G. Young to one year in prison, followed by two years of supervised release, a fine of $7,500 and $178,435 in restitution to the IRS. In March 2011, McGadden pleaded guilty to conspiracy to defraud the United States and tax evasion.
United States Attorney Carmen M. Ortiz; William P. Offord, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigation in Boston; and Cary Rubenstein, Special Agent in Charge of the U.S. Department of Housing and Urban Development, Office of the Inspector General, New York Regional Office, made the announcement today. The case is being prosecuted by Assistant U.S. Attorney Diane Freniere of Ortiz’s Public Corruption and Special Prosecutions Unit.
Two Fitchburg Men Convicted of Distributing CocaineRead the Press Release
BOSTON – Two Fitchburg men were convicted today in U.S. District Court in Worcester of conspiracy and multiple counts of distributing crack cocaine.
Shawn McWhorter a/k/a/ Kaeshaun, 39, and Junior Barclay a/k/a Mouse, 31, were convicted by a jury of multiple counts of distributing cocaine base (crack) and conspiracy to distribute cocaine base. United States District Judge Timothy S. Hillman scheduled sentencing for McWhorter on May 30, 2013, and Barclay on May 29, 2013. Defendants convicted under this statute are subject to serve a maximum of 40 years in prison, followed by five years of supervised release and a fine of $4 million.
During the four-day trial, evidence proved that McWhorter distributed crack cocaine on July 26, 2011, and that he and Barclay together conspired to and did distribute crack cocaine on August 5, 2011, and August 25, 2011. In January 2011, McWhorter and Barclay were arrested as part of Operation Red Wolf, a multi-agency investigation targeting gang members involved in drug dealing and firearms distribution in the Fitchburg area.
United States Attorney Carmen M. Ortiz; John J. Arvanitis, Special Agent in Charge of the Drug Enforcement Administration’s New England Field Division; Richard DesLauriers, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; Fitchburg Police Chief Robert A. DeMoura; Webster Police Chief Timothy J. Bent; Gene Marquez, Acting Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives, Boston Field Division; and Colonel Timothy P. Alben, Superintendent of the Massachusetts State Police, made the announcement today. The case is being prosecuted by Assistant U.S. Attorney Cory Flashner and Mark Grady of Ortiz’s Worcester Branch Office.