District of Massachusetts

BOSTON – A Providence man was sentenced today in federal court in Worcester for selling oxycodone pills on multiple occasions to an undercover officer.  

Brandon Jones, 35, was sentenced by U.S. District Court Judge Margaret R. Guzman to six years in prison, to be followed by three years of supervised release. In October 2023, Jones pleaded guilty to one count of possession with intent to distribute oxycodone and two counts of distribution of oxycodone. 

In July 2022, Jones was identified as an oxycodone distributor in the Worcester area. Specifically, Jones traveled to Worcester in rental vehicles on a daily basis to sell drugs throughout the area before returning to Providence. On at least four occasions between October 2022 and January 2023, Jones met with undercover law enforcement to distribute oxycodone pills in controlled purchases. In February 2023, the rental cars Jones had been using were tracked to his supply source in New Jersey and New York. At the time of his arrest in March 2023, Jones was found in possession of approximately 1,500 oxycodone pills. 

Acting United States Attorney Joshua S. Levy; Stephen Belleau, Acting Special Agent in Charge of the Drug Enforcement Administration, New England Field Division; and Southbridge Police Chief Shane D. Woodson made the announcement today. Valuable assistance in the investigation was provided by the U.S. Attorney’s Office for the District of Rhode Island and the Rhode Island State Police. Assistant U.S. Attorney Kristen M. Noto of the Worcester Branch Office prosecuted the case.  

BOSTON – A Boston-area man was sentenced yesterday for his role in a violent Boston street gang as well as gun and drug trafficking charges.

Kenny Romero, a/k/a “KG,” 29, was sentenced by U.S. Senior District Court Judge William G. Young to 63 months in prison and three years of supervised release after pleading guilty in November 2023 to one count of conspiracy to participate in a racketeering enterprise (more commonly referred to as RICO or racketeering conspiracy); three counts of distribution and possession with intent to distribute cocaine; and three counts of being a felon in possession of a firearm and ammunition. Romero was also sentenced to 24 months in prison, to be served consecutively, for committing the offenses while on federal supervised release. 

According to court documents, Cameron Street is a violent gang based largely in Dorchester that uses violence and threats of violence to preserve, protect and expand its territory, promote a climate of fear and enhance its reputation. Cameron Street members also allegedly distribute narcotics and firearms, commit armed robberies and engage in human trafficking. Additionally, members allegedly post videos or use social media applications to promote Cameron Street, celebrate murders and other violent crimes committed by the gang and denigrate rivals – in particular the NOB gang – an abbreviation for the Norton/Olney/Barry Streets in Dorchester. 

Romero had a “3113” tattoo, which referred to the third, first and 13th letters of the alphabet (“C,” “A,” “M”):

During a two-year investigation, Romero was recorded selling eight firearms, as well as ammunition, cocaine base and cocaine to a cooperating witness who Romero believed was a member of Cameron Street:

Data from Romero’s cell phone and Snapchat accounts determined that Romero generated income for Cameron Street through gun and drug sales as well as human trafficking.

At the time of Romero’s conduct, he was on supervised release for a 2019 federal conviction for interstate transportation of a firearm, for which he was sentenced to 21 months in prison. 

Acting United States Attorney Joshua S. Levy; James M. Ferguson, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms & Explosives, Boston Field Division; Stephen Belleau, Acting Special Agent in Charge of the Drug Enforcement Administration, New England Field Division; and Boston Police Commissioner Michael Cox made the announcement today. Valuable assistance was provided by the Massachusetts State Police; Suffolk County Sheriff’s Office; Suffolk, Plymouth, Norfolk and Bristol County District Attorney’s Offices; and the Canton, Quincy, Randolph, Somerville, Brockton, Malden, Stoughton, Rehoboth and Pawtucket (R.I.) Police Departments. Assistant U.S. Attorneys Christopher Pohl and Charles Dell’Anno of the Criminal Division prosecuted the case.

This operation is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) Strike Force Initiative, which provides for the establishment of permanent multi-agency task force teams that work side-by-side in the same location. This co-located model enables agents from different agencies to collaborate on intelligence-driven, multi-jurisdictional operations to disrupt and dismantle the most significant drug traffickers, money launderers, gangs, and transnational criminal organizations. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.

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

BOSTON – A former Milford teacher was sentenced today in federal court in Worcester for possessing child sexual abuse material (CSAM). 

Vincent Kiejzo, 36, was sentenced by U.S. District Court Judge Margaret R. Guzman to 42 months in prison, to be followed by five years of supervised release. Kiejzo was also ordered to pay $43,500 in restitution to victims. In December 2024, Kiejzo pleaded guilty to one count of possession of child pornography. 

In or around May 2019, an IP address registered to Kiejzo was linked to two websites known to host videos, photos and discussions of content depicting the sexual exploitation of minor victims. During a search of Kiejzo’s Milford home in September 2020, a USB drive plugged into a television in his bedroom was located and found to contain links to websites dedicated to child sexual exploitation. The USB drive also contained well as over 6,000 images of CSAM – including images that involved infants. 

At the time of his arrest, Kiejzo was a second-grade teacher in Milford. Upon his release from prison, Kiejzo will be required to register as a sex offender and will be prohibited from contact with children.

Acting United States Attorney Joshua S. Levy and Michael J. Krol, Special Agent in Charge of the Homeland Security Investigations in New England made the announcement. The Milford Police Department also assisted with the investigation. Assistant U.S. Attorney Kristen Noto of the Worcester Office prosecuted the case. 

This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse, launched in May 2006 by the Department of Justice. Led by the U.S. Attorneys’ Offices and the DOJ’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend and prosecute individuals who exploit children, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc. 

BOSTON – A Chelsea woman pleaded guilty yesterday in federal court in Boston to conspiring to possess and use false identifications as part of an identity theft scheme to target a wireless company.

Perla Soto, 24, pleaded guilty to an Information charging conspiracy to possess and use more than five false identifications. U.S. District Court Judge Julie E. Kobick scheduled sentencing for Aug. 9, 2024. Soto was originally charged by criminal complaint in March 2024. 

From January 2022 through November 2023, Soto was captured on surveillance video conducting 20 transactions where she posed as customers of a wireless company. These transactions took place in retail stores throughout the United States. 

Soto used counterfeit driver’s licenses and identification bearing her photograph and the personal identifying information of customers of the wireless company in order to conduct transactions at these retail stores. While posing as the customer, Soto would purchase new phones and accessories on the customer’s account. Working as part of a larger group, Soto provided these fraudulently obtained phones and accessories to other coconspirators who would sell them on the black market. 

In total, over 120 customers of the wireless company had their personal information utilized in transactions totaling over $290,000 in fraudulently obtained phones and accessories.

The charge of conspiring to possess of five or more identification documents with intent to use them unlawfully provides for a sentence of up to five years in prison, three years of supervised release a fine of up to $250,000 and restitution. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.

Acting United States Attorney Joshua S. Levy; Jodi Cohen, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division; and John E. Mawn Jr., Interim Colonel of the Massachusetts State Police made the announcement. Assistant U.S. Attorney Philip A. Mallard of the Organized Crime & Gang Unit is prosecuting the case.

BOSTON – A California businessman was sentenced yesterday in federal court in Boston for engaging in a fraudulent scheme to obtain and profit from the sale of penny-stock shares that were later sold for millions of dollars during a sophisticated market manipulation scheme.

Kevin C. Dills, 67, of Carlsbad, Calif., was sentenced by U.S. District Court Judge Richard G. Stearns to time served (approximately five days in prison) and 30 months of home detention. He was also ordered to forfeit $6.12 million. In January 2024, Dills pleaded guilty to one count of securities fraud. Dills was charged in March 2023 along with co-defendant Joseph A. Padilla, who was sentenced in November 2023 to 66 months in prison and one year of supervised release after previously pleading guilty to securities fraud and other charges.

Between October 2020 and July 2021, Dills engaged in a fraudulent scheme to obtain and profit from the sale of unrestricted free-trading shares in the company Oncology Pharma, Inc., a thinly traded company that traded on the over-the-counter securities market under the ticker symbol ONPH. 

Dills fraudulently induced Oncology Pharma’s transfer agent to issue three million unrestricted free-trading ONPH shares to two entities under Dills’ control by, among other means, secretly controlling one of the entities through his girlfriend and not disclosing that control to Oncology Pharma’s transfer agent. Dills then sold the three million shares to two individuals who deposited the shares with the Cayman Islands broker Valor Capital, with which Padilla had a close, unofficial association. Padilla then engaged in manipulative trading in ONPH designed, at least in part, to artificially drive up the company’s stock price, after which Padilla began dumping the ONPH shares—which were under common control—to unsuspecting investors in Massachusetts and throughout the United States during a promotional campaign, generating tens of millions of dollars in illicit profits. Over $6 million from those illicit profits was then transferred to Dills via his two entities between March and June 2021.

Acting United States Attorney Joshua S. Levy and Jodi Cohen, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division made the announcement today. Assistant United States Attorneys James R. Drabick and Ian J. Stearns of the Securities, Financial & Cyber Fraud Unit prosecuted the case.

BOSTON – A Mexican man pleaded guilty today to illegally reentering the United States after deportation.

Ramon Alfaro-Orona, 39, pleaded guilty to one count of unlawful reentry of a deported alien. U.S. District Court Judge Margaret R. Guzman scheduled sentencing for Aug. 5, 2024. In September 2023, Alfaro-Orona was charged by criminal complaint.   

Alfaro-Orona was deported from the United States on eight prior occasions, with the most recent being Sept. 30, 2014. Sometime after his September 2014 removal, Alfaro-Orona unlawfully reentered the United States. On Aug. 23, 2023, Alfaro-Orona was taken into custody by immigration authorities following his arraignment in Leominster District Court for three counts of larceny by check over $1,200.

Alfaro-Orona was convicted for unlawful reentry on two prior occasions in November 2013 and March 2014.  

The charge of unlawful reentry of a deported alien provides for a sentence of up to 10 years in prison, three years of supervised release, and a fine of up to $250,000. The defendant will be subject to deportation proceedings upon completion of an imposed sentence. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.  

Acting United States Attorney Joshua S. Levy and Todd M. Lyons, Field Office Director, Boston, U.S. Immigration and Customs Enforcement’s Enforcement and Removal Operations made the announcement today. Assistant U.S. Attorney Brian Sullivan of the Major Crimes Unit is prosecuting the case.  

The Justice Department announced today that now-bankrupt financial technology company Kabbage Inc., doing business as KServicing, has agreed to resolve allegations that it violated the False Claims Act (FCA) by knowingly submitting thousands of false claims for loan forgiveness, loan guarantees, and processing fees to the U.S. Small Business Administration (SBA) in connection with its participation in the Paycheck Protection Program (PPP). Kabbage is now winding down its operations as KServicing Wind Down Corp. after filing for Chapter 11 bankruptcy in the District of Delaware in October 2022. As part of the resolution announced today, the United States will receive a general unsecured claim in the bankruptcy proceeding.

Congress created the PPP in March 2020, as part of the Coronavirus Aid, Relief and Economic Security (CARES) Act, to provide federally guaranteed loans to small businesses suffering economic hardship due to the COVID-19 pandemic. The PPP is administered by the SBA. The CARES Act authorized private lenders to approve PPP loans for eligible borrowers who could later seek forgiveness of the loans so long as they used loan funds on employee payroll and other eligible expenses. Among other things, participating PPP lenders were required to confirm borrowers’ average monthly payroll costs by reviewing the payroll documentation submitted with the borrower’s application. Lenders were also required to follow applicable Bank Secrecy Act/Anti-Money Laundering (BSA/AML) requirements. Any unforgiven or defaulted PPP loans were guaranteed by the SBA so long as the lender adhered to PPP requirements. Lenders who originated PPP loans were paid a fixed fee calculated as a percentage of the loan amount by the SBA.

“The PPP was intended to provide critical assistance to businesses to alleviate the economic challenges imposed by the pandemic,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “The department is committed to holding accountable lenders that knowingly contributed to the misuse of such funds by approving PPP loans for ineligible borrowers or otherwise failing to comply with applicable program requirements.”

“When the nation was facing a pandemic-induced crisis, Kabbage received tens of millions of dollars through the PPP to help lend taxpayer funds to businesses in need. Instead of safeguarding those funds, Kabbage doled out inflated and fraudulent loans, in an effort to maximize its profits,” said Acting U.S. Attorney Joshua S. Levy for the District of Massachusetts. “Then, Kabbage sold its assets and left the remaining company so low on cash that it ultimately went bankrupt, leaving taxpayers to take the loss for Kabbage’s conduct. This office will continue pursuing any company or individual, like Kabbage, that took advantage of the PPP.”

“Lenders who participated in PPP were trusted on their word that they would comply with PPP requirements and do their part in safeguarding taxpayer funds from fraudsters,” said U.S. Attorney Damien M. Diggs for the Eastern District of Texas. “PPP lenders and lender service providers who broke that trust should be held accountable, as they ignored signs of fraud, and chose profit at the expense of taxpayers and struggling small businesses badly hit by the COVID-19 pandemic. This settlement with Kabbage demonstrates our office’s firm commitment to pursuing all parties who played a part in committing PPP fraud.”

“The PPP Program provided those small businesses affected by the COVID-19 pandemic with forgivable loans for eligible payroll and non-payroll costs,” said General Counsel Therese R. Meers of the SBA. “SBA has made it a top priority to pursue participants in the PPP Program who committed fraud or otherwise abused the program.”

“Today we are sending a clear message that compliance with program rules is non-negotiable, especially when supporting the nation’s small businesses during the pandemic,” said Assistant Inspector General for Investigations Shafee Carnegie of the SBA Office of Inspector General. “This settlement highlights our dedication to preserving the integrity of the PPP and holding entities accountable for misusing taxpayer-funded programs. I want to thank the Justice Department and our law enforcement partners for their support and commitment to pursuing justice in this case."

“It is imperative that entities like Kabbage, which cause harm to federal programs for their own profit, face the consequences of their actions,” said Executive Assistant Director Timothy Langan of the FBI’s Criminal, Cyber, Response and Services Branch. “The FBI and our partners will continue to relentlessly pursue companies that are unwilling to comply with requirements in accordance with the law.”

The resolution announced today addresses two different violations allegedly committed by Kabbage that resulted in the submission and payment of false claims. First, the United States alleged that Kabbage systemically inflated tens of thousands of PPP loans, causing the SBA to guarantee and forgive loans in amounts that exceeded what borrowers were eligible to receive under program rules. As part of the settlement, KServicing Wind Down Corp. admitted and acknowledged that Kabbage: (1) double-counted state and local taxes paid by employees in the calculation of gross wages; (2) failed to exclude annual compensation in excess of $100,000 per employee and (3) improperly calculated payments made by employers for leave and severance. The United States alleged that Kabbage was aware of these errors as early as April 2020, yet Kabbage failed to remedy all incorrect loans that had already been disbursed and continued to approve additional loans with miscalculations.

Second, United States alleged that Kabbage knowingly failed to implement appropriate fraud controls to comply with its PPP and BSA/AML obligations. In particular, the United States alleged that Kabbage removed underwriting steps from its pre-PPP procedures to process a greater number of PPP loan applications and maximize processing fees. The government further alleged that Kabbage knowingly set substandard fraud check thresholds despite knowledge of SBA’s concerns that fraudulent borrowers might seek to benefit from the PPP, relied on automated tools that were inadequate in identifying fraud, devoted insufficient personnel to conduct fraud reviews, discouraged its fraud reviewers from requesting information from borrowers to substantiate their loan requests and submitted to the SBA thousands of PPP loan applications that were fraudulent or highly suspicious for fraud.

As part of the government’s resolution of these claims, the government will receive a total allowed, unsubordinated, general unsecured claim in the bankruptcy proceeding of up to $120 million. The amount the government will recover on this claim will depend on the ultimate amount of assets available to the bankruptcy estate for distribution to unsecured creditors. The resolution also provides for Kabbage Inc. to receive a $12.5 million credit for payments previously returned to the SBA during the department’s investigation of the alleged misconduct.

The claims resolved by the resolution announced today include claims that were brought under the qui tam or whistleblower provisions of the False Claims Act in two actions: one by an accountant who submitted PPP loan applications to Kabbage and other lenders and the other by a former analyst in Kabbage’s collections department. Under the Act, a private party can file an action on behalf of the United States and receive a portion of any recovery. The qui tam cases are captioned U.S. ex rel. Berteletti v. Kabbage, Inc., et al., No. 1:20-cv-12114 (D. Mass.), and U.S. ex rel. Pietschner v. Kabbage, Inc., et al., No. 4:21-cv-110-SDJ (E.D. Tex.).

On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Justice Department in partnership with agencies across the federal government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international actors committing civil and criminal fraud and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the department’s response to the pandemic, please visit www.justice.gov/coronavirus.

Tips and complaints from all sources about potential fraud affecting COVID-19 government relief programs can be reported by visiting the webpage of the Civil Division’s Fraud Section, which can be found here. Anyone with information about allegations of attempted fraud involving COVID-19 can also report it by calling the Justice Department’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.

The government’s investigation of Kabbage was a coordinated effort among the Justice Department’s Civil Division, Commercial Litigation Branch, Fraud Section, the U.S. Attorney’s Office for the District of Massachusetts and the U.S. Attorney’s Office for the Eastern District of Texas, with valuable assistance provided by the FBI; Federal Reserve Board, Office of Inspector General; Federal Deposit Insurance Corporation, Office of Inspector General and SBA’s Office of General Counsel and Office of the Inspector General. The United States is represented in the bankruptcy proceeding by the Justice Department’s Civil Division, Commercial Litigation Branch, Corporate/ Financial Litigation Section

Fraud Section Trial Attorney Sarah E. Loucks; Assistant U.S. Attorneys Brian M. LaMacchia and Diane Seol for the District of Massachusetts and Assistant U.S. Attorney Betty Young for the Eastern District of Texas handled the matter. Corporate/ Financial Litigation Section Trial Attorneys Alastair Gesmundo, Stanton McManus and Shane Huang represent the United States in the bankruptcy proceeding.

The claims asserted in the settlements are allegations only, and there has been no determination of liability.

DMA Settlement EDTX Settlement

BOSTON – Bankrupt lender Kabbage, Inc. d/b/a KServicing, has agreed to resolve allegations that it knowingly submitted thousands of false claims for loan forgiveness, loan guarantees, and processing fees to the U.S. Small Business Administration (SBA) as part of the Paycheck Protection Program (PPP), in violation of the False Claims Act (FCA). 

Kabbage is now winding down its operations as KServicing Wind Down Corp. after filing for Chapter 11 bankruptcy in the District of Delaware in October 2022. The resolution consists of two separate settlements with KServicing Wind Down Corp., that together provide the United States with an allowed, unsubordinated, general unsecured bankruptcy claim for recovery of up to $120 million. The amount the government will recover on this claim will depend on the ultimate amount of assets available to the bankruptcy estate for distribution to unsecured creditors.

“When the nation was facing a pandemic-induced crisis, Kabbage received tens of millions of dollars through the PPP to help lend taxpayer funds to businesses in need. Instead of safeguarding those funds, Kabbage doled out inflated and fraudulent loans, in an effort to maximize its profits,” said Acting United States Attorney Joshua S. Levy for the District of Massachusetts. “Then, Kabbage sold its assets and left the remaining company so low on cash that it ultimately went bankrupt, leaving taxpayers exposed to the risk of loss caused by Kabbage’s conduct. This office will continue pursuing any company or individual, like Kabbage, that took advantage of the PPP.”

“The PPP was intended to provide critical assistance to businesses to alleviate the economic challenges imposed by the pandemic,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “The department is committed to holding accountable lenders that knowingly contributed to the misuse of such funds by approving PPP loans for ineligible borrowers or otherwise failing to comply with applicable program requirements.”

“Lenders who participated in PPP were trusted on their word that they would comply with PPP requirements and do their part in safeguarding taxpayer funds from fraudsters,” said United States Attorney Damien M. Diggs for the Eastern District of Texas. “PPP lenders who broke that trust should be held accountable, as they ignored signs of fraud, and chose profit at the expense of taxpayers and struggling small businesses badly hit by the COVID-19 pandemic. This settlement with Kabbage demonstrates our office’s firm commitment to pursuing all parties who played a part in committing PPP fraud.”  

“The PPP Program provided those small businesses affected by the COVID-19 pandemic with forgivable loans for eligible payroll and non-payroll costs,” said SBA General Counsel Therese R. Meers. “SBA has made it a top priority to pursue participants in the PPP Program who committed fraud or otherwise abused the program.”

“Today we are sending a clear message that compliance with program rules is non-negotiable, especially when supporting the nation’s small businesses during the pandemic,” said SBA OIG’s Assistant Inspector General for Investigations Shafee Carnegie. “This settlement highlights our dedication to preserving the integrity of the Paycheck Protection Program and holding entities accountable for misusing taxpayer-funded programs. I want to thank the U.S. Attorney’s Office and our law enforcement partners for their support and commitment to pursuing justice in this case.” 

“Today’s settlement resolves allegations that this financial services company sought to cash in on a public health crisis by inflating the loan applications of small business owners as well as intentionally profiting off of fraudulent loan applications,” said Jodi Cohen, Special Agent in Charge of the FBI Boston Division. “Anyone who tries to defraud the government and taxpayers like this will be held accountable by the FBI and our partners because every dollar diverted for fraudulent reasons is a dollar not available for legitimate applicants in need.”

The first settlement, which provides the United States with a claim for recovery of up to $63.2 million, resolves allegations that Kabbage systemically inflated tens of thousands of PPP loans, causing the SBA to guarantee and forgive loans in amounts that exceeded what borrowers were eligible to receive under program rules. As part of the settlement, KServicing Wind Down Corp. admitted and acknowledged that Kabbage double-counted state and local taxes paid by employees in the calculation of gross wages; failed to exclude annual compensation in excess of $100,000 per employee; and improperly calculated payments made by employers for leave and severance.  The United States alleged that Kabbage was aware of its errors as early as April 2020, yet Kabbage failed to remedy all incorrect loans that had already been disbursed and continued to approve additional loans with miscalculations. The resolution also provides for Kabbage to receive a $12.5 million credit for payments it previously returned to the SBA during the Department’s investigation of this alleged misconduct.

The second settlement, which provides the United States with a claim for recovery of up to $56.7 million, resolves allegations that Kabbage knowingly failed to implement appropriate fraud controls to comply with its PPP and BSA/AML obligations. In particular, the United States allege that Kabbage removed underwriting steps from its pre-PPP procedures in order to process a greater number of PPP loan applications and maximize processing fees. The government further alleged that Kabbage knowingly set substandard fraud check thresholds despite knowledge of SBA’s concerns that fraudulent borrowers might seek to benefit from the PPP; relied on automated tools that were inadequate in identifying fraud; devoted insufficient personnel to conduct fraud reviews; discouraged its fraud reviewers from requesting information from borrowers to substantiate their loan requests; and submitted to the SBA thousands of PPP loan applications that were fraudulent or highly suspicious for fraud. 

The civil settlement includes the resolution of claims brought under the qui tam or whistleblower provisions of the False Claims Act in two actions, one by an accountant who submitted PPP loan applications to Kabbage and other lenders; and the other by a former legal analyst in Kabbage’s collections department. Under those provisions, a private party can file an action on behalf of the United States and receive a portion of any recovery. The qui tam cases are captioned United States ex rel. Berteletti v. Kabbage, Inc., et al., No. 1:20-cv-12114-GAO (D. Mass.) and United States ex rel. Pietschner v. Kabbage, Inc., et al., No. 4:21-cv-110-SDJ (E.D. Tex.).  

Congress created the PPP in March 2020, as part of the Coronavirus Aid, Relief and Economic Security (CARES) Act, to provide federally guaranteed loans to small businesses suffering economic hardship due to the COVID-19 pandemic. The SBA administers the PPP. The CARES Act authorized private lenders to approve PPP loans for eligible borrowers who could later seek forgiveness of the loans, so long as they used loan funds on employee payroll and other eligible expenses. Among other things, the Cares Act/SBA required participating PPP lenders to confirm borrowers’ average monthly payroll costs by reviewing the payroll documentation submitted with the borrower’s application.  The Cares Act/SBA also required lenders to follow applicable Bank Secrecy Act/Anti-Money Laundering (BSA/AML) requirements. So long as the lender adhered to PPP requirements, the SBA guaranteed any unforgiven or defaulted PPP loans. The SBA paid a fixed fee calculated as a percentage of the loan to lenders who originated PPP loans.  

On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The task force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the Department’s response to the pandemic, please visit https://www.justice.gov/coronavirus. 

Tips and complaints from all sources about potential fraud affecting COVID-19 government relief programs can be reported by visiting the webpage of the Civil Division’s Fraud Section, which can be found here. Anyone with information about allegations of attempted fraud involving COVID-19 can also report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form. 

Acting U.S. Attorney Levy; Principal Deputy AAG Boynton; U.S. Attorney Featherston; GC Meers; Assistant IG Carnegie and FBI SAC Cohen made the announcement today. Valuable assistance was provided by the Federal Reserve Board, Office of Inspector General; the Federal Deposit Insurance Corporation, Office of Inspector General; and SBA’s Office of General Counsel and Office of the Inspector General. This matter was handled by Assistant U.S. Attorney Brian M. LaMacchia, Chief of the Affirmative Civil Enforcement Unit and Assistant U.S. Attorney Diane Seol for the U.S. Attorney’s Office for the District of Massachusetts; Fraud Section Trial Attorney Sarah E. Loucks; and Assistant U.S. Attorney Betty Young for the U.S. Attorney’s Office for the Eastern District of Texas. Corporate/ Financial Litigation Section Trial Attorneys Alastair Gesmundo, Stanton McManus and Shane Huang represented the United States in the bankruptcy proceeding.

BOSTON – A Boston man was arrested today for allegedly aiming a high-powered laser pointer at a Coast Guard helicopter that was attempting to land at Massachusetts General Hospital during a training mission.  

Philip Gagnon, 59, was arrested and indicted on one count of aiming a laser pointer at a Coast Guard helicopter. He was released on conditions following an initial appearance in federal court in Boston earlier today.

 According to the indictment, on the evening of Sept. 21, 2023, Coast Guard helicopter 6039 was attempting to land at the Massachusetts General Hospital (MGH) as part of a routine training mission with four crew members on board. It is alleged that, as the helicopter descended towards MGH, Gagnon knowingly aimed a high-powered green laser beam at the helicopter from inside his apartment. The laser beam allegedly illuminated the side of the helicopter and shone through the helicopter’s windows. In response, the pilot aborted the MGH landing and flew north for several miles, eventually landing at another Boston area hospital.

The charge of aiming a laser pointer at an aircraft provides for a sentence of up to five years in prison, three years of supervised release and a $250,000 fine. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.

Acting United States Attorney Joshua S. Levy and Steven Firth, Acting Special Agent in Charge of the United States Coast Guard Investigative Service Northeast Field Office made the announcement today. Assistance U.S. Attorney Jason A. Casey of the National Security Unit is prosecuting the case.

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

BOSTON – An Oklahoma man has been indicted by a federal grand jury in Boston for allegedly throwing a pipe bomb at The Satanic Temple (TST) in Salem, Mass. on April 8, 2024. 

Sean Patrick Palmer, 49, of Perkins, Okla., was indicted on one count of using fire and an explosive to damage and attempt to damage a building used in interstate or foreign commerce. Palmer was initially charged by criminal complaint and arrested on April 17, 2024 in Perkins, Okla. He subsequently appeared in federal court in the Western District of Oklahoma, where the Court ordered Palmer detained and transferred to the District of Massachusetts. He will appear in federal court in Boston at a later date.

TST is a non-theistic religious organization headquartered in Salem, Mass. According to the charging documents, at approximately 4:14 a.m. on April 8, 2024, surveillance cameras captured a man, subsequently identified as Palmer, walking towards TST wearing a black face covering, a tan-colored tactical vest and gloves. It is alleged that as Palmer approached TST, he ignited a pipe bomb – a type of improvised explosive device or “IED” – threw it at TST’s main entrance and ran away. Seconds later, the IED partially detonated causing minor fire and related damage to TST’s exterior. 

According to the charging documents, the pipe bomb was constructed from a section of plastic pipe covered with metal nails attached to the pipe with tape. The inside of the pipe was filled with a powder-like substance, preliminarily identified as smokeless gunpowder. DNA from a Caucasian male was found on the outside of the IED.

It is alleged that a six-page handwritten note was found in a flower bed adjacent to TST, near the area where Palmer allegedly threw the IED. Among other things, the letter stated: 

DEAR SATANIST
ELOHIM SEND ME 7 MONTHS AGO TO GIVE YOU
PEACEFUL MESSAGE TO HOPE YOU REPENT. YOU SAY
NO, ELOHIM NOW SEND ME TO SMITE SATAN AND I
HAPPY TO OBEY. AND ELOHIM WANT ME TO CONTACT
YOU TO TELL YOU REPENT. TURN FROM SIN. ELOHIM
NO LIKE THIS PLACE AND PLAN TO DESTROY IT. MAYBE
SALEM TOO? ELOHIM SEND ME TO FIGHT CRYBABY
SATAN, BUT WANT ME TO MAKE HARD EFFORT SO NO
ONE DIES. I OBEY.

The charge of using fire or an explosive to cause damage to a building used in interstate or foreign commerce provides for a sentence of at least five years and up to 20 years in prison, three years of supervised release and a fine of up to $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.

Acting United States Attorney Joshua S. Levy; Jodi Cohen, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division; and Lucas J. Miller, Chief of the Salem Police Department made the announcement today. Valuable assistance was provided by the Bureau of Alcohol, Tobacco, Firearms & Explosives, Boston Field Division; Massachusetts State Police; Federal Bureau of Investigation’s Oklahoma City Field Office; Payne County Sherriff’s Office; Oklahoma Highway Patrol; the United States Attorney’s Office for the Western District of Oklahoma; and Stillwater (Okla.) Police Department. Assistant U.S. Attorney Jason A. Casey of the National Security Unit is prosecuting the case.

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

BOSTON – A Quincy man was charged today in federal court in Boston for allegedly distributing fentanyl to obtain four firearms.

Caesar Ross, 40, was charged by Information with one count of firearms trafficking and one count of distribution and possession with intent to distribute fentanyl. Ross was previously arrested on related charges in September 2023 and has remained in federal custody since.
 
According to court documents, in 2022, an investigation began into Ross and others for allegedly engaging in firearms trafficking and other violations of federal firearms and drug laws. It is alleged that in September 2023, Ross met with a cooperating witness in Quincy to whom he provided 60 grams of fentanyl in exchange for four firearms, each of which had no visible serial number: a Beretta 92F, 9 parabellum, pistol; a Beretta 96 Brigadier elite IA, .40S&W pistol; a Glock 22, .40S&W pistol; and a FN Herstal 5.7, 5.7x28 pistol. Ross was immediately taken into custody.
 
Ross is prohibited from possessing a firearm or ammunition due to a prior felony conviction.
 
The charge of firearms trafficking provides for a sentence of up to 15 years in prison, three years of supervised release and a fine of up to $250,000. The charge of distribution and possession with intent to distribute controlled substances provides for a sentence of up to 20 years in prison, at least three years and up to a lifetime of supervised release and a fine of up to $1 million. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.
 
Acting United States Attorney Joshua S. Levy and James M. Ferguson, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives, Boston Feld Division made the announcement today. Valuable assistance was provided by the Drug Enforcement Administration, New England Division and the Quincy Police Department. 
 
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
 
The details contained in the charging documents are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.

BOSTON – A Connecticut doctor was sentenced yesterday in federal court in Boston for receiving kickbacks in exchange for ordering medically unnecessary brain scans. 

Dr. Donald Salzberg, 69 of Avon, Conn., was sentenced by U.S. Senior District Court Judge Douglas P. Woodlock to one year and one day in prison, to be followed by one year of supervised release. Salzberg was also ordered to pay $1.34 million in restitution to Medicare, Medicaid and private insurers. In July 2022, Salzberg pleaded guilty to one count of conspiracy to commit health care fraud and one count of conspiracy to receive kickbacks. 

Salzberg, a licensed medical doctor in the State of Connecticut for nearly 40  years, owned and operated Donald J. Salzberg, M.D., an ophthalmology practice in West Hartford, Conn. From 2014 through 2019, Salzberg conspired with a principal for a medical diagnostics company that performed transcranial doppler (TCD) scans – brain scans that measure blood flow in parts of the brain – to order hundreds of medically unnecessary TCD scans in exchange for kickbacks. Salzberg and his co-conspirator used false patient diagnoses to order the unnecessary brain scans, for which the co-conspirator would submit claims to Medicare and other insurance companies on behalf of the medical diagnostic company for payment. In exchange, Salzberg was paid cash kickbacks of $100 to $125 per test that he ordered, as well as sham administrative services fees. The scheme resulted in fraudulent bills of over $3 million to Medicare and private insurance companies.  

Acting United States Attorney Joshua S. Levy; Roberto Coviello, Special Agent in Charge of the U.S. Department of Health and Human Services, Office of Inspector General; Jodi Cohen, Special Agent in Charge of the FBI Boston Division; Harry Chavis, Jr., Special Agent in Charge of the Internal Revenue Service’s Criminal Investigation Division, Boston Field Office; Carol S. Hamilton, Regional Director of the U.S. Department of Labor, Employee Benefits Security Administration, Boston Regional Office; Ketty Larco Ward, Inspector in Charge of the U.S. Postal Inspection Service, Boston Division; and Christopher Algieri, Special Agent in Charge of the U.S. Department of Veterans Affairs Office of Inspector General, Northeast Field Office made the announcement. Assistant U.S. Attorney Howard Locker of the Health Care Fraud Unit prosecuted the case.

BOSTON – A Colombian businessman has been sentenced for his participation in a money laundering conspiracy. 

Willian Acosta-Calderin, 53, was sentenced on May 8, 2024 by U.S. District Court Judge Richard G. Stearns to 40 months in prison. The defendant will be subject to deportation proceedings upon completion of the imposed sentence. In February 2024, Acosta-Calderin pleaded guilty to money laundering conspiracy and conducting substantive money laundering transactions.

Beginning in 2016 and continuing until 2022, an investigation into a money laundering organization based primarily in Barranquilla, Colombia was conducted. An undercover agent infiltrated the organization by portraying himself as an international money launderer able to pick up bulk cash throughout the world, launder the proceeds through his United States-based accounts and send the money to Colombia through the Black Market Peso Exchange – a common method of trade-based money laundering used to repatriate the proceeds of drug trafficking to Colombia.

Acosta-Calderin was a business owner in Colombia who used his business bank account to receive drug proceeds in Colombia. During the course of the conspiracy, Acosta-Calderin received over $1.5 million in wire transfers to his account. After receipt, Acosta-Calderin withdrew the funds from his account to pay out the money in Colombia to the owners. Acosta-Calderin also created fake invoices to mask the true source of the funds and evade anti-money laundering protocols. Acosta-Calderin gave the fake invoices to the undercover agent to support the transactions. During text communications with the undercover agent, Acosta-Calderin said that he could receive up to $400,000 at a time without having to worry about regulators.

Acting United States Attorney Joshua S. Levy and Stephen Belleau, Acting Special Agent in Charge of the Drug Enforcement Administration, New England Field Division made the announcement today. Assistant U.S. Attorneys Jared C. Dolan and Alathea E. Porter prosecuted the case.

This effort is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.

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

BOSTON – A Springfield man was sentenced yesterday for possessing cocaine intended for distribution while on supervised release for a prior heroin distribution conviction.

Hector Quinones, 45, was sentenced by U.S. District Court Judge Mark G. Mastroianni to 42 months in prison, followed by three years of supervised release. Quinones was indicted by a federal grand jury in April 2022. 

At the time, Quinones was on supervised release for a 2018 conviction for conspiracy to distribute heroin in the District of Connecticut. Quinones was also convicted for possession with intent to distribute in the  Rhode Island as well as a 2016 conviction for delivering heroin in Rhode Island. Quinones was sentenced to two years to be served consecutively for the supervised release violation.

Acting United States Attorney Joshua S. Levy; Stephen Belleau, Acting Special Agent in Charge of the Drug Enforcement Administration in New England; and Lawrence Akers, Superintendent of the Springfield Police Department made the announcement. Assistant U.S. Attorney Todd E. Newhouse of the Springfield Branch Office prosecuted the case. 

BOSTON – A Brooklyn, N.Y. man was arrested today in connection with a scheme to steal over $3 million in COVID relief tax credits using the stolen identity of a corporate executive in New Jersey.

Isaiah Aaron Tenryk, 28, was charged with bank fraud and aggravated identity theft. Following an initial appearance in federal court in Boston earlier today, Tenryk was detained pending a hearing scheduled for May 16, 2024.

According to the charging documents, Tenryk used a fraudulent driver’s license as well as the name and Social Security number of a corporate executive in New Jersey to open an account at a bank in Boston. He then allegedly deposited an approximately $3 million Employee Retention Tax Credit check payable to the executive’s company into the fraudulent account.  

The charge of bank fraud provides for a sentence of up to 30 years in prison, five years of supervised release and a fine of up to $1 million. The charge of aggravated identity theft provides for a mandatory two-years in prison in addition to any sentence imposed for bank fraud, one year of supervised release and a fine of up to $250,000.  Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.

Acting United States Attorney Joshua S. Levy; Harry Chavis, Jr., Special Agent in Charge of the Internal Revenue Service’s Criminal Investigation Division, Boston Field Office; and Ketty Larco Ward, Inspector in Charge of the U.S. Postal Inspection Service, Boston Division made the announcement today. Assistant U.S. Attorney Kriss Basil of the Securities, Financial & Cyber Fraud Unit is prosecuting the case.

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

BOSTON – Three men have been arrested and charged in connection with the February 2024 armed robbery of a cash courier in Swansea, Mass. The defendants are charged with robbing courier at gunpoint; zip-tying and pepper spraying victim; then burning the stolen getaway vehicle.

Steven Madison, 38, of Bridgewater; Christopher White, 37, of Raynham; and Quentin McDonald, 35, of Brockton, were each charged with one count of robbery interfering with interstate commerce, commonly referred to as Hobbs Act robbery; one count of arson of property used in or affecting interstate commerce; and one count of conspiracy. In addition, Madison and White were also charged with one count of being a felon in possession of a firearm.

The defendants were arrested yesterday and were detained pending a hearing scheduled for May 13, 2024.

According to the charging documents, in the early morning hours of Feb. 19, 2024, two men were seen on video stealing a rental van from a U-Haul Moving & Storage location in Abington, Mass. Later in the day an armed courier who worked for a company that provides secure cash transportation services for licensed cannabis companies arrived at a bank in Swansea, Mass. carrying approximately $436,200 in cash for deposit. 

It is alleged that the U-Haul van pulled up alongside the courier and a masked man wearing a camouflaged vest exited the van and pointed a firearm at the courier before zip-tying the courier’s hands behind his back. It is further alleged that a second masked man exited the U-Haul van and quickly loaded the cash into the vehicle. After trying to disarm the courier, the two men allegedly forced the courier into the back seat of his own car, pepper sprayed him and closed the door. 

Surveillance footage showed that the courier managed to remove one hand from the zip-tie restraints while inside his vehicle, draw his firearm and fire four rounds in the direction of the U-Haul van as it fled the scene before calling 911.  

After leaving the bank, the men allegedly drove the van to a nearby location in Swansea where they met with a third man driving an SUV. It is alleged that the men then transferred the stolen cash into the getaway SUV, burned the U-Haul van and fled.

A subsequent investigation allegedly identified Madison, White and McDonald as the individuals involved in both the robbery and arson. It is alleged that during a search of Madison’s residence in Bridgewater yesterday morning, an estimated $5,000 or more in cash was located in various amounts throughout the house, as well as a $47,000 Rolex watch, a sweatshirt similar to that worn by one of the robbers, a firearm, and ammunition. Following a search of White’s residence in Raynham, zip-ties, a black mask similar to that worn by one of the robbers, a firearm and ammunition were recovered. 

According to the charging documents, both Madison and McDonald have prior state convictions for masked armed robbery, assault and battery by means of a dangerous weapon, and unlawfully possessing a firearm. White has prior state convictions for larceny and receiving stolen property. 

The charge of Hobbs Act robbery provides for a sentence of up to 20 years in prison, three years of supervised release and a fine of up to $250,000. The charge of arson of property used in or affecting interstate commerce provides for a mandatory minimum sentence of five years and up with 20 years in prison, three years of supervised release and a fine of up to $250,000. The charge of conspiracy provides for a sentence of up to five years in prison, three years of supervised release and a fine of $250,000. The charge of being a felon in possession of a firearm provides for a sentence of up to 15 years in prison, three years of supervised release and a fine of $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.

Acting United States Attorney Joshua S. Levy; James M. Ferguson, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms & Explosives, Boston Field Division; John E. Mawn, Jr., Interim Colonel of the Massachusetts State Police; and Swansea Police Chief Mark Foley made the announcement today. Valuable assistance was provided by the Bristol County District Attorney’s Office and the Bridgewater, Brockton and Raynham Police Departments. Assistant U.S. Attorney John J. Reynolds III of the Major Crimes Unit is prosecuting the case.

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

BOSTON – A Rhode Island man pleaded guilty yesterday in federal court in Boston to his role in a fentanyl trafficking organization involved in the manufacturing and distribution of fentanyl pills that spanned across Massachusetts, Rhode Island, New York, Texas and North and South Carolina. 

Erik Ventura, 35, pleaded guilty to a superseding indictment charging him with conspiracy to distribute and possess with intent to distribute 400 grams or more of fentanyl. U.S. District Court Judge Leo T. Sorokin scheduled sentencing for Aug. 1, 2024. Ventura was arrested and charged in February 2022 and has remained in custody since.

In September 2019, an investigation began into a drug trafficking organization (DTO) based in Providence, Rhode Island and known to manufacture large quantities of fentanyl pills designed to appear like pharmaceutical grade oxycodone/Percocet pills and distribute them and other controlled substances throughout the United States. The investigation revealed that Ventura was a trusted member of the DTO and maintained one of the drug stash locations. Ventura transported cash and kilogram quantities of drugs to and from New York on behalf of the DTO, distributed thousands of fentanyl pills to wholesale customers in Massachusetts and was paid by the DTO for his work as a drug distributor. In February 2022, two industrial grade pill presses, approximately 20 kilograms of powdered fentanyl, pressed fentanyl pills and other items, including kilograms of pill binder used in the large-scale manufacturing of clandestinely pressed fentanyl pills, were seized. 

The charge of conspiracy to distribute and possess with intent to distribute 400 grams or more of fentanyl provides for a mandatory minimum sentence of 10 years and up to life in prison, at least five years and up to a lifetime of supervised release and a fine of up to $10 million. Sentences are imposed by a federal district court judge based on the U.S. Sentencing Guidelines and other statutory factors.  

Acting United States Attorney Joshua S. Levy; Stephen Belleau, Acting Special Agent in Charge of the Drug Enforcement Administration, New England Field Division; and Harry T. Chavis, Jr., Special Agent in Charge of the Internal Revenue Service’s Criminal Investigation in Boston made the announcement today. Special assistance in the investigation was provided by the United States Attorney’s Office for the District of Rhode Island; the Federal Bureau of Investigation, Providence Resident Agency; the Drug Enforcement Administration, Providence Field Office; Rhode Island State Police; and the Cranston, Warwick and West Warwick Police Departments. Assistant U.S. Attorneys Lindsey E. Weinstein and Kunal Pasricha of the Narcotics & Money Laundering Unit are prosecuting the case.

This operation is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) Strike Force Initiative, which provides for the establishment of permanent multi-agency task force teams that work side-by-side in the same location. This co-located model enables agents from different agencies to collaborate on intelligence-driven, multi-jurisdictional operations to disrupt and dismantle the most significant drug traffickers, money launderers, gangs, and transnational criminal organizations. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.

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

BOSTON – A Boston man was sentenced today in connection with his role in Cameron Street, a violent Boston gang.

Paulo Santos, a/k/a “Bucky,” 35, was sentenced by U.S. Senior District Court Judge William G. Young to 10 years in prison and four years of supervised release. In January 2024, Santos pleaded guilty to conspiracy to participate in a racketeering enterprise (commonly referred to as RICO conspiracy), possession with intent to distribute 500 grams or more of cocaine, and being a felon in possession of a firearm and ammunition. 

According to court documents, Cameron Street is a violent gang based largely in the Dorchester section of Boston that uses violence and threats of violence to preserve, protect and expand its territory, promote a climate of fear and enhance its reputation. Cameron Street members possess, carry and use firearms to murder and assault gang rivals as well as protect narcotics and drug proceeds.

As part of his role in the gang, Santos and another Cameron Street member assaulted and robbed a rival gang member outside the Dorchester District Court on Dec. 6, 2019.  In a video posted on Snapchat later that day, Santos identified the victim as a rival gang member, chased him, and shouted to another Cameron Street member, “Get him!”  On the video, the victim shielded his face while he was punched and kicked repeatedly.  Santos and the other Cameron Street member then robbed the victim of his sneakers and took them as a trophy.  The video included captions that praised Cameron Street and denigrated the victim’s gang.

At the time of Santos’ arrest, approximately 900 grams of cocaine, 500 grams of marijuana, a loaded Smith and Wesson .38 caliber revolver and $15,597 in cash were seized from his stash house in Hingham.

This is Santos’ third firearm conviction. For his last unlawful possession of a firearm conviction, Santos served a four-to-five-year state prison sentence.

This operation is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) Strike Force Initiative, which provides for the establishment of permanent multi-agency task force teams that work side-by-side in the same location. This co-located model enables agents from different agencies to collaborate on intelligence-driven, multi-jurisdictional operations to disrupt and dismantle the most significant drug traffickers, money launderers, gangs, and transnational criminal organizations. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.

Acting United States Attorney Joshua S. Levy; James M. Ferguson, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms & Explosives, Boston Field Division; Stephen Belleau, Acting Special Agent in Charge of the Drug Enforcement Administration, New England Field Division; and Boston Police Commissioner Michael Cox made the announcement today. Valuable assistance was provided by the Massachusetts State Police; Suffolk County Sheriff’s Office; Suffolk, Plymouth, Norfolk and Bristol County District Attorney’s Offices; and the Canton, Quincy, Randolph, Somerville, Brockton, Malden, Stoughton, Rehoboth and Pawtucket (R.I.) Police Departments. Assistant U.S. Attorneys Christopher Pohl and Charles Dell’Anno of the Criminal Division prosecuted the case.

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

BOSTON – The co-owner of a Mattapan plumbing and heating supply company pleaded guilty today to filing false tax returns in connection with a scheme to use millions of dollars of unreported business receipts to buy gold bars.

Claudio Poles, 78, of Dorchester, pleaded guilty to four counts of filing false tax returns. U.S. District Court Judge Indira Talwani scheduled sentencing for Aug. 9, 2024. Poles was charged on April 30, 2024.

Poles failed to accurately disclose the company’s gross business receipts to its tax preparer, who prepared the company’s tax returns using the false information Poles provided. Poles then used some of the unreported gross receipts to purchase more than $10 million of gold and silver bars for himself from bullion dealers. To conceal the nature of the purchases he made from the company’s bank accounts, Poles described the purchases, in the memo section of the checks, as being for boilers, materials, and plumbing and heating supplies.   

Between 2019 and 2022, Poles falsely and fraudulently reported losses on his individual tax returns and omitted personal income that he received from the business by purchasing the gold and silver bars.

The charge of filing false tax returns provides for a sentence of up to three years in prison, up to one year of supervised release and a fine of $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.  

Acting United States Attorney Joshua S. Levy and Harry Chavis, Jr., Special Agent in Charge of the Internal Revenue Service’s Criminal Investigations in Boston made the announcement. Assistant U.S. Attorney Mackenzie A. Queenin of the Securities, Financial & Cyber Fraud Unit is prosecuting the case.

BOSTON – A Plymouth woman has been arrested and charged with wire fraud for submitting fraudulent Paycheck Protection Program (PPP) loan applications on behalf of herself and her father.  

Katherine Reynolds, 65, was charged with two counts of wire fraud. Reynolds was released on conditions following an initial appearance in federal court in Boston earlier today.

According to the charging documents, Reynolds submitted two fraudulent loan applications seeking loans for herself and her father pursuant to the PPP. It is alleged that the loan applications falsely claimed that Reynolds and her then 86-year-old father earned over $100,000 per year providing massage services out of their home. It is further alleged that the loan applications also included fraudulent tax forms that were not filed with the IRS.

The charge of wire fraud provides for a sentence of up to 20 years in prison, three years of supervised release, and a fine of up to $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.  

Acting United States Attorney Joshua S. Levy and Michael J. Krol, Special Agent in Charge of Homeland Security Investigations in New England made the announcement today. The Massachusetts Office of the Inspector General provided valuable assistance in the investigation. Assistant U.S. Attorney Brian Sullivan of the Major Crimes Unit is prosecuting the case.  

On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the department’s response to the pandemic, please visit https://www.justice.gov/coronavirus and https://www.justice.gov/coronavirus/combatingfraud. 
    
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline via the NCDF Web Complaint Form.

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

BOSTON – A Mexican man was found guilty yesterday by a federal jury in Boston for his role in a drug trafficking conspiracy from which 20 kilograms of cocaine was seized during a traffic stop in Littleton in March 2023.

Erasmo Lira-Mendez, 39, was convicted of conspiracy to possess with intent to distribute cocaine and possession with intent to distribute cocaine (both offenses involving five kilograms or more). U.S. District Court Judge William G. Young scheduled sentencing for Sept. 4, 2024. Lira-Mendez was indicted by a federal grand jury in May 2023 along with his co-defendant, Cornelio Hernandez.

“This case is a stark reminder of the profound dangers posed by illicit narcotics circulating in the shadows of our communities. While driving without a license in a small, quiet Massachusetts suburb, Mr. Lira-Mendez was found in possession of 20 kilograms of cocaine intended for distribution, hidden inside a duffle bag,” said Acting United States Attorney Joshua S. Levy. “This conviction reaffirms our office's unwavering commitment to hold accountable those who seek to profit from the devastation wrought by drug trafficking. We will continue to work tirelessly with our federal, state and local partners to ensure the safety and well-being of Massachusetts residents.”

“DEA is committed to investigating drug traffickers who are distributing cocaine to the citizens of Massachusetts,” said Stephen P. Belleau, Acting Special Agent in Charge of the Drug Enforcement Administration, New England Field Division. “Illegal drug distribution ravages the very foundations of our families and communities so every time we take these poisons off the streets, lives are saved. This investigation demonstrates the strength of collaborative local, state and federal law enforcement efforts and our strong partnership with the U.S. Attorney’s Office.”

On March 29, 2023, in Littleton, Lira-Mendez was observed driving a car with a temporary Texas license plate that was drifting across a double yellow line. During an ensuing traffic stop, 20 kilograms of cocaine was found inside a duffle bag on the back seat of the vehicle. A subsequent investigation revealed that a private tracking device had been installed in the vehicle by the Mexican drug cartel, Cártel del Noreste. GPS data obtained from the device revealed that the two men had traveled at least 32 hours from Texas to Massachusetts – with the cocaine concealed inside the vehicle’s doors – to distribute the narcotics in Lawrence.  

Hernandez pleaded guilty on April 18, 2024 and is scheduled to be sentenced on July 23, 2024.

Both charges provide for a sentence of at least 10 years and up to life in prison, at least five years of supervised release and a fine of up to $10 million. The defendant will be subject to deportation proceedings upon completion of any sentence imposed. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes that govern the determination of a sentence in a criminal case.

Acting U.S. Attorney Levy and DEA Acting SAC Belleau made the announcement today. Valuable assistance was provided by the Littleton Police Department.  Assistant U.S. Attorneys Samuel R. Feldman and K. Nathaniel Yeager of the Narcotics & Money Laundering Unit are prosecuting the case.   

BOSTON – A Correctional Counselor for the Federal Bureau of Prisons (BOP) assigned to Federal Medical Center Devens (FMC Devens) in Massachusetts was sentenced today for accepting payments from an inmate under his care, in violation of his duties as a public official. The defendant was also sentenced for lying to a bank about a loan he received from the inmate’s business associate and forging the associate’s signature to support this false claim. 

William S. Tidwell, 50, of Keene, N.H., was sentenced by U.S. Senior District Court Judge William G. Young to two years in prison, to be followed by three years of supervised release. Tidwell was also ordered to forfeit $90,058 and pay a  $10,000 fine. In September 2023, Tidwell pleaded guilty to receiving payments as a public official in violation of his official duties, making false statements to a bank, and committing identity theft to support the false statements. 

“William Tidwell ignored federal ethics and conflicts of interest laws, and his greed led him to abuse his position of authority,” said Acting U.S. Attorney Joshua S. Levy. “His corruption goes against BOP’s core mission of assisting offenders to become law-abiding citizens. Tidwell’s repeated violations showed his complete disregard for his profession, the dedicated professionals at BOP, and those he was entrusted to protect and guide.”

“William Tidwell is a longtime public servant, who fully embraced and handsomely benefitted from this illicit agreement with an inmate under his care,” said Jodi Cohen, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division. “Mr. Tidwell abused his authority and abandoned his duty, and in the end, this corruption cost him, landing him a stay in federal prison.”

“Tidwell developed a personal relationship with an inmate, accepted payments from the inmate, and lied to a bank about a loan he received from the inmate’s business associate. Tidwell’s conduct was a far cry from the integrity that we expect from federal Correctional Officers. Today’s sentencing sends a clear message that this kind of conduct will not be tolerated,” said Ryan T. Geach, Special Agent in Charge of the Department of Justice Office of the Inspector General Northeast Region.

Tidwell had been employed by the BOP since 2000 and had been working at FMC Devens since 2008. He was removed from federal service in October 2023 after pleading guilty in this case.  

Given BOP’s mission to provide for the care and custody of federal inmates, the BOP has numerous rules and regulations that govern the duties and conduct of its employees.   Among other things, employees may not receive any payments, gifts, or personal favors from inmates, give preferential treatment to any inmate in the performance of their duties, or engage in outside employment that conflicts with their duties.  

In approximately 2014, Tidwell began working as a Correctional Counselor at FMC Devens, a position that give him significant levels of contact with, and authority over, inmates. Among other things, Tidwell was responsible for monitoring inmate work assignments, assigning inmate housing assignments, arranging inmate legal calls, and coordinating prison visits for inmates. 

One of the inmates for whom Tidwell served as a Correctional Counselor at FMC Devens was Individual 1 – an ultra-high net worth individual who had been convicted on federal charges in another jurisdiction. Starting in approximately 2018, Individual 1 caused a stream of benefits to be paid to Tidwell.  

In November 2018, while Tidwell was supervising Individual 1, the inmate directed a close friend and business associate (Individual 2) to wire $25,000 to Tidwell’s close family member. Thereafter, starting in 2019, Tidwell and Individual 1 entered into an agreement pursuant to which Tidwell received thousands of dollars as part of a property management agreement.  Individual 2, the inmate’s associate, made the payments to Tidwell. In total, between 2019 and 2020, Tidwell received over $65,000 in benefits as part of this property management agreement with Individuals 1 and 2. Tidwell’s receipt of payments and his employment relationship with an inmate or a close associate of an inmate violated multiple official duties as a BOP employee.

Separately, in 2020, Tidwell sought to purchase a home. In connection with seeking financing for the home purchase, Tidwell received a $50,000 loan from Individual 2. Tidwell made multiple false statements to the bank in connection with his loan application, falsely telling the bank that the $50,000 was a gift from his employer. When the bank asked for written proof of this purported gift, Tidwell forged documents to support his earlier claim, including by unlawfully using Individual 2’s name and address, and forging Individual 2’s signature. 

Acting U.S. Attorney Levy; FBI SAC Cohen; and OIG SAC Geach made the announcement today. Valuable assistance in the investigation was provided by the Federal Bureau of Prisons. Assistant U.S. Attorneys Kunal Pasricha and Mark Grady of the Criminal Division prosecuted the case.

BOSTON – A Dartmouth woman has been indicted by a federal grand jury in Boston for allegedly embezzling hundreds of thousands of dollars from two different employers.  

Jasmyne Botelho, 41, was charged with two counts of wire fraud. Botelho was previously arrested and charged by criminal complaint in December 2023. 

According to the charging documents, between September 2017 and April 2020, Botelho stole at least $280,000 from her employer. Specifically, it is alleged that Botelho directed payments purportedly intended for the company’s vendors to bank accounts she controlled and used company funds to make payments on personal credit cards and an auto loan. To hide her scheme, Botelho allegedly falsified her employer’s books and records to make it appear as though the payments had in fact been sent to legitimate vendors rather than to Botelho.  

It is further alleged that, between May 2022 and December 2023, Botelho improperly inflated her payroll from another employer by more than $160,000. Botelho allegedly concealed her scheme by manipulating her employer’s payroll and accounting software to hide her inflated payroll as well as phony “reimbursements” she paid herself.  

The charge of wire fraud provides a sentence of up to 20 years in prison, three years of supervised release and a fine of up to $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.

Acting United States Attorney Joshua S. Levy and Jodi Cohen, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division made the announcement today. Assistant U.S. Attorney Kristen A. Kearney of the Securities, Financial & Cyber Fraud Unit is prosecuting the case.

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 the court of law.  

BOSTON – The United States has filed a complaint under the False Claims Act (FCA) against Study Across the Pond, LLC (SATP) and its principal, John Borhaug. 

According to court documents SATP, which was organized under the laws of Massachusetts, and Borhaug, convinced foreign schools to enter into arrangements that violated the federal ban on incentive-based compensation for student recruitment. It is alleged that SATP and Borhaug paid their employees to recruit American students to attend foreign schools in the United Kingdom (UK), and then required the schools to pay a commission when recruited students enrolled in the UK schools. The complaint, filed in the District of Massachusetts, alleges that based on this conduct, SATP and Borhaug knowingly caused UK schools to submit false claims to the U.S. Department of Education. 

“Today’s complaint alleges that Study Across the Pond and John Borhaug used illegal incentives to influence American students to attend foreign schools,” said Acting United States Attorney Joshua S. Levy for the District of Massachusetts. “With today’s action, my office demonstrates its commitment to upholding the ban on incentive compensation, rooting out undue financial influence in student recruitment, and protecting the integrity of federal student financial aid programs.” 

“Third-party recruiters who demand illegal financial incentives for recruiting students to institutions of higher learning, no matter where those institutions are located, undermine the integrity of our system of higher education,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “Prospective students are entitled to make their enrollment decisions without the improper influence of recruiters who pursue their own financial gain at the expense of students’ best interests.”

“The Office of Inspector General has a unique and special law enforcement mission – to protect public education funds for eligible students. Today’s announcement is an example of our commitment to this mission,” said Terry Harris, Special Agent in Charge of the U S. Department of Education Office of Inspector General’s Eastern Regional Office. “The OIG will continue to work with our law enforcement partners and pursue allegations of violations of the False Claims Act in carrying out our important public service.” 

Title IV of the Higher Education Act prohibits any institution of higher education that receives federal student aid from compensating student recruiters with a commission, bonus, or other incentive payment based directly or indirectly on the recruiters’ success in securing student enrollments. This is referred to as the Incentive Compensation Ban. The Incentive Compensation Ban protects students against aggressive recruitment practices that serve the financial interest of the recruiter rather than the educational needs of the student.

The complaint alleges that SATP knowingly collaborated with at least 28 UK schools to violate the Incentive Compensation Ban while the schools were participating in federal student aid programs. More specifically, since at least 2015, SATP, under the direction of Borhaug, has allegedly recruited American students to attend UK schools and demanded payment of a “commission” for SATP’s services. This commission was actually a share of the money the schools claimed from federal student financial aid programs for the benefit of American students. The government further alleges that SATP and Borhaug created sham records to hide these arrangements, and ultimately caused foreign schools to submit false claims to the Department of Education.

The government filed its complaint in a lawsuit filed under the qui tam, or whistleblower, provisions of the False Claims Act. Under the Act, a private citizen can sue on behalf of the government and share in any recovery. The government also is entitled to intervene in the lawsuit, as it has done in this case, which is captioned United States ex rel. Hitrost LLC v. Study Across the Pond, LLC, et al., No. 21-CV-10274-ADB (D. Mass.).  

Acting U.S. Attorney Levy, Principal Deputy AAG Boynton and SAC Harris made the announcement today. Assistant U.S. Attorneys Brian LaMacchia and Alexandra Brazier of the Affirmative Civil Enforcement Unit are handling the matter along with Trial Attorney Allison Carroll of the Justice Department’s Civil Division.

The claims in which the United States has intervened are allegations only. There has been no determination of liability.

BOSTON – A Quincy man pleaded guilty yesterday to filing false tax returns on behalf of his company that hid over $10 million in corporate income.

Su Nguyen, 60, pleaded guilty to aiding and assisting the filing of false tax returns. U.S. Senior District Court Judge William G. Young scheduled sentencing for Sept. 5, 2024. In October 2023, Nguyen was indicted by a federal grand jury.

Between 2016 and 2020, Nguyen was the owner and operator of General Employment Services (GES), a temporary employment agency operating in Massachusetts. Clients paid GES by check for the work performed by GES employees. Nguyen deposited a small number of client checks in a bank account that Nguyen used for GES business and reported that income to the IRS. However, Nguyen cashed the majority of client checks at a check casher located in Worcester and used that cash on himself and to pay some employees’ wages. In total, Nguyen cashed over $10 million in client checks and did not report that income or the wages paid in cash to the IRS. By doing so, Nguyen and GES failed to pay over $2 million in taxes.  

Each count of aiding and assisting the filing of false tax returns provides for a sentence of up to three years in prison, up to one year of supervised release and a fine of up to $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.

Acting United States Attorney Joshua S. Levy; Harry T. Chavis, Jr., Special Agent in Charge of the Internal Revenue Service’s Criminal Investigation in Boston; and Jodi Cohen, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division made the announcement. Assistant U.S. Attorney Christopher J. Markham of the Securities, Financial & Cyber Fraud Unit is prosecuting the case.
 

The Justice Department announced today that it has filed a complaint under the False Claims Act (FCA) against Study Across the Pond LLC (SATP) and its principal, John Borhaug. SATP, which is organized under the laws of Massachusetts, recruits American students to attend foreign schools in the U.K., as well as other countries. The complaint, filed in the District of Massachusetts, alleges that SATP and Borhaug knowingly caused UK schools to submit false claims to the Department of Education for federal student aid by demanding that the foreign schools enter into arrangements that violated the federal ban on incentive-based compensation.

“Third-party recruiters who demand illegal financial incentives for recruiting students to institutions of higher learning, no matter where those institutions are located, undermine the integrity of our system of higher education,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “Prospective students are entitled to make their enrollment decisions without the improper influence of recruiters who pursue their own financial gain at the expense of students’ best interests.”

“Today’s complaint alleges that Study Across the Pond and John Borhaug used illegal incentives to influence American students to attend foreign schools,” said Acting U.S. Attorney Joshua S. Levy for the District of Massachusetts. “With today’s action, my office demonstrates its commitment to upholding the ban on incentive compensation, rooting out undue financial influence in student recruitment and protecting the integrity of federal student financial aid programs.”

“The Office of Inspector General has a unique and special law enforcement mission – to protect public education funds for eligible students,” said Special Agent in Charge Terry Harris of the Department of Education Office of Inspector General (OIG)’s Eastern Regional Office. “Today’s announcement is an example of our commitment to this mission. The OIG will continue to work with our law enforcement partners and pursue allegations of violations of the False Claims Act in carrying out our important public service.”

Title IV of the Higher Education Act prohibits any institution of higher education that receives federal student aid from compensating student recruiters with a commission, bonus or other incentive payment based directly or indirectly on the recruiters’ success in securing student enrollments. This is referred to as the Incentive Compensation Ban. The Incentive Compensation Ban protects students against aggressive recruitment practices that serve the financial interest of the recruiter rather than the educational needs of the student.

The complaint alleges that SATP knowingly collaborated with at least 28 U.K. schools to violate the Incentive Compensation Ban while the schools were participating in a federal student aid program. Specifically, since at least 2015, SATP, under the direction of Borhaug, has recruited American students to attend U.K. schools and demanded payment of a commission for SATP’s services. This commission was actually a share of the money the schools claimed from a federal financial aid program, specifically the Federal Direct Loan Program, for the benefit of American students. The government further alleges that SATP and Borhaug created sham records to hide these arrangements, and ultimately caused foreign schools to submit false claims to the Department of Education.

The government filed its complaint in a lawsuit filed under the qui tam, or whistleblower, provisions of the False Claims Act. Under the Act, a private citizen can sue on behalf of the government and share in any recovery. The government is entitled to intervene in the lawsuit, as it has done in this case.

The lawsuit is captioned United States ex rel. Hitrost LLC v. Study Across the Pond, LLC, et al., No. 21-CV-10274-ADB (D. Mass.). The Civil Division’s Commercial Litigation Branch, Fraud Section and the U.S. Attorney’s Office for the District of Massachusetts are handling the case, with substantial assistance from the Department of Education.

The United States is represented in this matter by Trial Attorney Allison C. Carroll of the Civil Division and Assistant U.S. Attorneys Brian LaMacchia and Alexandra Brazier for the District of Massachusetts.

The claims asserted against defendants are only allegations. There has been no determination of liability.

Complaint

BOSTON – Two men have been arrested and charged in connection with a multifaceted criminal conspiracy involving the trafficking of counterfeit pills containing narcotics and other counterfeit items.

Christopher Chase, 43, of Lynn, was indicted on one count of conspiracy to distribute or possess with the intent to distribute controlled substances, with more than 500 grams of methamphetamine attributable to him as part of the conspiracy; one count of trafficking in counterfeit drugs; and one count of possession with intent to distribute counterfeit postage stamps. Following an initial appearance in federal court in Worcester on May 2, 2024, Chase was detained pending a hearing scheduled for May 8, 2024. 

Francis Wyatt, 42, of Lawrence, was indicted on one count of possession with intent to distribute a die set. A die set is a metal tool that, in conjunction with a pill press, is used to manufacture counterfeit pills. Wyatt was detained following an initial appearance in federal court in Worcester on May 3, 2024 pending a hearing scheduled for May 8, 2024.  

According to court documents, Chase was previously convicted in federal court in New Hampshire in connection with conspiracy to distribute steroids and money laundering. It is alleged that Chase and his co-conspirators used a pill press to manufacture counterfeit pills, including counterfeit oxycodone pills containing fentanyl, counterfeit Adderall pills containing methamphetamine, and counterfeit Xanax pills containing clonazolam. Additionally, Chase or others acting at his direction allegedly purchased over 100 kilograms of pill binding agent (used as the inactive ingredient in counterfeit pressed pills) between 2020 and 2022. It is alleged that, in communications with a co-conspirator, Chase likened himself to drug kingpin “El Chapo.”

According to court documents, at Chase’s behest, Wyatt was sent to retrieve a package from China containing a die set to be used in manufacturing counterfeit oxycodone pills containing fentanyl. 

It is further alleged that Chase also was a significant distributor of counterfeit stamps over public websites such as eBay. In February 2024, counterfeit U.S. postage stamps were recovered during a search of Chase’s residence. Chase acquired the counterfeit stamps from China. Preliminary estimates indicate that the stamps are valued at approximately $250,000.

The charge of conspiracy to distribute and possess with the intent to distribute the quantity of methamphetamine alleged in the indictment provides for a mandatory minimum term of 10 years and up to life in prison, at least five years of supervised release and a fine of up to $10 million. The charge of trafficking counterfeit drugs provides for a sentence of up to 10 years in prison, three years of supervised release and a fine of up to $2 million. The charge of possession of a die set provides for a sentence of up to four years in prison, one year of supervised release and a fine of $250,000. The charge of possession with intent to distribute counterfeit stamps provides for a sentence of up to five years in prison, three years of supervised release and a fine of $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case,

Acting United States Attorney Joshua S. Levy; Michael Krol, Special Agent in Charge of Homeland Security Investigations, New England Field Office; and Ketty Larco-Ward, Inspector in Charge of the U.S. Postal Inspection Service, Boston Division made the announcement today. Valuable assistance was provided by the Middlesex District Attorney and the Massachusetts State Police. Assistant U.S. Attorney Evan Panich of the Narcotics & Money Laundering Unit is prosecuting the case.

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

BOSTON – A Boston man was sentenced today for illegally possessing ammunition as a convicted felon.

Tyreek Hall, 21, was sentenced by U.S. District Court Judge Indira Talwani to 46 months in prison followed by three years of supervised release. In September 2023, Hall pleaded guilty to one count of being a felon in possession of ammunition. 

In or around June 2022, Hall posed on social media with a gun. At the time of the social media post, Hall had been on parole for one week, after early release for a state conviction of assault with a dangerous weapon (a firearm). Hall is prohibited from possessing a firearm or ammunition due to a prior felony conviction. On June 9, 2022, Hall was found in possession of a 9x19mm caliber privately made Glock-style semi-automatic pistol, bearing no manufacturer serial number (commonly known as a “ghost gun”), and eight rounds of ammunition. 

Acting United States Attorney Joshua S. Levy; James Ferguson, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms & Explosives, Boston Field Division; Brian Kyes, U.S. Marshal for the District of Massachusetts; and Boston Police Commissioner Michael Cox made the announcement today. Assistant U.S. Attorneys John Dawley and Fred Wyshak, III of the Organized Crime & Gang Unit prosecuted the case.

This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.

BOSTON – An associate of the violent Boston gang Cameron Street was sentenced today in federal court in Boston for drug trafficking.

Michael Lopes, a/k/a “Meech,” 35, of Pawtucket, R.I., was sentenced by U.S. Senior District Court Judge William G. Young to 57 months in prison followed by three years supervised release. In February 2024, Lopes pleaded guilty to a one-count Superseding Information charging him with conspiracy to distribute and possess with intent to distribute cocaine, cocaine base and methamphetamine. 

During a two-year long investigation into Cameron Street, it was determined that Lopes allegedly conspired with his cousin Anthony Centeio – the alleged leader of Cameron Street – and others to distribute cocaine, cocaine base and methamphetamine. Lopes and, allegedly, Centeio made several sales of cocaine and cocaine base to a cooperating witness in Boston, Braintree and Pawtucket, R.I. A search of Lopes’ Rhode Island residence in April 2022 resulted in the recovery of approximately 174 grams of cocaine base, 215 grams of cocaine and 180 grams of methamphetamine, packaging materials and $2,342 in cash.

Acting United States Attorney Joshua S. Levy; James M. Ferguson, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms & Explosives, Boston Field Division; Stephen Belleau, Acting Special Agent in Charge of the Drug Enforcement Administration, New England Field Division; and Boston Police Commissioner Michael Cox made the announcement today. Valuable assistance was provided by the Massachusetts State Police; Suffolk County Sheriff’s Office; Suffolk, Plymouth, Norfolk and Bristol County District Attorney’s Offices; and the Canton, Quincy, Randolph, Somerville, Brockton, Malden, Stoughton, Rehoboth and Pawtucket (R.I.) Police Departments. Assistant U.S. Attorneys Christopher Pohl and Charles Dell’Anno of the Criminal Division prosecuted the case.

This operation is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) Strike Force Initiative, which provides for the establishment of permanent multi-agency task force teams that work side-by-side in the same location. This co-located model enables agents from different agencies to collaborate on intelligence-driven, multi-jurisdictional operations to disrupt and dismantle the most significant drug traffickers, money launderers, gangs, and transnational criminal organizations. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.

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

BOSTON – A Boston man was sentenced today for being a felon in possession of a firearm and ammunition, specifically a loaded Taurus 9mm pistol with an obliterated serial number. At the time of the offense, the defendant was on supervised release after serving a federal prison sentence for firearm and drug convictions.

Tevin Abercrombie, 29, was sentenced by U.S. Senior District Court Judge Douglas P. Woodlock to 78 months in prison followed by three years of supervised release. In January 2024, Abercrombie was convicted by a federal jury of one count of being a felon in possession of a firearm and ammunition. 

In April 2020, while responding to shorts fired, officers stopped a vehicle that was of interest. During that stop, Abercrombie was found to be in possession of a black Taurus 9mm pistol with an obliterated serial number loaded with one round in the chamber and an additional seven rounds of 9mm ammunition in the magazine. In 2016, Abercrombie was convicted in federal court of being a felon in possession of a firearm and ammunition and conspiracy to distribute cocaine base, cocaine and heroin and sentenced to 60 months in prison. Abercrombie was on federal supervised release at the time of this offense.

Acting United States Attorney Joshua S. Levy; James M. Ferguson, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms & Explosives, Boston Field Division; and Boston Police Commissioner Michael Cox made the announcement today. Assistant U.S. Attorneys John T. Dawley and Fred M. Wyshak, III of the Organized Crime & Gang Unit prosecuted the case.

This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
 

BOSTON – A Springfield woman pleaded guilty on Tuesday to possessing fentanyl intended for distribution. 

Karyela Santiago, 27, pleaded guilty to one count of possession with intent to distribute fentanyl. U.S. District Court Judge Mark G. Mastroianni scheduled sentencing for Aug. 8, 2024. In September 2023, Santiago was indicted by a federal grand jury.

On March 30, 2022, Santiago possessed fentanyl intended for distribution. Specifically, Santiago possessed a total of 8,090 bags of fentanyl intended for distribution – containing a total of 129 grams of fentanyl. 

The charge of possession with intent to distribute fentanyl provides for a sentence of up to 20 years in prison, four year of supervised release and a fine of up to $1 million. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case. 

Acting United States Attorney Joshua S. Levy; Stephen Belleau, Acting Special Agent in Charge of the Drug Enforcement Administration in New England; and Springfield Police Superintendent Lawrence Akers made the announcement today. Assistant U.S. Attorney Todd E. Newhouse of the Springfield Branch Office is prosecuting the case.
 

BOSTON – A lifetime Level 2 sex offender previously convicted of child rape was sentenced today for possessing more than 5,000 files of child sexual abuse material (CSAM).

Eric Robert Johnson, 51, of Billerica, was sentenced by U.S. District Court Judge Denise J. Casper to 10 years in prison, to be followed by five years of supervised release. Johnson was also ordered to pay restitution and forfeiture in the amount of $38,000. On Jan. 29, 2024, Johnson pleaded guilty to one count of possession of child pornography. He has remained in federal custody since his arrest in February 2022. 

“Mr. Johnson is an extremely dangerous individual who has repeatedly demonstrated his predatory interest in children. He belongs in prison for a long time,” said Acting United States Attorney Joshua S. Levy. “The victims of child pornography are not abstractions or objects – they are real kids who experienced sexual exploitation in order for these pictures or images to be distributed and possessed. Although today’s sentence cannot erase the ongoing pain endured by the victims from their traumatic abuse, the message about the severe consequences of possessing child pornography should be crystal clear.”

“This lifetime sex offender admitted to amassing thousands of images of babies, toddlers, and children suffering horrific sexual abuse, and today’s sentence reflects the severity and depravity of his crime,” said Jodi Cohen Special Agent in Charge of the Federal Bureau of Investigation, Boston Division. “Those photos and videos represent unimaginable pain forced upon utterly vulnerable victims, some too young to walk or talk.  It’s cases like this that drive the FBI and our partners, as we work to protect the children in our communities from predators like Eric Johnson.”

In early 2022, Johnson was identified as a user of an internet-based peer-to-peer network downloading CSAM. Searches of Johnson’s person and residence in February and March of 2022 resulted in the recovery of 25 electronic devices including a laptop, hard drives and other electronic devices. Multiple hard drives were found hidden next to Johnson’s bed as well as hidden inside Johnson’s basement ceiling, shelves, cabinets and in an ammunition can located in a crawl space at the residence. At the time of the search, the laptop was running a program to wipe, delete or remove files from an attached hard drive and was approximately 56% complete before being disabled by an on-scene forensic examiner. 

Also found at Johnson’s residence were two children’s backpacks from under his bed that contained various children’s clothing including bathing suits and a nightgown; a bag of children’s costumes; children’s diapers throughout; and at least three child-sized dolls each with the vaginal region sliced to make a hole. What appeared to be bodily fluids were found in at least two of the dolls. 

A subsequent forensic examination revealed over 5,000 files depicting CSAM on seven of the seized devices, including images and video files depicting the sexual abuse and rape of minor victims as young as infants and toddlers. Many other disturbing items were also located on the devices, including images and videos of bestiality, photos of women’s deceased bodies, as well as videos of Johnson engaging in sexual acts with dolls. Further forensic examination determined that 15 of the seized devices were encrypted or had hardware and could not be searched.  

Johnson was previously convicted in 1992 on state charges in New Hampshire of two counts of Aggravated Felonious Sexual Assault of a Child Under 13 Years of Age for his sexual abuse and rape of two minor victims who, at the time, were seven and eight-years-old. 

Acting U.S. Attorney Levy, FBI SAC Cohen and Billerica Police Chief Roy Frost made the announcement today. Assistant U.S. Attorneys Suzanne Sullivan Jacobus, Luke A. Goldworm and J. Mackenzie Duane of the Criminal Division prosecuted the case. 

This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse, launched in May 2006 by the Department of Justice. Led by the U.S. Attorneys’ Offices and the DOJ’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who exploit children, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.

BOSTON – A Sandisfield man was sentenced today in federal court in Springfield for possession of child pornography and possession of an unregistered firearm.

Brian Hohman, 60, was sentenced by U.S. District Court Judge Mark G. Mastroianni to 10 years in prison to be followed by 10 years of supervised release. In January 2024, Hohman pleaded guilty to one charge of possession of child pornography and one charge of receipt and possession of an unregistered firearm. 

During a search of Hohman’s residence in September 2023, a sawed-off shotgun not registered to Hohman and a laptop containing over 300 visually unique images, including at least two videos depicting child pornography were found. Hohman was subsequently arrested and detained on an unrelated matter. The investigation revealed that Hohman also possessed two cell phones and a SIM card containing child pornography.

Acting United States Attorney Joshua S. Levy and Michael J. Krol, Special Agent in Charge of Homeland Security Investigations in New England made the announcement today. Valuable assistance was provided by the Massachusetts State Police and the Litchfield Judicial District State’s Attorney’s Office in Connecticut. Assistant U.S. Attorney Catherine G. Curley of the Springfield Branch Office prosecuted the case.  

This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse, launched in May 2006 by the Department of Justice. Led by the U.S. Attorneys’ Offices and the DOJ’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who exploit children, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.

BOSTON – A Lowell man pleaded guilty yesterday to the robberies of three Worcester banks in April 2023.

Joselito Santiago-Matias, 38, pleaded guilty to one count of bank robbery and two counts of armed bank robbery. U.S. District Court Judge Margaret R. Guzman scheduled sentencing for July 24, 2024. Santiago-Matias was indicted by a federal grand jury in September 2023.

Santiago-Matias robbed a Santander Bank in Worcester on April 3, 2023; a Berkshire Bank in Worcester using a gun on April 12, 2023; and a Santander Bank in Worcester using a gun on April 19, 2023.

The charge of bank robbery provides for a sentence of up to 20 years in prison, three years of supervised release and a fine of $250,000. The charge of armed bank robbery provides for a sentence of up to up to 25 years, five years of supervised release and a fine up to $250,000.   Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.

Acting United States Attorney Joshua S. Levy; Jodi Cohen, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division; and Worcester Police Department Interim Chief Paul B. Saucier made the announcement. Assistant U.S. Attorney Brendan D. O’Shea of the Worcester Branch Office is prosecuting the case.

BOSTON – A Cranston, R.I. man pleaded guilty on April 30, 2024 in federal court in Boston to his involvement in a drug trafficking organization (DTO) that distributed fentanyl throughout Southeastern Massachusetts and Rhode Island.

Mario Rafael Dominguez-Ortiz, 27, pleaded guilty to one count of conspiracy to distribute and to possess with intent to distribute fentanyl. U.S. District Court Judge Allison D. Burroughs scheduled sentencing for Aug. 6, 2024. Dominguez-Ortiz was indicted by a federal grand jury in August 2022 along with nine other individuals.

In March 2021, an investigation began into a DTO operating in Southeastern Massachusetts and Rhode Island led by Estarlin Ortiz-Alcantara. The investigation identified Dominguez-Ortiz as a member of the DTO, who was employed by Ortiz-Alcantara to deliver fentanyl. On four occasions between July and November 2021, Dominguez-Ortiz delivered fentanyl to a cooperating source. Each of the fentanyl deliveries were in amounts consistent with quantities intended for further distribution.  

Dominguez-Ortiz faces a up to 20 years in prison, at least three years and up to life of supervised release and a fine of up to $1 million. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.

Estarlin Ortiz-Alcantara pleaded guilty in December 2023 and is scheduled to be sentenced on July 9, 2024.

Acting United States Attorney Joshua S. Levy; Stephen Belleau, Acting Special Agent in Charge of the Drug Enforcement Administration, New England Field Division; New Bedford Police Chief Paul Oliveira; and Fairhaven Police Chief Michael J. Myers made the announcement today. Special assistance was provided by the Massachusetts State Police; Homeland Security Investigations; Bristol County Sherriff’s Office; and Fall River, Taunton, Attleboro, Scituate, Yarmouth, Providence (R.I.) and West Warwick (R.I.) Police Departments. Assistant U.S. Attorney John T. Mulcahy of the Narcotics & Money Laundering Unit is prosecuting the case.

This effort is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.

BOSTON – The U.S. Attorney’s Office has reached a $25,000 settlement with the Arlington-based retail and compounding pharmacy Maida Pharmacy, Inc. (Maida) to resolve allegations that it failed to maintain adequate records of controlled substances and improperly disposed of controlled substances. 

 The Controlled Substances Act (the Act) regulates the manufacturing, purchasing, distribution and maintenance of certain controlled substances. Pursuant to the Act, Maida was required to keep records and follow security protocols for its controlled substances. 

As part of the settlement, Maida admitted that during an inspection, the Drug Enforcement Administration found that Maida did not have in place proper security protocols or maintain appropriate records for controlled substances. Maida also admitted that it had not conducted its mandatory inventory accountability audit and failed to maintain an appropriate security system for its controlled substances. Additionally, Maida admitted that, on several occasions, its employees disposed of Ketamine by placing it in the curbside trash, rather than properly destroying it in a manner consistent with the Act. 

Acting United States Attorney Joshua S. Levy and Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration, Boston Field Division made the announcement today. Assistant U.S. Attorney Julien M. Mundele of the Affirmative Civil Enforcement Unit handled the case.

BOSTON – A Kentucky man was sentenced today in federal court in Boston for advertising child sexual abuse material (CSAM) on the dark web.

Scott Allison, 59, of Glasgow, Ky., was sentenced by U.S. District Court Judge Indira Talwani to 15 years in prison followed by five years of supervised release. Allison was also ordered to pay restitution of $100,000. In September of 2023, Allison pleaded guilty to one count of advertisement of child pornography. Allison was initially charged by criminal complaint in November 2021 in the Western District of Kentucky and subsequently indicted by a federal grand jury in Boston in December 2021.  

“Mr. Allison deserves to be behind bars for a very long time.  He is a reprehensible cog in the market built around the shameful and devastating abuse of innocent children. There is nothing worse.  He regularly advertised the sexual abuse and exploitation of kids thinking he was wrapped in the cloak of anonymity in his online world.  He also possessed literally hundreds of thousands of images exploiting children on his computer. Child pornography is not a victimless crime – it is an all too active marketplace that thrives on real abuse inflicted upon real children. Each time a sexually explicit image or video of a child is viewed, accessed, possessed, received, sent or produced, that child is being re-victimized. Today’s sentence should make that message clear. Our office and our federal, state and local partners will never cease in our efforts to relentlessly pursue those who engage in this market,” said Acting United States Attorney Joshua S. Levy.

“Scott Allison is a predator who used the exploitation of children as currency to further his horrific enterprise. He and others used the perceived anonymity of the dark web as a safe haven from the public and from law enforcement. As Allison and many others have and will find out, the dark web is no match against the will of law enforcement to protect our children,” said Michael J. Krol, Special Agent in Charge for Homeland Security Investigations in New England.

In April 2021, Allison was identified advertising and posting links to CSAM, including images of boys as young as approximately two years old, via a website on the dark web for which he served as a moderator. Allison used at least two different usernames on various websites on the dark web. On one website, Allison was responsible for moderation of the website, this included greeting and socializing with guests, reviewing messages and images and ensuring the safety and success of the website. During a search of his home in November 2021, an external hard drive plugged into a computer in his bedroom was found to contain approximately 130,000 images and videos of CSAM. Allison also had the content or text of approximately 108,000 posts to child pornography websites saved on his computer. Additionally, a box containing boy’s underwear, diapers and condoms as well as a silicone mold of a boy’s buttocks with partial genitalia were also found during the search. 

Acting U.S. Attorney Levy; HSI SAC Krol; Michael A. Bennett, United States Attorney for the Western District of Kentucky; and Rana Saoud, Special Agent in Charge of Homeland Security Investigations in Nashville made the announcement today. Assistant U.S. Attorneys J. Mackenzie Duane and Luke A. Goldworm of the Criminal Division are prosecuting the case. 

This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse, launched in May 2006 by the Department of Justice. Led by the U.S. Attorneys’ Offices and the DOJ’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend and prosecute individuals who exploit children, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.

BOSTON – A former Massachusetts State Police (MSP) Sergeant was sentenced yesterday in connection with an overtime scheme dating back to 2015. 

William W. Robertson, 62, of Westborough, was sentenced by U.S. District Court Judge Margaret R. Guzman to three years in prison, to be followed by three years of supervised release. Robertson was also ordered to pay restitution of $142,774 and forfeit $32,180. In December 2023, Robertson was convicted of one count of conspiracy, one count of theft concerning a federal program and four counts of wire fraud. 

On April 26, 2024, co-conspirator former MSP Lieutenant Daniel Griffin was sentenced to five years in prison and three years of supervised release. Griffin was also ordered to pay restitution in the amount of $329,163, a fine in the amount of $176,700, as well as a $2,100 special assessment. In December 2023, Griffin was convicted of one count of conspiracy, one count of theft concerning a federal program and four counts of wire fraud.

From 2015 through 2018, Griffin, Robertson and other troopers in the Traffic Programs Section at State Police Headquarters in Framingham, conspired to steal thousands of dollars in federally funded overtime by regularly arriving late to, and leaving early from, overtime shifts funded by grants intended to improve traffic safety. 

When the MSP overtime misconduct came to light in 2017 and 2018, Griffin, Robertson and their co-conspirators took steps to avoid detection by shredding and burning records and forms. After an internal inquiry regarding missing forms, Griffin submitted a memo to his superiors that was designed to mislead them by claiming that missing forms were “inadvertently discarded or misplaced” during office moves.  

The U.S. Attorney’s Office for the District of Massachusetts; Christopher A. Scharf, Special Agent in Charge, U.S. Department of Transportation Office of Inspector General, Northeast Region; Jodi Cohen, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division; and Harry Chavis, Jr., Special Agent in Charge of the Internal Revenue Service’s Criminal Investigations in Boston made the announcement today. Assistant U.S. Attorney Dustin Chao, Chief of the Public Corruption Unit and Assistant United States Attorney Adam Deitch of the Public Corruption Unit prosecuted the case.

BOSTON – The former Superintendent of the Chicopee Public Schools was sentenced yesterday for making false statements in connection with her sending 99 threatening messages to a candidate for Chicopee Police Chief. 

Lynn Clark, 53, of Belchertown, was sentenced by U.S. District Court Judge Mark G. Mastroianni to serve one year of probation and pay a $1,000 fine. In January 2024, Clark pleaded guilty to two counts of making false statements. 

“In a relentless effort to evade accountability, Ms. Clark’s actions and lies not only harmed innocent people and tarnished the reputation of Chicopee, but also sowed chaos and wasted invaluable investigative resources. She abused her position of trust as a community leader to engage in a series of baseless accusations and to weave a web of intricate lies. Ms. Clark’s scheme led to months of needless stress for the City and halted its crucial search for a Chief of Police. Additionally, her lies resulted in hundreds of hours of wasted investigation as she pointed the finger at completely innocent people,” said Acting United States Attorney Joshua S. Levy. “This calculated misconduct, which spanned false accusations against police officers, a city employee, and even her own son, underscores a flagrant disregard for the repercussions of her actions.”

“Former Chicopee School Superintendent Lynn Clark failed to lead by example when she falsely claimed she was a victim of a crime and then repeatedly lied to the FBI. In doing so, she caused unnecessary stress and reputational harm to those she accused, and wasted hundreds of hours of investigative resources,” said Jodi Cohen, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division.  “Today’s sentence makes it clear that willfully lying to federal agents will be result in serious consequences. The FBI can’t properly pursue our investigative mandate – in this case, fighting public corruption – if the people we interview think they can deceive us with impunity.”

In December 2021, the City of Chicopee was in the process of hiring a new Police Chief. On Dec. 3, 2021, law enforcement received a report that a candidate for the position was receiving threats intended to force the victim to withdraw their application for Chicopee Police Chief. In November 2021, after submitting their application for Police Chief, the victim received numerous text messages from unknown numbers containing threats to expose information that would cause the victim reputational harm. As a result, the victim withdrew their application and the City delayed the selection process.

In meetings with law enforcement over the course of several months during the investigation, Clark falsely stated that she did not know who sent the messages and attempted to dissuade law enforcement from pursuing the investigation any further, expressing concern that the investigation was harming her reputation and “tearing the city apart.” Clark also falsely claimed to be a victim and stated that she received threatening text messages from unknown phone numbers, when, in fact she sent the messages to herself. Additionally, over the course of the investigation, Clark falsely accused at least five other, innocent individuals of sending the threatening text messages – including the victim’s fellow police officers, a City employee and her own son. 

The investigation revealed that a total of approximately 99 threatening messages were sent from fictitious phone numbers purchased through a mobile app. Phone and internet records revealed that these numbers were purchased by Clark and that these accounts sent each of the threatening messages. Clark made false statements to law enforcement denying that she had downloaded a mobile app with which she purchased the fictitious phone numbers to send the messages. Clark later admitted that she did indeed send the messages and downloaded the app.

Acting U.S. Attorney Levy and FBI SAC Cohen made the announcement. Assistant U.S. Attorney Neil L. Desroches of the Springfield Branch Office prosecuted the case. 

BOSTON – A former office manager of a Brookline medical practice was charged today with embezzling over $650,000 from the business over several years.

Kathleen Libby, 40, of Brookline, was charged with one count of wire fraud.

According to the charging documents, Libby stole from the medical practice in a variety of ways, including by transferring funds from the practice to a personal PayPal account she established named “Medline Surgical Supplies.” In doing so, Libby allegedly created the false impression that transfers from the medical practice to the PayPal account were expenses the medical practice had incurred for supplies.

It is further alleged that Libby used the medical practice’s bank account to make payments toward purchases she had made at a variety of retailers, including Louis Vuitton, Bloomingdales, Best Buy, Target and travel-related websites. The charging documents also allege that Libby placed two of her relatives on the medical practice’s payroll and used its credit cards for her own personal benefit. 

The charge of wire fraud provides for a sentence of up to 20 years in prison, up to three years of supervised release and a fine of $250,000 or twice the gross gain or loss, whichever is greater. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.  

Acting United States Attorney Joshua S. Levy and Jodi Cohen, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division made the announcement. Assistant U.S. Attorney Mackenzie A. Queenin of the Securities, Financial & Cyber Fraud Unit is prosecuting the case.

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

BOSTON – A Stoughton man pleaded guilty yesterday in federal court in Boston to his role in a wide-ranging fentanyl trafficking conspiracy.

Angel Morales, 52, pleaded guilty to one count of conspiracy to distribute and to possess with intent to distribute 400 grams or more of fentanyl and one count of distribution and possession with intent to distribute 400 grams or more of fentanyl. U.S. District Court Judge Angel Kelley scheduled sentencing for Sept. 5, 2024. In December 2022, Morales was indicted along with co-conspirators Quenty Ogando, Erika Prado and Rahelin Reynoso.  

Between September 2022 and November 2022, Morales was involved in a scheme involving a large-scale pill press operation that manufactured, sold, and mailed counterfeit pills, including pills containing fentanyl, among other drugs. Morales’ role within the operation was to ship the packages from various post offices across Massachusetts. On multiple occasions, Morales used various post offices and FedEx facilities in Boston, Randolph, Holbrook, Quincy, Mattapan, Braintree, Milton and elsewhere to mail over 150 packages knowing that some of the packages contained controlled substances. On at least two occasions, FedEx employees opened packages pursuant to their internal procedures, and observed clear plastic sandwich bags filled with pills with markings consistent with prescription-only medication that later tested positive for fentanyl. 

On multiple occasions in October and November Morales was observed leaving an apartment in Mattapan before travelling to multiple post offices and FedEx facilities. During a subsequent search of that apartment, over 20 kilograms of pills in various colors, a sample of which tested positive for fentanyl, over 20 kilograms of loose powder, a sample of which tested positive for fentanyl, numerous packages and mailing labels, electronic devices, cash and three industrial grade pill presses were recovered. In addition, fentanyl, heroin, cocaine and methamphetamine were also found at the apartment.  

Morales is the fourth and final defendant to plead guilty in the case. On Jan. 31, 2024, Ogando was sentenced to 144 months in prison and five years of supervised release. Prado and Reynoso are scheduled to be sentenced on April 30, 2024, and June 3, 2024, respectively. 
    
Both charges provide for a sentence of at least 10 years and up to life in prison, at least five years of supervised release and fine of up to $10 million. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.

Acting United States Attorney Joshua S. Levy; Michael J. Krol, Special Agent in Charge for Homeland Security Investigations in New England; and Ketty Larco-Ward, Inspector in Charge of the U.S. Postal Inspection Service’s Boston Division made the announcement today. Valuable assistance was provided by the Boston Police Department; Massachusetts State Police; United States Customs and Border Protection; Drug Enforcement Administration; and U.S. Food and Drug Administration. Assistant U.S. Attorneys J. Mackenzie Duane and Jennifer Zacks of the Narcotics & Money Laundering Unit are prosecuting the case.  

BOSTON – The co-owner of a Mattapan plumbing and heating supply company was charged today with filing false tax returns in connection with a scheme to use millions of dollars of unreported receipts of the business to buy gold bars.

Claudio Poles, 78, of Dorchester, was charged with four counts of filing false tax returns.

According to the charging documents, Poles failed to accurately disclose the company’s gross business receipts to its tax preparer, who prepared the company’s tax returns using the false information Poles provided. Poles then used some of the unreported gross receipts to purchase more than $10 million of gold and silver bars for himself from bullion dealers. To conceal the nature of the purchases he made from the company’s bank accounts for his personal benefit, Poles allegedly described the purchases, in the memo section of the checks, as for “Boilers,” “Materials” and “P&H Supp.” 

The charging documents allege that between 2019 and 2022, Poles falsely and fraudulently reported losses on his individual tax returns and omitted personal income that he received from the business by purchasing the gold and silver bars.

The charge of filing false tax returns provides for a sentence of up to three years in prison, up to two years of supervised release and a fine of $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.  

Acting United States Attorney Joshua S. Levy and Harry Chavis, Jr., Special Agent in Charge of the Internal Revenue Service’s Criminal Investigations in Boston made the announcement. Assistant U.S. Attorney Mackenzie A. Queenin of the Securities, Financial & Cyber Fraud Unit is prosecuting the case.

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

BOSTON – A Bourne man was sentenced today in federal court in Boston for receiving and possessing child sexual abuse material (CSAM) and for violating his terms of supervised release.

Bryan C. Mileikis, 37, was sentenced by U.S. District Court Judge Indira Talwani to eight years in prison, to be followed by five years of supervised release. He was also ordered to pay $18,000 in restitution for the CSAM case. In addition, Mileikis received a two-year concurrent sentence for being found in violation of his supervised release on two prior unrelated federal armed bank robbery convictions. In October 2023, Mileikis pleaded guilty to one count of receipt of child pornography and one count of possession of child pornography. 

Mileikis was identified as the owner of a Kik Messenger account distributing CSAM online. A search of Mileikis’ Bourne residence in June 2019 resulted in the seizure of his iPhone. A forensic examination of the cell phone was conducted which revealed approximately 156 images and 22 videos depicting CSAM. Mileikis’ CSAM collection recovered from his cell phone consisted of prepubescent and pubescent minors and included children ranging in age from approximately one year old to approximately 17 years old and included both minor girls and boys. The CSAM files included sexual abuse of minor children by adults. At the time of the offense, Mileikis was on federal supervised release for two armed bank robbery convictions for which he was sentenced to 110 months in prison.

Acting United States Attorney Joshua S. Levy; Michael J. Krol, Special Agent in Charge of the Homeland Security Investigations in Boston; Jodi Cohen, Special Agent in Charge of the Federal Bureau of Investigations, Boston Division; and Bourne Police Chief Brandon Esip made the announcement today. Assistant U.S. Attorney Suzanne Sullivan Jacobus of the Major Crimes Unit prosecuted the case.

This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse, launched in May 2006 by the Department of Justice. Led by the U.S. Attorneys’ Offices and the DOJ’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend and prosecute individuals who exploit children, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc. 

BOSTON – A Boston man was sentenced today in federal court in Boston for illegally selling a dozen machinegun conversion devices.

Michael Wilkerson, 23, was sentenced by U.S. District Court Judge Denise J. Casper to 20 months in prison, followed by two years of supervised release. In February 2024, Wilkerson pleaded guilty to one count of engaging in the business as a manufacturer or dealer in firearms. Wilkerson was initially arrested and charged along with co-defendant Elijah Navarro in February 2023. 

Wilkerson and Navarro were involved with the manufacturing and trafficking of “machinegun conversion devices,” these devices convert certain firearms from semi-automatic to fully automatic, rendering the firearm capable of firing multiple shots by a single function of the trigger. In January 2023, Navarro agreed to sell 12 machinegun conversion devices to an individual in exchange for $1,700. Following a series of communications, Navarro met the individual twice at a pre-arranged location. On Jan. 19, 2023, Navarro sold the first two machinegun conversion devices for $400 and later, on Jan. 25, 2023, Navarro sold the remaining 10 devices for an additional $1,300 out of Wilkerson’s residence. 

During a search of Wilkerson’s residence in February 2023, two 3-D printers, 3-D printing material, machinegun conversion devices, a ballistic vest as well as firearms, ammunition and magazines were seized. 

Neither Navarro nor Wilkerson possess licenses to import, manufacture, deal or possess firearms.  

Navarro pleaded guilty to his role in the conspiracy in December 2023 and is currently awaiting sentencing. 

Acting United States Attorney Joshua S. Levy; James M. Ferguson, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives, Boston Field Division; and Boston Police Commissioner Michael A. Cox made the announcement today. Assistant U.S. Attorney John T. Dawley of the Organized Crime & Gang Unit prosecuted the case.

BOSTON – Two men have pleaded guilty in federal court in Boston to their roles in a North Shore-based drug trafficking organization (DTO) that distributed tens of thousands of counterfeit prescription pills containing fentanyl and methamphetamine.

Nelson Mora, 31, of Lynn, and Christopher Nagle, 30, of Revere, pleaded guilty to one count each of conspiring to distribute and to possess with intent to distribute controlled substances. Christopher Nagle also pleaded guilty to possession with intent to distribute more than 500 grams of methamphetamine. U.S. District Court Chief Judge F. Dennis Saylor IV scheduled sentencings for Aug. 5, 2024 and Aug. 13, 2024, respectively. 

According to court documents, Christopher Nagle and allegedly his brother Lawrence Michael Nagle were identified as leaders of a DTO distributing various controlled substances throughout the North Shore region of Massachusetts. It is alleged that the Nagle DTO distributed significant quantities of various controlled substances, including, Adderall (both pharmaceutical-grade pills and counterfeit pills containing methamphetamine), methamphetamine, Xanax, Oxycodone (both pharmaceutical-grade and counterfeit pills containing fentanyl), cocaine and marijuana, among others.

Christopher Nagle’s brother, Lawrence Michael Nagle, allegedly distributed controlled substances to a small network of individuals who would then redistribute the drugs to other traffickers, including Mora, who also had access to a pill press machine which he used to create counterfeit pills.

A search of Christopher Nagle’s apartment recovered more than 74,000 counterfeit Adderall pills containing methamphetamine, weighing more than 24 kilograms. 

Mora and Nagle are the 10th and 11th defendants to plead guilty in this case.

The charge of conspiracy to possess with intent to distribute and to distribute controlled substances provides for a sentence of up to 20 years in prison, at least three years of supervised release and fine of up to $1 million. The charge of possession with intent to distribute more than 500 grams of methamphetamine provides for a sentence of at least 10 years and up to life in prison, at least five years and up to a lifetime of supervised release and a fine of up to $10 million. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.

Acting United States Attorney Joshua S. Levy; Stephen Belleau, Acting Special Agent in Charge of the Drug Enforcement Administration, New England Division; and John E. Mawn Jr., Interim Colonel of the Massachusetts State Police made the announcement today. Valuable assistance was provided by the Essex County District Attorney’s Office and the Beverly, Everett, Peabody, Revere, Salem, Saugus and Swampscott Police Departments. Assistant U.S. Attorneys James E. Arnold and Evan D. Panich of the Narcotics & Money Laundering Unit are prosecuting the case.

This effort is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF. 

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

BOSTON – A Boston man pleaded guilty today to his role in Cameron Street, a violent Boston gang.

Eric Correia, a/k/a, “Bubba,” 26, has pleaded guilty to one count of conspiracy to participate in a racketeering enterprise, more commonly referred to as RICO conspiracy, and one count of distribution of and possession with attempt to distribute marijuana. U.S. Senior District Court Judge William G. Young scheduled sentencing for Sept. 11, 2024. 

Correia was identified as a member of Cameron Street, a violent gang based largely in Dorchester that uses violence to preserve, protect and expand its territory, promote fear and enhance its reputation. According to the charging documents, members use social media applications to promote Cameron Street, celebrate murders and other violent crimes committed by the gang, as well as denigrate rival gangs – in particular, the Dorchester-based NOB gang (Norton, Onley and Barry Streets), known more generally as Wendover. Cameron Street members allegedly possess, carry and use firearms to murder and assault gang rivals as well as protect narcotics and drug proceeds. Cameron Street members also allegedly distribute controlled substances and firearms, commit armed robberies and engage in human trafficking in part to generate income for the Cameron Street enterprise.

Correia pleaded guilty to committing a March 2019 attempted murder with a firearm of a NOB/Wendover gang member on Clayborne Street in Dorchester. Additionally, Correia pleaded guilty to his role in an armed robbery of a drug customer as well as to distributing $1,400 worth of marijuana to a cooperating witness. Despite wearing a mask during the drug deal, Correia was identified through a “C” tattoo on his hand – a symbol commonly used by Cameron Street members to designate membership.

The charge of RICO conspiracy and conspiracy to interfere with commerce by force or violence each provide for a sentence of up to 20 years in prison, three years of supervised release and a fine of $250,000. The charge of distribution of marijuana provides for a sentence of up to five years in prison, at least two years of supervised release and a fine of $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.

This operation is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) Strike Force Initiative, which provides for the establishment of permanent multi-agency task force teams that work side-by-side in the same location. This co-located model enables agents from different agencies to collaborate on intelligence-driven, multi-jurisdictional operations to disrupt and dismantle the most significant drug traffickers, money launderers, gangs, and transnational criminal organizations. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.

Acting United States Attorney Joshua S. Levy; James M. Ferguson, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives, Boston Feld Division; Stephen Belleau, Acting Special Agent in Charge of the Drug Enforcement Administration, New England Field Division; and Boston Police Commissioner Michael Cox  made the announcement today. Valuable assistance was provided by the Massachusetts State Police; Suffolk County Sheriff’s Office; Suffolk, Plymouth, Norfolk and Bristol County District Attorney’s Offices; and the Canton, Quincy, Randolph, Somerville, Brockton, Malden, Stoughton, Rehoboth and Pawtucket (R.I.) Police Departments. Assistant U.S. Attorneys Christopher Pohl and Charles Dell’Anno of Levy’s Criminal Division are prosecuting the case.

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

BOSTON – A Dallas man pleaded guilty on April 26, 2024 in federal court in Worcester to his role in a nationwide large-scale cocaine trafficking conspiracy. 

Javier Robledo Perez, 39, pleaded guilty to conspiracy to distribute and to possess with intent to distribute five kilograms or more of cocaine and possession with intent to distribute five kilograms or more of cocaine. U.S. District Court Judge Margaret R. Guzman scheduled sentencing hearing for July 19, 2024.

Perez was a commercial truck driver based out of Dallas who transported approximately 30 kilograms of cocaine across state lines on behalf of a drug trafficking organization based in Mexico and Texas. In May 2020, Perez and his co-conspirators arranged for the delivery of 30 kilograms of cocaine to a cooperating witness in Massachusetts. In May 2020, Perez was stopped by law enforcement as he traveled into Massachusetts in his commercial semi-truck, from which 30 vacuum sealed bricks, containing approximately 30 kilograms of cocaine, were seized.

The charge of conspiracy to distribute and to possess with intent to distribute five kilograms or more of cocaine and the charge of possession with intent to distribute five kilograms or more of cocaine both carry a minimum mandatory sentence of 10 years and up to life in prison, at least five years of supervised release and a fine of up to $10 million. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.

Acting United States Attorney Joshua S. Levy; Jodi Cohen, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division; and John E. Mawn, Jr., Interim Colonel of the Massachusetts State Police made the announcement today. The Drug Enforcement Administration, Laredo and Dallas Divisions provided valuable assistance. Assistant U.S. Attorney Alathea Porter of the Criminal Division is prosecuting the case.  

This case is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.

BOSTON – A Brazilian man residing in Framingham pleaded guilty in federal court in Worcester to escaping from federal custody. 

Victor Rodrigues De Moura-Pereria, 20, pleaded guilty on April 26, 2024 before U.S. Magistrate Judge David Hennessy, who sentenced Rodrigues to time-served (approximately five weeks in prison) to be followed by one year of supervised release. Rodrigues was subsequently transferred into ICE custody and placed into removal proceedings.  

In September 2021, Rodrigues was arrested in Arizona after unlawfully entering the United States. He was subsequently placed into removal proceeding in October 2021 but failed to report and was considered an absconder. 

On Feb. 25, 2024, in Framingham, Rodrigues was approached by local law enforcement due to an outstanding warrant for his arrest. Rodrigues ignored officers’ commands and resisted arrest. Rodrigues was then transferred into the custody of federal immigration officials. 

On Feb. 26, 2024, while being transported to the Wyatt Detention Center where he was to be detained while in custody of immigration authorities, Rodrigues made numerous attempts to escape. Specifically – while placed in full restraints and seated in the prisoner compartment of the transport van – Rodrigues attempted to unlock the passenger side door by pulling on the lock pin with his teeth. Rodrigues then forced his body through a small gap between the vehicle’s rear cage and passenger side window and into the vehicle’s storage compartment, where he pulled the emergency release pull tab, opened the rear door and jumped out onto the highway when the vehicle entered standstill traffic. After exiting the transport van, Rodrigues ran down the middle of the highway and disappeared. 

Responding law enforcement subsequently located Rodrigues hiding inside a wooden fenced area behind a building in Waltham, approximately a quarter mile from where he exited the vehicle. 

Acting United States Attorney Joshua S. Levy and Todd M. Lyons, Field Office Director, Enforcement and Removal Operations, U.S. Immigration and Customs Enforcement, Boston made the announcement today. Valuable assistance was provided by the Waltham Police Department and the Massachusetts State Police. Assistant U.S. Attorney Lauren Maynard of the Major Crimes Unit prosecuted the case.

BOSTON – A Boston man, who is a Level 3 sex offender, has been arrested and charged with possession of child pornography.

Bryan Horgan, 58, was charged with possession of child pornography. Horgan made his initial appearance in federal court in Boston yesterday following his arrest and agreed to voluntary detention.

According to the charging documents, Horgan was identified as the owner of a Microsoft account uploading child pornography. During a search of Horgan’s residence, it is alleged that one of his electronic devices contained several video files of child pornography depicting children as young as infants. It is further alleged that another device contained filenames with words and phrases indicative of child pornography. 

Horgan was previously convicted in the Suffolk Superior Court of rape of a child, assault to rape a child, indecent assault and battery on a child, disseminating obscene material to a minor, and possession of child pornography.  

The charge of possession of child pornography as a person with a prior conviction under Mass. state law relating to sexual abuse of a minor provides for a sentence of at least 10 years and up to 20 years in prison, five years to life of supervised release and a fine of up to $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.

Acting United States Attorney Joshua S. Levy and Jodi Cohen, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division made the announcement today. Valuable assistance was provided by the Boston Police Department. Assistant U.S. Attorney Jessica L. Soto of the Major Crimes Unit is prosecuting the case.

This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse, launched in May 2006 by the Department of Justice. Led by the U.S. Attorneys’ Offices and the DOJ’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend and prosecute individuals who exploit children, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.

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

BOSTON – A federal grand jury sitting in Worcester has returned an indictment against an Oxford man for child exploitation offenses.

 Michael Lamountain, 41, was indicted on one count of conspiracy to commit sex trafficking, one count of sex trafficking of a minor and four counts of sexual exploitation of a minor. Lamountain is currently in state custody on related offenses and will appear in federal court in Worcester on April 30, 2024. The defendant was previously charged by criminal complaint with one count of sexual exploitation of a minor on Feb. 16, 2024.

According to the charging documents, on July 19, 2023, Lamountain sex trafficked a minor victim and coerced the minor victim to engage in sexually explicit conduct for the purpose of producing child pornography. It is further alleged that Lamountain coerced three other minor victims to engage in sexually explicit conduct for the purpose of producing child pornography. 

Lamountain was arrested in August 2023 and subsequently charged by state authorities in Worcester Superior Court with rape of a child, aggravated indecent assault and battery on a child, depicting minors in sexual conduct, human trafficking of a minor, possession of child pornography, distribution of child pornography and intimidation of a witness.  

    The charge of sexual exploitation of a minor provides for a mandatory minimum sentence of 15 years and up to 30 years in prison, up to a lifetime of supervised release and a fine of $250,000. The charge of sex trafficking of a minor provides for a mandatory minimum sentence of 15 years and up to life in prison, up to a lifetime of supervised release and a fine of up to $250,000. The charge of conspiracy to commit sex trafficking provides for a sentence of up to life in prison, up to a lifetime of supervised release and a fine of up to $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and statutes which govern the determination of a sentence in a criminal case.

Acting United States Attorney Joshua S. Levy; Jodi Cohen, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division; Worcester Police Chief Paul B. Saucier; and Oxford Police Chief Michael K. Daniels made the announcement. Valuable assistance was provided by Rhode Island State Police and Massachusetts State Police. Assistant U.S. Attorney Kristen M. Noto of the Worcester Branch Office is prosecuting the case.

This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse, launched in May 2006 by the Department of Justice. Led by the U.S. Attorneys’ Offices and the DOJ’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who exploit children, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.

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