Eastern District of Michigan
Press releases recorded for this federal judicial district.
United States Attorney’s Office Observes National Crime Victims’ Rights WeekRead the Press Release
DETROIT, MI – In observance of National Crime Victims’ Rights Week (NCVRW), April 19-24, 2026, the United States Attorney’s Office for the Eastern District of Michigan, along with the Wayne County Prosecutor’s Office and the Detroit Crime Victims’ Action Team, will be recognizing crime victims and those who have dedicated their lives to serve and assist victims of crime.
“During National Crime Victims’ Right Week, we reaffirm the principle that victims will be heard, respected, and protected. We will prosecute the criminals and defend the vulnerable,” said United States Attorney Jerome F. Gorgon, Jr.
“Thank you - all of you - for your collective work restoring dignity, respect, and humanity to people within our state who have been abused, murdered, and victimized. Thank you for keeping the focus on them,” said Wayne County Prosecutor Kym Worthy. “Survivors matter. And we must be accountable to them. We cannot just give lip service to victims and public safety. We must mean it. We must be out and bold about it. We must live it.”
Since 1981, NCVRW has challenged us to confront and remove barriers to achieving justice for all victims of crime. During NCVRW, we recognize the accomplishments of the victims’ rights movement and reflect on how far we have come. This year the theme is LISTEN. ACT. ADVOCATE. Protect Victims, Serve Communities.
Each year in April, the federal Office for Victims of Crime (OVC) leads communities throughout the country in their annual observances of National Crime Victims’ Rights Week by raising awareness of victims' rights and honoring crime victims and those who advocate on their behalf.
This year’s Crime Victims’ Rights Week events will kick off with a Survivor Walk on Sunday, April 19, 2026 @ 10:00 am on Belle Isle. The meeting point is adjacent to the Scott Fountain. The main event will be a community and resource fair on Friday, April 24, 2026 @ 12pm at the Wayne County Criminal Justice Center, 5301 Russel Street, Detroit, MI 48211.
Shauntaye Phillips, the wife of Harold Phillips, a victim of a fatal animal attack, will be the guest speaker and will share her emotional story of how she is using her voice to help others.
Following the event, the Wayne County Prosecutor’s Office will be hosting a Wellness Event featuring vendors, food trucks, resources, and more. For additional information about 2026 National Crime Victims’ Rights Week activities or about victims’ rights and services in Wayne County, please contact Mechelle Donahoo, Director of Victim Services, 313-224-5626 or visit https://www.waynecountymi.gov/Government/Elected-Officials/Prosecutor
All are welcome to attend this event.
This year marks the 42nd anniversary of the Victims of Crime Act, commonly shortened to VOCA. This act was passed by Congress and signed into law on October 12, 1984. VOCA established the Crime Victims Fund (CVF), a Federal Victim Notification System, discretionary grants for victim service organizations, victim assistance positions in the Department of Justice, financial support for the Children’s Justice Act Program, and assistance and compensation for victims and survivors of terrorism.
For more information about how to support all victims of crime, visit OVC’s website at www.ovc.ojp.gov.
The Detroit Crime Victims’ Action Team consists of representatives from the following agencies: Bureau of Alcohol, Tobacco, Firearms, and Explosives; Crime Stoppers of Michigan; Drug Enforcement Administration; Department of Homeland Security; Office of Inspector General; Federal Bureau of Investigation; Michigan Attorney General’s Office; U.S. Attorney’s Office, Eastern District of Michigan; U.S. Postal Inspection Service; and the Wayne County Prosecutor’s Office.
Metro Detroit Surgeon Was Sentenced to a Year in Prison in $7 Million Dollar Medicare Fraud SchemeRead the Press Release
DETROIT –– A surgeon from Metro Detroit was sentenced yesterday for his involvement in a scheme to submit fraudulent claims to Medicare for psychotherapy services, announced United States Attorney Jerome F. Gorgon Jr.
Gorgon was joined in the announcement by Special Agent in Charge Jennifer Runyan of the FBI Detroit Field Division, and Mario Pinto Mario M. Pinto, Special Agent in Charge at the U.S. Department of Health and Human Services Office of Inspector General (HHS-OIG).
Mustafa Hares, 79, of West Bloomfield was sentenced by U.S. District Court Gershwin A. Drain to 12 months in federal prison. Hares was also ordered to pay $4.8 million in restitution and to serve a three-year term of supervised release following his incarceration.
According to court records, between 2019 and 2023, Hares and others joined in a scheme to submit more than $7 million in fraudulent claims for psychotherapy services which were never rendered. Hares joined with Mohammed Kazkaz in signing purported patient progress notes, which were actually written by employees in Mexico rather than by actual medical providers. Kazkaz was previously sentenced to 7 ½ years in prison for his role in this fraud scheme.
United States Attorney Gorgon stated, “This physician abused his medical license and position of trust as a doctor to facilitate a massive health care fraud scheme at the expense of the American taxpayer. We must eradicate fraud.”
“Medicare fraud is theft from the American people, and physicians who exploit it for personal gain will be held responsible for their actions,” said Jennifer Runyan, Special Agent in Charge of the FBI Detroit Field Office. “The defendant’s sentencing for this multimillion-dollar healthcare fraud scheme reflects the significant impact of his actions, which drained critical resources from a program designed to serve those in need and undermined trust in the medical professionals who follow the law. I commend the dedicated members of FBI Detroit, alongside our partners at the U.S. Department of Health and Human Services Office of Inspector General, whose work ensured those involved were brought to justice. Together, we remain committed to protecting the integrity of our healthcare system and those who depend on it.”
“Patients place enormous trust in their medical providers, and schemes like this not only defraud Medicare but also betray that trust in deeply harmful ways,” said Mario Pinto, Special Agent in Charge of the U.S. Department of Health and Human Services Office of Inspector General (HHS-OIG). “When practitioners misuse their credentials to authorize false services, they jeopardize the care and well-being of the very people these programs are designed to protect. HHS-OIG, together with our law enforcement partners, remains firmly committed to uncovering such misconduct and ensuring that those who put patients at risk for personal gain are held accountable.”
The Department of Justice has created the National Fraud Enforcement Division. The core mission of the Fraud Division is to zealously investigate and prosecute those who steal or fraudulently misuse taxpayer dollars. Department of Justice efforts to combat fraud support President Trump’s Task Force to Eliminate Fraud, a whole-of-government effort chaired by Vice President J.D. Vance to eliminate fraud, waste, and abuse within Federal benefit programs.
The case was investigated by the Department of Health and Human Services - Office of the Inspector General (HHS-OIG) and the Federal Bureau of Investigation (FBI). The case is being prosecuted by Assistant United States Attorney Regina R. McCullough and Philip A. Ross.
Southfield Man Pleads Guilty to Possession of Fake IDs and ID-Making Equipment Used to Cause over $500k in Fraud LossesRead the Press Release
DETROIT – A Southfield man pled guilty today to illegally possessing social security cards, driver’s licenses, and equipment to make fake documents – all of which were ultimately used to cause over half a million dollars in fraud losses, United States Attorney Jerome F. Gorgon Jr. announced.
Gorgon was joined in the announcement by Anthony P. D'Esposito, Inspector General, U.S. Department of Labor, Office of Inspector General, and Jared Murphey, Acting Special Agent in Charge of Homeland Security Investigations-Detroit.
Pleading guilty was Jerome Antwan Andrews, 41.
In his plea agreement, Andrews admitted to possessing the social security numbers and driver’s license information for over 250 people, as well as an identification card printer, an embosser, a laminator, and a card cutter. Andrews also admitted that his business model was to create and sell fake social security cards and driver’s licenses in the names of real people, and that his conduct caused more than $550,000 in fraud losses.
Having pled guilty, Andrews faces up to 15 years in prison and a fine of $250,000 or twice the pecuniary gain or loss. Sentencing will occur before United States District Judge Terrance G. Berg.
“My office and our law enforcement partners are committed to dismantling the networks that allow fraudsters like Mr. Andrews to flourish.” U.S. Attorney Jerome F. Gorgon Jr. stated. “We will aggressively prosecute identity theft and fraud.”
“Identity theft causes lasting harm to innocent victims and fraudulent identification documents undermine the security of our communities,” said HSI Detroit Acting Special Agent in Charge Jared Murphey. “HSI remains committed to working with our law enforcement partners to disrupt these criminal operations and protect Americans from these schemes.”
“Jerome Antwan Andrews and his criminal associates stole more than $1.5 million by submitting hundreds of fraudulent claims to a pandemic program intended to help unemployed American workers. Today’s conviction of Andrews represents yet another attack in our war against fraud. It sends a stern warning that my office will relentlessly investigate those bad actors greedily lining their pockets with U.S. taxpayer funds,” said Anthony P. D'Esposito, Inspector General, U.S. Department of Labor, Office of Inspector General. “If you try to game the system, we will investigate you and hold you accountable.”
This case was investigated by Homeland Security Investigations and the Department of Labor — Office of Inspector General. Significant investigative assistance was provided by the Wayne County Airport Authority Police Department, and the United States Secret Service Southeast Michigan Financial Crimes Task Force. The case is being prosecuted by Assistant U.S. Attorney K. Craig Welkener.
Michigan Gang Member Pleads Guilty to RICO Conspiracy for Drug Trafficking and over $500,000 in FraudRead the Press Release
A Michigan man pleaded guilty yesterday for his role in a Racketeer Influenced and Corrupt Organization (RICO) Conspiracy.
According to court documents, Jordan Gilmore, 27, of Detroit, is a member of a street gang known as the Purple Heart Vets (PHV) that uses violence, drug trafficking and fraud to enrich its members and fund the criminal enterprise. Gilmore is a self-described founder of PHV and used his rap career to promote the PHV through music and rap videos featuring other members and associates, firearms, cash, expensive cars and jewelry, and the gang’s territory.
Gilmore and other PHV members and associates conspired to distribute marijuana, Percocet pills, and other controlled substances to further and fund the PHV enterprise. The gang used two houses in Detroit to store, prepare, and sell drugs and used members armed with firearms to protect the gang’s drug-trafficking conspiracy, drugs, and proceeds.
In addition to drug trafficking, Gilmore and other PHV members fraudulently and illegally obtained pandemic relief grants, specifically Pandemic Unemployment Assistance (PUA) benefits to which they were not entitled. PHV members fraudulently obtained approximately $520,709 in federally-funded state PUA benefits and filed more than 50 fraudulent PUA applications.
Gilmore pleaded guilty to RICO Conspiracy. He is scheduled to be sentenced on July 20. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Assistant Attorney General A. Tysen Duva of the Justice Department’s Criminal Division and U.S. Attorney Jerome F. Gorgon, Jr. for the Eastern District of Michigan made the announcement.
The U.S. Department of Labor Office of Inspector General and The Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) are investigating the case.
Trial Attorney Marcus Johnson of the Criminal Division’s Violent Crime and Racketeering Section and Assistant U.S. Attorneys Danielle Asher and Matthew Roth for the Eastern District of Michigan are prosecuting the case.
Man Who Declared “Death to You All” and Attempted to Commit Mass Murder SentencedRead the Press Release
FLINT – An Owosso, Michigan man fixated on mass murderers was sentenced today to 7 years in federal prison for attempting to commit his own attack, United States Attorney Jerome F. Gorgon, Jr. announced. Gorgon was joined in the announcement by Jennifer Runyan, Special Agent in Charge of the Federal Bureau of Investigation-Detroit Division. Mack Davis, 23, was sentenced after pleading guilty to one count under the federal hate crime statute.
According to court documents, Davis became infatuated with other mass murderers and planned to conduct his own mass murder. Among other things, Davis drafted a list of weapons and tactical gear for his plan. Davis’s own writings show that he surveilled churches, synagogues, mosques, schools, hospitals, and supermarkets. In his writings, Davis expressed his “hate for this world and for the people in it, all people, I hate you all the same.” Davis posted selfies of himself making a Nazi salute and holding a copy of Adolf Hitler’s antisemitic manifesto, Mein Kampf.
As he began to plot his own mass murder, Davis focused on attacking two locations in close proximity to one another: a political party’s county headquarters and a bar, both of which he believed would contain homosexuals. He also explained that he would “fire on anyone and anything” near those locations.
Leading up to his attack, Davis test-fired approximately 60 bullets into his neighbors’ cars, one of which he had previously vandalized with an anti-gay slur. Law enforcement’s investigation of the shooting led to their disruption of Davis’s attempt to commit the mass shooting. During the search of his home, police found that he had an arsenal that included an illegally sawed-off rifle, a shotgun, hundreds of rounds of ammunition, a crossbow and arrows, bomb-making parts, tactical gear, and knives. On one of the knives, Davis wrote a foul anti-gay slur on one side of the blade and “Death to you all” and a swastika on the other side of the blade.
Davis also defiled an Israeli flag.
“Davis devised wicked plans. He said he would kill ‘anyone and anything’ that crossed his path and planned to attack homosexuals. And his venom for Jews is part of the sickening rise in antisemitism and attacks against believers. But we will protect every American,” U.S. Attorney Gorgon said.
"There is no room for targeted hate crimes against any citizen on American soil, including in our community of Owosso,” said Jennifer Runyan, Special Agent in Charge of the FBI Detroit Field Office. “We are grateful for the strong collaboration between our FBI Flint Resident Agency, the Owosso Police Department, the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the Michigan State Police in disrupting this hate-inspired plot before anyone was harmed. Let this sentence serve as a notice that if you target others with hate or violence, you will face the full weight of justice under federal law."
This case was investigated by the FBI Detroit Field Office, Flint Resident Agency, in collaboration with the Owosso Police Department, the Bureau of Alcohol, Tobacco and Firearms (ATF), and the Michigan State Police. The Department of Justice's Civil Rights Division assisted in the prosecution.
Illegal Alien Pleads Guilty to Conspiring to Commit Bank Larceny on Behalf of Foreign Terrorist OrganizationRead the Press Release
DETROIT -Yosue Manuel Gonzalez-Moy, an illegal alien from Venezuela, pleaded guilty today to conspiring to commit bank larceny on behalf of Tren de Aragua, a designated foreign terrorist organization, United States Attorney Jerome F. Gorgon Jr. announced.
Gorgon was joined in the announcement by Jennifer Runyan, Special Agent in Charge of the Federal Bureau of Investigation, Detroit Field Office.
On October 12, 2025, Gonzalez-Moy and a co-conspirator drove from Illinois to Dexter, Michigan to break into and steal money from an ATM at the Chelsea State Bank. Gonzalez-Moy used a counterfeit key and a cordless drill to open the ATM. He then connected a device to the ATM that would have allowed him to access the ATM remotely and force the ATM to dispense all of its stored currency, a crime commonly referred to as “ATM Jackpotting.” Gonzalez -Moy and the coconspirator fled without obtaining any money after an alarm went off. While fleeing from the scene, the co-conspirator crashed his vehicle into a tree and later died at the hospital from his injuries. During a post-arrest interview, Gonzalez-Moy admitted that he was associated with Tren de Aragua (TdA) – a designated foreign terrorist organization – and that he attempted to break into the ATM at the request of other TdA members.
United States Attorney Gorgon stated, “People sometimes think that the dangers of illegal immigration are a faraway problem that don’t impact us here at home. Today’s conviction shows this is untrue. Tren de Aragua is a vicious and violent foreign terrorist cartel that has victimized numerous communities throughout the United States. Now they have come to Michigan to do the same. But they will find no sanctuary here.”
"Criminals who target financial systems through schemes like ATM Jackpotting will be identified and brought to justice,” said Jennifer Runyan, Special Agent in Charge of the FBI Detroit Field Office. “The defendant, who was identified as an illegal alien and associate of Tren de Aragua (TdA), a transnational organized crime syndicate from Venezuela, manipulated an ATM machine in our community, in an attempt to unlawfully access currency. I want to be clear: No matter the scheme, when there is a federal nexus, the FBI will work with our partners to investigate, disrupt, and dismantle operations of those involved. I commend the dedicated members of FBI Detroit, and our law enforcement partners for their work in holding this individual accountable and protecting our homeland.”
Gonzalez-Moy faces a maximum sentence of five years imprisonment.
This prosecution is part of the Homeland Security Task Force (HSTF) initiative established by Executive Order 14159, Protecting the American People Against Invasion. The HSTF is a whole-of-government partnership dedicated to eliminating criminal cartels, foreign gangs, transnational criminal organizations, and human smuggling and trafficking rings operating in the United States and abroad. Through historic interagency collaboration, the HSTF directs the full might of United States law enforcement towards identifying, investigating, and prosecuting the full spectrum of crimes committed by these organizations, which have long fueled violence and instability within our borders. In performing this work, the HSTF places special emphasis on investigating and prosecuting those engaged in child trafficking or other crimes involving children. The HSTF further utilizes all available tools to prosecute and remove the most violent criminal aliens from the United States. HSTF Detroit comprises agents and officers from various law enforcement agencies with the prosecution being led by the United States Attorney’s Office for the Eastern District of Michigan.
The investigation was conducted by the Detroit Field Office of the Federal Bureau of Investigation. The case is being prosecuted by Assistant United States Attorneys Mark Bilkovic and Tim McDonald.
Detroit Man Pleads Guilty in $1.9M in Unemployment Insurance and Pandemic Fraud SchemeRead the Press Release
DETROIT – A Detroit resident pleaded guilty today related to an extensive unemployment insurance and Paycheck Protection Program fraud scheme, announced United States Attorney Jerome F. Gorgon Jr.
Tauheed Salik Wilder, 43, pleaded guilty today before Judge Brandy R. McMillion to one count of wire fraud.
Joining in the announcement was Anthony P. D’Esposito, Inspector General, U.S. Department of Labor, Office of Inspector General, Karen Wingerd, Special Agent in Charge, Detroit Field Office, IRS Criminal Investigation and Jason Palmer, Director, Michigan Unemployment Insurance Agency.
According to court records, Wilder filed hundreds of false claims for unemployment insurance benefits in multiple states, including Michigan and California, in numerous other individuals’ names and without their consent. Wilder used, or arranged for others to use, ATM cards issued in the names of identity theft victims to withdraw the fraudulently obtained unemployment funds. In total, Wilder's conduct caused actual UI benefit losses of $1.8 million. Further, Wilder accepted responsibility for two fraudulent Paycheck Protection Program (PPP) loans he applied for and received in his own name, totaling approximately $84,000. In total, Wilder’s scheme caused actual losses of $1.9M.
U.S. Attorney Gorgon stated, “Fraud against the government is itself a pandemic. One that hurts the American taxpayer and undermines the strength of our economy. Each of these prosecutions is a dose of justice.”
“Tauheed Wilder’s guilty plea sends a clear message: the Department of Labor Office of Inspector General will relentlessly pursue those who steal from taxpayers through fraudulent unemployment insurance claims. Protecting the integrity of these programs for American workers in need remains one of our highest priorities,” said Anthony P. D’Esposito, Inspector General, U.S. Department of Labor, Office of Inspector General. “Together with our law enforcement partners, we are going on offense against fraud—tracking down bad actors who try to game the system and line their pockets at taxpayers’ expense.”
“This guilty plea is an important victory for America’s taxpayers who play by the rules and don’t use assistance programs as a cash slush fund,” said Karen Wingerd, Special Agent in Charge, Detroit Field Office, IRS Criminal Investigation (IRS-CI). “Today’s plea is also part of a much larger and coordinated effort by the IRS-CI and Department of Justice to aggressively find and crack down on fraudsters misusing taxpayer dollars. For those still hiding in this shadowy world, know that we will find you and hold you fully accountable.”
“Mr. Wilder joins a growing list of fraudsters who thought they could get away with fleecing the unemployment insurance program in Michigan,” said Michigan UIA Director Jason Palmer. “He should be ashamed of his failed scheme to steal money from hard-working Michiganders and businesses who support the unemployment insurance program. He may have thought he got away with it, but in the end he and other bad actors will learn the Unemployment Insurance Agency will come after them and hold them accountable for their crimes.”
Wilder will be sentenced by Judge McMillion on July 30, 2026. He faces a maximum sentence of up to 20 years’ imprisonment on the wire fraud charge.
The Department of Justice has created the National Fraud Enforcement Division. The core mission of the Fraud Division is to zealously investigate and prosecute those who steal or fraudulently misuse taxpayer dollars. Department of Justice efforts to combat fraud support President Trump’s Task Force to Eliminate Fraud, a whole-of-government effort chaired by Vice President J.D. Vance to eliminate fraud, waste, and abuse within Federal benefit programs.
This case was investigated by special agents of the Department of Labor Office of the Inspector General (DOL-OIG), the Internal Revenue Service-Criminal Investigation (IRS-CI), and the Michigan UIA. The case is being prosecuted by Assistant U.S. Attorney Ryan A. Particka.
President’s Task Force to Eliminate Fraud Leads to Federal Charges Against Michigan Man for $5 Million Plus Paycheck Protection Program Fraud SchemeRead the Press Release
Federal law enforcement arrested West Bloomfield, Michigan resident Randon “Romero” Williams, who is charged by complaint with wire fraud and money laundering for allegedly defrauding financial institutions and the U.S. Small Business Administration (SBA).
“These efforts are the first fruits of President Donald J. Trump’s Task Force to Eliminate Fraud and come on the heels of the establishment of the new National Fraud Enforcement Division working under Acting Attorney General Todd Blanche,” U.S. Attorney Jerome F. Gorgon, Jr. announced. “We will zealously prosecute any thief who steals from the hardworking American taxpayer,” said Gorgon.
“The National Fraud Enforcement Division is ensuring that those who steal from taxpayers are held accountable,” said Assistant Attorney General Colin M. McDonald, of the National Fraud Enforcement Division.
The complaint alleges that between approximately April 2020 and March 2021, Williams, 40, applied for more than $5 million in loans across six applications submitted to Paycheck Protection Program (PPP) participating lenders under the names of various businesses during the COVID-19 pandemic. Investigators allege that these businesses either existed only on paper or that the applications materially inflated employee headcounts, payroll expenses, and gross receipts during relevant periods—key factors used to determine loan eligibility and amounts.
According to the complaint, Williams claimed that businesses with names such as “The Romero Group” and “Step Ladder Construction” employed between 21 and 75 individuals and reported monthly payroll expenses of more than half a million dollars. To support these claims, Williams allegedly submitted falsified tax documents with the loan applications.
“The Paycheck Protection Program (PPP) was designed to be a lifeline for struggling businesses during a global disaster event, not a free-for-all for any unscrupulous fraudster looking for easy money,” said Karen Wingerd, Special Agent in Charge, Detroit Field Office, IRS Criminal Investigation. “If you think that’s the case, you are dead wrong, and you will be held accountable for stealing from every hard-working tax-payer that pays their fair share. Our expertise is following the money, and we will find you.”
The case is being prosecuted by Assistant United States Attorney Kelly Fasbinder and investigated by IRS Criminal Investigations.
A complaint is only a charge and is not evidence of guilt. All defendants are presumed innocent until proven guilty in a court of law.
In other news from around the country, an Iowa farmer who defrauded federal taxpayers out of more than $1.7 million in agricultural subsidies, stole multiple identities, and stalked a witness, was sentenced yesterday to 13 years in federal prison. In North Carolina, a federal judge sentenced a Robeson County woman, to 10 months in prison for her role in a half-million dollar covid fraud scheme. And in South Carolina, a former U.S. Department of Energy employee pled guilty to stealing a dead relative's pension.
On April 7, the Department of Justice announced the creation of the National Fraud Enforcement Division. The core mission of the Fraud Division is to zealously investigate and prosecute those who steal or fraudulently misuse taxpayer dollars. Department of Justice efforts to combat fraud support President Trump’s Task Force to Eliminate Fraud, a whole-of-government effort chaired by Vice President J.D. Vance to eliminate fraud, waste, and abuse within Federal benefit programs.
President’s Task Force to Eliminate Fraud Leads to Federal Charges Against Bloomfield Hills Man for $5 Million Plus Paycheck Protection Program Fraud SchemeRead the Press Release
DETROIT – Federal law enforcement charged by complaint and yesterday arrested West Bloomfield resident Randon “Romero” Williams with wire fraud and money laundering for allegedly defrauding financial institutions and the U.S. Small Business Administration (SBA). “These efforts are the first fruits of President Donald J. Trump’s Task Force to Eliminate Fraud and come on the heels of the establishment of the new National Fraud Enforcement Division working under Acting Attorney General Todd Blanche,” U.S. Attorney Jerome F. Gorgon, Jr. announced. “We will zealously prosecute any thief who steals from the hardworking American taxpayer,” said Gorgon.
The complaint alleges that between approximately April 2020 and March 2021, Williams, 40, applied for more than $5 million in loans across six applications submitted to Paycheck Protection Program (PPP) participating lenders under the names of various businesses during the COVID-19 pandemic. Investigators allege that these businesses either existed only on paper or that the applications materially inflated employee headcounts, payroll expenses, and gross receipts during relevant periods—key factors used to determine loan eligibility and amounts.
According to the complaint, Williams claimed that businesses with names such as “The Romero Group” and “Step Ladder Construction” employed between 21 and 75 individuals and reported monthly payroll expenses of more than half a million dollars. To support these claims, Williams allegedly submitted falsified tax documents with the loan applications.
Gorgon was joined in the announcement by Special Agent in Charge Karen Wingerd of the IRS Criminal Investigations Detroit Field Office.
“The Paycheck Protection Program (PPP) was designed to be a lifeline for struggling businesses during a global disaster event, not a free-for-all for any unscrupulous fraudster looking for easy money,” said Karen Wingerd, Special Agent in Charge, Detroit Field Office, IRS Criminal Investigation. “If you think that’s the case, you are dead wrong, and you will be held accountable for stealing from every hard-working tax-payer that pays their fair share. Our expertise is following the money, and we will find you.”
A complaint is only a charge and is not evidence of guilt. Trial cannot be held on felony charges in a complaint. When the investigation is complete, determinations will be made whether to seek felony indictments.
The case is being prosecuted by Assistant United States Attorney Kelly Fasbinder and investigated by IRS Criminal Investigations.
On April 7, the Department of Justice announced the creation of the National Fraud Enforcement Division. The core mission of the Fraud Division is to zealously investigate and prosecute those who steal or fraudulently misuse taxpayer dollars. Department of Justice efforts to combat fraud support President Trump’s Task Force to Eliminate Fraud, a whole-of-government effort chaired by Vice President J.D. Vance to eliminate fraud, waste, and abuse within Federal benefit programs.
Man Pleads Guilty to Suborning Perjury in Federal CourtRead the Press Release
FLINT — During the second week of his federal trial on several witness tampering and perjury charges, Omar R. Pouncy, 38, of Flint, pleaded guilty to suborning perjury, U.S. Attorney Jerome F. Gorgon Jr. announced.
Gorgon was joined in the announcement by Jennifer Runyan, Special Agent in Charge of Federal Bureau of Investigation’s Detroit Field Office.
U.S. District Court Judge F. Kay Behm accepted Pouncy’s guilty plea to suborning perjury and scheduled sentencing for July 14, 2026. Pouncy faces up to five years in federal prison.
According to court documents and the testimony and evidence elicited at trial, Pouncy was convicted of committing multiple carjackings and armed robberies in Genesee County in 2005. The trial court sentenced Pouncy to a lengthy term of incarceration. After exhausting all of his appeals in state court, Pouncy filed a federal habeas corpus petition in the United States District Court for the Eastern District of Michigan in 2013. During the federal habeas proceedings, Pouncy alleged, among other things, that he was actually innocent of the carjackings for which he had been convicted, and that another man, Jaakawa McGruder, had committed the carjackings instead of Pouncy.
On May 22, 2018, the U.S. District Court conducted an evidentiary hearing on Pouncy’s actual innocence claims. During the hearing, Jaakawa McGruder testified falsely that he, not Pouncy, committed the carjackings. During the hearing, McGruder also testified falsely that he had not been offered and was not receiving any money for his testimony or his presence at the hearing, when in fact, Pouncy paid McGruder $10,000 to testify. Pouncy’s scheme nearly worked: the district judge released him on bond and subsequently ruled in his favor. But Pouncy’s scheme was uncovered when employees of the Michigan Department of Corrections found, and later searched, two cell phones that Pouncy was using from inside prison. Text messages on the phones revealed that Pouncy coached McGruder on how to testify, providing him with details of the carjackings and robberies that only the perpetrator would know. The text messages also revealed Pouncy’s directives to others to ensure payment to McGruder in order to secure his testimony in the habeas proceeding.
McGruder and another person who assisted Pouncy in his scheme were previously convicted for their roles.
“This violent criminal lied his way back into our community. He endangered the public and directly attacked our justice system. But we uncovered his perjury scheme. And now the same courts he undermined will serve him justice,” stated U.S. Attorney Gorgon.
"Attempting to manipulate the justice system by orchestrating false testimony is a serious crime, and those who engage in schemes to obstruct the truth will be held accountable,” said Jennifer Runyan, Special Agent in Charge of the FBI Detroit Field Office. “The defendant’s actions were a deliberate effort to undermine the integrity of the judicial process. Due to the diligent work of our partners at the Michigan Department of Corrections in uncovering key evidence, members of the FBI Flint Resident Agency were able to thoroughly investigate this case. FBI Detroit will continue to prioritize public safety, keeping violent offenders off the streets and ensuring our communities remain safe.”
This investigation was conducted by special agents of the FBI’s Flint Resident Agency and officials with the Michigan Department of Corrections. The case was prosecuted by Assistant United States Attorneys Jules DePorre and Ann Nee.
Illegal Alien from Guatemala and Prior Convicted Sex Offender Pleads Guilty to Illegally Returning to U.S. and Failing to Register as a Sex OffenderRead the Press Release
DETROIT - Joel Martin Mendez, 33, a Guatemalan illegal alien, pleaded guilty today to illegally re-entering the United States and failing to register as a sex offender, United States Attorney Jerome F. Gorgon, Jr. announced.
Gorgon was joined in the announcement by Acting Chief Patrol Agent Javier Geronimo, Jr., U.S. Border Patrol.
According to court records, sometime prior to 2023, Martin Mendez unlawfully entered the United States. While here illegally, Martin Mendez communicated via texts and phone calls with who he thought was a 15-year-old female—but was an undercover agent. Martin Mendez responded to a “Skip the Games” online classified website known as a platform for advertising escort services and adult entertainment. This site is often used for illegal prostitution and is frequently monitored by law enforcement to combat sex trafficking. Martin Mendez discussed prices for various sex acts and arranged to meet the girl at a hotel in Monroe County, Michigan. But law enforcement arrested him. Martin Mendez pleaded guilty to two state felonies (children-accosting for immoral purposes and attempted computer-internet communication to do a crime) but was sentenced to only 17 days’ incarceration and 5 years’ probation. He was also ordered to register on the sex offender registry. Martin Mendez failed to register as a sex offender prior to his removal to Guatemala. Detroit Sector Border Patrol identified that Martin Mendez thereafter illegally returned to the U.S. and arrested him in February.
“Joel Martin Mendez is another reminder of how illegal immigration endangers Americans. This illegal alien broke into our country and tried to sexually abuse one of our children,” said Gorgon.
“I am incredibly proud of the dedication and professionalism demonstrated by our Detroit Sector agents and our law enforcement partners in apprehending this convicted child predator, who had previously been removed from the United States and illegally returned,” said Acting Chief Patrol Agent Javier Geronimo Jr., U.S. Border Patrol Detroit Sector. “This case underscores our unwavering commitment to protecting our communities. Through their vigilance and teamwork, this dangerous offender has been taken off our streets, making our neighborhoods safer for the families we are sworn to protect.”
This case was investigated by the special agents of the U.S. Border Patrol and is being prosecuted by Assistant U.S. Attorney Susan Fairchild.
This case is part of Operation Take Back America, a nationwide initiative that marshals the full resources of the Department of Justice to repel the invasion of illegal immigration, achieve the total elimination of cartels and transnational criminal organizations (TCOs), and protect our communities from the perpetrators of violent crime.
Former Substitute Teacher Pleads Guilty to Sexual Exploitation of Minors and Receipt of Child Pornography ChargesRead the Press Release
DETROIT – A former substitute teacher has pleaded guilty to charges of sexual exploitation of minors and receipt of child pornography, announced Jerome F. Gorgon, Jr., United States Attorney of the Eastern District of Michigan.
Gorgon was joined in the announcement by Special Agent in Charge Jennifer Runyan, Federal Bureau of Investigation, Detroit Field Division.
Pleading guilty was Timothy Higle, 34, formerly of Clawson, Michigan.
According to court records, Higle solicited nude images and sexually explicit videos from minors over Snapchat. In exchange for producing the images and videos, Higle paid the minor victims using Cashapp and Venmo. In one instance Higle provided a minor with a vape pen and cartridge containing marijuana. Higle’s victims ranged in age from 14 to 17 years old at the time of the incidents. Law enforcement became aware of Higle’s conduct after one of the victims contacted the Michigan State Police in August 2024.
The evidence in this case has not established that Higle engaged in this conduct while working in his capacity as a teacher. Nevertheless, if someone believes they may have been a victim or knows of someone who may be a victim, they are encouraged to contact the FBI at (313) 965-2323.
“This is disgusting behavior for anyone. But we entrust teachers with our children, so it is especially alarming when one of them preys on children,” said Gorgon.
“The defendant had a choice, and he chose to exploit children and betray public trust,” said Jennifer Runyan, Special Agent in Charge of the FBI Detroit Field Office. “We are grateful for the bravery of the individual who came forward and reported this to our law enforcement partners at the Michigan State Police. Our dedicated team from the FBI Oakland County Resident Agency worked diligently to investigate this case, and this guilty plea represents an important step toward accountability.”
Higle faces a mandatory minimum sentence of 15 years in federal prison when he is sentenced on August 11, 2026.
This case was investigated by the Federal Bureau of Investigation and the Michigan State Police. The case is being prosecuted by Assistant U.S. Attorneys Ann Nee and Sean King.
Canton Resident Pleads Guilty to Sexual Exploitation of a Minor and Transportation of Child PornographyRead the Press Release
DETROIT – A Canton man pleaded guilty today to charges relating to the sexual exploitation of a minor and transporting child pornography, announced United States Attorney Jerome F. Gorgon, Jr.
Gorgon was joined in the announcement by Jared Murphey, Special Agent in Charge of Homeland Security Investigations-Detroit (HSI).
Shariq Alam, 48, pleaded guilty today before United States District Judge Linda V. Parker in Detroit.
According to court records, in February 2025, the HSI received information from local law enforcement that an individual, known to law enforcement, had been communicating with Alam about sexually abusing a minor child. Based on this information, law enforcement obtained and executed a search warrant at Alam’s residence. During the search of a bedroom in the basement of the residence, officers found a cell phone holder and an external camera light attached to a nightstand facing a bed, along with sexual toys and paraphernalia and several flash drives. An examination of two of the flash drives revealed multiple videos of child pornography, including videos of an identified minor victim that had been created by Alam. Further investigation revealed that Alam uploaded child pornography to his Google Drive account.
Alam will be sentenced on August 12, 2026 where he faces a mandatory minimum sentence of 15 years in federal prison.
This case was investigated by Homeland Security Investigations and was prosecuted by Assistant United States Attorneys Ann Nee and Sean King.
Business Owner Convicted of $1.9M Medicare, Medicaid, and Private Insurer Fraud SchemeRead the Press Release
DETROIT – A business owner from Dearborn Heights pleaded guilty today to conspiring to commit health care fraud, which resulted in $1.9 million in loss to Medicare, Medicaid, and Blue Cross Blue Shield of Michigan, announced United States Attorney Jerome F. Gorgon, Jr.
Gorgon was joined in the announcement by Mario M. Pinto, Special Agent in Charge at the U.S. Department of Health and Human Services Office of Inspector General (HHS-OIG) and Jennifer Runyan, Special Agent in Charge, Federal Bureau of Investigation, Detroit Field Office.
Pleading guilty was Rabih Hamdan, 41, of Dearborn Heights, Michigan.
At the plea hearing, Hamdan admitted to creating and operating a scheme to submit false and fraudulent claims for prescription drugs that were medically unnecessary or not actually dispensed. In many instances, his pharmacy lacked the inventory to dispense these drugs but billed the health care insurers as though they had been dispensed. In these instances, the medications were never ordered by a physician. Hamdan used the fraud proceeds for his personal use and to benefit others. In total, Hamdan and his coconspirators submitted false and fraudulent claims totaling at least $1.9 million over a five-year period.
Sentencing before United States District Judge Matthew F. Leitman will be set after a presentence report is prepared. Hamdan faces a possible maximum sentence of 10 years in prison, a fine of up to $250,000, and up to three years of supervised release following any term of imprisonment.
The case was investigated by the Department of Health and Human Services - Office of the Inspector General (HHS-OIG) and the Federal Bureau of Investigation (FBI). The case is being prosecuted by Assistant United States Attorney Jason Dorval Norwood.
Federal Court sentences foreign national drug trafficker who moved thousands of kilograms of cocaineRead the Press Release
DETROIT – U.S. District Court Judge Denise Page Hood sentenced an Albania national, Ylli Didani, 48, to 25 years in prison. A federal jury recently convicted him of conspiracy to distribute cocaine, conspiracy to distribute cocaine on board a vessel subject to the jurisdiction of the United States, and conspiracy to launder monetary instruments, announced United States Attorney Jerome F. Gorgon Jr. and Special Agent in Charge Joseph O. Dixon, Drug Enforcement Administration, DEA Detroit Field Division.
Gorgon was joined in the announcement by Marty Raybon, Director of Field Operations, U.S. Customs and Border Protection; Special Agent in Charge Karen Wingerd, Internal Revenue Service-Criminal Investigations and Chief John Piggott, Farmington Hills Police Department.
Evidence at trial proved Didani was a leader of an international drug trafficking organization with ties to the United States, South America, and Europe. Didani and other unindicted co-conspirators planned and financed the distribution of cocaine from several locations including the Eastern District of Michigan. Didani arranged the distribution of enormous shipments of cocaine from South America to Europe, where the cocaine was seized by law enforcement. As a result of this investigation, in 2019 and 2020, law enforcement seized over 4300 kilograms of cocaine Didani’s organization loaded onto five different containerships that were bound for international ports. The seized cocaine has a street value of over $100,000,000.00.
The evidence at trial proved Didani and other members of his organization planned the design of an underwater drone that would be utilized to transport large quantities of cocaine to Europe. The drone, which was going to be equipped with an underwater modem and GPS antenna, would transport the cocaine while attached to the bottom of a commercial containership. The drone would then be remotely released from the containership off the shore of Europe. The drone and cocaine would then be picked up by a fishing boat controlled by Didani’s organization.
“The interagency collaboration on this case is a prime example of how the Homeland Security Task Force (HSTF) is designed to combat transnational criminal organizations just like this one. We thank our partners for sinking this operation and bring justice to a foreign national who was poisoning our friends abroad,” said Gorgon.
“This sentencing sends a clear message that no drug trafficking organization is beyond our reach,” said DEA Special Agent in Charge Dixon. “The DEA works side-by-side with our local, state, federal, and international partners to identify, disrupt, and dismantle these global criminal networks. The seizure of more than 4,300 kilograms of cocaine during this investigation demonstrates what we can achieve when we stand united in protecting the public from those who profit from addiction.”
“The laws governing the trafficking of drugs in the United States are very clear, there is no separate set of rules if the drugs are trafficked by land or sea,” said Karen Wingerd, Special Agent in Charge, Detroit Field Office, IRS Criminal Investigation. “This sentencing sends a direct message to drug traffickers globally that they will he held accountable for drug trafficking and the money laundering that comes with it. IRS Criminal Investigation is proud to be on the team with our law enforcement partners, keeping illicit drugs off our streets and out of America.”
“Today’s sentencing marks a definitive victory in our ongoing mission to dismantle transnational criminal organizations that profit from the scourge of dangerous drugs in our communities,” said CBP Director of Field Operations Marty C. Raybon. “This outcome is the result of seamless cooperation between CBP and our law enforcement partners and this sense of collective vigilance remains our strongest tool in protecting our communities and securing our borders.”
This prosecution is part of the HSTF initiative established by Executive Order 14159, Protecting the American People Against Invasion. The HSTF is a whole-of-government partnership dedicated to eliminating criminal cartels, foreign gangs, transnational criminal organizations, and human smuggling and trafficking rings operating in the United States and abroad. Through historic interagency collaboration, the HSTF directs the full might of United States law enforcement towards identifying, investigating, and prosecuting the full spectrum of crimes committed by these organizations, which have long fueled violence and instability within our borders. In performing this work, the HSTF places special emphasis on investigating and prosecuting those engaged in child trafficking or other crimes involving children. The HSTF further utilizes all available tools to prosecute and remove the most violent criminal aliens from the United States. HSTF Detroit comprises agents and officers from numerous agencies with the prosecution being led by the United States Attorney’s Office for the Eastern District of Michigan. This case was investigated by the Drug Enforcement Administration. The Department of Homeland Security, the Internal Revenue Service and the Farmington Hills Police Department provided critical assistance in this investigation. The case was prosecuted by Assistant United States Attorneys Mark Bilkovic and Tim McDonald.
Physician Sentenced to 15 Years in Federal Prison for Possessing and Distributing Thousands of Images of Child PornographyRead the Press Release
DETROIT – A physician from Capac, Michigan was sentenced yesterday to 15 years in federal prison after having pleaded guilty to distributing thousands of images of child pornography, announced United States Attorney Jerome F. Gorgon, Jr.
Gorgon was joined in the announcement by Special Agent in Charge William J. Shink, United States Secret Service.
Robert Glapinski, 62, of Capac, Michigan was sentenced by United States District Judge Linda V. Parker in Detroit.
According to court records, on March 5, 2025, the National Center for Missing and Exploited Children received a cybertip from Google that a user had child pornography in a Google Chat. Some of the images included the sexual exploitation and abuse of prepubescent children. An investigation later revealed that the user was Robert Glapinski, a family medicine doctor who treated both adults and children. In chats, Glapinski talked about sexually abusing female children and sharing child pornography. On April 8, 2025, investigators from the United States Secret Service and Michigan State Police Internet Crimes Against Children Task Force executed a federal search warrant at Glapinski’s residence. Glapinski was present during the time of the search and admitted to viewing, receiving, and possessing child pornography. The examination of Glapinski’s electronic items found over 2,500 images and more than 150 videos of child sexually abusive material.
“The sexual abuse of children is among the most heinous types of crimes imaginable. But when such a terrible crime is committed by a physician – a person who has taken an oath to do no harm – the punishment must be severe,” said United States Attorney Gorgon.
Special Agent Shink stated, “This case highlights the effective partnership between the Secret Service, Michigan State Police and U.S. Attorney’s Office, to combat the online exploitation of children, through investigating and prosecuting those who perpetuate the victimization of minors by receiving, possessing, and distributing such heinous material.”
This case was investigated by special agents of the United States Secret Service and the Michigan State Police Internet Crimes Against Children Task Force and prosecuted by Assistant United States Attorney Tara Hindelang.
Team Rehab Physical Therapy agrees to pay nearly $5 Million to resolve False Claims Act allegations related to fraudulent billing schemeRead the Press Release
DETROIT - United States Attorney Jerome F. Gorgon Jr. announced today that Team Rehabilitation Services, LLC (“Team Rehab”), which operates approximately 140 physical therapy clinics in Michigan, Illinois, Indiana, Wisconsin, and Georgia, has agreed to pay $4,969,494 to settle allegations that it violated the False Claims Act by submitting false claims for payment for physical therapy services to several federal healthcare programs.
Healthcare providers charge services to federal healthcare programs using Current Procedural Terminology (“CPT”) codes. Some CPT codes are time-based, whereby the provider bills based on the amount of time spent delivering a service to the patient. Additionally, some CPT codes are only appropriate where the provider is administering care on a one-to-one basis. Healthcare providers certify that the CPT codes they charge to the federal healthcare programs are accurate.
The settlement resolves allegations that, from January 1, 2018, through December 31, 2024, Team Rehab knowingly and improperly submitted false claims to Medicare, Medicaid, TRICARE, the Federal Employees Health Benefits Program (FEHBP), and the United States Department of Veterans Affairs for time-based CPT codes for one-to-one physical therapy services even though those services occurred in a group setting where the provider did not maintain sufficient direct patient contact throughout the service to appropriately bill for those time-based CPT codes.
“Improperly billing federal healthcare programs depletes valuable resources and erodes public trust,” said U.S. Attorney Gorgon. “This case is further proof that this office will continue to aggressively root out fraud, waste, and abuse in our healthcare system.”
“Protecting the integrity of the TRICARE program and ensuring responsible stewardship of taxpayer dollars are top priorities for the Defense Health Agency. This settlement sends a clear message that we will not tolerate practices that exploit the program and inflate costs at the expense of our service members, veterans, and their families,” said Dr. David Krulak, director, TRICARE Health Plan, Defense Health Agency.
“Taxpayers pay the price when medical services under federal health care programs are improperly billed,” said Derek M. Holt, Special Agent in Charge at the U.S. Office of Personnel Management Office of the Inspector General. “We are grateful to our colleagues at the Department of Justice for continuing to pursue accountability for these actions and protecting the integrity of programs like the FEHBP.”
After learning of the United States’ investigation in this case, Team Rehab cooperated with the United States by self-identifying improper claims for payment and implementing additional compliance controls to prevent future overbilling.
This civil settlement resolved a sealed lawsuit originally filed under the qui tam or whistleblower provisions of the False Claims Act, which permit private parties to file suit on behalf of the United States for false claims and share in a portion of the government’s recovery. The qui tam case is captioned United States ex rel. Thornton v. Team Rehabilitation Physical Therapy, No. 2:23-cv-11592 (E.D. Mich.). The whistleblower will receive $919,356 of the settlement proceeds.
The resolution obtained in this matter was the result of a coordinated effort among the U.S. Department of Health and Human Services - Office of the Inspector General, Defense Criminal Investigative Service, the U.S. Department of Veterans Affairs – Office of Inspector General, the United States Attorney’s Office for the Eastern District of Michigan, and the Michigan Attorney General Health Care Fraud Division. Assistant United States Attorney Anthony Gentner from the U.S. Attorney’s Office for the Eastern District of Michigan handled this matter for the United States.
Russian cybercriminal sentenced to prison for using a “botnet” to steal millions from American businessesRead the Press Release
DETROIT – A Russian national was sentenced yesterday to twenty-four months in prison after having pleaded guilty to managing the operation of a botnet (a network of computers infected by malware and controlled remotely by cybercriminals) that was used to launch ransomware attacks on the networks of dozens of U.S. corporations, announced United States Attorney Jerome F. Gorgon Jr. and Special Agent in Charge Jennifer Runyan of the FBI Detroit Field Division.
Ilya Angelov, 40, of Tolyatti, Russia was sentenced by U.S. District Court Judge Nancy Edmunds, who also fined Angelov $100,000 and entered a money judgment against him in the amount of $1.6 million dollars.
According to court records, between 2017 and 2021, Angelov — who used online monikers including “milan” and “okart” — co-managed the Russia-based cybercriminal group designated by the FBI as Mario Kart. Private security researchers have used other designations for this group, including TA-551, Shathak, GOLD CABIN, Monster Libra, ATK236, and G0127.
Angelov’s group built a network of compromised computers (a “botnet”) through distribution of malware-infected files attached to spam emails. Angelov and his co-manager then monetized this botnet by selling access to individual compromised computers (“bots”). This access was sold to other criminal groups, who typically engaged in ransomware extortion schemes: locking victims out of their computer networks and demanding extortion payments — commonly in cryptocurrency — to restore access.
The FBI has identified over 70 U.S. corporations that were infected with ransomware by one organization linked to Angelov’s group, resulting in over $14 million in extortion payments. Another group that distributed ransomware paid Angelov’s group over a million dollars for access to the Mario Kart botnet.
“Foreigner cybercriminals like this defendant target American citizens and corporations. Their methods grow in sophistication. But their motive remains the same — to rip-off and harm us. We are grateful to the FBI and our other partners for their continued vigilance,” said U.S. Attorney Gorgon.
“May this sentencing serve as a strong message to cyber criminals who believe they can hide behind screens and false identities: you cannot escape the FBI’s reach. You will be held accountable,” said Special Agent in Charge Jennifer Runyan of the FBI Detroit Field Office. “This successful investigation reflects the FBI’s ongoing commitment to identifying, tracking, and dismantling the criminal networks that financially exploit individuals and U.S. corporations. I would like to thank the FBI Detroit Cyber Task Force for their exceptional work in this investigation and to the U.S. Attorney’s Office for ensuring justice was achieved.”
This case was investigated by the FBI Detroit Cyber Task Force with the assistance of the Dutch and German authorities whose collaborative efforts resulted in the successful prosecution of this case. The Department of Justice’s Office of International Affairs provided critical assistance in this investigation. The case was prosecuted by Assistant United States Attorney Timothy Wyse.
Task Force arrests metro Detroit man on sex trafficking, sexual exploitation of children, and child pornography chargesRead the Press Release
DETROIT - A 30-year-old man from metro Detroit was taken into custody last week after a criminal complaint was filed in federal court charging him with sex trafficking of a minor, sexual exploitation of children and possession of child pornography, announced United States Attorney Jerome F. Gorgon, Jr.
Gorgon was joined in the announcement by Special Agent in Charge Jennifer Runyan, Federal Bureau of Investigation, Detroit Field Division and Chief Eric Luke, Sumpter Township Police Department.
Charged was Bryce Silas Patterson. Patterson appeared in federal court this afternoon and was ordered detained by a magistrate judge. A preliminary examination was set for April 2.
According to the criminal complaint, agents with the Southeast Michigan Trafficking and Exploitation Crimes (SEMTEC) Task Force conducted an undercover operation to recover a minor who was believed to be the victim of sex trafficking. Information gathered by the agents revealed that Patterson posted advertisements for commercial sex, which included photos of minor girls, on a commonly used website. In addition to posting the ads, Patterson would arrange for the transportation of the minor on sex dates and collect payments from the minor victims. A search of Patterson’s cellular device revealed images and a video which contained child sexual abusive material, which Patterson had created depicting one of the minor victims he trafficked. SEMTEC Agents were assisted by Sumpter Township Police in arresting him last week.
“These alleged crimes are disgusting. SEMTEC is designed to hunt down sex traffickers who try to sell our children. And we are honored to do this good work with our federal, state, and local partners,” said U.S. Attorney Gorgon.
“The allegations in this case are as disturbing as they are unacceptable. Child exploitation is a predatory crime that targets the most vulnerable in our society, and it will not be tolerated,” said Jennifer Runyan, Special Agent in Charge of the FBI Detroit Field Office. “Let me be clear: those who exploit children will be found, and they will be prosecuted to the fullest extent of the law. This case reflects the strength of our partnerships—through the SEMTEC Task Force, the Sumpter Township Police Department, and our federal partners—working together to protect victims and hold offenders accountable. The FBI will remain relentless in pursuing these criminals and ensuring survivors have the support they need to rebuild their lives.”
Chief Luke stated, “The Sumpter Township Police Department extends its sincere appreciation to the Federal Bureau of Investigation for their dedicated efforts and professionalism in successfully identifying and apprehending Patterson, a resident of Sumpter Township, for the alleged crimes stated in the complaint. The commitment to protecting vulnerable individuals and pursuing justice has a direct and meaningful impact on the safety and well-being of our residents. We remain steadfast in our shared mission to safeguard our community from those who seek to do harm.”
A criminal complaint is only a charge and contains allegations that a defendant has committed a crime. Every defendant is presumed innocent until and unless proven guilty.
This case is being investigated by the Federal Bureau of Investigation and Sumpter Township Police Department. Anyone with information about this case or who may be a victim is asked to call the FBI at (313) 965-2323.
Mexican illegal alien charged again for unlawfully re-entering America—six weeks after being removed when a judge released him during his first prosecutionRead the Press Release
DETROIT – The United States has charged a Mexican illegal alien, Gerardo Flores-Banda, 48, for illegally re-entering America less than two months after having been removed from the country for the same crime, announced United States Attorney Jerome F. Gorgon, Jr.
Gorgon was joined in the announcement by Acting Chief Patrol Agent Javier Geronimo, Jr., U.S. Border Patrol, Detroit Sector.
According to court records, in July 2025, Gerardo Flores-Banda was found in the United States after being removed from the country in 2012. On July 30, 2025, the government charged Flores-Banda with unlawfully re-entering the United States. The next month, the government sought Flores-Banda’s detention before a United States Magistrate Judge in Detroit. But that magistrate judge gave him bond and a district court judge affirmed his release. The government then indicted Flores-Banda.
Because Flores-Banda had been released to the custody of U.S. Immigration and Customs Enforcement, he was removed from the United States in September before his federal case could be concluded. Given Flores-Banda’s history of illegal re-entry, the government sought to hold his case in abeyance. But the district court denied the government’s motion and dismissed Flores-Bandes’s case without prejudice.
Only six weeks after he was removed, law enforcement found Flores-Banda back in the United States near Naivan Vaya, Arizona. The government then indicted him in Arizona and he pleaded guilty to being in the country illegally. He awaits sentencing. The government now seeks to reinstate it’s previously dismissed illegal re-entry case based on Flores-Banda’s 2025 arrest in Michigan.
“Serial criminals like the defendant must be deterred from breaking into our country. They do not respect the law of the land. When Americans break the law, they don’t get a free ride out of the country. And this defendant should not be treated better than our citizens. He should have to face the consequences for his alleged crime,” said U.S. Attorney Gorgon.
“This case is a clear reminder that our border is closed to criminals who repeatedly violate our nation’s laws, demonstrating a blatant disregard for our legal system. We are proud to work with the United States Attorney’s Office to ensure that our country’s immigration laws are enforced and justice is served. The men and women of Border Patrol’s Detroit Sector remain steadfast in our commitment to protecting our communities and upholding the integrity of our border,” Geronimo said.
This case is part of Operation Take Back America, a nationwide initiative that marshals the full resources of the Department of Justice to repel the invasion of illegal immigration, achieve the total elimination of cartels and transnational criminal organizations and protect our communities from the perpetrators of violent crime.
Detroiter Pleads Guilty to Running Decade-Long Student Aid FraudRead the Press Release
DETROIT - Michelle Denise Hill, 48, of Detroit, Michigan, pleaded guilty today to wire fraud in connection with a decade-long scheme to fraudulently obtain more than $2.5 million in federal student aid funds, announced United States Attorney Jerome F. Gorgon, Jr.
Gorgon was joined in the announcement by John Woolley, Special Agent in Charge, U.S. Department of Education, Office of Inspector General.
According to court records, beginning no later than July 2015 and continuing through at least July 2025, Hill devised and executed a scheme to fraudulently obtain Federal Student Aid — specifically Federal Pell Grants and Federal Direct Student Loans — from the U.S. Department of Education. Hill submitted fraudulent aid applications for more than 80 individuals who were purportedly eligible students seeking to attend Wayne County Community College (WCCC) in Detroit, Michigan. In reality, those individuals had no interest in or intent to pursue a degree. Hill obtained the necessary high school diplomas on their behalf, with many from the same Florida online "fast-track" school, and completed their WCCC online coursework for them, often simultaneously, to create the appearance of academic progress and extend their eligibility for aid across multiple semesters. Hill generally split the fraudulently obtained aid proceeds with the purported students.
As a result of the scheme, Hill caused more than $3,000,000 in federal student aid benefits to be awarded, with approximately $2,530,854 actually disbursed on the fraudulent claims. Hill has agreed to pay $2,530,854 in restitution to the Department of Education.
Hill pleaded guilty before United States District Judge Brandy R. McMillion. Sentencing is scheduled for August 3, 2026, where Hill faces a maximum penalty of 20 years in prison.
United States Attorney Gorgon stated, “Federal student aid exists to open doors for Americans who are working to better themselves and their families. Michelle Hill slammed those doors shut, turning a lifeline into a racket and stealing millions from a program that belongs to our hardworking neighbors.”
“I am proud of the work of OIG Special Agents and our law enforcement partners for their work in this case and their dedication to protecting the integrity of Federal student aid funds,” said John Woolley, Special Agent in Charge of the U.S. Department of Education Office of Inspector General’s Central Regional Office. "We will continue to pursue those who misappropriate Federal student aid or game the system for their own self-interests. America’s students and taxpayers deserve nothing less.”
This case was investigated by the U.S. Department of Education, Office of Inspector General. It is being prosecuted by Assistant United States Attorneys Ryan A. Particka and John K. Neal.
Department of Justice Reveals Seizure of $14.9 Million from Cartel-Linked Money Laundering OperationRead the Press Release
DETROIT – On Friday, the Department of Justice unsealed a civil case aiming to forfeit over $14.9 million seized from an international drug money laundering scheme, United States Attorney Jerome F. Gorgon Jr. announced.
The lawsuit—originally filed in 2024—details the seizure of the funds and alleges a complex pattern of trade-based drug money laundering. Trade-based money laundering involves depositing U.S. cash drug proceeds into American bank accounts—using real or shell companies—which can then transfer the wealth to Colombia or elsewhere by delivering products or services that can be sold in local currencies.
The suit alleges that the $14.9 million seized came from tracking drug money deposits into the bank accounts of companies with connections to international commerce. These include a successful Latin American musician whose accountant said the cash deposits were related to concerts in Colombia, and many import-export businesses. The investigation into this scheme continues.
Gorgon was joined in the announcement by Joseph O. Dixon, Special Agent in Charge of the Drug Enforcement Administration-Detroit.
“Drug trafficking and money laundering go hand-in-hand,” U.S. Attorney Gorgon said. “Cartels need money to poison our American communities. We will eliminate these threats and protect our country.”
“The cartel and it criminal networks are fueled by profit. Seizing their drug proceeds strikes at the core of their poisonous operations, the DEA and our partners will be relentless in pursuing these bad actors and will hold them accountable for the violence, destruction, and misery they cause. No distance will shield them,” said Special Agent in Charge Dixon.
The lawsuit is part of Operation Take Back America, a nationwide initiative that marshals the full resources of the Department of Justice to repel illegal immigration, achieve the total elimination of cartels and transnational criminal organizations, and protect our communities from the perpetrators of violent crime, human and drug trafficking.
Illegal Alien from Venezuela Arrested and Charged after Assaulting a Federal Agent and Grabbing His Gun While Resisting ArrestRead the Press Release
DETROIT – An illegal alien from Venezuela was charged in a criminal complaint with assaulting a federal law enforcement officer and grabbing and possessing the officer’s firearm – all of which occurred while the illegal alien was resisting arrest, announced United States Attorney Jerome F. Gorgon, Jr.
Gorgon was joined in the announcement by Jared Murphey, acting Special Agent in Charge of Homeland Security Investigations Detroit and ICE Enforcement and Removal Operations Detroit acting Field Office Director Kevin Raycraft.
Charged was Arnoldo Jose Marquez-Pulido, 33, an illegal alien from Venezuela who appeared at the US-Mexico border crossing in San Ysidro, California in April, 2024. Despite having no visa or other travel document that would allow him to lawfully enter the United States, Marquez-Pulido was paroled into the United States. Marquez-Pulido will be appearing in federal court in Detroit this afternoon for his initial appearance. The government will be seeking to hold Marquez-Pulido in custody during the pendency of his case.
As alleged in the criminal complaint, law enforcement officers assigned to the Homeland Security Task Force (HSTF), acting on information they received that illegal aliens were working as delivery drivers at a business in Utica, Michigan, began conducting surveillance in the area. Agents observed a car registered to Marquez-Pulido, who agents determined was in the United States illegally, depart the parking lot of the business and began following him. Agents activated their vehicle emergency equipment and attempted a traffic stop. Marquez-Pulido briefly stopped then fled in his car at a high rate of speed. To avoid a dangerous vehicle chase, agents deactivated their emergency equipment and continued to follow Marquez-Pulido. Marquez-Pulido returned to the business location where he fled on foot. After Marquez-Pulido ignored a Task Force agent’s commands to stop, the agent tackled Marquez-Pulido as he tried to flee into the business. Marquez-Pulido forcibly resisted arrest, assaulting the task force agent by striking the agent in the face with his elbow. Marquez-Pulido then reached for the agent’s service firearm, a Glock Model 19 pistol. Marquez-Pulido was able to remove the firearm from the agent’s holster and briefly wield it before he lost control of the gun when the agent flipped him over. Additional Task Force officers and agents arrived on scene and recovered and secured the firearm from the ground where it landed after it slipped from Marquez-Pulido’s possession. Marquez-Pulido continued to forcibly resist and had to be restrained.
During the commission of this offense, Marquez-Pulida caused the agent to suffer a contusion to his elbow, abrasions on his knees and hands, and a contusion to his right cheek. Another agent suffered a contusion to his knee. Both agents were treated at the hospital and released.
“Some say that enforcing our nation’s immigration laws is unfair because illegal aliens are all harmless. Today’s allegations break that narrative. High speed flight from arrest, fighting federal agents, and grabbing an agent’s gun are not ‘harmless.’ And what’s ‘unfair’ is the fact that Americans pay the price for dangerous illegal aliens,” said U.S. Attorney Gorgon.
“Homeland Security Investigations remains committed to holding accountable those who threaten law enforcement and public safety,” said HSI Detroit acting Special Agent in Charge Jared Murphey. “Attacks like this endanger not only our agents, but everyone in the vicinity. HSI Detroit will continue to respond decisively whenever our agents and partners are confronted with violence.”
“Every day ICE Detroit officers work closely with our federal partners to safeguard our communities and uphold the integrity of our nation’s immigration system,” said ICE Enforcement and Removal Operations Detroit acting Field Office Director Kevin Raycraft. “At a time when ICE officers are facing a 1,300 percent increase in assaults, ERO Detroit will relentlessly target illegal aliens who resort to violence against our officers and work to ensure they are removed from our communities
A complaint is only a charge and is not evidence of guilt. The defendant is presumed innocent. As a felony trial cannot be held on a complaint, a decision to seek an indictment will be made in the near future.
This case is being investigated by Homeland Security Investigations.
This case is part of Operation Take Back America, a nationwide initiative that marshals the full resources of the Department of Justice to repel the invasion of illegal immigration, achieve the total elimination of cartels and transnational criminal organizations (TCOs), and protect our communities from the perpetrators of violent crime.
West Bloomfield Pair Charged with Conspiracy to Commit Wire Fraud, Husband Arrested for Obstruction of JusticeRead the Press Release
DETROIT – West Bloomfield residents Peter Valente and Angela Toma have been charged with conspiracy to commit over $2.6 million in wire fraud relating to pandemic assistance loans, United States Attorney Jerome F. Gorgon Jr. announced. Valente also faces an obstruction of justice charge.
Gorgon was joined in the announcement by Jared Murphey, acting Special Agent in Charge of Homeland Security Investigations Detroit.
According to a criminal complaint unsealed today, Valente and Toma collaborated to fraudulently obtain $2,609,210 from the Paycheck Protection Program. Valente and Toma are alleged to have submitted false loan applications to Paycheck Protection Program lenders using inactive businesses and falsified bank records. When federal agents began investigating the loan fraud, Valente approached them and repeatedly claimed that Toma was solely responsible, and he was unaware of the crime until it had concluded. Further investigation revealed that Valente was in fact an active collaborator in the scheme, going so far as to celebrate with Toma when a fraudulent loan was approved.
A complaint is only a charge and is not evidence of guilt. Trial cannot be held on felony charges in a complaint. When the investigation is complete, determinations will be made whether to seek felony indictments.
The case is being prosecuted by Assistant U.S. Attorney K. Craig Welkener and investigated by Homeland Security Investigations.
New Boston Woman Arrested and Charged with $4.6 Million Child Modeling Fraud SchemeRead the Press Release
DETROIT – Today, the FBI arrested a New Boston woman in connection with an alleged multi-million-dollar fraud scheme involving supposed child modeling events, United States Attorney Jerome F. Gorgon, Jr. announced.
Gorgon was joined in the announcement by Special Agent in Charge Jennifer Runyan, Federal Bureau of Investigation.
Chanise Coyne, 46, was charged via indictment with seven counts of wire fraud and five counts of money laundering.
According to the indictment, Coyne obtained over $4.6 million from a family by claiming that money would be used for advance fees associated with the participation of the family’s young daughter in various modeling events across the country. The indictment alleges that Coyne generated false and fraudulent records relating to the supposed placement of that girl in modeling events and also impersonated a third party as part of the alleged scheme. According to the indictment, the money obtained by Coyne was fraudulently misappropriated for her own benefit and not used in connection with the placement of the young girl in a single modeling event. The indictment alleges that Coyne used her fraud proceeds for significant gambling expenditures, including multiple alleged money laundering transactions involving the online sports gambling platform FanDuel.
“Fraud schemes that prey on the emotional bonds of families are egregious. This defendant allegedly took advantage of a family’s love for their daughter, stole their nest egg, and then gambled it away. We will pursue fraud schemes in all their forms,” stated U.S. Attorney Gorgon.
“Those who think they can scam Michigan families out of their hard-earned money need to think again. The FBI will identify you, investigate you, and arrest you,” said Jennifer Runyan, Special Agent in Charge of the FBI Detroit Field Office. “The defendant allegedly participated in a fraud scheme designed to deprive a family of millions of dollars under the false pretense the funds would be used for their daughter's future career. FBI Detroit will always work to protect Michigan families from these schemes and will disrupt those who exploit our citizens and betray their trust.”
An indictment is only a charge and is not evidence of guilt. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
The case is being investigated by the Federal Bureau of Investigation and is being prosecuted by Assistant United States Attorney Andrew J. Yahkind.
Pharmacist and Business Owner Pleads Guilty to $3M Medicare, Medicaid, and Private Insurer Fraud SchemeRead the Press Release
DETROIT – A pharmacist and business owner who engaged in a five-year pharmacy shortage fraud scheme at two separate pharmacies pleaded guilty today, announced United States Attorney Jerome F. Gorgon, Jr.
Gorgon was joined in the announcement by Mario M. Pinto, Special Agent in Charge at the U.S. Department of Health and Human Services Office of Inspector General (HHS-OIG) and Special Agent in Charge Jennifer Runyan, Federal Bureau of Investigation, Detroit Field Division.
Mohammad Hamdan, age 44, from Dearborn Heights, Michigan, pleaded guilty to the charge of conspiracy to commit health care fraud for a scheme that caused over $3 million in loss to Medicare, Medicaid, and Blue Cross Blue Shield of Michigan.
At the hearing, Hamdan admitted to utilizing his two pharmacies to submit false and fraudulent claims for prescriptions even though the prescribed drugs were medically unnecessary or not actually dispensed. In many instances, the pharmacies lacked the inventory to dispense these drugs but billed the health care insurers as thought they had been dispensed. Over the five-year scheme, Hamdan submitted or directed the submission of false and fraudulent claims totaling over $3.2 million.
Sentencing before United States District Judge Judith Levy will be set after a presentence report is prepared. Hamdan faces a possible maximum sentence of not more than 10 years’ imprisonment without the possibility of parole, a fine of not more than $250,000, and up to three years of supervised release following any term of imprisonment.
The case was investigated by the Department of Health and Human Services Office of the Inspector General (HHS-OIG) and the Federal Bureau of Investigation (FBI). The case is being prosecuted by Assistant United States Attorney Jason Dorval Norwood.
A Multi-Convicted Felon Sentenced to over 10 Years in Federal Prison on Fraud ChargesRead the Press Release
DETROIT – A Dearborn Heights man was sentenced today for his role in several fraud schemes totaling $1.2 million, announced United States Attorney Jerome F. Gorgon, Jr.
Joining in the announcement was Special Agent in Charge Jennifer Runyan, Federal Bureau of Investigation, Detroit Field Division.
Joseph Miller, 53, of Dearborn Heights, was sentenced to 129 months in federal prison after having pleaded guilty to two counts of Conspiracy to Commit Wire Fraud, Conspiracy to Commit Bank Fraud, and Aggravated Identity Theft.
According to court records, Miller, who has an extensive criminal history including 18 prior felony convictions, participated in three separate fraud schemes. In the first scheme, Miller used stolen identities to open charge accounts in the names of unsuspecting victims. Miller and others used those charge accounts to make $912,000 in fraudulent purchases from two separate retailers. Second, Miller also used stolen identities to obtain fraudulent loans from a financial institution. In total, he, working with others, defrauded the financial institution with approximately $172,000 in loans. Finally, Miller and his co-conspirators caused fraudulent Economic Injury Disaster Loan (EIDL) applications to be submitted for several businesses. EIDL is a program run by the Small Business Administration to provide low-interest financing to small businesses affected by declared disasters. In total Miller and his co-conspirators obtained $203,970 in fraudulent relief funds from this program.
Miller was sentenced by United States District Judge Mark A. Goldsmith
This case was investigated by the Federal Bureau of Investigation. The case is being prosecuted by Assistant U.S. Attorney Timothy Wyse. Related forfeiture and restitution matters are being handled by Assistant United States Attorney Kelly Fasbinder.
Management Company for Saginaw-Based Auto Dealer to Pay over $1.5 Million to Settle Fraud Allegations Regarding Paycheck Protection Program LoanRead the Press Release
DETROIT – United States Attorney Jerome F. Gorgon Jr. announced today that Garber Management Group, Inc. which is affiliated with the network of auto dealerships and other related entities in Michigan known as the Garber Automotive Group, has agreed to pay $1,513,281 to settle allegations that it violated the False Claims Act by making false statements to the U.S. Small Business Administration (SBA) to obtain a Paycheck Protection Program (PPP) loan for which Garber Management was ineligible.
Congress created the PPP in March 2020 to provide emergency financial assistance to American businesses suffering from the economic effects of the COVID-19 pandemic. Under the PPP, eligible small businesses could receive forgivable loans guaranteed by the SBA. Regulations imposed various eligibility requirements for the PPP, including limitations on the number of employees and restrictions for certain types of businesses operating as franchises, such as auto dealerships. When applying for PPP loans, borrowers were required to certify the truthfulness and accuracy of all information provided in their loan applications.
In May 2020, Garber Management obtained a first draw PPP loan for $864,732. The United States alleged that Garber Management falsely certified it was eligible for its first draw loan and loan forgiveness, even though, aggregated with its affiliates, it had more than 500 employees, in violation of the PPP rules. Garber Management was not exempt from the aggregation rules as the management company did not qualify as a franchise with a franchise identifier code from SBA. Garber Management has cooperated with the government investigation from its onset.
This civil settlement resolved a sealed lawsuit originally filed under the qui tam or whistleblower provisions of the False Claims Act, which permit private parties to file suit on behalf of the United States for false claims and share in a portion of the government’s recovery. The qui tam lawsuit has been unsealed and is captioned U.S. ex rel. David Reed v. Garber Management, Inc., Case No. 24-cv-13126. The whistleblower will receive 10% of the settlement amount.
This matter was handled by Assistant U.S. Attorney Leslie Wizner from the United States Attorney’s Office for the Eastern District of Michigan, with assistance from the SBA’s Office of General Counsel.
Individuals with information about allegations of fraud involving COVID-19 are encouraged to 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 claims resolved by the settlement are allegations only; there has been no determination of liability.
West Bloomfield Resident Sentenced for Multi-State Unemployment Fraud SchemeRead the Press Release
DETROIT - A West Bloomfield resident was sentenced today for his role in a multi-state unemployment insurance fraud scheme, announced United States Attorney Jerome F. Gorgon Jr.
Joining in the announcement were Anthony P. D’Esposito, Inspector General, Department of Labor, Office of Inspector General, Special Agent in Charge Jennifer Runyan, Federal Bureau of Investigation and Jason Palmer, Director, Michigan Unemployment Insurance Agency.
Arron Howard, 33, was sentenced to 41 months in federal prison after having pleaded guilty to committing wire fraud.
According to court records, Howard obtained over $626,000 in fraudulent unemployment insurance benefits for dozens of third-party claimants. Howard admitted that he kept a portion of those fraudulent benefits for himself. In executing his scheme, Howard submitted fraudulent unemployment insurance applications to the states of Arizona, California, and Michigan.
Howard was sentenced by Judge Mark A. Goldsmith. As part of his sentence, Howard was ordered to pay $626,960.88 in restitution.
This case was investigated by the Department of Labor—Office of Inspector General, the Federal Bureau of Investigation andthe Michigan Unemployment Insurance Agency.
The case was prosecuted by Assistant United States Attorney Andrew J. Yahkind.
Former Customs and Border Protection Agent Pleads Guilty to Receipt of Child PornographyRead the Press Release
DETROIT – A former Customs and Border Protection (CBP) agent pleaded guilty today to receiving child pornography, United States Attorney Jerome F. Gorgon, Jr. announced.
Gorgon was joined in the announcement by Jennifer Runyan, Special Agent in Charge of the Detroit Field Office of the Federal Bureau of Investigation.
The superseding information charges Harry Marvelle Peless, III, 51, of Newport, Michigan, with one count of receipt of child pornography. A violation of this offense carries a sentence of no less than 5 years’ and up to 20 years’ imprisonment, and a fine of up to $250,000. Sentencing has been set for June 1 at 9 am.
According to court records, law enforcement began investigating Peless after Peless sent sexual messages to an undercover officer posing as a minor. Peless began communicating with the undercover in September 2024, and his contacts with the undercover became a near daily occurrence. At the time of the offense, Peless was employed as a Marine Border Protection Agent at the Gibraltar, Michigan, CBP station. Following the filing of charges in this matter, CPB placed Peless on unpaid administrative leave. Evidence recovered during the investigation showed that Peless had reveived child pornography over the internet, and that he was logged into the chat account he used to communicate with the undercover officer while he was at the Gibraltar CBP station.
This case was investigated by the Federal Bureau of Investigation. The case is being prosecuted by Assistant U.S. Attorney Eaton Brown.
Shelby Township Resident Sentenced for Multi-Million Dollar Pandemic Assistance Fraud SchemeRead the Press Release
DETROIT - A Shelby Township resident was sentenced yesterday for his role in a multi-million-dollar Paycheck Protection Program (“PPP”) fraud scheme, announced United States Attorney Jerome F. Gorgon Jr.
Joining in the announcement were Special Agent in Charge Jennifer Runyan, Federal Bureau of Investigation and Acting Special Agent in Charge Jared Murphey, Homeland Security Investigations.
Samer Kammo, 46, was sentenced to 36 months in federal prison after having pleaded guilty to conspiring to commit wire fraud and bank fraud.
"This defendant and his co-conspirators tried to cheat the system by exploiting a federal relief program meant to help Americans in need. Let this case send a clear message: crime does not pay,” said Jennifer Runyan, Special Agent in Charge of the FBI Detroit Field Office. “FBI Detroit and HSI Detroit stand shoulder to shoulder in holding fraudsters accountable and protecting taxpayer dollars. If you abuse government programs for personal gain, you will be found, and you will face serious consequences under the law.”
“Although the pandemic is years behind us, HSI and our partners are committed to holding fraudsters accountable for PPP fraud,” said HSI Detroit acting Special Agent in Charge Jared Murphey. “By now the writing on the wall should be crystal clear, if you fraudulently obtained government funds during the pandemic, you will be held accountable.”
According to court records, Kammo and his co-conspirators caused fraudulent PPP applications to be submitted for several business entities. Those applications misrepresented payroll information for the business entities and falsely certified that PPP loan funds would be used for permissible business-related purposes. The defendants also caused fictitious payroll, health insurance, bank, and tax records to be submitted in connection with the PPP loan applications.
Kammo and his family members received nearly $2.5 million in fraudulent PPP loan funds.
The Paycheck Protection Program was created by Congress to provide assistance to businesses harmed by the economic dislocations caused by the Covid-19 pandemic.
Kammo was sentenced by Judge Jonathan J.C. Grey. His co-defendant, Rita Shaba, was previously sentenced to 27 months’ imprisonment. Kammo’s wife, Christina Anasi, still awaits sentencing.
As part of his sentence, Kammo was also ordered to pay $2,493,348.50 in restitution.
According to court records, the conspirators misappropriated the personal identifying information of several of Kammo’s family members to commit their crime, including that of Kammo’s own mother.
Kammo was previously sentenced to a three-year federal prison sentence for dealing drugs out of his parents’ liquor store.
This case was investigated by the Federal Bureau of Investigation and Homeland Security Investigations. The Unemployment Insurance Agency, Michigan Department of Labor and Economic Opportunity has also provided valuable assistance.
The case is being prosecuted by Assistant United States Attorney Andrew J. Yahkind. Related forfeiture and restitution matters are being handled by Assistant United States Attorney Jessica Nathan.
Macomb County Man Sentenced to 10 Months for Threatening to Assassinate Michigan Governor and Shareholders of DTE EnergyRead the Press Release
DETROIT – A 40-year-old male from Center Line, Michigan, was sentenced to 10 months in prison for posting online threats to assassinate Michigan Governor Gretchen Whitmer and making calls threatening shareholders of the DTE Energy Corporation, United States Attorney Jerome F. Gorgon, Jr. announced today.
Gorgon was joined in the announcement by Jennifer Runyan, Special Agent in Charge of the FBI Detroit Field Office.
In January 2025, Steven Conway called a DTE Energy call center in Milwaukee, Wisconsin, and threatened to “hunt down” and “target for assassination” the shareholders and members of the energy company.
A few days later, Conway posted threats to kill Governor Whitmer on an online dating website, claiming the governor was on a list “marked for assassination.” Conway has a prior conviction for threatening to kill a judge and police officers in Macomb County, Michigan.
U.S. District Court Judge Robert J. White imposed the sentence following Conway’s guilty plea to two counts of communicating threats in interstate commerce and included a two-year term of supervised release for Conway.
“Threats of political violence and retribution are an attack on the rule of law. We will protect our public servants and the regular citizens who make our country free and prosperous,” U.S. Attorney Gorgon said.
“Threats of violence of this nature, whether directed at a public officials, private citizens, or company shareholders, are serious crimes and will be treated as such," said Jennifer Runyan, Special Agent in Charge of the FBI Detroit Field Office. "The FBI will not tolerate any attempt to intimidate, endanger, or coerce individuals through online platforms. We will continue to aggressively investigate these offenses and work with the U.S. Attorney’s Office to pursue those who make such threats, so they are held fully accountable under the law.”
This case was investigated by the FBI’s joint terrorism taskforce with the assistance of Task Force Officers from the Macomb County Sheriff’s Office,West Bloomfield Police Department and the Centerline Police Department. The case was prosecuted by Assistant U.S. Attorneys Stephen Carr and Catherine Morris.
Third Leader Charged in Multi-State Forced Labor Conspiracy Involving Kingdom of God Global ChurchRead the Press Release
DETROIT – A federal grand jury in the Eastern District of Michigan returned a superseding indictment yesterday against a third defendant for her alleged role in a forced labor conspiracy that victimized individuals in Michigan, Florida, Texas, and Missouri.
“This case reflects the gravity of forced labor schemes that strip victims of their basic human rights and subject them to physical and brutal psychological abuse,” said Assistant Attorney General A. Tysen Duva of the Justice Department’s Criminal Division. “Combating human trafficking is a top priority for the Department of Justice. We will relentlessly pursue those who facilitate and profit from forced labor and fight to obtain justice for survivors.”
“We will follow the evidence and meticulously build the case,” said U.S. Attorney Jerome F. Gorgon Jr. for the Eastern District of Michigan “We thank our federal partners for their dogged pursuit of human traffickers.”
“Forced labor is a direct assault on human freedom,” said Special Agent in Charge Jennifer Runyan of the FBI Detroit Field Office. “It strips victims of their dignity, their autonomy, and their basic right to control their own lives. Anyone who conspires to exploit and enslave others for profit will be held fully accountable under the law. This case demonstrates the strength of our federal, state, and local partnerships in dismantling a multi-state forced labor operation. We will not stop until these criminal networks are shut down and justice is delivered.”
“IRS Criminal Investigation (IRS-CI) is dedicated to fighting human trafficking to ensure the safety of all communities we serve,” said Special Agent in Charge Karen Wingerd of the IRS-CI Detroit Field Office. “Working together with our federal and local partners and leveraging IRS-CI’s unique investigative talents, we are able to disrupt suspected trafficking operations, keeping the vulnerable safe from becoming another victim.”
According to court documents, Kathleen Klein, also known as Prophetess, 53, was a leader and executive of Kingdom of God Global Church (KOGGC), formerly known as Joshua Media Ministries International (JMMI). According to the indictment, Klein and co-defendants David Taylor and Michelle Brannon, ran a network of call centers across multiple states that used forced labor to solicit donations for KOGGC. Victims were forced to work grueling hours at the call centers without pay and pressured to hit impossible fundraising targets. When victims fell short of leaders’ goals or dared to push back, the punishment was severe: public humiliation, sleep deprivation, physical violence, withholding of food and shelter, forced repentance rituals, and threats of eternal damnation. Klein and her co-defendants allegedly controlled virtually every aspect of their victims’ lives. During the more than decade-long conspiracy, KOGGC collected roughly $50 million in donations, which leaders used to pay for personal real estate, vehicles, travel, and luxury goods.
In addition to adding Kathleen Klein as a defendant, the superseding indictment includes additional allegations including that Taylor frequently requested and received sexually explicit photographs and videos from KOGGC workers.
Klein is charged with conspiracy to commit forced labor, which carries a maximum penalty of 20 years in prison. Taylor and Brannon were first indicted on July 23, 2025, for conspiracy to commit forced labor, forced labor, and conspiracy to commit money laundering. If convicted, Taylor and Brannon face a maximum penalty of 20 years in prison for each count.
The FBI and IRS-CI are investigating the case.
Trial Attorneys Lindsey Roberson and Christina Randall-James of the Criminal Division’s Human Rights & Special Prosecutions Section and Assistant United States Attorney Sarah Resnick Cohen for the Eastern District of Michigan are prosecuting the case.
Anyone who has information about human trafficking should report that information to the National Human Trafficking Hotline toll-free at 1-888-373-7888, which is available 24 hours a day, seven days a week. For more information about human trafficking, please visit www.humantraffickinghotline.org. Information on the Justice Department’s efforts to combat human trafficking can be found at www.justice.gov/humantrafficking.
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Third Leader Charged in Multi-State Forced Labor Conspiracy Involving Kingdom of God Global ChurchRead the Press Release
A federal grand jury in the Eastern District of Michigan returned a superseding indictment yesterday against a third defendant for her alleged role in a forced labor conspiracy that victimized individuals in Michigan, Florida, Texas, and Missouri.
“This case reflects the gravity of forced labor schemes that strip victims of their basic human rights and subject them to physical and brutal psychological abuse,” said Assistant Attorney General A. Tysen Duva of the Justice Department’s Criminal Division. “Combating human trafficking is a top priority for the Department of Justice. We will relentlessly pursue those who facilitate and profit from forced labor and fight to obtain justice for survivors.”
“We will follow the evidence and meticulously build the case,” said U.S. Attorney Jerome F. Gorgon Jr. for the Eastern District of Michigan “We thank our federal partners for their dogged pursuit of human traffickers.”
“Forced labor is a direct assault on human freedom,” said Special Agent in Charge Jennifer Runyan of the FBI Detroit Field Office. “It strips victims of their dignity, their autonomy, and their basic right to control their own lives. Anyone who conspires to exploit and enslave others for profit will be held fully accountable under the law. This case demonstrates the strength of our federal, state, and local partnerships in dismantling a multi-state forced labor operation. We will not stop until these criminal networks are shut down and justice is delivered.”
“IRS Criminal Investigation (IRS-CI) is dedicated to fighting human trafficking to ensure the safety of all communities we serve,” said Special Agent in Charge Karen Wingerd of the IRS-CI Detroit Field Office. “Working together with our federal and local partners and leveraging IRS-CI’s unique investigative talents, we are able to disrupt suspected trafficking operations, keeping the vulnerable safe from becoming another victim.”
According to court documents, Kathleen Klein, also known as Prophetess, 53, was a leader and executive of Kingdom of God Global Church (KOGGC), formerly known as Joshua Media Ministries International (JMMI). According to the indictment, Klein and co-defendants David Taylor and Michelle Brannon, ran a network of call centers across multiple states that used forced labor to solicit donations for KOGGC. Victims were forced to work grueling hours at the call centers without pay and pressured to hit impossible fundraising targets. When victims fell short of leaders’ goals or dared to push back, the punishment was severe: public humiliation, sleep deprivation, physical violence, withholding of food and shelter, forced repentance rituals, and threats of eternal damnation. Klein and her co-defendants allegedly controlled virtually every aspect of their victims’ lives. During the more than decade-long conspiracy, KOGGC collected roughly $50 million in donations, which leaders used to pay for personal real estate, vehicles, travel, and luxury goods.
In addition to adding Kathleen Klein as a defendant, the superseding indictment includes additional allegations including that Taylor frequently requested and received sexually explicit photographs and videos from KOGGC workers.
Klein is charged with conspiracy to commit forced labor, which carries a maximum penalty of 20 years in prison. Taylor and Brannon were first indicted on July 23, 2025, for conspiracy to commit forced labor, forced labor, and conspiracy to commit money laundering. If convicted, Taylor and Brannon face a maximum penalty of 20 years in prison for each count.
The FBI and IRS-CI are investigating the case.
Trial Attorneys Lindsey Roberson and Christina Randall-James of the Criminal Division’s Human Rights & Special Prosecutions Section and Assistant United States Attorney Sarah Resnick Cohen for the Eastern District of Michigan are prosecuting the case.
Anyone who has information about human trafficking should report that information to the National Human Trafficking Hotline toll-free at 1-888-373-7888, which is available 24 hours a day, seven days a week. For more information about human trafficking, please visit www.humantraffickinghotline.org. Information on the Justice Department’s efforts to combat human trafficking can be found at www.justice.gov/humantrafficking.
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Oakland County Sleep Specialists Agree to Pay $763,954.74 to Settle False Claims Act AllegationsRead the Press Release
DETROIT - United States Attorney Jerome F. Gorgon Jr. announced today that Troy Sleep Center PLC, Care One Medical Equipment and Supplies, Inc., Michel Alkhalil, M.D., and Peggy Rahal, M.D., have agreed to pay a total of $763,954.74 to the United States and the State of Michigan to resolve allegations that they violated the False Claims Act.
Troy Sleep Center PLC (“TSC”) provides medical services for persons experiencing sleep disorders, including persons enrolled in healthcare programs funded by federal and state governments. Care One Medical Equipment and Supplies, Inc. (“Care One”) provides medical supplies for individuals experiencing sleep disorders, including individuals enrolled in healthcare programs funded by federal and state governments. Dr. Alkhalil and Dr. Rahal are co-owners/members of TSC, while Dr. Rahal owns Care One.
The settlement announced today resolves three sets of allegations. First, from January 1, 2018, through December 31, 2024, TSC, Dr. Alkhalil, and Dr. Rahal improperly billed federal healthcare programs for sleep studies administered without properly trained and certified sleep technicians, as required by federal regulations. Second, TSC, Dr. Alkhalil, and Dr. Rahal obtained $480,000 in Paycheck Protection Program loans while engaged in the alleged improper billing. Third, from January 1, 2018, through May 31, 2024, Care One improperly billed Medicaid for accessories to positive airway pressure (“PAP”) machines, which Medicaid does not permit to be charged separately from the rental rate of PAP machines.
“Billing federal health care programs for services that do not meet required standards compromises patient care and erodes public trust,” said Mario M. Pinto, Special Agent in Charge at the U.S. Department of Health and Human Services Office of Inspector General (HHS-OIG). “Together with our law enforcement partners, we remain steadfast in our commitment to identify and stop fraud that threatens patient well-being and misuses taxpayer dollars.”
The civil settlement includes the resolution of claims brought under a qui tam or whistleblower lawsuit under the False Claims Act: United States ex rel. Kreiner v. Troy Sleep Center PLC, case no. 24-11073, (E.D. Mich.). Under the False Claims Act, a private party can file an action on behalf of the United States and receive a portion of any recovery.
The resolution obtained in this matter was the result of a coordinated effort among the United States Attorney’s Office for the Eastern District of Michigan, the Michigan Attorney General’s Health Care Fraud Division, and the U.S. Department of Health and Human Services - Office of the Inspector General. The matter was handled by Assistant United States Attorneys John Postulka and Gregory Dickinson from the U.S. Attorney’s Office for the Eastern District of Michigan.
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 U.S. Department of Health and Human Services at 800-HHS-TIPS (800-447-8477).
The claims resolved by the settlement are allegations only; there has been no determination of liability.
Detroit man sentenced for shooting 24 rounds into home where his six-year-old daughter sleptRead the Press Release
DETROIT – Jevonte Cassidy Doakes, 33, of Detroit, Michigan, who shot into his ex-girlfriend’s home in May 2024 while his own child was sleeping inside, was sentenced yesterday to 110 months in federal prison on charges of being a felon in possession of a firearm, United States Attorney Jerome F. Gorgon Jr. announced.
Gorgon was joined in the announcement by James Deir, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives, Detroit Field Division and Chief Todd Bettison, Detroit Police Department.
In May 2024, Doakes fired 24 shots into his ex-girlfriend’s home where she and her family, including his own six-year-old daughter, slept. One bullet struck a closet door in the child’s bedroom. Another went through a couch beside where other children slept. A few hours after the shooting, Doakes called his ex-girlfriend, saying, “Bitch, you still alive?” before hanging up. Fired casings from the May 2024 shooting matched other recent shootings, including a felonious assault in River Rouge, so the ATF began investigating Doakes.
Agents executed search warrants at Doakes’s house and the flop house next door where Doakes kept some of his guns. Agents found 7 guns, including two machineguns between the two houses. One of the machineguns matched the fired casings from the May 2024 shooting into Doakes’s ex-girlfriend’s house. Doakes and another man, Joshua Griggs, 21 of Detroit, were arrested.
Griggs, who was caught on video holding another gun at the house while on probation, was sentenced to 24 months prison in August 2025 for receipt of a firearm while under indictment.
“These are the acts of a crooked man who loves violence and hates innocent life. I am thankful for our strong alliance with our federal and Detroit Police partners. This is how we keep our city safe,” said U.S. Attorney Gorgon.
“Javonte DOAKES is the one of the most deserving candidates for federal prison. Using an illegal machine, he recklessly fired 24 rounds into a home full of sleeping children, one of whom was his daughter. These types of acts of gun violence have consequences,” said James Deir, Special Agent in Charge of the ATF Detroit Field Division. “Calling the mother of his child afterward asking if she survived only highlights DOAKES’ complete and utter disregard for human life. ATF will continue working with our partners to identify prolific shooters in the community and hold them accountable for their acts by helping them pack their bags for an extended stay in federal prison.”
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and Detroit Police Department. The case was prosecuted by Assistant United States Attorneys Andrew R. Picek and Philip Jacques.
Anti-ICE Antifa member arrested on federal charges of Cyberstalking and Threatening Communications after allegedly calling for the murder and assault of federal immigration officers in MinneapolisRead the Press Release
MINNEAPOLIS – Self-identified Antifa member Kyle Wagner was arrested today on federal threat and cyberstalking charges following alleged murder and assault threats against ICE, announced United States Attorney Jerome F. Gorgon, Jr. Wagner, 37 of Minneapolis, is expected to make an initial appearance in federal court today.
“This man allegedly doxxed and called for the murder of law enforcement officers, encouraged bloodshed in the streets, and proudly claimed affiliation with the terrorist organization Antifa before going on the run,” said Attorney General Pamela Bondi. “Today’s arrest illustrates that you cannot run, you cannot hide, and you cannot evade our federal agents: if you come for law enforcement, the Trump Administration will come for you.”
“It’s no surprise that an Antifa terrorist is allegedly threatening to kill and assault federal law enforcement officers as they dutifully remove criminal threats from neighborhoods,” said Deputy Attorney General Todd Blanche. “After all, this is what Antifa is about, lawlessness and violence. But under the leadership of President Trump and Attorney General Bondi, there is no safe haven for terrorists and no protection from the full weight of justice.
“We know that a ‘worthless man plots evil, and his speech is like a scorching fire.’ And Wagner’s alleged actions were an attempt to spread fire into our peaceful community. That is not going to happen,” said U.S. Attorney Gorgon.
According to the criminal complaint, Wagner has escalated his opposition to ICE operations, including conspiring and threatening to assault federal law enforcement officers in Minneapolis. In January 2026, Wagner repeatedly posted on Facebook and Instagram encouraging his followers to forcibly confront, assault, impede, oppose, and resist federal officers whom he referred to as the “gestapo” and “murderers.”
On January 8, 2026, Wagner posted a video directly threatening ICE agents by stating, “I’ve already bled for this city, I’ve already fought for this city, this is nothing new, we’re ready this time, ICE we’re f---ing coming for you.” The following day, Wagner posted about the “constant harassment of ICE” and said that “we need to continue that, but we also need to cripple them.” Wagner then advocated for physical confrontation, stating, “Anywhere we have an opportunity to get our hands on them, we need to put our hands on them.”
Wagner also urged others to “hunt” ICE, including those who are “armed” to “fight [ICE]. This is kill or be killed.” He described agitators’ “goal [ ] to unmask and identify [ICE] agents - stop their ability to arrest individuals through group resistance.” On January 10, 2026, Wagner asserted that “we are at f----- war” and stated, “So, either we’re going to win, or I will die in this process.” On January 13, 2026, Wagner praised the success of the agitators’ anti-ICE efforts, stating, “This is where ICE has come to die” and then threatened ICE agents, “We want to know who they are. We will identify every single one of them and we will prosecute them to the fullest extent of the law. If it has to be done at the barrel of a gun, then let us have a little f------ fun.”
On January 24, 2026, Wagner stated that he was “not talking about peaceful protests anymore.” And urged violence against federal officers: “Get your f----- guns and stop these f------ people.” Wagner also reposted a video where he passed out gas masks and shields to agitators.
The complaint further alleges that on January 29, 2026, Wagner, used his Instagram account to dox a pro-ICE individual by publishing a phone number, birth month and year, and address in Oak Park, Michigan, threatening the individual. Wagner later admitted that he doxxed the victim’s parents’ house.
A complaint is only a charge and is not evidence of guilt. The defendant is presumed innocent. As a felony trial cannot be held on a complaint, a decision to seek an indictment will be made in the near future.
The case was investigated by the agents of Immigration and Customs Enforcement Homeland Security Investigations.
This case is part of Operation Take Back America, a nationwide initiative that marshals the full resources of the Department of Justice to repel the invasion of illegal immigration, achieve the total elimination of cartels and transnational criminal organizations (TCOs), and protect our communities from the perpetrators of violent crime.
Anti-ICE Antifa member arrested on federal charges of Cyberstalking and Threatening Communications after allegedly calling for the murder and assault of federal immigration officers in MinneapolisRead the Press Release
MINNEAPOLIS – Self-identified Antifa member Kyle Wagner was arrested today on federal threat and cyberstalking charges following alleged murder and assault threats against ICE, announced United States Attorney Jerome F. Gorgon, Jr. Wagner, 37 of Minneapolis, is expected to make an initial appearance in federal court today.
“This man allegedly doxxed and called for the murder of law enforcement officers, encouraged bloodshed in the streets, and proudly claimed affiliation with the terrorist organization Antifa before going on the run,” said Attorney General Pamela Bondi. “Today’s arrest illustrates that you cannot run, you cannot hide, and you cannot evade our federal agents: if you come for law enforcement, the Trump Administration will come for you.”
“It’s no surprise that an Antifa terrorist is allegedly threatening to kill and assault federal law enforcement officers as they dutifully remove criminal threats from neighborhoods,” said Deputy Attorney General Todd Blanche. “After all, this is what Antifa is about, lawlessness and violence. But under the leadership of President Trump and Attorney General Bondi, there is no safe haven for terrorists and no protection from the full weight of justice.
“We know that a ‘worthless man plots evil, and his speech is like a scorching fire.’ And Wagner’s alleged actions were an attempt to spread fire into our peaceful community. That is not going to happen,” said U.S. Attorney Gorgon.
According to the criminal complaint, Wagner has escalated his opposition to ICE operations, including conspiring and threatening to assault federal law enforcement officers in Minneapolis. In January 2026, Wagner repeatedly posted on Facebook and Instagram encouraging his followers to forcibly confront, assault, impede, oppose, and resist federal officers whom he referred to as the “gestapo” and “murderers.”
On January 8, 2026, Wagner posted a video directly threatening ICE agents by stating, “I’ve already bled for this city, I’ve already fought for this city, this is nothing new, we’re ready this time, ICE we’re f---ing coming for you.” The following day, Wagner posted about the “constant harassment of ICE” and said that “we need to continue that, but we also need to cripple them.” Wagner then advocated for physical confrontation, stating, “Anywhere we have an opportunity to get our hands on them, we need to put our hands on them.”
Wagner also urged others to “hunt” ICE, including those who are “armed” to “fight [ICE]. This is kill or be killed.” He described agitators’ “goal [ ] to unmask and identify [ICE] agents - stop their ability to arrest individuals through group resistance.” On January 10, 2026, Wagner asserted that “we are at f----- war” and stated, “So, either we’re going to win, or I will die in this process.” On January 13, 2026, Wagner praised the success of the agitators’ anti-ICE efforts, stating, “This is where ICE has come to die” and then threatened ICE agents, “We want to know who they are. We will identify every single one of them and we will prosecute them to the fullest extent of the law. If it has to be done at the barrel of a gun, then let us have a little f------ fun.”
On January 24, 2026, Wagner stated that he was “not talking about peaceful protests anymore.” And urged violence against federal officers: “Get your f----- guns and stop these f------ people.” Wagner also reposted a video where he passed out gas masks and shields to agitators.
The complaint further alleges that on January 29, 2026, Wagner, used his Instagram account to dox a pro-ICE individual by publishing a phone number, birth month and year, and address in Oak Park, Michigan, threatening the individual. Wagner later admitted that he doxxed the victim’s parents’ house.
A complaint is only a charge and is not evidence of guilt. The defendant is presumed innocent. As a felony trial cannot be held on a complaint, a decision to seek an indictment will be made in the near future.
The case was investigated by the agents of Immigration and Customs Enforcement Homeland Security Investigations.
This case is part of Operation Take Back America, a nationwide initiative that marshals the full resources of the Department of Justice to repel the invasion of illegal immigration, achieve the total elimination of cartels and transnational criminal organizations (TCOs), and protect our communities from the perpetrators of violent crime.
Last of Eight Defendants Sentenced in $7.7 Million Pandemic Fraud SchemeRead the Press Release
DETROIT– Timothy Boyle, the last of eight defendants in a $7.7 million pandemic fraud scheme targeting the Small Business Administration and numerous state unemployment programs, was sentenced today, United States Attorney Jerome F. Gorgon Jr. announced.
Gorgon was joined in the announcement by Jennifer Runyan, Special Agent in Charge of the Federal Bureau of Investigation – Michigan Division, Megan Howell, Special Agent in Charge United States Department of Labor – Office of Inspector General, Great Lakes Region, and Acting Special Agent-in Charge, Michelle Blank, Small Business Administration-Office of Inspector General.
The eight defendants in this case all pleaded guilty to various wire fraud and identity theft offenses before Judge Judith E. Levy. The ringleader of the fraud scheme, DeAngelo Jackson-Portwood, 42, of Detroit, was sentenced to 61 months imprisonment. Anton Greenwood, 39, also of Detroit, and Adartha Tillman, 42, of Roseville, were sentenced to 42 and 40 months of incarceration, respectively. Maurice Brown-Portwood, 35, of Clinton Township received a 22 month sentence, and Taurean Davis, 44, of Detroit a sentence of 12 months imprisonment. Defendant Christopher Lindsay, 38, of Detroit received a sentence of three years of probation, as did Tyrone Boyle, 58, and his twin brother Timothy Boyle, both of Los Angeles, California.
The eight defendants will pay a total of $7,703,549 in restitution to the SBA and various state workforce agencies.
According to court records, between early 2020 and approximately May 2021, DeAngelo Jackson-Portwood orchestrated a scheme to defraud state workforce agencies by illegally obtaining millions of dollars in pandemic unemployment assistance funds. Jackson-Portwood, aided by his seven-codefendants, obtained the names, social security numbers, and other personal identifying information of numerous unsuspecting individuals. Without those individuals’ knowledge or consent, Jackson-Portwood and his co-conspirators used their names to file over 1,000 claims for pandemic unemployment assistance across 17 states and territory of Guam. The co-conspirators obtained over $5.6 million on these bogus unemployment claims, with most of the losses being borne by the Michigan and California workforce agencies.
DeAngelo Jackson-Portwood’s scheme also targeted pandemic loan assistance programs managed by the SBA. The co-conspirators filed over 575 fraudulent applications for Paycheck Protection Loans and Economic Injury Disaster Loans in the names of various businesses. The loan applications contained all manner of false statements. In some instances, the businesses did not exist. In others, the supposed proprietors of the businesses were in fact identity theft victims. Jackson-Portwood and his co-conspirators obtained approximately $2.1 million from their fraudulent applications targeting these pandemic loan assistance programs.
United States Attorney Gorgon stated, “Today’s sentence concludes one of the largest pandemic fraud cases in our state. Jackson-Portwood fleeced the American taxpayer through a brazen fraud scheme. And we thank our partners at the FBI, Department of Labor, and Small Business Administration for uncovering this crime.”
“The sentencing of the final defendant in this multimillion-dollar pandemic fraud scheme brings long-overdue justice to more than 900 victims whose lives were disrupted by greed and deception,” said Jennifer Runyan, Special Agent in Charge of the FBI Detroit Field Office. “Among those victims was a nurse working 12-plus hour shifts on the front lines during COVID-19, who then had to fight to clear her name after her identity was stolen. These defendants did not just steal money; they stole peace of mind from hardworking Americans during a national crisis. This outcome was made possible through the relentless work of members from the FBI Detroit Area Corruption Task Force, alongside our federal partners at the U.S. Department of Labor – OIG and the Small Business Administration – OIG. Our office will continue to pursue those who exploit national emergencies for personal gain and ensure they are held fully responsible under the law.”
“The defendants stole from unemployment insurance programs that exist to help American workers during a once-in-a-generation global pandemic,” said Anthony P. D’Esposito, Inspector General, U.S. Department of Labor. “That kind of fraud directly harms workers and taxpayers alike. Our team will relentlessly protect the integrity of these critical benefit programs and pursue accountability for anyone who tries to game the system for personal gain. I thank the U.S. Attorney’s Office for the Eastern District of Michigan and our law-enforcement partners for their strong collaboration and commitment to justice.”
“This sentencing serves as a reminder that fraud is not a victimless crime, and it has no place in SBA lending programs,” said SBA-OIG Acting Special Agent-in Charge, Michelle Blank. “SBA-OIG will continue working with our law enforcement partners to investigate and pursue those who use stolen personal information to obtain disaster and relief funds.”
This case was investigated by the Federal Bureau of Investigation and the United States Department of Labor, Office of Inspector General, and the Small Business Administration, Office of Inspector General. The case was prosecuted by Assistant United States Attorneys John K. Neal and Alyse Wu.
Sitting Judge and Three Others Charged with Scheme to Steal Hundreds of Thousands of Dollars from Vulnerable and Incapacitated WardsRead the Press Release
DETROIT - Four Detroit-area residents, including a sitting judge and a local attorney, were charged for their roles in a years-long scheme to embezzle money from incapacitated individuals, United States Attorney Jerome F. Gorgon, Jr. announced today.
Gorgon was joined in the announcement by Jennifer Runyan, Special Agent in Charge of the Federal Bureau of Investigation Detroit Field Office, and Karen Wingerd, Special Agent in Charge of the Internal Revenue Service-Criminal Investigations Detroit Field Office.
Nancy Williams, 59, Avery Bradley, 72, Andrea Bradley-Baskin, 46, and Dwight Rashad, 69, all Detroit residents, were charged via indictment with conspiracy to commit wire fraud. The indictment also charges Bradley with one count of wire fraud, Bradley, Bradley-Baskin, and Rashad with several counts of money laundering, and Bradley-Baskin with a single count of making a false statement to federal law enforcement agent.
According to the indictment, probate courts regularly appoint guardians and conservators to manage the personal and financial affairs of adults, known as wards, who have been found by the court to lack the capacity to do so themselves. Guardians and conservators are fiduciaries who are obligated to act in the best interests of their wards. The indictment alleges that Nancy Williams owned Guardian and Associates, an agency that was appointed as a fiduciary by the Wayne County Probate Court for incapacitated wards in over 1,000 cases. Avery Bradley is an attorney, who, along with his daughter (and fellow attorney) Andrea Bradley-Baskin, operated a law firm that often represented Guardian and Associates in Wayne County Probate Court and otherwise practiced regularly in that court. Bradley-Baskin is currently a district judge on Michigan’s 36th District Court. Dwight Rashad operated a series of group homes and residential facilities for elderly individuals, including wards, who needed support and care.
The indictment alleges that the four defendants conspired to systematically embezzle funds from wards, and to obtain and retain money for themselves that rightly belonged to the wards and the wards’estates. The indictment sets forth numerous examples of the co-conspirators working together to misappropriate money belonging to wards. In one instance, Bradley-Baskin is alleged to have used $70,000 in a ward’s funds to purchase an ownership stake in a local bar. In another, Bradley, Williams, and Rashad are alleged to have taken for themselves some $203,000 in funds from a ward’s legal settlement, with none of the money being used to benefit the ward. Williams is alleged to have paid Rashad rent for wards who did not live in one of Rashad’s homes. Bradley-Baskin, in yet another case, is alleged to have used money embezzled from the estate of a ward to pay a two-year lease on a new Ford Expedition for herself.
“We respect the authority that covers a black robe. This state judge and her cronies allegedly abused that high honor for personal gain by preying on the needy protected by the court. This would be a grievous abuse of our public trust,” said U.S. Attorney Gorgon.
“Regardless of a person’s position in society, no one is above the law. These four defendants allegedly conspired to steal from some of our most vulnerable citizens — looting bank accounts, exploiting legal authority, and profiting off those who relied on them for care and protection," said Jennifer Runyan, Special Agent in Charge of the FBI Detroit Field Office. "Let me be clear: if you prey on the vulnerable, we will find you and bring you to justice. Finally, I want to recognize our FBI Detroit Area Corruption Task Force, alongside our partners at the IRS Criminal Investigations Detroit Field Office, for their dedicated work on behalf of these victims, as well as the Wayne County Probate Court for bringing this matter to our attention and assisting the investigation."
“No matter who you are, or what your position is, it is entirely unacceptable to help yourself to money that is not yours. What makes these allegations so disturbing is that the victims are part of very vulnerable population and trusted the accused to act in their best interest,” said Karen Wingerd, Special Agent in Charge, Detroit Field Office, IRS Criminal Investigation. “IRS-CI is proud to work alongside our law enforcement partners to protect the financial well-being of the vulnerable and root out those who threaten their security.”
If you have information concerning a ward of Guardian & Associates or Tri-State Guardian Services, please visit the FBI website at
— Seeking Information Concerning Wards of Guardian & Associates and Tri-State Guardian Services
An indictment is only a charge and is not evidence of guilt. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
This case is being investigated by the Federal Bureau of Investigation, and the Internal Revenue Service-Criminal Investigations.
The case is being prosecuted by Assistant United States Attorneys Robert A. Moran and John Neal.
Last of Four Individuals Charged in $63 Million Mail Theft Conspiracy, Including Two Postal Employees Pleads GuiltyRead the Press Release
DETROIT – Four individuals who were charged in an Information last year for their involvement in a $63 million scheme that involved stealing checks from the mail and selling them online have all since pleaded guilty, United States Attorney Jerome F. Gorgon Jr. announced today.
Gorgon was joined in the announcement by U.S. Postal Service Inspector General Tammy Hull; Acting Inspector in Charge Sean McStravick, U.S. Postal Inspection Service, Detroit Division; Special Agent in Charge Karen Wingerd, Detroit Field Office, Internal Revenue Service - Criminal Investigation; Special Agent in Andrew McKay, Treasury Inspector General for Tax Administration, Mid-Atlantic Field Division; and Megan Howell, Special Agent-in-Charge, Great Lakes Region, U.S. Department of Labor, Office of Inspector General.
Jaiswan Williams, 32, of Rochester Hills, Daquan Foreman, 32, of Eastpointe, Vanessa Hargrove, 40, of Detroit, and Crystal Jenkins, 32, of Detroit, all pleaded guilty to conspiracy to aid and abet bank and wire fraud. Williams also pleaded guilty to money laundering, and accepted responsibility for $1.5M of fraudulent pandemic unemployment insurance benefit claims submitted between May 2020 and September 2021.
Hargrove and Jenkins were United States Postal Service employees who diverted and ultimately stole checks and other negotiable instruments from the mail, including a high volume of tax refund checks issued by the U.S. Treasury. Williams and Foreman were the administrators of the online marketplaces used to sell the checks.
According to the Information, postal employees Hargrove and Jenkins would provide the stolen checks to Williams and Foreman in exchange for payments. Williams and Foreman would take those checks and market them for sale via Telegram Messenger, a cloud-based, cross-platform instant messaging application. Prices varied based on the face-value of the checks. One of the Telegram channels, named “Whole Foods Slipsss,” was used to advertise high-dollar checks, while another channel, named “Uber Eats Slips,” was used to advertise lower-dollar checks. “Slips” is a term commonly used in these schemes to refer to stolen checks. Transactions were completed off-platform using a variety of electronic payment systems. Purchasers of these checks would then attempt to fraudulently cash them using a variety of methods.
All four defendants face up to 30 years in prison for the conspiracy. Williams also faces up to 20 years on the money laundering charge.
Sentencing hearings will be held later this year, in front of U.S District Judge Judith E. Levy, as follows:
D-1 Jaiswan Williams: April 14, 2026
D-2 Daquan Foreman: March 3, 2026
D-3 Vanessa Hargrove: March 3, 2026
D-4 Crystal Jenkins: May 27, 2026
This multi-agency investigation was led by the U.S. Postal Service Office of the Inspector General (USPS-OIG), with the assistance of the U.S. Postal Inspection Service (USPIS); the Internal Revenue Service-Criminal Investigations (IRS-CI); the Treasury Inspector General for Tax Administration (TIGTA); and the Department of Labor Office of the Inspector General (DOL-OIG), and is being prosecuted by Assistant U.S. Attorney Ryan A. Particka.
Flint Man Sentenced to 19 Years in Federal Prison for Drug Trafficking and Possessing a Short-Barrel Rifle Used to Shoot a Flint WomanRead the Press Release
FLINT — Vincent “Vito” Galicia, 37, of Flint was sentenced yesterday to 228 months in federal prison for drug trafficking, possessing a short-barrel rifle, and being a felon in possession of a firearm, U.S. Attorney Jerome F. Gorgon Jr. announced.
Gorgon was joined in the announcement by James Deir, Special Agent in Charge of the Detroit Field Division of the Bureau of Alcohol, Tobacco, and Firearms (ATF).
U.S. District Court Judge Shalina D. Kumar imposed sentence on Galicia following his guilty pleas to numerous charges including possession with the intent to distribute 500 grams or more of methamphetamine, possession with intent to distribute cocaine, possession of a firearm in furtherance of a drug trafficking crime, felon in possession of a firearm, and possession of a short-barrel rifle. Judge Kumar also sentenced Galicia to XX years of federal supervised release following his release from incarceration.
According to court documents, in January of 2019, Flint Police executed a search warrant at Galicia’s home where they seized two nine-millimeter pistols, one of which was stolen and equipped with a 50-round drum magazine; nearly a kilogram of methamphetamine; 85 grams of cocaine; and 289 grams of suspected methamphetamine. The police also seized over $8,000 in cash and various drug trafficking paraphernalia.
Galicia was initially charged in the State of Michigan 67th District Court. In March of 2021, while on bond, Galicia, who was armed with an illegal short-barrel semi-automatic rifle, broke into the home of a Flint woman with whom he had a romantic relationship. While inside the home, Galicia assaulted the woman and then shot her in the neck with the short-barrel rifle. Galicia transported the woman to McLaren Hospital after which he fled on foot leaving behind the woman and his vehicle. Galicia gunshot to the neck paralyzed the woman.
Officers from the Flint Police Department and the Michigan State Police responded to the woman’s home where they found Galicia’s short-barrel rifle, which had an obliterated serial number. Special agents from the ATF joined the investigation, and Galicia was subsequently charged in federal court with numerous charges related to both the 2019 and 2021 incidents.
“This armed drug dealer broke into a woman’s home where he shot and paralyzed her. And perhaps most disturbing, he was somehow on bond at the time—even though he had been caught with guns, almost a kilo of meth, and cocaine. This case is an exemplar of the federal/state partnership that prosecutes the most dangerous armed criminals in our community,” U.S. Attorney Gorgon said.
“Vincent Galicia is a violent, heavily armed drug trafficker whose greed led him down a destructive path. He chose a life devoted to peddling poison in our community while armed with an illegal firearm. Rather than self-reflect on his misdeeds after his arrest, he chose to arm himself once again with an illegal firearm while waiting for a resolution on his state case. Then, Galicia chose to engage in a far worse crime - domestic violence. Galicia shot his girlfriend in the neck and permanently paralyzed her. Galicia’s consistent disregard for the well-being of our community members is repulsive” said ATF Detroit Field Division Special Agent in Charge James Deir. “Let this be a cautionary tale to all the would-be illegally armed domestic abusers/drug dealers in our community; when you arm yourself with illegal firearms, abuse women, and/or traffic drugs in our communities, you should pack your bags for prison. This sentence should send a clear warning across Michigan—ATF and our partners will find you, prosecute you, remove you from our streets, and send you to a galaxy far, far away called the Federal Bureau of Prisons.”
This investigation was conducted by special agents of the ATF, in conjunction with the Flint Police Department and the Michigan State Police. The case was prosecuted by Assistant United States Attorney Anthony Vance.
Commerce Township man pleads guilty to using AI-generated pornography to cyberstalk social media influencerRead the Press Release
DETROIT – Joshua Stilman, 37, pleaded guilty today to one count of cyberstalking, United States Attorney Jerome F. Gorgon announced today.
Gorgon was joined in the announcement by Jennifer Runyan, Special Agent in Charge of the Federal Bureau of Investigation-Detroit.
From at least February 2025 through March 2025, Stilman created artificial intelligence (AI)-generated nude and sexually graphic images of Victim-1 using publicly available images of her. In private social media messages with Victim-1, Stilman frequently asked Victim-1 about her sexual preferences and made sexual threats of his own. Eventually, Stilman told Victim-1 that he would release the AI-generated images of Victim-1 to her nearly 100,000 social media followers if she did not continue to respond to his messages.
Sentencing is scheduled for May 21, 2026. Cyberstalking has a maximum term of imprisonment of five years.
"Joshua Stilman's guilty plea makes clear that cyber stalking - especially when amplified through the weaponization of artificial intelligence - is a dangerous offense, not a harmless online act,” said Jennifer Runyan, Special Agent in Charge of the FBI Detroit Field Office. "Hiding behind a keyboard to intimidate and harass another person is an act of cowardice, and today's outcome demonstrates that such behavior will be met with full accountability. I commend the extraordinary courage of the victim, whose willingness to come forward and persistence in pursuing justice made this result possible."
This case was investigated by the Oakland County Resident Agency of the FBI and is being prosecuted by Assistant United States Attorney Zachary Zurek.
United States Attorney’s Office for the Eastern District of Michigan Recognizes National Human Trafficking Prevention MonthRead the Press Release
DETROIT – Today the United States Attorney’s Office for the Eastern District of Michigan observes National Human Trafficking Prevention Month and joins the Departments of Justice (DOJ) and Homeland Security (DHS) in reaffirming the administration’s commitment to combating all forms of human trafficking and protecting victims and survivors. Human Trafficking Prevention Month presents an opportunity for DHS and DOJ, through Homeland Security Task Forces (HSTF) to intensify operational efforts, raise public awareness, and strengthen partnerships across federal, state, and local agencies to disrupt trafficking networks, protect vulnerable individuals, and ensure traffickers are brought to justice.
“This Department of Justice is working tirelessly alongside our partners to dismantle human trafficking networks, help survivors, and protect vulnerable populations from being exploited,” said Attorney General Pamela Bondi. “Under this administration we have seen an increase in human trafficking prosecutions, and during Human Trafficking Prevention Month we reaffirm our commitment to prosecuting traffickers and encourage Americans to report instances of human trafficking in their communities.”
“Through the Homeland Security Task Force, President Trump is taking the fight directly to human trafficking networks and disrupting their modern-day slave trade while seizing their assets and arresting their kingpins and foot soldiers. The American people should not have to live in fear of cartels, gang bangers, and foreign terrorists preying upon the most vulnerable among us,” the United States Secretary of Homeland Security Kristi Noem said in a statement. “The Homeland Security Task Force is the largest coordinated campaign against transnational criminal organizations in U.S. history, and I’m proud to co-lead it with Attorney General Bondi.”
“During Human Trafficking Prevention Month, the FBI reiterates our work with local, state, and federal law enforcement agencies and national victim-based advocacy groups in joint task forces to protect our communities across the country,” said FBI Director Kash Patel. “The horrifying reach of human trafficking spreads far and wide. Homeland Security Task Forces are fighting back to disrupt these perilous networks and put a stop to that reach. The FBI will continue our investigations and bring justice to those exploited by human traffickers.
“Federal law enforcement at the DOJ and DHS are freedom fighters. They are abolitionists fighting the modern-day slave traders who profit from human misery. We are proud to fight alongside them,” said U.S. Attorney Jerome F. Gorgon Jr.
In January 2025, President Donald J. Trump signed Executive Order 14159, Protecting the American People Against Invasion. Section 6 of this order directed the Attorney General and the Secretary of Homeland Security to jointly establish HSTFs in every state nationwide. The HSTF objective is to end the presence of criminal cartels, foreign gangs, and transnational criminal organizations (TCOs) throughout the United States; dismantle cross-border human smuggling and trafficking networks; end the scourge of human smuggling and trafficking, with a particular focus on such offenses involving children; and ensure the use of all available law enforcement tools to faithfully execute the immigration laws of the United States.
Since January 20, 2025, the United States Attorney Office for the Eastern District of Michigan has had the following actions:
- Kevin Giles, 59, of Detroit, was convicted of sex trafficking two minors and one adult. Giles exploited his female victims by requiring them to perform commercial sex acts in return for shelter for them and their children. Two of Giles’s victims were under 18 at the time he trafficked them. Giles posted advertisements for commercial sex for all his victims, arranged their commercial sex dates, and collected the proceeds of the sex acts. Witnesses testified that Giles used hidden cameras to monitor the sex acts of all his victims and to direct the sex acts of the adult victim. He faces a sentence of 25 years in prison and up to life.
- An indictment was returned against Lucas Pelletier, 21, of Bay City. He is accused of using social media to connect with a victim under 18, who he then engaged in hands on sexual offenses with that he also recorded. It’s alleged that Pelletier posted an advertisement for commercial sex acts with this victim, collected proceeds for setting up the meetings and during the conversations where he was facilitating those meetings, he distributed child pornography of the victim. Trial is set for March.
- An indictment was returned against Varsalles Phillips from Detroit. Phillips is accused of sex trafficking two minor victims and unlawfully possessing a firearm as a convicted felon. It is alleged that he advertised the minors for commercial sex, arranged their sex dates, took a portion of the proceeds. He is also accused of unlawfully possessing two firearms in his home – one of the places where he arranged commercial sex dates for the victims. Trial is set for March.
- An indictment was returned against Devan Cook from Detroit. Cook is accused of sex trafficking a minor victim and producing child pornography. Trial is set for February.
- An indictment was returned against Jahbez James and Nikodia Davis, both from Texas, for transporting a minor to engage in prostitution, and Davis was additionally charged with sex trafficking a minor. James and Davis are accused of transporting a victim across multiple states, including Michigan, for her to engage in commercial sex work. Their case remains pending.
- Whitney Williams from Detroit, pleaded guilty to transporting an individual to engage in prostitution. He is due to be sentenced in February.
In January 2026, DHS and DOJ are surging resources to fight and raise awareness about human trafficking, including:
- Identifying ongoing investigations and prioritizing featured operations across 45 federal locations and 10 state locations with an emphasis on border states.
- Coordinating with FBI Human Trafficking Squads and multi-agency Human Trafficking Task Forces to conduct victim recovery.
- Partnering with AMTRAK and FAMS to increase law enforcement resources and distribute posters with QR codes for reporting human trafficking in all station bathrooms and trains.
- Running advertisements related to $250 million recovery from Backpage to distribute to victims and additional victim restitution efforts by DOL-OIG.
- Organizing Human Trafficking seminars and outreach events with DHS Center for Countering Human Trafficking at high schools and colleges to highlight the role of HSTFs in addressing human trafficking.
On August 25, 2025, HSTF officially launched its effort to protect the Homeland with a September Surge encompassing 400 operations nationwide. In just 43 days, HSTF nationwide operations resulted in 3,266 arrests and seizures including:
- 1,041 Sinaloa members,
- 856 Cártel Jalisco Nueva Generación (“CJNG”) members,
- 641 MS-13 members,
- 456 Tren de Aragua members,
- 1,067 weapons
- More than $3,250,000 in currency
- Approximately 91 metric tons of narcotics
Since January 20, 2025, the Department of Justice has:
- Secured substantial sentences and landmark convictions against sex traffickers and labor traffickers who used violence, addictive drugs, and psychological coercion to exploit victims in Alabama, Connecticut, Delaware, Florida, Hawaii, Indiana, Kansas, Massachusetts, Ohio, New Jersey, New York, North Carolina, Texas, and beyond.
- Seized $15 billion from a wire fraud and money laundering conspiracy originating from a Cambodian forced labor scam center.
- Secured high-impact sex trafficking indictments in New York against an enterprise associated with the notorious Tren de Aragua Transnational Criminal Organization and in California against traffickers affiliated with local street gangs.
- Pursued extraditions of fugitive traffickers to permanently disrupt and dismantle transnational labor trafficking and sex trafficking enterprises
- Secured sizable restitution orders, including several over a million dollars, to aid victims in their recovery from the unspeakable losses they endured.
- Launched a Remission Portal for survivors of sex trafficking that was facilitated through Backpage or CityXGuide to seek compensation.
- Conducted nationwide crackdowns this month and during Operation Justice for All in August 2025.
- Streamlined and strengthened Joint Task Force Alpha efforts to combat combined human trafficking, human smuggling, and transnational organized crime threats by integrating the Department’s National Human Trafficking Coordinator and human trafficking prosecution experts into the Criminal Division’s Human Rights and Special Prosecutions Section; and
- Announced new grant funding opportunities to support victim services for the year ahead.
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Beverly Hills man pleads guilty to over $2 million in pandemic fraud schemeRead the Press Release
DETROIT – A Beverly Hills man pleaded guilty today to an extensive pandemic fraud scheme,
United States Attorney Jerome F. Gorgon Jr announced.
Jabari Long, 45, entered a guilty plea before Judge Brandy McMillion to wire fraud affecting a financial institution.
Gorgon was joined in the announcement by Jared Murphey, Acting Special Agent in Charge of Homeland Security Investigations-Detroit and Karen Wingerd, Special Agent in Charge of the Internal Revenue Service-Criminal Investigations Detroit Field Office.
According to court records, Long submitted fraudulent loan applications to the Paycheck Protection Program (PPP) and Economic Injury Disaster Loans (EIDL) for businesses that did not exist. Specifically, Long received $2,187,000 in federal loans for Priceless Preservations Construction, a company that Long claimed had 50 employees and an average monthly payroll of $875,000. In truth, Priceless Preservations Construction had few, if any, employees and little to no payroll expenses.
Long will be sentenced by Judge McMillion on July 28, 2026. He faces a maximum sentence of 30 years imprisonment.
The case was investigated by HSI and IRS and is being prosecuted by Assistant United States Attorney Sara D. Woodward.
Port Huron Resident Pleads Guilty to Stealing $900,000 from His EmployerRead the Press Release
DETROIT – Peter Paulus, 51, of Port Huron, Michigan, pleaded guilty today to one count of wire fraud, announced United States Attorney Jerome F. Gorgon.
Gorgon was joined in the announcement by Jennifer Runyan, Special Agent in Charge of the Detroit Field Division of the Federal Bureau of Investigation.
According to court documents, between November 2020 and August 2023, Paulus worked as a sales manager at Countertops Direct in Harrison Township, Michigan. During this time, Paulus devised a scheme to divert customer credit card payments from Countertops Direct to bank accounts that he controlled. To cover up the scheme, he falsified transaction display information and receipts, making it appear that the money that he appropriated was in fact remitted to Countertops Direct. Paulus embezzled approximately $900,000 from his employer.
"Peter Paulus’s guilty plea reaffirms that financial crimes carried out through deception come with consequences,” said Jennifer Runyan, Special Agent in Charge of the FBI Detroit Field Office. “Our team from the FBI Macomb County Resident Agency continues to do outstanding work, alongside the U.S. Attorney’s Office for the Eastern District of Michigan, with the goal of protecting public trust and ensuring financial crimes are thoroughly investigated and prosecuted.”
Sentencing is scheduled for May 19, 2026. A conviction for wire fraud carries a maximum penalty of 20 years in prison, a $250,000 fine, or both.
This case was investigated by the Federal Bureau of Investigation. This case is being prosecuted by Assistant United States Attorneys Alyse Wu and Philip A. Ross.
Macomb County Resident Sentenced for Multi-Million Dollar Pandemic Assistance Fraud SchemeRead the Press Release
DETROIT - A Macomb County resident was sentenced yesterday for her role in a multi-million-dollar Paycheck Protection Program (“PPP”) fraud scheme, announced United States Attorney Jerome F. Gorgon Jr.
Joining in the announcement were Special Agent in Charge Jennifer Runyan, Federal Bureau of Investigation and Acting Special Agent in Charge Jared Murphey, Homeland Security Investigations Detroit.
Rita Shaba, 40, was sentenced to 27 months in federal prison after having pleaded guilty to conspiring to commit wire fraud and bank fraud.
According to court records, Shaba and her co-conspirators caused fraudulent PPP applications to be submitted for several business entities. Those applications misrepresented payroll information for the business entities and falsely certified that PPP loan funds would be used for permissible business-related purposes. The defendants also caused fictitious payroll, health insurance, bank, and tax records to be submitted in connection with the PPP loan applications.
The defendants received over $3 million in fraudulent PPP loan funds. To date, law enforcement has seized and recovered over $2.1 million of those funds.
The Paycheck Protection Program was created by Congress to provide assistance to businesses harmed by the economic dislocations caused by the Covid-19 pandemic.
Shaba was sentenced by Judge Jonathan J.C. Grey. Her co-defendants, Samer Kammo and Christina Anasi, still await sentencing.
As part of her sentence, Shaba was also ordered to pay $3,294,798.50 in restitution.
According to court records, when Shaba learned of the government’s investigation, she messaged a co-conspirator and stated that she thought she was ““going on a long vacation” and “leaving for a few years.”
“Rita Shaba told countless lies in this case. But this is true: when you get caught committing major fraud in our district, we will aggressively prosecute you and seek substantial prison time,” stated U.S. Attorney Gorgon.
"When federal relief programs are fraudulently abused, accountability must follow,” said Jennifer Runyan, Special Agent in Charge of the FBI Detroit Field Office. “Rita Shaba diverted pandemic relief funds intended to support workers and small businesses, exploiting a national emergency for personal gain. The sentence imposed demonstrates that fraudulent abuse will not be tolerated. This result would not be possible without the hardworking investigative efforts of our team from the FBI Macomb County Resident Agency, HSI, and our partners at the U.S. Attorney’s Office for the Eastern District of Michigan whose diligence ensured this scheme was uncovered and brought to justice.”
“Homeland Security Investigations is committed to protecting the integrity of federal relief programs and holding accountable those who exploit them for personal gain,” said Acting Special Agent in Charge Jared Murphey of HSI Detroit. “This sentence demonstrates that individuals who defraud programs intended to help businesses and workers in times of crisis will face serious consequences.”
This case was investigated by the Federal Bureau of Investigation and the United States Department of Homeland Security, Homeland Security Investigations. The Unemployment Insurance Agency, Michigan Department of Labor and Economic Opportunity has also provided valuable assistance.
The case is being prosecuted by Assistant United States Attorney Andrew J. Yahkind. Related forfeiture and restitution matters are being handled by Assistant United States Attorney Jessica Nathan.
Detroit Man Sentenced to 102 Months in Federal Prison for CarjackingRead the Press Release
DETROIT – A Detroit man was sentenced yesterday to 102 months in federal prison following his convictions for carjacking and brandishing a firearm during and in relation to a crime of violence.
United States Attorney Jerome F. Gorgon, Jr. announced the sentencing today and was joined in the announcement by Jennifer Runyan, Special Agent in Charge of the Detroit Field Office of the Federal Bureau of Investigation.
According to court records, Brandon Sims, 35, of Detroit, Michigan, committed the carjacking on October 18, 2023, in Detroit, Michigan. Sims carjacked a man who was assisting a young woman move out of Mr. Sims’s residence. Sims entered the male victim’s SUV and brandished a firearm. The victim pushed the gun away, causing it to discharge. The male victim ran from the vehicle and Sims drove off with the young woman. Several hours later, FBI Special Agents and members of the Detroit Police Department's Commercial Auto Theft Section located Sims and the young woman in Pontiac, Michigan, and took Sims into custody. The carjacked vehicle was found the following day.
“Carjackers pounce on ordinary folks—by putting a gun their face—when they are a sitting duck in their car. We will prosecute the criminals who commit these terrible and violent crimes,” stated U.S. Attorney Gorgon.
“The sentencing of Brandon Sims, a convicted felon, reflects the serious consequences facing those who commit reckless crimes of violence and place innocent lives at risk,” said Jennifer Runyan, Special Agent in Charge of the FBI Detroit Field Office. “Sims chose to use violence by producing a firearm and carjacking an innocent citizen in Detroit. I am proud of the dedicated members from FBI Detroit, working alongside our partners at the Detroit Police Department, whose diligent efforts help keep our community safe. I also commend the U.S. Attorney’s Office for the Eastern District of Michigan for their relentless and successful prosecution, ensuring Sims is held fully accountable under federal law.”
The case was investigated by special agents of the FBI, the Detroit Police Department, and handled by Assistant United States Attorneys Jeanine Brunson and Craig Wininger.
Illegal Alien Pleads Guilty to Voting in the 2020 Election and Lying to Obtain a U.S. PassportRead the Press Release
DETROIT - Jose Gargenis Vasquez-Rosa, a citizen of the Dominican Republic who was illegally residing in the United States pleaded guilty today to illegally voting in the 2020 election, and to lying in an application for a United States passport, United States Attorney Jerome F. Gorgon Jr. announced.
Gorgon was joined in the announcement by Matthew Kupac, Resident Agent in Charge of the Diplomatic Security Service Detroit Resident Office.
Vasquez-Rosa pleaded guilty to three counts: (1) False statement in a United States passport application, (2) false statement of United States citizenship with the intent to obtain a federal benefit and (3) illegal voting by aliens.
In 2002, Vasquez-Rosa applied for a visa to come to the United States as the spouse of a United States citizen, but his application was denied because the relationship was found to be fraudulent. Then, in 2016, Vasquez-Rosa, who was illegally living in Michigan, assumed the identity of a Puerto Rican man. Using this fraudulent identity, Vasquez-Rosa applied for a Michigan driver’s license and at the same time was registered to vote. Utilizing this fraudulent identity, Vasquez-Rosa then voted in-person in the 2018 election, and voted again by absentee ballot in the 2020 election. Also in 2020, Vasquez-Rosa attempted to illegally obtain a United States passport by submitting a passport application using the same fraudulent identity. However, the fraudulent application was detected by the Department of State and no passport was issued.
United States Attorney Gorgon stated, “American citizens paid for the right to vote with their blood. This illegal alien lied to get into our country and stole that right. And we won’t let criminals undermine our elections.”
"The Diplomatic Security Service is committed to making sure that those who commit identity theft face consequences for their criminal actions,” said DSS Resident Agent in Charge Matthew Kupec. "DSS works closely with the U.S. Attorney’s Office and our law enforcement partners to investigate passport, visa fraud, and other transnational crimes. Deterring, detecting, and investigating U.S. passport and visa fraud is essential to protecting the integrity of U.S. borders and preventing illegal immigration.
Vasquez-Rosa faces a maximum sentence of ten years imprisonment.
The case is being prosecuted by Assistant United States Attorneys Susan Fairchild and Timothy P. McDonald. The investigation is being conducted by the Diplomatic Security Service Detroit Resident Office.
Detroit Man Pleads Guilty in Half-Million Dollar Pandemic Unemployment Insurance Fraud, ID-Theft SchemeRead the Press Release
DETROIT – A Detroit resident pleaded guilty yesterday related to an extensive unemployment insurance fraud and identity theft scheme, announced United States Attorney Jerome F. Gorgon Jr.
Nicholas Overton, 32, pleaded guilty today before Judge Denise Page Hood to one count each of wire fraud and aggravated identity theft.
Joining in the announcement was Megan Howell, Special Agent-in-Charge, Great Lakes Region, U.S. Department of Labor-Office of Inspector General.
According to court records the defendant submitted or caused the submission of approximately 90 fraudulent unemployment insurance claims across 20 states and territories (primarily Michigan, California, New York, and Arizona) and received over $500,000 in fraudulent unemployment assistance payments.
According to court records the defendant submitted these claims using the personal identifying information (PII) of multiple individuals who were unaware that their identities had been compromised and who had not authorized the defendant to file claims on their behalf.
U.S. Attorney Gorgon stated, “Identity theft is not a victimless crime. It is a deliberate exploitation of real people for personal gain. With these pleas the defendant is being held accountable, and this Office will continue to pursue those who use fraud and stolen identities to take advantage of others and undermine trust in public programs.”
“Nicholas Overton devised and executed a scheme that defrauded 20 state workforce agencies by filing for unemployment insurance in the names of identity theft victims who were not entitled to such benefits. This conviction affirms the Office of Inspector General’s commitment to work with our law enforcement partners to investigate and bring to justice those who exploit U.S. Department of Labor programs,” said Megan Howell, Special Agent-in-Charge, Great Lakes Region, U.S. Department of Labor, Office of Inspector General.
Overton will be sentenced by Judge Hood on May 7, 2026. He faces a maximum sentence of up to 20 years’ imprisonment on the wire fraud count and a mandatory, consecutive sentence of 2 years’ imprisonment on the aggravated identity theft count.
This case was investigated by special agents of the Department of Labor Office of the Inspector General (DOL-OIG) and is being prosecuted by Assistant U.S. Attorneys Ryan A. Particka and Jason D. Norwood.