District of New Jersey
Press releases recorded for this federal judicial district.
Passaic County Man Sentenced to 63 Months in Prison for Role in Fentanyl ConspiracyRead the Press Release
NEWARK, N.J. – A Passaic County, New Jersey, man was sentenced today to 63 months in prison for conspiring to distribute fentanyl and distributing fentanyl, Acting U.S. Attorney Rachael A. Honig announced.
Cequan Wharton, a/k/a “Cee Cee,” 27, of Paterson, New Jersey, previously pleaded guilty before U.S. District Judge Brian R. Martinotti in Newark federal court to an information charging him with conspiracy to distribute and possess with intent to distribute heroin and knowingly and intentionally distributing heroin. Judge Martinotti imposed the sentence by videoconference today.
According to documents filed in this case and statements made in court:
Wharton and his conspirators are members and associates of the 230 Boys street gang, which operates primarily around Rosa Parks Boulevard and Godwin Avenue in Paterson. Through numerous controlled purchases of narcotics, consensually recorded telephone calls and text messages, physical surveillance, and the analysis of telephone call detail records, law enforcement officers determined that from at least September 2018 through Oct. 1, 2019, Wharton and his conspirators conspired to distribute narcotics, including heroin and fentanyl.
In addition to the prison term, Judge Martinotti sentenced Wharton to three years of supervised release.
This case is being conducted under the auspices of the Organized Crime Drug Enforcement Task Force (OCDETF). The principal mission of the OCDETF program is to identify, disrupt and dismantle the most serious drug trafficking, weapons trafficking and money laundering organizations, and those primarily responsible for the nation’s illegal drug supply.
Acting U.S. Attorney Honig credited special agents and task force officers with the Bureau of Alcohol, Tobacco, Firearms and Explosives, Newark Division, under the direction of Special Agent in Charge Charlie J. Patterson; special agents of the Drug Enforcement Administration, under the direction of Special Agent in Charge Susan A. Gibson in Newark; officers of the N.J. State Police, under the direction of Col. Patrick J. Callahan; officers of the Paterson Police Department, under the direction of Director Jerry Speziale and Police Chief Ibrahim Baycora; detectives of the Passaic County Prosecutor’s Office, under the direction of Prosecutor Camelia Valdes; and the Passaic County Sheriff’s Office, under the direction of Sheriff Richard H. Berdnik, with the investigation leading to the charges. He also thanked the U.S. Marshals Service, the Bergen County Sheriff's Office and the Belleville and Livingston police departments for their assistance with the case.
The government is represented by Assistant U.S. Attorney Francesca Liquori, of the Organized Crime and Gangs Unit.
Owner of Georgia Consulting Company and Texas Man Charged in $2.7 Million Genetic Testing Kickback SchemeRead the Press Release
NEWARK, N.J. – The owner of a Georgia consulting company and a Texas man were charged today in connection with their roles in a conspiracy to pay kickbacks and bribes in exchange for referrals of patient DNA samples and genetic tests to a laboratory, Acting U.S. Attorney Rachael A. Honig announced.
John Berberian, 46, of Atlanta, Georgia, and Christopher Lytle, 51, of Desoto, Texas, are each charged by complaint with conspiracy to violate the Anti-Kickback Statute. Both defendants are scheduled to have their initial appearances by videoconference on Feb. 11, 2021, before a U.S. Magistrate Judge.
According to documents filed in this case and statements made in court:
Berberian owned and operated a consulting company based in Atlanta. The consulting company entered into agreements with marketing and sales groups, which acquired patients’ DNA samples and physicians’ orders for the purpose of submitting those samples and orders to clinical laboratories for genetic tests and related services. Lytle partnered with Berberian and others to recruit and oversee these patient acquisition groups.
From as early as June 2018 through November 2018, Berberian, Lytle, and others conspired to offer and pay kickbacks and bribes to Ark Laboratory Network LLC, a patient acquisition group. These kickbacks and bribes were paid in exchange for Ark’s referral of patient DNA samples, including from beneficiaries in New Jersey, to Personalized Genetics LLC, d/b/a Personalized Genomics (PGL), a clinical laboratory in Pittsburgh, Pennsylvania, for genetic testing. PGL, in turn, via a billing company associated with Berberian, billed and obtained payment from Medicare for these genetic tests. Berberian’s consulting company paid Ark $957,783 in kickbacks and bribes in exchange for DNA samples and physicians’ orders it delivered to PGL. As a result of the claims PGL submitted to Medicare for the related genetic tests, Medicare paid PGL more than $2.7 million.
Berberian, Lytle, and others arranged for PGL to enter into a sham contract with Ark in order to make it look like Ark had agreed to provide various marketing, call center, and other services for PGL for $500 per hour. In reality, the consulting company – not PGL – paid Ark in exchange for DNA samples and physicians’ orders. The amount it paid Ark bore no relation to the amount of hours Ark billed for the phony services identified in the sham contract. Instead, the payments were based on the number of samples that Ark delivered to PGL – $1,500 per individual sample for genetic tests related to a patient’s hereditary predisposition for cancer and approximately 50 percent of the net revenue that PGL received from Medicare for pharmacogenomic tests (referred to in the complaint as the “Bribe Formula.”)
To conceal the payment of kickbacks and bribes to Ark, Berberian, Lytle, and others directed Ark to draft and submit, via the consulting company, sham invoices to PGL that purported to bill for hourly services at a rate of $500 per hour. Berberian and Lytle, however, had already determined with Ark the amount of kickbacks and bribes that the consulting company would pay Ark pursuant to the Bribe Formula. Ark’s sham invoices, which typically repeated the same identical description of services, including “conference calls” and “prospective Ark client visits,” simply adjusted the total amount of hours billed so that the amount due under the invoice equaled the same amount due to Ark under the Bribe Formula.
The conspiracy charge against Berberian and Lytle carries a maximum penalty of five years in prison and a fine of $250,000, or twice the gross grain or loss from the offense, whichever is greatest.
Acting U.S. Attorney Honig credited special agents of the U.S. Department of Health and Human Services, Office of Inspector General, under the direction of Special Agent in Charge Scott Lampert; and special agents of the U.S. Attorney’s Office for the District of New Jersey, under the direction of Supervisory Special Agent Thomas Mahoney, with the investigation leading to today’s charges.
The government is represented by Assistant U.S. Attorneys Bernard J. Cooney and Osmar J. Benvenuto of the Health Care Fraud Unit of the U.S. Attorney’s Office in Newark.
The charge and allegations in the complaint are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
Hudson County Felon Sentenced to 37 Months in Prison for Possession of Firearm and AmmunitionRead the Press Release
NEWARK, N.J. – A Hudson County, New Jersey, man previously convicted of multiple felonies was sentenced today to 37 months in prison for illegally possessing a firearm and ammunition, Acting U.S. Attorney Rachael A. Honig announced.
Benorce Duncan, 32, of Jersey City, previously pleaded guilty before U.S. District Judge Katharine S. Hayden in Newark federal court to an indictment charging him with one count of possession of a firearm and ammunition by a convicted felon. Judge Hayden imposed the sentence by videoconference today.
According to documents filed in this case and statements made in court:
On May 21, 2019, Duncan knowingly possessed a Röhm .22-caliber RG10 revolver loaded with six rounds of ammunition. At that time, Duncan had previously been convicted in Hudson County Superior Court of aggravated assault and robbery, both of which are felonies.
In addition to the prison term, Judge Hayden sentenced Duncan to three years of supervised release.
This case is part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws. Initiated by the Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence; enhances coordination of federal, state, local and tribal authorities in investigating and prosecuting gun crimes; improves information sharing by the Bureau of Alcohol, Tobacco, Firearms and Explosives when a prohibited individual attempts to purchase a firearm and is denied by the National Instant Criminal Background Check System (NICS), to include taking appropriate actions when a prospective purchaser is denied by the NICS for mental health reasons; and ensures that federal resources are directed at the criminals posing the greatest threat to our communities. For more information about Project Guardian, please see https://www.justice.gov/projectguardian.
Acting U.S. Attorney Honig credited special agents of the Bureau of Alcohol, Tobacco, Firearms and Explosives, under the leadership of Special Agent in Charge Charlie J. Patterson in Newark, and the Jersey City Police Department, under the direction of Public Safety Director James Shea, with the investigation leading to today’s sentencing.
The government is represented by Assistant U.S. Attorney Sarah A. Sulkowski of the U.S. Attorney’s Office Cybercrime Unit in Newark.
Former NJDCP&P Employee Admits Production of Child PornographyRead the Press Release
CAMDEN, N.J. – An Atlantic County, New Jersey, man who was previously employed by the New Jersey Department of Child Protection and Permanency (NJDCP&P) today admitted producing images of child sexual abuse, Acting U.S. Attorney Rachael A. Honig announced.
Kayan Frazier, 28, pleaded guilty by videoconference before U.S. District Judge Joseph H. Rodriguez to one count of producing images of child pornography. Frazier has been detained since his arrest on July 12, 2019, and his detention was continued.
According to documents filed in this case and statements made in court:
After receiving a report of images of child sexual abuse distributed via Tumblr, law enforcement officers identified Frazier, who was then employed as a case worker at NJDCP&P as the sender. On April 12, 2019, the Atlantic County Prosecutor’s Office obtained a search warrant for Frazier’s residence and, while executing the warrant, observed Frazier in the company of an underage boy. Law enforcement officers recovered thousands of additional images of child sexual abuse on Frazier’s cellular telephone and other electronic media, which included images of the boy taken in Frazier’s apartment. Frazier admitted that he took the images with a cellular telephone.
The count to which Frazier pleaded guilty carries a mandatory minimum penalty of 15 years in prison, a maximum possible penalty of 30 years in prison and a $250,000 fine. Sentencing is scheduled for June 8, 2021.
Acting U.S. Attorney Honig credited special agents of FBI Atlantic City Resident Agency, Human Trafficking Crimes Against Children Task Force, under the direction of Special Agent in Charge George M. Crouch Jr. in Newark; the Atlantic County Prosecutor’s Office, under the direction of Prosecutor Damon Tyner; the Atlantic County Sheriff’s Office, under the direction of Sheriff Eric Scheffler; the New Jersey State Police, under the direction of Col. Patrick J. Callahan, and the New Jersey Human Services Police, with the investigation leading to today’s guilty plea.
The government is represented by Assistant U.S. Attorney Diana Vondra Carrig of the U.S. Attorney’s Office’s Criminal Division in Camden.
Bergen County Man Admits Bankruptcy FraudRead the Press Release
NEWARK N.J. – A Bergen County, New Jersey, man today admitted concealing assets from a bankruptcy trustee, Acting U.S. Attorney Rachael A. Honig announced.
Victor Osorio, 53, of Creskill, New Jersey, pleaded guilty by videoconference before U.S. District Judge Kevin McNulty to an information charging him with one count of bankruptcy fraud.
According to documents filed in this case and statements made in court:
On Feb. 16, 2017, Osorio filed a voluntary petition for relief under Chapter 7 of the Bankruptcy Code in the U.S. Bankruptcy Court for the District of New Jersey. In his petition and accompanying Schedules of Assets and Liabilities, Osorio declared that he did not have an ownership interest in any incorporated or unincorporated businesses. In so doing, Osorio failed to disclose that he had an ownership interest in both Business-1 and Business-2. Approximately seven months earlier, Osorio had filed a Chapter 11 bankruptcy petition for Business-1, in which he declared that he was Business-1’s sole owner. Osorio also declared that he did not own or have an interest in any checking, savings, or other financial accounts, failing to disclose a bank account in the Dominican Republic in which he had an interest.
In connection with the petition, on Feb. 24, 2017, Osorio filed amended Schedules of Assets and Liabilities, which disclosed a partial ownership interest in Business-1. That declaration was inconsistent with information contained in Business-1’s Chapter 11 bankruptcy proceeding, in which Osorio declared that he was the sole owner of Business-1. The amended schedules also failed to disclose Osorio’s ownership interest in Business-2 and the bank account in the Dominican Republic.
The bankruptcy fraud charge carries a maximum potential penalty of five years in prison and a $250,000 fine, or twice the gross gain or loss from the offense. Sentencing is scheduled for June 28, 2021.
Acting U.S. Attorney Honig credited special agents of Homeland Security Investigations and detectives of the New York City Police Department assigned to HSI’s Border Security Enforcement Task Force, under the direction of HSI Special Agent in Charge Peter C. Fitzhugh in New York, with the investigation leading to today’s guilty plea.
The government is represented by Assistant U.S. Attorney Dara Govan, Chief of the U.S. Attorney’s Office’s Government Fraud Unit in Newark and Assistant U.S. Attorney Samantha C. Fasanello of the U.S. Attorney’s Office’s Criminal Division in Newark.
Two More People Charged in Connection with Multi-State Scheme to Defraud Financial Institutions of Millions of DollarsRead the Press Release
TRENTON, N.J. - Two men were arrested today for their alleged roles in a scheme to defraud multiple financial institutions of millions of dollars, Acting Attorney Rachael A. Honig announced.
Syed Abbas, 32, of Westerville, Ohio, and Muhammad Naveed, 35, of Jersey City, New Jersey, were arrested by federal law enforcement this morning and are each charged by criminal complaint with conspiracy to commit bank fraud. Naveed is scheduled to appear later today by videoconference before U.S. Magistrate Judge Lois H. Goodman. Abbas is scheduled to appear today in Ohio federal court and have his initial appearance by videoconference before Judge Goodman on Feb. 8, 2021.
The defendants are the eighth and ninth defendants charged in the same criminal complaint in the District of New Jersey in connection with the wide-ranging conspiracy to defraud federally insured banks and merchant processors of millions of dollars. In July 2020, seven other defendants were charged in connection with the scheme.
According to documents filed in the case and statements made in court:
From March 2018 through April 2020, Abbas and Naveed conspired with each other and others to defraud several financial institutions. Abbas and Naveed and their conspirators established bank accounts associated with sham entities that had no legitimate purpose, and thereafter issued checks payable to other shell companies associated with the criminal organization, knowing that the payor accounts had insufficient funds. Abbas and Naveed also conducted numerous fraudulent credit card and debit card transactions between shell companies to fraudulently credit payee accounts and fraudulently overdraw payor accounts. Abbas and Naveed would use these shell companies to execute temporary refund credits, commonly referred to as “charge-backs,” to checking accounts associated with the criminal organization.
Abbas and Naveed withdrew the “existing” funds (through ATMs or bank tellers) that banks had credited to the payee bank accounts at the time of the fraudulent transactions. Because Abbas and Naveed withdrew the credited funds from the payee accounts before the banks could recognize the fraudulent transactions, the banks were left with substantial losses.
Law enforcement identified approximately 200 bank accounts used to facilitate the fraudulent schemes. Abbas, Naveed, and other conspirators’ unlawful activities attempted to cause a $10 million loss on financial institutions. The loss attributable to Abbas and Naveed exceeded $1 million.
The bank fraud conspiracy count carries a maximum potential penalty of 30 years in prison and a maximum fine of $1 million.
Acting U.S. Attorney Honig credited postal inspectors with the U.S. Postal Inspection Service, under the direction of Acting Inspector in Charge Raimundo Marrero, Newark Division; special agents of the Department of Homeland Security, Homeland Security Investigations, under the direction of Special Agent in Charge Jason J. Molina in Newark; special agents of the Social Security Administration, under the direction of John F. Grasso; special agents of IRS-Criminal Investigation, under the direction of Special Agent in Charge Michael Montanez; and special agents of the Department of Homeland Security, Homeland Security Investigations – Ohio Division, with the investigation leading to the arrests.
The government is represented by Assistant U.S. Attorney Ray Mateo of the U.S. Attorney's Office Criminal Division in Trenton.
The charges and allegations contained in the complaint are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
Somerset County Man Admits Defrauding Former Employer of More Than $1 MillionRead the Press Release
NEWARK, N.J. – A Somerset County, New Jersey, man today admitted defrauding his former employer by using the employer’s account to make unauthorized purchases of high-end electronic devices and selling those items on after-market websites, Acting U.S. Attorney Rachael A. Honig announced.
Ovais Mayet, 33, of Hillsborough, New Jersey, pleaded guilty by videoconference before U.S. District Judge Madeline Cox Arleo to an information charging him with one count of wire fraud.
According to documents filed in this case and statements made in court:
Mayet was a biological engineer with a biopharmaceutical company located in Summit, New Jersey. He was permitted to use the employer’s business account to make authorized purchases of materials and equipment for work-related purposes. Instead, Mayet used the employer’s account to purchase substantial quantities of electronic devices, which he did not and would not use in the course of his employment. Between January 2019 and March 2020, Mayet executed online purchase orders and disguised these purchases as business expenses, when, in fact, they were for his own personal gain. Mayet resold the items on after-market websites and used the proceeds to pay for personal expenses. Mayet obtained nearly $1.1 million worth of electronic devices from the fraudulent scheme.
The wire fraud charge to which Mayet pleaded guilty carries a maximum potential penalty of 20 years in prison and a fine of $250,000, or twice the gross amount of gain or loss from the offense, whichever is greater. Sentencing is scheduled for June 7, 2021.
Acting U.S. Attorney Honig credited special agents of the FBI, Trenton Resident Agency, under the direction of Special Agent in Charge George M. Crouch Jr. in Newark, with the investigation leading to today’s guilty plea.
The government is represented by Assistant U.S. Attorney Ray Mateo of the U.S. Attorney’s Office Criminal Division in Trenton.
Burlington County Man Admits $350,000 Fraud SchemeRead the Press Release
CAMDEN, N.J. – A Burlington County, New Jersey, man today admitted stealing more than $350,000 from a special needs trust, Acting U.S. Attorney Rachael A. Honig announced.
Eugene Young, 69, of Mount Holly, New Jersey, pleaded guilty by videoconference before U.S. District Judge Joseph H. Rodriguez to an information charging him with one count of wire fraud.
According to documents filed in this case and statements made in court:
A special needs trust was established to provide for the supplemental care, maintenance, support, and education of a disabled individual and, in December 2017, had more than $1 million in assets in two bank accounts. In December 2017, Young caused the trust’s trustee, a senior citizen, to execute a power of attorney appointing him as the trustee’s agent.
Young used the power of attorney to gain access to the trust’s bank accounts and, between December 2017 and June 2019, used a variety of means to divert funds from the trust. Young used a debit card associated with the bank accounts to make more than 650 purchases and approximately 200 ATM withdrawals. He also wrote checks from the accounts to himself, made other withdrawals from the accounts, and cashed portions of annuity checks that were the property of the trust. The funds were not used for the benefit of the trust’s beneficiary, as required by the terms of the trust, but rather for Young’s personal use. Young misappropriated more than $350,000 from the trust before his scheme was discovered.
The wire fraud charge carries a maximum potential penalty of 20 years in prison and a maximum fine of $250,000 or twice the gross pecuniary gain to the defendant or twice the gross pecuniary loss to others, whichever is greater. Sentencing is scheduled for June 7, 2021.
Acting U.S. Attorney Honig credited special agents of FBI’s Atlantic City Resident Agency, under the direction of Special Agent in Charge George M. Crouch Jr. in Newark, special agents of the Defense Criminal Investigative Service, under the direction of Special Agent in Charge Patrick J. Hegarty, and special agents of U.S. Immigrations and Customs Enforcement (ICE), Homeland Security Investigations (HSI), under the direction of Special Agent in Charge Jason J. Molina, with the investigation leading to today’s guilty plea.
The government is represented by Assistant U.S. Attorney Daniel A. Friedman of the U.S. Attorney’s Office’s Criminal Division in Camden.
Bergen County Business Owner Sentenced to One Year and One Day in Prison for Employment Tax FraudRead the Press Release
NEWARK, N.J. – The owner of several Fairlawn, New Jersey, businesses was sentenced today to 12 months and one day in prison for failing to pay more than $500,000 in payroll taxes, Acting U.S. Attorney Rachael A. Honig announced.
Dennis Saccurato, 68, previously pleaded guilty to tax evasion before U.S. District Court Judge Susan D. Wigenton, who imposed the sentence by videoconference today.
According to the documents filed in the case and statements made in court:
Saccurato owned and operated cleaning product businesses in Fairlawn, including Sparta Chem Inc., Horizon Products LLC, Compu-Kleen, and Start West Labs, and was required to pay over payroll taxes to the IRS. From 2014 to 2016, Saccurato withheld payroll taxes from the wages paid to his employees, purportedly for remittance to the IRS, but failed to pay over the taxes, which amounted to $549,715.
In addition to the prison term, Judge Wigenton sentenced Saccurato to three years of supervised release.
Acting U.S. Attorney Honig credited special agents of IRS-Criminal Investigation, under the direction of Special Agent in Charge Michael Montanez, in Newark, with the investigation leading to today’s sentencing.
The government is represented by Assistant U.S. Attorney Andrew Macurdy of the U.S. Attorney’s Office Economic Crimes Unit in Newark.
Union County Man Sentenced to 10 Years in Prison for Firearms Offense in Connection with a ShootingRead the Press Release
NEWARK, N.J. – A Union County, New Jersey, man convicted of being a felon in possession of a semi-automatic submachine gun with a high capacity magazine was sentenced today to 120 months in prison, Acting U.S. Attorney Rachael A. Honig announced.
Jarrell L. Daniels, 29, of Elizabeth, New Jersey, was convicted on Feb. 21, 2020, after a two and a half-day trial before U.S. District Judge Kevin McNulty in Newark of one count of being a felon in possession of a semi-automatic submachine gun with a high capacity magazine and multiple rounds of ammunition.
According to documents filed in this case and the evidence at trial:
On the morning of April 9, 2018, Daniels was walking down Irvington Avenue in Elizabeth carrying a loaded .45 caliber Masterpiece Arms ACP submachine gun with 30 additional rounds of ammunition in an extended magazine. Daniels was wearing a disguise, as well as latex gloves. He came upon his victim and opened fire, shooting at his victim 16 times, but none of the shots struck the victim. As he fled, Daniels dropped his head covering and later stashed the gun and other items of clothing in a nearby trashcan. DNA on these items, as well as surveillance footage and ballistics evidence, ultimately enabled the authorities to identify Daniels as the shooter.
In addition to the prison term, Judge McNulty sentenced Daniels to three years of supervised release.
Acting U.S. Attorney Honig credited law enforcement officers of the Elizabeth Police Department, under the direction of Police Chief Giacomo Sacca.; the Union County Sheriff’s Office, under the direction of Sheriff Peter Corvelli; special agents of the FBI, under the direction of Special Agent in Charge George M. Crouch Jr. in Newark; special agents of the Bureau of Alcohol Tobacco, Firearms and Explosives, under the direction of Special Agent in Charge Charlie J. Patterson; and the Union County Prosecutor’s Office, under the direction of Acting Prosecutor Lyndsay V. Ruotolo, with the investigation leading to today’s sentencing.
The government was represented by Assistant U.S. Attorneys Vera Varshavsky and Sammi Malek of the Criminal Division of the U.S. Attorney’s Office in Newark.
Three Individuals Charged in Connection with Scheme to Defraud New Jersey Health Care Program of More Than $4.5 MillionRead the Press Release
TRENTON, N.J. – Three New Jersey residents were arrested today for allegedly participating in a long-running scheme to defraud the New Jersey Traumatic Brain Injury Fund (TBI Fund), a publicly funded health care benefit program, of more than $4.5 million, Acting U.S. Attorney Rachael A. Honig announced.
Harry Pizutelli, 62, of Edison, New Jersey, and C.R. Kraus, 55, and Maritza Flores, 43, both of Toms River, New Jersey were arrested by special agents of the FBI and IRS this morning and are charged by criminal complaint with conspiracy to commit health care fraud. They are scheduled to appear later today by videoconference before U.S. Magistrate Judge Tonianne J. Bongiovanni.
According to documents filed in this case and statements made in court:
The TBI Fund is a publicly funded program run by the New Jersey Division of Disability Services, a component of the New Jersey Department of Human Services. The TBI Fund’s purpose is to provide New Jersey residents who have suffered a traumatic brain injury with services and support in order to maximize their quality of life when funding from insurance, personal resources, or other programs is unavailable to meet their needs. Services funded by the TBI Fund include physical, occupational, and speech therapy; service coordination; assistive technology; cognitive therapy; neuropsychological services; pharmaceuticals; wheelchair ramp installation and other home modifications; and general home management and maintenance.
After a prospective patient applies for services, TBI Fund personnel review the application and, if approved, the patient is authorized to secure designated services from a third-party vendor. Once a patient receives services approved by the TBI Fund, the vendor or service provider submits an invoice to the TBI Fund for payment. When an invoice is received, TBI Fund personnel review the invoice to ensure that the patient had been approved to receive the services. If the invoice is approved, an internal payment voucher is generated, authorized by TBI Fund personnel, and then submitted to the New Jersey Department of the Treasury for payment, which issues a check directly to the vendor.
Pizutelli was the manager of the TBI Fund and was responsible for the its day-to-day operation. He supervised, managed, and oversaw the process by which third-party vendors were paid for services rendered to eligible TBI Fund patients. From 2009 through June 2019, Pizutelli, Kraus, Flores, and others conspired to defraud the TBI Fund by misappropriating more than $4.5 million in fraudulent vendor payments for purported services that were never actually provided. Pizutelli orchestrated the distribution of fraudulent vendor payments to Kraus, Flores, and others by generating and processing false invoices and internal payment vouchers. Pizutelli generated these invoices and vouchers to give the appearance that Kraus, Flores, and other conspirators had provided approved services to eligible patients when, in fact, they had not provided any services. Pizutelli then approved and transmitted the internal payment vouchers so that his conspirators received vendor payments even though they had performed no services to eligible patients. Pizutelli orchestrated these fraudulent payments to maintain and further romantic and/or sexual relationships with Flores and other conspirators.
Pizutelli orchestrated the fraudulent payment of more than $4.5 million from the TBI Fund to members of the conspiracy, including more than $4 million in fraudulent distributions to Kraus and Flores, which they used for their own personal benefit and enrichment. To obscure their fraudulent conduct, Kraus and Flores also made material misstatements on their federal income tax returns, by significantly underreporting the income they had derived from the fraudulent scheme.
The health care fraud conspiracy charge carries a maximum penalty of 20 years in prison and of $250,000 or twice the gross receipts to the defendants or gross loss sustained by any victims, whichever is greater.
Acting U.S. Attorney Honig credited special agents of the FBI, Newark Division, Red Bank Resident Agency, under the direction of Special Agent in Charge George M. Crouch Jr., and special agents of the IRS - Criminal Investigation, under the direction of Special Agent in Charge Michael Montanez, with the investigation leading to the charges. She also thanked the New Jersey Attorney General’s Office, Division of Law, and the New Jersey Department of Human Services, for their assistance.
The government is represented by J. Brendan Day, Attorney-in-Charge of the Trenton Branch Office of the U.S. Attorney’s Office.
The charges and allegations contained in the complaint are merely accusations and the defendants are presumed innocent unless and until proven guilty.
Middlesex County Man Admits Role in Wire Fraud Scheme to Defraud InvestorsRead the Press Release
NEWARK, N.J. – A Middlesex County, New Jersey, man today admitted participating in a fraudulent scheme that involved soliciting investments from victims for a ticket resale business, when in fact he diverted their investments for his own personal use and benefit, Acting U.S. Attorney Rachael A. Honig announced.
Jeffrey Burd, 61, of Edison, New Jersey, pleaded guilty before U.S. District Judge Susan D. Wigenton to an information charging him with one count of wire fraud.
According to documents filed in this case and statements made in court:
From January 2014 to June 2018, Burd represented to his victims that he was involved in buying tickets to high-profile concerts, sporting events, and Broadway shows and then reselling those tickets for a profit. Burd induced the victims to provide him with money that would purportedly be invested in his ticket purchase and resale activities, and he represented that the profits from the sales of those tickets would be shared among him and the victims. Burd further assured the victims that investing with him carried no risk, and he promised returns on their investments of 30 percent to 40 percent. Burd made payments to certain victims that were purportedly their profits, and made representations to certain victims that portions of their profits were being reinvested in additional ticket deals, which in turn purportedly would generate more profits for those victim. In fact, Burd did not purchase or sell any material amount of tickets with the victims’ money, and he instead used their investments for his personal expenditures. In total, Burd obtained approximately $447,000 from the victims over the course of the fraudulent scheme.
The charge of wire fraud carries a maximum potential penalty of 20 years in prison and a fine of $250,000, or twice the gross amount of gain or loss from the offense, whichever is greater. Sentencing is scheduled for June 8, 2021.
Acting U.S. Attorney Honig credited special agents of the FBI, under the direction of Special Agent in Charge George M. Crouch Jr. in Newark, with the investigation leading to today’s guilty plea.
The government is represented by Assistant U.S. Attorney Jennifer S. Kozar of the U.S. Attorney’s Office Economic Crimes Unit in Newark.
Long-Time Fugitive Extradited to the United States to Face Charges for Role in Scheme to Steal 94,000 Debit and Credit Cards from Michaels’ Stores in 19 StatesRead the Press Release
CAMDEN, N.J. – A California man who had fled to Mexico has been arrested for his role in a conspiracy to steal credit and debit cards from customers at approximately 80 Michaels’ Stores in 19 states and to then use that information to make fraudulent withdrawals from the bank accounts of those customers, Acting U.S. Attorney Rachael A. Honig announced today.
Jose Salazar, 44, aka “Tito,” 44, of Riverside, California, was indicted in 2015 and has been a fugitive. He was apprehended in Mexico City in September 2020 and returned last week via Philadelphia International Airport to face an indictment charging him with one count of conspiracy to commit bank fraud and one count of aggravated identity theft. Salazar made his initial appearance and arraignment today by videoconference before U.S. Magistrate Judge Karen M. Williams. He pleaded not guilty and was remanded without bail.
According to documents filed in this case and statements made in court:
The conspirators installed devices that acquired customers’ bank account and personal identification number (PIN) information on point of sale (POS) terminals at stores operated by Michaels. The stolen account information was used to produce counterfeit bank cards, which were used with the stolen PINs to withdraw funds from the compromised bank accounts.
The conspirators allegedly replaced POS terminals in 80 different stores operated by Michaels across 19 states, including New Jersey, with counterfeit POS devices. Each counterfeit device was equipped with wireless technology, which the conspirators used to retrieve the stolen information. From February 2011 to April 2011, conspirators stole approximately 94,000 debit and credit card account numbers.
In 2011, Salazar recruited individuals to participate in the conspiracy. From April 2011 to May 2011, Salazar, Angel Angulo, Crystal Banuelos, and others obtained counterfeit cards with the corresponding PIN numbers written on them from other conspirators. They used the cards and PIN numbers to withdraw money using automated teller machines (ATMs) from hundreds of bank accounts. Banuelos pleaded guilty on Nov. 17, 2015, and was sentenced to time served and five years of probation. Angulo pleaded guilty on June 20, 2017 and was sentenced to three years in prison.
The charge of conspiracy to commit bank fraud carries a maximum potential penalty of 30 years in prison and a $1 million fine. The charge of aggravated identity theft carries a mandatory penalty of two years in prison, to be served consecutively to any other sentence.
Acting U.S. Attorney Honig credited special agents of the U.S. Secret Service, under the direction of Special Agent in Charge James Henry, with the investigation leading to the charges. She also thanked special agents with the U.S. Marshal Service, under the direction of Juan Mattos, and INTERPOL for their assistance. The Justice Department’s Office of International Affairs provided significant assistance in securing the defendant’s extradition from Mexico.
The government is represented by Assistant U.S. Attorney Jonathan Fayer of the U.S. Attorney’s Office Economic Crimes Unit.
The charges and allegations in the indictment are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
Former Union President and Benefit Funds Administrator Charged with EmbezzlementRead the Press Release
NEWARK, N.J. –The former president of a New Jersey local union and administrator of two union affiliated benefit funds made her initial appearance today on charges that she embezzled from the union and two union-affiliated employee benefit funds, Acting U.S. Attorney Rachael A. Honig announced.
Dorothy McBride, 74, of Montville, New Jersey, was charged by complaint with one count each of embezzlement of labor union assets and embezzlement from employee benefit plans. She allegedly embezzled approximately $100,000 from a local union affiliated with the Communications Workers of America (CWA), of which she was president, and approximately $534,470 from the Welfare Fund and the Pension Fund, of which she was administrator. McBride made her initial appearances today by videoconference before U.S. Magistrate Judge Leda Dunn Wettre and was released on $250,000 unsecured bond.
According to the documents filed in this case and statements made in court:
McBride had control over the union’s and the funds’ bank accounts. From at least 2015 through June 2018, she made routine payments to her personal credit card accounts from the bank accounts of the union and employee benefit funds for expenditures that were not authorized or for legitimate union or fund purposes. McBride caused the pension fund to direct monthly payments for pension benefits to a personal account of hers for a benefit that she was ineligible to receive and that the pension fund was not obligated to pay out.
The charges of embezzlement of labor union assets and embezzlement from employee benefit plans each carry a statutory maximum sentence of five years in prison and a maximum $250,000 fine, or twice the gain or loss from the offense.
Acting U.S. Attorney Honig credited the investigators of the U.S. Department of Labor, Employee Benefits Security Administration, under the direction of Regional Director Thomas Licetti of the New York Regional Office; investigators of the U.S. Department of Labor, Office of Labor Management Standards, under the direction of Adriana Vamvakas, Regional Director; and special agents of the Department of Labor – Office of the Inspector General, New York Region, under the direction of Special Agent in Charge Michael Mikulka, with the investigation leading to the charges.
The government is represented by Special Assistant U.S. Attorney Kendall Randolph of the U.S. Attorney’s Office’s Organized Crime and Gangs Unit in Newark.
The charges and allegations in the complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
Former Atlantic City Mayor Sentenced to One Month in Prison, 11 Months of Home Confinement, for Defrauding Contributors to Youth Basketball TeamRead the Press Release
CAMDEN, N.J. – The former mayor of Atlantic City was sentenced today to 30 days in prison and 11 months of home confinement for defrauding contributors to a youth basketball team out of more than $86,000, Acting U.S. Attorney Rachael Honig announced.
Frank Gilliam, 49, of Atlantic City, New Jersey, previously pleaded guilty to an information charging him with wire fraud. U.S. District Judge Joseph H. Rodriguez imposed the sentence today by videoconference.
According to documents filed in this case and statements made in court:
Gilliam was the co-founder of AC Starz Basketball Club (AC Starz), a non-profit that he incorporated to operate a youth basketball team. While serving as a member of the Atlantic City Council and later, as mayor of Atlantic City, Gilliam solicited donations for AC Starz from various individuals and entities under the false pretense that the contributions were for a youth basketball team and/or school supplies for underprivileged children. Gilliam instead used most of the money for personal expenses – including luxury clothing, expensive meals, and trips – that were completely unrelated to the operation of a youth basketball team. In total, Gilliam defrauded the contributors out of $86,790.
In addition to the prison term, Judge Rodriguez sentenced Gilliam to three years of supervised release, ordered him to pay restitution to his victims in the amount of $86,790 and ordered him to perform 200 hours of community service.
Acting U.S. Attorney Rachael Honig credited special agents of the FBI Atlantic City Resident Agency and FBI Atlantic City Public Corruption Task Force, which includes the Atlantic County and Cape May County Prosecutor’s Offices and the Atlantic City Police Department, under the direction of FBI Special Agent in Charge George M. Crouch Jr. in Newark, and special agents of IRS-Criminal Investigation, under the direction of Special Agent in Charge Michael Montanez, with the investigation leading to today’s sentencing.
The government is represented by Assistant U.S. Attorney Sean Farrell of the U.S. Attorney’s Office’s Special Prosecutions Division.
United Kingdom National Charged with Bribery and Kickback Scheme Involving Iraqi Reconstruction ContractsRead the Press Release
NEWARK, N.J. – A United Kingdom national is charged with wire fraud and conspiracy to commit bribery for his role in a scheme involving the award of millions of dollars of U.S. Army Corps of Engineers (USACE) reconstruction contracts in Iraq, Acting U.S. Attorney Rachael A. Honig announced today.
The indictment unsealed today charges Shwan Al-Mulla, 60, the former owner of Iraqi Consultants & Construction Bureau (ICCB), with seven counts of honest services wire fraud and one count of conspiracy to commit bribery and defraud the U.S. government. Al-Mulla remains at large.
According to the indictment unsealed today:
In 2003, Al-Mulla founded ICCB. Between 2007 and 2009, Al-Mulla and his conspirators, including Ahmed Nouri and another ICCB employee, paid over $1 million in bribes to John Alfy Salama Markus, a USACE employee, in exchange for the awarding of millions of dollars in Iraqi reconstruction contracts to ICCB. Salama Markus was a USACE employee deployed to Contingency Operating Base Speicher in Tikrit, Iraq. Salama Markus was involved in the review and award process for lucrative Iraqi reconstruction contracts and the administration, oversight, and modification of those contracts after they were awarded. In exchange for over $1 million in bribes, Salama Markus provided Al-Mulla and his conspirators with confidential USACE information concerning bids, independent government estimates, and the selection process. Al-Mulla and Nouri used this information to submit winning bids for millions of dollars in contracts. They also submitted bids on behalf of multiple companies, with Salama Markus’ knowledge, for the same contracts.
For example, in March 2007, Salama Markus solicited a $350,000 bribe in exchange for helping ICCB obtain a $6.2 million contract to make certain infrastructure improvements at the Bayji Oil Refinery. On April 24, 2007, Salama Markus sent an email to Nouri telling Nouri the price to bid, on behalf of ICCB, for the contract, and on May 9, 2007, ICCB received the contract. On June 20, 2007, Al-Mulla received an email from Nouri asking to make a $200,000 partial bribe payment to Salama Markus and Salama Markus agreed. Al-Mulla subsequently instructed another ICCB employee to arrange for a $200,000 payment to be made to Salama Markus in Egypt. On July 17, 2007, Al-Mulla received an email from Nouri detailing the bribes owed to Salama Markus and the expected official actions promised by Salama Markus. The outstanding bribe payments listed in the email included the remaining $150,000 bribe payment in connection with the Bayji Oil Contract, a $100,000 bribe payment for USACE contracts concerning the building of schools; and a $550,000 payment to ensure that ICCB obtained four additional contracts.
In July 2007, ICCB received the additional four contracts, worth approximately $7 million dollars, in exchange for the promised $550,000 bribe payment to Salama Markus. In August 2007, Al-Mulla met Nouri, Salama Markus, and another ICCB employee in Amman, Jordan. Al-Mulla authorized the payment of $750,000 cash to Salama Markus. And, at ICCB’s office in Amman, an ICCB employee gave a bag containing $750,000 in cash to Salama Markus.
Salama Markus previously pleaded guilty to honest services wire fraud, money laundering and tax offenses and, on March 12, 2013, he was sentenced to 156 months in prison. On Oct. 1, 2018, Ahmed Nouri pleaded guilty to conspiracy to commit bribery and is awaiting sentencing.
The honest services wire fraud counts each carry a maximum potential penalty of 20 years in prison and a $250,000 fine. The conspiracy to commit bribery and defraud the U.S. government count carries a maximum potential penalty of five years in prison and a $250,000 fine.
Acting U.S. Attorney Honig credited special agents of the U.S. Department of Homeland Security, Homeland Security Investigations, under the direction of Special Agent in Charge Jason J. Molina; the IRS-Criminal Investigation, under the direction of Special Agent in Charge Michael Montanez; the Defense Criminal Investigative Service, under the direction of Special Agent in Charge Patrick J. Hegarty; and the U.S. Attorney’s Office, under the direction of Supervisory Special Agent Thomas Mahoney, with the investigation leading to the charges.
The government is represented by Acting Principal Assistant U.S. Attorney Rahul Agarwal and Assistant U.S. Attorney Elaine Lou of the Special Prosecutions Division in Newark.
The charges and allegations contained in the indictment are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
Romanian National Sentenced to Five Years in Prison for Role in ATM Skimming ConspiracyRead the Press Release
TRENTON, N.J. – A Romanian national was sentenced today to 60 months in prison for his role in a conspiracy to steal bank account information from thousands of customers by installing secret card-reading devices and pinhole cameras on ATMs throughout New Jersey and elsewhere, Acting U.S. Attorney Rachael A. Honig announced.
Adrian Fichidiu, 37, previously pleaded guilty to conspiracy to commit bank fraud and aggravated identity theft. U.S. District Judge Peter G. Sheridan imposed the sentence by videoconference today.
According to documents filed in this case and statements made in court:
Fichidiu admitted he was part of an “ATM skimming” scheme that stole bank account information by installing hidden card-reading devices on ATMs throughout northern and central New Jersey. Fichidiu previously acknowledged that he and his conspirators created bank cards using the fraudulently obtained account information, which they used to unlawfully withdraw large amounts of cash from various ATMs. The scheme, which involved actual and attempted losses exceeding $1.5 million dollars, impacted over 1,000 bank customers.
In addition to the prison term, Judge Sheridan sentenced Fichidiu to five years of supervised release and ordered him to pay restitution that will be finalized at a later date.
Acting U.S. Attorney Honig credited special agents of the FBI, under the direction of Special Agent in Charge George M. Crouch Jr., detectives with the Middlesex County Prosecutor’s Office, under the direction of Prosecutor Yolanda Ciccone, and detectives with the Woodbridge Police Department, under the direction of Police Director Robert Hubner, with the investigation leading to today’s sentencing.
The government is represented by Assistant U.S. Attorney Shawn Barnes of the U.S. Attorney’s Office OCDETF/Narcotics Unit in Newark.
Former CFO Faces Additional Tax Charges for Failing to Pay over Hundreds of Thousands of Dollars in Payroll TaxesRead the Press Release
NEWARK, N.J. – The former chief financial officer (CFO) of a Sussex County retail construction company was indicted today on five additional tax charges stemming from his failure to collect, account for, and pay over hundreds of thousands in federal payroll taxes, Acting U.S. Attorney Rachael A. Honig announced.
Jonathan Baker, 39, of Green Township, New Jersey, was originally charged by indictment in December 2019 with five counts of wire fraud and three counts of money laundering for orchestrating a scheme to defraud his former employer and several lenders, including by embezzling millions of dollars for his own personal benefit.
Baker is currently out on bail and will be arraigned at a later date before U.S. District Judge William J. Martini.
According to the superseding indictment:
Baker held the title of CFO of Victim-Company 1, a small, privately held retail construction company located in Sparta, New Jersey. The company acted as a construction manager and a general contractor for construction projects, such as new business offices, retail spaces, and restaurants. Baker also held the title of manager of Victim-Company 2, which held 100 percent of the voting and equitable interest in Victim-Company 1.
From 2015 through 2018, Baker defrauded both companies and several commercial lenders, embezzling millions of dollars from the companies and fraudulently inducing commercial lenders into providing funds to Baker and his associated entities through fraudulent use of Victim-Company 1’s name, bank statements, balance sheet, and bank accounts.
Baker misappropriated millions of dollars from the Victim-Companies’ bank accounts and used the funds for his personal expenses, including mortgage payments on Baker’s residence, the purchase of a BMW, and the purchase of six donkeys.
Baker concealed the fraud by making false statements to members of the Victim-Companies after they confronted him with evidence of the fraud. He falsely claimed that a commercial lender had made a mistake in filing a lien against Victim-Company 1 and repeatedly misrepresented that the commercial lender would be issuing a retraction and apology. Baker then refused to meet or join conference calls with the members of the companies to discuss the liens against Victim-Company 1, refused to produce the Companies’ bank statements, changed the locks on the Companies’ offices, and attempted to disable the Companies’ email and phone system.
From Jan. 31, 2017, to Jan. 31, 2018, Baker withheld tax payments from the pay checks of the employees of Victim-Company 1 but failed to pay over hundreds of thousands of dollars in payroll taxes that were withheld and due to the IRS. Baker also failed to prepare and file quarterly federal tax returns on behalf of Victim-Company 1.
The wire fraud counts each carry a maximum potential penalty of 20 years in prison and a $250,000 fine. The money laundering counts each carry a maximum potential penalty of 10 years in prison and a $250,000 fine. The tax counts each carry a maximum potential penalty of five years in prison and a $250,000 fine.
Acting U.S. Attorney Honig credited special agents of the FBI, under the direction of Special Agent in Charge George M. Crouch Jr., and special agents of the IRS, under the direction of Special Agent in Charge Michael Montanez, with the investigation leading to the superseding indictment.
The government is represented by Assistant U.S. Attorney Jonathan Fayer of the U.S. Attorney’s Office Economic Crimes Unit.
The charges and allegations contained in the superseding indictment are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
Burlington County Doctor Sentenced to 33 Months in Prison for Role in $24 Million Telemedicine Compounded Medication SchemeRead the Press Release
NEWARK, N.J. – A Burlington County, New Jersey, doctor was sentenced today to 33 months in prison for his role in a telemedicine scheme to prescribe expensive compounded medications to patients who did not need them, Acting U.S. Attorney Rachael A. Honig announced.
Bernard Ogon, 48, of Burlington Township, New Jersey, previously pleaded guilty before U.S. District Judge John Michael Vazquez in Newark federal court to one count of health care fraud conspiracy. Judge Vazquez imposed the sentence today by videoconference.
According to documents filed in this case and statements made in court:
Ogon admitted he signed prescriptions for compounded medications (medications with ingredients of a drug tailored to the needs of a particular patient) without having established a doctor-patient relationship, spoken to the patient or conducted any medical evaluation. Ogon often signed preprinted prescription forms – with patient information and medication already filled out – where all that was required was his signature. Then, instead of providing the prescription to the patient, Ogon would return the prescriptions to specific compounding pharmacies involved in the conspiracy. Ogon was paid $20 to $30 for each prescription he signed, and his participation in the conspiracy caused losses to health care benefit programs of over $24 million, including losses to government health care programs of over $7 million.
In addition to the prison term, Judge Vazquez sentenced Ogon to three years of supervised release and ordered restitution of $24.3 million and forfeiture of $75,000.
Acting U.S. Attorney Honig credited special agents of the FBI, under the direction of Special Agent in Charge George M. Crouch Jr.; the Defense Criminal Investigative Service, under the direction of Special Agent in Charge Patrick J. Hegarty, and special agents of the Department of Health and Human Services, under the direction of Special Agent in Charge Scott J. Lampert, with the investigation leading to today’s sentencing.
The government is represented by Jason S. Gould, Acting Chief of the Violent Crimes Unit of the U.S. Attorney’s Office in Newark.
Ten Jersey City Men Charged in Conspiracy to Burglarize More Than 40 PharmaciesRead the Press Release
NEWARK, N.J. – Ten Jersey City men have been charged for their roles in a pharmacy burglary conspiracy that victimized at least 40 pharmacies in northern New Jersey in a three-month span, Acting U.S. Attorney Rachael A. Honig announced today.
Mohummad Simmons, 25, a/k/a “Mo Waps;” Tamir Brown, 27, a/k/a “Stragg;” Rico Phang, 19, a/k/a “Little Mil;” Deon Davis, 24, a/k/a “Dee;” Michael Simeus, 27, a/k/a Jerk;” David Booker, 28; Darrel Hicks, 25; Daquan Hart, 22, a/k/a “Day Day;” Jamiel French, 27, a/k/a “Money Mil;” and Tyriq Rembert, 28, all of Jersey City, New Jersey, are each charged by complaint with one count of conspiracy to commit burglary involving controlled substances. Simmons, Hart, and Rembert appeared by videoconference for their initial appearances before U.S. Magistrate Judge James B. Clark III on Jan. 22, 2021, and Hicks appeared today by videoconference for his initial appearance before U.S. Magistrate Judge Leda D. Wettre. Brown is in custody on related state charges. The remaining defendants are at large.
“The complaint charges that the defendants went on a crime spree throughout northern New Jersey, breaking into pharmacies and stealing dangerous controlled substances, including opioids,” Acting U.S. Attorney Honig said. “I applaud the Drug Enforcement Administration and our local law enforcement partners for responding quickly to identify these suspects so that they can be brought to justice.”
"The success of this investigation was the result of teamwork, the sharing of information between law enforcement agencies, and good, old-fashioned police work," Special Agent in Charge of the Drug Enforcement Administration’s New Jersey Division Susan A. Gibson said. “Those arrested thought they could get away with their crime wave of theft, but they will now face justice. The public should know that DEA and our law enforcement partners will always pursue those who choose to violate the law.”
According to documents filed in this case and statements made in court:
From Oct. 11, 2020, through Dec. 22, 2020, the defendants forcibly entered and burglarized, or attempted to burglarize, pharmacies throughout northern New Jersey. They typically wore dark clothing, facemasks, and gloves, and gained entry to the pharmacies by breaking windows or doors with a brick or a rock. They took various types of controlled substances and other prescription drugs for the purpose of redistribution. During these burglaries, several controlled substances were prioritized, including codeine, a Schedule II controlled substance, acetaminophen with codeine, a Schedule III controlled substance, and promethazine with codeine, a Schedule V controlled substance. Pharmacies were victimized in Secaucus, North Bergen, Linden, Guttenberg, Kenilworth, Madison, Short Hills, Iselin, Jersey City, West New York, North Arlington, and Lyndhurst.
For example, on Oct. 11, 2020, at approximately 4:40 a.m., Simmons, Phang and a conspirator forcibly entered a pharmacy in Secaucus and took promethazine with codeine, a Schedule V controlled substance, and were recorded on surveillance video. They fled the scene in a black Chevrolet Malibu registered to Simmons. Prior to the burglary, the Malibu approached the area of the burglary following a silver Pontiac Grand Prix. Immediately after the burglary, the Malibu departed the area following the Pontiac.
In another instance, on Nov. 6, 2020, at approximately 5:45 a.m., Simmons and Phang forcibly entered a pharmacy in Linden with the intent to steal controlled substances. Approximately one hour and fifteen minutes before the burglary, the two men had been the subjects of a motor vehicle stop in Union, New Jersey, while traveling in the Malibu. Surveillance video footage from the pharmacy in Linden showed Simmons and Phang wearing the same clothing that they were wearing during the body camera footage of the motor vehicle stop. The surveillance video also showed Simmons and Phang depart the area of the burglary in the Malibu.
The charge of conspiring to burglarize pharmacies carries a maximum penalty of 10 years in prison.
Acting U.S. Attorney Honig credited the Secaucus Police Department, under the direction of Chief Dennis Miller, with leading the investigation into this multi-jurisdictional burglary ring, along with special agents of the Drug Enforcement Administration, under the direction of Special Agent in Charge Susan A. Gibson. She also thanked the Hudson County Prosecutor's Office, the Union County Prosecutor's Office, the Bergen County Prosecutor's Office, the Middlesex County Prosecutor's Office and the Jersey City, North Bergen, Harrison, Hillside, Elizabeth, Guttenberg, Kearny, North Arlington, Bernards Township, Maywood, Lyndhurst, Millburn, Linden, Woodbridge, Madison, West New York, Clifton, Parsippany, Roselle, Hoboken, Edison, Kenilworth, Highland Park, Belleville, Teaneck, and Bayonne police departments.
The case is being prosecuted by Desiree Grace Latzer, Deputy Chief of the Criminal Division, in Newark.
New York Life Insurance Broker Admits Securities Fraud SchemeRead the Press Release
NEWARK, N.J. – A New York Life insurance broker today admitted his role in a scheme to fraudulently use his association with the company to solicit investor money, Acting U.S. Attorney Rachael A. Honig announced.
Ivan Ramos, 39, of Hillside, New Jersey, pleaded guilty by videoconference before U.S. District Court Judge Claire C. Cecchi to an information charging him with one count of securities fraud.
According to documents filed in this case and statements made in court:
Ramos, who worked at New York Life selling life insurance, sought out inexperienced investors seeking low-risk investments. The victims met Ramos after purchasing life insurance through him, or through New York Life marketing events, or through mutual acquaintances. Ramos led his victims to believe, through misrepresentations and omissions, that two entities that he controlled, Invexperts LLC and Wealth Seeds Capital LLC, were associated with New York Life when they were not. The victims believed that the money they entrusted to Ramos would be placed in investments through New York Life, and accordingly multiple victims referenced New York Life on the memo line of their investment checks. One victim, for example, attended a New York Life seminar, then subsequently met with Ramos at his office in Edison, and ultimately invested in Invexperts believing it was associated with New York Life.
Ramos falsely told victims that their investments in Invexperts and Wealth Seeds were no-risk with fixed annual returns. Instead of investing their money as he promised he would, Ramos used the funds for purposes not disclosed to the victims, including, among other things, to pay for personal expenses for Ramos and others, to develop a restaurant called “Frisky Bull Barbeque” in Elizabeth, New Jersey, and to repay other investors.
Ramos obtained over $1 million in investor money through the fraudulent scheme.
The securities fraud count carries a maximum penalty of 20 years in prison and a $5 million fine. Sentencing is scheduled for June 15, 2021.
The U.S. Securities and Exchange Commission (SEC) has filed a civil complaint against Ramos based on the allegations underlying the securities fraud charge.
Acting U.S. Attorney Honig credited special agents of the FBI, under the direction of Special Agent in Charge George M. Crouch Jr., and postal inspectors of the U.S. Postal Inspection Service, under the direction of Acting Inspector in Charge Raimundo Marrero in Newark, with the investigation leading to today’s guilty plea.
The government is represented by Assistant U.S. Attorney Andrew Macurdy of the U.S. Attorney’s Office Economic Crimes Unit.
Burlington County Man Admits Interfering with Law Enforcement Officers During Civil DisorderRead the Press Release
TRENTON, N.J. – A Burlington County, New Jersey, man today admitted attempting to interfere with law enforcement officers during a civil disorder when he attempted to set fire to a police vehicle during a riot in the City of Trenton, Acting U.S. Attorney Rachael A. Honig announced.
Killian F. Melecio, 20, of Columbus, New Jersey, pleaded guilty by videoconference before U.S. District Judge Brian R. Martinotti to an information charging him with one count of attempting to obstruct, impede, or interfere with law enforcement officers during a civil disorder affecting commerce.
According to documents filed in this case and statements made in court:
On May 31, 2020, large-scale protests were held throughout the United States, including in Trenton, in response to the death of George Floyd. Although the May 31st protest in Trenton was peaceful earlier in the day, violence erupted later. A group of individuals proceeded down East State Street in downtown Trenton and began to riot, smashing store fronts, looting stores, and attacking multiple marked Trenton Police Department vehicles parked on the 100 Block of East State Street.
A City of Trenton street camera and other video footage taken by an individual present on the street captured Kadeem Dockery light an explosive device and throw it through the open front driver’s side window of a Trenton Police Department vehicle. Dockery then removed his shirt and handed it to Melecio, who then attempted to stuff the shirt in the gas tank of the police vehicle and ignite it. Melecio was then assisted by Justin Spry in attempting to set fire to the police vehicle. Law enforcement officers on scene arrested Spry, but Melecio and Dockery fled. Law enforcement later identified Melecio and Dockery through analysis of street camera and other video footage. They were arrested on Aug. 5, 2020.
The charge of attempting to interfere with law enforcement officers during a civil order carries a maximum penalty of five years in prison and a maximum fine of $250,000. Scheduling is scheduled for May 26, 2021.
Acting U.S. Attorney Honig credited special agents of the FBI and task force officers of the Joint Terrorism Task Force in Newark, under the direction of Special Agent in Charge George M. Crouch Jr., with the investigation leading to today’s guilty plea. She also thanked officers of the Trenton Police Department, under the direction of Police Director Sheilah Coley; troopers of the New Jersey State Police, under the direction of Col. Patrick J. Callahan; and officers of the New Jersey Department of Corrections, under the direction of Commissioner Marcus O. Hicks, for their assistance.
The government is represented by Assistant U.S. Attorneys Alexander E. Ramey and Michelle S. Gasparian of the U.S. Attorney’s Office’s Criminal Division in Trenton.
The charges and allegations remaining against Kadeem Dockery and Justin Spry are merely accusations, and they are presumed innocent unless and until proven guilty.
Passaic County Man Admits Participating in Heroin ConspiracyRead the Press Release
NEWARK, N.J. – A Passaic County, New Jersey, man today admitted conspiring to distribute heroin and to distributing a quantity of heroin, Acting U.S. Attorney Rachael A. Honig announced.
Carl Brown, 27, of Paterson, New Jersey, pleaded guilty by videoconference before U.S. District Judge Brian R. Martinotti to a superseding information charging him with conspiracy to distribute and possess with the intent to distribute heroin and knowingly and intentionally distributing heroin.
According to documents filed in this case and statements made in court:
The defendant and his conspirators are members and associates of the 230 Boys street gang, which operates primarily around Rosa Parks Boulevard and Godwin Avenue in Paterson. Through numerous controlled purchases of narcotics, consensually recorded telephone calls and text messages, physical surveillance, and the analysis of telephone call detail records, law enforcement officers determined that from September 2018 through Oct. 1, 2019, Brown and his conspirators conspired to distribute narcotics, including heroin.
Each count of the superseding information carries a maximum penalty of 20 years in prison and a fine of at least $1 million. Sentencing is scheduled for June 1, 2021.
This case is being conducted under the auspices of the Organized Crime Drug Enforcement Task Force (OCDETF). The principal mission of the OCDETF program is to identify, disrupt and dismantle the most serious drug trafficking, weapons trafficking and money laundering organizations, and those primarily responsible for the nation’s illegal drug supply.
Acting U.S. Attorney Honig credited special agents and task force officers with the Bureau of Alcohol, Tobacco, Firearms and Explosives, Newark Division, under the direction of Special Agent in Charge Charlie J. Patterson; special agents of the Drug Enforcement Administration, under the direction of Special Agent in Charge Susan A. Gibson in Newark; officers of the N.J. State Police, under the direction of Col. Patrick J. Callahan; officers of the Paterson Police Department, under the direction of Director Jerry Speziale and Police Chief Ibrahim Baycora; and detectives of the Passaic County Prosecutor’s Office, under the direction of Prosecutor Camelia Valdes; and the Passaic County Sheriff's Department, under the direction of Sheriff Richard H. Berdnik, with the investigation leading to the charges. He also thanked the U.S. Marshals Service, the Bergen County Sheriff's Office and the Belleville and Livingston police departments for their assistance with the case.
The government is represented by Assistant U.S. Attorney Francesca Liquori, of the Organized Crime and Gangs Unit.
Camden County Man Charged with Distributing Child PornographyRead the Press Release
CAMDEN, N.J. – A Camden County, New Jersey, man was charged today with allegedly distributing videos and images of child pornography, Acting U.S. Attorney Rachael A. Honig announced.
Ryan Osinski, 31, Cherry Hill, New Jersey, a non-commissioned officer in the U.S. Air Force, is charged by complaint with one count of distribution of child pornography. He appeared scheduled to appear by videoconference later today before U.S. Magistrate Judge Karen M. Williams.
According to documents filed in this case and statements made in court:
In December 2020, law enforcement officers interviewed Osinski after receiving information from the National Center for Missing and Exploited Children that images of child sexual abuse were shared from an IP address assigned to Osinski’s residence. During and after the interview, law enforcement officers lawfully reviewed the contents of Osinski’s cell phone, which contained numerous images and videos of child sexual abuse. Additional investigation revealed the existence of links and folders on a cloud storage website controlled by Osinski that Osinski transmitted to others using a social media application on his cell phone. These links and folders contained numerous images and videos of child sexual abuse, including materials that depicted prepubescent children and sadomasochistic conduct.
The count of distribution of child pornography carries a mandatory minimum penalty of five years in prison, a maximum penalty of 20 years in prison, and a fine of $250,000.
Acting U.S. Attorney Honig credited special agents of the Department of Homeland Security, Homeland Security Investigations, Cherry Hill Office, under the direction of Special Agent in Charge Jason J. Molina, and the Camden County Prosecutor’s Office High Tech Crimes Unit, under the direction of Acting Prosecutor Jill S. Mayer, with the investigation leading to today’s charge. She also thanked the Department of the Air Force, Office of Special Investigations, for its assistance.
The government is represented by Assistant U.S. Attorney Jeffrey Bender of the Camden Office.
The charge and allegations contained in the complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
Essex County Man Indicted for Drug Offenses and Illegally Possessing Three Firearms with Extended MagazinesRead the Press Release
NEWARK, N.J. – A federal grand jury today indicted an Essex County, New Jersey, man for illegally possessing several firearms, including an AM-15 rifle, as well as quantities of crack cocaine and heroin with the intent to distribute, Acting U.S. Attorney Rachael A. Honig announced.
Cedric Lewis, 30, of Bloomfield, New Jersey, is charged with two counts of possession of a firearm by a convicted felon, two counts of possession with intent to distribute controlled substances and two counts of possession of a firearm in furtherance of a drug trafficking crime. Lewis was previously charged by complaint in October 2020. He will be arraigned on a date to be determined.
According to documents filed in the case and statements made in court:
In September 2020, law enforcement officers began investigating Lewis for his involvement in distributing controlled substances in Newark. They learned about Lewis’ involvement in an incident on Sept. 20, 2020, in which Lewis was in a car in the Newark/Elizabeth area while he possessed 118 jugs containing suspected crack cocaine, as well as an AM-15 rifle with a high-capacity magazine that contained 30 rounds of .300 caliber ammunition.
On Sept. 25, 2020, law enforcement officers lawfully searched Lewis’ apartment and recovered: one 9 millimeter pistol with an extended magazine; one .40 caliber pistol with an extended magazine; drug paraphernalia and a scale; $800 in United States currency; one clear plastic bag containing a distribution quantity of suspected crack cocaine; several bundles of distribution quantities of suspected heroin; and nine suspected Xanax pills.
The narcotics offenses each carry a maximum potential penalty of 20 years in prison, and a fine of $1 million. The counts of being a felon in possession of a firearm each carry a maximum potential penalty of 10 years in prison. The counts of possession of a firearm in furtherance of a drug trafficking crime each carry a statutory mandatory minimum penalty of five years in prison, which must run consecutively to any other sentence imposed – and a maximum potential penalty of life in prison. Each firearm count carries a maximum fine of $250,000.
Acting U.S. Attorney Honig credited members of the Essex County Sheriff’s Office, under the direction of Sheriff Armando B. Fontoura; special agents of the ATF, Newark Field Division, under the direction of Special Agent in Charge Charlie J. Patterson; deputy marshals with the U.S. Marshals Service in the District of New Jersey, under the supervision of U.S. Marshal Juan Mattos Jr.; as well as deputy marshals with the U.S. Marshals Service in the Northern District of Georgia, under the supervision of U.S. Marshal Michael S. Yeager, with the investigation leading to today’s indictment. She also thanked the Bloomfield Police Department for its assistance with this case.
This case is a part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws. Initiated by the Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence; enhances coordination of federal, state, local and tribal authorities in investigating and prosecuting gun crimes; improves information sharing by the Bureau of Alcohol, Tobacco, Firearms and Explosives when a prohibited individual attempts to purchase a firearm and is denied by the National Instant Criminal Background Check System (NICS), to include taking appropriate actions when a prospective purchaser is denied by the NICS for mental health reasons; and ensured that federal resources are directed at the criminals posing the greatest threat to our communities. For more information about Project Guardian, please see: https://www.justice.gov/projectguardian
The government is represented by Assistant U.S. Attorney Benjamin Levin of the U.S. Attorney’s Office Violent Crimes Unit in Newark.
The charges and allegations against the defendant are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
Philadelphia Man Arrested for COVID-19 PPE FraudRead the Press Release
NEWARK, N.J. – A Philadelphia, Pennsylvania, man has been charged in connection with a $700,000 personal protective equipment (PPE) fraud scheme, Acting U.S. Attorney Rachael A. Honig announced today.
Gauravjit Singh, 26, is charged by complaint with one count of wire fraud. He is scheduled to appear by videoconference today before U.S. Magistrate Judge James B. Clark III.
According to documents filed in this case and statements made in court:
Beginning in May 2020, in the midst of the COVID-19 pandemic, Singh engaged in a scheme to defraud by making various misrepresentations, including by claiming that he was a purveyor of PPE and that he had contacts at a factory in Nanjung, China, that manufactured medical gowns. Singh induced his victims to enter into an agreement with one of Singh’s businesses, Mask Medical LLC, pursuant to which Singh would be paid approximately $7.125 million in exchange for 1.5 million medical gowns, which ultimately were destined to the City of New York. His victims wired Singh, though his company GJS Solutions LLC, a deposit of approximately $712,500. After receiving these funds, Singh made additional misrepresentations and excuses, ensuring the victims that they would receive the medical gowns. Instead of purchasing and delivering medical gowns, Singh used the funds for personal expenses, including transferring funds to his brokerage account and using the funds for online gaming and other personal expenditures.
The count of wire fraud is punishable by a maximum of 20 years in prison and a $250,000 fine, or twice the gross gain or loss from the offense.
Acting U.S. Attorney Honig credited special agents of the FBI, under the direction of Special Agent in Charge George M. Crouch Jr. in Newark, with the investigation leading to today’s charge.
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.
Additional victims associated with Singh’s conduct may reach out to the FBI at 1-800-CALL-FBI (225-5324) or visit www.fbi.gov.
The government is represented by Assistant U.S. Attorney Lauren E. Repole of the Economic Crimes Unit in Newark.
The charge and allegations contained in the complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
Newark Tax Preparer Admits Aiding and Assisting in Preparation of False Tax ReturnsRead the Press Release
NEWARK, N.J. – A Pennsylvania man who worked as a tax preparer in Newark admitted today to helping his clients file falsified tax returns that generated larger refunds, Acting U.S. Attorney Rachael A. Honig announced.
Sylvain Dienhoue, 53, of Tobyhanna, Pennsylvania, pleaded guilty by videoconference before U.S. District Judge Susan D. Wigenton to an indictment charging him with three counts of aiding and assisting in the preparation of false and fraudulent tax returns.
According to documents filed in this case and statements made in court:
Dienhoue worked as a tax preparer at Cadi’s Multi Services in Newark. He knowingly and willfully aided and assisted in the preparation of 44 fraudulent tax returns on behalf of clients for the tax years 2014 through 2016. Dienhoue used fabricated and inflated figures, including expenses and itemized deductions, in order to generate inflated refunds.
Each count of aiding and assisting in the preparation of false and fraudulent tax returns carries a maximum penalty of three years in prison and a fine of up to $250,000. Sentencing is scheduled for May 24, 2021.
Acting U.S. Attorney Honig credited special agents from IRS – Criminal Investigation, under the direction of Special Agent in Charge Michael Montanez in Newark, with the investigation leading to today’s guilty plea.
The government is represented by Assistant U.S. Attorney Samantha C. Fasanello of the U.S. Attorney’s Office’s Criminal Division in Newark.
Fourth New Jersey Man Charged in Connection with an Interstate Luxury Car Theft RingRead the Press Release
NEWARK, N.J. – A fourth man was arrested today for his role in a conspiracy to steal and transport across state lines luxury cars from towns in New York, Connecticut, and New Jersey, Acting U.S. Attorney Rachael A. Honig announced.
Bilal Cureton, 30, of Newark, is charged by amended complaint with conspiring to transport stolen vehicles in interstate commerce. Cureton was arrested today and is scheduled to appear by videoconference today before U.S. Magistrate Judge James B. Clark III.
Malik Baker, Hakeem Smith, and Nafique Goodwyn were previously charged by complaint with conspiring to transport stolen vehicles in interstate commerce. Baker and Smith were also previously charged with one count of conspiring to receive stolen vehicles and one count of receiving a stolen vehicle that had crossed state lines after being stolen, and Smith was also previously charged with one count of transporting a stolen vehicle across state lines.
According to documents filed in this case and statements made in court:
Since July 2019, the defendants and others stole and conspired to steal at least 10 luxury cars from towns in New York, Connecticut, and New Jersey, and hid those cars at a location in Irvington, New Jersey. The cars include a 2019 BMW X4 M40i, stolen from Greenwich, Connecticut on July 19, 2019; a 2016 Mercedes Maybach S600, stolen from Clifton, New Jersey, on Aug. 1, 2019; a 2019 Porsche Cayenne, stolen from New City, New York, on Aug. 6, 2019; a 2017 Mercedes S550 and a 2019 Rolls Royce, stolen from Hewlett Bay Park, New York, on Aug. 13, 2019; a 2019 Land Rover, stolen from Kensington, New York, on Aug. 22, 2019; a 2019 Mercedes Maybach, stolen from Quogue, New York, on Aug. 29, 2019; a 2014 Lexus GS, stolen from West Long Branch, New Jersey, on Aug. 29, 2019; a 2017 BMW M4, stolen from Marlton, New Jersey, on Sept. 7, 2019, and a 2017 Mercedes AMG S63, stolen from Orangeburg, New York, in September 2019.
The defendants often used the stolen cars to steal more cars, and, in one instance, they used a Maserati GranTurisimo they stole from Manalapan, New Jersey, to steal a Range Rover and a Porsche Cayenne in the early morning hours of Aug. 6, 2019 in New City, New York. When law enforcement attempted to conduct a stop of the Maserati, the Maserati accelerated and crashed head-on into a police vehicle before the suspects fled the scene in another stolen vehicle. Over the course of the investigation, law enforcement recovered one of the stolen cars in a shipping container at the port in Newark en route to Ghana, Africa.
The cars stolen by the defendants have an estimated total value of at least $1.5 million.
The charge of conspiracy to transport stolen vehicles is punishable by a maximum potential penalty of 10 years in prison and a $250,000 fine, or twice the gross gain or loss from the offenses, whichever is greater.
Acting U.S. Attorney Honig credited special agents of the FBI, under the direction of Special Agent in Charge George M. Crouch Jr. in Newark; as well as the Newark Police Department, under the direction of Public Safety Director Anthony Ambrose, with the investigation leading to today’s charges. She also thanked officers with the Irvington Township Police Department, under the direction of Director Tracy Bowers; the Clarkstown Police Department, under the direction of Chief Raymond McCullagh; the Wall Township Police Department, under the direction of Chief Kenneth Brown, Jr.; the Marlboro Township Police Department, under the direction of Chief Peter Pezzullo; the Tewksbury Township Police Department, under the direction of Chief Tim Barlow; the Port Authority Police Department, under the direction of Superintendent Edward Cetnar; the New Jersey State Police, under the direction of Col. Patrick J. Callahan; the Hunterdon County Prosecutor’s Office, under the direction of Acting Prosecutor Michael J. Williams, as well as officers and agents with the U.S. Customs and Border Protection, under the direction of Troy Miller, director of Field Operations, New York Field Office; the U.S. Department of Homeland Security, Homeland Security Investigations, New Jersey Division, under the direction of Special Agent in Charge Jason J. Molina, and the Department of Commerce-Office of Export Enforcement, under the direction of Special Agent in Charge Jonathan Carson in New York, for their assistance.
This investigation is part of the Violent Crime Initiative (VCI) in Newark. The VCI was formed in August 2017 by the U.S. Attorney’s Office for the District of New Jersey, the Essex County Prosecutor’s Office, and the City of Newark’s Department of Public Safety to combat violent crime in and around Newark. As part of this partnership, federal, state, county, and city agencies collaborate and pool resources to prosecute violent offenders who endanger the safety of the community. The VCI is composed of the U.S. Attorney’s Office, the FBI, the ATF, the DEA New Jersey Division, the U.S. Marshals, the Newark Department of Public Safety, the Essex County Prosecutor’s Office, the Essex County Sheriff’s Office, N.J. State Board of Parole, Union County Jail, N.J. State Police Regional Operations and Intelligence Center/Real Time Crime Center, N.J. Department of Corrections, the East Orange Police Department, and the Irvington Police Department.
The government is represented by Assistant U.S. Attorneys Christopher Amore and Olajide Araromi of the Office’s Government Fraud Unit.
The charges and allegations contained in the amended complaint are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
New York Man Charged with Fentanyl DistributionRead the Press Release
NEWARK, N.J. – A Bronx, New York, man was indicted today on a charge of narcotics distribution after he sold a kilogram of fentanyl to an undercover law enforcement agent in Fort Lee, New Jersey, Acting U.S. Attorney Rachael A. Honig announced.
Jose Sanchez Matos, 30, is charged with distribution and possession with intent to distribute more than 400 grams of fentanyl. Matos was previously charged by complaint in August 2019.
According to documents filed in this case and statements made in court:
Law enforcement officers learned Matos was offering to sell a kilogram of fentanyl for $40,000. On Aug. 27, 2019, Matos met with a confidential law enforcement source, agreed to the sale, and provided the source with a package of fentanyl weighing approximately one kilogram.
The count of possession with intent to distribute and distribution of fentanyl carries a mandatory minimum penalty of 10 years in prison, a maximum penalty of life in prison, and a fine of up to $10 million.
Acting U.S. Attorney Honig credited special agents of the U.S. Department of Homeland Security, Homeland Security Investigations, under the direction of Special Agent in Charge Jason J. Molina in Newark, with the investigation leading to today’s charge. She also thanked officers of the New Jersey State Police, under the direction of Superintendent Patrick J. Callahan, for their assistance with the investigation.
The government is represented by Assistant U.S. Attorney Sarah Sulkowski of the U.S. Attorney’s Cybercrimes Unit in Newark.
The Department of Justice Alleges Conditions at Cumberland County Jail Violate the ConstitutionRead the Press Release
Today, the Justice Department’s Civil Rights Division and the U.S. Attorney’s Office for the District of New Jersey concluded that there is reasonable cause to believe that the conditions at the Cumberland County Jail in Bridgeton, New Jersey, violate the Eighth and Fourteenth Amendments of the Constitution.
A Department of Justice investigation concluded that there is reasonable cause to believe that the Cumberland County Jail failed to take measures to prevent inmate suicides and provide adequate mental health care. The department alleged that these violations resulted from the Cumberland County Jail’s failure to screen for or provide adequate mental health treatment to inmates at risk of self-harm and suicide. Additionally, the department alleged that inmates faced a heightened risk of self-harm and suicide due to the jail’s failure to provide medication-assisted treatment, where clinically indicated, to inmates experiencing unmedicated opiate withdrawal. Although the Cumberland County Jail recently began providing medication-assisted treatment to inmates experiencing opiate withdrawal, the funding for such future treatment remains uncertain.
“Our investigation revealed that Cumberland County fails to provide adequate mental health care to inmates at risk of self-harm and suicide,” said Acting Assistant Attorney General for Civil Rights John B. Daukas. “We look forward to working with county officials to ensure that the jail provides constitutionally adequate care, including medication-assisted treatment for inmates experiencing unmedicated opiate withdrawal, when appropriate.”
“The opioid epidemic continues to afflict communities across the country,” said Acting U.S. Attorney Rachael A. Honig for the District of New Jersey. “By providing medication-assisted treatment to inmates experiencing opiate withdrawal, officials at jails and prisons can take significant steps to both combat that epidemic and protect the constitutional rights of incarcerated individuals. We have been encouraged by the cooperation of Cumberland County Jail officials throughout our investigation, and their stated commitment to ensure the safety and constitutional rights of their inmates. We look forward to continuing to work with them to resolve these significant concerns.”
As required by the Civil Rights of Institutionalized Persons Act (CRIPA), the department provided the facility with written notice of the supporting facts for these alleged violations and the minimum remedial measures necessary to address them.
The Civil Rights Division and the U.S. Attorney’s Office for the District of New Jersey initiated the investigation in June 2018 under CRIPA, which authorizes the department to take action to address a pattern or practice of deprivation of constitutional rights of individuals confined to state or local government-run correctional facilities.
Additional information about the Civil Rights Division of the Justice Department is available on its website at www.justice.gov/crt. Individuals who believe their civil rights may have been violated may file a complaint with the U.S Attorney’s Office at http://www.justice.gov/usao-nj/civil-rights-enforcement/complaint.
Pharmacy Owner’s Son Admits Role in $24.8 Million Kickback Scheme and $9 Million Conspiracy to Defraud IRSRead the Press Release
TRENTON, N.J. – The son of a former a co-owner of a Union City, New Jersey, pharmacy today admitted his role in multimillion-dollar conspiracies to pay kickbacks and bribes to health care professionals and to defraud the IRS, Acting U.S. Attorney Rachael A. Honig announced.
Alex Fleyshmakher, 34, of Morganville, New Jersey, pleaded guilty by videoconference before U.S. District Judge Michael A. Shipp to a superseding information charging him with conspiring to violate the federal anti-kickback statute and conspiring to defraud the IRS.
The superseding information alleges that Fleyshmakher conspired to solicit and pay kickbacks with seven other individuals, three of whom were previously charged with him by superseding indictment: Samuel “Sam” Khaimov and Yana Shtindler, both of Glen Head, New York; and Ruben Sevumyants, of Marlboro, New Jersey. Fleyhsmakher is the first of these four codefendants to plead guilty.
His other alleged conspirators in the kickback scheme included his father, Igor Fleyshmakher, of Holmdel, New Jersey, who previously pleaded guilty for his role in the conspiracy; and Eduard “Eddy” Shtindler, of Paramus, New Jersey, who previously pleaded guilty in a related kickback conspiracy. Their respective sentencings are pending.
According to documents filed in this case and statements made in court:
Prime Aid Pharmacies – now closed – operated out of locations in Union City and Bronx, New York, as “specialty pharmacies,” which processed expensive medications used to treat various conditions, including Hepatitis C, Crohn’s disease, and rheumatoid arthritis. Alex Fleyshmakher worked at Prime Aid Union City and was an on-paper owner of Prime Aid Bronx. Igor Fleyshmakher, was a co-owner of Prime Aid Union City. Khaimov was the other co-owner of Prime Aid Union City and the lead pharmacist of Prime Aid Bronx. Khaimov’s wife, Yana Shtindler, was Prime Aid Union City’s administrator, and Sevumyants was Prime Aid Union City’s operations manager. Eddy Shtindler, Yana Shtindler’s brother, was a Prime Aid Union City employee.
In order to obtain a higher volume of prescriptions, Khaimov, Yana Shtindler, Igor Fleyshmakher, Alex Fleyshmakher, Sevumyants, Eddy Shtindler, and other Prime Aid employees paid kickbacks and bribes to doctors and doctors’ employees to induce doctors’ offices to steer prescriptions to the Prime Aid Pharmacies. From 2008 to August 2017, these bribes included expensive meals, designer bags, and payments by cash, check, and wire transfers. The bribes and kickbacks were paid to, among others, doctors and doctors’ employees in New Jersey and New York. The prescriptions that just one of those New Jersey medical practices steered to Prime Aid Union City as part of the scheme resulted in Medicare and Medicaid payments to Prime Aid Union City of approximately $24.8 million.
From 2011 to August 2018, Alex Fleyshmakher, working with others, surreptitiously took insurance reimbursement checks totaling millions of dollars from the Prime Aid Pharmacies. Aided by his conspirators, Alex Fleyshmakher then cashed the checks at Brooklyn check cashing businesses or diverted them through Canadian bank accounts back into U.S. accounts that he owned and controlled. He concealed these funds and failed to report them on his personal income tax returns, resulting in a $9.1 million tax loss to the IRS.
The conspiracy and tax evasion charges to which Alex Fleyshmakher pleaded guilty each carries a maximum penalty of five years in prison and a $250,000 fine. Sentencing is scheduled for May 27, 2021.
Acting U.S. Attorney Honig credited special agents of the FBI, under the direction of Special Agent in Charge George M. Crouch Jr. in Newark; special agents of IRS-Criminal Investigation, under the direction of Special Agent in Charge Michael Montanez in Newark; special agents of the Department of Health and Human Services-Office of Inspector General, under the direction of Special Agent in Charge Scott J. Lampert; and the N.J. Office of the State Comptroller, under the direction of Acting Comptroller Kevin D. Walsh, with the investigation leading to today’s guilty plea.
The government is represented by Assistant U.S. Attorney Joshua L. Haber of the Health Care Fraud Unit of the U.S. Attorney’s Office in Newark.
The charges against and allegations in the information pertaining to Khaimov, Yana Shtindler, and Sevumyants are merely accusations, and those three defendants are presumed innocent unless and until proven guilty.
El Departamento de Justicia alega que las condiciones de la Cárcel del Condado de Cumberland violan la ConstituciónRead the Press Release
Hoy la División de División de Derechos Civiles del Departamento de Justicia y la Oficina del Fiscal del Distrito de Nueva Jersey concluyeron que hay causa razonable para creer que las condiciones en la Cárcel del Condado de Cumberland, Nueva Jersey, violan las Enmiendas Dieciocho y Catorce a la Constitución.
La investigación del Departamento de Justicia concluyó que hay causa razonable para creer que la Cárcel del Condado de Cumberland falló en tomar las medidas para prevenir los suicidios de los reclusos y proporcionar cuidado de la salud mental adecuado. El departamento alegó que estas violaciones fueron resultado de la falla de la Cárcel del Condado de Cumberland para evaluar y proporcionar tratamiento de salud mental adecuado a los reclusos en riesgo de auto lastimarse y de suicidio debido a la falla de la cárcel de proveer tratamiento asistido con medicamento, donde era clínicamente indicado, para los reclusos que sufrían de abstinencia de opioides no medicados, el financiamiento de dichos tratamientos futuros sigue siendo incierto.
“Nuestra investigación reveló que el Condado de Cumberland falló en proporcionar el cuidado de la salud mental adecuado para reclusos en riesgo de auto daño y suicidio”, dijo el Fiscal General Interino de Derechos Civiles, John B. Daukas. “Esperamos trabajar con los oficiales del condado para asegurar que la cárcel proporciona cuidado constitucionalmente adecuado, incluyendo tratamiento asistido con medicamento para reclusos que sufren de abstinencia de opioides no medicados, cuando sea apropiado”.
“La epidemia de opioides continúa afligiendo a las comunidades en todo el país”, dijo la Fiscal de EE.UU. Interina, Rachael A. Honig, para el Distrito de Nueva Jersey. “Al proporcionar el tratamiento asistido con medicamentos a los reclusos que sufre de abstinencia de opioides no medicados, lo oficiales en las cárceles y prisiones pueden dar importantes pasos tanto para combatir la epidemia y proteger los derechos constitucionales de los individuos encarcelados. Nos anima la cooperación de los oficiales de la Cárcel del Condado de Cumberland en nuestra investigación y declararon su compromiso para garantizar la seguridad y derechos constitucionales de sus reclusos. Estamos esperando continuar trabajando con ellos para resolver estas importantes preocupaciones”.
Como lo requiere la Ley de Derechos Civiles de Personas Institucionalizadas (CRIPA), el departamento proporcionará a la instalación un aviso por escrito que apoye los hechos de los alegatos de violación y las medidas de remediación mínimas necesarias para abordarlos.
La División de Derechos Civiles y la Oficina del Oficina del Fiscal de EE.UU. para el Distrito de Nueva Jersey iniciaron la investigación en junio de 2018 bajo CRIPA, que autoriza al departamento para tomar medidas para abordar el patrón o práctica de privación de los derechos constitucionales de los individuos confinados a instituciones correccionales del gobierno estatal o local.
Información adicional sobre la División de Derechos Civiles del Departamento de Justicia se encuentra disponible en su página web en www.justice.gov/crt. Los individuos que piensan que se violaron sus Derechos Civiles pueden presentar una queja en la Oficina del Fiscal de EE.UU. en http://www.justice.gov/usao-nj/civil-rights-enforcement/complaint.
Department of Justice Alleges Conditions at Cumberland County Jail Violate the ConstitutionRead the Press Release
NEWARK, N.J. – The Department of Justice’s Civil Rights Division and the U.S. Attorney’s Office for the District of New Jersey today announced that they believe the Cumberland County Jail failed to take measures to prevent inmate suicides and provide adequate mental health care.
The Department concluded that there is reasonable cause to believe that the facility failed to screen for or provide adequate mental health treatment to inmates at risk of self-harm and suicide, in violation of the Eighth and 14th Amendments of the Constitution. The Department alleged that inmates faced a heightened risk of self-harm and suicide due to the jail’s failure to provide medication-assisted treatment, where clinically indicated, to inmates experiencing unmedicated opiate withdrawal.
“The opioid epidemic continues to afflict communities across the country,” Acting U.S. Attorney Rachael A. Honig said. “By providing medication-assisted treatment to inmates experiencing opiate withdrawal, officials at jails and prisons can take significant steps to both combat that epidemic and protect the constitutional rights of incarcerated individuals. We have been encouraged by the cooperation of Cumberland County Jail officials throughout our investigation, and their stated commitment to ensure the safety and constitutional rights of their inmates. We look forward to continuing to work with them to resolve these significant concerns.”
“Our investigation revealed that Cumberland County fails to provide adequate mental health care to inmates at risk of self-harm and suicide,” Acting Assistant Attorney General for Civil Rights John B. Daukas said. “We look forward to working with County officials to ensure that the jail provides constitutionally adequate care, including medication-assisted treatment for inmates experiencing unmedicated opiate withdrawal, when appropriate.”
Although the Cumberland County Jail, located in Bridgeton, New Jersey, recently began providing medication-assisted treatment to inmates experiencing opiate withdrawal, the funding for such future treatment remains uncertain.
As required by the Civil Rights of Institutionalized Persons Act (CRIPA), the Department provided the facility with written notice of the supporting facts for these alleged violations and the minimum remedial measures necessary to address them.
The Civil Rights Division and the U.S. Attorney’s Office for District of New Jersey initiated the investigation in June 2018 under CRIPA, which authorizes the Department to take action to address a pattern or practice of deprivation of constitutional rights of individuals confined to state or local government-run correctional facilities.
Additional information about the Civil Rights Division of the Justice Department is available on its website at www.justice.gov/crt. Individuals who believe their civil rights may have been violated may file a complaint with the U.S Attorney’s Office at http://www.justice.gov/usao-nj/civil-rights-enforcement/complaint.
The government is represented by Assistant U.S. Attorney Michael E. Campion, Chief of the Civil Rights Unit; Assistant U.S. Attorney Kristin Vassallo, Deputy Chief of the Civil Division; Mary Bohan, Deputy Chief of the Civil Rights Division’s Special Litigation Section; Marlysha Myrthil, Senior Trial Attorney, Special Litigation Section; and Curtis Harris, Trial Attorney, Special Litigation Section.
Researcher Charged with Theft of Trade Secrets from New Jersey-Based Pharmaceutical CompanyRead the Press Release
NEWARK, N.J. – A former director of medical and scientific affairs at a New Jersey pharmaceutical company was arrested today on charges of stealing and illegally transmitting trade secrets, Acting U.S. Attorney Rachael A. Honig announced.
Shafat A. Quadri, 57, of North Potomac, Maryland, is charged by complaint with one count of theft of trade secrets and one count of unauthorized transmission of trade secrets. He is made his initial appearance by videoconference before U.S. Magistrate Judge Cathy L. Waldor and was released on $100,000 unsecured bond.
According to the documents filed in this case and statements made in court:
“Company 1” is a based in New Jersey and is one of the largest pharmaceutical companies in the world, creating vaccines, medicines and consumer healthcare products. Company 1 is incorporated in New Jersey and maintains email servers in New Jersey.
In October 2019, Company 1 contacted the FBI to report suspicious activity by Quadri, who had been employed there since 2015 as director of medical and scientific affairs, immune oncology. Company 1’s global immuno-oncology department specializes in research and development related to the diagnosis and treatment of more than 30 cancer types with biopharmaceutical products. Quadri had access to sensitive intellectual property of the company, including research and other trade secrets. He remained at the company through Sept. 30, 2019.
Company 1 reported that an internal investigation revealed that before he left in September 2019, Quadri copied and removed thousands of files containing Company 1’s proprietary information, including research protocols, compound data, strategic plans. Quadri used unauthorized USB devices and personal email accounts to copy, transfer, and retain proprietary information from Company 1. Some documents that were copied and removed were outside of Quadri’s area of work responsibility. Quadri was not authorized to keep or transfer any sensitive or proprietary documents.
A subsequent review of Quadri’s work-issued computer further revealed the theft and transmission of Company 1 trade secrets, including:
- Quadri used his Company 1 email account to send Company 1 proprietary documents to private email accounts used by Quadri. At least twelve of Company 1’s documents were sent to Quadri’s private email addresses, some of which contained proprietary information related to an immunotherapy drug that helps fight certain cancers and is identified as Company 1’s leading oncology asset.
- Quadri used his Company 1 email account to send three of Company 1’s documents containing proprietary information to an email address used by Quadri and controlled by Quadri’s subsequent employer (Company 2), one of Company 1’s competitors. At least one of these documents related to research in the pre-indication stage, which could cause Company 1 significant loss as competitors would not have knowledge of these development plans.
The count of theft of trade secrets charge carries a maximum potential penalty of up to 10 years in prison and a fine of up to $250,000, or twice the gross pecuniary gain or loss.
Acting U.S. Attorney Honig credited special agents of the FBI’s Newark Division, under the direction of Special Agent in Charge George M. Crouch Jr., with the investigation leading to today’s charges. She also thanked security officials at Company 1 and Company 2 for their assistance.
The government is represented by Assistant U.S. Attorney Dean C. Sovolos of the U.S. Attorney’s Office National Security Unit in Newark.
The charge and allegations contained in the complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
Essex County Man Admits Carjacking and Assaulting U.S. Postal Service EmployeeRead the Press Release
NEWARK, N.J. – An Essex County, New Jersey, man today admitted assaulting and carjacking at knifepoint a U.S. Postal Service employee, Acting U.S. Attorney Rachael A. Honig announced.
Wallace Johnson, 32, of Newark, pleaded guilty before U.S. District Judge John Michael Vazquez in Newark federal court to an indictment charging him with carjacking and assaulting a federal employee.
According to documents filed in this case and statements made in court:
Johnson admitted that on June 6, 2020, he walked up to a postal employee who was sitting in the car’s driver seat while on a break from delivering mail in Newark. Johnson held a box cutter against the postal employee’s neck and the box cutter’s blade pierced the postal employee’s skin, causing a small laceration. While Johnson held the box cutter against the postal employee’s neck, he demanded that the postal employee get out of the car and leave everything inside of the car. After the postal employee got out of the car, Johnson got into the car and drove away.
Shortly thereafter, law enforcement officers saw the carjacked car driving at a very high rate of speed and attempted to conduct a car stop, not knowing at that time about the carjacking. During a subsequent car chase, Johnson crashed the car and fled on foot. Several minutes later, during a canvass of the nearby neighborhood, law enforcement officers found Johnson as he hid behind a parked car and then arrested him following a foot pursuit. Law enforcement officers recovered the postal employee’s cellular telephone and the boxcutter that Johnson used during the assault and carjacking.
The charge of assaulting a federal employee carries a maximum potential penalty of 20 years in prison. The charge of carjacking carries a maximum potential penalty of 15 years in prison. Each of these counts carries a maximum fine of $250,000. Sentencing is scheduled for May 18, 2021.
Acting U.S. Attorney Rachael A. Honig credited members of the Newark Police Department, under the direction of Public Safety Director Anthony F. Ambrose and postal inspectors of the U.S. Postal Inspection Service, under the direction of Acting Inspector in Charge Raimundo Marrero in Newark, with the investigation leading to today’s guilty plea.
The government is represented by Assistant U.S. Attorney Benjamin Levin of the U.S. Attorney’s Office Violent Crimes Unit in Newark.
Chinese National Sentenced to 28 Months in Prison for Importing Fentanyl Analogues and Money LaunderingRead the Press Release
NEWARK, N.J. – A Chinese national who held high-level executive positions at chemical and pharmaceutical companies in China was sentenced today to 28 months in prison for drug and money laundering offenses, including the importation of fentanyl analogues into New Jersey, Acting U.S. Attorney Rachael A. Honig announced.
According to the charging documents and statements made in court:
Hao Qin, (a/k/a “John Chin”), 34, of Shanghai, China, was identified as being responsible for importing over 500 kilograms of controlled substance analogues into the United States. Among the substances imported by Qin and his conspirators through Qin’s chemical business were furanyl fentanyl and 4-FIBF, two potent analogues of the opioid drug fentanyl.
Qin also laundered the proceeds of his international drug business, including accepting wire payments designed to pay off a $500,000 drug debt incurred by one of his former clients in the United States.
In addition to the prison term, U.S. District Judge Claire C. Cecchi sentenced Qin to three years of supervised release.
This case was conducted under the auspices of the Organized Crime Drug Enforcement Task Force (OCDETF). The principal mission of the OCDETF program is to identify, disrupt and dismantle the most serious drug trafficking, weapons trafficking, and money laundering organizations, and those primarily responsible for the nation’s illegal drug supply.
Acting U.S. Attorney Honig credited special agents with the Drug Enforcement Administration, under the direction of Special Agent in Charge Susan A. Gibson, with the investigation leading to today’s sentencing.
The government is represented by Assistant U.S. Attorney Melissa M. Wangenheim, Chief of the Office’s Opioid Abuse Prevention and Enforcement Unit, and Assistant U.S. Attorney Ryan L. O’Neill, also of the Office’s Opioid Abuse Prevention and Enforcement Unit.
Middlesex County Man Sentenced to 75 Months for Possession of a Handgun in Connection with a RobberyRead the Press Release
NEWARK, N.J. – A Middlesex County, New Jersey, man was sentenced today to 75 months in prison for illegally possessing a loaded 9mm HiPoint pistol, Acting U.S. Attorney Rachael A. Honig announced.
Rashawn S. Williams of Woodbridge Township, New Jersey, previously pleaded guilty by videoconference before U.S. District Judge Brian R. Martinotti to an information charging him with one count of being a felon in possession of a firearm and ammunition. Judge Martinotti imposed the sentence by videoconference today.
According to documents filed in this case and statements made in court:
On Feb. 6, 2019, in an Irvington, New Jersey parking lot, Williams knowingly possessed a 9mm HiPoint pistol loaded with at least one round of 9mm ammunition. He and a conspirator robbed four individuals at gunpoint. Williams fired a shot, striking one of the victims in the leg.
In addition to the prison term, Judge Martinotti sentenced Williams to three years of supervised release.
This case is part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws. Initiated by the Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence; enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes; improves information sharing by the Bureau of Alcohol, Tobacco, Firearms and Explosives when a prohibited individual attempts to purchase a firearm and is denied by the National Instant Criminal Background Check System (NICS), to include taking appropriate actions when a prospective purchaser is denied by the NICS for mental health reasons; and ensures that federal resources are directed at the criminals posing the greatest threat to our communities. For more information about Project Guardian, please see https://www.justice.gov/projectguardian.
Acting U.S. Attorney Honig credited special agents and task force officers of the Drug Enforcement Administration, under the direction of Special Agent in Charge Susan A. Gibson; the Bureau of Alcohol, Tobacco, Firearms & Explosives, under the direction of Special Agent in Charge Charlie J. Patterson; and the Irvington Police Department, under the direction of Police Chief Tracy Bowers, with the investigation leading to today’s sentence. She also thanked the Essex County Prosecutor’s Office, under the direction of Acting Essex County Prosecutor Theodore N. Stephens II, for its assistance with the case.
The government is represented by Assistant U.S. Attorney Francesca Liquori of the Organized Crime and Gangs Unit of the U.S. Attorney’s Office’s Criminal Division in Newark.
Former Union Officer Admits EmbezzlementRead the Press Release
NEWARK, N.J. – The former secretary treasurer of Local 2254 of the American Federation of State, County, and Municipal Employees Union (AFSCME) today admitted embezzling $40,455 from the union’s checking and savings accounts, Acting U.S. Attorney Rachael Honig announced.
Linda Rogers, 71, of Jersey City, pleaded guilty by videoconference before U.S. District Judge Stanley R. Chesler to Count One of an indictment charging her with embezzlement from the union, located at Jersey City Medical Center (JCMC).
According to the Indictment and the plea allocution:
Rogers was employed at JCMC and held a part-time position at Local 2254 as its secretary treasurer. In that role, she had sole control over the union’s checking and savings accounts. From July 2016 through August 2017, her daughter, Jennifer Rogers, who also recently pleaded guilty to the same charges, deposited 112 unauthorized checks from Local 2254 to their joint checking and savings accounts, totaling $35,267. From October 2016 through December 2016, Linda Rogers made six wire transfers from Local 2254’s savings account, totaling $5,188, into her personal credit card account. None of the expenditures were authorized, or for legitimate union purposes.
The count to which Linda Rogers pleaded guilty carries a maximum penalty of five years in prison and a $250,000 fine. Sentencing is scheduled for May 25, 2021.
Acting U.S. Attorney Honig credited investigators of the U.S. Department of Labor, Office of Labor Management Standards, under the direction of Adriana Vamvakas, Regional Director; and special agents of the Department of Labor (OIG), New York Region, under the direction of Special Agent in Charge Michael Mikulka, with the investigation leading to today’s guilty plea.
The government is represented by Senior Litigation Counsel V. Grady O’Malley of the U.S. Attorney’s Office’s Organized Crime/Gangs Unit.
Crips Gang Member Sentenced to 100 Months in Prison in Connection with Attempted Murder as Part of RICO ConspiracyRead the Press Release
NEWARK, N.J. – A member of the New Jersey Grape Street Crips was sentenced today to 100 months in prison for his role in an attempted murder charged as part of a RICO conspiracy, as well as narcotics trafficking, acting U.S. Attorney Rachael A. Honig announced.
Sean Hills, a/k/a “Half A Brain,” a/k/a “Half,” a/k/a “Rydaman,” 29, of Newark, previously pleaded guilty before U.S. District Judge Madeline Cox Arleo to an indictment that charged him with Racketeer Influenced and Corrupt Organizations (RICO) conspiracy and distribution of cocaine. Judge Arleo imposed the sentence by videoconference today.
Since 2015, more than 80 members of the New Jersey Grape Street Crips have been convicted federally in connection with multiple murders, attempted murders, shootings, drug trafficking, firearms charges, and witness intimidation as part of a coordinated investigation by the FBI, the Drug Enforcement Administration (DEA), and local law enforcement partners.
According to documents filed in this case and statements made in court:
Hills is a long-time member of the New Jersey Grape Street Crips who has the gang’s senior hierarchy tattooed on his face. On Dec. 15, 2012, Hills repeatedly shot Victim-1 near the area of South 14th Street and 14th Avenue, an area that Hills and other gang members were trying to take over as part of their drug-trafficking territory. As part of the sentencing, the Court also considered a shooting Hills committed on Feb. 1, 2013, when he shot Victim-2 numerous times. Both victims survived the attacks. Hills was additionally sentenced for separate instances of possession with intent to distribute of cocaine. In addition to the prison term, Judge Arleo sentenced Hills to three years of supervised release.
Acting U.S. Attorney Honig credited special agents of the FBI, under the direction of Special Agent in Charge George M. Crouch Jr. in Newark, and special agents of the Drug Enforcement Administration, under the direction of Special Agent in Charge Susan A. Gibson in Newark, with the investigation leading to today’s sentencing. She also thanked the Essex County Prosecutor’s Office, under the direction of Acting Prosecutor Theodore N. Stephens II, police officers and detectives of the Newark Police Department, under the direction of Public Safety Director Anthony F. Ambrose, and the Essex County Sheriff’s Office, under the direction of Armando B. Fontoura, for assistance.
The government is represented by Assistant U.S. Attorney Osmar J. Benvenuto of the Criminal Division and Jamel Semper, Chief of the Organized Crime and Gangs Unit in Newark.
Burlington County Man Admits Role in Camden Drug Trafficking OrganizationRead the Press Release
CAMDEN, N.J. – A Burlington County, New Jersey, man today admitted his role in a drug-trafficking organization that distributed heroin and cocaine in Camden, Acting U.S. Attorney Rachael A. Honig announced.
Dwight Williams, 29, of Mount Holly, New Jersey, pleaded guilty by videoconference before U.S. District Judge Renée Marie Bumb to an information charging him with one count of conspiracy to possess and possess with intent to distribute heroin and cocaine
According to documents filed in this case and statements made in court:
An investigation led by the FBI used surveillance tactics, confidential informants, consensual recordings, over 40 controlled drug purchases, record checks, a GPS vehicle tracker, and several court-authorized wiretaps to uncover the operations a drug-trafficking organization based on the 500 block of Pine Street in Camden.
Williams and 15 other members of the drug-trafficking conspiracy – Ronnie Lopez, Nelson Salcedo, Carlos Perez, Paul Salcedo, Waldemar Garcia, William Carrillo, Elisa Rivera, Ramon Velez, David Velez, Naeem Sadler, Jasmin Velez, Jameel Byng, Kaliel Johnson, Meylin Troncoso, and Jose Agron – have now pleaded guilty in this case.
The charges against three other defendants remain pending, and they are presumed innocent unless and until proven guilty.
The count to which Williams pleaded guilty carries a mandatory minimum penalty of five years in prison, a maximum potential penalty of 40 years in prison, and a $5 million fine. Sentencing is scheduled for May 17, 2021.
Acting U.S. Attorney Honig credited special agents of the FBI’s South Jersey Violent Offender and Gang Task Force, South Jersey Resident Agency, under the direction of Special Agent in Charge Michael J. Driscoll; the Camden County Police Department, under the direction of Chief Gabriel Rodriguez; the Camden County Prosecutor’s Office, under the direction of Acting Prosecutor Jill S. Mayer; the Camden County Sheriff’s Department, under the direction of Sheriff Gilbert L. Wilson; the Cherry Hill Police Department, under the direction of Chief William P. Monaghan; and the N.J. State Police, under the direction of Col. Patrick J. Callahan, with the investigation leading to today’s guilty plea. He also thanked the Drug Enforcement Administration, the U.S. Marshals Service, and the Department of Homeland Security for their assistance.
This case is being conducted under the auspices of the Organized Crime Drug Enforcement Task Force (OCDETF). The principal mission of the OCDETF program is to identify, disrupt and dismantle the most serious drug trafficking, weapons trafficking and money laundering organizations, and those primarily responsible for the nation’s illegal drug supply.
The government is represented by Assistant U.S. Attorneys Sara A. Aliabadi and Patrick C. Askin of the U.S. Attorney’s Office Criminal Division in Camden.
Middlesex County Man Admits Unlawfully Possessing FirearmRead the Press Release
NEWARK, N.J. – A Middlesex County man today admitted illegally possessing a firearm, Acting U.S. Attorney Rachael Honig announced.
Sharome Neals, 27, of Carteret, New Jersey, pleaded guilty by videoconference before U.S. District Judge Kevin McNulty to an indictment charging him with one count of being a felon in possession of a firearm.
According to documents filed in this case and statements made in court:
On Dec. 30, 2019, Neals knowingly possessed a Glock 21 .45 caliber handgun loaded with 11 rounds of ammunition, and an additional 33 rounds of .45 caliber ammunition in his vehicle. Neals has two prior felony convictions, both involving firearms.
The charge of possession of a weapon by a convicted felon carries a maximum penalty of 10 years in prison and a fine of up to $250,000. Sentencing is scheduled for May 25, 2021.
This case is part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws. Initiated by the Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence; enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes; improves information sharing by the Bureau of Alcohol, Tobacco, Firearms and Explosives when a prohibited individual attempts to purchase a firearm and is denied by the National Instant Criminal Background Check System (NICS), to include taking appropriate actions when a prospective purchaser is denied by the NICS for mental health reasons; and ensures that federal resources are directed at the criminals posing the greatest threat to our communities. For more information about Project Guardian, please see https://www.justice.gov/projectguardian.
Acting U.S. Attorney Honig credited special agents and task force officers of the Bureau of Alcohol, Tobacco, Firearms & Explosives, Newark Division, under the direction of Special Agent in Charge Charlie J. Patterson; and the Secaucus Police Department, under the direction of Police Chief Dennis Miller, with the investigation leading to today’s guilty plea. She also thanked the Hudson County Prosecutor’s Office, under the direction of Prosecutor Esther Suarez, for its assistance with the investigation.
The government is represented by Assistant U.S. Attorney Cassye Cole of the Organized Crime and Gangs Unit of the U.S. Attorney’s Office’s Criminal Division in Newark.
Jamaican Man Charged with Smuggling Cocaine into United States through Newark AirportRead the Press Release
NEWARK, N.J. – A Jamaican man made his initial appearance today on charges that he smuggled approximately one kilogram of cocaine into the United States, Acting U.S. Attorney Rachael A. Honig announced.
Perez Omar Gibbs, 37, of Jamaica, was arrested on Jan. 9, 2021, and is charged by complaint with one count of importation of controlled substances. He appeared by videoconference today before U.S. Magistrate Judge Cathy L. Waldor and was remanded without bail.
According to documents filed in this case and statements made in court:
Gibbs arrived at Newark Liberty International Airport aboard a flight from Montego Bay, Jamaica. Law enforcement officers discovered that Gibbs possessed approximately one kilogram of cocaine concealed inside two bags of coffee and four picture frames.
The count with which Gibbs is charged carries a mandatory minimum penalty of five years in prison, a potential maximum penalty of 40 years in prison, and a $5 million fine.
Acting U.S. Attorney Honig credited special agents of the U.S. Department of Homeland Security, Homeland Security Investigations, New Jersey Division, under the direction of Special Agent in Charge Jason J. Molina; and officers of U.S. Customs and Border Protection, under the direction of Troy Miller, director of Field Operations, New York Field Office, with the investigation leading to the charges.
The government is represented by Assistant U.S. Attorney Jonathan Fayer of the Economic Crimes Unit in Newark.
The charge and allegations contained in the complaint are merely accusations, and the defendants is presumed innocent unless and until proven guilty.
Burlington County Man Arrested on Child Pornography ChargeRead the Press Release
CAMDEN, N.J. – A Burlington County, New Jersey, man was charged today with allegedly distributing videos and images of child sexual abuse, Acting U.S. Attorney Rachael A. Honig announced.
Al-Fahim Medina, 22, of Willingboro, New Jersey, is charged by complaint with one count of distribution of child pornography. He appeared today before U.S. Magistrate Judge Ann Marie Donio in Camden federal court and was released on $50,000 unsecured bond.
According to documents filed in this case and statements made in court:
In January 2020, an undercover law enforcement agent saw an individual advertising, in coded language, the sale of child pornography on Twitter. The Twitter profile directed interested parties to an encrypted social media messaging application. During multiple sessions in January and February 2020, the undercover agent communicated with the individual online, and the individual agreed to sell multiple links to cloud storage websites that contained videos of child sexual abuse to the undercover agent. After the undercover agent sent $20.00 to a PayPal account registered to Medina, the individual sent the links to the websites that contained child sexual abuse.
On June 12, 2020, law enforcement lawfully obtained multiple devices from Medina’s residence that contained over 22,000 files of content constituting child sexual abuse, including images of prepubescent children being sexually abused.
The count of distribution of child pornography carries a mandatory minimum penalty of five years in prison, a maximum penalty of 20 years in prison, and a fine of $250,000.
Acting U.S. Attorney Honig credited special agents of Homeland Security Investigations, Cherry Hill Office, under the direction of Special Agent in Charge Jason J. Molina with the investigation leading to today’s charge.
The government is represented by Assistant U.S. Attorney Kristen M. Harberg of the Camden Office.
New York Man Sentenced to Six Years in Prison for Supervisory Role in Large-Scale Wire Fraud ConspiracyRead the Press Release
NEWARK, N.J. – A Bronx, New York man was sentenced today to 72 months in prison for supervising a large-scale wire fraud conspiracy that exposed victims to more than $2 million in losses, Acting U.S. Attorney Rachael A. Honig announced.
Joshua Suarez, 34, previously pleaded guilty before U.S. District Judge Kevin McNulty to one count of engaging in a conspiracy to commit wire fraud. Judge McNulty imposed the sentence today by video teleconference.
According to documents filed in the case and statements made in court:
The conspirators used multiple techniques to fraudulently convince banks and other corporate entities to send or release funds to them, including withdrawing funds by falsely claiming to be financial account holders and negotiating bogus checks. Suarez recruited and directed individuals to open bank accounts in order to launder the funds. Once the fraudulently obtained funds were deposited into the bank accounts, Suarez oversaw the withdraw and transfer of funds from those accounts. The conspiracy exposed victims to losses of more than $2,000,000.
Nine people have been charged, eight have pleaded guilty, and six have been sentenced in this case. The charges and allegations against the remaining defendant are merely accusations, and he is presumed innocent unless and until proven guilty.
In addition to the prison term, Judge McNulty sentenced Suarez to three years of supervised release and ordered him to pay $504,164 in restitution.
Acting U.S. Attorney Honig credited special agents of the FBI’s Newark Division, under the direction of Special Agent in Charge George M. Crouch Jr., and the U.S. Department of Labor, Office of Inspector General, under the direction of Special Agent in Charge Michael C. Mikulka in New York, with the investigation leading to today’s sentencing.
The government is represented by Assistant U.S. Attorney Andrew Kogan of the U.S. Attorney’s Office Cybercrime Unit in Newark.
Passaic County Man Sentenced to 63 Months for Role in Fentanyl ConspiracyRead the Press Release
NEWARK, N.J. – A Passaic County, New Jersey, man was sentenced today to 63 months in prison for conspiring to distribute fentanyl and distributing fentanyl, Acting U.S. Attorney Rachael A. Honig announced.
Keith Brinkley, a/k/a “K Murder,” 30, of Paterson, New Jersey, previously pleaded guilty before U.S. District Judge Brian R. Martinotti in Newark federal court to an information charging him with conspiracy to distribute and possess with the intent to fentanyl and knowingly and intentionally distributing fentanyl. Judge Martinotti imposed the sentence by videoconference today.
According to documents filed in this case and statements made in court:
Brinkley and his conspirators are all members and associates of the 230 Boys street gang, which operates primarily around Rosa Parks Boulevard and Godwin Avenue in Paterson. Through investigative techniques, including numerous controlled purchases of narcotics, consensually recorded telephone calls and text messages, physical surveillance, and the analysis of telephone call detail records, law enforcement determined that from at least September 2018 through Oct. 1, 2019, Brinkley and his conspirators conspired to distribute narcotics, including heroin and fentanyl.
In addition to the prison term, Judge Martinotti sentenced Brinkley to three years of supervised release.
This case is being conducted under the auspices of the Organized Crime Drug Enforcement Task Force (OCDETF). The principal mission of the OCDETF program is to identify, disrupt and dismantle the most serious drug trafficking, weapons trafficking and money laundering organizations, and those primarily responsible for the nation’s illegal drug supply.
Acting U.S. Attorney Honig credited special agents and task force officers with the Bureau of Alcohol, Tobacco, Firearms and Explosives, Newark Division, under the direction of Special Agent in Charge Charlie J. Patterson; special agents of the Drug Enforcement Administration, under the direction of Special Agent in Charge Susan A. Gibson in Newark; officers of the N.J. State Police, under the direction of Col. Patrick J. Callahan; officers of the Paterson Police Department, under the direction of Director Jerry Speziale and Police Chief Ibrahim Baycora; detectives of the Passaic County Prosecutor’s Office, under the direction of Prosecutor Camelia Valdes; and the Passaic County Sheriff’s Office, under the direction of Sheriff Richard H. Berdnik, with the investigation leading to today’s sentencing. She also thanked the U.S. Marshals Service, the Bergen County Sheriff's Office and the Belleville and Livingston police departments for their assistance with the case.
The government is represented by Assistant U.S. Attorney Francesca Liquori of the Organized Crime and Gangs Unit.
Former Newark Police Officer Sentenced to Nine Years in Prison for Conspiracy to Defraud Newark Conservation and Development CorporationRead the Press Release
NEWARK, N.J. – A former Newark police officer was sentenced today to 108 months in prison for conspiring to defraud the Newark Watershed Conservation and Development Corporation (NWCDC) and giving kickbacks to its former executive director, Acting U.S. Attorney Rachael A. Honig announced.
Janell Robinson, 45, of Newark, was previously convicted of one count of conspiracy to defraud the NWCDC facilitated by use of mails and wire transmissions, two counts of mail fraud, and one count of conspiracy to commit extortion under color of official right affecting interstate commerce, following a jury trial before U.S. District Judge Susan D. Wigenton. Judge Wigenton imposed the sentence today in Newark federal court.
According to documents filed in this case and the evidence at trial:
Between March 2010 and May 2013, while Robinson was a Newark police officer, she controlled Protected and Secured Services LLC (P&S), a company that purported to provide security consulting services to its only client, the NWCDC. Robinson conspired with Linda Watkins Brashear of West Orange, New Jersey, the former executive director of the NWCDC, to pay Brashear a stream of concealed and undisclosed kickbacks from the proceeds that P&S received from the NWCDC. In exchange for Brashear’s assistance with securing P&S a contract with the NWCDC and approving completely fraudulent or inflated invoices that Robinson submitted, Robinson paid Brashear cash kickbacks from the proceeds of the fraud.
The NWCDC paid P&S approximately $289,000 during the scheme, approximately $50,000 of which was used by Robinson used to pay Brashear kickbacks.
In addition to the prison term, Judge Wigenton sentenced Robinson to three years supervised release and ordered her to pay restitution of $288,950 to the NWCDC.
Acting U.S. Attorney Honig credited special agents of the FBI, under the direction of Special Agent in Charge George M. Crouch in Newark, and special agents of IRS – Criminal Investigation, under the direction of Special Agent in Charge Michael Montanez, with the investigation leading to today’s sentencing.
The government is represented by Senior Trial Counsel Leslie F. Schwartz of the U.S. Attorney’s Office Special Prosecutions Division.
California Genetic Testing Lab Agrees to Pay $357,584 to Resolve False Claims Act AllegationsRead the Press Release
NEWARK, N.J. – A California diagnostic laboratory will pay $357,584 to resolve allegations that it violated the False Claims Act by submitting or causing to be submitted claims for genetic tests to Medicare without valid physician oversight, Acting U.S. Attorney Rachael A. Honig announced today.
According to the contentions of the United States contained in the settlement agreement:
From September 2015 to November 2015, Exceltox used the services of contractor Seth Rehfuss, of Somerset, New Jersey, who persuaded groups of senior citizens in senior housing complexes to submit to genetic testing, despite applicable Medicare rules requiring proper orders from a treating physician for such tests. Exceltox, in turn, submitted claims for payment to Medicare for Rehfuss’ genetic tests performed without valid physician oversight.
Rehfuss previously pleaded guilty in Trenton federal court to a superseding information charging him with conspiracy to commit health care fraud and was sentenced in May 2019 to 50 months in prison.
Acting U.S. Attorney Honig credited special agents of the U.S. Department of Health and Human Services – Office of the Inspector General, under the direction of Special Agent in Charge Scott J. Lampert; special agents of the U.S. Attorney’s Office for the District of New Jersey; and the Cape May County Department of Aging and Disability Services, with the investigation leading to the settlement.
The government is represented by Assistant U.S. Attorney Daniel Meyler of the Health Care Fraud Unit in Newark.
The claims settled by this agreement are allegations only, and there has been no determination of liability.
U.S. Attorney Craig Carpenito Recognizes Newark Public Safety Director Anthony F. Ambrose’s Significant Contributions to Cooperative Law EnforcementRead the Press Release
NEWARK, N.J. – City of Newark Public Safety Director Anthony F. Ambrose was recognized today by the U.S. Attorney’s Office for the District of New Jersey for his exceptional contributions to cooperative law enforcement in the State of New Jersey, U.S. Attorney Craig Carpenito announced.
“As I have said many times, Director Ambrose is a national treasure,” U.S. Attorney Carpenito said. “Through his leadership, we have benefited from an unprecedented level of cooperation and proactive participation in our efforts to suppress crime in the great City of Newark. Over the past five years, he has transformed the Newark Police Department under the Department of Justice’s Consent Decree and produced record levels of crime reduction in this city.”
As the leader of the City of Newark’s Department of Public Safety, Director Ambrose has fostered collaborative, productive working relationships among federal, state, and local partners, including the U.S. Attorney’s Office, the Newark Police Department, the Essex County Prosecutor’s Office, the FBI, the Drug Enforcement Administration, the Bureau of Alcohol, Tobacco, Firearms and Explosives, the New Jersey State Police, the New Jersey Attorney General’s Office, the New Jersey Office of Homeland Security & Preparedness, and numerous other state and local agencies and police departments. The information-sharing and investigative partnerships that have resulted from these relationships has proven critical to investigating, prosecuting, and suppressing violent crime in the City of Newark and surrounding areas.
Among other achievements during Director Ambrose’s tenure, the Newark Violent Crime Initiative (VCI) was awarded an Attorney General’s Award by then-U.S. Attorney General William P. Barr in October 2019. The Newark VCI was formed in August 2017 as a community-wide cooperative effort aimed at combatting violent crime in and around Newark. As part of this partnership, federal, state, county, and city agencies collaborate, share intelligence, and pool resources to prosecute violent offenders who endanger the safety of the community. The Newark VCI has not only improved the community, but has strengthened relationships among federal, state, county and city agencies as a result of the trust developed among the participants.
The VCI’s community-wide, collaborative approach has had a powerful impact on improving the community. Due in part to the VCI’s concentrated efforts, between 2017 and 2018, Newark saw a 30 percent reduction in the number of shooting victims city-wide. In 20l9, the number of shooting victims and shooting incidents declined another 39 percent when compared to the same time period in 2018. In that same year, the number of murders in Newark reached its lowest level in nearly six decades. And in 2020, a year in which violent crime spiked in various places across the country, including other New Jersey cities, Newark maintained the same low in the number of murders.
Director Ambrose has also worked closely with the U.S. Attorney’s Office as part of the Department of Justice’s Project Guardian, which was announced by the Department in November 2019 and is a targeted approach to reducing gun crime. Project Guardian is based on five core principles, which include coordinated prosecution and improved information sharing. In the fiscal year that ended Sept. 30, 2020, the U.S. Attorney’s Office charged 342 individuals with gun offenses. Of those individuals, 252 were prior convicted felons who were prohibited from possessing firearms, and almost 90 possessed firearms in furtherance of, or in relation to, drug trafficking offenses or crimes of violence, such as carjackings and shootings. Many of these cases were the result of close coordination and information sharing with Director Ambrose and the Newark Department of Public Safety.
Director Ambrose was born and raised in Newark. He received both his Bachelor of Arts and Master of Arts degrees from Farleigh Dickinson University. He is also a graduate of the FBI National Academy. In 1986, Director Ambrose joined the Newark Police Department as a police officer, rising through the ranks to become the Chief of Police in 1999 and the Police Director in 2006. Director Ambrose then served as Essex County Undersheriff from 2006 to 2008, at which point he became Chief of Detectives for the Essex County Prosecutor’s Office. In January 2016, Director Ambrose accepted Mayor Ras Baraka’s invitation to become the City of Newark’s first ever Director of Public Safety, overseeing the consolidation of police, fire, and emergency management operations. As Director, he oversees more than 1,960 employees, comprising 996 sworn police officers, 611 firefighters, and 346 civilian employees, and manages a budget that exceeds $200 million.
Camden County Man Admits Trafficking in Oxycodone PillsRead the Press Release
CAMDEN, N.J. – A Camden County, New Jersey, man today admitted conspiring to distribute and selling oxycodone pills in connection with his role in a drug trafficking ring, U.S. Attorney Craig Carpenito announced.
Anwar Abdulah, 32, of Pennsauken, pleaded guilty today by videoconference before U.S. District Judge Renée Marie Bumb to an information charging him with conspiring to distribute and possess with intent to distribute oxycodone and distributing and possessing with intent to distribute quantities of oxycodone.
According to documents filed in this case and statements made in court:
Abdullah admitted that on multiple occasions from January 2020 to March 10, 2020, he obtained oxycodone from Erick Bell in and around Camden and resold that oxycodone. For example, Abdullah admitted that, on Feb. 21, 2020, he provided $1,440 to Bell so that Bell could purchase 120 15 mg oxycodone pills from another individual. Bell then provided Abdullah with the oxycodone pills that Bell bought using Abdullah’s money, and Abdullah resold the pills to others. Oxycodone is a Schedule II controlled substance, meaning that it has a high potential for abuse, a currently accepted medical use with severe restrictions, and abuse of the drug may lead to severe psychological or physical dependence.
Both charges carry a maximum potential punishment of 20 years in prison and a fine of $1 million, or twice the gross loss or gain caused by the offenses, whichever is greater. Sentencing is scheduled for May 10, 2021.
Nine other defendants – Bell; Rocco DePoder, 67, Marcus Rushworth, 47, and Kenneth Rushworth, 59, all of Gloucester City; Alfred Kee, Jr., 52, of Blackwood, New Jersey; Wayne Muse, 74, of Lindenwold, New Jersey; Robert Pratt, 57, of Myrtle Beach, South Carolina, formerly of Blackwood, New Jersey; and Steven Walker, 47, and Alexander Siaca, 55, both of Camden – previously pleaded guilty before Judge Bumb to informations charging them with drug trafficking offenses involving the distribution of prescription drugs. They are all awaiting sentencing.
U.S. Attorney Carpenito credited special agents of FBI, Philadelphia Division, South Jersey Resident Agency, under the direction of Special Agent in Charge Michael J. Driscoll; the U.S. Department of Health and Human Services-Office of the Inspector General, under the direction of Special Agent in Charge Scott J. Lampert; the Camden County Sheriff's Office, under the direction of Sheriff Gilbert L. Wilson; the New Jersey Office of Homeland Security and Preparedness, under the direction of Director Jared M. Maples; the Camden County Police Department, under the direction of Chief Joseph Wysocki; and the U.S. Department of Agriculture-Office of Inspector General, under the direction of Special Agent in Charge Bethanne M. Dinkins, with the investigation leading to today’s guilty plea.
He also thanked the FBI Newark Division, New Jersey State Police, Camden County Prosecutor’s Office, and U.S. Drug Enforcement Administration for their assistance.
The government is represented by Assistant U.S. Attorneys Gabriel J. Vidoni of the U.S. Attorney’s Office’s Camden Office and Sara F. Merin of the Newark Office.
U.S. Attorney Craig Carpenito Announces Distinguished Alumnus Award for Cooper Health CEO Kevin M. O’DowdRead the Press Release
NEWARK, N.J. – Kevin M. O’Dowd, the co-President/CEO of Cooper University Health Care, received the first ever Distinguished Alumnus Award from the U.S. Attorney’s Office for the District of New Jersey for his exceptional leadership during the COVID-19 pandemic, U.S. Attorney Craig Carpenito announced.
“The COVID-19 pandemic is the greatest public health crisis this state has ever encountered,” U.S. Attorney Carpenito said. “In times of crisis, we need great leaders, and Kevin O’Dowd is precisely the kind of leader New Jersey needs right now. I was blessed to work directly with Kevin at the U.S. Attorney’s Office and watch his impressive career. Because he is now standing out as a leader in the state’s response to COVID-19, I can think of no one more deserving for our first ever Distinguished Alumnus Award.”
In March 2020, Gov. Phil Murphy appointed Mr. O’Dowd to serve as the State’s Southern Regional Coordinator for COVID-19 response. In this capacity, he serves as the New Jersey Department of Health’s lead hospital contact in connection with COVID-19 response efforts in seven counties. Mr. O’Dowd has been charged with identifying and coordinating regional bed capacity, developing strategies for allocating patients based upon critical care bed availability, developing surge plans for transporting patients as needed, setting up COVID-19 testing sites, supporting regional Field Medical Sites and collecting and communicating real-time data to the Department of Health on critical information about new cases, changes in medical models of care, bed capacity, resources, and supply of PPE. To date, the hospitals in the southern region have treated more than 40,000 COVID-positive patients. As 2021 begins, Mr. O’Dowd is also assisting the Department of Health in performing the critical mission of coordinating a vaccination plan in order to bring the virus under control.
Before joining Cooper, Mr. O’Dowd served in the Cabinet of Gov. Chris Christie, including as Chief of Staff from 2012 to 2014. Prior to joining the Christie Administration in 2010 as counsel to the Governor, he served as the Chief of the Securities and Health Care Fraud Unit in the Criminal Division of the U.S. Attorney’s Office. During his seven-year tenure, Mr. O’Dowd investigated and prosecuted cases ranging from computer hacking and intellectual property theft to complex health care, securities, and financial fraud. He was also the Chair of the office’s Health Care Task Force. Mr. O’Dowd was twice awarded the Integrity Award from the U.S. Department of Health and Human Services and the Award for Excellence from the U.S. President’s Council on Integrity and Efficiency. In 2012, Seton Hall University School of Law presented Mr. O’Dowd with the St. Thomas More Medal for his distinguished public service.