District of Massachusetts
Press releases recorded for this federal judicial district.
Kaléo Inc. Agrees to Pay $12.7 Million to Resolve Allegations of False Claims for Anti-Overdose DrugRead the Press Release
kaléo Inc., a Virginia-based pharmaceutical manufacturer, has agreed to pay the United States $12.7 million to resolve allegations that kaléo caused the submission of false claims for the drug Evzio, an injectable form of naloxone hydrochloride indicated for use to reverse opioid overdose. Evzio was the highest-priced version of naloxone on the market, and insurers frequently required the submission of prior authorization requests before they would approve coverage for Evzio.
The United States alleged that, between March 14, 2017, and April 30, 2020, kaléo directed prescribing doctors to send Evzio prescriptions to certain preferred pharmacies that in turn (1) submitted false prior authorization requests for Evzio that misrepresented to insurers that the prescribing physicians submitted the request when the pharmacies did so and/or contained false or misleading assertions about the patients’ medical histories, such as false statements that patients had previously tried and failed less costly alternatives to Evzio, and (2) dispensed Evzio without collecting or attempting to collect co-payment obligations from government beneficiaries. The United States contends that kaléo knew of or deliberately ignored this pharmacy misconduct, but nevertheless kept directing business to these pharmacies. The United States also alleged that kaléo provided illegal remuneration to prescribing physicians and their office staff in violation of the Anti-Kickback Statute to induce and reward their prescribing of Evzio.
“Truthful and accurate documentation is essential to the integrity of federal health care programs,” said Acting Assistant Attorney General Brian M. Boynton of the Justice Department’s Civil Division. “Today’s settlement demonstrates that the department will hold to account those who undermine these programs by causing false claims to be submitted to the government.”
“When a pharmaceutical manufacturer knowingly engages with bad actors, they hurt the federal health care system — and they can expect us to see it,” said Acting U.S. Attorney Nathaniel R. Mendell for the District of Massachusetts. “Today’s settlement is our latest signal to pharmaceutical manufacturers that my office does not tolerate health care fraud and will continue to pursue enforcement.”
“The American people, as both taxpayers and consumers, expect pharmaceutical companies like kaléo to abide by relevant laws and regulations,” said Special Agent in Charge Phillip M. Coyne of the U.S. Department of Health and Human Services, Office of the Inspector General (HHS OIG). “When a pharmaceutical company participates in fraud in order to boost profits, it erodes public confidence in the health care system, can compromise the patient-physician relationship and wastes valuable government health care program funds. We will continue to investigate allegations of fraud in close cooperation with our law enforcement partners.”
“Today’s settlement resolves allegations that kaléo used gifts to incentivize and reward providers for prescribing the company’s pricey anti-overdose drug, while turning a blind eye to pharmacies' fraudulent practices that fleeced taxpayer-funded health care programs — programs that all of us pay for and depend on,” said Special Agent in Charge Joseph R. Bonavolonta of the FBI Boston Division. “These unsavory tactics only fuel the FBI’s and our law enforcement partners’ commitment to aggressively root out those who seek to boost their bottom line at the expense of hard-working taxpayers.”
“False claims undermine the integrity of the Federal Employees Health Benefits Program,” said Deputy Inspector General Performing the Duties of the Inspector General Norbert E. Vint of the U.S. Office of Personnel Management, Office of the Inspector General (OPM OIG). “The OPM OIG is committed to protecting the federal health care programs from deceptive schemes that increase the cost of medical care and waste taxpayer dollars.”
“Protecting TRICARE, the health care system for military members and their dependents, is a top priority for the Department of Defense Office of Inspector General Defense Criminal Investigative Service (DCIS),” said Special Agent in Charge Patrick J. Hegarty of DCIS, Northeast Field Office. “When companies submit false authorizations for high-priced medical goods and services, they undermine the integrity of TRICARE and place an unnecessary financial burden on the program. The settlement agreement announced today is the result of a joint effort and demonstrates the DCIS’ ongoing commitment to work with our law enforcement partners to investigate health care fraud.”
The civil settlement includes the resolution of claims brought under the qui tam or whistleblower provisions of the False Claims Act by Rebecca Socol, a former employee of kaléo. Under those provisions, a private party can file an action on behalf of the United States and receive a portion of any recovery. As part of the resolution with kaléo, Ms. Socol will receive $2,548,600 of the settlement amount. The qui tam case is captioned United States ex rel. Socol v. kaléo, Inc., 18-cv010050-RGS (D. Mass.) (under seal).
The resolution obtained in this matter was the result of a coordinated effort between the Justice Department’s Civil Division, Commercial Litigation Branch, Fraud Section and the U.S. Attorney’s Office for the District of Massachusetts, with assistance from the HHS OIG; DCIS; OPM OIG; the FBI; and the U.S. Postal Service Office of Inspector General.
The investigation and resolution of this matter illustrates the government’s emphasis on combating health care fraud. One of the most powerful tools in this effort is the False Claims Act. Tips and complaints from all sources about potential fraud, waste, abuse and mismanagement, can be reported to the Department of Health and Human Services at 800-HHS-TIPS (800-447-8477).
The matter was handled by Trial Attorney Sarah Arni and Assistant U.S. Attorneys David Derusha and Abraham George.
The claims resolved by the settlement are allegations only and there has been no determination of liability.
Dominican National Pleads Guilty to Fentanyl TraffickingRead the Press Release
BOSTON – A Dominican national pleaded guilty today in federal court in Boston to trafficking fentanyl.
Eric Encarnacion Medina, 34, 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 of and possession with intent to distribute 400 grams or more of fentanyl. U.S. District Court Judge Allison D. Burroughs scheduled sentencing for March 2, 2022. Encarnacion Medina was indicted on April 7, 2021.
On Jan. 28, 2021, after coordinating with a source of supply outside the United States, Encarnacion Medina drove to Massachusetts and sold approximately one kilogram of fentanyl to a cooperating witness in a parking lot in Watertown.
The charges of conspiracy and distribution of and possession with intent to distribute 400 grams or more of fentanyl each provide for a mandatory minimum 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 Nathaniel R. Mendell and Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division made the announcement today. Assistant U.S. Attorney Stephen W. Hassink of Mendell’s Narcotics and Money Laundering Unit is prosecuting the case.
The operation was conducted by a multi-agency task force through the Organized Crime Drug Enforcement Task Force (OCDETF), a partnership between federal, state, and local law enforcement agencies. The principal mission of the OCDETF program is to identify, disrupt and dismantle the most serious drug trafficking, weapons trafficking, and money laundering organizations, and those primarily responsible for the nation’s illegal drug supply. More information on the OCDETF program is available here: https://www.justice.gov/ocdetf/about-ocdetf.
Texas Woman Pleads Guilty to Unemployment Fraud Related to COVID-19 PandemicRead the Press Release
BOSTON – A Texas woman pleaded guilty today to her involvement in a scheme to fraudulently claim COVID-19-related unemployment assistance.
Donna Wasson, 37, of San Antonio, Texas, pleaded guilty to three counts of wire fraud. U.S. District Court Chief Judge F. Dennis Saylor IV scheduled sentencing for March 8, 2022. Wasson was indicted on May 27, 2021.
The Coronavirus Aid, Relief, and Economic Security Act (CARES Act) created a temporary federal unemployment insurance program called Pandemic Unemployment Assistance (PUA). PUA, administered by the Massachusetts Department of Unemployment Assistance, provides unemployment insurance benefits for individuals who are not eligible for other types of unemployment benefits (e.g., the self-employed, independent contractors, or gig economy workers).
Wasson applied for Massachusetts unemployment benefits despite residing in Texas and receiving unemployment benefits via the Texas Workplace Commission. In addition, Wasson carried out instructions concerning other fraudulent unemployment claims from a former Massachusetts Department of Unemployment Assistance (DUA) employee, and accessed unemployment claims under multiple stolen identities to fraudulently obtain benefits to which she was not entitled.
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 up to $250,000. The charge of aggravated identity theft provides for a sentence of up to two years in prison, one year of supervised release and a fine of $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
The investigation is being conducted by Homeland Security’s Investigation’s Document and Benefit Fraud Task Force (DBFTF), a specialized field investigative group comprised of personnel from various local, state, and federal agencies with expertise in detecting, deterring, and disrupting organizations and individuals involved in various types of document, identity, and benefit fraud schemes.
Acting United States Attorney Nathaniel R. Mendell; Matthew B. Millhollin, Special Agent in Charge of Homeland Security Investigations in Boston; and Jonathan Mellone, Special Agent in Charge of the U.S. Department of Labor, Office of Inspector General, Labor Racketeering and Fraud Investigations made the announcement today. Special assistance was provided by the Massachusetts Department of Unemployment Assistance, Program Integrity Unit. Assistant U.S. Attorneys William Abely, Chief of Mendell’s Criminal Division, and Dustin Chao, Chief of Mendell’s Public Corruption & Special Prosecutions Unit, are 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, 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.
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 at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
Medical Device Company Arthrex to Pay $16 Million to Resolve Kickback AllegationsRead the Press Release
Arthrex Inc., a Florida-based medical device company, has agreed to resolve allegations that it violated the False Claims Act by paying kickbacks that caused the submission of false claims to the Medicare program.
According to the settlement, Arthrex Inc., which specializes in orthopedic products, has agreed to pay $16 million for allegedly paying kickbacks to a Colorado-based orthopedic surgeon. The settlement resolves allegations that Arthrex agreed to provide remuneration to the surgeon in the form of royalty payments purportedly for the surgeon’s contributions to Arthrex’s SutureBridge and SpeedBridge products when the remuneration was in fact intended to induce the surgeon’s use and recommendation of Arthrex’s products. The United States contended that Arthrex’s participation in this arrangement violated the Federal Anti-Kickback statute and, in turn, the False Claims Act by causing the submission of false or fraudulent Medicare claims.
“The Department of Justice will continue to pursue medical device manufacturers that pay kickbacks to boost their profits,” said Acting Assistant Attorney General Brian M. Boynton of the Justice Department’s Civil Division. “Such arrangements can improperly influence physicians’ decision-making and result in the misuse of critical federal health care program funds.”
“Paying bribes to physicians to distort their medical decision-making corrupts the health care system,” said Acting U.S. Attorney Nathaniel R. Mendell for the District of Massachusetts. “This settlement demonstrates our dedication to ensuring that taxpayers and patients get a health care system that is on the level. Kickbacks have no place anywhere in our health care system, and we will continue to identify and punish this illegal conduct.”
“Medical device manufacturers who engage in such kickback schemes undermine the integrity of federal health care programs,” said Special Agent in Charge Phillip M. Coyne of the Department of Health and Human Services Office of Inspector General (HHS-OIG). “Working closely with our law enforcement partners, our agency will continue to protect patients and taxpayers by holding accountable companies that engage in unlawful activities.”
In connection with the settlement, Arthrex entered into a five-year corporate integrity agreement with HHS-OIG, setting forth requirements for future compliance.
The settlement resolves claims brought in a lawsuit under the qui tam or whistleblower provisions of the False Claims Act by Joseph Shea. The lawsuit was filed in the U.S. District Court for the District of Massachusetts and is captioned United States ex rel. Shea v. Arthrex Inc. et al., No. 20-cv-10210-ADB (D. Mass.). Under the False Claims Act’s qui tam provisions, a private party can file an action on behalf of the United States and receive a portion of any recovery. Shea will receive $2.5 million of the False Claims Act settlement.
The resolution obtained in this matter was the result of a coordinated effort between the Civil Division’s Commercial Litigation Branch (Fraud Section); the U.S. Attorney’s Office for the District of Massachusetts; HHS-OIG; and the FBI.
Trial Attorney Andrew Jaco of the Civil Division’s Commercial Litigation Branch (Fraud Section) and Assistant U.S. Attorneys David Derusha and Charles Weinograd of the District of Massachusetts are handling this case.
The investigation and resolution of this matter illustrates the government’s emphasis on combating health care fraud. One of the most powerful tools in this effort is the False Claims Act. Tips and complaints from all sources about potential fraud, waste, abuse and mismanagement can be reported to the Department of Health and Human Services at 800-HHS-TIPS (800-447-8477).
The claims resolved by the settlement are allegations only, and there has been no determination of liability.
Boston Man Sentenced for Firearm and Ammunition OffensesRead the Press Release
BOSTON – A Boston man was sentenced today for illegal possession of a firearm and ammunition.
Rahshjeem Benson, a/k/a “Six Nine,” 39, was sentenced by U.S. District Court Judge Leo T. Sorokin to nine years in prison and three years of supervised release. On July 7, 2021, Benson was convicted by a federal jury of one count of being a felon in possession of a firearm and ammunition.
In April 2019, Benson was arrested inside a bar in the Copley area of Boston after he was observed selling cocaine outside the bar and cocaine was recovered from the purchaser. A Charter Arms Bulldog Pug .44 SPL caliber revolver loaded with five Smith & Wesson .44 SPL caliber cartridges was found in Benson’s sweatshirt pocket following his arrest. A subsequent investigation revealed that the firearm had been stolen from a car in New Hampshire approximately three weeks prior. Moreover, text messages on Benson’s cell phone revealed that for months prior to his arrest, Benson had been regularly selling drugs including cocaine, heroin and fentanyl from the bar and elsewhere in the Copley area.
Due to prior felony convictions for drug trafficking and unlawful possession of a firearm, Benson is prohibited from possessing firearms or ammunition.
Acting United States Attorney Nathaniel R. Mendell; James Ferguson, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives, Boston Field Division; and Boston Police Acting Commissioner Gregory Long made the announcement today. Assistant U.S. Attorneys Elianna J. Nuzum and Fred M. Wyshak, III of Mendell’s Criminal Division prosecuted the case.
This case is part of Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Arthrex Agrees to Pay $16 Million to Resolve Kickback AllegationsRead the Press Release
BOSTON – Arthrex Inc. (Arthrex), a Florida-based orthopedic device company, has agreed to pay $16 million to resolve allegations that it violated the False Claims Act (FCA) by paying kickbacks to a physician to induce the physician’s use and recommendation of Arthrex products, thereby causing the submission of false claims to the federal government for orthopedic procedures.
The settlement resolves allegations that Arthrex paid a Colorado-based orthopedic surgeon millions of dollars under the guise of royalty payments. While Arthrex’s agreement with the surgeon purported to compensate the surgeon for contributing to the development of certain orthopedic products, the government contends that Arthrex made the payments to induce the surgeon’s use and recommendation of Arthrex products. As a result, the government alleges that Arthrex violated the Anti-Kickback Statute and, in turn, the FCA.
“Paying bribes to physicians to distort their medical decision-making corrupts the health care system,” said Acting United States Attorney Nathaniel R. Mendell. “This settlement demonstrates our dedication to ensuring that taxpayers and patients get a health care system that is on the level. Kickbacks have no place anywhere in our health care system, and we will continue to identify and punish this illegal conduct.”
“The Department of Justice will continue to pursue medical device manufacturers that pay kickbacks to boost their profits,” said Acting Assistant Attorney General Brian M. Boynton for the Justice Department’s Civil Division. “Such arrangements can improperly influence physicians’ decision-making and result in the misuse of critical federal health care program funds.”
“Medical device manufacturers who engage in such kickback schemes undermine the integrity of federal health care programs,” said Special Agent in Charge Phillip M. Coyne of the Department of Health and Human Services Office of Inspector General (HHS-OIG). “Working closely with our law enforcement partners, our agency will continue to protect patients and taxpayers by holding accountable companies that engage in unlawful activities.”
“Arthrex may have believed it could increase profits by paying millions of dollars in kickbacks to a physician, under the guise of royalty payments, to increase the use of its products. But today’s $16 million settlement makes it clear that its unscrupulous scheme backfired,” said Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division. “Anyone involved in, or entertaining, similar activity should know that health care fraud is a priority for the FBI, and we will pursue anyone trying to misuse this country’s vital health care system.”
Under the terms of the settlement agreement, Arthrex will pay the government $16 million. In connection with the settlement, Arthrex entered into a five-year corporate integrity agreement with HHS-OIG, setting forth requirements for future compliance.
The settlement resolves allegations originally brought in a lawsuit filed by a whistleblower under the qui tam provisions of the False Claims Act, which allow private parties, known as relators, to bring suit on behalf of the government and to share in any recovery. The lawsuit was filed in the U.S. District Court for the District of Massachusetts and is captioned United States ex rel. Shea v. Arthrex Inc., et al., No. 20-cv-10210-ADB (D. Mass.). Under the FCA’s qui tam provisions, a private party can file an action on behalf of the United States and receive a portion of any recovery. In this case, the relator will receive 15.625 percent.
Acting U.S. Attorney Mendell, Acting AAG Boynton, HHS-OIG SAC Coyne, and FBI SAC Bonavolonta made the announcement. Assistant U.S. Attorneys David J. Derusha and Charles B. Weinograd of Mendell’s Affirmative Civil Enforcement Unit and Trial Attorney Andrew Jaco of the Justice Department’s Civil Division handled the matter.
Former University Athletic Official Pleads Guilty in College Admissions CaseRead the Press Release
BOSTON – The former senior women’s administrator at the University of Southern California (USC) pleaded guilty today in connection with a scheme to admit students as purported athletic recruits in exchange for money.
Donna Heinel, 60, of Long Beach, Calif., pleaded guilty to honest services wire fraud. U.S. District Court Judge Indira Talwani scheduled sentencing for March 11, 2022.
According to the terms of the plea agreement, the government will recommend a prison sentence within the sentencing guideline range, a fine within the sentencing guidelines range, two years of supervised release and forfeiture.
As set forth in the charging document, Heinel solicited and received bribe payments from William “Rick” Singer and his clients to facilitate their children’s admission to USC as athletic recruits. Specifically, Heinel presented athletic profiles to the USC subcommittee for athletic admissions, presenting the students as legitimate recruits to USC’s athletic teams when in fact they were not. Heinel did so in exchange for payments, including to university athletic accounts she designated, without disclosing that fact to the USC subcommittee for athletic admissions.
The charge of honest services wire fraud provides for a sentence of up to 20 years in prison, three years of supervised release, a fine of $250,000 or twice the gross gain or loss, whichever is greater, forfeiture, and restitution. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
Case information, including the status of each defendant, charging documents and plea agreements are available here: https://www.justice.gov/usao-ma/investigations-college-admissions-and-testing-bribery-scheme.
Acting United States Attorney Nathaniel R. Mendell; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division; Joleen D. Simpson, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigations in Boston; and Mark Deckett, Resident Agent in Charge of the Department of Education, Office of Inspector General made the announcement today. Assistant U.S. Attorneys Leslie A. Wright, Kristen A. Kearney and Kriss Basil of Mendell’s Criminal Division are prosecuting the case.
The details contained in the charging documents are allegations. The remaining defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Connecticut Man Sentenced for Stolen Firearms Offenses and Making False StatementsRead the Press Release
BOSTON – A Connecticut man was sentenced today in federal court in Springfield in connection with stealing 17 firearms from a West Springfield gun shop and making false statements to federal agents.
Fernando Rivera, 25, of New Britain, Conn., was sentenced by U.S. District Court Judge Mark G. Mastroianni to 87 months in prison and three years of supervised release. On May 5, 2021, Rivera pleaded guilty to one count each of theft of a firearm from a Federal Firearms Licensee; being a felon in possession of a firearm; interstate transportation of a stolen firearm; receipt, possession, concealment, storage, barter, sale, or disposition of a stolen firearm in interstate commerce; and making false statements to a federal official.
Shortly after midnight on or about Aug. 29, 2020, Rivera and co-defendant Christian Castro engaged in a crime spree in Vermont, New Hampshire and Massachusetts that included seven ATM thefts or attempted thefts and culminated in the theft of 17 firearms from a federal firearms licensee in West Springfield. At the time of his offenses, Rivera was a felon on state probation for a prior narcotic charge in Connecticut.
On Sept. 18, 2020, federal agents arrested Rivera and Castro at their homes in Connecticut. During interviews with investigators, Castro admitted that he drove to and from several ATM robberies and the gun store robbery, but falsely stated he never received, kept or even touched any of the stolen guns.
During a search of Rivera’s phone, investigators identified several photographs and videos depicting Rivera (and Castro in one instance) with many of the stolen firearms. A forensic extraction of the defendants’ phones revealed communications indicating that on Sept. 4, 2020, Rivera discovered that he was a suspect in the thefts and then traveled with Castro to New York to sell at least three of the firearms.
On Oct. 29, 2021, Castro was sentenced by Judge Mastroianni to 87 months in prison and three years of supervised release.
Acting United States Attorney Nathaniel R. Mendell and James Ferguson, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms, and Explosives, Boston Field Division made the announcement. Special assistance was provided by the Massachusetts State Police; Springfield, Hadley, West Springfield, New Britain (Conn.) and Middletown (Conn.) Police Departments; Connecticut State Police; Connecticut Department of Correction; and Connecticut Judicial Branch Adult Probation. Assistant U.S. Attorneys Steven H. Breslow and Julian Canzoneri of Mendell’s Springfield Branch Office prosecuted the case.
Brockton Woman Pleads Guilty to Stealing Veterans Affairs FundsRead the Press Release
BOSTON – A Brockton woman pleaded guilty today in federal court in Boston to stealing veteran affairs benefits.
Robin Calef, 63, pleaded guilty to one count of theft of public funds. U.S. Senior District Court Judge Douglas P. Woodlock scheduled sentencing for March 1, 2022.
In December 2006, Calef’s sister, who was receiving monthly benefits from the Department of Veterans Affairs (VA), passed away. Calef failed to inform the VA of her sister’s death, and the VA continued to deposit monthly benefits into a bank account held by Calef and her sister. From Dec. 1, 2006 to Sept. 20, 2017, Calef stole approximately $102,289 in VA funds from that bank account.
The charge of theft of government funds provides for a sentence of up to 10 years in prison, three years of supervised release and a fine of $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
Acting United States Attorney Nathaniel R. Mendell 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 today. Assistant U.S. Attorney Suzanne Sullivan Jacobus of Mendell’s Major Crimes Unit is prosecuting the case.
Rhode Island Man Arrested for Unemployment Fraud Scheme Related to COVID-19 PandemicRead the Press Release
BOSTON – A Rhode Island man was arrested today in Michigan and charged in federal court in Boston in connection with his alleged involvement in a fraudulent scheme to obtain over $450,000 in COVID-19-related unemployment assistance.
Dquintz Alexander, 34, of Cranston, R.I., was indicted on five counts of wire fraud, one count of conspiracy to commit wire fraud and one count of aggravated identity theft. Alexander was released on conditions following an initial appearance in the Eastern District of Michigan this afternoon and will appear in federal court in Boston at a later date.
In March 2020, in response to the global coronavirus pandemic, Congress passed the Coronavirus Aid, Relief, and Economic Security Act (CARES Act), which among other things, created a temporary federal unemployment insurance program called Pandemic Unemployment Assistance (PUA). The PUA program, which in Massachusetts was administered by the Department of Unemployment Assistance, provided unemployment insurance benefits for individuals who are not eligible for other types of unemployment benefits.
According to the charging documents, Alexander participated in a scheme that obtained over $450,000 in proceeds from fraudulent PUA claims submitted between April and June 2020 in Massachusetts. Alexander and co-conspirator Norman Higgs allegedly opened bank accounts to receive payments on the fraudulent PUA claims. It is alleged that Alexander and Higgs used various methods to hide their identities in an effort to conceal the scheme, including Virtual Private Network (VPN) services, overseas email accounts and phone numbers from Voice over Internet Protocol (VoIP) services.
On Sept. 17, 2021, Higgs pleaded guilty to one count of wire fraud conspiracy and is scheduled to be sentenced on Dec. 17, 2021.
The charges of wire fraud and conspiracy to commit wire fraud each provide for a sentence of up to 20 years in prison, three years of supervised release and a fine of $250,000 or twice the gross gain or loss, whichever is greater. The charge of aggravated identity theft provides for a mandatory sentence of two years in prison to be served consecutively to any other sentence imposed. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
Acting United States Attorney Nathaniel R. Mendell; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division; and Jonathan Mellone, Special Agent in Charge of the Department of Labor, Office of Inspector General, Labor Racketeering and Fraud Investigations, made the announcement today. The Massachusetts Department of Unemployment Assistance provided valuable assistance with the investigation. Assistant U.S. Attorney Christopher J. Markham of Mendell’s Securities, Financial & Cyber Fraud 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, 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.
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 at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-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.
New Bedford Man Sentenced for Cocaine ConspiracyRead the Press Release
BOSTON – A New Bedford man was sentenced today for conspiring to distribute large quantities of cocaine.
Jaime Torres, 48, was sentenced by U.S. Senior District Court Judge Douglas P. Woodlock to 78 months in prison and five years of supervised release. On June 16, 2021, Torres pleaded guilty to one count of conspiring to distribute and to possess with intent to distribute 500 grams or more of cocaine and one count of possession with intent to distribute 500 grams or more of cocaine, 100 grams or more of heroin, 40 grams or more of fentanyl and five grams or more of methamphetamine.
From at least February 2019 through December 2019, Torres conspired with others to distribute large quantities of cocaine. Investigators intercepted a number of communications between Torres and co-conspirators, including communications on or about June 17, 2019, in which Torres and various co-conspirators agreed to distribute two kilograms of cocaine or more. Later that day, investigators seized approximately two kilograms of cocaine from Torres’s storage unit as well as 117 grams of a mixture and substance containing heroin, 55 grams of a mixture and substance containing fentanyl and over 43 grams of methamphetamine.
Acting United States Attorney Nathaniel R. Mendell; Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration, New England Field Division; Ketty Larco-Ward, Inspector in Charge of the United States Postal Inspector Service, Boston Division; and New Bedford Police Chief Joseph C. Cordeiro made the announcement. Assistant U.S. Attorney Craig Estes of Mendell’s Narcotics and Money Laundering Unit 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.
New Bedford Man Sentenced for Being a Felon in Possession of Firearms and AmmunitionRead the Press Release
BOSTON – A New Bedford man was sentenced yesterday for illegally possessing three firearms and ammunition.
Jose Montanez, 24, was sentenced by U.S. District Court Judge Richard G. Stearns to three years in prison and three years of supervised release. On June 2, 2021, Montanez pleaded guilty to one count of possessing a firearm and ammunition while being a convicted felon.
On or about July 20, 2020, Montanez had a Smith and Wesson .380 Bodyguard; an H&R .22 caliber revolver; a Springfield XD-40 .40 caliber handgun; six rounds of .380 ammunition; and 279 rounds of .22 caliber ammunition inside of a hotel room in which he was staying. Federal law prohibits Montanez from possessing a firearm or ammunition due to a prior felony conviction.
The charge of being a convicted felon in possession of a firearm and ammunition provides for a sentence of up to 10 years in prison, up to three years of supervised release and a fine of up to $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
Acting United States Attorney Nathaniel R. Mendell; James Ferguson, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives, Boston Field Division; and New Bedford Police Chief Joseph C. Cordeiro made the announcement. Assistant U.S. Attorneys Kenneth G. Shine and Evan Gotlob of Mendell’s Major Crimes Unit prosecuted case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.
Lawrence Woman Sentenced to Prison for Identity Theft and Unemployment Fraud Related to COVID-19 PandemicRead the Press Release
BOSTON – A Lawrence woman was sentenced today in connection with her involvement in a scheme to fraudulently obtain COVID-19-related unemployment assistance.
Raquel Pena, 40, was sentenced by U.S. Senior District Court Judge William G. Young to three years in prison and one year of supervised release. Pena was also ordered to pay restitution for any money that the government is unable to recover from the fraudulent unemployment assistance, which is currently estimated at $360,700. On July 15, 2021, Pena pleaded guilty to wire fraud and aggravated identity theft.
In March 2020, in response to the global coronavirus pandemic, Congress passed the Coronavirus Aid, Relief, and Economic Security Act (CARES Act), which among other things, created a temporary federal unemployment insurance program called Pandemic Unemployment Assistance (PUA). The PUA program, which in Massachusetts was administered by the Department of Unemployment Assistance, provided unemployment insurance benefits for individuals who are not eligible for other types of unemployment benefits.
Pena possessed a notebook containing the names and personal information of others, which Pena and her co-conspirators used to file fraudulent PUA claims. Pena recruited acquaintances to receive the proceeds of the fraudulent claims into their bank accounts and give all or a portion of the cash to Pena. The investigation connected Pena and her co-conspirators to $360,700 in unemployment claims paid between May 2020 and March 2021.
Acting United States Attorney Nathaniel R. Mendell; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division; and Jonathan Mellone, Special Agent in Charge of Department of Labor, Office of Inspector General, Labor Racketeering and Fraud Investigations made the announcement today. The Massachusetts Department of Unemployment Assistance provided assistance in the investigation. Assistant U.S. Attorney Christopher J. Markham of Mendell’s Securities, Financial & Cyber Fraud Unit prosecuted 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, 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.
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 at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
Lawrence Man Arrested on Firearms and Narcotics ChargesRead the Press Release
BOSTON – A Lawrence man was arrested today and charged with firearms and drug offenses.
Miguel Mejia, 35, was indicted on one count of dealing in firearms without a license and one count of possession with intent to distribute and distribution of 40 grams more of fentanyl. Following an initial appearance this afternoon before U.S. District Court Magistrate Judge Jennifer C. Boal, Mejia was detained pending a detention hearing scheduled for Nov. 10, 2021.
According to the indictment, between July 7, 2020 and Dec. 16, 2020, Mejia sold five privately made firearms, more commonly known as ghost-guns. Additionally, on July 31, 2020, it is alleged that Mejia sold more than 40 grams of fentanyl.
The charge of dealing in firearms without a license 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 possession with intent to distribute and distribution of 40 grams or more of fentanyl provides for a sentence of at least five years and up to 40 years in prison, at least four years and up to a lifetime of supervised release and a fine of up to $5 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 Nathaniel R. Mendell and James Ferguson, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms & Explosives, Boston Field Division made the announcement today. Assistant U.S. Attorney Benjamin A. Saltzman of Mendell’s Major Crimes Unit is prosecuting the case.
This prosecution is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.
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.
Former Member of New Bedford Latin Kings Chapter Pleads Guilty to Racketeering ConspiracyRead the Press Release
BOSTON – A former member of the New Bedford Chapter of the Massachusetts Almighty Latin King and Queen Nation (Latin Kings) pleaded guilty yesterday to racketeering charges.
Luis Mendez, a/k/a “King Primo,” 40, pleaded guilty to conspiracy to conduct enterprise affairs through a pattern of racketeering activity, more commonly referred to as RICO conspiracy. U.S. Senior District Court Judge Rya W. Zobel scheduled sentencing for Feb. 2, 2022.
The Latin Kings are a violent criminal enterprise comprised of thousands of members across the United States. The Latin Kings adhere to a national manifesto, employ an internal judiciary and use a sophisticated system of communication to maintain the hierarchy of the organization. As alleged in court documents, the gang uses drug distribution to generate revenue, and engages in violence against witnesses and rival gangs to further its influence and to protect its turf.
Mendez admitted to participating in a May 2018 shooting that targeted two victims who objected to Latin Kings members dealing drugs in one of the victim’s driveway. According to court documents, as the victims exited their residence and entered a vehicle, Mendez and other Latin Kings members surrounded the vehicle, slashed the tires and kicked the doors of the vehicle. Another Latin Kings member fired at least four gunshots into the vehicle striking both victims. The victims escaped and were treated for life-threatening injuries at a nearby hospital. Communications between Mendez and other members of the New Bedford Latin Kings Chapter were later intercepted discussing how the victims had been successfully intimidated and coerced into not attending court proceedings or cooperating with the prosecution. In addition to the May 2018 shooting, Mendez also participated in the Latin Kings drug distribution conspiracy based in New Bedford in multi-family apartment buildings known as “trap houses.”
In December 2019, a federal grand jury returned an indictment alleging racketeering conspiracy, drug conspiracy and firearms charges against 62 leaders, members and associates of the Latin Kings. Mendez is the 55th defendant to plead guilty in the case.
The RICO conspiracy charge provides for a sentence of up to 20 years in prison, three years of supervised release and a fine of $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
Acting United States Attorney Nathaniel R. Mendell; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division; Commissioner Carol Mici of the Massachusetts Department of Correction; and New Bedford Police Chief Joseph C. Cordeiro made the announcement. Valuable assistance was also provided by the FBI North Shore Gang Task Force and the Bristol County and Suffolk County District Attorney’s Offices. Assistant U.S. Attorney Philip A. Mallard of Mendell’s Organized Crime and Gang 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.
The details contained in the charging documents are allegations. The remaining defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Former Boston Police Officer Pleads Guilty to Overtime Fraud SchemeRead the Press Release
BOSTON – A former Boston Police officer pleaded guilty today in connection with an ongoing investigation of overtime fraud at the Boston Police Department’s (BPD) evidence warehouse.
Thomas Nee, 64, of Quincy, pleaded guilty to one count of conspiracy to commit theft concerning programs receiving federal funds and one count of embezzlement from an agency receiving federal funds. U.S. District Court Judge Richard G. Stearns scheduled sentencing for May 17, 2022. Nee was charged on Oct. 4, 2021.
From at least February 2015 through February 2018, Nee submitted false and fraudulent overtime slips for overtime hours that he did not work at the evidence warehouse. The “purge” overtime, was a 4 – 8 p.m. weekday shift intended to dispose of old, unneeded evidence. “Kiosk” overtime involved driving to each police district in Boston one Saturday a month to collect old prescription drugs to be burned.
For the “purge” shift, Nee claimed to have worked from 4 – 8 p.m., but he and, allegedly, other members of the unit, routinely left at 6 p.m., or earlier. For the “kiosk” shift, Nee submitted overtime slips claiming to have worked eight-and-one-half hours, when in fact he and, allegedly, other members of the unit, only worked three-to-four hours of those shifts. As a result, between February 2015 and February 2018, Nee personally collected approximately $16,642 for overtime hours he did not work.
To date, 15 Boston Police officers have been charged in connection with committing overtime fraud at the Boston Police Department’s evidence warehouse. Nee is the ninth officer to plead guilty.
From 2015 through 2019, BPD received annual benefits from the U.S. Department of Transportation and U.S. Department of Justice in excess of $10,000, which were funded pursuant to numerous federal grants.
The charge of embezzlement from an agency receiving federal funds provides for a sentence of up to 10 years in prison, three years of supervised release and a fine of $250,000 or twice the gross gain or loss. 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. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
Acting United States Attorney Nathaniel R. Mendell; Russell W. Cunningham, Special Agent in Charge of the Department of Justice Office of the Inspector General, Washington Field Office; and Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division made the announcement today. Assistance was provided by the Boston Police Department. Assistant U.S. Attorney Mark Grady, Deputy Chief of Mendell’s Major Crimes Unit, is prosecuting the case.
Marstons Mills Man Pleads Guilty to Child Pornography ChargesRead the Press Release
BOSTON – A Marstons Mills man pleaded guilty today in federal court in Boston to charges of distributing, receiving and possessing child pornography.
Steven Carme, 32, pleaded guilty to one count of distribution of child pornography, one count of receipt of child pornography and one count of possession of child pornography involving a prepubescent minor and a minor who had not attained 12 years of age. U.S. District Court Judge Richard G. Stearns scheduled sentencing for March 8, 2022. Carme was indicted in February 2019 and released by the Court on conditions.
Between Feb. 2, 2017 and Feb. 5, 2019, Carme downloaded and distributed numerous image and video files depicting child pornography via peer-to-peer file sharing software. During a search of Carme’s residence, a laptop and an external hard drive were seized. Forensic review of the external hard drive revealed approximately 7,881 images and 616 videos of child pornography. During an onsite interview, Carme admitted that the laptop and hard drive were his and that he downloaded, stored and distributed child pornography.
The charges of distribution and receipt of child pornography each provide for a mandatory minimum sentence of five years and up to 20 years in prison. The charge of possession of child pornography involving a prepubescent minor provides for a sentence of up to 20 years in prison. Each charge also provides for a mandatory minimum of five years and up to a lifetime of supervised release and a fine of up to $250,000. Sentences are imposed by a federal district court judge based on the U.S. Sentencing Guidelines and other statutory factors.
Acting United States Attorney Nathaniel R. Mendell; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division; and Barnstable Police Chief Matthew Sonnabend made the announcement today. Assistant U.S. Attorney Elianna J. Nuzum of Mendell’s Major Crimes Unit is prosecuting the case.
The case is brought as part of Project Safe Childhood. In 2006, the Department of Justice created Project Safe Childhood, a nationwide initiative designed to protect children from exploitation and abuse. Led by the U.S. Attorneys’ Offices and the 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.
Stoneham Man Pleads Guilty to Identity Theft and Fraud Related to COVID-19 Pandemic Unemployment AssistanceRead the Press Release
BOSTON – A Stoneham man pleaded guilty today to his involvement in a fraudulent scheme to obtain COVID-19-related unemployment assistance using stolen personal information.
Daniel Maleus, 33, pleaded guilty to one count of conspiracy to commit wire fraud, five counts of wire fraud and one count of aggravated identity theft. U.S. Senior District Court Judge Rya W. Zobel scheduled sentencing for Feb. 15, 2022. Maleus was indicted on July 22, 2021.
In March 2020, in response to the global coronavirus pandemic, Congress passed the Coronavirus Aid, Relief, and Economic Security Act (CARES Act), which among other things, created a temporary federal unemployment insurance program called Pandemic Unemployment Assistance (PUA). The PUA program, which in Massachusetts is administered by the Department of Unemployment Assistance, provided unemployment insurance benefits for individuals who were not eligible for other types of unemployment benefits. Maleus filed and conspired with others to file fraudulent PUA claims using the stolen personal information of others as well as email accounts Maleus and others created in the names of their victims. Maleus and his co-conspirators obtained more than $250,000 in payments on fraudulent unemployment claims submitted between April 2020 and April 2021.
The charges of wire fraud and conspiracy to commit wire fraud each provide for a sentence of up to 20 years in prison, three years of supervised release and a fine of $250,000 or twice the gross gain or loss, whichever is greater. The charge of aggravated identity theft provides for a mandatory sentence of two years in prison to be served consecutively to any other sentence imposed. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
Acting United States Attorney Nathaniel R. Mendell; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division; and Jonathan Mellone, Special Agent in Charge of the Department of Labor, Office of Inspector General, Office of Investigations made the announcement. Special assistance was provided by the Massachusetts Department of Unemployment Assistance. Assistant U.S. Attorney Christopher J. Markham of Mendell’s Securities, Financial & Cyber Fraud 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, 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.
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 at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
Peabody Construction Company Owner Pleads Guilty to Tax and Workers' Compensation FraudRead the Press Release
BOSTON – The owner of a now-defunct Peabody construction company pleaded guilty yesterday in connection with a scheme to defraud the IRS of payroll taxes and to defraud his workers’ compensation insurance carrier by failing to disclose how many workers he employed.
Argyrios “Eric” Mavros, 57, pleaded guilty to 10 counts of failure to collect or pay over taxes and one count of mail fraud. U.S. Senior District Court Judge William G. Young scheduled sentencing for Feb. 17, 2022. Mavros was indicted in September 2020.
Mavros, who owned Mavros Construction, Inc., cashed more than $3.3 million in customer checks at a Peabody check cashing business and used some of those funds to pay his employees in cash. Mavros failed to report these employees or their wages in quarterly corporate tax filings, in an effort to avoid paying Social Security and Medicare taxes on employee wages and withholding federal income taxes. Overall, it is alleged that Mavros failed to pay and withhold federal taxes on more than $2.5 million in wages, resulting in a tax loss of over $1 million. Additionally, Mavros failed to report these employees to his workers’ compensation insurance carrier, thereby defrauding his insurer of premiums.
The charge of failure to collect and pay over taxes provides for a sentence of up to five years in prison, three years of supervised release and a fine of $10,000. The charge of mail fraud provides for a sentence of up to 20 years in prison, three years of supervised release and a fine of $250,000 or twice the gross gain or loss, whichever is greater. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
Acting United States Attorney Nathaniel R. Mendell and Joleen D. Simpson, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigation in Boston made the announcement. Valuable assistance was provided by the Insurance Fraud Bureau of Massachusetts. Assistant U.S. Attorney Kristen A. Kearney of Mendell’s Securities, Financial & Cyber Fraud Unit is prosecuting the case.
Dorchester Man Pleads Guilty to Sex Trafficking ChargesRead the Press Release
BOSTON – A Dorchester man pleaded guilty yesterday in federal court in Boston to various sex trafficking charges.
Bruce Brown, a/k/a “Arki,” 43, of Boston, pleaded guilty to sex trafficking of a minor; transportation of a minor for purposes of prostitution; two counts of conspiracy to commit sex trafficking by force, fraud and coercion; obstruction of justice; and witness tampering. U.S. District Court Judge Patti B. Saris scheduled sentencing for Feb. 10, 2022.
Brown was originally indicted in February 2020. In June 2020, Brown was charged in a superseding indictment with obstruction of justice and witness tampering for his attempt to influence a victim’s testimony related to the charges against him. Brown dubbed this scheme his “Plan B.” In July 2020, Brown was charged in a second superseding indictment.
The charges of conspiracy to commit sex trafficking provide for a sentence of up to life in prison, five years of supervised release and a fine of $250,000. The charge of sex trafficking of a minor provides for a mandatory minimum sentence of 10 years and up to life in prison, five years of supervised release and a fine of $250,000. The charge of obstruction of justice provides for a sentence of up to 10 years in prison, three years of supervised release and a fine of $250,000. The charge of attempted witness tampering 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 sex trafficking of a minor provides for a mandatory minimum sentence of 10 years and up to life in prison, five years of supervised release and a fine of $250,000. Sentences are imposed by a federal district court judge based on the U.S. Sentencing Guidelines and other statutory factors.
Acting United States Attorney Nathaniel R. Mendell and Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division made the announcement today. The Newton Police Department provided valuable assistance in the investigation. Assistant U.S. Attorneys Mackenzie A. Queenin and Mackenzie J. Duane of Mendell’s Civil Rights Enforcement Team are prosecuting the case.
Boston Man Pleads Guilty to Armed Robbery of North End MarketRead the Press Release
BOSTON – A Boston man pleaded guilty today in federal court in Boston to the armed robbery of a grocery store in Boston’s North End.
Dante Mirabella, 52, pleaded guilty to one count of interfering with commerce by robbery, one count of brandishing a firearm during a crime of violence and one count of being a felon in possession of a firearm and ammunition. U.S. District Court Judge Allison D. Burroughs scheduled sentencing for March 1, 2022. Mirabella was indicted in August 2019.
Mirabella robbed Bob’s Grocery Store on May 30, 2019, while brandishing a Hi-Point .380 caliber semi-automatic pistol. According to the indictment Mirabella is prohibited from possessing any firearm or ammunition due to a prior felony conviction.
The charge of interfering with commerce by 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 brandishing a firearm during a violent crime provides for a sentence of at least seven years and up to life in prison, to be served consecutive to any other sentence imposed, up to five years of supervised release and a fine of up to $250,000. The charge of being a felon in possession of a firearm and ammunition provides for a sentence of up to 10 years in prison, three years of supervised release and a fine of $250,000. Sentences are imposed by a federal district court judge based on the U.S. Sentencing Guidelines and other statutory factors.
Acting United States Attorney Nathaniel R. Mendell; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division; and Boston Police Acting Commissioner Gregory Long made the announcement today. Assistant U.S. Attorney Benjamin Alfredo Saltzman of Mendell’s Major Crimes Unit is prosecuting the case.
Boston Man Convicted of Drug Trafficking ConspiracyRead the Press Release
BOSTON – A Boston man was convicted by a federal jury on Friday, Oct. 29, 2021 in connection with possessing and conspiring to distribute drugs including fentanyl, heroin and cocaine.
Adriano Cortez, a/k/a, “A,” 27, was convicted following a week-long trial of one count of conspiracy to distribute and possess with intent to distribute 40 grams or more of fentanyl and cocaine and one count of possession with intent to distribute 100 grams or more of heroin, 40 grams or more of fentanyl and cocaine. U.S. District Court Chief Judge F. Dennis Saylor IV scheduled sentencing for March 3, 2022. Cortez was charged in a superseding indictment in October 2020.
In March 2015, Cortez was observed conducting what appeared to be a street-level drug deal in Weymouth. When he was approached by police, Cortez fled from his vehicle and a foot pursuit ensued. Cortez was subsequently apprehended at which time he was found carrying multiple drugs including mixtures and substances containing more than 40 grams of fentanyl, more than 100 grams of heroin and cocaine. Cortez was arrested and placed on court-ordered location monitoring and later home detention in connection with this conduct.
Between September and November 2017, while still on court-ordered location monitoring and home detention, Cortez orchestrated approximately 10 drug deals with undercover officers. During this conspiracy, Cortez managed all aspects of the drug operation from his Dorchester residence. Cortez informed undercover officers of the meeting location and payment amount for each drug deal and dispatched numerous associates to meet with the undercover officers to deliver cocaine or fentanyl, or both. The associates then returned the cash proceeds back to Cortez at his home.
The charge of conspiracy to distribute and possess with intent to distribute 40 grams or more of fentanyl and cocaine provides for a sentence of up to 40 years in prison, up to a lifetime of supervised release and a fine of up to $5 million. The charge of possession with intent to distribute 100 grams or more of heroin, 40 grams or more of fentanyl and cocaine provides for a sentence of up to 40 years in prison, up to a lifetime of supervised release and a fine of $5 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 Nathaniel Mendell; James Ferguson, Special Agent in Charge of Bureau of Alcohol, Tobacco Firearms & Explosives; Brian D. Boyle, Special Agent in Charge of Drug Enforcement Administration; Boston Police Acting Commissioner Gregory Long; and Weymouth Police Chief Richard Fuller made the announcement. Assistant U.S. Attorneys Sarah B. Hoefle and John T. Mulcahy of Mendell’s Criminal Division are prosecuting the case.
Worcester Man Convicted of Drug Trafficking and Firearm OffensesRead the Press Release
BOSTON – A Worcester man was convicted today by a federal jury in Worcester of fentanyl, heroin, cocaine and crack cocaine trafficking.
Daniel Donald, 40, was convicted of one count of possession with intent to distribute over 100 grams of heroin, over 500 grams of cocaine, over 28 grams of cocaine base (a/k/a crack cocaine), and fentanyl; and one count of being a felon in possession of a firearm. U.S. District Court Judge Timothy S. Hillman scheduled sentencing for March 1, 2022. Donald was arrested along with co-defendant Robert Young in December 2017.
In April 2017, federal law enforcement began investigating drug sales by Donald and Young on Groton Street in Worcester. On Nov. 30, 2017, a search of a “hide” between the exterior and interior walls of a building on the property resulted in the seizure of one kilogram of cocaine, 345 grams of heroin, over 80 grams of crack cocaine, approximately 200 pills containing fentanyl and a loaded 9 mm firearm.
In October 2018, Young pleaded guilty to one count of conspiracy to distribute heroin, cocaine, cocaine base and fentanyl and is pending sentencing, which is scheduled for Nov. 18, 2021.
The drug charges provide for a sentence of at least 10 years and up to a lifetime in prison, at least eight years of supervised release and a fine of up to $8 million. The charge of being a felon in possession of a firearm provides for a mandatory minimum sentence of 15 years and up to life in prison, up to three years of supervised release and a fine of up to $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
Acting United States Attorney Nathaniel R. Mendell; Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration, Boston Field Division; and Worcester Police Chief Stephen Sargent made the announcement. Valuable assistance was provided by the Norfolk County Sheriff’s Office; and the Westborough, Wellesley, Douglas, and Southbridge Police Departments. Assistant U.S. Attorneys Greg A. Friedholm, Chief of Mendell’s Worcester Branch Office is prosecuting the case.
The operation was conducted by a multi-agency task force through the Organized Crime Drug Enforcement Task Force (OCDETF), a partnership between federal, state and local law enforcement agencies. The principal mission of the OCDETF program is to identify, disrupt and dismantle the most serious drug trafficking, weapons trafficking and money laundering organizations, and those primarily responsible for the nation’s illegal drug supply. More information on the OCDETF program is available here: https://www.justice.gov/ocdetf/about-ocdetf.
U.S. Attorney's Office Announces Initiative to Combat RedliningRead the Press Release
BOSTON – The U.S. Attorney’s Office for the District of Massachusetts and the Justice Department’s Civil Rights Division has launched a new Combating Redlining Initiative to address the illegal deprivation of mortgage lending services for communities of color.
Redlining is an illegal practice in which lenders avoid providing services to individuals living in communities of color because of the race or national origin of the people who live in those communities. The new Initiative represents the Department’s most aggressive and coordinated enforcement effort to address redlining, which is prohibited by the Fair Housing Act and the Equal Credit Opportunity Act.
“Lending discrimination runs counter to fundamental promises of our economic system,” said Attorney General Merrick B. Garland. “When people are denied credit simply because of their race or national origin, their ability to share in our nation’s prosperity is all but eliminated. Today, we are committing ourselves to addressing modern-day redlining by making far more robust use of our fair lending authorities. We will spare no resource to ensure that federal fair lending laws are vigorously enforced and that financial institutions provide equal opportunity for every American to obtain credit.”
“Although housing discrimination is illegal under the Fair Housing Act, the discriminatory patterns and practices of redlining persist in parts of our community,” said Acting U.S. Attorney Nathaniel R. Mendell. “We intend to stop redlining because it denies equal access and opportunity in a profound way that has a negative impact on almost every aspect of life. This office will continue to enforce the Fair Housing Act, and we are proud to join the Justice Department in launching the Combating Redlining Initiative to protect the rights of all tenants.”
For American families, homeownership remains the principal means of building wealth, and the deprivation of investment in, and access to, mortgage lending services for communities of color have contributed to families of color persistently lagging behind in homeownership rates and net worth as compared to white families. The gap in homeownership rates between white and Black families is larger today than it was in 1960, before the passage of the Fair Housing Act of 1968.
The Initiative, which is led by the Department of Justice’s Civil Rights Division’s Housing and Civil Enforcement Section in partnership with U.S. Attorney’s Offices, seeks to make mortgage credit and homeownership accessible to all Americans on the same terms, regardless of race or national origin and regardless of the neighborhood where they live. The initiative will:
- Utilize U.S. Attorneys’ Offices as force multipliers to ensure that fair lending enforcement is informed by local expertise on housing markets and the credit needs of local communities of color;
- Expand the Department of Justice’s analyses of potential redlining to both depository and non-depository institutions. Non-depository lenders are not traditional banks and do not provide typical banking services, but engage in mortgage lending and now represent the majority of mortgages lenders in the country;
- Strengthen our partnership with financial regulatory agencies to ensure the identification and referrals of fair lending violations to the Department of Justice;
- Increase coordination with State Attorneys General on potential fair lending violations.
Individuals may report lending discrimination by calling The Department of Justice’s Housing Discrimination Tip Line at 1-833-591-0291 or submitting a report online.
Former Pharmaceutical Sales Representative Sentenced to More Than Four Years in Prison for Insurance Fraud and Aggravated Identity TheftRead the Press Release
BOSTON – An Illinois man was sentenced yesterday for defrauding insurance companies in relation to a high-priced drug made by Cambridge-based pharmaceutical company Aegerion Pharmaceuticals Inc., and for using the identities of physicians to carry out the fraud.
Mark Moffett, 49, of Springfield, Ill., was sentenced by U.S. Senior District Court Judge William G. Young to 54 months in prison and three years of supervised release. In December 2019, Moffett was convicted by a federal jury of nine counts of wire fraud and six counts of aggravated identity theft.
“Mr. Moffett exploited his personal relationships with medical staff, stole doctors’ identities, falsified medical documents and deceived insurance companies – all in pursuit of sales bonuses,” said Acting United States Attorney Nathaniel R. Mendell. “His prison sentence is a reminder that those who engage in healthcare fraud schemes, no matter how sophisticated, will pay for their crimes.”
“Today’s sentence holds Mark Moffett accountable for gaming the healthcare system to line his own pockets. He deceived doctors and patients to boost sales of this powerful drug, and defrauded Medicare in the process. Fraud of this magnitude will not be tolerated because it drives up healthcare costs for all of us,” said Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division.
“Today’s sentence shows that fraudsters like Mark Moffett who try to enrich themselves at the expense of federal health care programs and the well-being of beneficiaries will be held accountable for their greed-fueled schemes. Such scams threaten patient health, waste taxpayer funds, and drive-up healthcare costs for all of us,” said Phillip M. Coyne, Special Agent in Charge for the U.S. Department of Health & Human Services, Office of Inspector General. “Working closely with our law enforcement partners, we will continue to aggressively root out health care fraud and bring criminals to justice.”
“Working with our law enforcement partners, the Employee Benefits Security Administration continues to investigate and vigorously pursue cases in which participants and private sector health benefit plans are victimized by unscrupulous and illegal pharmaceutical sales practices,” said Carol S. Hamilton, Regional Director of the U.S. Department of Labor, Employee Benefits Security Administration, Boston Regional Office.
In 2014 and 2015, Moffett, a pharmaceutical sales representative for Aegerion, marketed the company’s cholesterol drug Juxtapid. Juxtapid was approved by the FDA only to treat high cholesterol in patients with a rare genetic disease called homozygous familial hypercholesterolemia (HoFH). The FDA approved the drug only to treat HoFH patients because the drug carried serious risks of side effects, including liver damage. The drug’s label included a black box warning.
Moffett nonetheless convinced doctors to prescribe Juxtapid, which costs over $300,000 per year, for patients without HoFH. In order to defraud Medicare and private sector employee health plans into paying for a drug they only covered for FDA-approved uses, Moffett obtained fraudulent prescriptions and falsified numerous documents, including statements of medical necessity and other insurance documents. This included false patient test results, false clinical histories and false diagnoses. Moffett used the identities of several cardiologists to carry out the fraud. He was paid bonuses by Aegerion of up to $11,000 for each prescription of Juxtapid.
Acting United States Attorney Mendell, FBI Boston SAC Bonavolonta, HSI-OIG SAC Coyne and DOL-EBSA Regional Director Hamilton made the announcement. Assistant U.S. Attorneys Kriss Basil, of Mendell’s Securities and Financial Fraud Unit, and Rachel Y. Hemani, of Mendell’s Health Care Fraud Unit, prosecuted the case.
Convicted Money Launderer Sentenced for Second Business Email Compromise SchemeRead the Press Release
BOSTON – A Hingham man who was previously convicted of money laundering was sentenced on Wednesday, Oct. 27, 2021 in connection with a business email compromise (BEC) scheme.
Yannick A. Minang, a/k/a “Africa,” 27, was sentenced by U.S. District Court Judge Patti B. Sarris to 52 months in prison. In September 2020, Minang pleaded guilty five counts of wire fraud, one count of unlawful monetary transactions and one count of money laundering conspiracy.
Minang conspired with co-conspirator Bintu Toure and others to open numerous bank accounts in Massachusetts in the name of sham companies, as part of an apparent business email compromise (BEC) scheme. A BEC scheme is a sophisticated scam often targeting businesses involved in wire transfer payments. The fraud is carried out by compromising and/or “spoofing” legitimate business email accounts through social engineering or computer intrusion techniques to cause employees of the victim company (or other individuals involved in legitimate business transactions) to transfer funds to accounts controlled by the scammers.
Through the use of fraudulent invoices and spoofed email accounts, Minang conspired to trick the victims of the scheme into wiring hundreds of thousands of dollars to bank accounts under his control. Minang and his co-conspirators then transferred funds from the accounts to others located overseas.
On April 16, 2021, Toure was sentenced by U.S. Senior District Court Judge Mark L. Wolf to one year and one day in prison, three years of supervised release, restitution and forfeiture after previously pleading guilty to a separate wire fraud and money laundering conspiracy.
In September 2019, Minang was sentenced to 46 months in prison after pleading guilty to his role in a separate BEC scheme.
Acting United States Attorney Nathaniel R. Mendell and Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division made the announcement. Assistant U.S. Attorney William B. Brady of Mendell’s Criminal Division prosecuted the case.
Connecticut Man Sentenced to 87 Months in Prison for Stolen Firearms Offenses and Making False StatementsRead the Press Release
BOSTON – A Connecticut man was sentenced today in federal court in Springfield in connection with stealing 17 firearms from a West Springfield gun shop and making false statements to federal agents.
Christian Castro, 31, of New Britain, Conn., was sentenced by U.S. District Court Judge Mark G. Mastroianni to 87 months in prison and three years of supervised release. On May 14, 2021, Castro pleaded guilty to one count each of theft of a firearm from a Federal Firearms Licensee; being a felon in possession of firearm; interstate transportation of a stolen firearm; receipt, possession, concealment, storage, barter, sale, or disposition of a stolen firearm in interstate commerce; and making false statements to a federal official.
Shortly after midnight on or about Aug. 29, 2020, Castro and co-defendant Fernando Rivera engaged in a crime spree in Vermont, New Hampshire and Massachusetts that included seven ATM thefts or attempted thefts and culminated in the theft of 17 firearms from a federal firearms licensee in West Springfield. At the time of his offenses, Castro was on state probation and had two prior convictions in Connecticut for larceny and possessing narcotics with intent to distribute.
On Sept. 18, 2020, federal agents arrested Castro and Rivera at their homes in Connecticut. During his interview with investigators, Castro admitted that he drove to and from several ATM robberies and the gun store robbery, but falsely stated he never received, kept or even touched any of the stolen guns. However, during a search of Rivera’s phone, investigators learned that Castro had received at least one of the stolen firearms and that he and Rivera traveled to New York City to sell at least three others to another felon whom Castro had met in a Connecticut prison.
On May 5, 2021, Rivera pleaded guilty to similar charges and is scheduled to be sentenced on Nov. 5, 2021.
Acting United States Attorney Nathaniel R. Mendell and James Ferguson, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms, and Explosives, Boston Field Division made the announcement. Special assistance was provided by the Massachusetts State Police; Springfield, Hadley, West Springfield, New Britain (Conn.) and Middletown (Conn.) Police Departments; Connecticut State Police; Connecticut Department of Correction; and Connecticut Judicial Branch Adult Probation. Assistant U.S. Attorney Steven H. Breslow of Mendell’s Springfield Branch Office prosecuted the case.
Bulgarian National Sentenced for ATM SkimmingRead the Press Release
BOSTON – A Bulgarian national was sentenced yesterday in connection with a scheme to create counterfeit ATM cards and to withdraw money from the bank accounts of unsuspecting customers.
Anatoli Mitrev, 34, was sentenced by U.S. District Court Judge Leo T. Sorokin to 19 months in prison and was ordered to pay $199,624 in restitution. On Aug. 16, 2021, Mitrev pleaded guilty to conspiracy to commit access device fraud.
Mitrev and co-conspirator Georgi Kanev installed skimmers and cameras on two Martha’s Vineyard Savings Bank ATMs over a period of approximately four weeks in July and August 2013. The devices allowed the defendants to obtain magnetic strip information from ATM customers as well as obtain their PIN numbers. The information was then used to create counterfeit ATM cards to withdraw funds from the compromised accounts.
In May 2021, Judge Sorokin sentenced Kanev to 30 months in prison, one year of supervised release and was ordered to pay restitution of $199,624.
Acting United States Attorney Nathaniel R. Mendell and Frederick J. Regan, Special Agent in Charge of the U.S. Secret Service, Boston Field Office made the announcement today. Valuable assistance was provided by the Edgartown Police Department and the Oak Bluffs Police Department. Assistant U.S. Attorney Mackenzie A. Queenin of Mendell’s Securities, Financial & Cyber Fraud Unit prosecuted the case.
Saugus Man Sentenced for Drug and Firearm OffensesRead the Press Release
BOSTON – A Saugus man was sentenced on Monday, Oct. 25, 2021 for drug and firearm offenses.
Vinicius Teixeira, a/k/a “Vinny,” 31, was sentenced by U.S. District Court Chief Judge F. Dennis Saylor IV to three years in prison and three years of supervised release. On Sept. 14, 2021, Teixeira pleaded guilty to possession with intent to distribute controlled substances, including marijuana and psilocyn, and being a user of controlled substances in possession of a firearm and ammunition.
In March 2019, a search of Teixeira’s residence recovered at least one kilogram of marijuana, over 400 grams of mushrooms (dry) containing psilocyn, drug trafficking paraphernalia and an American Tactical 9mm semiautomatic pistol containing 11 rounds of 9mm ammunition.
Acting United States Attorney Nathaniel R. Mendell; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division; Matthew B. Millhollin, Special Agent in Charge of Homeland Security Investigations in Boston; and Colonel Christopher Mason, Superintendent of the Massachusetts State Police made the announcement. The Suffolk County Sheriff’s Department and the Revere, Everett and Chelsea Police Departments provided assistance with the investigation. Assistant U.S. Attorney Kaitlin R. O’Donnell of Mendell’s Organized Crime and Gang Unit prosecuted the case.
Quincy Man Arrested for Social Security FraudRead the Press Release
BOSTON – A Quincy man was arrested today for fraudulently receiving Social Security disability benefits.
Charles Reid, 67, was indicted on one count of theft of public funds. Reid was released on conditions following an initial appearance today before U.S. District Court Magistrate Judge Judith G. Dein.
According to the charging documents, from approximately April 2013 through September 2017, Reid allegedly stole approximately $38,601 in Social Security disability benefits.
The charge of theft of public funds provides for a sentence of up to 10 years in prison, three years of supervised release and a fine of $250,000 or twice the gross gain or loss, whichever is greater. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
Acting United States Attorney Nathaniel R. Mendell and John Cremonini, Acting Special Agent in Charge of the Social Security Administration, Office of Inspector General, Office of Investigations, Boston Field Division made the announcement today. Special Assistant U.S. Attorney Karen Burzycki of Mendell’s Major Crimes Unit is prosecuting the case.
The details contained in the charging documents are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
New Jersey Sex Offender Pleads Guilty to Attempted Sexual Exploitation of a MinorRead the Press Release
BOSTON - A New Jersey man pleaded guilty yesterday in federal court in Worcester in connection with attempting to produce child pornography.
Jordan Winczuk, 36, of Bellmawr, N.J., pleaded guilty to one count of attempted sexual exploitation of a minor and one count of commission a felony offense involving the sexual exploitation of minor as a registered sex offender. U.S. District Court Judge Timothy S. Hillman scheduled sentencing for Feb. 18, 2022. Winczuk was indicted in April 2019.
In January 2018, Winczuk, a Level 3 sex offender, contacted a Worcester boy through social media. Over a period of weeks, Winczuk attempted to convince the victim, who had disclosed that he was only 11 years old, to photograph his genitals and send those pictures to Winczuk via Instagram. During his contact with the victim, Winczuk posed as a teenage girl, the brother of the purported teenage girl and a first responder. In February 2018, a search of Winczuk’s New Jersey residence recovered cell phones that contained child pornography and included multiple conversations in which he requested sexually explicit images from other apparent minors. At the time, Winczuk was on parole following a state conviction in New Jersey for sexually assaulting a boy and endangering the welfare of a child through the distribution of child pornography.
The charge of attempted sexual exploitation of a minor provides for a mandatory minimum sentence of 15 years and up to 30 years in prison, a minimum of five years and up to a lifetime of supervised release and a fine of $250,000. At sentencing, the court could find that Winczuk’s prior convictions subject him to a mandatory minimum of 35 years and up to life in prison for this charge. The charge of committing felony offense involving the sexual exploitation of minor as a registered sex offender provides for an additional sentence of 10 years in prison, to be served consecutively to any other sentence imposed. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
Acting United States Attorney Nathaniel R. Mendell; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division; and Worcester Police Chief Steven M. Sargent made the announcement today. Valuable assistance was provided by Homeland Security Investigations, the New Jersey State Police and the New Jersey State Parole Board. Assistant U.S. Attorneys Kristen M. Noto and Danial Bennett of Mendell’s Worcester Branch Office 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 U.S. Attorneys’ offices and CEOS, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.
New Jersey Man Sentenced to Nine Years in Prison for Attempted Possession of Nearly Two Kilograms of FentanylRead the Press Release
BOSTON – A New Jersey man was sentenced yesterday in federal court in Boston in connection with attempting to retrieve narcotics from two Stoughton storage units.
Carlos Miguel Concepcion-Guilam, 30, was sentenced by U.S. Senior District Court Judge William G. Young to nine years in prison and three years of supervised release. On June 4, 2021, Concepcion-Guilam was convicted by a federal jury of attempted possession with intent to distribute 400 grams or more of fentanyl.
On June 19, 2019, staff at a storage facility in Stoughton opened a storage unit to auction its contents and found drug paraphernalia inside. A search of that unit and a second related storage unit by law enforcement resulted in the recovery of nearly two kilograms of fentanyl and fentanyl analogue, nearly a kilogram of cocaine and drug distribution paraphernalia including cutting agents, blenders and packaging materials. Agents subsequently began surveilling the units to identity the owner of the drugs.
On June 20, 2019, Concepcion-Guilam arrived at the storage facility and opened the unit that previously contained nearly three kilograms of narcotics. Upon seeing that the drugs had been seized, Concepcion-Guilam sprinted away from the storage facility and attempted to flee in his vehicle. Concepcion-Guilam deliberately crashed his vehicle into a marked police cruiser before he was arrested. At the time of his arrest, Concepcion-Guilam was found in possession of additional fentanyl in his pocket.
Acting United States Attorney Nathaniel R. Mendell; Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration, New England Division; and Stoughton Police Chief Donna McNamara made the announcement. Special assistance was provided by the Massachusetts State Police. Assistant U.S. Attorneys Stephen Hassink, Lauren Graber and Benjamin Tolkoff of Mendell’s Narcotics and Money Laundering Unit prosecuted the case.
Medfield Man Pleads Guilty to Two Online Fraud SchemesRead the Press Release
BOSTON – A Medfield man pleaded guilty yesterday in connection with an international business email compromise (BEC) scheme that defrauded companies of more than $850,000 and a romance fraud scheme that defrauded victims of at least $7,000.
Paul M. Iwuanyanwu, 41, pleaded guilty to wire fraud, mail fraud, conspiracy to commit wire and mail fraud and unlawful monetary transactions. U.S. District Court Judge Denise J. Casper scheduled sentencing for Feb. 17, 2022. Iwuanyanwu was charged in a superseding indictment in July 2020.
With respect to the BEC scheme, Iwuanyanwu participated in a plan to breach the email systems of companies and install unauthorized computer programs that diverted company emails to accounts controlled by Iwuanyanwu and his co-conspirators. As a result, all emails sent by or to the companies were first routed through the conspiracy’s email accounts, where co-conspirators could view and respond to the messages as if they were representatives of the companies. Iwuanyanwu, and others, used this unauthorized access to cause the companies to redirect more than $850,000 in payments intended for legitimate business operations to bank accounts controlled by Iwuanyanwu and others.
With respect to romance fraud, Iwuanyanwu participated in a scheme to use fraudulent online relationships to deceive victims and persuade them to send money to Iwuanyanwu and others, or to receive money on Iwuanyanwu and other’s behalf. Victims wired at least $6,000 to accounts controlled by Iwuanyanwu and others and sent at least $1,000 via money orders to Iwuanyanwu.
The charge of wire fraud and conspiracy to commit wire fraud provides for a sentence of up to 20 years in prison, three years of supervised release and a fine of $250,000, or twice the gross gain or loss. The charge of mail 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. The charge of unlawful monetary transactions provides for a sentence of up to 10 years in prison, three years of supervised release, and a fine of $250,000, or twice the gross gain or loss. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
Acting United States Attorney Nathaniel R. Mendell and Matthew B. Millhollin, Special Agent in Charge of the Homeland Security Investigations in Boston made the announcement today. Assistant U.S. Attorneys Sara Miron Bloom and Benjamin Alfredo Saltzman of Mendell’s Criminal Division are prosecuting the case.
Georgia Man Agrees to Plead Guilty to Extorting Sexual Images and CyberstalkingRead the Press Release
BOSTON – A Georgia man has agreed to plead guilty to charges that he extorted a Boston-area woman for videos, photographs and communications of a sexual nature as well as cyberstalked other women over social media.
Gary E. Leach, 24, of Athens, Ga., has agreed to plead guilty to two counts of cyberstalking and one count of extortion through interstate threats. A plea hearing has not yet been scheduled by the court. Leach was arrested and charged on April 23, 2021 and has been on home detention since he was released from custody on May 18, 2021.
According to court documents, from October 2019 until his arrest in April 2021, Leach, then a graduate student at the University of Georgia, targeted a Boston-area woman in an online cyberstalking and extortion campaign. Leach used anonymous Instagram accounts to obtain private video calls and photographs of a sexual nature from the victim through false promises of payment and surreptitiously recorded the victim during these calls. Leach threatened to share the recordings with the victim’s family if she did not continue to send him content of a sexual nature over Instagram and repeatedly harassed and extorted the victim for additional interactions of a sexually explicit and degrading nature.
Leach also allegedly cyberstalked other women on social media, including a woman residing in Canada. Leach recorded a video call of a sexual nature with this victim and sent the recording to her roommate. He repeatedly contacted the victim and used the recording to attempt to solicit additional interactions with her. Throughout 2019 and 2020, Leach allegedly attempted to solicit video performances of a sexual nature from at least a dozen Instagram users and initiated interactions with numerous other Instagram users for the purpose of exposing himself masturbating.
The charge of stalking by electronic means 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 extortion by interstate threat of injury to reputation provides for a sentence of up to two years in prison, one year of supervised release and a fine of $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
Acting United States Attorney Nathaniel R. Mendell and Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division made the announcement. Assistant U.S. Attorney David M. Holcomb of Mendell’s Securities, Financial & Cyber Fraud Unit is prosecuting the case.
Former Member of Boston Latin Kings Chapter Pleads Guilty to Racketeering ConspiracyRead the Press Release
BOSTON – A member of the Massachusetts Almighty Latin King and Queen Nation (Latin Kings) pleaded guilty on Tuesday, Oct. 28, 2021 to racketeering charges.
Robert Lara, a/k/a “King Rizz,” 29, pleaded guilty to conspiracy to conduct enterprise affairs through a pattern of racketeering activity, more commonly referred to as RICO conspiracy. U.S. Senior District Court Judge Rya W. Zobel scheduled sentencing for Jan. 25, 2022.
The Latin Kings are a violent criminal enterprise comprised of thousands of members across the United States. The Latin Kings adhere to a national manifesto, employ an internal judiciary and use a sophisticated system of communication to maintain the hierarchy of the organization. As alleged in court documents, the gang uses drug distribution to generate revenue, and engages in violence against witnesses and rival gangs to further its influence and to protect its turf.
Named for its origin on Devon Street in Boston, the Devon Street Kings, or D5K, Chapter of the Latin Kings, included approximately a dozen members. The Devon Street Kings, in turn, reported to the Massachusetts State Leadership of the Latin Kings, providing information, structure, funds and other resources to further the Latin Kings goals and directives in the state. Lara admitted to attending numerous meetings of the gang, contributing to its joint account known as the “fundo” and participating in a violent assault of another member at a hotel in the Boston area, which was imposed as punishment for violating the rules of the gang.
In December 2019, a federal grand jury returned an indictment alleging racketeering conspiracy, drug conspiracy and firearms charges against 62 leaders, members and associates of the Latin Kings. Lara is the 54th defendant to plead guilty in the case.
The RICO conspiracy charge provides for a sentence of up to 20 years in prison, three years of supervised release and a fine of $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
Acting United States Attorney Nathaniel R. Mendell; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division; Commissioner Carol Mici of the Massachusetts Department of Correction; and New Bedford Police Chief Joseph C. Cordeiro made the announcement. Valuable assistance was also provided by the FBI North Shore Gang Task Force and the Bristol County and Suffolk County District Attorney’s Offices. Assistant U.S. Attorney Philip A. Mallard of Mendell’s Organized Crime and Gang 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.
The details contained in the charging documents are allegations. The remaining defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Fall River Man Agrees to Plead Guilty to Child Exploitation ChargesRead the Press Release
BOSTON – A Fall River man entered a plea of guilty on Tuesday, Oct. 26, 2021 in federal court in Boston in connection with travelling to New Hampshire to attempt to have sex with a teenage girl.
Charles Eugene Schnitzlein III, 34, entered a plea of guilty to traveling with intent to engage in illicit sexual conduct with a person under 18 years of age. U.S. District Court Judge Indira Talwani deferred acceptance of the plea until sentencing, which is scheduled for March 3, 2022. Schnitzlein was charged by criminal complaint on April 9, 2021.
It is alleged that Schnitzlein used a messaging application to communicate with an undercover officer posing as a 13-year-old girl and devised a plan to meet the purported teenager to have sex. On April 9, 2021, Schnitzlein drove from Fall River to a mall in Nashua, N.H., to meet with the undercover officer posing as a teenage girl. On his way to the meetup location, Schnitzlein stopped to purchase condoms, flowers, soda and candy. Officers arrested Schnitzlein when he arrived.
According to court documents, during an interview with law enforcement, Schnitzlein admitted that he traveled from Fall River to meet the purported 13-year-old girl and booked a hotel room in Nashua, N.H. to have sex with the purported teenager.
The charge of traveling with intent to engage in illicit sexual conduct with a minor provides for a sentence of up to 30 years in prison, at least five years of supervised release and a fine of up to $250,000. Sentences are imposed by a federal district judge based upon the U.S. Sentencing Guidelines and other statutory factors.
Acting United States Attorney Nathaniel R. Mendell; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division; and Nashua (N.H.) Police Commissioner Matthew E. Plante made the announcement. Assistance was provided by Massachusetts State Police and the Arlington, Revere and Boston Police Departments. Assistant U.S. Attorney Mackenzie Duane of Mendell’s Major Crimes Unit is prosecuting the case.
The case was brought as part of Project Safe Childhood. In 2006, the Department of Justice created Project Safe Childhood, a nationwide initiative designed to protect children from exploitation and abuse. Led by the U.S. Attorneys’ Offices and the DOJ’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who exploit children, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov/.
Dominican National Sentenced for Two Fentanyl ConspiraciesRead the Press Release
BOSTON – A Dominican national previously residing in Lawrence was sentenced yesterday in connection with two fentanyl distribution conspiracies.
Guillermo Aybar-Guerrero, 29, was sentenced by U.S. District Court Judge Denise J. Casper to 52 months in prison.
Guillermo previously pleaded guilty to his role in two separate fentanyl conspiracies; for the purpose of sentencing, the two cases were consolidated. On June 9, 2021, Guillermo pleaded guilty to one count of conspiring to distribute and to possess with intent to distribute 40 grams or more of fentanyl and two counts of possession with intent to distribute fentanyl. On July 15, 2021, Guillermo pleaded guilty to one count of conspiring to distribute and to possess with intent to distribute 40 grams or more of fentanyl and one count of possession with intent to distribute 40 grams or more of fentanyl.
Guillermo Aybar-Guerrero was indicted in August 2020 along with his brother, Luis Aybar-Guerrero, after investigators conducted controlled purchases of fentanyl from Guillermo on June 10 and 17, 2020. On June 25, 2020, investigators set up another controlled purchase, at which time Guillermo was arrested in possession of approximately 30 grams of suspected fentanyl. Guillermo retrieved the fentanyl for each of these transactions from Luis. A search of Luis’ residence resulted in the seizure of an additional 223 grams of acetyl fentanyl (a fentanyl analogue) as well as a scale, baggies and other drug distribution paraphernalia.
Luis Aybar-Guerrero pleaded guilty on July 15, 2021 and is scheduled to be sentenced on Nov. 18, 2021 before U.S. District Court Judge Richard G. Stearns.
In the second conspiracy, investigators conducted controlled purchases of fentanyl pills from Guillermo on April 24 and May 5, 2019. The transactions were coordinated by co-conspirator Francis Jimenez Minyetty. Minyetty pleaded guilty to his involvement in the conspiracy and was sentenced in May 2021 to eight years in prison.
Acting United States Attorney Nathaniel R. Mendell and Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration, New England Field Division made the announcement today. Assistant U.S. Attorney Lauren Graber of Mendell’s Narcotics and Money Laundering Unit prosecuted the cases.
Dominican National Pleads Guilty to Illegal ReentryRead the Press Release
BOSTON – A Dominican national pleaded guilty today to illegally reentering the United States after deportation.
Melvin Baez Peguero, 46, a Dominican national residing in Boston, pleaded guilty to one count of unlawful reentry of a deported alien. U.S. District Court Judge Indira Talwani scheduled sentencing for March 4, 2022. Baez was arrested on June 29, 2021.
In 2010, Baez pleaded guilty to various federal drug trafficking offenses, and was sentenced to five years in prison. After completing his sentence, Baez was ordered removed from the United States.
In November 2020, law enforcement identified a parcel containing an industrial pill press shipped to an address in Allston. During a controlled delivery of that parcel Baez was observed taking the parcel back to his residence in Boston where his identity was confirmed. At the time, Baez had not obtained consent to re-apply for admission to the United States.
The charge of illegal reentry provides for a sentence of up to 20 years in prison, up to five years of supervised release and a fine of up to $250,000. Baez will be subject to deportation upon completion of his sentence. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
Acting United States Attorney Nathanial R. Mendell and Matthew B. Millhollin, Special Agent in Charge of the Homeland Security Investigations made the announcement. Assistant U.S. Attorney Craig Estes of Mendell’s Narcotics & Money Laundering Unit is prosecuting the case.
California Woman Indicted on Fentanyl ChargesRead the Press Release
BOSTON – A California woman was indicted today on a drug trafficking offense involving fentanyl.
Adelaida Yudit Garibay, 45, of Burbank, Calif., was indicted on one count of possession with intent to distribute 400 grams or more of fentanyl. Garibay has been in custody since she was arrested in September 2021 and charged by criminal complaint.
According to charging documents, in September 2021, officers observed Garibay picking up fentanyl prior to meeting an undercover agent to whom she had arranged to sell two kilograms of fentanyl. Garibay was then allegedly observed getting into a ride-sharing vehicle. A search of the vehicle during a subsequent traffic stop resulted in the seizure of a bag that had allegedly been at Garibay’s feet and contained approximately two kilograms of fentanyl.
The charge of possession 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 of supervised release and a fine of $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 Nathaniel R. Mendell and Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration, New England Field Division made the announcement today. The Boston Police Department provided valuable assistance with the investigation. Assistant U.S. Attorney Samuel R. Feldman of Mendell’s Narcotics & Money Laundering 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.
Brockton Man Pleads Guilty to Wide-Ranging Drug Trafficking ConspiracyRead the Press Release
BOSTON – A Brockton man pleaded guilty on Tuesday, Oct. 26, 2021 to his role in a wide-ranging drug trafficking conspiracy reaching from Boston to Brockton to Lawrence to Cape Cod.
Anthony Goncalves, 23, pleaded guilty to conspiracy to distribute and to possess with intent to distribute heroin, fentanyl, cocaine, cocaine base, oxycodone and marijuana and possession with intent to distribute marijuana. U.S. District Court Judge Nathaniel M. Gorton scheduled for March 2, 2022. Anthony Goncalves remains in federal custody.
In the fall of 2018, an investigation into a violent Brockton drug crew headed by Djuna Goncalves, Anthony’s Goncalves’s brother, revealed that Djuna Goncalves allegedly worked with others, including his brothers Anthony and Cody Goncalves, to distribute large quantities of fentanyl, heroin, cocaine, cocaine base and marijuana throughout southeastern Massachusetts from a base of operations at their family home in Brockton (Brockton base). The neighborhood surrounding the crew’s Brockton base has been the scene of numerous murders, shootings and other crimes of violence for several years.
During the investigation, intercepted conversations between Anthony and Djuna revealed that they conspired to distribute marijuana from the crew’s Brockton base, where in October 2018, an unidentified individual fired several shots at Djuna Goncalves. A subsequent search of the Brockton base resulted in the seizure of marijuana, packaging materials, scales, a kilo press, fentanyl and ammunition as well as documents in Anthony and Djuna’s names.
In all, 17 defendants, including Anthony, Djuna and Cody Goncalves, were indicted as part of a wide-ranging drug trafficking conspiracy reaching from Boston to Brockton to Lawrence to Cape Cod. Of the 17 defendants named in the indictment, nine have been sentenced. Anthony Goncalves is the 16th defendant to plead guilty in the case. Cody Goncalves pleaded guilty on Sept. 12, 2021 and is scheduled to be sentenced on Feb. 2, 2022. Djuna Goncalves pleaded guilty on Oct. 7, 2021 and is scheduled to be sentenced on Feb. 9, 2022. Under the terms of Djuna Goncalves’s plea agreement, he will serve a minimum of 15 years in prison and the government will recommend a sentence of 308 months in prison.
The charge of conspiracy to distribute and to possess with intent to distribute 100 grams or more of heroin, 400 grams or more of fentanyl, cocaine, cocaine base, oxycodone and marijuana 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. The charge of possession with intent to distribute marijuana provides for a sentence of at least five years in prison, at least two years of supervised release and a fine of up to $250,000. Sentences are imposed by a federal district court judge based on the U.S. Sentencing Guidelines and other statutory factors.
Acting United States Attorney Nathaniel R. Mendell; Matthew B. Millhollin, Special Agent in Charge of Homeland Security Investigations in Boston; Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration, New England Field Division; Colonel Christopher Mason, Superintendent of the Massachusetts State Police; Plymouth County District Attorney Timothy J. Cruz; and Brockton Police Chief Emanuel Gomes made the announcement. Assistant U.S. Attorneys Christopher Pohl and Alathea E. Porter of Mendell’s Narcotics & Money Laundering Unit are prosecuting the case.
The operation was conducted by a multi-agency task force through the Organized Crime Drug Enforcement Task Force (OCDETF), a partnership between federal, state and local law enforcement agencies. The principal mission of the OCDETF program is to identify, disrupt and dismantle the most serious drug trafficking, weapons trafficking and money laundering organizations, and those primarily responsible for the nation’s illegal drug supply. More information on the OCDETF program is available here: https://www.justice.gov/ocdetf/about-ocdetf.
The detailed contained in the charging documents are allegations. The remaining defendant are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Boston Man Sentenced to Five Years in Prison for Assaulting Officers with a Firearm During Civil Disorder in BostonRead the Press Release
BOSTON – A Boston man was sentenced yesterday to five years in prison for assaulting officers with a firearm during the civil disorder in Boston early in the morning of June 1, 2020.
John Boampong, 37, was sentenced by U.S. District Court Judge William G. Young to five years in prison and three years of supervised release. On Feb. 4, 2021, Boampong pleaded guilty to one count each of interfering with a law enforcement officer during the commission of a civil disorder, receipt of a firearm by a person under indictment for a felony offense, and assaulting, resisting, or impeding certain officers or employees.
“On May 31, a peaceful demonstration in Boston devolved into lawless attacks on property and people – including police officers. Mr. Boampong saw this as the right time to fire 11 rounds in the direction of police officers working a chaotic and dangerous scene. It is only by chance no one was killed,” said Acting United States Attorney Nathaniel R. Mendell. “Violence leads to no good outcome, and for Mr. Boampong it led to federal charges and prison.”
“Shooting in the direction of police officers in the middle of a crowded public street, endangering their lives and those of innocent bystanders, is utterly reprehensible. For the duration of his sentence, John Boampong will not be able to put others in harm’s way with his reckless actions,” said Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division. “This case should serve as a reminder of the FBI’s commitment to take violent criminals who pose a threat to public safety and our law enforcement partners, off the street.”
“In Suffolk County, when people violently disrupt peaceful protesters and put the lives of protesters and the police in danger, they will be held accountable. That is exactly what happened here,” said Suffolk County District Attorney Rachael Rollins. “We are grateful to have the partnership of the U.S. Attorney’s Office and fully support its prosecution of this matter.’’
On the evening of May 31, 2020 and continuing through the morning of June 1, 2020, what began as a peaceful demonstration in Boston’s Back Bay neighborhood devolved into widespread acts of violence, vandalism, looting and destruction of police property, including the burning of at least one police vehicle on Tremont Street. Some protestors threw rocks, bricks and commercially available explosives at police officers. Numerous police officers were injured.
On June 1, 2020 at approximately 3:00 am, Boampong was driving his car near the Arlington Street and Boylston Street intersection in front of a store that had been victimized by looting that evening. Police officers instructed Boampong and his passengers to leave the area. The occupants of Boampong’s car initially became verbally combative towards the officers and failed to leave the area as instructed. When Boampong reversed the car, officers told him to stop, as officers and another vehicle were in the way. However, Boampong continued driving in reverse and then drove away. Shortly thereafter, he returned to the area, parked on Providence Street, and shot at least 11 times in the direction of officers, including a deputized federal officer. The officers took cover by bracing or ducking behind cars and other objects. Bullets broke through the windows of two apartments above ground level in a building behind some of the officers.
When officers eventually stopped Boampong’s car, they saw a Sig Sauer P230 9mm firearm lying on the floor of the front passenger-side floor mat, and a black holster underneath the driver’s seat, where Boampong had been sitting. The firearm was later examined and found to have Boampong’s fingerprint on it.
At the time, Boampong was prohibited from possessing a firearm or ammunition because he faced pending state charges carrying potential sentences exceeding one year.
Acting U.S. Attorney Mendell, FBI SAC Bonavolonta, Suffolk County DA Rollins and Boston Police Acting Commissioner Gregory Long made the announcement. Assistant U.S. Attorney John Dawley of Mendell’s Organized Crime and Gang Unit and Assistant U.S. Attorney Scott L. Garland, Deputy Chief of Mendell’s National Security Unit, prosecuted the case.
Winchester Man Sentenced for Robbing and Assaulting Federal Postal Worker and Cocaine PossessionRead the Press Release
BOSTON – A Winchester man was sentenced today for robbing and assaulting a federal postal worker and cocaine distribution.
Raymond Acevedo, 29, was sentenced by U.S. District Court Judge William G. Young to five years in prison and four years of supervised release. Acevedo was also ordered to pay a fine of $10,000. On June 28, 2021, Acevedo pleaded guilty to one count of robbing a federal postal worker, one count of assaulting a federal postal worker and one count of possession with intent to distribute cocaine.
On Oct. 24, 2019, a uniformed U.S. postal worker attempted to deliver an Express Mail package from Puerto Rico to an addressee in Dorchester. The postal worker was unable to locate the addressee and was returning to his vehicle when Acevedo approached the postal worker and demanded the package. When the postal worker would not give Acevedo the package, Acevedo violently assaulted the postal worker and took the package. The postal worker used his phone to take pictures of Acevedo, the stolen package and the vehicle Acevedo was driving. Acevedo then attacked the postal worker and took his phone, which the postal worker attempted to retrieve along with the stolen package and another fight ensued. As the postal worker and Acevedo were fighting over the package, police arrived and arrested Acevedo. The postal worker was transferred to a local hospital for the injuries he received during the altercation.
On Oct. 25, 2019, law enforcement officers opened the package pursuant to a federal search warrant and seized approximately 1.390 kilograms of cocaine.
Acting United States Attorney Nathaniel R. Mendell; Ketty Larco-Ward, Inspector in Charge of the U.S. Postal Inspection Service, Boston Field Division; and Boston Police Acting Commissioner Gregory Long made the announcement. Assistant U.S. Attorney Kenneth G. Shine of Mendell’s Major Crimes Unit prosecuted the case.
South Yarmouth Man Sentenced for Fentanyl and Heroin OffensesRead the Press Release
BOSTON – A South Yarmouth man was sentenced yesterday in federal court in Boston for fentanyl and heroin offenses.
Dustin Monick, 23, was sentenced by U.S. District Court Judge Nathaniel M. Gorton to 70 months in prison and five years of supervised release. On April 26, 2021, Monick pleaded guilty to one count of possession with intent to distribute 400 grams or more of fentanyl and 100 grams or more of heroin and one count of possession with intent to distribute 400 grams or more of fentanyl.
In December 2019, Monick was stopped by police in Yarmouth for multiple traffic violations, at which time police observed a backpack in Monick’s vehicle. After speaking briefly with police, Monick fled the scene in his vehicle, but was stopped shortly thereafter. Police later found the backpack, which contained over 600 grams of heroin and fentanyl, along the road. During his arrest, two keys were found on Monick. One key opened a storage locker used by Monick and the other opened a safe, which contained over two kilos of fentanyl and $100,068 cash.
Acting United States Attorney Nathaniel R. Mendell; Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration, New England Field Division; and Yarmouth Police Chief Frank Frederickson made the announcement. Assistant U.S. Attorney Nadine Pellegrini of Mendell’s Narcotics & Money Laundering Unit prosecuted the case.
Hanover Paving Company Owner Agrees to Plead Guilty to Tax EvasionRead the Press Release
BOSTON – The owner of a commercial and residential paving business in Hanover has been charged and has agreed to plead guilty in connection with an income diversion scheme.
William E. Dyer, 56, has agreed to plead guilty to one count of tax evasion. A plea hearing has not yet been scheduled by the court.
According to the charging document, Dyer owned and operated Pilgrim Paving. From 2014 through 2018, Dyer allegedly diverted payments from Pilgrim Paving customers by directing customers to write checks to him and then cashing those checks. Dyer failed to report over $1.7 million in diverted receipts and additional business deposits on the tax returns that he filed or that he directed a tax preparer to file on his behalf. As a result of this alleged conduct, Dyer underreported his personal income tax obligations, causing a loss to the Internal Revenue Service of nearly $600,000.
The charge of tax evasion provides for a sentence of up to five years in prison, three years of supervised release and a fine of $250,000 or twice the gross gain or loss, whichever is greater. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
Acting United States Attorney Nathaniel R. Mendell and Joleen D. Simpson, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigations in Boston, made the announcement. Assistant U.S. Attorney David M. Holcomb of Mendell’s 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.
Former Leader of New Bedford Latin Kings Chapter Sentenced for Racketeering and Cocaine ConspiracyRead the Press Release
BOSTON – A former leader of the New Bedford Chapter of the Massachusetts Almighty Latin King and Queen Nation (Latin Kings) was sentenced today on racketeering and drug charges.
Jose Rodriguez, a/k/a “King Stutter,” 34, was sentenced by U.S. Senior District Court Judge Rya W. Zobel to 54 months in prison and three years of supervised release. On June 15, 2021, Rodriguez pleaded guilty to conspiracy to distribute and possess with intent to distribute cocaine and cocaine base and to conspiracy to conduct enterprise affairs through a pattern of racketeering activity, more commonly referred to as RICO conspiracy.
The Latin Kings are a violent criminal enterprise comprised of thousands of members across the United States. The Latin Kings adhere to a national manifesto, employ an internal judiciary and use a sophisticated system of communication to maintain the hierarchy of the organization. As alleged in court documents, the gang uses drug distribution to generate revenue, and engages in violence against witnesses and rival gangs to further its influence and to protect its turf.
Rodriguez served as Inca, or leader, of the New Bedford Chapter of the Latin Kings. Rodriguez conspired with other members of the Latin Kings to distribute controlled substances such as cocaine and cocaine base in New Bedford through a series of “trap houses” or multi-unit apartment buildings controlled by the Latin Kings. Following the murder of a Latin Kings member in October 2019, and while serving as Inca of the New Bedford Chapter, Rodriguez was recorded during a Latin Kings meeting instructing members to attack rival gang members without seeking his specific approval for the acts of violence.
In December 2019, a federal grand jury returned an indictment alleging racketeering conspiracy, drug conspiracy and firearms charges against 62 leaders, members and associates of the Latin Kings. Rodriguez is the 38th defendant to be sentenced in the case.
Acting United States Attorney Nathaniel R. Mendell; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division; Commissioner Carol Mici of the Massachusetts Department of Correction; and New Bedford Police Chief Joseph C. Cordeiro made the announcement today. Valuable assistance was also provided by the FBI North Shore Gang Task Force and the Bristol County and Suffolk County District Attorney’s Offices. Assistant U.S. Attorneys Philip A. Mallard of Mendell’s Organized Crime and Gang Unit 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 documents are allegations. The remaining defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Florida Man Sentenced to Prison for Tax OffensesRead the Press Release
BOSTON – A Florida man was sentenced today in federal court in Springfield for tax offenses.
Cory Kizer, 39, was sentenced by U.S. District Court Judge Mark G. Mastroianni to 15 months in prison and two years of supervised release. On May 13, 2021, Kizer pleaded guilty to one count of conspiracy to commit wire fraud and eight counts of theft of public money.
Kizer obtained personal identifying information for the purpose of filing false federal tax returns and obtaining unwarranted tax refunds. The tax returns contained false addresses, wages and salaries, employers, dependents, business and loss information. The false returns generated a total of over $550,000 of unwarranted tax refunds.
Acting United States Attorney Nathaniel R. Mendell and Joleen D. Simpson, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigations in Boston made the announcement. Assistant U.S. Attorneys Alex J. Grant and Catherine Curley of Mendell’s Springfield Branch Office prosecuted the case.
Boston Man Pleads Guilty to Fraud ConspiracyRead the Press Release
BOSTON – A Boston man pleaded guilty today to fraud conspiracy charges in connection with processing fraudulent applications for store credit accounts using stolen identities.
Ricardo Voltaire, 35, pleaded guilty to one count of conspiracy to commit wire fraud. U.S. Senior District Court Judge Douglas P. Woodlock scheduled sentencing for Feb. 28, 2022. Voltaire was charged on Sept. 28, 2021.
Voltaire was a sales manager at Staples locations in Dedham and Braintree. On at least 60 occasions, Voltaire processed fraudulent Staples’ store credit account applications that were submitted by Wagner Sozi and his co-conspirator – each of which contained stolen personal identifying information of another individual. Voltaire knew that his co-conspirators were not in fact the individuals named on the applications and opened store credit accounts under the stolen identities, which were then used to purchase more than $81,000 in Visa gift cards. Voltaire accepted approximately $8,000 in kickbacks from Sozi and his co-conspirator.
In May 2021, Sozi pleaded guilty to two counts of wire fraud, one count of aggravated identity theft and one count of making a false claim. He is pending sentencing which is scheduled for Oct. 28, 2021.
The charges of conspiracy to commit 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 other statutory factors.
Acting United States Attorney Nathaniel R. Mendell and Frederick J. Regan, Special Agent in Charge of the U.S. Secret Service, Boston Field Office, made the announcement today. The Braintree Police Department provided valuable assistance with the investigation. Assistant U.S. Attorney William F. Abely II, Chief of Mendell’s Criminal Division, is prosecuting the case.
Former Georgetown Head Tennis Coach Pleads Guilty in College Admissions CaseRead the Press Release
BOSTON – The former head coach of men and women’s tennis at Georgetown University pleaded guilty today in connection with soliciting and accepting bribes to facilitate the admission of prospective Georgetown applicants and failing to report all of the income from the bribes on his federal income taxes.
Gordon Ernst, 54, of Chevy Chase, Md. and Falmouth, Mass., pleaded guilty to one count of conspiracy to commit federal programs bribery, three counts of federal programs bribery and one count of filing a false tax return. U.S. District Court Judge Indira Talwani scheduled sentencing for March 2, 2022.
As set forth in the charging document, Ernst solicited and received bribe payments from William “Rick” Singer and the families of prospective Georgetown applicants to facilitate their admission to Georgetown as student athletes. Ernst then failed to report all of the income from those bribe payments on his federal income tax returns.
Under the terms of Ernst’s plea agreement, the parties have agreed to a sentence of at least one year and up to four years in prison, two years of supervised release and forfeiture of $3,435,053.
The charge of federal programs bribery provides for a sentence of up to 10 years in prison, three years of supervised release and a fine of $250,000 or twice the gross gain or loss, whichever is greater. The charge of conspiracy to commit federal programs bribery provides for a sentence of up to five years in prison, three years of supervised release a fine of $250,000 or twice the gross gain or loss, whichever is greater. The charge of filing a false tax return provides for a sentence of up to three years in prison, one year of supervised release and a fine of $100,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
Case information, including the status of each defendant, charging documents, and plea agreements are available here: https://www.justice.gov/usao-ma/investigations-college-admissions-and-testing-bribery-scheme.
Acting United States Attorney Nathaniel R. Mendell; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division; Joleen D. Simpson, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigations in Boston; and Mark Deckett, Resident Agent in Charge of the Department of Education, Office of Inspector General made the announcement today. Assistant U.S. Attorneys Leslie A. Wright, Kristen A. Kearney and Kriss Basil of Mendell’s Criminal Division are prosecuting the case.
The details contained in the charging documents are allegations. The remaining defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Two Former Medical Practice Employees Sentenced for Conspiring to Distribute AdderallRead the Press Release
BOSTON – Two former employees of a medical practice with locations in Framingham and Whitinsville were sentenced in federal court in Worcester in connection with a federal drug conspiracy involving Adderall.
Rene Ruliera, 54, of Southborough, was sentenced yesterday by U.S. District Court Judge Timothy S. Hillman to two years in prison and three years of supervised release. In August 2019, Ruliera pleaded guilty to one count of conspiracy to distribute and to possess with intent to distribute Adderall and four counts of distributing and possessing with intent to distribute Adderall.
Meghan Giacomuzzi, 39, of Whitinsville, was sentenced today by Judge Hillman to one year and one day in prison and three years of supervised release. In February 2019, Giacomuzzi pleaded guilty to one count of conspiracy to distribute and to possess with intent to distribute Adderall and six counts of distributing and dispensing Adderall.
Between March 2016 and February 2018, Ruliera and Giacomuzzi conspired with Leslie Caraceni M.D, to distribute Adderall, an amphetamine, for reasons other than for a legitimate medical purpose and not in the usual course of medical practice. Caraceni hired Ruliera and Giacomuzzi to work at her medical practice in Framingham and later in Whitinsville, and enlisted both in a conspiracy to sell and distribute Adderall to individuals who had not been medically examined or given a clinical diagnosis to warrant a prescription. Office visitors met with either Ruliera or Giacomuzzi, discussed their desired prescription, paid for their office visit and left with a signed prescription for Adderall. Office visits lasted just minutes and each such visit cost approximately $200, payable in cash or through a credit card or debit card. Caraceni collected the cash from the office or received funds through deposits to her bank account.
Caraceni provided Ruliera and Giacomuzzi with blank prescription pads and explained how to fill out prescriptions for sale. Electronic communications between Caraceni, Ruliera and Giacomuzzi documented Caraceni’s knowledge of the prescriptions written by Ruliera and Giacomuzzi, the number of office visitors seen in her absence and the profits resulting from their sale of prescriptions to those visitors. Between November 2015 and July 2018, records from the Massachusetts Prescription Monitoring Program show that well over 1,500 prescriptions for Adderall—amounting to over 110,000 pills—were filled in Massachusetts based on Caraceni’s prescriptions.
On Jan. 15, 2021, Caraceni was sentenced by Judge Hillman to seven years in prison and three years of supervised release after previously pleading guilty to one count of conspiracy to distribute and to possess with intent to distribute Adderall and three counts of distributing and dispensing Adderall.
Acting United States Attorney Nathaniel R. Mendell; Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration, New England Division; Uxbridge Police Chief Marc Montminy; and Southborough Police Chief Jane Moran made the announcement. Assistant U.S. Attorney Craig Estes of Mendell’s Narcotics and Money Laundering Unit prosecuted both cases.
Postal Manager Pleads Guilty to Drug ChargesRead the Press Release
BOSTON – A U.S. Postal employee pleaded guilty today in connection with stealing mail believed to contain controlled substances.
Shawn M. Herron, 44, of Whitman, pleaded guilty to one count of conspiracy to possess cocaine with intent to distribute and one count of theft of mail by a postal employee. U.S. District Court Chief Judge F. Dennis Saylor IV scheduled sentencing for Feb. 17, 2022. Herron was indicted in August 2020.
Since September 2005, Herron has been employed with the Postal Service where he has served as Supervisor of Customer Service at the Canton Post Office and more recently as Manager of Customer Services at the Fall River Post Office (FPO).
Herron tracked packages he suspected of containing narcotics and, rather than dealing with them appropriately, opened them and stole the contents. Specifically, Herron profiled priority parcels from Puerto Rico and West Coast states as well as parcels flagged by law enforcement as potentially containing illegal narcotics and then removed them from the mail stream. Herron tracked the suspected parcels through Postal Service databases and monitored their arrival at the FPO. After their arrival Herron located the parcels and brought them to his personal office space, where he stole the narcotics for distribution.
The charge of conspiracy to distribute controlled substances provides for a sentence of up to 20 years in prison, five years of supervised release and a fine of up to $500,000. The charge of theft of mail 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 other statutory factors.
Acting United States Attorney Nathaniel R. Mendell; Matthew M. Modafferi, Special Agent in Charge of the U.S. Postal Service Office of Inspector General; and Ketty Larco-Ward, Inspector in Charge of the U.S. Postal Inspection Service made the announcement. Assistant U.S. Attorneys Eugenia M. Carris, Deputy Chief of Mendell’s Public Corruption & Special Prosecutions Unit, and Charles Dell-Anno, of Mendell’s Major Crimes Unit, are prosecuting the case.