District of New Jersey
Press releases recorded for this federal judicial district.
Long-Time Fugitive Sentenced to 70 Months’ Incarceration for Multimillion Dollar Mail Fraud SchemeRead the Press Release
NEWARK, N.J. – A German man who orchestrated a massive mail fraud scheme by mass mailing false and fraudulent psychic solicitations was sentenced to 70 months’ incarceration in Newark federal court, U.S. Attorney Robert Frazer announced today.
Georg Ingenbleek, 59, a citizen of Germany, was indicted in 2020 and has been a long-time fugitive. He was apprehended in Bolzano, Italy in 2024 and extradited to the United States in May 2025 to face the indictment, which charged him with two counts of mail fraud. Ingenbleek previously pleaded guilty before U.S. District Judge Claire C. Cecchi to the two counts of mail fraud.
According to documents filed in this case and statements made in court:
From at least 2011 through 2016, Ingenbleek created numerous direct mail solicitations supposedly from world-renowned psychics, falsely and fraudulently offering recipients individual psychic services and objects that would result in great fortune. Many of the letters falsely promised that the psychic services being offered were free of charge. Ingenbleek then directed co-conspirators to send fraudulent billing notices to the same victims that stated that the victims owed money for psychic services and that failure to pay would be “prosecuted to the full extent of the law.” The fraudulent billing notices falsely represented that the victims owed fees and threatened to take legal action if the victim did not send a check, usually for $20 to $50. Through his fraudulent psychic mailing campaign, Ingenbleek obtained more than $13 million dollars from victims.
In addition to the prison term, Judge Cecchi ordered forfeiture in the amount of $13,618,921.19 and imposed a three-year term of supervised release.
U.S Attorney Frazer credited postal inspectors of the U.S. Postal Inspection Service Philadelphia Division, under the direction of Inspector in Charge Christopher A. Nielsen; special agents of IRS - Criminal Investigation Newark Field Office, under the direction of Special Agent in Charge Jenifer Piovesan; and special agents of Homeland Security Investigations (HSI) New York, under the direction of Special Agent in Charge Michael Alfonso, with the investigation leading to the charges, and HSI Rome and the Justice Department’s Office of International Affairs for providing significant assistance in securing the defendant’s extradition from Italy.
The government is represented by Assistant United States Attorney Olta Bejleri of the Economic Crimes Unit in Newark.
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Defense counsel: Daniel Rashbaum, Esq., Miami, Florida.
U.S. Attorney’s Office Collects More than $1.5 Billion in Criminal and Civil Actions in Fiscal Year 2025, the Most in the CountryRead the Press Release
NEWARK – The U.S. Attorney’s Office for the District of New Jersey announced today that it collected $1,507,147,950.92 in criminal and civil actions in Fiscal Year 2025—the most of any U.S. Attorney’s Office in the country. Of this amount, $1,449,394,479.05 was collected in criminal actions and $57,753,471.87 was collected in civil actions.
The District of New Jersey also worked with other U.S. Attorney’s Offices and components of the Department of Justice to collect an additional $154,991,037.56 in cases pursued jointly by these offices. Of this amount, $63,222.72 was collected in criminal actions and $154,927,814.84 was collected in civil actions. In addition, the District of New Jersey, working with partner agencies and divisions, collected $348,488,011 in asset forfeiture actions, the second most in the country.
“In fiscal year 2025, the U.S. Attorney’s Office for the District of New Jersey outpaced the rest of the country, recovering more than $1.5 billion in criminal and civil actions. The District also recovered more than $348 million in asset forfeiture actions, as well as tens of millions more through other proceedings. As our fiscal year 2025 results demonstrate, the District of New Jersey is dedicated to holding defendants accountable for their wrongdoing, seizing ill-gotten gains from offenders, recovering debts owed to the United States in bankruptcy, and recovering funds for crime victims."
- U.S. Attorney Robert Frazer
Significant recoveries include more than $1.43 billion in fines and more than $328 million in criminal forfeiture from TD Bank, N.A. and TD Bank US Holding Company in connection with the companies’ guilty pleas stemming from their pervasive, systemic anti-money laundering failures. TD Bank was the largest bank in U.S. history to plead guilty to Bank Secrecy Act program failures and the first US bank in history to plead guilty to conspiracy to commit money laundering.
The District of New Jersey also had significant recoveries in civil forfeiture actions, including a civil forfeiture complaint to forfeit the proceeds of fraudulently obtained Paycheck Protection Program loans. In that civil forfeiture action, the government forfeited nearly $7 million in funds, as well as a residential property with an estimated market value of over $2 million.
With respect to the District of New Jersey’s affirmative civil enforcement practice, two Pennsylvania companies and one South Carolina company affiliated with Rema Tip Top of America, Inc. entered into a $13 million settlement agreement with the United States resolving allegations that the companies violated the False Claims Act by taking a total of five Paycheck Protection Program (PPP) loans to which the companies were not entitled.
The U.S. Attorneys’ Offices, along with the department’s litigating divisions, are responsible for enforcing and collecting civil and criminal debts owed to the U.S. and criminal debts owed to federal crime victims. The law requires defendants to pay restitution to victims of certain federal crimes who have suffered a physical injury or financial loss. While restitution is paid to the victim, criminal fines and felony assessments are paid to the department’s Crime Victims Fund, which distributes the funds collected to federal and state victim compensation and victim assistance programs. Forfeited assets deposited into the Department of Justice Assets Forfeiture Fund are used to restore funds to crime victims and for a variety of law enforcement purposes. Recoveries in bankruptcy are returned to the federal agencies that are creditors in the case.
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Essex County Man Sentenced to 149 Months in Prison for Robbing Drugstore Employees at Gun PointRead the Press Release
NEWARK N.J. – An Essex County man who robbed pharmacy employees at gun point was sentenced today to 149 months in prison and 5 years of supervised release before the Honorable William J. Martini, U.S.D.J., in Newark federal court, U.S. Attorney Robert Frazer announced.
Following a jury trial in October 2025 before U.S. District Judge William J. Martini in Newark federal court, Nariq Petes, 27, of Newark, was convicted of conspiracy to commit Hobbs Act robbery, in violation of 18 U.S.C. § 1951(a), Hobbs Act robbery, in violation of 18 U.S.C. § 1951(a), and using and brandishing a firearm during and relation to a crime of violence, in violation of 18 U.S.C. § 924(c)(1)(A)(ii).
According to court documents and evidence presented at trial:
On December 30, 2023, Petes and Xavier Reyes drove together and entered a pharmacy in Livingston, New Jersey wearing black masks and carrying guns. Once inside the pharmacy, Petes and Reyes brandished handguns and demanded prescription drugs. Petes and Reyes took at least 6 bottles of prescription medication. Three days later, on January 2, 2024, law enforcement arrested Petes at his apartment in Newark, where he was found with stolen medication from the pharmacy. In May 2025, Reyes pled guilty to conspiracy to commit Hobbs Act robbery, in violation of 18 U.S.C. § 1951(a) and Hobbs Act robbery, in violation of 18 U.S.C. § 1951(a), and was later sentenced to 111 months’ imprisonment and a three-year term of supervised release.
U.S. Attorney Robert Frazer credited special agents and task force officers of the Federal Bureau of Investigation, under the direction of Special Agent in Charge Stefanie Roddy, the Bureau of Alcohol, Tobacco, Firearms and Explosives, under the direction of Special Agent in Charge Beau Kolodka, members of the Livingston Police Department, under the direction of Gary Marshuetz, and members of the Essex County Prosecutor's Office, under the direction of Theodore N. Stephens II, with the investigation leading to these convictions.
The government is represented by Assistant U.S. Attorney Michael K. O’Leary of the Narcotics/International Trafficking Unit in Newark.
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Defense counsel: Pasquale F. Giannetta Esq., Newark
New Jersey Tax Preparer Sentenced to 144 Months in Prison for $170 Million COVID-19 Tax Credit SchemeRead the Press Release
NEWARK N.J. – A New Jersey tax preparer who sought more than $170 million in fraudulent COVID-19-related tax refunds was sentenced today to 144 Months in prison and 5 years of supervised release before the Honorable William J. Martini, in Newark federal court, U.S. Attorney Robert Frazer announced. Haynes was also ordered to pay more than $55 million in restitution to the Internal Revenue Service.
Following a six-day jury trial in November 2025 before U.S. District Judge William J. Martini in Newark federal court, Leon Haynes, 52, of Teaneck, was convicted of 15 counts of aiding and assisting in the preparation and presentation of false tax returns, one count of mail fraud, and two counts of tax evasion. This is the largest COVID-19 tax relief fraud case to be tried to date in the country.
“Pandemic relief programs were created to support Americans during a national crisis, but Haynes—a tax preparer entrusted to help people comply with the law—treated those programs as a personal cash machine. Our office will continue to pursue those who exploit emergency relief programs and hold them accountable for stealing from the American people.”
- U.S. Attorney Rob Frazer
According to documents in this case and evidence at trial:
In response to the COVID-19 pandemic and its economic impact, Congress authorized an employee retention tax credit and sick and family leave credit that small businesses could use to help keep their business afloat and employees on payroll.
From November 2020 to May 2023, Haynes orchestrated a massive, multimillion dollar scam to exploit those COVID-related tax credits for his own greed. As a tax preparer, Haynes prepared and submitted, and worked with others to prepare and submit, more than 1,900 false employment tax returns to the IRS claiming COVID-related tax credits on behalf of himself and his clients. Each of these tax forms contained a number of false statements. For example, the vast majority of the tax forms claimed a fictitious number of employees and/or fabricated wages.
Haynes and his co-conspirators fraudulently sought more than $170 million in tax refunds on behalf of his own businesses and his clients and successfully caused the government to pay out over $55 million in refunds.
Throughout the scheme Haynes also charged clients a percentage of the refund checks as his fee and requested cash payments. He failed to report the money he received from his clients, thereby evading his own taxes.
U.S. Attorney Robert Frazer credited special agents the IRS – Criminal Investigation, under the direction of Special Agent in Charge Jenifer L. Piovesan; special agents of the Social Security Administration, Office of the Inspector General, under the direction of Special Agent in Charge Amy Connelly, and postal inspectors from the U.S. Postal Inspection Service, under the direction of Inspector in Charge Christopher Nielsen, Philadelphia Division, with the investigation.
The government is represented by Assistant U.S. Attorneys Fatime Meka Cano, Matthew Stark, and Peter A. Laserna of the U.S. Attorney’s Office Criminal Division in Newark.
The District of New Jersey COVID-19 Fraud Enforcement Strike Force is one of five strike forces established throughout the United States by the U.S. Department of Justice to investigate and prosecute COVID-19 fraud. The strike forces focus on large-scale, multi-state pandemic relief fraud perpetrated by criminal organizations and transnational actors. The strike forces are interagency law enforcement efforts, using prosecutor-led and data analyst-driven teams designed to identify and bring to justice those who stole pandemic relief funds.
The Department of Justice has established the National Fraud Enforcement Division. The core mission of the National Fraud Enforcement Division is to zealously investigate and prosecute those who steal or fraudulently misuse taxpayer dollars. The National Fraud Enforcement Division will fulfill that mission by coordinating with agencies responsible for administering benefit programs; partnering with federal, tribal, state, territorial, and local law enforcement on fraud-fighting efforts; developing systems and processes that ensure efficient identification of fraud against taxpayer dollars; and equipping prosecutors and law enforcement with state-of-the-art tools and resources needed to bring criminal actors to justice. The attorneys in the National Fraud Enforcement Division will work every day to protect the financial integrity of our government and the tax system that supports it.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
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Defense Counsel for Haynes: Michael Koribanics, Esq., and Vando Cardoso, Esq.
Middlesex County Man Charged with Child Pornography OffensesRead the Press Release
TRENTON, N.J. – An Old Bridge, New Jersey man was arrested and charged with child pornography offenses, U.S. Attorney Robert Frazer announced today.
Daniel Berwick, 38, was charged by criminal complaint with two counts of producing child pornography and one count of possession of child pornography. Berwick made his initial appearance before U.S. Magistrate Judge Rukhsanah L. Singh in Trenton federal court today and was detained.
According to documents filed in this case and statements made in court:
In August and September 2025, Berwick persuaded and enticed Minor Victim-1 and Minor Victim-2 to send him photos and video recordings on the social media platform Snapchat that depicted the minors engaged in sexual activity. As part of his scheme, Berwick catfished his victims by presenting himself as a 17-year-old high school student and appropriating the photos and video recordings of an adult content creator. Law enforcement became aware of Berwick after Minor Victim-1 reported him on Snapchat after he threatened to send compromising photos of her to her family and officials at her high school. After searching Berwick’s electronic devices, law enforcement uncovered, among other things at least 1,000 images of child pornography, including prepubescent minors engaged in sexually explicit conduct, sexual abuse or exploitation of an infant or toddler, and images portraying sadistic or masochistic conduct.
The production of child pornography charges each carries a mandatory minimum term of 15 years imprisonment and a maximum term of 30 years imprisonment, and a fine of up to $250,000.
The possession of child pornography charge carries a maximum term of 20 years imprisonment, which is increased from a maximum of 10 years because at least one image associated with the offense includes a prepubescent minor, and a fine of up to $250,000.
U.S. Attorney Frazer credited special agents with the Federal Bureau of Investigation, under the direction of Special Agent in Charge Stefanie Roddy in Newark, with the investigation leading to the charges. He also thanked the Middlesex County Prosecutor’s Offense, under the direction of Prosecutor Linda Estremera, and the Old Bridge Police Department, under the direction of Chief of Police Thomas J. Montagna, for their assistance in the investigation.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and the Child Exploitation and Obscenity Section (CEOS) in the Justice Department’s Criminal Division, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit: https://www.justice.gov/psc.
The government is represented by Assistant U.S. Attorney Jonathan S. Garelick of the U.S. Attorney’s Office Criminal Division in Trenton.
The charges and allegations contained in the complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
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Defense counsel: Robert C. Scrivo, Esq., Mandelbaum Barrett PC
berwick.complaint.pdfAir Force Officer Indicted for Child Exploitation OffensesRead the Press Release
TRENTON, N.J. – A Burlington County, New Jersey, man was indicted yesterday for various child exploitation offenses, U.S. Attorney Robert Frazer announced.
Gabriel Perez, 31, of Eastampton, New Jersey, was charged in a two-count Superseding Indictment with attempted enticement and coercion of a minor, in violation of Title 18, United States Code, Section 2422(b) (Count One), and attempted transfer of obscene materials to a minor, in violation of Title 18, United States Code, Section 1470 (Count Two).
According to documents filed in this case and statements made in court:
Beginning in mid-August 2024, Perez, who was then 29 years old and an officer in the United States Air Force, communicated over Reddit with an undercover law enforcement officer who purported to be a 14-year-old girl. Over the course of two weeks, Perez expressed his interest in meeting with the purported minor for sex. On August 28, 2024, Perez sent an obscene photograph of himself to the purported minor and arranged to meet her the next day to engage in unlawful sexual activity. On August 29, 2024, Perez drove to the pre‑arranged meeting location and was arrested by law enforcement with condoms in his pocket.
If convicted, Perez faces a mandatory minimum prison sentence of ten years’ imprisonment and a maximum sentence of life imprisonment on Count One of the Superseding Indictment and a maximum prison sentence of ten years’ imprisonment on Count Two of the Superseding Indictment. Each of the offenses carry a maximum fine of $250,000.
U.S. Attorney Robert Frazer credited law enforcement members with the Air Force Office of Special Investigation, under the direction of Special Agent in Charge Rebecca Bates, with the investigation leading to the charges. He also thanked the Burlington County Prosecutor’s Office and the Eastampton Police Department for their assistance with the investigation.
The government is represented by Assistant U.S. Attorneys Matt Belgiovine and Richard Shephard of the Criminal Division in Trenton.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and the Child Exploitation and Obscenity Section (CEOS) in the Justice Department’s Criminal Division, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit: https://www.justice.gov/psc.
The charges and allegations contained in the Superseding Indictment are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
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Defense counsel: Ray Mateo, Esq. and Emily Arezzi, Esq.
perez.indictment.pdfFormer Employee of National Industrial Company Pleads Guilty to Crimes Related to Hacking Computer Networks and Extorting EmployeesRead the Press Release
TRENTON, N.J. – A Missouri man has pleaded guilty to crimes related to his hacking of computer networks and extortion of employees, U.S. Attorney Robert Frazer announced.
Daniel Rhyne, 59, of Kansas City, Missouri, pleaded guilty on April 1, 2026 before U.S. District Judge Michael A. Shipp in Trenton federal court to an information charging him with extortion in relation to a threat to cause damage to a protected computer and intentional damage to a protected computer.
According to documents filed in this case and statements made in court:
Rhyne, then a New Jersey resident, worked as a core infrastructure engineer at a U.S.-based industrial company headquartered in New Jersey (“Victim-1”). In or around November 2023, Rhyne took steps to execute a scheme to hack Victim-1’s computer network and extort Victim-1 into paying a ransom. Specifically, and among other things, Rhyne initiated unauthorized remote desktop sessions and prepared for the attack by scheduling tasks that would trigger damage to Victim-1’s network. These tasks included deleting network administrator accounts, changing passwords to certain other Victim-1 accounts, and shutting down multiple Victim-1 servers. On November 25, 2023, Rhyne began deploying the scheduled tasks and, on the same date, sent an extortion email to Victim-1 employees in which he threatened to continue shutting down Victim-1 servers unless and until he received approximately 20 bitcoin, which, at the time, was valued at approximately $750,000.
The extortion charge to which Rhyne pleaded guilty carries a maximum penalty of five years in prison, and the intentional damage to a protected computer violation to which Rhyne pleaded guilty carries a maximum penalty of 10 years in prison. Each violation also carries a maximum fine of $250,000 or twice the gross amount of gain or loss from the offense, whichever is greatest.
U.S. Attorney Frazer credited special agents of the Federal Bureau of Investigation’s Newark Field Office, under the direction of Special Agent in Charge Stefanie Roddy, with the investigation. He also thanked the FBI Kansas City, under the direction of Special Agent in Charge Stephen A. Cyrus, for its assistance.
The government is represented by Assistant U.S. Attorney Robert Taj Moore of the Cybercrime Unit in Newark.
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Defense counsel: Jonathan F. Marshall, Esq.
New Jersey Emergency Medical Services Company Owner Admits Tax EvasionRead the Press Release
NEWARK, N.J. – The owner of several New Jersey companies, including an emergency medical services company, pleaded guilty to willfully evading taxes, U.S. Attorney Robert Frazer announced today.
Louis V. Greco III, 38, of Highland Mills, NY, pleaded guilty before U.S. District Court Judge Georgette Castner in Trenton federal court today, to an information charging him with tax evasion for tax years 2018 to 2022.
According to documents filed in this case and statements made in court:
Greco owned NJ Mobile Health Care LLC (“NJMHC”), an emergency medical services company that provided ambulance services out of Mahwah, New Jersey. Beginning in or around 2018, Greco caused NJMHC to fail to pay over payroll taxes that were collected from NJMHC’s employees. After the IRS began efforts to collect the outstanding payroll taxes, Greco opened SSME Services LLC (“SSME”) and moved NJMHC’s employees to SSME. Greco then caused SSME to fail to pay to the IRS payroll taxes that were collected from SSME’s employees. After the IRS began efforts to collect the outstanding payroll taxes owed by SSME, Greco opened Lime Line Operations LLC (“LLO”), and moved employees that were previously under NJMHC and SSME’s payrolls to LLO’s payroll. From 2018 to 2022, Greco caused these three companies to fail to pay to the IRS more than $1.4 million in payroll taxes, as well as over $400,000 in Trust Fund Recovery Penalties the IRS assessed against Greco for causing the three companies to fail to pay their employment taxes.
The tax evasion charge carries a maximum potential penalty of five years in prison and a $250,000 fine. Sentencing is scheduled for August 5, 2026.
U.S. Attorney Frazer credited special agents of IRS-Criminal Investigation, under the direction of Special Agent in Charge Jenifer L. Piovesan in Newark, with the investigation leading to the guilty plea.
The government is represented by Assistant U.S. Attorney Peter A. Laserna, Deputy Chief of the Bank Integrity, Money Laundering and Recovery Unit.
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Defense counsel: Kevin G. Walsh, Esq., Florham Park, New Jersey
Jude Roberto Cardenas, Esq., Carle Place, New York
greco.information.pdfGeorgia Man Charged with Christmas Eve KidnappingRead the Press Release
NEWARK, N.J. – A Georgia man was charged with kidnapping his former girlfriend on or about December 24, 2025 and transporting her to New Jersey without her consent after shooting her in his car, U.S. Attorney Robert Frazer announced today.
Jovan Young, 37, was charged by a two-count complaint with one count of kidnapping and one count of unlawful possession of a firearm and ammunition. He had an initial appearance earlier today before U.S. Magistrate Judge James B. Clark, III in Newark federal court and was ordered detained.
According to documents filed in this case and statements made in court:
On or about the evening of December 24, 2025, Young and the victim, who had been traveling from Georgia to New York to celebrate Christmas with the victim’s family, engaged in a dispute while they were driving in Young’s car in New York. At that time, Young pulled out a gun and shot the victim in her abdomen, paralyzing her. Young then transported the victim from New York to New Jersey without her consent and trapped her in Young’s vehicle for several hours after the shooting before leaving her on the side of the road in or around Denville, New Jersey, where she was later found by law enforcement. Following Young’s arrest on December 25, 2025, he was found to be in possession of a firearm with a green laser that matched the victim’s description of the gun that he used to shoot her.
The kidnapping charged in Count One is punishable by a maximum penalty of life in prison. The unlawful possession of a firearm and ammunition charged in Count Two is punishable by a maximum penalty of 15 years in prison. Both are also punishable by a fine of $250,000, or twice the gross loss or gain, whichever is greatest.
U.S. Attorney Frazer credited special agents of the Federal Bureau of Investigation’s North Jersey Violent Crimes Task Force, under the direction of Special Agent in Charge Stefanie Roddy, the Morris County Prosecutor’s Office Major Crimes Unit, under the direction of Prosecutor Robert J. Carroll, and the Denville Police Department Detective Bureau, under the direction of Chief Scott Welsch, with the investigation leading to the charge. He also thanked the Boonton Police Department for their assistance.
The government is represented by Assistant U.S. Attorney Jessica L. Guarracino of the Organized Crime and Gangs Unit of the U.S. Attorney’s Office.
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young.complaint.pdfNew Jersey Man Admits to Stealing More Than $1 Million in Investment Fraud Scheme involving Elderly VictimsRead the Press Release
NEWARK, NJ. – A New Jersey man admitted to a scheme to defraud elderly and other victims out of more than $1 million that he told the victims he would invest on their behalf or otherwise use for their benefit, U.S. Attorney Robert Frazer announced.
Antonio Petrosino, a/k/a Anthony Petrosino, 60, of Union City, New Jersey, pleaded guilty before U.S. District Judge Stanley R. Chesler on March 25, 2026 to Count One of an Indictment charging him with wire fraud.
According to documents filed in the case and statements made in court:
From in or around January 2016 through in or around November 2024, Petrosino fraudulently induced the victims to transfer investment funds, mortgage payments, and other money to Petrosino. As part of the scheme to defraud, Petrosino held himself out to be a financial services professional to his victims and falsely led them to believe that he would invest the victims’ money in brokerage accounts and other investment products or otherwise use it for their benefit. To perpetuate his fraud, Petrosino provided one elderly victim with falsified investment statements that purported to show that she had hundreds of thousands of dollars deposited in various investment accounts in her name. Petrosino also made various statements to victims assuring them that their money had been invested or used as promised.
In reality, Petrosino failed to invest the victims’ funds or otherwise use victim monies for the victims’ benefit as promised. Instead, Petrosino misappropriated the money to pay for his personal expenses, including gambling, credit card payments, and rent on his luxury apartment unit. When confronted by victims about the status of the money they sent to Petrosino, he provided the victims and their family members false reassurances about the status of the victims’ funds to cover up his fraud. In total, Petrosino stole approximately $1.1 million from the victims.
The wire fraud charge that Petrosino pleaded guilty to carries a maximum penalty of 20 years in prison and a $250,000 fine, or twice the gross amount of gain or loss from the offense, whichever is greatest. Sentencing is scheduled for August 5, 2026.
U.S. Attorney Frazer credited special agents of the FBI, under the direction of Special Agent in Charge Stefanie Roddy in Newark; special agents of the Board of Governors of the Federal Reserve System - Consumer Financial Protection Bureau, Office of Inspector General, under the direction of Special Agent in Charge Brian Tucker; and the Wyckoff Police Department, under the direction of Chief David V. Murphy, with the investigation leading to Petrosino’s indictment.
The government is represented by Assistant U.S. Attorney Jennifer Kozar, Co-Chief of the U.S. Attorney’s Office’s General Crimes Unit, and Assistant U.S. Attorney Sean Nadel of the Narcotics and International Trafficking Unit in Newark.
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Defense counsel: Michael A. Thomas, Esq., Assistant Federal Public Defender, Newark
petrosino.indictment.pdfMonmouth County Man Convicted of Defrauding Social Security AdministrationRead the Press Release
NEWARK, N.J. – A Monmouth County man was convicted of defrauding the Social Security Administration following a four-day trial, U.S. Attorney Robert Frazer announced.
Steven D. Stankovits, 57, of Matawan, New Jersey, was convicted by a federal jury on March 5, 2026, of four counts of wire fraud and one count of false statements to the Social Security Administration, all related to his receipt of Disability Insurance Benefits, following a trial before U.S. District Judge Zahid N. Quraishi in Trenton federal court.
According to documents filed in this case and statements made in court:
In May 2010, Stankovits was found eligible for Social Security Disability Insurance Benefits, and received benefits retroactive to 2007. This finding of eligibility was based on lies to the Social Security Administration, including that Stankovits was unable to work, could not comfortably sit for more than 15 minutes, could not bend down to put on his clothes, struggled to lift a carton of milk, and had been forced to give up skiing. Stankovits failed to correct and reiterated these lies through statements and written submissions to the Social Security Administration over the next ten years. As a result, the Social Security Administration paid more than $585,000 in disability benefits.
In fact, Stankovits was a licensed funeral director working at two different funeral homes. Stankovits’s work included gardening, shoveling snow, carrying 160-pound caskets down a flight of stairs, and climbing a ladder onto the roof to install a sign. In addition, Stankovits took long flights to go skiing in Cortina, Italy, Lake Tahoe, and Park City, Utah, and purchased a skiing season pass in Killington, Vermont. All of this conduct was incompatible with Stankovits’s repeated lies to the Social Security Administration for nearly 15 years.
“For nearly 15 years, Steven Stankovits exploited the Social Security Administration’s disability insurance program,” said U.S. Attorney Robert Frazer. “By repeatedly lying about his work and physical disability, Stankovits collected more than half a million dollars in fraudulent benefits. This conviction sends a clear message: those who lie to obtain government benefits will be identified, prosecuted, and brought to justice.”
“Today’s guilty verdict holds Steven Stankovits accountable for a nearly 15-year scheme that exploited Social Security’s disability insurance program for personal gain. By committing wire fraud and making false statements to the Social Security Administration, he stole funds intended for individuals who truly depend on these benefits,” said Michelle L. Anderson, Assistant Inspector General for Audit as First Assistant. “We will continue to work with our law enforcement partners to investigate and pursue those who attempt to defraud Social Security programs and ensure they are brought to justice.”
The wire fraud charges carry a maximum potential penalty of 20 years’ imprisonment. The false statements charge carries a maximum potential penalty of 5 years’ imprisonment. Both charges carry a maximum potential fine equal to the greatest of $250,000, twice the gain to the defendant, or twice the loss to the Social Security Administration.
U.S. Attorney Robert Frazer credited agents of the Social Security Administration Office of the Inspector General, New York Field Division, under the direction of Special Agent-in-Charge Conor Washington, and the Social Security Administration’s New Jersey-based Cooperative Disability Investigations Unit, under the direction of Assistant Special Agent-in-Charge, Gilberto Camilo.
The government is represented by Assistant U.S. Attorneys Eli Jacobs and Alison Thompson of the Organized Crime and Gangs Unit of the U.S. Attorney’s Office.
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Defense counsel: Charles Alvarez, Esq.
stankovits.indictment.pdfIndiana Man Charged for Coercing Minor to Engage in Self-Harm and Possession of Images of Child Sexual AbuseRead the Press Release
NEWARK, N.J. – An Indiana man was charged with stalking a minor child in the District of New Jersey over the internet and enticing her to harm herself, and possessing images of child sexual abuse, U.S. Attorney Robert Frazer announced.
Billy Joe Holman, a/k/a “William Holman,” 26, of West Lebanon, Indiana, was charged in a two-count complaint with cyber stalking and possession of child pornography. He had an initial appearance yesterday, before U.S. Magistrate Judge Scott J. Frankel in federal court in the Northern District of Indiana and was ordered detained.
According to documents filed in this case and statements made in court:
Holman met the minor female victim (“Victim 1”) in or around October 2025 on a social media platform. Holman systematically targeted Victim 1—whom he knew to be 12 years old—by grooming, coercing, and otherwise compelling her to carry out his orders. Holman used coercive control, a pattern of behavior used to dominate another person through manipulation, including the weaponization of affection followed by verbal abuse or threats, to direct Victim 1’s actions. Over the course of approximately a month, Holman coerced Victim 1 to harm herself by, among other things, carving Holman’s initials into her skin and punching herself in the stomach on video and sending that video to Holman. Holman also demanded Victim 1 to take photographs of herself that constituted images of child sexual abuse materials and sending them to Holman.
The charge of stalking carries a maximum penalty of 10 years in prison, and possession of child pornography carries a statutory maximum penalty of 10 years in prison. Holman is also facing a fine of up to $250,000.
U.S. Attorney Frazer credited the Newark and Indianapolis Joint Terrorism Task Forces of the Federal Bureau of Investigation, under the direction of Special Agent in Charge Stefanie Roddy in Newark, New Jersey, and Special Agent in Charge Timothy O’Malley in Indianapolis, Indiana, the Morris County Sheriff’s Office, under the direction of Sheriff James M. Gannon, and the Dover Police Department, under the direction of Chief Jonathan Delaney, with the investigation leading to the charge. He also thanked the U.S. Attorney’s Office for the Northern District of Indiana, under the direction of United States Attorney Adam L. Mildred.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and the Child Exploitation and Obscenity Section (CEOS) in the Justice Department’s Criminal Division, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit: https://www.justice.gov/psc.
The government is represented by Assistant U.S. Attorney Sammi Malek of the National Security Unit in Newark, with assistance from Trial Attorneys Justin Sher and James Donnelly of the U.S. Department of Justice’s Counterterrorism Section of the National Security Division.
The charges and allegations contained in the complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
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Hoboken, New Jersey Man Charged with Possession and Making of Molotov CocktailsRead the Press Release
NEWARK, N.J. – A Hoboken, New Jersey man was charged with unlawful possession and making of destructive devices, U.S. Attorney Robert Frazer announced.
Alexander Heifler, 26, was charged by a two-count complaint with one count of unlawful possession of destructive devices and one count of making destructive devices. Heifler’s initial appearance before U.S. Magistrate Stacey D. Adams is scheduled in Newark federal court at 2:00 pm.
As alleged in a criminal complaint, a Hudson County man has been charged in connection with a plot to construct and use improvised incendiary devices targeting another individual’s residence. This is an ongoing investigation. There is no current threat to the community. We thank our law enforcement partners for their work in identifying and removing this potential threat to the citizens of New Jersey.
The charges of unlawful possession of destructive devices and making of destructive devices each carries a maximum penalty of 10 years in prison and a maximum fine of $10,000.
U.S. Attorney Frazer credited the New York and Newark Field Offices of the Federal Bureau of Investigation, under the direction of Assistant Director in Charge James Barnacle in New York, New York and Special Agent in Charge Stefanie Roddy in Newark, New Jersey, the New York Police Department, under the direction of Commissioner Jessica S. Tisch, and the Hoboken Police Department, under the direction of Chief Steven Aguiar with the investigation leading to the charge. He also thanked the U.S. Attorney’s Office for the Southern District of New York, under the direction of United States Attorney Jay Clayton.
The government is represented by Timothy M. Lanni, Acting Deputy Chief of the Criminal Division, with assistance from the Office’s National Security Unit.
The charges and allegations contained in the complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
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heifler.complaint.pdfFormer Hudson County Parks Department Director and Vendor Admit to Participating in a Bribe and Kickback Scheme; Second Former Hudson County Parks Department Director ChargedRead the Press Release
NEWARK, N.J. – Former Hudson County Parks Department Director Thomas A. DeLeo (“DeLeo”) and business owner William A. Murray each pleaded guilty to conspiracy to commit honest services fraud, Special Attorney Jordan Fox announced. DeLeo also admitted to conspiring to launder the proceeds of the scheme.
Special Attorney Fox also announced that Russell Fallacara, who succeeded DeLeo as Hudson County Parks Department Director, has been charged by complaint with conspiracy to commit honest services fraud and conspiracy to commit money laundering for his role in the scheme.
On March 5, DeLeo, 76, of Little Silver, pleaded guilty before U.S. District Judge Claire C. Cecchi to a two-count Information charging him with conspiracy to commit honest services fraud and conspiracy to commit money laundering. On March 17, Murray, 56, of Jersey City, also pleaded guilty before Judge Cecchi to an Information charging him with conspiracy to commit honest services fraud. On March 20, Fallacara, 58, of Bayonne, made his initial appearance before U.S. Magistrate Judge André M. Espinosa and was released on bond.
According to documents filed in this case and statements made in court:
The conspiracy, which operated from in or around 2019 through in or around 2024, involved more than $1.5 million in bribes and kickbacks. Murray made the payments to DeLeo and Fallacara so that Murray’s company would be awarded contracts to work on various Hudson County Parks Department projects, including but not limited to landscape maintenance, paving, and general contracting projects. The bribes and kickbacks often came in the form of cash payments to DeLeo and Fallacara. In one instance, DeLeo received a bag containing between approximately $60,000 and $90,000 in cash. In other instances, DeLeo received money that was transmitted through a consulting company specifically formed to receive bribes and kickbacks, in order to conceal the source and nature of the payments. As alleged, Fallacara received over $400,000 in cash bribes and kickback payments. Other bribes and kickbacks came in the form of free home repairs and renovations for DeLeo, Fallacara, and their associates.
During their respective tenures as Parks Department Director, DeLeo and Fallacara took official action in exchange for bribes and kickbacks to ensure that Hudson County awarded various contracts to Murray’s company, which, over the course of the conspiracy, performed over $5 million of work for Hudson County.
Both the conspiracy to commit honest services fraud charge and the conspiracy to commit money laundering charge carry a maximum penalty of 20 years’ imprisonment.
Special Attorney Fox credited special agents of the FBI’s Newark Field Office, under the direction of Special Agent in Charge Stefanie Roddy, and special agents with the U.S. Department of Labor, Office of Inspector General, Northeast Region, under the direction of Special Agent in Charge Jonathan Mellone, with the investigation leading to the prior convictions and today’s charges.
The government is represented by Assistant U.S. Attorneys Matthew Specht and Francesca Liquori of the U.S. Attorney’s Office’s Special Prosecutions Division and Assistant U.S. Attorney Jason Goldberg, Chief of the Narcotics and International Trafficking Unit.
The charges and allegations contained in the complaint are merely allegations, and the defendant is presumed innocent unless and until proven guilty.
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Defense counsel:
David A. Schwartz, Esq. and Michael J. Pappa, Esq. (for Thomas DeLeo)
Joel Silberman, Esq. (for Russell Fallacara)
John J. Bruno, Jr., Esq. (for William Murray)
fallacara.complaint.pdf murray.information.pdf deleo.information.pdfChiropractor Sentenced to 43 Months in Prison for $14.9 Million Health Care Fraud and Kickback Scheme Related to Durable Medical Equipment and Cancer Genetic TestingRead the Press Release
NEWARK, N.J. – A Georgia chiropractor was sentenced to 43 months in prison for her role in a $14.9 million health care fraud and illegal kickback conspiracy, Senior Counsel Philip Lamparello announced.
“This defendant built a business model around fraud—using kickbacks, sham arrangements, and medically unnecessary equipment to siphon millions from Medicare. Health care programs exist to serve patients, not to bankroll schemes like this one. Today’s sentence holds her accountable and underscores that those who abuse our federal health care system for profit will face serious consequences.”
- Senior Counsel Philip Lamparello
Teflyon Cameron, 59, of Powder Springs, Georgia, previously pleaded guilty before U.S. District Judge Michael E. Farbiarz on March 2, 2026, in Newark federal court to an Information charging her with conspiracy to commit health care fraud and conspiracy to violate the Federal Anti-Kickback statute.
According to documents filed in this case and statements made in court:
For several years, Cameron conspired to defraud health insurers, including Medicare, by causing the submission of claims for medically unnecessary Durable Medical Equipment (DME) and Cancer Genetic Tests (CGx). In total, Cameron and her conspirators caused a loss to Medicare of more than $14.9 million, and Cameron pocketed more than $1.3 million in fraud proceeds.
Cameron and her conspirators owned, operated, and had a financial interest in DME companies through which they obtained doctors’ orders for durable medical equipment, namely orthotic braces, for Medicare beneficiaries without regard to medical necessity. Cameron and her conspirators obtained DME orders using marketing call centers and telemedicine companies, caused the submission of false and fraudulent claims to Medicare, and paid illegal kickbacks.
Cameron and her conspirators also owned, operated, and had a financial interest in a CGx company through which she agreed to provide a clinical laboratory with leads of beneficiaries who were qualified to receive federal health care benefits for cancer genetic tests. Cameron submitted invoices to the clinical laboratory seeking payment on a per-lead basis, but entered into a sham agreement to disguise kickback and bribe payments.
Senior Counsel Philip Lamparello credited the following law enforcement organizations with the investigation leading to the sentencing: the Federal Bureau of Investigation, under the direction of Special Agent in Charge Stefanie Roddy; the U.S. Department of Health and Human Services Office of Inspector General, under the direction of Special Agent in Charge Naomi Gruchacz; and U.S. Department of Defense, Office of Inspector General, Defense Criminal Investigative Service, Northeast Field Office, under the direction of Special Agent in Charge Christopher M. Silvestro.
The government is represented by Assistant U.S. Attorney Matthew Specht of the Health Care Fraud & Opioids Enforcement Unit.
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Defense counsel:
Melissa L. Jampol, Esq.
Essex County Man Convicted of Drug Distribution and Illegal Possession of Firearm and AmmunitionRead the Press Release
NEWARK, N.J. – An Essex County man was convicted of firearm and narcotics offenses following a three-day trial, Senior Counsel Philip Lamparello announced.
Mookadean Cheeseboro, 38, of Newark, was convicted by a federal jury on February 11, 2026, of unlawful possession of a firearm and ammunition by a convicted felon, and possession with the intent to distribute fentanyl and cocaine following a trial before U.S. District Judge Madeline Cox Arleo in Newark federal court.
According to documents filed in this case and statements made in court:
On December 20, 2021, while executing a search warrant, New Jersey State Police officers saw Cheeseboro engaged in drug trafficking. When State Police detectives searched Cheeseboro, they found 74 doses of cocaine and fentanyl packaged for sale and a key to a vehicle. When detectives opened the vehicle, they found a .380 caliber handgun and thirty rounds of ammunition. Cheeseboro admitted in a post-arrest statement that he possessed the drugs and had the firearm for his protection.
The felon in possession charge carries a maximum potential penalty of 10 years of imprisonment and a $250,000 fine. The possession with intent to distribute controlled substances charge carries a maximum potential penalty of 20 years of imprisonment and a $1,000,000 fine.
Cheeseboro was previously convicted in 2015 of unlawful possession of a firearm by a convicted felon in the United States District Court for the District of New Jersey. U.S. District Judge William J. Martini sentenced him to serve 70 months’ imprisonment for that offense.
Senior Counsel Lamparello credited with the investigation special agents of the Drug Enforcement Administration, under the direction of Special Agent in Charge Towanda R. Thorne-James, as well as the New Jersey State Police, under the direction of Acting Superintendent Lt. Col. Jeanne Hengemuhle, with the investigation leading to this conviction.
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. Operation Take Back America streamlines efforts and resources from the Department’s Organized Crime Drug Enforcement Task Forces (OCDETFs) and Project Safe Neighborhood (PSN).
The government is represented by Assistant U.S. Attorneys John M. Maloy, of the Organized Crime/Gangs Unit, and Kelly M. Lyons, Acting Chief of the Narcotics and International Trafficking Unit.
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Defense counsel: F. R. “Chip” Dunne, III, Esq.
cheeseboro.indictment.pdfEmployee at High-End Car Dealerships Sentenced for Tax FraudRead the Press Release
NEWARK, N.J. – A New York man was sentenced on February 26, 2026, to 18 months in prison for failing to report over $1.6 million in income on his federal income tax returns that he embezzled from his employer, Senior Counsel Philip Lamparello announced.
Jooyeong Lee of Westbury, New York previously pleaded guilty before U.S. District Judge Katharine S. Hayden in Newark federal court to an information charging him with filing a false federal income tax return. Judge Hayden imposed the sentence.
According to documents filed in this case and statements made in court:
From approximately 2015 through 2021, Lee embezzled over $1.6 million from various high-end car dealerships in New Jersey where he worked. When he filed his tax returns, Lee failed to report or pay tax on the funds as income. Over seven years, Lee caused a tax loss of $494,082.
Senior Counsel Lamparello credited special agents of the Internal Revenue Service – Criminal Investigation, under the direction of Special Agent in Charge Jenifer Piovesan in Newark, with the investigation that led to the sentencing in this case.
The government is represented by Assistant U.S. Attorney Casey S. Smith of the Criminal Division in Newark.
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Defense counsel: Jason A. Seidman, Esq.
Owner and Operations Manager of Wholesale Drug Distributor Admit Conspiring to Divert Nearly $50m of Cancer Medication to Sell Illegally for ProfitRead the Press Release
NEWARK, N.J. – Two North Jersey men have admitted to conspiring with doctors and others to purchase nearly $50 million worth of oncology and ophthalmology medications, under false pretenses, and then diverting and reselling these medications for profit, Senior Counsel Philip Lamparello announced.
Frank Incognito, 46, of Englishtown, New Jersey, and Stephen Corba, 50, of Farmingdale, New Jersey, have pleaded guilty before U.S. District Judge Susan D. Wigenton to conspiring to unlawfully resell various medications, including expensive oncology and ophthalmology medications, that a healthcare entity previously purchased. Corba entered his guilty plea earlier today, while Incognito entered his guilty plea on February 18, 2026.
According to documents filed in this case and statements made in court:
For years, Corba owned and ran a wholesale drug distributor, operating under New Jersey corporations located in Sewaren, New Jersey. During this time, Incognito worked as the operations manager of this drug distributor.
Corba and Incognito conspired with each other and multiple doctors to obtain expensive prescription medications that Corba and Incognito otherwise would not have been able to obtain on their own. These medications were first “straw-purchased” through the doctors’ medical practices, using the doctors’ medical licenses, and on the express condition that the medications would be used to treat the doctors’ own patients. After the medications were purchased, Corba, Incognito, the doctors, and their co-conspirators illegally transferred and resold the medications to others. Primarily, these medications were cold-chain biologic infusion medications that physicians typically use to treat cancers, macular degeneration, and autoimmune diseases.
In order to purchase the drugs, Corba, Incognito, and the doctors made numerous false and misleading representations to the pharmaceutical manufacturers and authorized distributors. These misrepresentations included that the doctors were purchasing the drugs to treat their own patients, and that the drugs would not be resold or redistributed to others. In actuality, none of the drugs were used to treat any of the doctors’ own patients but were instead sold to customers of Corba and Incognito, for a profit.
Corba’s and Incognito’s fraudulent scheme ran from June 2012 through January 2019, and included the purchase and sale of more than $47.5 million in prescription drugs. Doctors Anise Kachadourian, Jon Paul Dadaian, and Joel Lerner also previously pled guilty to their roles in the scheme.
The conspiracy to which Corba and Incognito pleaded guilty is punishable by a maximum of five years in prison and a $250,000 fine. In their plea agreement, Corba and Incognito also agreed to make restitution for the full amount of any losses resulting from their offenses. Sentencing for Incognito is scheduled for June 23, 2026, and sentencing for Corba is scheduled for July 8, 2026.
Senior Counsel Lamparello credited special agents of the U.S. Food and Drug Administration’s Office of Criminal Investigations New York Field Office, under the direction of Special Agent in Charge Fernando McMillan, and special agents of U.S. Attorney’s Office, under the direction of Acting Special Agent in Charge Matthew Maltese, with the investigation leading to Corba’s and Incognito’s guilty pleas.
The government is represented by Assistant U.S. Attorneys Joseph McFarlane and Sara Aliabadi of the U.S Attorney’s Office in Camden.
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Defense Counsel for Corba: Robert Stahl, Esquire
Defense Counsel for Incognito: Rocco Cipparone, Esquire
Former Passaic County Correctional Officer Sentenced to 17 Months in Prison for Civil Rights Violation and Conspiracy to Obstruct Justice in Connection with Assault of Pretrial DetaineeRead the Press Release
NEWARK, N.J. – A former Passaic County Correctional Officer was sentenced yesterday for his role in assaulting a pretrial detainee and conspiring to obstruct justice, Senior Counsel Philip Lamparello announced.
Jose Gonzalez, 47, previously pled guilty on May 28, 2025 before U.S. District Judge Michael E. Farbiarz in Newark federal court to a two-count indictment charging him with one count of deprivation of rights under color of law and one count of conspiracy to obstruct justice. Judge Farbiarz imposed the sentence yesterday in Newark federal court.
According to documents filed in this case and statements made in court:
On January 22, 2021, a pretrial detainee at the Passaic County Jail (PCJ) squirted a mixture containing urine onto a correctional officer. The following day, on January 23, 2021, Gonzalez admitted that he, along with former Sergeant Donald Vinales, and former Correctional Officer Lorenzo Bowden, who were also charged in this case, transported the detainee through an area of the PCJ that does not have a video surveillance camera, which Correctional Officers and inmates at the PCJ have referred to as a “blind spot.” While in that “blind spot,” Gonzalez admitted that he and Vinales assaulted the detainee, while he was handcuffed, when they knocked him to the ground and struck him multiple times. One day after the assault, the detainee was taken to a local hospital, which documented injuries from the assault.
The defendants were required to submit documentation regarding their use of force. None of them submitted any such reports.
In March 2022, Gonzalez admitted that he made false statements to federal law enforcement officers during an interview in connection with this investigation. Additionally, in April 2022, after receiving federal grand jury subpoenas in connection with this investigation, Gonzalez, Vinales, Bowden, among others, met to discuss the federal investigation. During that meeting, the group agreed not to cooperate with the federal investigation and also agreed to say that nothing had happened to the detainee, referring to the assault. Thereafter, during an interview with federal investigators in October 2022, Bowden falsely stated that the detainee had not been assaulted and that there had not been any meeting or communication among those who participated in or witnessed the assault.
Bowden pled guilty on April 18, 2024 before Judge Farbiarz to an information charging him with conspiracy to obstruct justice and is awaiting sentencing.
Vinales pled guilty on May 21, 2025 before Judge Farbiarz to a two-count indictment charging him with one count of deprivation of rights under color of law and one count of conspiracy to obstruct justice. He is also awaiting sentencing.
In addition to the prison term, Judge Farbiarz sentenced Gonzalez to two years of supervised release.
Senior Counsel Lamparello credited special agents of the FBI, under the direction of Special Agent in Charge Stefanie Roddy in Newark; and the Passaic County Sheriff’s Office Division of Internal Affairs, under the direction of Sheriff Thomas Adamo.
The government is represented by Assistant U.S. Attorney Benjamin Levin, Deputy Chief of the Cybercrime Unit in Newark, and R. Joseph Gribko, Senior Trial Counsel in Trenton.
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Defense Counsel: Valerie Palma DeLuisi, Esq., Clifton, New Jersey
British Man Sentenced to 140 Months in Prison for Possessing Child Pornography and Traveling with Intent to Engage in Illicit Sexual ConductRead the Press Release
NEWARK, N.J. – A British citizen was sentenced to 140 months’ imprisonment for possessing multiple images of child sexual abuse and traveling with the intent to engage in illicit sexual conduct, Senior Counsel Philip Lamparello announced.
Stephen Hudson, 54, of Ealing, England, pleaded guilty before U.S. District Judge Michael E. Farbiarz in Newark federal court on February 10, 2026, to an information charging him with possession of child pornography and travelling with intent to engage in illicit sexual conduct.
According to documents filed in this case and statements made in court:
From April 14, 2022 to May 6, 2022, Hudson communicated with undercover agents using an encrypted email account, in an attempt to make arrangements to sexually abuse two minor female children. Hudson agreed to travel from Massachusetts to New Jersey and pay approximately $1,200 in cash in exchange for, among other things: engaging in sexual acts with minor girls; illicit drugs that he planned to administer with alcohol to the minor girls. On May 6, 2022, Hudson traveled to an agreed-upon location in New Jersey to have sex with the two minors and provided approximately $1,200 in cash to the undercover law enforcement agents as previously agreed. After providing the cash to law enforcement, Hudson was arrested.
A search of Hudson’s laptop revealed 1,751 images of child sexual abuse, including material portraying prepubescent minors and the sexual abuse and exploitation of infants and toddlers.
In addition to a prison term, Judge Farbiarz sentenced Hudson to 5 years of supervised release.
Senior Counsel Philip Lamparello credited special agents of Homeland Security Investigations Newark, under the direction of Special Agent in Charge Michael McCarthy, with the investigation.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys' Offices and CEOS, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit Justice.gov/PSC.
The government is represented by Assistant U.S. Attorney Sean Nadel of the Narcotics/International Trafficking Unit in Newark.
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Defense counsel: Rahul Sharma Esq., Assistant Federal Public Defender, Newark
Passaic County Man Convicted of Drug Trafficking, Possession of A Firearm in Furtherance of Drug Trafficking, and Illegal Possession of A Firearm and AmmunitionRead the Press Release
NEWARK, N.J. – A Passaic County man was convicted of firearms and narcotics offenses following a three-day trial, Senior Counsel Philip Lamparello announced.
David Reams, 37, of Paterson, was convicted by a federal jury on January 27, 2026, of unlawful possession of a firearm and ammunition by a convicted felon, possession with the intent to distribute fentanyl and cocaine, and possession of a firearm in furtherance of a drug trafficking crime following a trial before U.S. District Judge Stanley R. Chesler in Newark federal court. The sentencing date is scheduled for June 30.
According to documents filed in this case and statements made in court:
On May 6, 2024, Paterson Police Department observed Reams conducting movements consistent with possession of a firearm. When Paterson detectives attempted to stop Reams, he attempted to flee. Paterson detectives ultimately recovered a 9-millimeter pistol, loaded with an extended magazine, as well as over 450 individual doses of fentanyl and crack cocaine from Reams’s person.
The felon in possession charge carries a maximum potential penalty of 15 years of imprisonment and a $250,000 fine. The possession with intent to distribute controlled substances charge carries a maximum potential penalty of 20 years of imprisonment and a $1,000,000 fine. The possession of a firearm in furtherance of a drug trafficking crime carries a mandatory minimum sentence of five years of imprisonment, which must be imposed consecutively to any other sentence imposed, up to life imprisonment, and a maximum fine of $250,000.
Reams was previously convicted in 2017 of unlawful possession of a firearm and ammunition by a convicted felon in the United States District Court for the District of New Jersey. Judge Chesler sentenced him to serve 103 months’ imprisonment for that offense.
Senior Counsel Lamparello credited with the investigation special agents of the Bureau of Alcohol, Tobacco, Firearms and Explosives, under the direction of Acting Special Agent in Charge Thomas Kalogiros, as well as the Paterson Police Department, under the direction of Officer in Charge Patrick Murray, with the investigation leading to this conviction.
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. Operation Take Back America streamlines efforts and resources from the Department’s Organized Crime Drug Enforcement Task Forces (OCDETFs) and Project Safe Neighborhood (PSN).
The government is represented by Assistant U.S. Attorneys Lauren Kober, of the Organized Crime/Gangs Unit, and Daniel H. Rosenblum, of the Narcotics and International Trafficking Unit.
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Defense counsel: John McMahon
reams.indictment.pdfNew York Man Sentenced to 30 Months for Involvement in a Scheme to Steal Checks and Defraud BanksRead the Press Release
A Brooklyn, New York man was sentenced on February 18, 2026 to 30 months in prison for his role in a scheme to steal and alter checks from the mail and fraudulently obtain funds from banks by depositing the stolen and altered checks into bank accounts fraudulently accessed by others, senior counsel Philip Lamparello announced.
Noah Aranzamendi, 27, of Brooklyn, New York, previously pled guilty in July 2025 before U.S. District Judge Edward Kiel in Camden federal court to a two-count indictment with conspiracy to commit bank fraud and the receipt and possession of stolen mail.
According to documents filed in these cases and statements made in Court:
From February 2020 to February 2022, Aranzamendi conspired with others to steal checks from the mail in Bergen County and elsewhere, which he then sold to third parties or deposited, sometimes in altered or duplicate form, into the bank accounts of complicit accountholders who had provided access to their bank accounts for the scheme. Aranzamendi obtained stolen official USPS arrow keys, which Aranzamendi used to access mail and steal checks directly from USPS boxes. Aranzamendi and his conspirators then targeted the accounts associated with the checks he stole and created false identifications in the names of the accountholders, which he and his conspirators used to make fraudulent withdrawals from those accounts. The scheme resulted in losses to victims of at least $240,213.
This conviction is Aranzamendi’s fifth conviction arising out of similar schemes.
Senior Counsel Lamparello credited postal inspectors of the U.S. Postal Inspection Service in Newark, under the direction of Postal Inspector in Charge Christopher A. Nielsen, Philadelphia Division; and special agents with the U.S. Postal Service – Office of Inspector General, under the direction of Special Agent in Charge Matthew Modafferi, Northeast Area Field Office. He also thanked the Teaneck Police Department under Chief Andrew R. McGurr.
The government is represented by Assistant United States Attorney Rachelle M. Navarro of the Bank Integrity, Money Laundering, and Recovery Unit in Newark.
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Defense counsel for Aranzamendi: Ikram Ally, Esq.
Sea Box, Inc. Agrees to Pay $2.6 Million to Settle Claims it Used Foreign-Flagged Vessels to Transport Shipping Containers for Army, Air ForceRead the Press Release
CAMDEN, N.J. – SEA BOX, Inc., a corporation specializing in the design, modification, and manufacturing of shipping containers headquartered in Cinnaminson, New Jersey, has entered into a settlement agreement with the United States resolving allegations that it violated the Cargo Preference Act and its contracts with the Department of War by using foreign-flagged vessels to transport shipping containers manufactured for the Department of the Army, Department of the Air Force, and Defense Logistics Agency, Senior Counsel Philip Lamparello announced.
According to the contentions of the United States contained in the settlement agreement, since approximately 1904, any supplies bought for any Department of War agency may only be transported by sea in a vessel of the United States. This requirement is found both in the Cargo Preference Act and in the Defense Federal Acquisition Regulations, and it is incorporated into defense contracts. The requirements protect American shipping and ensure that the United States has a merchant marine capable of commercial and military use.
Between late 2017 and late 2021, SEA BOX was awarded approximately 35 contracts to provide shipping containers consistent with International Organization for Standardization (ISO) standards for the Department of the Army and Department of the Air Force, primarily through the Defense Logistics Agency. Notwithstanding the legal prohibitions on doing so, SEA BOX arranged to have these containers delivered on less expensive, foreign-flagged vessels. In so doing, SEA BOX not only deprived U.S.-flagged shipping of revenue, but it also reduced the cost of its own bids, undercutting competition that followed the statutory and contractual requirements. When confronted by military authorities about the issue, SEA BOX presented inaccurate, misleading information about its actions. SEA BOX has agreed to settle claims under the civil False Claims Act for a payment of $2.6 million, plus interest, over a three-year schedule.
“Protecting American business is a critical part of the mission of the Department of Justice and of the United States military. We support American shipping through contracting and enforcement, and this Office will prosecute any entity that takes from American business in order to win contracts with the United States government.”
- Senior Counsel Philip Lamparello
“Ensuring companies follow statutory and contractual requirements is an important part of protecting the Department of Defense procurement process,” said Christopher M. Silvestro, Special Agent in Charge, DCIS Northeast Field Office, the law enforcement arm of the Department of Defense’s Office of Inspector General. “DCIS will continue to work with the Department of Justice and our law enforcement partners to pursue those companies that try to corrupt and compromise the integrity of the system.”
“This settlement sends a clear message: AFOSI will not tolerate those who prioritize profit over the integrity of the federal procurement process,” said Special Agent in Charge William W. Richards of the Air Force Office of Special Investigations (AFOSI). “We, alongside our law enforcement and prosecutorial partners, will work tirelessly to combat fraud threatening the Department of the Air Force.”
Senior Counsel Lamparello credits special agents of the Defense Criminal Investigative Service, the Department of the Army’s Criminal Investigative Division, the Department of the Air Force’s Office of Special Investigations, and members of the Defense Contract Audit Agency, Defense Logistics Agency, and U.S. Department of Transportation Maritime Administration, with the investigation.
The government is represented by Assistant U.S. Attorney Paul W. Kaufman of the Healthcare Fraud and Opioid Enforcement Unit.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
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Counsel for SEA BOX: John Brownlee and John McAdams, Holland & Knight, Washington, D.C.
seabox.agreement.pdfNew Jersey Couple Pleads Guilty to Illegally Moving $60 Million to Latin AmericaRead the Press Release
NEWARK, N.J. – A New Jersey-based couple originally from Colombia admitted yesterday to illegally operating unlicensed money transmitting businesses, Senior Counsel Philip Lamparello announced.
Nicholas Ortega Munoz, 23, a Colombian national formerly of Hackensack, New Jersey, pleaded guilty before U.S. District Judge Susan D. Wigenton in Newark federal court yesterday to an Information charging him with conspiring to, and operating, an unlicensed money transmitting business. Isabella Valderrama Ospina, 23, a resident of Hackensack, New Jersey, also pleaded guilty before Judge Wigenton to a separate Information charging her with operating and aiding and abetting the operation of an unlicensed money transmitting business.
According to documents filed in this case and statements made in court, Ortega Munoz, Valderrama Ospina, and others used a novel scheme to secretly move money from the United States to Colombia using two fake companies: BLK Graphics Group and Technology SD. The sham companies were built to serve as cash pipelines to move tens of millions of dollars to Latin America and avoid law enforcement detection. At no point were BLK or Technology SD ever appropriately registered as a money transmitting business, as FinCEN required them to be.
To carry out the scheme, BLK and Technology SD used a rotating stable of bank accounts at multiple financial institutions to funnel money deposited from pornographic websites and other entities to Latin America. For example, one website allowed online consumers to send “tokens” to pay adult performers for online performances. As part of the scheme, those “tokens” were then withdrawn from the websites and deposited into BLK and Technology SD bank accounts. Ortega Munoz, Valderrama Ospina, and others, then quickly directed the transfer of those funds to shell companies in Colombia. Between April 2021 and June 2025, BLK and Technology SD moved over $62 million in proceeds to accounts in Colombia.
The charges of conspiring to operate an unlicensed money transmitting business and operating and aiding and abetting the operation of an unlicensed money transmitting business each carry a statutory maximum prison sentence of five years and a statutory maximum fine of the greatest of $250,000, twice the gross amount of any pecuniary gain that any persons derived from the offense, or twice the gross amount of any pecuniary loss sustained by any victims of the offense, whichever is greatest. Sentencing for Mr. Ortega Munoz is scheduled for June 23, 2026. Sentencing for Ms. Valderrama Ospina is scheduled for June 25, 2026.
Senior Counsel Lamparello credited special agents of the FBI’s Newark Field Office, under the direction of Special Agent in Charge Stefanie Roddy and investigators from the U.S. Attorney’s Office with the investigation leading to the guilty pleas.
The government is represented by Assistant U.S. Attorney Robert L. Toll of the U.S. Attorney’s Office’s Health Care Fraud & Opioids Enforcement Unit in Newark.
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Defense counsel: Ileana Montes, Esq. (Nicholas Ortega Munoz); Tyler Newman, Esq. (Isabella Valderrama Ospina).
valderramaospina.information.pdf ortegamunoz.information.pdfEssex County Man Sentenced to 135 Months for Multiple Firearms Offenses, Including Possession of a Ghost Gun, a Machine Gun, and a 50-Round MagazineRead the Press Release
NEWARK, NJ - An Essex County, New Jersey man was sentenced yesterday to over 11 years in prison and 3 years of supervised release for multiple firearms offenses, Senior Counsel Philip Lamparello announced.
Kaiyir Green, 23, of Newark, New Jersey, previously pled guilty in July 2025 before U.S. District Judge Georgette Castner in Trenton federal court to a four-count indictment charging him with two counts of possession of a firearm and/or ammunition by a convicted felon, one count of illegal possession of a machine gun, and one count of possession of an unregistered firearm.
According to documents filed in these cases and statements made in Court:
On March 1, 2023, law enforcement officers responded to a report of a stolen vehicle and saw Green trying to get into the stolen vehicle. When law enforcement approached, Green ran away. Law enforcement ran after Green, eventually apprehending him and recovering from him a ghost gun loaded with five rounds of ammunition. After Green was arrested, Green obstructed justice by making several phone calls from a recorded line at the detention center in which he directed another person to go to his home and remove “everything” including a “black bag.” Law enforcement later saw someone remove a black bag from Green’s home. Law enforcement searched the bag and found a firearm that had been modified with a switch rendering the firearm into a fully automatic machine gun, loaded with one round of 9mm ammunition in a large capacity magazine. Law enforcement also found a 50-round capacity drum magazine. Further investigation revealed that Green was involved in trafficking dozens of firearms, including AR-style pistols, machine guns and multiple firearms with extended or drum magazines, from out of state into New Jersey where he then sold them to third parties.
Senior Counsel Philip Lamparello credited law enforcement members with the Bureau of Alcohol, Tobacco, Firearms and Explosives, Newark Field Division, under the direction of Acting Special Agent in Charge Thomas Kalogiros; the New Jersey State Police, under the direction of Acting Superintendent Lieutenant Colonel David Sierotowicz, and Elizabeth Police Department, under the direction of Chief Giacomo Sacca, with the investigation leading to the charges.
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.
The government is represented by Assistant United States Attorney Rachelle M. Navarro of the Bank Integrity, Money Laundering, and Recovery Unit in Newark.
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Defense counsel for Green: Claressa Lowe, Esq.
Bergen County Accountant Admits to Defrauding Investors Through Multi-Million Dollar Ponzi Scheme and Failing to File Income Tax ReturnsRead the Press Release
NEWARK, N.J. – A Bergen County accountant and tax preparer on February 17,2026 admitted to running a Ponzi and bank fraud scheme that bilked victims out of more than $10 million dollars and a related bank fraud scheme, among other crimes, Senior Counsel Philip Lamparello announced.
Evangelos Drosos, 51, of Glen Ridge, New Jersey, pleaded guilty before U.S. District Judge Michael A. Shipp in Trenton federal court to an information charging him with three counts of wire fraud, one count of bank fraud, and one count of failure to file an individual income tax return.
“For years, Evangelos Drosos abused the confidence his clients placed in him, operating a Ponzi scheme that funneled millions of their hard-earned dollars into his own lifestyle instead of legitimate investments. When investor funds ran dry, he escalated his conduct with additional fraud to keep the scheme going. This guilty plea holds him accountable and sends a clear message: those who run Ponzi schemes and exploit the faith of investors for personal gain will be identified, prosecuted, and brought to justice.”
- Senior Counsel Philip Lamparello
“Mr. Drosos created a complex fraud scheme that turned trusting investors into devasted victims,” stated Special Agent in Charge Jenifer L. Piovesan, IRS Criminal Investigation, Newark Field Office. “IRS-CI will continue working with our law enforcement partners to investigate those who betray the public’s trust and hold them accountable.”
According to documents filed in this case and statements made in court:
From 2013 through June 2025, Drosos used various businesses that he controlled to run a Ponzi scheme to falsely represent to his clients and other victim investors that he would manage their money through various investment strategies. In reality, Drosos did not invest his clients’ money and, instead, co-mingled those funds with his other accounts, and used the funds either to repay other investors or pay his personal expenses, including vacations, a luxury vehicle, and real estate. In order to hide the scheme , Drosos provided his victim investors with false account statements. Drosos caused his victims to send him more than approximately $10 million, resulting in aggregate losses of more than approximately $3 million to victims.
In June 2024, the Ponzi scheme fell apart, and Drosos no longer had sufficient investor deposits to repay other investors. To cover his tracks, Drosos engaged in a check-kiting scheme in which he cut checks that exceeded the funds in his bank accounts, then deposited and quickly withdrew funds from other bank accounts before the bogus checks bounced. Using this scheme, Drosos fraudulently obtained nearly $500,000 from the victim banks.
Drosos also admitted that he failed to file an individual income tax return for tax year 2023.
The counts of wire fraud each carry a maximum penalty of 20 years in prison and a fine of $250,000, or twice the gross loss to the victim or gain to the defendant, whichever is greatest. The count of bank fraud carries a maximum penalty of 30 years in prison and a fine of $1,000,000, or twice the gross loss to the victim or gain to the defendant, whichever is greatest. The count of failure to file a tax return carries a maximum penalty of one year in prison and a fine of up to $100,000. Sentencing is scheduled for June 23, 2026.
Senior Counsel Lamparello credited special agents of the FBI’s Newark Field Office, under the direction of Special Agent in Charge Stefanie Roddy; IRS-Criminal Investigation, under the direction of Special Agent in Charge Jenifer Piovesan in Newark; Office of the Treasury Inspector General for Tax Administration (TIGTA), Mid Atlantic Field Division, under the direction of Special Agent in Charge Michael Carpenter; and the U.S. Postal Inspection Service, under the direction of Inspector in Charge Christopher Nielsen, Philadelphia Division, with the investigation leading to this guilty plea. He also thanked the Bergen County Prosecutor’s Office, under the direction of Prosecutor Mark Musella; and the Sussex County Prosecutor’s Office, under the direction of Prosecutor Daniel M. Perez, for their assistance.
The government is represented by Assistant U.S. Attorneys Robert L. Toll and George L. Brandley (Unit Chief) of the U.S. Attorney’s Office’s Health Care Fraud & Opioids Enforcement Unit in Newark.
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Defense counsel: Maximillian Novel, Esq.
drosos.information.pdfBank Insider Pleads Guilty to Facilitating Fraud Schemes from Inside Two Financial InstitutionsRead the Press Release
NEWARK, NJ – Edward Low, a/k/a “a Mang Wah Low,” a/k/a “Eddie Low”, a former New York-based employee of TD Bank, N.A. and another financial institution, pleaded guilty today to accepting bribes to provide confidential customer information of TD Bank customers and to falsifying bank records to open a bank account at another financial institution, which helped co-conspirators commit more than $500,000 of fraud.
Low, 31, pleaded guilty today before the Honorable Esther Salas in Newark to a two-count Information charging him with conspiracy to commit wire fraud affecting a financial institution and making false bank entries or reports. He is scheduled to be sentenced on July 14, 2026.
“This defendant chose to sell his access to the banking system from the inside. By accepting bribes at two separate financial institutions, he betrayed the trust placed in him and enabled outside fraudsters to exploit customer accounts and falsify bank records for personal gain. The U.S. Attorney’s Office will continue to root out corruption within our financial institutions and hold accountable those—whether insiders or outsiders—who undermine the integrity of our banking system.”
- Senior Counsel Philip Lamparello
According to court filings and statements made in court, from January 2021 through May 2021, Low, of Flushing, New York accepted bribes and leveraged his position to obtain confidential TD Bank customer information. He then passed the information to outside co-conspirators, who used it to take over accounts and steal money from customers. Low also processed some of the illicit transactions for co-conspirators. In total, Low received at least $26,700 in bribes and facilitated $484,572.16 of fraud.
Then, from May 2022 through August 2022, Low was an employee at another financial institution. In exchange for a bribe, Low falsified bank records to help a co-conspirator open an account in the name of a shell company. Co-conspirators then used that account to commit at least $47,195 of fraud.
The charge of conspiring to commit wire fraud affecting a financial institution carries a maximum penalty of 30 years in prison and a fine of $1,000,000 or twice the amount involved in the offense or lost by a victim of the offense, whichever is greater. The charge of making false bank entries carries a maximum penalty of 30 years in prison and a fine of $1,000,000 or twice the amount involved in the offense or lost by a victim of the offense, whichever is greater.
IRS-CI and FDIC-OIG investigated the case. The department also thanks the Morristown Police Department for their assistance with the investigation.
Assistant U.S. Attorney Marko Pesce, Chief of the Bank Integrity, Money Laundering, and Recovery Unit for the District of New Jersey and Trial Attorneys D. Zachary Adams and Chelsea Rooney of the Criminal Division’s Money Laundering, Narcotics and Forfeiture Section are prosecuting the case.
The Money Laundering, Narcotics and Forfeiture Section’s Bank Integrity Unit investigates and prosecutes banks and other financial institutions, including their officers, managers and employees whose actions threaten the integrity of the individual institution or the wider financial system.
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Defense counsel: Michael P. Koribanics, Esq.
low.information.pdfFounder of Beverage Company Sentenced to 51 Months in Prison for Defrauding Investors of Millions of DollarsRead the Press Release
NEWARK, N.J. – The founder and executive chairman of a now-defunct beverage company was sentenced yesterday for lying to solicit investments, Senior Counsel Philip Lamparello announced.
Todd O’Gara, 46, of Austin, Texas and Reno, Nevada previously pled guilty to one count of wire fraud before U.S. District Court Judge Stanley R. Chesler in Newark federal court. Judge Chesler sentenced O’Gara to serve 51 months in prison, followed by 3 years of supervised release.
According to documents filed in this case and statements made in court:
O’Gara, who founded and managed a beverage company, Wanu Water, Inc., raised over $6.6 million dollars from individual victim investors. O’Gara repeatedly lied to solicit those investments and to encourage investors to maintain their investments. Among other things, O’Gara lied about the size of purchase orders from retailers and about major investments from private equity firms. As part of this fraudulent scheme, O’Gara sent investors fake documents including doctored emails and forged term sheets.
Senior Counsel Lamparello credited special agents of the FBI, under the direction of Special Agent in Charge Stephanie Roddy, Newark Field Division, with the investigation.
The government is represented by Assistant U.S. Attorney Aaron L. Webman, Deputy Chief of the Economic Crimes Unit in Newark.
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Defense counsel: John Yauch and Shaiba Rather, Newark, New Jersey
Former Teacher Admits to Possessing Child PornographyRead the Press Release
NEWARK, N.J. – A former teacher admitted to possessing child pornography, Senior Counsel Philip Lamparello announced today.
Matthew Ozol, 40, of Jersey City, New Jersey pleaded guilty before Judge Evelyn Padin to an Information charging him with one count of possession of child pornography.
According to documents filed in this case and statements made in court:
In August 2025, law enforcement executed a search warrant at Ozol’s home. Ozol’s text messages showed that since 2022, Ozol had sent and received messages on encrypted applications expressing a desire to sexually abuse children, including in a chat group titled “Baby Rapist.” Law enforcement found more than 100 images and 75 videos on Ozol’s electronic devices depicting child pornography, including many involving sexual abuse of infants and toddlers.
The charge of possession of child pornography carries a maximum potential penalty of 20 years in prison and a $250,000 fine. Sentencing has been scheduled for August 2026.
Senior Counsel Lamparello credited special agents of Homeland Security Investigations Newark, under the direction of Special Agent in Charge Michael S. McCarthy, with the investigation leading to the guilty plea.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and the Child Exploitation and Obscenity Section (CEOS) in the Justice Department’s Criminal Division, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit: https://www.justice.gov/psc.
The government is represented by Assistant U.S. Attorney Matthew Specht of the Special Prosecutions Division.
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Defense Counsel:
Eric R. Breslin, Esq., Florham Park, New Jersey
Sarah Fehn Stewart, Esq., Florham Park, New Jersey
ozol.information.pdfEssex County Man Found Guilty of Unlawfully Possessing Firearms and Ammunition Following TrialRead the Press Release
NEWARK, N.J. – An Essex County, N.J., man with a felony criminal record has been convicted by a federal jury for carrying two loaded semi-automatic pistols, Senior Counsel Philip Lamparello announced.
Ken Anderson, 33, of Newark, was convicted of being a felon in possession of firearms and ammunition following a trial that began on February 3 before United States District Judge Brian R. Martinotti in Newark federal court. Sentencing is scheduled for June 23, 2026.
According to documents filed in this case and the evidence at trial:
Detectives with the Essex County Sheriff’s Office responded to a tip from a confidential informant in the early evening of July 22, 2025, about a man with a firearm in the area of the Wynona Lipman Gardens housing development located in Newark’s Central Ward. Detectives located Anderson sitting in a vehicle, double-parked within the housing development. When the detectives approached with their sirens and lights, Anderson fled. He drove recklessly through the housing development, reached a dead-end street, and rolled out of his moving vehicle. Before the vehicle crashed into a handicapped sign, he grabbed a backpack, and ran away through the housing development. He jumped over fences, then ran across Dr. Martin Luther King Jr. Blvd and onto Interstate 280, where officers arrested him. Detectives found two loaded firearms from the backpack and a bullet from one of Anderson’s pant pockets.
The charge of being a felon in possession carries a maximum potential penalty of 15 years in prison and a $250,000 fine.
Senior Counsel Philip Lamparello credited the Federal Bureau of Investigation, Newark Division, under the direction of Special Agent in Charge Stephanie Roddy, and the Essex County Sheriff’s Office, under the direction of Sheriff Amir D. Jones, with the investigation.
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.
The government is represented by Assistant United States Attorney Rachelle M. Navarro of the Bank Integrity, Money Laundering, and Recovery Unit, and Assistant United States Attorney Sean Nadel of the International Narcotics and Trafficking Unit in Newark.
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Defense counsel: Tyler Newman, Esq. and Mallory Olwig, Esq.
anderson.indictment.pdfPhiladelphia Man Sentenced to 180 Months’ Imprisonment for Receiving Child Pornography and Transferring Obscene Images to MinorRead the Press Release
CAMDEN, N.J. – A Philadelphia, Pennsylvania, man was sentenced today to 180 months’ imprisonment for having a minor victim create and send him sexually explicit images and videos, and sending the victim obscene images of himself, Senior Counsel Philip Lamparello announced.
Francisco Andres-Medina, 35, previously pleaded guilty before Chief U.S. District Judge Renée Marie Bumb to two counts of an indictment charging him with receipt of child pornography and transfer of obscene material to a minor.
According to documents filed in this case and statements made in court:
In March and April 2020, Medina communicated over the internet with a 15-year-old victim located in Camden County, New Jersey. After learning the victim was 15, Medina sent her obscene photographs. Medina also had the victim produce videos and images of her engaged in sexually explicit conduct. Medina then caused the victim to send him the sexually explicit images and videos. Medina also directed the victim to send him a video of the victim having sex with another individual.
Senior Counsel Lamparello credited special agents of Homeland Security Investigations Newark, under the direction of Special Agent in Charge Michael McCarthy, and the Camden County Prosecutor’s Office High Tech Crimes and Special Victims Units, under the direction of Prosecutor Grace C. MacAulay, with the investigation leading to today’s sentence.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and CEOS, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit Justice.gov/PSC.
The government is represented by Assistant U.S. Attorneys Jeffrey Bender and Josephine Park of the U.S. Attorney’s Office in Camden.
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Defense counsel: Ikram Ally, Esq., Assistant Federal Public Defender
Air Force Airman Pleads Guilty to Receiving Child PornographyRead the Press Release
TRENTON, N.J. – An Airman with the United States Air Force pled guilty to receiving child pornography on Joint Base McGuire-Dix-Lakehurst, Senior Counsel Philip Lamparello announced today.
Christian Keilberg, 34, of Ocean County, New Jersey, pleaded guilty before U.S. District Court Judge Georgette Castner today, in Trenton federal court, to an information charging him with receipt of child pornography. Sentencing is scheduled for June 18, 2026.
According to documents filed in this case and statements made in court:
From November 2020 through November 2022, while Keilberg was an enlisted active-duty Airman with the United States Department of the Air Force living and working on Joint Base McGuire-Dix-Lakehurst, Keilberg used online chat applications and social media to communicate with minor victims located within and outside of New Jersey. Keilberg exchanged sexually explicit messages with the minor victims and asked them to send him images and videos of themselves engaging in sexually explicit conduct, which they did. A search of Keilberg’s electronic devices found in his on-base housing revealed additional videos and images of child pornography. Keilberg received more than 600 images of child pornography, including depictions of minors between twelve and fifteen years old.
The charge of receipt of child pornography is punishable by a mandatory minimum sentence of 5 years in prison and a maximum sentence of 20 years in prison and a $250,000 fine.
Senior Counsel Lamparello credited special agents of the United States Department of the Air Force, Office of Special Investigations, under the direction of Special Agent in Charge Rebecca B. Bates, with the investigation. He also credited the Atlantic County Prosecutor’s Office for their assistance.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and the Child Exploitation and Obscenity Section (CEOS) in the Justice Department’s Criminal Division, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit: https://www.justice.gov/psc
The government is represented by Assistant U.S. Attorney Tracey Agnew of the U.S. Attorney’s Office Criminal Division in Trenton.
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Defense counsel: Andrea Aldana, Esq., Trenton, New Jersey
keilberg.information.pdfOcean County Man Sentenced to 72 Months’ Imprisonment for Traveling Overseas to Engage in Sexual Conduct with a MinorRead the Press Release
TRENTON, N.J. – An Ocean County man was sentenced to 72 months’ imprisonment for traveling to Norway to engage in sexual conduct with a 14-year-old victim, Senior Counsel Philip W. Lamparello announced today.
Jacob Bauer, 29, of Toms River, pleaded guilty before U.S. District Judge Robert Kirsch in Trenton federal court on September 9, 2025, to a one-count Information charging him with engaging in illicit sexual conduct in a foreign place. U.S. District Judge Robert Kirsch imposed the sentence today in Trenton federal court.
According to documents filed in this case and statements made in court:
From December 1, 2023 through December 10, 2023, Bauer, then 27 years old, traveled from the United States to Norway to engage in sexual activity with a 14-year-old female in a hotel. After returning to the United States, Bauer communicated with the victim and bragged to others about his sexual activities, all while acknowledging the victim’s age and status as a minor. After learning of Bauer’s sexual activity, members of an online community that Bauer was active in “doxxed” him by publishing his information online.
In addition to the prison term, Judge Kirsch sentenced Bauer to 10 years of supervised release following Bauer’s term of imprisonment and ordered forfeiture of Bauer’s property used to commit the offense. Bauer is also subject to registration under the Sex Offender Registration and Notification Act.
Senior Counsel Lamparello credited the special agents and task force officers of the Federal Bureau of Investigation, under the direction of Special Agent in Charge Stefanie Roddy in Newark, with the investigation leading to the sentence. He also thanked the New Brunswick Police Department, under the direction of Chief of Police Vincent Sabo, the Manchester Township Police Department, under the direction of Chief of Police Antonio Ellis, the FBI Legal Attaché Office, U.S. Embassy, Copenhagen, Denmark, the FBI Legal Attaché Office, U.S. Embassy, Warsaw, Poland, the Jackson County, Georgia Sheriff's Office, INTERPOL, the Norwegian Politiet, Troms District, the Norwegian Politiet, NC3 KRIPOS, and the Poland Policja CBZC, Central Cybercrime Bureau for their assistance.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and CEOS, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit Justice.gov/PSC.
The government is represented by Assistant U.S. Attorney Jonathan S. Garelick of the U.S. Attorney’s Office’s Criminal Division in Trenton.
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Defense counsel: Andrea G. Aldana, Esq., Federal Public Defenders.
Former Commodities Trader Sentenced to 151 Months for Engaging in Multi-Mullion Dollar Wire and Commodities Fraud SchemeRead the Press Release
NEWARK, N.J. – A Chicago man was sentenced to 151 months in prison and five years of supervised release for engaging in a wire and commodities fraud scheme that caused losses of more than $4 million to over a dozen victims, Senior Counsel Philip Lamparello announced.
Philip Galles, 59, of Chicago, Illinois, previously pleaded guilty before U.S. District Court Judge Esther Salas in Newark federal court to an indictment charging him with wire and commodities fraud. Judge Salas imposed the sentence on February 5, 2026. At the conclusion of the sentencing hearing, Judge Salas remanded Galles to the custody of the U.S. Marshal to begin serving his sentence. Galles was also ordered to pay more than $4 million in restitution to victims of the scheme.
According to documents filed in this case and statements made in court:
Galles, a former commodities trader, defrauded his victims by falsely claiming that he would invest their money in commodity futures through his purported investment company, Tyche Asset Management, based in Chicago, Illinois. As part of the scheme, Galles and those working for him falsely told prospective investors that Tyche had a history of success using proprietary trading strategies, with extraordinary annual rates of return exceeding 100%.
But in reality, Galles made virtually no legitimate investments in commodity futures or otherwise. Galles instead ran Tyche like a Ponzi scheme and used investor money to pay back other investors and to pay his own personal expenses—including high-end clothing, rent on a luxury apartment, and luxury automobiles.
During the investigation, Galles met with an undercover agent in New Jersey purporting to be an investment manager looking to make a large investment. Galles repeatedly lied during those meetings about Tyche and his personal history. Galles falsely claimed that Tyche had annual returns of 336%, raised over $2 billion within 60 days of starting the fund, and had prominent investors, including a Kuwaiti sovereign fund and a well-known owner of a professional sports team. Galles also falsely claimed that he graduated from a prominent university in the Midwest.
Senior Counsel Lamparello credited special agents of the United States Attorney’s Office, under the direction of Acting Special Agent in Charge Matthew Maltese in Newark, and the inspectors of the United States Postal Inspection Service, under the direction of Inspector in Charge Christopher Nielsen, with the investigation. He also thanked the Commodity Futures Trading Commission and the National Futures Association for their role in the investigation.
The government is represented by Assistant U.S. Attorney Carolyn Silane, Chief of the Economic Crimes Unit, and Andrew Kogan of the Cybercrime Unit in Newark.
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Defense counsel: Michael Koribanics, Esq.
Postal Employee Indicted for Unemployment FraudRead the Press Release
NEWARK, N.J. – A New Jersey woman was charged by indictment with five counts of wire fraud for fraudulently obtaining tens of thousands of dollars in unemployment funds while working for the United States Postal Service, Senior Counsel Philip Lamparello announced.
Samantha Jenkins, 45, of North Plainfield, New Jersey, had her arraignment yesterday in Trenton before United States Magistrate Judge Justin T. Quinn.
According to documents filed in this case and statements made in court, for more than a year Jenkins filed weekly certifications with the New Jersey Department of Labor in which she claimed she was not working, and was therefore eligible to receive unemployment benefits. But in reality, Jenkins worked for the USPS as a window/mail clerk. As a result, Jenkins received tens of thousands of dollars in employment benefits she was not entitled to.
During the relevant period, Jenkins’s salary from the USPS and her unemployment benefits were deposited into one of her bank accounts. For 13 months, Jenkins used that bank account to receive both her salary from the USPS and unemployment benefits from the NJDOL. Oftentimes, deposits from both entities were made just days apart from one another.
Each charge of wire fraud carries a maximum penalty of 20 years in prison, and a fine of $250,000. Senior Counsel Lamparello credited special agents with the Federal Bureau of Investigation, under the direction of Special Agent in Charge Stefanie Roddy in Newark; special agents with the U.S. Postal Service, Office of Inspector General, Northeast Area Field Office, under the direction of Special Agent in Charge Matthew Modofferi; and special agents of the U.S. Department of Labor, Office of Inspector General, Northeast Region, under the direction of Inspector General Anthony D’Esposito.
The government is represented by Assistant U.S. Attorney Matthew Specht of the Special Prosecutions Division.
The charges and allegations contained in the indictment are merely allegations, and the defendant is presumed innocent unless and until proven guilty.
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Defense counsel: Saverio Viggiano, Esq., Newark, New Jersey
Contractor Agrees to Pay $2.4 Million to Settle False Claims Act AllegationsRead the Press Release
NEWARK, N.J. B A Vernon, New Jersey company will pay $2.4 million to resolve allegations that it overbilled the United States Postal Service on facilities management contracts, Senior Counsel Phillip Lamparello announced today.
The settlement resolves allegations that from August 1, 2020 through August 12, 2025, Phillips-Glenwood Construction, Inc. made false claims in conjunction with its contract for construction and facilities maintenance of USPS facilities in New Jersey, Pennsylvania, and Delaware. More specifically, Phillips-Glenwood allegedly submitted to the USPS false and altered documentation inflating its labor hours and materials purchases in its requests for payment for work performed.
Senior Counsel Lamparello credited special agents of the United States Postal Service, Office of Inspector General, under the direction of Special Agent in Charge Colleen Ehlich, for the investigation of the allegations against Phillips-Glenwood.
The United States is represented by Assistant U.S. Attorney Mark C. Orlowski of the U.S. Attorney’s Health Care Fraud and Opioids Enforcement Unit in Newark.
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Defense Counsel for Phillips-Glenwood is Dennis J. Francis, Esq., Little Ferry, New Jersey.
phillips_glenwood.agreement.pdfFormer TD Bank Employee Pleads Guilty to Accepting Bribes, Laundering $5.5 Million to ColombiaRead the Press Release
NEWARK – A former Florida-based employee of TD Bank, N.A., Leonardo Ayala (“Ayala”), pleaded guilty today to accepting bribes in return for facilitating a money laundering network’s movement of over $5.5 million to Colombia through TD Bank accounts.
Ayala, 25, pleaded guilty today before the Honorable Esther Salas in Newark to a two-count Information charging him with conspiring to launder monetary instruments and for receipt of bribes by a bank employee. He is scheduled to be sentenced on June 11.
According to court filings and statements made in court, from June 2023 to November 2023, Ayala, 25, of Homestead, Florida, then a TD Bank employee in Doral, Florida, accepted bribes and leveraged his position to facilitate a money laundering network’s expatriation of over $5.5 million from the United States to Colombia. Ayala, who bragged about being “tapped in with them Venezuelans,” opened fraudulent bank accounts, issued debit cards, unblocked debit cards that TD Bank had restricted due to questionable activity, and provided other banking services to his co-conspirators. In particular, Ayala issued over 150 debit cards to six business accounts that had been opened by a different TD Bank employee in Scotch Plains, New Jersey. Those debit cards were then used to make over 10,000 ATM withdrawals throughout Colombia, totaling approximately $4,723,114.64. Ayala’s co-conspirators paid him over $6,000 in exchange for these services, typically either in cash or through a peer-to-peer digital payment network.
The charge of money laundering conspiracy carries a maximum penalty of 20 years in prison and a fine of $500,000 or twice the amount involved in the offense, whichever is greater. The charge of receipt of bribes by a bank employee carries a maximum penalty of 30 years in prison and a fine of $1,000,000 or three times the amount involved in the offense, whichever is greater.
The DEA, IRS-CI, and FDIC-OIG investigated the case. The department also thanks the Morristown Police Department for their assistance with the investigation.
Assistant U.S. Attorney Marko Pesce, Chief of the Bank Integrity, Money Laundering, and Recovery Unit for the District of New Jersey and Trial Attorneys D. Zachary Adams and Chelsea Rooney of the Criminal Division’s Money Laundering, Narcotics and Forfeiture Section are prosecuting the case.
The Money Laundering, Narcotics and Forfeiture Section’s Bank Integrity Unit investigates and prosecutes banks and other financial institutions, including their officers, managers and employees whose actions threaten the integrity of the individual institution or the wider financial system.
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Defense counsel: Peter Katz, Esq.
ayala.information.pdfFormer TD Bank Employee Pleads Guilty to Accepting Bribes, Laundering $5.5 Million to ColombiaRead the Press Release
A Florida man pleaded guilty Wednesday to accepting bribes and facilitating the laundering of more than $5.5 million to Colombia while employed by TD Bank, N.A.
According to court filings, Leonardo Ayala, 25, of Homestead, Florida, accepted bribes and exploited his position as a bank employee to help launder drug money to Colombia. From June to Nov. 2023, Ayala opened fraudulent accounts, issued over 150 debit cards to shell companies, and unblocked debit cards that TD Bank had restricted due to questionable activity. The bank accounts and debit cards were then used to make more than 12,000 ATM withdrawals in Colombia, funneling approximately $5.5 million out of the United States. In exchange, Ayala received more than $6,000 in bribes paid in cash and through a peer-to-peer digital payment network.
Ayala pleaded guilty to a two-count information charging him with conspiring to launder monetary instruments and receipt of bribes by a bank employee. The charge of money laundering conspiracy carries a maximum penalty of 20 years in prison. The charge of receipt of bribes by a bank employee carries a maximum penalty of 30 years in prison. Ayala’s sentencing has been set for June 11. A federal 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 Senior Counsel Philip Lamparello of the U.S. Attorney’s Office for the District of New Jersey made the announcement.
The DEA, IRS Criminal Investigation (IRS-CI) and FDIC-OIG are investigating the case. The department also thanks the Morristown Police Department for their assistance with the investigation.
Trial Attorneys D. Zachary Adams and Chelsea Rooney of the Criminal Division’s Money Laundering, Narcotics and Forfeiture Section and Assistant U.S. Attorney Marko Pesce, Chief of the Bank Integrity, Money Laundering and Recovery Unit for the District of New Jersey are prosecuting the case.
The Money Laundering, Narcotics and Forfeiture Section’s Bank Integrity Unit investigates and prosecutes banks and other financial institutions, including their officers, managers and employees whose actions threaten the integrity of the individual institution or the wider financial system.
Union County Former Teacher Sentenced to 78 Months for Receiving and Possessing Child PornographyRead the Press Release
NEWARK, N.J. – A Union County man was sentenced to 78 months in prison for receiving and possessing child pornography, Senior Counsel Philip Lamparello announced.
Jack Wilder, 27, of Somerville, New Jersey, previously pleaded guilty before U.S. District Judge Jamel K. Semper in Newark federal court to an information charging him with one count of receipt of child pornography and one count of possession of child pornography. Judge Semper imposed the sentence on January 27, 2026.
According to documents filed in this case and statements made in court:
In July 2024, when Wilder was a teacher at a school in Plainfield, New Jersey, law enforcement searched Wilder’s cell phone and found child pornography. Then, in May 2025, when law enforcement arrested Wilder, they found additional child pornography that Wilder received on a second cell phone.
Senior Counsel Lamparello credited the work of the Department of Homeland Security, Homeland Security Investigations Newark, under the direction of Special Agent in Charge Michael S. McCarthy, with the investigation leading up to this sentencing.
The government is represented by Assistant U.S. Attorney Casey S. Smith of the Criminal Division in Newark.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched by the Department of Justice. Led by U.S. Attorneys' Offices and CEOS, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit Justice.gov/PSC.
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Defense counsel: Michael Baldassare, Esq.
Jeff Hawriluk, Esq.
Pennsylvania Man Admits to Possessing Child PornographyRead the Press Release
CAMDEN, N.J. – Yesterday, a Pennsylvania man admitted possessing images of child sexual abuse, Senior Counsel Philip Lamparello announced.
Edwin Isaacson IV, 53, of Matamoras, Pennsylvania, pleaded guilty yesterday before Chief Judge Renée Marie Bumb to an Information charging him with one count of possession of child pornography.
According to documents filed in this case and statements made in court, on April 23, 2025, Isaacson was found at Newark Liberty International Airport after arriving on an inbound international flight in possession of at least 28 videos of prepubescent minors engaged in sexual conduct.
The charge carries a maximum penalty of 20 years in prison, and a fine of $250,000. Sentencing is scheduled for June 9, 2026.
Senior Counsel Lamparello credited special agents of Homeland Security Investigations Newark, under the direction of Special Agent in Charge Michael S. McCarthy, with the investigation leading to the charges.
The government is represented by Assistant U.S. Attorney Matthew Specht of the Special Prosecutions Division.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched by the Department of Justice. Led by U.S. Attorneys' Offices and CEOS, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit Justice.gov/PSC.
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Defense counsel: David Jay Glassman, Esq., Marlton, New Jersey
isaacson.information.pdfFlorida Man Sentenced to 48 Months for Role in $1.5 Million Cross-Country Scheme to Defraud National Cellular ProviderRead the Press Release
NEWARK, N.J. – A Florida man was sentenced to 48 months’ imprisonment for his role as one of the leaders and organizers of large scheme to defraud a national cellular provider that spanned multiple states, Senior Counsel Philip Lamparello announced.
Defendant Arrantes Garrincha Green, a/k/a “Don Gucci,” a/k/a “Gucci,” 47, of Margate, Florida had previously pled guilty to conspiracy to commit wire fraud in connection with his role in the scheme. U.S. District Judge Susan D. Wigenton imposed the sentence on January 28, 2026, in Newark federal court. Seven other defendants have previously been sentenced in connection with the same scheme. Six more have also pleaded guilty in the case and are awaiting sentencing.
According to documents filed in this case and statements made in court:
From June 2015 through June 2017, the defendants and others, led by Green, conspired to steal electronic equipment, including new smartphones, from a national cellular service provider. Members of the conspiracy used stolen personal identifiers, including stolen Social Security numbers, as well as stolen debit and credit card information to place orders with the victim company. Green alone was responsible for placing fraudulent orders for over $200,000 in stolen equipment. Green and others then transmitted anticipated delivery dates and locations of the fraudulently-ordered products to other conspirators who were employed as drivers with a major parcel delivery company. These drivers were paid to divert the products mid-delivery to other members of the conspiracy. Proceeds generated through the scheme were shared by wire transfer or depositing the funds in designated bank accounts. The scheme compromised the identities of hundreds of residents in multiple municipalities across multiple states, including Upper Saddle River, New Jersey, and caused losses in excess of $1.5 million to the victim company.
In addition to the prison term, Judge Wigenton sentenced Green to three years of supervised release.
Senior Counsel Lamparello credited special agents of the FBI, under the direction of Special Agent in Charge Stefanie Roddy in Newark, with the investigation leading to the charges. He also thanked the Upper Saddle River Police Department, the Bergen County Prosecutor’s Office, the NYPD, the Westchester County District Attorney’s Office, the West Hartford Police Department and the Connecticut State’s Attorney’s Office, Hartford Judicial District, for their assistance.
The government is represented by Assistant U.S. Attorneys Sammi Malek, Peter Laserna, and Michael Hardin of the Criminal Division in Newark.
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Defense counsel: John McMahon, Esq.
Essex County Man Pleads Guilty to Producing Child PornographyRead the Press Release
NEWARK, N.J. – An Essex County man pled guilty today to a three-count Information for his online enticement and exploitation of minors, Senior Counsel Philip Lamparello announced.
Abdur-Razzaaq Henderson, 29, of East Orange, New Jersey, pleaded guilty before U.S. District Court Judge Katharine S. Hayden, in Newark federal court, to an Information charging him with two counts of producing child pornography and one count of possessing prepubescent child pornography.
According to documents filed in this case and statements made in court:
In April 2023 and July 2023, respectively, Henderson texted with two different minor victims located outside of New Jersey. On both occasions, at Henderson’s request, the minor victims created and texted him videos of themselves engaging in sexually explicit conduct. Additionally, Henderson engaged the second minor victim in a conversation about sexually assaulting a younger sibling.
On March 5, 2024, law enforcement found Henderson with a cell phone that contained multiple videos depicting child pornography in the “Hidden” folder among his photos.
In his plea agreement, Henderson also accepted responsibility for enticing seven additional minor victims to produce sexually explicit material.
The production of child pornography charges are each punishable by a mandatory minimum penalty of 15 years in prison and a maximum potential penalty of 30 years in prison and a $250,000 fine. The prepubescent child pornography possession charge is punishable by up to 20 years in prison and a $250,000 fine.
Senior Counsel Lamparello credited special agents of the Federal Bureau of Investigation, under the direction of Special Agent in Charge Stefanie Roddy, with the investigation.
The government is represented by Assistant U.S. Attorney Eli Jacobs of the Criminal Division in Newark.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched by the Department of Justice. Led by U.S. Attorneys' Offices and CEOS, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit Justice.gov/PSC.
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Defense counsel: John Yauch, Esq.
henderson.information.pdfJersey City Man Admits to Conspiring to Transport Stolen GoodsRead the Press Release
CAMDEN, N.J. – A Jersey City man admitted to engaging in a conspiracy to burglarize logistics warehouses and transport the stolen goods, Senior Counsel Philip W. Lamparello announced.
Derek Spivey, 37, of Jersey City, New Jersey, pleaded guilty before U.S. District Judge Edward S. Kiel to an information charging him with one count of conspiring to transport stolen goods. Spivey also pleaded guilty to violating the conditions of his supervised release from a prior conviction for possessing a firearm as a felon.
According to documents filed in this case and statements made in court:
Spivey conspired with Jamil Bethea, Jamal Reid, Rasheed Sharpe, and others to burglarize trailers at logistics warehouses in New Jersey and Pennsylvania, transport the goods stolen from those warehouses, and sell the stolen goods to others. As part of the conspiracy, burglars stole $50,000 of Department of Defense laptops from a Pennsylvania warehouse in January 2025; $200,000 of high-end perfume from a Pennsylvania warehouse in March 2025; and $20,000 of liquor from a New Jersey warehouse in March 2025. Spivey and his co-conspirators then transported stolen goods into and through New Jersey for the purpose of selling them.
The count of conspiracy carries a maximum penalty of 5 years in prison and a fine of up to $250,000, or twice the gross loss to the victim or gain to the defendant, whichever is greatest. Sentencing is scheduled for June 1, 2026.
Bethea, Reid, and Sharpe previously pleaded guilty for their roles in the conspiracy and are scheduled to be sentenced later this year.
Senior Counsel Lamparello credited agents of the Federal Bureau of Investigation, Atlantic City Resident Agency, under the direction of Special Agent in Charge Stefanie Roddy in Newark, with the investigation leading to this plea. He also thanked the Federal Bureau of Investigation’s Philadelphia Field Division with its assistance in the investigation.
The government is represented by Assistant U.S. Attorney Jeffrey Bender of the U.S. Attorney’s Office in Camden.
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Defense counsel: Thomas Young, Esq., Assistant Federal Public Defender
spivey.information.pdfFormer Willingboro Township Mayor and Associate Convicted of Mortgage Fraud in Connection with Fraudulent Short SaleRead the Press Release
NEWARK/TRENTON/CAMDEN, N.J. – A federal jury found the former Mayor of Willingboro Township and another individual guilty yesterday of mortgage fraud in connection with a fraudulent short sale of real estate, Senior Counsel Philip Lamparello announced.
Nathaniel Anderson, 59, a town councilman and the former Mayor of Willingboro in Burlington County, New Jersey, and his business associate Chrisone D. Anderson, 58, of Sicklerville, New Jersey, were each convicted of one count of conspiracy to commit wire fraud affecting a financial institution, one count of bank fraud, and two counts of making a false statement on a mortgage application.
The jury deliberated for approximately two-and-one-half hours before returning verdicts following a two-week trial before U.S. District Judge Robert Kirsch in Trenton federal court. A federal grand jury indicted both defendants on August 22, 2024.
According to documents filed in this case and the evidence at trial:
From March 2015 through June 2017, Nathaniel Anderson and Chrisone D. Anderson conspired to orchestrate a fraudulent short sale of a property in Willingboro from Nathaniel Anderson to Chrisone D. Anderson.
As part of the conspiracy to defraud a government-sponsored enterprise to discharge a mortgage obligation on Nathaniel Anderson’s property in Willingboro and to induce a mortgage lending business to issue a new mortgage on the property, Chrisone D. Anderson executed mortgage documents containing materially false representations. These misrepresentations included that the short sale was an arm’s length transaction, that Chrisone D. Anderson did not have a prior business relationship with Nathaniel Anderson, that Nathaniel Anderson would not continue to occupy the property as his residence following the short sale, and that Chrisone D. Anderson would occupy the property as her primary residence.
As a result of the fraudulent short sale, the government-sponsored enterprise discharged Nathaniel Anderson’s mortgage obligation, causing a total loss of over $200,000, and the victim lender issued a new mortgage on the property.
The charges of conspiracy to commit wire fraud affecting a financial institution, bank fraud, and making false statements on a loan application are each punishable by a maximum potential penalty of 30 years in prison and a maximum fine of up to $1 million. Sentencing is scheduled for June 1, 2026 before Judge Kirsch.
Senior Counsel Lamparello credited special agents of the FBI, Newark Division, Trenton Resident Agency, under the direction of Special Agent in Charge Stefanie Roddy in Newark; and special agents of the Northeast Region of the Federal Housing Finance Agency, Office of the Inspector General, under the direction of Special Agent in Charge Robert Manchak, with the investigation leading to the charges.
The government is represented by Assistant U.S. Attorney Joseph McFarlane of the Special Prosecutions Division, and Assistant U.S. Attorney Andrew M. Trombly, Chief of the Cybercrime Unit in Newark.
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Defense counsel: Troy Archie, Esq. (Chrisone D. Anderson)
Andrea Aldana and Adalgiza Nunez (Nathaniel Anderson)
anderson.indictment.pdfCouple Charged in COVID-19 Fraud SchemeRead the Press Release
NEWARK, N.J. – A couple who purportedly owned two New Jersey businesses were indicted on charges that they fraudulently obtained hundreds of thousands of dollars in federal Paycheck Protection Program (PPP) loans, Senior Counsel Philip Lamparello announced.
Sabrina Mitlo, 41, and Joseph Mitlo, 40, both formerly of Piscataway, New Jersey, are each charged with one count of conspiracy to commit bank fraud. They made their initial appearances on January 20, before U.S. Magistrate Judge James B. Clark, III in Newark federal court and were released on $100,000 unsecured bond.
According to documents filed in this case and statements made in court:
From May 2020 through July 2020, Sabrina and Joseph Mitlo engaged in a scheme to illegally obtain over $715,000 in PPP loans on behalf of businesses located in New Jersey that they purportedly owned but which had no employees or payroll. To do so, the Mitlos submitted fraudulent loan applications falsely representing that their businesses had employees and payroll obligations, which included falsified tax documents purporting to show that the businesses had paid wages in prior years. Once the PPP loans were issued into the business bank accounts, in order to obtain the loan proceeds while keeping the scheme a secret, the Mitlos arranged for a payroll service to issue payroll checks to purported employees of the businesses that did not, in fact, work for the businesses. Once the Mitlos obtained those payroll checks, Sabrina Mitlo personally cashed them at a check cashing facility and kept the proceeds.
The count of conspiracy to commit bank fraud carries a maximum penalty of 30 years in prison and a maximum fine of $1 million, or twice the gross gain to the defendant or gross loss to the victim, whichever is greatest.
Senior Counsel Lamparello credited with the investigation special agents of the FBI’s Newark Field Office, under the direction of Special Agent in Charge Stefanie Roddy; and special agents and attorneys of the Small Business Administration, Office of Inspector General, under the direction of Special Agent in Charge Amaleka McCall-Brathwaite, Eastern Regional Office in New York.
The government is represented by Assistant U.S. Attorney Robert L. Toll of the U.S. Attorney’s Office’s Health Care Fraud & Opioids Enforcement Unit in Newark.
The District of New Jersey COVID-19 Fraud Enforcement Strike Force is one of five strike forces established throughout the United States by the U.S. Department of Justice to investigate and prosecute COVID-19 fraud. The strike forces focus on large-scale, multi-state pandemic relief fraud perpetrated by criminal organizations and transnational actors. The strike forces are interagency law enforcement efforts, using prosecutor-led and data analyst-driven teams designed to identify and bring to justice those who stole pandemic relief funds.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
The charges and allegations contained in the complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
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mitlo.indictment.pdfManaging Director of Maywood, New Jersey Elderly and Disabled Housing Facility Admits to Embezzling over $544,000Read the Press Release
NEWARK, N.J. – A Bergen County woman admitted to embezzling more than $544,000 from a residential facility located in Maywood, New Jersey where she was employed, Senior Counsel Philip Lamparello announced.
Elaine Benanti, 69, of Garfield, New Jersey, pleaded guilty before U.S. District Judge Madeline Cox Arleo, on January 20, 2026, to embezzling, stealing, and obtaining by fraud more than $544,000 of funds belonging to and under the care, custody and control of the Maywood Senior Citizens Housing Corporation (MSCHC) which operated Lydecker Manor, in Maywood, New Jersey, in violation of Title 18, United States Code, Section 666(a)(1)(A).
According to the documents filed in this case and statements by the defendant in open court:
From in or about January 2017 through in or about December 2021, Benanti served as the Managing Director of Lydecker Manor, a residential facility with approximately 136 units that provided housing for individuals over 62 or with disabilities. Benanti’s responsibilities included supervising Lydecker employees, providing information to the U.S. Department of Housing and Urban Development (HUD), which provided significant funding for Lydecker Manor, and paying Lydecker Manor’s bills. Benanti also issued salary and bonus checks to herself and at least four other Lydecker employees in amounts set by Lydecker Manor’s Board of Trustees.
Benanti admitted that she issued salary checks that significantly exceeded the amounts the Board approved on an annual basis, including checks to herself and four other employees. For example, Benanti admitted that, in 2021, she issued salary payments to herself exceeding her approved annual salary of $132,613.00 by more than $40,000.00, and that she inflated her approved bonus for the prior year by more than $2,500.00. She also admitted that she issued salary, bonus, and retirement account checks that exceeded the Board’s approved amounts for four other employees from 2017 through 2021. She further admitted to issuing a supplemental insurance payment to a relative who was not employed by Lydecker Manor.
In total, Benanti admitted to embezzling approximately $544,289.95 from Lydecker Manor via these various means. As part of her plea agreement with the Government, Benanti agreed to forfeit this amount.
The embezzlement charge is punishable by a maximum potential penalty of 10 years in prison and a maximum $250,000 fine. Sentencing is scheduled for June 23, 2026.
Senior Counsel Philip Lamparello credited special agents with the Federal Bureau of Investigation, under the direction of special agent in charge Stefanie Roddy in Newark as well as special agents with the Office of Inspector General with the United States Department of Housing and Urban Development, Northeast Region, under the direction of special agent in charge Shawn Rice.
The government is represented by Assistant U.S. Attorney Mark J. McCarren of the Office’s Special Prosecutions Division in Newark.
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Defense counsel: Anthony J. Iacullo, Esq., Roseland
benanti.information.pdfHunterdon County Man Charged with Wire Fraud and Money Laundering in Connection with Multimillion Dollar Liquor License Fraud SchemeRead the Press Release
NEWARK, N.J. – A Hunterdon County, New Jersey man made his initial appearance on January 23, 2026 following his arrest on charges of wire fraud and money laundering in connection with a scheme involving liquor licenses, Senior Counsel Philip Lamparello announced.
Sameh Aboelata, 50, of Raritan Township, New Jersey, was charged in a four-count criminal complaint with one count of wire fraud and three counts of money laundering. Aboelata had his initial appearance before United States Magistrate Judge James B. Clark, III in Newark federal court.
According to documents filed in this case and statements made in Court:
As alleged, between 2016 and 2023, Aboelata obtained more than $17 million from a victim investor by claiming he would use the victim’s money to acquire and maintain liquor licenses. In reality, Aboelata used the money to line his own pockets, including for casino-related transactions, transfers or checks to family members or associates, rental payments for Aboelata’s restaurant, and transfers to other related bank accounts. Financial records show that only several thousand dollars of the $17 million was actually used to acquire and maintain liquor licenses.
The charge of wire fraud carries a maximum penalty of 20 years in prison and a fine of $250,000, or twice the gross amount of any pecuniary gain that anyone derived from the offense or of any pecuniary loss sustained by any victims of the offense, whichever is greatest. Each charge of money laundering carries a maximum penalty of 10 years in prison and a fine of $250,000 or twice the amount of criminally derived property involved in the transaction, whichever is greater.
Senior Counsel Philip Lamparello credited agents of the IRS Criminal Investigation Newark Field Office, under the direction of Special Agent in Charge Jenifer L. Piovesan, and the U.S. Postal Inspection Service’s Philadelphia Division, under the direction of Inspector in Charge Christopher Nielsen, with the investigation leading to the charges. He also thanks the USPIS Newark Division, Homeland Security Investigations Newark, and Raritan Township Police Department for their assistance with the investigation.
The Government is represented by Assistant United States Attorneys Rachelle M. Navarro and Mark Pesce of the Bank Integrity, Money Laundering, and Recovery Unit in Newark.
The charges and allegations contained in the complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
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Defense counsel: Rahul Sharma, Esq., Assistant Federal Public Defender, Newark
TD Bank Insider Pleads Guilty to Facilitating Colombian ATM Money Laundering SchemeRead the Press Release
NEWARK – A former New Jersey-based employee of TD Bank, N.A., Oscar Marcel Nunez-Flores (“Nunez”), pleaded guilty today to accepting bribes in return for facilitating a money laundering network’s movement of over $26 million to Colombia through TD Bank accounts.
Nunez, 34, of North Plainfield, New Jersey, pleaded guilty before the Honorable Esther Salas to a two-count Information charging him with conspiring to launder monetary instruments and for receipt of bribes by a bank employee. He is scheduled to be sentenced on May 27.
“This case shows how complex money laundering schemes often depend on insiders who are willing to bend—or break—basic safeguards. Our office will continue to identify, investigate, and prosecute those who turn financial institutions into vehicles for large-scale criminal activity.”
- Senior Counsel Philip Lamparello
“Mr. Nunez afforded his co-conspirators unfettered access to TD Bank, while lining his own pockets in the process, and has been held to account, as will be others who abuse the financial system,” said Assistant Attorney General A. Tysen Duva. “The Criminal Division is committed to protecting the security of our financial system and the Bank Integrity Unit is at the vanguard of that critical mission.”
According to court filings and statements in court, beginning in March 2021 and continuing until his arrest in October 2023, Nunez, then a TD Bank employee in Scotch Plains, New Jersey, accepted bribes and leveraged his position to facilitate a money laundering network’s expatriation of over $26 million from the United States to Colombia. Through the course of his scheme, Nunez opened dozens of accounts in the names shell companies with nominee owners. Nunez knew that the purported owners were not actually controlling the accounts and, in fact, often opened the accounts without any customer present whatsoever. The accounts Nunez opened in furtherance of the scheme were collectively issued over 600 debit cards, primarily by Nunez himself. These debit cards were then used to make over 120,000 withdrawals at ATMs throughout Colombia.
Nunez also participated in the conspiracy in other ways. For example, after issuing debit cards to a fraudulent account, he shipped them directly to a co-conspirator in Colombia. Additionally, Nunez registered shell companies in New Jersey and then opened accounts in their names at TD Bank in furtherance of the money laundering scheme. Nunez opened these accounts in exchange for a fee ranging from approximately $500 to $2,500, which was typically paid either in cash or through a peer-to-peer digital payment network.
The charge of money laundering conspiracy carries a maximum penalty of 20 years in prison and a fine of $500,000 or twice the amount involved in the offense, whichever is greater. The charge of receipt of bribes by a bank employee carries a maximum penalty of 30 years in prison and a fine of $1,000,000 or three times the amount involved in the offense, whichever is greater.
The U.S. Drug Enforcement Administration (DEA), IRS-Criminal Investigation (IRS-CI), and the Federal Deposit Insurance Corporation Office of Inspector General (FDIC-OIG) investigated the case. The Department also thanks the Morristown Police Department, the U.S. Attorney’s Office for the District of Puerto Rico, and the U.S. Attorney’s Office for the Western District of Washington for their assistance with the investigation.
Assistant U.S. Attorney Marko Pesce, Chief of the Bank Integrity, Money Laundering, and Recovery Unit for the District of New Jersey and Trial Attorneys D. Zachary Adams and Chelsea Rooney of the Criminal Division’s Money Laundering, Narcotics and Forfeiture Section are prosecuting the case.
The Money Laundering, Narcotics and Forfeiture Section’s Bank Integrity Unit investigates and prosecutes banks and other financial institutions, including their officers, managers and employees whose actions threaten the integrity of the individual institution or the wider financial system.
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Defense counsel: Peter Katz, Esq.
nunez.information.pdfPaterson Doctor Sentenced to 87 Months in Prison for Conspiracy to Distribute OpioidsRead the Press Release
NEWARK, N.J. – A Paterson, New Jersey, doctor was sentenced to a term of 87 months in prison and three years of supervised release for conspiring to distribute opioids without a legitimate medical reason, Senior Counsel Philip Lamparello announced.
“Physicians are entrusted with extraordinary power over the lives and health of their patients. When a physician abandons that duty and instead fuels opioid addiction for profit, the damage ripples far beyond a single exam room and into entire communities. This sentence reflects the seriousness of that breach of trust and sends a clear message: medical licenses are not shields for criminal conduct, and doctors who help drive the opioid epidemic will be held accountable.”
- Senior Counsel Philip Lamparello
Lisa Ferraro, 67, of Hillsdale, New Jersey, previously pleaded guilty before U.S. District Judge Susan D. Wigenton in Newark federal court to one count of knowingly and intentionally conspiring and agreeing with others, to distribute oxycodone, a Schedule II controlled substance, outside the usual course of professional practice and not for a legitimate medical purpose.
According to documents filed in this case and statements made in court:
From January 2019 to September 23, 2023, Ferraro, who practiced internal medicine in Paterson until her arrest in October 2023, participated in a conspiracy to prescribe oxycodone, an opioid pain medication, to individuals who posed as patients, but whom Ferraro never physically examined or questioned about symptoms to determine whether there was a legitimate medical need for prescribing oxycodone. Over the course of the conspiracy, Ferraro wrote prescriptions for tens of thousands of 30mg oxycodone pills.
Senior Counsel Lamparello credited special agents and members of the Federal Bureau of Investigation, under the direction of Special Agent in Charge Stefanie Roddy in Newark, with the investigation.
The government is represented by Assistant U.S. Attorney Aaron L. Webman, Deputy Chief of the Economic Crimes Unit in Newark.
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Defense counsel: Linda George, Hackensack, NJ
Passaic County Man Sentenced to 144 Months for Fentanyl Analogue Distribution and Money Laundering ConspiraciesRead the Press Release
NEWARK, N.J. – A Passaic County man was sentenced to 144 months’ imprisonment for his role as a member of a drug trafficking organization responsible for the importation and distribution of hundreds of kilograms of fentanyl analogues, Senior Counsel Philip Lamparello announced.
Defendant William Panzera, 53, of North Haledon, New Jersey was previously convicted of drug trafficking conspiracy and international promotional money laundering conspiracy by a jury in Newark, New Jersey. U.S. District Judge Susan D. Wigenton imposed the sentence today in Newark federal court. Eight other defendants have previously pleaded guilty in the case and are awaiting sentencing.
According to documents filed in this case and statements made in court:
From approximately January 2014 through September 2020, William Panzera and other members of the drug trafficking organization agreed to import and distribute various controlled substances and controlled substance analogues, including fentanyl analogues, MDMA, methylone, and ketamine. Members of the conspiracy placed orders with a source in China and agreed to distribute, and did distribute, the controlled substances and analogues in New Jersey, both in bulk and in the form of counterfeit pharmaceutical pills that actually contained fentanyl analogues. In total, they imported over a metric ton of fentanyl related substances and other drugs into the United States. They also sent hundreds of thousands of dollars to China using wire transfers and Bitcoin to pay for the drugs.
In addition to the prison term, Judge Wigenton sentenced Panzera to 5 years of supervised release.
Senior Counsel Philip Lamparello of the New Jersey U.S. Attorney’s Office and Assistant Attorney General A. Tysen Duva of the Justice Department’s Criminal Division made the announcement. Senior Counsel Lamparello credited special agents of Homeland Security Investigations (“HSI”) – Newark, under the direction of Special Agent in Charge Michael S. McCarthy, with the investigation leading to today’s guilty plea. He also thanked U.S. Customs and Border Protection in New Jersey, New York, and Kentucky, HSI in Philadelphia, the Federal Bureau of Investigation – Newark Division, U.S. Postal Inspection Service in Newark, IRS-Criminal Investigation, the Newark Police Department, and the Essex County Prosecutor’s Office for their assistance.
The government is represented by Assistant U.S. Attorney Sammi Malek and Special Assistant U.S. Attorney Alexander Hasapidis-Sferra of the Criminal Division in Newark and Trial Attorney Stephen Sola, Chief of the Money Laundering and Forfeiture Unit of the Justice Department’s Money Laundering and Asset Recovery Section. Financial Investigator Kathryn Montemorra of the MLARS Special Financial Investigations Unit supported the investigation. The case is being prosecuted jointly by the United States Attorney’s Office, District of New Jersey and the Money Laundering and Asset Recovery Section (MLARS) of the United States Department of Justice.
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Defense counsel: Jeffrey G. Garrigan, Esq.