District of New Jersey
Press releases recorded for this federal judicial district.
Mercer County Man Admits Participation in Heroin Conspiracy and Firearms OffensesRead the Press Release
TRENTON, N.J. – A Mercer County, New Jersey, man today admitted his role as a member of a drug trafficking conspiracy and his possession of multiple semiautomatic firearms in furtherance of his unlawful drug-trafficking activities, U.S. Attorney Craig Carpenito announced.
Jubri West, 20, of Trenton, pleaded guilty by teleconference before Chief U.S. District Judge Freda L. Wolfson to a superseding information charging him with one count each of conspiracy to distribute and possess with intent to distribute heroin; possession with intent to distribute heroin; and possession of firearms in furtherance of a drug-trafficking crime.
In October 2018, West and 25 other individuals were charged by criminal complaint with conspiracy to distribute heroin; West and others also were charged with firearms offenses relating to their drug trafficking. On Feb. 27, 2020, a grand jury returned a 10-count third superseding indictment charging West and six other defendants with conspiracy to distribute one kilogram or more of heroin and various other drug and firearms offenses. Of the 26 defendants originally charged in the criminal complaint, West is the 22nd defendant to plead guilty. The charges in the third superseding indictment remain pending against four defendants.
According to documents filed in this case and statements made in court:
From as early as October 2017 to October 2018, West and others engaged in a large drug trafficking conspiracy that operated in the areas of Martin Luther King Boulevard, Sanford Street, Middle Rose Street, Southard Street, Hoffman Avenue, Chambers Street, and Coolidge Avenue in Trenton, and which sought to profit from the distribution of heroin and numerous other controlled substances. Through the interception of telephone calls and text messages pursuant to court-authorized wiretap orders, controlled purchases of heroin, the use of confidential sources of information, and other investigative techniques, law enforcement learned that Jakir Taylor and Jerome Roberts obtained regular supplies of hundreds of “bricks” of heroin from David Antonio, whom they referred to as “Pop” and “Papi,” and that they distributed those supplies of heroin to other dealers and end users in and around Trenton.
During the investigation of the conspiracy, on Sept. 6, 2018, law enforcement officers stopped a green 2002 Volkswagen Passat driven by, and registered to, Timothy Wimbush, a/k/a “Young Money,” and occupied by West, Taquan Williams, a/k/a Trip,” and a juvenile. Law enforcement officers recovered from West’s pocket a quantity of heroin, and during a subsequent search of the vehicle, law enforcement recovered from a secret trap compartment under the rear passenger’s seat approximately 57 bricks of heroin, four semiautomatic firearms – including a .223 caliber assault rifle linked with a shooting in Trenton four days earlier – and hundreds of rounds of ammunition. Law enforcement officers identified the heroin as having been supplied by other members of the conspiracy. The charges against Wimbush and Williams remain pending.
The drug conspiracy and drug distribution counts to which West pleaded guilty each carry a maximum potential penalty of 20 years in prison, and a maximum fine of $1 million. The firearms count to which West pleaded guilty carries a statutory mandatory minimum penalty of five years in prison – which must run consecutively to any other sentence West receives – and a maximum potential penalty of life in prison. West’s sentencing is scheduled for Sept. 23, 2020.
U.S. Attorney Carpenito credited special agents of the FBI, Newark Division, Trenton Resident Agency, under the direction of Special Agent in Charge Gregory W. Ehrie; special agents of the Bureau of Alcohol, Tobacco, Firearms, and Explosives, Newark Division, Trenton Field Office, under the direction of Special Agent in Charge Charlie J. Patterson; officers of the Trenton Police Department, under the direction of Police Director Sheilah Coley; officers of the Princeton Police Department, under the direction of Chief of Police Nicholas Sutter; officers of the Ewing Police Department, under the direction of Chief of Police John P. Stemler III; officers of the Burlington Township Police Department, under the direction of Police Director Bruce Painter; and detectives of the Burlington County Prosecutor’s Office, under the direction of Prosecutor Scott A. Coffina, with the investigation leading to today’s guilty plea. He also thanked officers of the New Jersey State Police, under the direction of Superintendent Col. Patrick J. Callahan; detectives of the Mercer County Prosecutor’s Office, under the direction of Prosecutor Angelo Onofri; officers of the Mercer County Sheriff’s Office, under the direction of
Sheriff John A. Kemler; and members of the New Jersey State Board of Parole for their assistance in the investigation and prosecution of the case.
The government is represented by Attorney-in-Charge J. Brendan Day and Assistant U.S. Attorney Alexander Ramey of the U.S. Attorney’s Office’s Criminal Division in Trenton.
This case was conducted under the auspices of the Organized Crime Drug Enforcement Task Force (OCDETF) and the FBI’s Greater Trenton Safe Streets Task Force, a partnership between federal, state and local law enforcement agencies to enhance the identification, apprehension, and prosecution of individuals involved in gang-related activities, violent crime, and drug distribution in and around the greater Trenton area. 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 charges and allegations pending in the third superseding indictment against the remaining defendants are merely accusations and those defendants are presumed innocent unless and until proven guilty.
Previously Convicted Felon from Newark who Shot Another Individual admits to Possession of Firearm and AmmunitionRead the Press Release
NEWARK, N.J. – An Essex County, New Jersey, man who is a previously convicted felon admitted today to possessing a firearm and ammunition in connection with an incident in which he shot another individual, U.S. Attorney Craig Carpenito announced.
Andre Shoulars, 27, of Newark, pleaded guilty by teleconference before U.S. District Judge Esther Salas to an indictment charging him with one count of possession of a firearm and ammunition by a convicted felon.
According to documents filed in this case and statements made in court:
On Nov. 4, 2018, at approximately 2:30 p.m., the victim was in the area of 340 Hawthorne Avenue in Newark, speaking with another individual. Shoulars approached the victim, pulled out a semiautomatic handgun, and began firing several shots at the victim. Although the victim was able to run away as Shoulars fired the handgun, the victim was hit in the foot with one .40 caliber bullet fired by Shoulars. The victim was treated at a hospital for the bullet wound.
Newark police officers responded to the scene of the shooting and recovered five .40 caliber shell casings from the street. Officers also recovered videotapes from several surveillance cameras which were stationed in the area of the shooting. These videotapes showed Shoulars walking around in the area just before the shooting, and also showed Shoulars shooting at the victim and then running away.
The charge to which Shoulars pleaded guilty carries a maximum penalty of 10 years in prison and a fine of up to $250,000. Sentencing is scheduled for Sept. 21, 2020.
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.
U.S. Attorney Carpenito credited the U.S. Marshals Service, under the direction of U.S. Marshal Juan Mattos Jr., and the Newark Police Department, under the direction of Public Safety Director Anthony F. Ambrose, with the investigation leading to today’s guilty plea.
The government is represented by Assistant U.S. Attorney Jonathan W. Romankow of the U.S. Attorney’s Office Violent Crimes Unit in Newark.
Monmouth County Man admits Role in Multi-State Patient Brokering and Bribery SchemeRead the Press Release
TRENTON, N.J. – A Monmouth County, New Jersey, man today admitted participating in a conspiracy to defraud health insurance companies through a multi-state patient brokering scheme in which he bribed drug-addicted individuals to enroll in drug rehabilitation in exchange for referral fees from the rehabilitation centers, U.S. Attorney Craig Carpenito announced.
Peter J. Costas, 26, of Red Bank, New Jersey, pleaded guilty by teleconference before U.S. District Judge Peter G. Sheridan to an information charging him with one count of conspiracy to commit health care fraud.
According to documents filed in the case and statements made in court:
Costas helped orchestrate a scheme in New Jersey, California, and other states that involved bribing individuals addicted to heroin and other drugs to enter into drug rehabilitation centers so Costas and his conspirators could generate referral fees from those facilities.
Costas worked with several marketing companies to carry out the scheme, but one marketing company in California run by Costas’s conspirators was pivotal. The marketing company maintained contractual relationships with drug treatment facilities around the country. Costas was engaged by the marketing company to recruit potential patients, who were addicted to heroin or other drugs and who had robust private health insurance, from New Jersey and other states.
To convince drug-addicted individuals to travel to and enroll in rehabilitation when they otherwise would not have, Costas offered to bribe them – often as much as several thousand dollars. Once they agreed to enroll in drug rehabilitation in exchange for the offered bribe, Costas and the owners of the marketing company would arrange and pay for cross-country travel to the drug treatment centers in California and other states. Costas would stay in touch with the New Jersey patients at the facilities and specifically instruct them to stay at the facilities long enough to generate referral payments.
Costas and the marketing company often directed patients to different rehabilitation facilities month after month to generate multiple referral payments without regard to whether the substance abuse treatment was medically necessary or effective. In a conversation over Facebook, one patient told Costas that if Costas made good on his promise to pay the patient a bribe, the patient would enroll in additional facilities to trigger additional referral payments and bribes: “[J]ust get us [sic] grab the dough and put us in another place. . . . Get paid some more feel me. . . . I’ll keep this up all year wit[h] you. As long as you do us right.” When the patient later expressed doubt that Costas would pay the bribe, Costas responded, “Don’t worry. . . . I do this with SO MANY PPL [people].”
Costas and the marketing company sent patients to facilities in California and other states that they knew provided ineffective drug treatment or actually fostered drug use on their premises. The facilities typically paid the marketing company a fee of $5,000 to $10,000 per patient referral, and Costas and other brokers received approximately half that amount for each patient they brokered. During the scheme, Costas brokered dozens of patients on behalf of marketing companies around the country, and the conspiracy caused millions of dollars of losses for health insurers.
Costas faces a maximum potential penalty of 10 years in prison and a $250,000 fine, or twice the gross gain or loss from the offense. Sentencing is scheduled for Sept. 29, 2020.
U.S. Attorney Carpenito credited special agents of the FBI, under the direction of Special Agent in Charge Gregory W. Ehrie in Newark, with the investigation leading to today’s guilty plea.
The government is represented by Assistant U.S. Attorney Jason S. Gould of the Health Care Fraud Unit in Newark.
Justice Department Sues Jackson Township over Restrictions on Religious Schools and Housing that Target Orthodox Jewish CommunityRead the Press Release
NEWARK, NJ – The Justice Department today announced that it filed a lawsuit against Jackson Township, New Jersey, and the township planning board alleging they implemented zoning ordinances that intentionally restrict the operation of religious schools and housing associated with such schools, including religious boarding schools known as yeshivas, required by the Orthodox Jewish community.
The complaint alleges that the township passed two ordinances, and the planning board applied those ordinances in a manner that discriminated against the Orthodox Jewish community, in violation of the Religious Land Use and Institutionalized Persons Act of 2000 (RLUIPA) and the Fair Housing Act (FHA). Both ordinances expressly prohibit dormitories throughout Jackson, making it impossible for religious boarding schools such as Orthodox Jewish yeshivas to establish there. Although Jackson passed these ordinances to prevent dormitories anywhere in Jackson, the planning board has since approved, without requiring a variance, the plans for two nonreligious projects with dormitory-type housing.
“Religious discrimination has no place in our society and runs counter to the founding principles of our nation,” U.S. Attorney Craig Carpenito said. “No religious community should ever face unlawful barriers or be singled out for inferior treatment. This complaint reflects our continued commitment to combat discrimination and unequal treatment.”
“Using zoning laws to target Orthodox Jewish individuals for intentional discrimination and exclude them from a community is illegal and utterly incompatible with this Nation’s values,” Eric Dreiband, Assistant Attorney General for the Civil Rights Division, said. “Let me be clear. The Department of Justice will use the full force of its authority to stop such anti-Semitic conduct and prevent its recurrence.”
The complaint also alleges that the township and planning board enacted the ordinances with respect to religious dormitories against a backdrop of extreme animus by Jackson residents and township decision makers toward the Orthodox Jewish community and a movement by residents to keep Orthodox Jewish community members from settling in Jackson. The complaint alleges that the township and planning board’s actions towards the Orthodox Jewish community violate RLUIPA’s non-discrimination and equal terms provisions, as well as the FHA.
RLUIPA is a federal law that protects religious institutions from unduly burdensome or discriminatory land use regulations. In June 2018, the Justice Department announced its Place to Worship Initiative, which focuses on RLUIPA’s provisions that protect the rights of houses of worship and other religious institutions to worship on their land. More information is available at www.justice.gov/crt/placetoworship
In July 2018, the Department of Justice announced the formation of the Religious Liberty Task Force. The Task Force brings together department components to coordinate their work on religious liberty litigation and policy, and to implement the Attorney General’s 2017 Religious Liberty Guidance.
Individuals who believe they have been subjected to discrimination in land use or zoning decisions may contact the U.S. Attorney’s Office Civil Rights Hotline at (855) 281-3339 or the Civil Rights Division Housing and Civil Enforcement Section at (800) 896-7743, or through the U.S. Attorney's civil rights complaint portal or the complaint portal on the Place to Worship Initiative website. Information about RLUIPA, including questions and answers about the law and other documents, may be found at http://www.justice.gov/crt/about/hce/rluipaexplain.php
The government is represented by Assistant U.S. Attorney Kelly Horan Florio of the U.S. Attorney’s Office Civil Rights Unit, and Trial Attorney Beth Frank, U.S. Department of Justice, Civil Rights Division, Housing and Civil Enforcement Section.
Justice Department Files Lawsuit Against Township of Jackson, New Jersey, and the Township's Planning Board for Zoning Restrictions that Target the Orthodox Jewish CommunityRead the Press Release
The Justice Department today announced that it filed a lawsuit against the township of Jackson and the township’s planning board, alleging that they violated the Religious Land Use and Institutionalized Persons Act (RLUIPA) and the Fair Housing Act (FHA) by targeting the Orthodox Jewish community through zoning ordinances restricting religious schools and barring religious boarding schools.
“Using zoning laws to target Orthodox Jewish individuals for intentional discrimination and exclude them from a community is illegal and utterly incompatible with this Nation’s values,” said Eric Dreiband, Assistant Attorney General for the Civil Rights Division. “Let me be clear. The Department of Justice will use the full force of its authority to stop such anti-Semitic conduct and prevent its recurrence.”
“Religious discrimination has no place in our society and runs counter to the founding principles of our nation,” said Craig Carpenito, U.S. Attorney for the District of New Jersey. “No religious community should ever face unlawful barriers or be singled out for inferior treatment. This complaint reflects our continued commitment to combat discrimination and unequal treatment.”
The complaint, filed in the District of New Jersey, alleges that the township passed ordinances 03-17 and 04-17 and the planning board applied those ordinances in a manner that discriminated against the Orthodox Jewish community. Both ordinances expressly prohibit dormitories throughout Jackson, making it impossible for religious boarding schools such as Orthodox Jewish yeshivas to operate there. Although Jackson passed these ordinances to prevent dormitories anywhere in Jackson, the planning board has since approved, without requiring a variance, the plans for two nonreligious projects with dormitory-type housing.
The complaint further alleges that the township and planning board enacted the ordinances against a backdrop of extreme animus by some Jackson residents and township decision makers toward the Orthodox Jewish community and a movement by residents to keep Orthodox Jewish individuals from settling in Jackson. The complaint alleges that the township and planning board’s actions towards the Orthodox Jewish community violate RLUIPA’s non-discrimination and equal terms provisions, as well as the FHA.
RLUIPA is a federal law that protects religious institutions from unduly burdensome or discriminatory land use regulations. In June 2018, the Justice Department announced its Place to Worship Initiative, which focuses on RLUIPA’s provisions that protect the rights of houses of worship and other religious institutions to worship on their land. More information is available at www.justice.gov/crt/placetoworship.
In July 2018, the Department of Justice announced the formation of the Religious Liberty Task Force. The Task Force brings together department components to coordinate their work on religious liberty litigation and policy, and to implement the Attorney General’s 2017 Religious Liberty Guidance.
Individuals who believe they have been subjected to discrimination in land use or zoning decisions may contact the U.S. Attorney’s Office Civil Rights Hotline at (855) 281-3339 or the Civil Rights Division Housing and Civil Enforcement Section at (800) 896-7743, or through the complaint portal on the Place to Worship Initiative website. More information about RLUIPA, including questions and answers about the law and other documents, may be found at http://www.justice.gov/crt/about/hce/rluipaexplain.php.
Three Members of Burlington County Drug Trafficking Organization, Including Leader, Admit Roles in Drug ConspiracyRead the Press Release
TRENTON, N.J. – Three members of a Burlington County drug-trafficking organization have admitted their roles in a conspiracy to distribute a variety of illegal substances, U.S. Attorney Craig Carpenito announced today.
Jerrod Epps, 35, of Medford, New Jersey, pleaded guilty today before U.S. Senior District Judge Anne E. Thompson to an information charging him with one count of conspiracy to distribute and possess with intent to distribute crack cocaine. Teron Huggins, 42, of Mount Laurel, New Jersey, pleaded guilty on May 14, 2020, to an information charging him with two counts of conspiracy to distribute and possess with intent to distribute cocaine. Talib Conway, 39, of Philadelphia, pleaded guilty on May 8, 2020, to an information charging him with conspiracy to distribute and possess with intent to distribute cocaine, conspiracy to distribute and possess with intent to distribute more than 28 grams of crack cocaine, and conspiracy to distribute and possess with intent to distribute more than 100 grams of heroin.
According to documents filed in the case and statements made in court:
Between July 2019 and September 2019, the defendants engaged in a narcotics conspiracy that operated primarily in municipalities throughout Burlington County – including Willingboro, Burlington City, Burlington Township, Bordentown Township, Edgewater Park, Pemberton and Mount Laurel – and which sought to profit from the distribution of cocaine, crack cocaine, and heroin. Through the interception of telephone calls and text messages pursuant to court-authorized wiretap orders, and other investigative techniques, law enforcement learned that defendants obtained regular supplies of cocaine and other substances from conspirators in the Burlington County and Philadelphia areas and then redistributed cocaine, crack cocaine, and heroin, to other conspirators, distributors, sub-dealers, and end users. Law enforcement officers intercepted numerous communications by and between the conspirators regarding such issues as cocaine, crack cocaine, and heroin quality and availability, pricing, packaging, quantity, and customer satisfaction.
The counts of conspiracy to distribute at least 28 grams of crack cocaine and conspiracy to distribute more than 100 grams of heroin to which Conway pleaded guilty each carry a statutory mandatory minimum sentence of five years in prison, a maximum penalty of 40 years in prison, and a maximum fine of $5 million. The count of distribution and possession with intent to distribute cocaine to which Conway pleaded guilty carries a maximum penalty of 20 years in prison and a fine of $1 million. The counts of conspiracy to distribute cocaine to which Huggins pleaded guilty each carry a maximum penalty of 20 years in prison and a fine of $1 million. The count of conspiracy to distribute crack cocaine to which Epps pleaded guilty carries a maximum penalty of 20 years in prison and a fine of $1 million. Sentencing for all three defendants is scheduled for Sept. 30, 2020.
U.S. Attorney Carpenito credited special agents of the FBI, Newark Division, Trenton Resident Agency, under the direction of Special Agent in Charge Gregory W. Ehrie; special agents of ATF Newark Field Division, Trenton Field Office, under the direction of Special Agent in Charge Charlie J. Patterson; detectives of the Burlington County Prosecutor’s Office, under the direction of Prosecutor Scott Coffina; officers of the Burlington Township Police Department, under the direction of Director of Public Safety Bruce Painter; officers of the Willingboro Police Department, under the direction of Director of Public Safety Kinamo Lomon; officers of the Burlington City Police Department, under the direction of Chief of Police John Fine; officers of the Florence Police Department, under the direction of Chief of Police Brian Boldizar; officers of the Bordentown Township Police Department, under the direction of Chief of Police Brian Pesche; officers of the Edgewater Park Police Department, under the direction of Chief of Police Robert Hess; officers of the Mount Laurel Police Department, under the direction of Chief of Police Stephen Reidener; officers of the Ewing Police Department, under the direction of Chief of Police John Stemler; officers of the Westampton Police Department, under the direction of Chief of Police Stephen Ent; and officers of the Trenton Police Department, under the direction of Director Sheilah Coley with the investigation leading to the guilty pleas.
The government is represented by Assistant U.S. Attorney Martha K. Nye of the U.S. Attorney’s Office Criminal Division in Trenton, and Assistant U.S. Attorney Andrew B. Johns of the U.S. Attorney’s Office Criminal Division in Camden.
Member of Newark Drug Trafficking Organization Sentenced to 10 Years in Prison for Conspiracy to Distribute Heroin and Crack CocaineRead the Press Release
NEWARK, N.J. – A Newark man was sentenced today to 120 months in prison for his role in a conspiracy to distribute over a kilogram of heroin and 240 grams of crack cocaine, U.S. Attorney Craig Carpenito announced.
Maurice McPhatter, a/k/a “Ree,” 47, previously pleaded guilty before U.S. District Judge Kevin McNulty to a superseding information charging him with one count of conspiracy to possess with intent to distribute more than one kilogram of heroin and more than 28 grams of cocaine base. Judge McNulty imposed the sentence today.
Today’s sentence follows a coordinated takedown in September 2017 of seven members of a drug trafficking organization led by Ahmad Johnson, a/k/a “OC,” 38. Also charged were Cory Canzater, a/k/a “Big C;” Willie McPhatter, a/k/a “Roc;” Keith Henderson, and Sacha Negron, all of Newark.
According to documents filed in this case and statements made in court:
From September 2016 through June 2017, Maurice McPhatter, Johnson, and other members of their drug trafficking organization engaged in a drug distribution conspiracy that operated in and around Newark. Maurice McPhatter was a runner, who distributed narcotics for the organization.
Through the authorized interception of telephone calls and text messages, controlled purchases of heroin, the use of confidential sources of information, and other investigative means, law enforcement learned that Johnson was a leader of the conspiracy and was responsible for obtaining wholesale amounts of narcotics, including heroin and cocaine, and processing and packaging the narcotics for sale. Johnson found users to “test” the narcotics to evaluate the quality, potency, and danger for broader distribution. After the narcotics were tested, runners, including Maurice McPhatter, sold the narcotics to other distributors and users. At the time of the arrests, law enforcement found over a kilogram of heroin, over 200 grams of crack cocaine, and over 150 grams of fentanyl.
Johnson pleaded guilty to a drug conspiracy and was sentenced on April 15, 2019, to 180 months in prison. Willie McPhatter, Henderson, and Negron have all pleaded guilty to drug conspiracy charges and are awaiting sentencing. Canzater was convicted in March 2020 of one count of conspiracy to distribute and possess with intent to distribute controlled dangerous substances, one count of distribution and possession with intent to distribute heroin and one count of distribution and possession with intent to distribute crack cocaine, following a one-week trial before Judge Kevin McNulty in Newark federal court. Canzater is awaiting sentencing
In addition to the prison term, Judge McNulty sentenced Maurice McPhatter to five years of supervised release.
U.S. Attorney Carpenito credited special agents and officers with DEA’s High-Intensity Drug Trafficking Area (HIDTA) Group 1, under the direction of Special Agent in Charge Susan A. Gibson in Newark, with the investigation leading to today’s sentencing.
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 Patricia Astorga and Ari B. Fontecchio of the U.S. Attorney’s Office in Newark.
Passaic County Man Charged with Producing and Distributing Child PornographyRead the Press Release
NEWARK, N.J. – A Passaic County, New Jersey, man will make his initial appearance today on charges of producing and distributing images of child sexual abuse, U.S. Attorney Craig Carpenito announced.
Jose Minaya, 24, of Paterson, New Jersey, is charged by complaint with one count of production of child pornography and one count of distribution of child pornography. He will make his initial appearance by video conference before U.S. Magistrate Judge Cathy L. Waldor.
According to documents filed in this case:
In July 2019, Minaya used a web-based application to engage an 11-year-old child in a sexually explicit conversation online. Minaya ultimately instructed the child to take sexually explicit photographs and send them to him, and the child complied. Minaya also had used another web-based application to upload an unrelated video depicting the graphic sexual assault of a child to the internet, where it was publicly available.
The charge of production of child pornography carries a mandatory minimum penalty of 15 years in prison, a maximum potential penalty of 30 years in prison, and a $250,000 fine. The charge of distribution of child pornography carries a mandatory minimum of five years in prison, a maximum of 20 years in prison, and a $250,000 fine.
U.S. Attorney Carpenito credited special agents with the Department of Homeland Security, Homeland Security Investigations, under the direction of Special Agent in Charge Jason Molina in Newark, with the investigation leading to these charges.
The government is represented by Assistant U.S. Attorney Shawn Barnes of the U.S. Attorney’s Office’s Organized Crime/Drug Enforcement Task Force Unit in Newark.
The charges and allegations contained in the complaint are merely accusations, and the defendants is presumed innocent unless and until proven guilty.
Bergen County Man Charged in Large-Scale Identity TheftRead the Press Release
NEWARK, N.J. – A Bergen County man was arrested today for his alleged role in a large-scale fraudulent credit card and fake identification making operation, U.S. Attorney Craig Carpenito announced.
Michael Fulcher, 35, of Teaneck, New Jersey, was arrested this morning by special agents of the U.S. Secret Service and charged by complaint with one count each of possession of 15 or more counterfeit access devices, possession of access device-making equipment, and aggravated identity theft. He appeared by teleconference today before U.S. Magistrate Judge Cathy L. Waldor and released on $100,000 unsecured bond.
According to the documents filed in this case and statements made in court:
On March 23, 2020, Fulcher was found to be in possession of identity theft and access device-making equipment in the attic of his Teaneck home. Law enforcement officers seized a large amount of equipment that was used to produce fraudulent credit cards, driver’s licenses, counterfeit money, and counterfeit identification cards. Fulcher had 4,920 counterfeit credit cards, 206 counterfeit driver’s licenses from 24 different states containing victims’ personal identifiable information along with unknown suspect photographs, several state’s holograms for driver’s licenses, devices used to read the data that is encoded on the magnetic strip of a credit card, devices used to re-encode data onto the magnetic strip of a credit card, printers designed to print plastic cards, and several laptop computers, hard drives, memory devices, and other electronic devices.
Law enforcement officers searched the electronic devices found in Fulcher’s home and found, among other things, templates to create credit cards, currency, and identification documents, including driver’s licenses, and spreadsheets containing thousands of unique credit card account numbers.
The charge of possession of 15 or more counterfeit access devices carries a statutory maximum sentence of 10 years in prison. The possession of access device-making machines charge carries a statutory maximum sentence of 15 years in prison, and the aggravated identity theft charge carries a mandatory sentence of two years in prison, which must be served consecutively to any other sentence imposed. Each of the offenses also carries a maximum fine of $250,000, or twice the gain or loss from the offense, whichever is greater.
U.S. Attorney Carpenito credited special agents of the U.S. Secret Service, under the direction of Special Agent in Charge Mark McKevitt in Newark, with the investigation leading to the charges and arrest. He also thanked the Department of Homeland Security, Homeland Security Investigations in Newark, the U.S. Postal Inspection Service, and the Teaneck Police Department for their assistance.
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 charge and allegations contained in the complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
Newark Man Charged with Possession of Machine GunRead the Press Release
NEWARK, N.J. – A Newark man will make his initial appearance today on charges stemming from his arrest for illegally possessing a machine gun, U.S. Attorney Craig Carpenito announced.
Anthony Reynolds, 26, is charged by federal criminal complaint with one count of possession of a machine gun, one count of possession of a firearm by a convicted felon, and one count of possession of a machine gun not registered to him in the National Firearms Registration and Transfer Record. He is scheduled to appear by video conference this afternoon before U.S. Magistrate Judge Joseph A. Dickson.
According to documents filed in this case and statements made in court:
On May 2, 2020, at approximately 8:40 p.m., Newark Police Officers were conducting surveillance in marked patrol cars in the area of Summer Avenue and May Street in Newark, with the specific purpose of minimizing social gathering of citizens in order to prevent the spread of the COVID-19 virus.
One of the officers observed several individuals congregating on the sidewalk within close proximity to each other. The officers stopped their patrol cars and exited their vehicles. As they did so, one of the officers observed Reynolds remove a black handgun from the front of his waistband and place it underneath a parked vehicle. An officer looked underneath the vehicle and observed a .40 caliber Glock 23 semiautomatic handgun, which was loaded with 11 rounds of ammunition.
Law enforcement officials determined that the firearm was fitted with a Glock conversion device commonly referred to as “Glock Switch,” which has the effect of converting a semiautomatic Glock pistol into a machinegun.
Reynolds was then placed under arrest. A search of Reynolds incidental to his arrest revealed a small clear sandwich bag containing suspected marijuana and $655.25 in United States currency.
Each of the three charges carries a maximum penalty of 10 years in prison and a fine of up to $250,000.
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 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
U.S. Attorney Carpenito credited special agents of the Bureau of Alcohol, Tobacco, Firearms, and Explosives, Newark Division, under the direction of Special Agent in Charge Charlie J. Patterson; and the Newark Police Department, under the direction of Public Safety Director Anthony F. Ambrose, with the investigation leading to the charges.
The government is represented by Assistant U.S. Attorney Jonathan W. Romankow of the U.S. Attorney’s Office Violent Crimes Unit in Newark.
The charges and allegations contained in the complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
Gloucester County Man Sentenced to 65 Months in Prison for Using Fraudulent Invoices to Steal from Hospitals, Clinics and Doctors’ Offices Across United StatesRead the Press Release
CAMDEN, N.J. – A Gloucester County, New Jersey, man was sentenced today to 65 months in prison for mailing thousands of fraudulent invoices to hospitals, clinics and doctors’ offices throughout the United States, U.S. Attorney Craig Carpenito announced.
Robert S. Armstrong, 49, of Turnersville, New Jersey, previously pleaded guilty before U.S. District Judge Noel L. Hillman in Camden federal court to an information charging him with one count of mail fraud. Judge Hillman imposed the sentence today.
This is Armstrong’s second mail fraud scheme. On Nov. 19, 2015, Armstrong was sentenced to 57 months in prison for committing a similar mail fraud scheme in the name of his company, Scholastic Book Supply. In that case, Armstrong caused the mailing of thousands of fraudulent invoices to schools throughout the United States billing them for books that the schools did not order or receive. He was sentenced today to 41 months on the Pinnacle Medical Supply case, which was committed while he was on supervised release for the Scholastic Book Supply case. He pleaded guilty to three violations of his supervised release from prison in the Scholastic Book Supply case, and was sentenced to an additional 24 months in prison, for a total prison sentence imposed today of 65 months.
According to documents filed in this case and statements made in court:
Operating under the name of Pinnacle Medical Supplies, Armstrong prepared and caused to be prepared fraudulent invoices billing hospitals, clinics and doctors’ offices across the United States for medical supplies such as diabetic test strips, EpiPens® and sanitizing wipes that the medical providers never ordered or received. In addition to billing for medical supplies never ordered or received, the invoices included fraudulent shipping information and a fraudulent address.
Armstrong then contracted with a legitimate bulk mailing company to mail more than 10,000 invoices to medical providers across the United States. Each invoice included a payment envelope preaddressed to Pinnacle Medical Supply at mail boxes Armstrong had set up with commercial mail receiving agents in Florida and Texas.
In response to the phony invoices, at least 943 medical providers sent $214,495 to Pinnacle Medical Supply. Armstrong deposited many of the checks from the victim medical providers into a bank account he opened in the name of Pinnacle Medical Supply.
In addition to the prison term, Judge Hillman sentenced Armstrong to an additional three years of supervised release and ordered him to pay full restitution.
U.S. Attorney Carpenito credited law enforcement officers of the U.S. Postal Inspection Service, under the direction of Inspector in Charge Damon Wood in Philadelphia, with the investigation leading to today’s sentencing. He also thanked the Washington Township Police Department in Gloucester County, the Woolwich Township Police Department and the National Insurance Crime Bureau (NICB).
The government is represented by Assistant U.S. Attorney Diana Carrig of the U.S. Attorney’s Office in Camden.
U.S. Postal Service Carrier Charged with Stealing Veterans Administration-Issued Prescriptions from MailRead the Press Release
TRENTON, N.J. – A U.S. Postal Service (USPS) carrier will make his initial appearance today on charges that he stole from the mail prescription drugs issued by the U.S. Department of Veterans Affairs (VA), U.S. Attorney Craig Carpenito announced.
Christopher F. Donohue, 60, of Leonardo, New Jersey, is charged by complaint with theft of mail containing prescription drugs. Donohue is expected to make his initial appearance by video conference before U.S. Magistrate Judge Zahid N. Quraishi in Trenton.
According to the complaint and statements made in court:
Donohue was employed as a mail carrier at the USPS Post Office in Belford, New Jersey. On March 2, 2020, Donohue stole an envelope containing prescription medication that was destined for delivery to a military veteran. This theft was consistent with a series of other mail packages containing prescription medication issued by the VA, which had gone missing from the Belford Post Office without reaching their intended recipients. On May 6, 2020, Donohue attempted to steal another package from the Belford Post Office, which law enforcement had outfitted with a prescription bottle and inert pills as part of the investigation. Donohue was arrested and law enforcement recovered the pill bottle and envelope from him incidental to his arrest.
The charge of theft of mail by postal employee carries a maximum penalty of up to five years in prison and up to a $250,000 fine.
U.S. Attorney Carpenito credited special agents of the U.S. Postal Service, Office of Inspector General, Eastern Area Field Office, under the direction of Special Agent-in-Charge Kenneth Cleevely; the Department of Veterans Affairs, Office of Inspector General, Northeast Field Office, under the direction of Special Agent in Charge Christopher F. Algieri; and the Middletown Township Police Department under the direction of Chief Craig Weber with the investigation leading to today’s charges.
The government is represented by Assistant U.S. Attorney Michelle S. Gasparian of the U.S. Attorney’s Office’s Criminal Division in Trenton.
The charges and allegations in the complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
Statement from Attorney for the United States Mark E. Coyne on Supreme Court Ruling in Kelly v. United StatesRead the Press Release
“The Supreme Court’s decision speaks for itself, and we are bound by that decision. Beyond that, we have no comment.”
Atlantic County Man Admits Personal Income Tax EvasionRead the Press Release
CAMDEN, N.J. – An Atlantic County, New Jersey, man today admitted evading payment of income taxes on money he diverted from his businesses, U.S. Attorney Craig Carpenito announced.
Coby Frier, 53, of Atlantic City, New Jersey, pleaded guilty by videoconference before U.S. District Judge Noel L. Hillman to an information charging him with one count of income tax evasion.
According to documents filed in this case and statements made in court:
Frier was one of the owners of several bars, restaurants, and clubs in Atlantic City, New Jersey. Frier admitted that from 2012 through 2015, he took cash skimmed from the businesses and deposited those funds into his personal bank accounts. He later used those funds for personal expenses, including luxury hotels, department store purchases, and restaurants. Frier also admitted to using cash skimmed from the businesses to make down payments on luxury vehicles and to attempting to evade detection by the IRS by keeping these down payments under the $10,000 cash reporting threshold.
For 2012 through 2015, Frier did not report as income the cash skimmed from the businesses, did not file personal income tax returns, and did not pay any personal income taxes. Frier admitted that he owed to the United States tax on this unreported income.
The charge to which Frier pleaded guilty carries a maximum potential penalty of five years in prison and a $250,000 fine. Sentencing is scheduled for Sept. 11, 2020.
U.S. Attorney Carpenito credited special agents of IRS – Criminal Investigation, under the direction of Acting Special Agent in Charge Laura J. Perry, and special agents of the FBI, under the direction of Special Agent in Charge Gregory W. Ehrie in Newark, with the investigation leading to today’s guilty plea.
The government is represented by Deputy U.S. Attorney Matthew J. Skahill and Assistant U.S. Attorney Daniel A. Friedman of the U.S. Attorney’s Office’s Criminal Division in Camden.
Monmouth County Man Charged with Receipt of Child PornagraphyRead the Press Release
NEWARK, N.J. – A Monmouth County, New Jersey, man has been charged with knowingly receiving images of child sexual abuse, U.S. Attorney Craig Carpenito announced today.
Herman Christopher Jensen, 67, of Union Beach, New Jersey, is charged by complaint with one count of knowingly receiving child pornography. He was arrested on May 6, 2020, and appeared by teleconference before U.S. Magistrate Judge Joseph A. Dickson. Jensen was released on $100,000 unsecured bond.
According to documents filed in this case and statements made in court:
The FBI began investigating Jensen for assuming the identity of a 17-year-old boy in order to entice and solicit a minor to send nude and sexually explicit images over the internet. Jensen did this by creating a fake Facebook account, purporting to be a teenaged boy named “Kevin Bennett.” From January 2018 through August 2018, Jensen used the “Kevin Bennett” Facebook account to communicate with the minor victim, causing the victim to believe the victim was in a involved in a romantic relationship with “Kevin Bennett.”
Jensen requested nude and semi-nude photographs from the victim through Facebook’s messenger service. The victim obliged to his requests. As time went on, Jensen received increasingly explicit videos.
In August of 2018, Jensen revealed to the victim that he was not, in fact, the teenager he purported to be, but instead, an adult named Chris Jensen. The victim continued to communicate with Jensen via the “Chris Jensen” Facebook account. In December 2018, the victim traveled to New Jersey to live with Jensen, where Jensen began having sex with the minor victim.
On Dec. 19, 2018, local authorities became involved in the matter causing the removal of the minor victim from Jensen’s residence.
The charge of knowingly receiving child pornography carries a minimum sentence of five years and a maximum of 20 years in prison, and a statutory maximum fine equal to $250,000 or twice the gross pecuniary gain or loss, whichever is greater.
U.S. Attorney Carpenito credited special agents and task force officers of the FBI and its Red Bank Resident Agency Jersey Shore Gang and Criminal Organization Task Force, under the direction of Special Agent in Charge Gregory W. Ehrie, with the investigation leading to the charges. He also thanked the Union Beach, New Jersey, Police Department, under the direction of Chief of Police Michael J. Woodrow, for assistance in the investigation.
The government is represented by Assistant U.S. Attorney Perry Farhat of the Government Frauds Unit in Newark.
The charge and allegations in the complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
Georgia Man Charged with Trafficking Guns to Jersey City that were Used in ShootingsRead the Press Release
NEWARK, N.J. – A Georgia man has been charged with trafficking multiple firearms from Georgia to Jersey City, New Jersey, which were subsequently used in acts of violence, U.S. Attorney Craig Carpenito announced today.
Jonathan Brown, 26, of Covington, Georgia, was arrested today in Covington by special agents of the U.S. Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), and is charged by complaint with one count of conspiracy to commit the unlicensed sale of firearms. He had his initial appearance, and was detained pending a detention hearing scheduled for May 8, 2020, in the Northern District of Georgia.
According to documents filed in this case and statements made in court:
Brown led a scheme to purchase firearms in or around Georgia and traffic those firearms to individuals in Jersey City. Brown, who is barred from purchasing firearms himself due to multiple prior felony convictions, used straw purchasers in Georgia to obtain the firearms so that Brown could sell those firearms to others. On multiple occasions, Brown brought firearms from Georgia to New Jersey to for sale.
Within months of Brown’s trips to Jersey City, law enforcement arrested numerous individuals in Jersey City in possession of firearms purchased by Brown’s straw purchasers. At least one of the weapons trafficked by Brown was later used in the shooting of another person in Jersey City. At least one of the individuals in possession of one of Brown’s guns had a prior felony conviction, and was therefore barred from possessing a firearm. To date, law enforcement has recovered seven firearms allegedly trafficked by Brown in Jersey City.
The conspiracy count with which the defendant is charged carries a maximum sentence of five years in prison and a maximum fine of $250,000.
U.S. Attorney Craig Carpenito credited special agents of the ATF, Newark Field Division, under the direction of Special Agent in Charge Charlie J. Patterson, as well as the Jersey City Police Department, the Hudson County Prosecutor’s Office, the ATF Atlanta Field Division, and the Newton County, Georgia, Sheriff’s office, with the investigation leading to the charges and arrest.
This investigation was conducted as part of the Jersey City Violent Crime Initiative (VCI). The VCI was formed in 2018 by the U.S. Attorney’s Office for the District of New Jersey, the Hudson County Prosecutor’s Office, and the Jersey City Police Department, for the sole purpose of combatting violent crime in and around Jersey City. As part of this partnership, federal, state, county, and city agencies collaborate to strategize and prioritize the prosecution of 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 Drug Enforcement Administration’s (DEA) New Jersey Division, the U.S. Marshals, the Jersey City Police Department, the Hudson County Prosecutor’s Office, the Hudson County Sheriff’s Office, New Jersey State Parole, the Hudson County Jail, and the New Jersey State Police Regional Operations and Intelligence Center/Real Time Crime Center.
This case is also 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 Andrew Macurdy and Special Assistant U.S. Attorney Keith Travers of the U.S. Attorney’s Office Criminal Division in Newark.
Florida Man Admits Role in $4.6 Million Health Care Fraud and Kickback Schemes Related to Genetic TestingRead the Press Release
NEWARK, N.J. – A Florida man today admitted his role in using his company to defraud the Medicare Program in connection with fraudulent orders for genetic tests, U.S. Attorney Craig Carpenito announced.
Kacey C. Plaisance, 38, of Altamonte Springs, Florida, pleaded guilty by videoconference before U.S. District Judge Brian R. Martinotti in Newark federal court to an information charging him with two counts of conspiracy to defraud the United States in connection with schemes to commit health care fraud and violate the Anti-Kickback Statute. Plaisance and five co-defendants were previously charged by indictment in September 2019 in connection with the conspiracies.
According to documents filed in this case and statements made in court:
Plaisance and his conspirators operated Ark Laboratory Network LLC (“Ark”), a company that purported to operate a network of laboratories that facilitated genetic testing. Ark partnered with Privy Health Inc., a company that another conspirator operated, and another company to acquire DNA samples and Medicare information from hundreds of patients through various methods, including offering $75 gift cards to patients, all without the involvement of a treating health care professional. A co-defendant, Matthew S. Ellis, a physician based in Gainesville, served as the ordering physician who authorized genetic testing for hundreds of patients across the country that he never saw, examined, or treated. These included patients from New Jersey and other states where Ellis was not licensed to practice medicine. Ellis, Plaisance, and their conspirators submitted and caused to be submitted fraudulent orders for genetic tests to numerous clinical laboratories. These orders falsely certified that Ellis was the patients’ treating physician and, in some cases, falsely indicated that a patient had a personal or family history of cancer. In 2018 alone, Medicare paid clinical laboratories at least $4.6 million for genetic tests that Ellis ordered in this manner.
Plaisance and his conspirators entered into kickback agreements with certain clinical laboratories under which the laboratories paid Ark bribes in exchange for delivering DNA samples and orders for genetic tests. Ark concealed these kickback arrangements through issuing sham invoices to laboratories that purportedly reflected services provided at an hourly rate even though the parties had already agreed upon the bribe amount, which was based on the revenue the laboratories received from Medicare or an amount paid for each DNA sample. In 2018, the clinical laboratories paid Ark at least $1.8 million in bribes.
Each of the counts to which Plaisance pleaded guilty carry a maximum penalty of five years in prison and a fine of $250,000, or twice the gross grain or loss from the offense. Plaisance’s sentencing is scheduled for Sept. 17, 2020.
U.S. Attorney Carpenito credited the U.S. Department of Health and Human Services, Office of Inspector General, under the direction of Special Agent in Charge Scott J. Lampert; and special agents of the U.S. Attorney’s Office for the District of New Jersey, with the investigation leading to today’s guilty plea.
The government is represented by Senior Trial Counsel Bernard J. Cooney of the Health Care Fraud Unit of the U.S. Attorney’s Office in Newark.
The charge and allegations against the remaining defendants are merely accusations, and they are presumed innocent unless and until proven guilty.
Essex County Man Sentenced to 10 Years in Prison for Being Felon in Possession of a FirearmRead the Press Release
NEWARK, N.J. – An Essex County, New Jersey, man was sentenced today to 120 months in prison for being a felon in possession of a firearm, U.S. Attorney Craig Carpenito announced today.
Shakey Hoover, 39, of Newark, was convicted March 27, 2019, of one count of being a felon in possession of a weapon following a two-day trial before U.S. District Judge Stanley R. Chesler in Newark federal court. Judge Chesler imposed the sentence today by video conference.
According to documents filed in this case and the evidence at trial:
On the evening of April 23, 2017, four individuals — Lashaunda Glenn, her boyfriend, her sister, and her sister's boyfriend — arrived by car at Glenn’s mother’s house in Newark to pick up a television belonging to Glenn’s sister. Glenn’s mother lived in the third-floor apartment of the house with Hoover, her longtime boyfriend and a convicted felon.
Glenn and Hoover began arguing. As the confrontation became more heated, Hoover pulled from his waistband a small silver revolver, pointed it at the group, and threatened to kill them. Glenn and her companions ran to a nearby police station to report what had happened. Newark police arrived at the house a few minutes later and found a silver revolver loaded with one bullet. An examination of the gun found Hoover’s fingerprint on it.
In addition to the prison term, Judge Chesler sentenced Hoover to three years of supervised release.
U.S. Attorney Carpenito credited the Newark Police Department, under the direction of Public Safety Director Anthony Ambrose; the N.J. State Police, under the direction of Col. Patrick J. Callahan; and special agents of the Bureau of Alcohol, Tobacco, Firearms and Explosives, under the direction of Special Agent in Charge Charlie J. Patterson in Newark, with the investigation leading to today’s sentencing.
The government is represented by Assistant U.S. Attorneys Jason S. Gould and Stephen Ferketic of the Criminal Division in Newark
Camden County Man Admits Role in Theft of Government Funds with Stolen Electronic Benefits MachineRead the Press Release
CAMDEN, N.J. – A Camden man today admitted his role today in a scheme to steal hundreds of thousands of dollars in government funds using fraudulently procured electronic benefits transfer (EBT) cards, U.S. Attorney Craig Carpenito announced.
Luciano Estevez, 50, pleaded guilty by teleconference before U.S. District Judge Renee Marie Bumb to an information charging him with one count of conspiracy to defraud the United States and one count of defrauding the U.S. Department of Agriculture’s (USDA) Supplemental Nutrition Assistance Program (SNAP).
Estevez and his co-defendants: Jose Garcia, 52, of Camden; Octavio Rodriguez, 51, of Pennsauken, New Jersey; and Juan Melo, 56, of Woodlynne, New Jersey, were previously charged by separate complaints in August 2019 with participating in the conspiracy and defrauding SNAP. Melo previously admitted his role in the scheme when he pleaded guilty on April 28, 2020, to an information charging him with participating in the conspiracy and defrauding SNAP.
Formerly known as the Food Stamps program, SNAP is administered by the USDA to assist low-income individuals and families with the purchase of groceries and food items. SNAP recipients receive EBT cards, similar to commercial debit cards, to make food purchases. Retailers authorized to accept SNAP benefits have EBT terminals to process the food purchases. Food purchases are made by swiping the EBT card at the terminal, and having customers enter a Personal Identification Number (PIN). The EBT terminal verifies the PIN, determines whether the customer’s account balance is sufficient to cover the proposed transaction, and informs the retailer whether the transaction should be authorized or denied. The amount of the purchase is deducted electronically from the SNAP benefits reserved for the customer and the purchase amount is credited to the retailer’s designated bank account.
According to documents filed in this case and statements made in court:
Estevez, Rodriguez, Garcia, Melo, and others allegedly targeted low-income individuals who possessed or had access to EBT cards, and unlawfully purchased the cards from these individuals in exchange for cash and controlled substances. Two confidential sources working with law enforcement engaged in 43 controlled transactions involving EBT cards totaling more than $40,500, which they exchanged for cash and controlled substances, including prescription opioids.
The defendants used the unlawfully procured EBT cards to purchase bulk goods and food items from large national superstores. These goods and food items were then resold in small convenience and grocery stores owned or affiliated with the defendants or their associates, resulting in a profit for the defendants. Hundreds of EBT cards fraudulently procured by the defendants were used at these superstores, resulting in the misappropriation of approximately $150,000 in government funds.
Estevez also unlawfully procured an EBT terminal registered to a superstore in Philadelphia, Pennsylvania to use at his small grocery store in Camden, which was not registered as a lawful SNAP merchant in the USDA program. Through this terminal, the scheme netted approximately $110,000 in SNAP funds.
The conspiracy count to which Estevez pleaded guilty carries a maximum penalty of five years in prison and a fine of $250,000, or twice the gross gain or loss from the offense. The SNAP fraud offense to which Estevez pleaded guilty carries a maximum penalty of 20 years in prison and a fine of $250,000, or twice the gross gain or loss from the offense. Sentencing is scheduled for Sept. 11, 2020.
U.S. Attorney Carpenito credited special agents of the U.S. Department of Agriculture-Office of Inspector General, Northeast Region, under the direction of Special Agent in Charge Bethanne M. Dinkins; the U.S. Department of Health and Human Services-Office of Inspector General, under the direction of Special Agent in Charge Scott J. Lampert; the FBI Philadelphia Field Office, South Jersey Resident Agency, under the direction of Special Agent in Charge Michael J. Driscoll in Philadelphia; and the Camden County Police Department, under the direction of Chief of Police Joseph D. Wysocki.
The government is represented by Assistant U.S. Attorney Christina O. Hud of the U.S. Attorney’s Office’s Criminal Division in Camden.
The charges and allegations against Garcia and Rodriguez are merely accusations, and they are presumed innocent unless and until proven guilty.
Monmouth County Man Charged with Possession of Machine GunRead the Press Release
TRENTON, N.J. – A Monmouth County, New Jersey, man will have his initial appearance today for possessing a machine gun as a previously convicted felon, U.S. Attorney Craig Carpenito announced.
Davon Harley, 30, of Neptune City, New Jersey, appeared by video conference this afternoon before U.S. Magistrate Judge Zahid M. Quraishi and was detained without bail. Harley was arrested by local authorities on Feb. 8, 2020, and charged with state offenses. He is now charged by federal criminal complaint with one count of being a convicted felon in possession of a firearm and one count of possession of a machinegun.
According to documents filed in this case and statements made in court:
In February 2020 a Neptune City Police officer confronted Harley, a previously convicted felon, who was arguing with others in the yard of an apartment complex. Harley fled through the apartment complex into neighboring properties and discarded a handgun that, upon inspection, had been altered to fire exclusively in fully automatic mode. The weapon had a magazine capable of holding 31 rounds of ammunition. Members of law enforcement, assisted by the Neptune Township and Asbury Park police departments located Harley and recovered the machine gun and the magazine that Harley had discarded.
The felon in possession of a firearm and possession of a machine gun charges each carry a maximum penalty of 10 years in prison and a fine of up to $250,000.
U.S. Attorney Carpenito credited special agents of the Bureau of Alcohol, Tobacco, Firearms, and Explosives, Newark Division, Trenton Field Office, under the direction of Special Agent in Charge Charlie J. Patterson; officers of the Neptune City Police Department, under the direction of Police Director Matthew Quagliato; officers of the Neptune Township Police Department, under the direction of Chief of Police James M. Hunt Jr.; officers of the Asbury Park Police Department, under the direction of Chief of Police David Kelso; officers of the Monmouth County Sheriff’s Office, under the direction of Sheriff Shaun Golden; and detectives of the Monmouth County Prosecutor’s Office, under the direction of Prosecutor Christopher J. Gramiccioni, with the investigation leading to the charges. This case was brought as part of Project Stop the Violence, a comprehensive strategy to combat gun crimes in Monmouth County.
The government is represented by Special Assistant U.S. Attorney Christopher Matthews of the U.S. Attorney’s Office’s Criminal Division in Trenton.
The charges and allegations contained in the complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
Former U.S. Postal Service Employee Admits Filing False Documents to Receive over $650,000 in Workers’ CompensationRead the Press Release
NEWARK, N.J. – An Essex County, New Jersey, woman today admitted defrauding the U.S. Department of Labor, Office of Workers Compensation, U.S. Attorney Craig Carpenito announced.
Janeide Chillis, 53, of Irvington, New Jersey, pleaded guilty by teleconference before U.S. District Judge Susan D. Wigenton to an information charging her with one count of making false statements and committing fraud to obtain federal workers’ compensation.
According to documents filed in this case and statements made in court:
Chillis was a U.S. Postal Service employee. In March 2006, she signed and filed under penalty of perjury a form with the U.S. Department of Labor claiming she suffered disabling injuries from a slip-and-fall accident at work. Chillis also provided a letter from a New Jersey doctor who claimed that Chillis was “temporarily totally disabled.” As a result of those representations, Chillis began receiving workers’ compensation benefits from the U.S. Department of Labor. For the next several years, in order to maintain such benefits, Chillis periodically submitted additional forms certifying that she was unemployed and would report any income or other information that affected her receipt of benefits. Notwithstanding those representations, from 2011 through the present, Chillis earned extra income and travelled extensively, including to Africa and France, all of which she did not report to the U.S. Department of Labor.
During the same time period, Chillis also received reimbursement payments for home health aide services. Beginning in 2013, she stopped receiving home health aide services, but continued receiving reimbursement based on false representations she made to the U.S. Department of Labor.
In total, Chillis received $686,588 in federal benefits from her fraud.
The count of making false statements and committing fraud to obtain federal workers’ compensation benefits is punishable by a maximum of five years in prison and a fine of $250,000, or twice the gross gain or loss derived from the offense, whichever is greater. Sentencing is scheduled for Sept. 10, 2020.
U.S. Attorney Carpenito credited special agents of the U.S. Postal Service, Office of Inspector General, under the direction of Special Agent in Charge of the Northeast Area Field Office Matthew M. Modafferi; the Department of Labor, Office of Inspector General, New York Region, under the direction of Special Agent in Charge Michael C. Mikulka; the Social Security Administration Office of the Inspector General, New York Field Division, under the direction of Special Agent-in-Charge John Grasso; and special agents of IRS-Criminal Investigation, under the direction of Acting Special Agent in Charge Laura J. Perry, 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 in the Criminal Division, Newark.
U.S. Attorney’s Office Committed to Combatting Sexual Harassment in Housing Amid COVID-19 PandemicRead the Press Release
NEWARK, N.J. – U.S. Attorney Craig Carpenito is urging those who have experienced or have information about housing-related sexual harassment to report it to the Department of Justice.
Sexual harassment by landlords, property managers, maintenance workers, and others may violate the federal Fair Housing Act. As our nation faces unprecedented challenges amid the COVID-19 pandemic, U.S. Attorney Carpenito has reaffirmed the U.S. Attorney’s Office’s commitment to continue to enforce this vital statute.
“Landlords and superintendents using the power they have over tenants to sexually harass or assault them is intolerable,” U.S. Attorney Carpenito said. “It is even more disturbing when landlords or others exploit our current national crisis by sexually harassing people in need of housing. This office will not hesitate to seek justice and hold wrongdoers accountable.”
As a result of the COVID-19 public health crisis, many people have found themselves out of work, furloughed, or otherwise in dire financial straits. This has led many to seek abatements or suspensions of their rent or other housing accommodations. While many landlords and housing providers have responded positively, others have seen an opportunity to exploit the financially vulnerable through demands for sexual favors and other acts of sexual misconduct. This behavior is not only appalling, but illegal.
In January 2018, the U.S. Attorney’s Office for the District of New Jersey hosted one of the first community roundtable discussions to help launch the Justice Department’s Initiative to Combat Sexual Harassment in Housing. The initiative seeks to identify barriers to reporting sexual harassment in housing, increase awareness of its enforcement efforts and collaborate with federal, state, and local partners to increase reporting and help survivors quickly and easily connect with federal resources.
To report sexual harassment in housing, contact the Justice Department at (800) 896-7743 or [email protected] or contact the U.S. Attorney’s Office at (855) 281-3339 or [email protected]. For more information about the Justice Department’s Initiative to Combat Sexual Harassment in Housing, please visit https://www.justice.gov/crt/sexual-harassment-housing-initiative
Tax Preparer Sentenced to Four Years in Prison for Conspiring to File False Income Tax ReturnsRead the Press Release
TRENTON, N.J. – A former employee of Tax Pro’s and Tax Solutions & Associates, tax preparation businesses located in Essex and Union counties, was sentenced today to 48 months in prison for conspiring to defraud the United States by filing false income tax returns, U.S. Attorney Craig Carpenito announced.
Tony V. Russell, 49, of Stone Mountain, Georgia, previously pleaded guilty before U.S. District Judge Michael A. Shipp in Trenton federal court to Count One of an indictment charging him with conspiracy to defraud the IRS. Judge Shipp imposed the sentence today in a teleconference proceeding.
Two members of the conspiracy have previously pleaded guilty to their roles in the fraud and await sentencing. Damien Askew, 39, of Union, New Jersey, pleaded guilty June 6, 2017, to conspiracy to defraud the IRS and filing a false federal personal income tax return and is awaiting sentencing. Rudolph Sanders, 41, of Newark, New Jersey, pleaded guilty May 10, 2018, to conspiracy to defraud the IRS and is awaiting sentencing.
Two other members of the conspiracy, Joseph Kenny Batts, 49, of Elkridge, Maryland, and Angelo K. Thompson, 38, of Reistertown, Maryland, were arrested April 17, 2018, on charges of conspiracy to defraud the IRS and aiding and assisting in the preparation of false federal income tax returns. On Aug. 8, 2019, Thompson pleaded guilty before Judge Shipp to Count One of an indictment charging him with conspiracy to defraud the IRS, and awaits sentencing. On Sept. 17, 2019, Batts was convicted following a one-week trial before Judge Shipp on one count of conspiracy to defraud the United States and five counts of aiding and assisting in the preparation of false federal income tax returns, and awaits sentencing.
According to documents filed in this and related cases and statements made in court:
From at least 2009 to April 2015, Batts was co-owner, along with Askew, of Tax Pro’s, a tax return preparation and payroll business in Essex County, where Russell, Sanders, Batts, Thompson, and Askew prepared tax returns. To boost their business, the defendants conspired to falsify their clients’ federal income tax returns to generate refunds from the IRS in amounts that their clients were not entitled to receive. Russell, Sanders, Batts, Thompson, and Askew inflated tax refunds by fabricating and inflating credits for education and childcare; deductions, such as charitable contributions and unreimbursed employee expenses; and business losses.
Russell and other members of the conspiracy also permitted Batts to use their Preparer Tax Identification Numbers (PTIN) – the identification number that paid tax preparers are required to place on tax returns they have prepared – when preparing tax returns to conceal Batts’ identity as the actual tax return preparer; Batts had a prior federal tax fraud conviction.
After law enforcement executed a search warrant at Tax Pro’s in April 2015, Batts discontinued Tax Pro’s and opened Tax Solutions and Associates in Union, where Russell, Thompson, and Batts continued preparing false federal income tax returns.
By fraudulently inflating the amounts of the tax refunds, Batts, Askew, Thompson, Russell, and Sanders caused a total tax loss to the IRS in excess of $900,000.
In addition to the prison term, Judge Shipp sentenced Russell to three years of supervised release and ordered him to pay restitution of $241,185.
U.S. Attorney Carpenito credited special agents of IRS-Criminal Investigation, under the direction of Acting Special Agent in Charge Laura J. Perry, with the investigation leading to today’s sentencing.
The government is represented by Assistant U.S. Attorneys Cari Fais and Jihee Suh of the Special Prosecutions Division.
South Jersey Tax Preparer Admits Filing False Income Tax ReturnsRead the Press Release
CAMDEN, N.J. – A South Jersey woman who owns a tax preparation business admitted today to helping her clients file falsified tax returns, U.S. Attorney Craig Carpenito announced.
Gloria Valentin, 48, of Cherry Hill, New Jersey, pleaded guilty by teleconference before U.S. District Judge Renee Marie Bumb in Camden federal court to an information charging her with one count of aiding and assisting in the preparation of false income tax returns.
According to documents filed in this case and statements made in court:
Valentin owned, operated and approved all of the income tax returns filed by GNG Business Solutions in Cinnaminson. She admitted that she prepared approximately 60 income tax returns for 27 tax clients during tax years 2013 through 2016. Those tax returns contained similar patterns of false and fictitious Schedule A itemized deductions and unreimbursed employee business expenses. Valentin and her employees fabricated Schedule A, unreimbursed employee business expenses when none were incurred. Those false expenses resulted in substantially reduced income tax liabilities and resulted in larger refunds for her clients and caused a tax loss of $201,896 to the government.
The charges to which Valentin pleaded guilty carry a maximum potential penalty of three years in prison and a $250,000 fine. Sentencing is scheduled for Sept. 8, 2020.
U.S. Attorney Carpenito credited special agents of IRS-Criminal Investigation, under the direction of Acting Special Agent in Charge Laura J. Perry, with the investigation leading to today’s guilty plea.
The government is represented by Senior Trial Counsel Jason M. Richardson of the U.S. Attorney=s Office Criminal Division in Camden.
Second Employee in Cash Flow Partners’ Bank Fraud Conspiracy Admits Role in Multimillion-Dollar Loan SchemeRead the Press Release
NEWARK, N.J. – A Bergen County, New Jersey, woman today admitted participating in a scheme that involved the creation of false documentation to secure over $4 million in bank loans, U.S. Attorney Craig Carpenito announced.
Jennie Frias, a/k/a “Jennie Castillo,” 36, of Englewood, New Jersey, pleaded guilty by teleconference before U.S. District Judge Kevin McNulty to an information charging her with one count of conspiracy to commit bank fraud.
According to documents filed in this case and statements made in court:
Between March 2016 and May 2018, Cash Flow Partners LLC, a business consulting firm with offices in New York and New Jersey, released internet advertisements and held seminars offering to assist customers in obtaining bank loans, including loans insured by the Federal Deposit Insurance Corporation (FDIC). When customers submitted documentation supporting their bank loan applications to Cash Flow Partners, Frias and others created false documentation to make customers’ loan applications appear more financially viable than they actually were. Victim banks sustained losses of over $4 million.
One of Frias’ conspirators, Raymundo Torres, previously pleaded guilty to charges relating to his role in the Cash Flow bank fraud conspiracy.
The conspiracy to commit bank fraud charge carries a maximum potential penalty of 30 years in prison and a $1 million fine. Sentencing is scheduled for Sept. 2, 2020.
Individuals who believe they may have information about this case may contact the FBI at 1-800-CALL-FBI (225-5324).
U.S. Attorney Carpenito credited special agents of the FDIC-Office of the Inspector General (FDIC-OIG), under the direction of Special Agent in Charge Patricia Tarasca in New York, and special agents of the FBI, under the direction of Special Agent in Charge Gregory W. Ehrie in Newark, with the investigation leading to today’s guilty plea.
The government is represented by Assistant U.S. Attorneys J. Stephen Ferketic of the Opioids Unit and Ari B. Fontecchio of the U.S. Attorney’s Office Economic Crimes Unit in Newark.
Camden County Man Admits Food Stamp Fraud SchemeRead the Press Release
CAMDEN, N.J. – A Camden County, New Jersey man today admitted his role in a scheme to steal hundreds of thousands of dollars in government funds using fraudulently procured electronic benefits transfer (EBT) cards, U.S. Attorney Craig Carpenito announced.
Juan Melo, 56, of Woodlynne, New Jersey, pleaded guilty by teleconference before U.S. District Judge Renee Marie Bumb in Camden federal court to an information charging him with one count of conspiracy to defraud the United States and one count of defrauding the U.S. Department of Agriculture’s (USDA) Supplemental Nutrition Assistance Program (SNAP). Melo and his co-defendants, Luciano Estevez, 50, and Jose Garcia, 52, both of Camden; and Octavio Rodriguez, 51, of Pennsauken, New Jersey, were previously charged by separate complaints in August 2019 with participating in the conspiracy and defrauding SNAP.
Formerly known as the food stamp program, SNAP is administered by the USDA to assist low-income individuals and families with the purchase of groceries and food items. SNAP recipients receive EBT cards, similar to commercial debit cards, to make food purchases. Retailers authorized to accept SNAP benefits have EBT terminals to process the purchases, which are made by swiping the EBT card at the terminal and entering a Personal Identification Number (PIN). The EBT terminal verifies the PIN, determines whether the customer’s account balance is sufficient to cover the proposed transaction, and informs the retailer whether the transaction should be authorized or denied. The amount of the purchase is deducted electronically from the SNAP benefits reserved for the customer and the purchase amount is credited to the retailer’s designated bank account.
According to documents filed in this case and statements made in court:
Melo, Estevez, Rodriguez, Garcia, and others allegedly targeted low-income individuals who possessed or had access to EBT cards, and unlawfully purchased the cards from these individuals in exchange for cash and controlled substances. Two confidential sources working with law enforcement engaged in 43 controlled transactions involving EBT cards totaling more than $40,500, which they exchanged for cash and controlled substances, including prescription opioids.
The defendants used the unlawfully procured EBT cards to purchase bulk goods and food items from large national superstores. These goods and food items were then resold in small convenience and grocery stores owned or affiliated with the defendants or their associates, resulting in a profit for the defendants. Hundreds of EBT cards fraudulently procured by the defendants were used at these superstores, resulting in the misappropriation of approximately $150,000 in government funds.
Estevez also unlawfully procured an EBT terminal registered to a superstore in Philadelphia to use at his small grocery store in Camden, where Melo was an employee. Through this terminal, the scheme netted approximately $110,000 in SNAP funds.
Each of the counts to which Melo pleaded guilty carry a maximum penalty of five years in prison and a fine of $250,000, or twice the gross gain or loss from the offense. Melo’s sentencing is scheduled for Sept. 8, 2020.
U.S. Attorney Carpenito credited special agents of the U.S. Department of Agriculture-Office of Inspector General, Northeast Region, under the direction of Special Agent in Charge Bethanne M. Dinkins; the U.S. Department of Health and Human Services-Office of Inspector General, under the direction of Special Agent in Charge Scott J. Lampert, and the FBI Philadelphia Field Office, South Jersey Resident Agency, under the direction of Special Agent in Charge Mike Driscoll in Philadelphia.
The government is represented by Assistant U.S. Attorney Christina O. Hud of the U.S. Attorney’s Office’s Criminal Division in Camden.
The charges and allegations against the remaining defendants are merely accusations, and they are presumed innocent unless and until proven guilty.
Cumberland County Attorney Admits Tax EvasionRead the Press Release
CAMDEN, N.J. – A Cumberland County, New Jersey-based attorney today admitted evading more than $250,000 in federal taxes on income generated from his law firm, U.S. Attorney Craig Carpenito announced.
Douglas M. Long, 54, of Upper Deerfield, New Jersey, pleaded guilty by video conference before U.S. District Judge Noel. L Hillman in Camden federal court to an information charging him with one count of federal income tax evasion.
According to documents filed in this case and statements made in court:
From 2012 through 2015, Long, managing partner of the Woodbury, New Jersey, law firm Long & Marmero LLP, exercised primary control over the firm’s finances and supervised the firm’s bookkeeper. Many of Long’s personal expenses, including school tuition for his children, utilities and service fees for his personal residences, student loan payments for Long and his spouse, and other expenses, repeatedly were paid out of the law firm’s bank accounts. Long directed the bookkeeper to falsely classify these payments as law firm business expenses to avoid his tax obligations. He also falsely declared, under penalty of perjury, that his personal tax returns for tax years 2012 through 2015 were true and accurate when they were not. Long ultimately concealed over $800,000 in personal income and evaded payment of over $250,000 in taxes owed to the IRS during tax years 2012 through 2015, including $368,000 in income and $120,000 in taxes for tax year 2014.
The tax evasion charge is punishable by a maximum penalty of five years in prison and a potential fine of $250,000 or twice the gross gain or loss from the offense. In connection with his plea, Long also agreed to pay restitution to the IRS. Sentencing is scheduled for Sept. 11, 2020.
U.S. Attorney Carpenito credited special agents of IRS-Criminal Investigation, under the direction of Special Agent in Charge John R. Tafur, and the FBI, under the direction of Special Agent in Charge Gregory W. Ehrie, with the investigation leading to today’s guilty plea.
The government is represented by Assistant U.S. Attorneys Gabriel J. Vidoni of the Office’s Camden branch and Bruce P. Keller of Special Prosecutions Division.
Union County Man Charged with Filing a False Tax Return for Tax Year 2013Read the Press Release
NEWARK, N.J. – A Union County, New Jersey, man was charged today with allegedly filing a false tax return for tax year 2013, U.S. Attorney Craig Carpenito announced.
Anthony Salters, 57, of Hillside, New Jersey, is charged by complaint with subscribing to a false tax return. A summons was issued for Salters to appear in Newark federal court at a time to be scheduled by U.S. Magistrate Judge Leda Dunn Wettre.
According to documents filed in this case and statements made in court:
Salters was a principal of Media Allies LLC, a company that purportedly provided public relations services. On Feb. 12, 2014, Salters signed, filed, and caused to be filed with the IRS a U.S. Individual Income Tax Return, Form 1040, for tax year 2013, which contained a written declaration that it was filed under penalty of perjury and which falsely stated that Salters’ business income was zero and his total income was zero.
Salters and Media Allies had substantial gross receipts in calendar year 2013. Checks totaling $104,411 made payable to Media Allies were deposited into a Media Allies bank account for which Salters was the sole authorized signer. Payors of those checks included the City of Orange Township, the Paterson Municipal Utilities Authority, the Newark Housing Authority, a political campaign committee, and a company associated with a camp where a program was to be conducted for high school football teams affiliated with Newark public schools.
The charge of subscribing to a false tax return carries a maximum potential penalty of three years in prison and a $250,000 fine.
U.S. Attorney Carpenito credited special agents of IRS-Criminal Investigation, under the direction of Special Agent in Charge John R. Tafur; special agents of the FBI, under the direction of Special Agent in Charge Gregory W. Ehrie in Newark; and special agents of the U.S. Department of Housing and Urban Development, Office of Inspector General, under the direction of Special Agent in Charge Christina Scaringi, with the investigation leading to today’s charges.
The government is represented by Assistant U.S. Attorneys Cari Fais and J Fortier Imbert of the U.S. Attorney’s Office’s Special Prosecutions Division.
The charge and allegations contained in the complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
Justice Department Alleges Conditions at Edna Mahan Correctional Facility for Women Violate the ConstitutionRead the Press Release
NEWARK, N.J. – The U.S. Attorney’s Office for the District of New Jersey and the Department of Justice’s Civil Rights Division today concluded that there is reasonable cause to believe that the conditions at the Edna Mahan Correctional Facility for Women in Clinton, New Jersey violate the Eighth Amendment of the Constitution. Specifically, the Department concluded that there is reasonable cause to believe that Edna Mahan fails to protect prisoners from sexual abuse by the facility’s staff.
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 conditions and the minimum remedial measures necessary to address them.
“Sexual abuse cannot be tolerated in any setting, including in prisons and jails,” U.S. Attorney Craig Carpenito said. “We have been encouraged by the State’s cooperation throughout our investigation, and stated commitment to ending sexual abuse at Edna Mahan. We hope to continue to work with New Jersey to resolve these significant concerns.”
“The Eighth Amendment of the Constitution guarantees prisoners reasonable safety from harm,” Assistant Attorney General Eric Dreiband for the Civil Rights Division said. “Sexual abuse should not be a part of any prisoner’s punishment. Our investigation found reasonable cause to conclude that women prisoners at Edna Mahan are at substantial risk of sexual abuse by staff because systemic deficiencies discourage prisoners from reporting sexual abuse and allow sexual abuse to occur undetected and undeterred.”
The Civil Rights Division and the U.S. Attorney’s Office for District of New Jersey initiated the investigation in April 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.
The government is represented by Assistant U.S. Attorney Michael E. Campion, Chief of the Civil Rights Unit; Assistant U.S. Attorney Kelly Horan Florio, Civil Rights Unit; Mary Bohan, Deputy Chief of the Civil Rights Division’s Special Litigation Section; and Kerry Krentler Dean, Trial Attorney, Special Litigation Section.
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.
Justice Department Alleges Conditions at Edna Mahan Correctional Facility for Women Violate the ConstitutionRead the Press Release
The Department of Justice’s Civil Rights Division and the U.S. Attorney’s Office for the District of New Jersey today concluded that there is reasonable cause to believe that the conditions at the Edna Mahan Correctional Facility for Women (Edna Mahan) in Clinton, New Jersey violate the Eighth Amendment of the Constitution. Specifically, the department concluded that there is reasonable cause to believe that Edna Mahan fails to protect prisoners from sexual abuse by the facility’s staff.
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 conditions and the minimum remedial measures necessary to address them.
“The Eighth Amendment of the Constitution guarantees prisoners reasonable safety from harm,” said Assistant Attorney General Eric Dreiband for the Civil Rights Division. “Sexual abuse should not be a part of any prisoner’s punishment. Our investigation found reasonable cause to conclude that women prisoners at Edna Mahan are at substantial risk of sexual abuse by staff because systemic deficiencies discourage prisoners from reporting sexual abuse and allow sexual abuse to occur undetected and undeterred.”
“Sexual abuse cannot be tolerated in any setting, including in prisons and jails,” said U.S. Attorney Craig Carpenito. “We have been encouraged by the State’s cooperation throughout our investigation, and stated commitment to ending sexual abuse at Edna Mahan. We hope to continue to work with New Jersey to resolve these significant concerns.”
The Civil Rights Division and the U.S. Attorney’s Office for District of New Jersey initiated the investigation in April 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.
Three People Charged with Drug Trafficking in Newark’s Pilgrim Baptist Village Housing ComplexRead the Press Release
NEWARK, N.J. – Three people have been charged in connection with their roles in the distribution of heroin – some of which contained fentanyl – and cocaine base (crack) in an affordable housing complex and a nearby senior living community in Newark, U.S. Attorney Craig Carpenito announced today.
Charged by complaint with one count each of conspiring to distribute cocaine base are: Sherrod Richardson, a/k/a “Drama,” 19; Yusef Ellis, a/k/a “Tweeze,” 39; and Reuben Howard, a/k/a “Ahmeer,” 38, all of Newark. Richardson is also charged with possession of heroin and cocaine base on Dec. 5, 2019, with intent to distribute. Richardson and Ellis were arrested today; Howard was arrested April 8, 2020. All three defendants appeared today by telephone conference before U.S. Magistrate Judge James B. Clark III.
According to the documents filed in this case and statements made in court:
The charges and arrests resulted from an investigation by the U.S. Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) and the U.S. Attorney’s Office, in conjunction with numerous federal, state, and local law enforcement partners. Pilgrim Baptist Village Housing Complex, Site II (Pilgrim Village), is a privately owned, affordable housing complex in the vicinity of Avon and Jelliff avenues in Newark. It consists of 46 buildings, each with four units, which are accessible via exterior entrances as well as an interior stairwell leading from each apartment to a common hallway that connects multiple buildings and semi-subterranean garages for those buildings. The buildings are clustered around internal courtyards and pedestrian walkways, and the complex is accessible on foot from Avon Avenue or Jelliff Avenue and by car from one of four driveways leading to the semi-subterranean garages. Because its location and layout make it difficult for law enforcement to surveil, Pilgrim Village is the site of an open-air illegal market. Since at least November 2018, law enforcement has been investigating the organization that controls this market.
Through numerous controlled purchases of narcotics, consensually recorded telephone calls and text messages, physical and electronic surveillance, and analysis of telephone call detail records, law enforcement officials determined that the defendants distributed or conspired to distribute cocaine base in an around Pilgrim Village from at least June 2019 through April 2020.
The counts of conspiracy to distribute at least 28 grams of cocaine base each carry a minimum penalty of five years in prison, a maximum penalty of 40 years in prison, and a fine of at least $5 million. The counts of distribution and possession with intent to distribute heroin and cocaine base each carry a maximum penalty of 20 years in prison and a fine of $1 million.
U.S. Attorney Carpenito credited special agents and task force officers of ATF, under the direction of Special Agent in Charge Charlie J. Patterson in Newark; and members of the Newark Department of Public Safety, under the direction of Director Anthony F. Ambrose, with the investigation leading to the charges.
He also thanked the Drug Enforcement Administration, under the direction of Special Agent in Charge Susan A. Gibson; the FBI, under the direction of Special Agent in Charge Gregory W. Ehrie; the Essex County Prosecutor’s Office, under the direction of Acting Prosecutor Theodore N. Stephens II; the Essex County Sheriff’s Office, under the direction of Sheriff Armando B. Fontoura; and the U.S. Marshals Service, under the direction of Marshal Juan Mattos Jr. He also thanked the Belleville Police Department; the Nutley Police Department; the Bloomfield Police Department; the Verona Police Department; and the Orange Police Department for their assistance with this case.
The investigation is part of the Newark Violent Crime Initiative (VCI), through which the U.S. Attorney’s Office has partnered with state, federal, county, and local law enforcement to investigate violent crime in Newark and surrounding cities.
The charges and allegations contained in the complaints are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
Pentax Medical Company Agrees to Pay $43 Million to Resolve Criminal Investigation Concerning Misbranded EndoscopesRead the Press Release
NEWARK, N.J. – Pentax Medical Company will pay $43 million to resolve criminal charges based on the company’s shipment of four types of endoscopes for 18 months without FDA-cleared instructions for use and the company’s failure to file timely reports of two infections associated with its endoscopes, the Department of Justice announced today.
Pentax was charged in a criminal complaint filed today in Newark federal court with distributing misbranded medical devices in interstate commerce in violation of the Federal Food, Drug, and Cosmetic Act (FDCA). Pentax has entered into a three-year deferred prosecution agreement (DPA) that will allow it to avoid conviction if it complies with the reform and enhanced compliance requirements outlined in the agreement. As a result of the conduct outlined in the criminal complaint, Pentax has agreed to pay a $40 million criminal fine and to forfeit $3 million.
“Pentax made a decision to ignore the cleared instructions for use of its endoscopes, believing that doing so would increase its sales putting profits over patient safety,” U.S. Attorney Carpenito said. “In doing so, and by failing to report to the FDA certain adverse events relating to those endoscopes, it broke the law, jeopardized the health of patients, and, ultimately, cost itself $43 million on fines and forfeiture.”
“In carrying out its responsibilities to protect the health and safety of patients treated with medical devices, the FDA relies on manufacturers to provide health care professionals with the correct, approved or cleared instructions for safe use of the devices, and to report promptly to the FDA potential product safety issues,” Assistant Attorney General Jody Hunt of the Department of Justice’s Civil Division said. “Pentax’s failure to follow important safety requirements is serious and warrants the significant penalties imposed as part of this resolution.”
“Americans expect and deserve that the medical devices used on them are safe, effective, and properly labeled with accurate information. When companies subvert FDA’s standards and requirements, they place unsuspecting patients at risk,” Catherine A. Hermsen, Assistant Commissioner for Criminal Investigations, FDA Office of Criminal Investigations, said. “FDA will continue to investigate and help bring to justice companies that jeopardize the public health by distributing misbranded products.”
The criminal complaint against Pentax, which Pentax agrees is true, charges that Pentax made a deliberate business decision not to use revised FDA-cleared instructions for cleaning its endoscopes because Pentax feared the new instructions would cause it to lose business. Endoscopes are reusable devices that must be cleaned after each use or else infectious material may remain and be transmitted to subsequent patients. In 2014, the FDA told Pentax to revise its existing cleaning instructions for four types of endoscopes and add cleaning steps. Pentax agreed, and FDA cleared, revised cleaning instructions in April 2014. Pentax was then required to include these revised cleaning instructions when it shipped those four endoscopes.
Instead, for the next 18 months, Pentax shipped the four types of endoscopes with the old instructions for use and not the newly enhanced, FDA-cleared cleaning instructions. Pentax decided not to use the enhanced cleaning instructions because they required customers to spend more time cleaning the endoscopes. One internal email warned that the increase of cleaning time from five minutes to 25 minutes would be “catastrophic,” and another predicted that customers “will be very upset and could switch away from PENTAX because of the extra time, manpower, and cost to perform the new protocol.”
Pentax continued shipping the four types of endoscopes without the FDA-cleared cleaning instructions until September 2015. At that time, Pentax started including FDA-cleared instructions for two of the endoscopes and included newly validated cleaning instructions for the other two types of endoscopes. Pentax made $18 million in gross profits from selling the four types endoscopes during this 18-month period.
Pentax was also charged with and admitted failing to file timely reports of two infection incidents associated with its endoscope. To enable FDA and others to identify and monitor adverse events, the FDCA requires medical device manufacturers to file adverse event reports – known as Medical Device Reports (MDRs) – within 30 days of becoming aware of information that reasonably suggests that the manufacturer’s device may have caused or contributed to a death or serious injury.
In June 2013, Pentax learned that four patients at Advocate Lutheran General Hospital in Chicago were infected with drug-resistant bacteria after being treated with the same Pentax endoscope. Pentax failed to file MDRs within 30 days because its employees did not understand the reporting requirements. Pentax filed an MDR about the Advocate Lutheran infections in late September 2013.
In late June 2014, Pentax learned that four patients at Massachusetts General Hospital in Boston were infected with Escherichia coli bacteria after being treated with the same Pentax endoscope. Pentax also failed to file MDRs about this incident within 30 days because its employees misunderstood the reporting requirements. Pentax filed an MDR about the infections at Massachusetts General Hospital in December 2014.
As part of the DPA, Pentax has agreed to, among other things, conduct a thorough audit of its current instructions for use for endoscopic devices and MDR procedures to determine their compliance with FDA requirements and report to the FDA in writing. It has agreed to enhance its compliance training and maintain an effective compliance program. Pentax’s president and the president of the Lifecare Division of Pentax’s parent Hoya Corporation must annually certify that Pentax took the compliance measures required by the DPA, and Hoya’s board of directors must certify annually that Pentax’s compliance program is effective.
The investigation was conducted by special agents from the FDA’s Office of Criminal Investigations, under the direction of Special Agent in Charge Jeffrey J. Ebersole of the New York Field Office, along with 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 J. Lampert.
The government is represented by Assistant U.S. Attorney R. David Walk Jr. of the U.S. Attorney’s Office for the District of New Jersey; and Senior Litigation Counsel Patrick Jasperse of the Civil Division’s Consumer Protection Branch, with the assistance of Senior Counsel Shannon M. Singleton of the FDA’s Office of Chief Counsel.
For more information about the Consumer Protection Branch and its enforcement efforts, visit its website at http://www.justice.gov/civil/consumer-protection-branch.
Pentax Medical Company Agrees to Pay $43 Million to Resolve Criminal Investigation Concerning Misbranded EndoscopesRead the Press Release
Pentax Medical Company will pay $43 million to resolve criminal charges based on the company’s shipment of four types of endoscopes for 18 months without FDA-cleared instructions for use and the company’s failure to file timely reports of two infections associated with its endoscopes, the Department of Justice announced today.
Pentax was charged in a criminal complaint filed today in Newark federal court with distributing misbranded medical devices in interstate commerce in violation of the Federal Food, Drug, and Cosmetic Act (FDCA). Pentax has entered into a three-year deferred prosecution agreement (DPA) that will allow it to avoid conviction if it complies with the reform and enhanced compliance requirements outlined in the agreement. As a result of the conduct outlined in the criminal complaint, Pentax has agreed to pay a $40 million criminal fine and to forfeit $3 million.
“In carrying out its responsibilities to protect the health and safety of patients treated with medical devices, the FDA relies on manufacturers to provide health care professionals with the correct, approved or cleared instructions for safe use of the devices, and to report promptly to the FDA potential product safety issues,” said Assistant Attorney General Jody Hunt of the Department of Justice’s Civil Division. “Pentax’s failure to follow important safety requirements is serious and warrants the significant penalties imposed as part of this resolution.”
“Pentax made a decision to ignore the cleared instructions for use of its endoscopes, believing that doing so would increase its sales, putting profits over patient safety,” said U.S. Attorney Craig Carpenito for the District of New Jersey. “In doing so, and by failing to report to the FDA certain adverse events relating to those endoscopes, it broke the law, jeopardized the health of patients, and, ultimately, cost itself $43 million on fines and forfeiture.”
The criminal complaint against Pentax, which Pentax agrees is true, charges that Pentax made a deliberate business decision not to use revised FDA-cleared instructions for cleaning its endoscopes because Pentax feared the new instructions would cause it to lose business. Endoscopes are reusable devices that must be cleaned after each use or else infectious material may remain and be transmitted to subsequent patients. In 2014, the FDA told Pentax to revise its existing cleaning instructions for four types of endoscopes and add cleaning steps. Pentax agreed, and FDA cleared, revised cleaning instructions in April 2014. Pentax was then required to include these revised cleaning instructions when it shipped those four endoscopes.
Instead, for the next 18 months, Pentax shipped the four types of endoscopes with the old instructions for use – not the newly enhanced, FDA-cleared cleaning instructions. Pentax decided not to use the enhanced cleaning instructions because they required customers to spend more time cleaning the endoscopes. One internal email warned that the increase of cleaning time from five minutes to 25 minutes would be “catastrophic,” and another predicted that customers “will be very upset and could switch away from PENTAX because of the extra time, manpower, and cost to perform the new protocol.”
Pentax continued shipping the four types of endoscopes without the FDA-cleared cleaning instructions until September 2015. At that time, Pentax started including FDA-cleared instructions for two of the endoscopes and newly validated cleaning instructions for the other two types of endoscopes. Pentax made $18 million in gross profits from selling the four types endoscopes during this 18-month period.
Pentax was also charged with and admitted failing to file timely reports of two infection incidents associated with its endoscope. To enable FDA and others to identify and monitor adverse events, the FDCA requires medical device manufacturers to file adverse event reports – known as Medical Device Reports (MDRs) – within 30 days of becoming aware of information that reasonably suggests that the manufacturer’s device may have caused or contributed to a death or serious injury.
In June 2013, Pentax learned that four patients at Advocate Lutheran General Hospital in Chicago were infected with drug-resistant bacteria after being treated with the same Pentax endoscope. Pentax failed to file MDRs within 30 days because its employees did not understand the reporting requirements. Pentax filed an MDR about the Advocate Lutheran infections in late September 2013.
In late June 2014, Pentax learned that four patients at Massachusetts General Hospital in Boston were infected with Escherichia coli bacteria after being treated with the same Pentax endoscope. Pentax also failed to file MDRs about this incident within 30 days because its employees misunderstood the reporting requirements. Pentax filed an MDR about the infections at Massachusetts General Hospital in December 2014.
“Americans expect and deserve that the medical devices used on them are safe, effective, and properly labeled with accurate information. When companies subvert FDA’s standards and requirements, they place unsuspecting patients at risk,” said Catherine A. Hermsen, Assistant Commissioner for Criminal Investigations, FDA Office of Criminal Investigations. “FDA will continue to investigate and help bring to justice companies that jeopardize the public health by distributing misbranded products.”
As part of the DPA, Pentax has agreed to, among other actions, conduct a thorough audit of its current instructions for use for endoscopic devices and MDR procedures to determine their compliance with FDA requirements and report to the FDA in writing. It has agreed to enhance its compliance training and maintain an effective compliance program. Pentax’s president and the president of the Lifecare Division of Pentax’s parent, Hoya Corporation, must annually certify that Pentax took the compliance measures required by the DPA, and Hoya’s board of directors must certify annually that Pentax’s compliance program is effective.
The investigation was conducted by special agents from the FDA’s Office of Criminal Investigations, under the direction of Special Agent in Charge Jeffrey J. Ebersole of the New York Field Office, along with 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 J. Lampert.
The government is represented by Assistant U.S. Attorney R. David Walk Jr. of the U.S. Attorney’s Office for the District of New Jersey and Senior Litigation Counsel Patrick Jasperse of the Civil Division’s Consumer Protection Branch, with the assistance of Senior Counsel Shannon M. Singleton of the FDA’s Office of Chief Counsel.
For more information about the Consumer Protection Branch and its enforcement efforts, visit its website at http://www.justice.gov/civil/consumer-protection-branch. For more information about the U.S. Attorney’s Office for the District of New Jersey, visit its website at https://www.justice.gov/usao-nj.
The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
Union County Man Charged in Drug Trafficking ConspiracyRead the Press Release
NEWARK, N.J. – A Union County, New Jersey, man has been arrested for his role in a drug trafficking conspiracy in which he allegedly set up a drug mill in his apartment, U.S. Attorney Craig Carpenito announced today.
Brad Toby, 35, of Linden, New Jersey, was arrested April 2, 2020, and charged by complaint with one count of conspiring to possess heroin and cocaine with intent to distribute. He made his initial appearance via videoconference today before U.S. Magistrate Judge Michael A. Hammer and was released on $200,000 secured bond.
According to documents filed in this case and statements made in court:
Law enforcement officers have been investigating a drug trafficking organization operating in New Jersey and New York and learned that Toby is a member of that organization. During a lawful search of Toby’s residence, law enforcement officers recovered: five kilograms of heroin; four kilograms of cocaine; $100,000 in currency; drug packaging; drug paraphernalia, including scales and kilogram presses; a handgun; and ammunition.
The conspiracy charge 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.
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.
U.S. Attorney Craig Carpenito credited the special agents of the Drug Enforcement Administration, under the direction of Special Agent in Charge Susan A. Gibson in Newark, and the members of the City of Linden Police Department, under the direction of Chief David Hart, with the investigation leading to today’s charges and arrest.
The government is represented by Assistant U.S. Attorney George Brandley of the U.S. Attorney’s Office OCDETF/Narcotics 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.
Department of Justice Makes $850 Million Available to Help Public Safety Agencies Address COVID-19 PandemicRead the Press Release
NEWARK, N.J. – The Department of Justice today announced that it is making $850 million available to help public safety agencies respond to the challenges posed by the outbreak of COVID-19. The Coronavirus Emergency Supplemental Funding program, authorized by the recently passed stimulus legislation, will allow eligible state, local and tribal governments to apply immediately for these critical funds. The department is moving quickly to make awards, with the goal of having funds available for drawdown within days of the award.
“The COVID-19 outbreak has placed tremendous stress on our public safety professionals at all levels of government,” U.S. Attorney Craig Carpenito said. “I urge the jurisdictions that are eligible for these vital resources to apply for them as soon as possible. Our goal is to get this emergency funding into the hands of the public safety providers who need it as quickly as possible.”
“This is an unprecedented moment in our nation’s history and an especially dangerous one for our front-line law enforcement officers, corrections officials, and public safety professionals,” Office of Justice Programs Principal Deputy Assistant Attorney General Katharine T. Sullivan said. “We are grateful to the Congress for making these resources available and for the show of support this program represents.”
The solicitation, posted by the Bureau of Justice Assistance in the Justice Department’s Office of Justice Programs (OJP), will remain open for at least 60 days and be extended as necessary. OJP will fund successful applicants as a top priority on a rolling basis as applications are received. Funds may be used to hire personnel, pay overtime costs, cover protective equipment and supplies, address correctional inmates’ medical needs and defray expenses related to the distribution of resources to hard-hit areas, among other activities. Grant funds may be applied retroactively to Jan. 20, 2020, subject to federal supplanting rules.
Agencies that were eligible for the fiscal year 2019 State and Local Edward Byrne Memorial Justice Assistance Grant Program are candidates for this emergency funding. A complete list of eligible jurisdictions and their allocations can be found at https://bja.ojp.gov/program/fy20-cesf-allocations.
For more information about the Coronavirus Emergency Supplemental Funding program, please visit: https://bja.ojp.gov/funding/opportunities/bja-2020-18553. For more information about the Office of Justice Programs, please visit https://www.ojp.gov/.
The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
Pittsburgh Man Charged with Possession of Cocaine with Intent to DistributeRead the Press Release
NEWARK, N.J. – A Pittsburgh, Pennsylvania, man has been charged with possession of cocaine with the intent to distribute it, U.S. Attorney Craig Carpenito announced today.
Kenswick Austin, 45, is charged by complaint with one count of possession with intent to distribute at least 500 grams of cocaine. He was arrested March 30, 2020, and appeared today by teleconference before U.S. Magistrate Judge Michael A. Hammer of Newark federal court. Austin was released on $100,000 unsecured bond.
According to the documents filed in this case and statements made in court:
Between March 13, 2020, and March 28, 2020, Austin participated in multiple meetings and telephone calls to arrange the shipment of a package containing controlled substances into New Jersey. On March 30, 2020, the package arrived at an agreed-upon location, and Austin accompanied several other individuals to take possession of the package. After a trained narcotics detection canine alerted to the presence of narcotics within a vehicle containing the package and within the package itself, law enforcement searched the vehicle and package pursuant to a federal search warrant and found approximately two kilograms of a substance that field-tested positive for cocaine.
The charge of possession with intent to distribute 500 grams or more of cocaine carries a minimum sentence of five years and a maximum of 40 years in prison, and a $5 million fine.
U.S. Attorney Carpenito credited special agents and task force officers of the Department of Homeland Security, Homeland Security Investigations, under the direction of Special Agent in Charge Brian Michael, with the investigation leading to the charges. He also thanked the Bound Brook, New Jersey, Police Department, under the direction of Chief of Police Vito Bet, for assistance in the investigation.
The government is represented by Assistant U.S. Attorney Sarah A. Sulkowski of the Cybercrime Unit of the U.S. Attorney’s Office’s Criminal Division in Newark.
The charges and allegations in the complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
U.S. Attorney Carpenito, AG Grewal, Acting Comptroller Walsh, Announce Federal-State COVID-19 Fraud Task ForceRead the Press Release
NEWARK, N.J. – U.S. Attorney Craig Carpenito, New Jersey Attorney General Gurbir S. Grewal, and New Jersey Acting State Comptroller Kevin D. Walsh today announced the formation of a joint federal-state task force to investigate and prosecute a wide range of misconduct arising from the COVID-19 pandemic, including the unlawful hoarding of medical supplies, price gouging, charity scams, procurement fraud, insurance fraud, phishing schemes, and false and misleading investment opportunities.
The New Jersey COVID-19 Fraud Task Force will marshal the collective investigative power of federal and state law enforcement agencies by forming joint investigative and prosecution teams to quickly address fraud complaints. In addition, the Task Force will share information publicly about common frauds so individuals and businesses can better protect themselves. Residents are encouraged to report possible misconduct through a hotline established by the National Center for Disaster Fraud at (866) 720-5721 or https://www.justice.gov/disaster-fraud/webform/ncdf-disaster-complaint-form . Complainants may remain anonymous.
“Attorney General Grewal and I have a well-established, close working relationship, and we both felt it was incredibly important at this time that we combine our resources and form a joint COVID-19 Task Force,” U.S. Attorney Carpenito said. “Our two offices, working in concert with all of our law enforcement partners, will ensure that that there is a solid front protecting the public from criminals who are attempting to illegally profit from this health crisis. Whether you’re price-gouging on necessities or hawking phony cures or protections, if you’re trying to rip off the public, we will find you and come after you.”
“An unprecedented public health crisis creates an unprecedented opportunity for scammers and con artists,” Attorney General Grewal said. “Now more than ever, we need to work together to protect our community from fraud. I applaud U.S. Attorney Carpenito for his national leadership on this issue, and I thank Acting Comptroller Walsh for his work protecting New Jersey’s taxpayers from waste, fraud, and abuse.”
“The Office of the State Comptroller has a long and productive history of collaboration with both the United States Attorney’s Office and the New Jersey Office of the Attorney General,” Acting Comptroller Walsh said. “Our investigators, auditors and attorneys stand ready to combat any fraud, waste or abuse connected to our state’s battle against COVID-19. I thank U.S. Attorney Carpenito and Attorney General Grewal for their leadership of this important COVID-19 Task Force and I am ready to assist in its important mission.”
The Task Force will be led by the U.S. Attorney for the District of New Jersey, the New Jersey Attorney General, and the Acting State Comptroller, and will include the following federal agencies: the Federal Bureau of Investigation; the Department of Health and Human Services, Office of the Inspector General; the U.S. Secret Service; the U.S. Postal Inspection Service; Immigration and Customs Enforcement, Homeland Security Investigations; Social Security Administration, Office of Inspector General; and the U.S. Department of Education, Office of Inspector General.
In addition, the Task Force will include several divisions within the New Jersey Attorney General’s Office, including the New Jersey State Police, the Division of Criminal Justice, the Division of Consumer Affairs, the Division of Law, the Office of the Insurance Fraud Prosecutor, and the Office of Public Integrity and Accountability.
The Task Force warned New Jerseyans about the most common types of COVID-related frauds and misconduct, including:
- Unlawful hoarding: The Department of Health and Human Services (HHS) issued a Notice pursuant to President Trump’s Executive Order 13910 and the Defense Production Act, which designated health and medical resources necessary to respond to the spread of COVID-19 that are scarce or the supply of which would be threatened by excessive accumulation. These designated materials are subject to the hoarding prevention measures authorized under the Executive Order and the Act. Individuals or businesses that violate the Act will be subject to prosecution.
- Price-gouging: Individuals and businesses may sell essential goods, like hand sanitizer, for significantly higher prices than in a non-emergency setting. New Jersey's price gouging law bans excessive price increases during a declared state of emergency and for 30 days after it ends. A price increase is considered excessive if the new price is more than 10 percent higher than the price charged during the normal course of business prior to the emergency. Price gouging violations are punishable by fines of up to $10,000 for the first violation and $20,000 for each subsequent violation.
- Treatment scams: Scammers are offering to sell fake cures, vaccines, and advice on unproven treatments for COVID-19.
- Supply scams: Scammers are creating fake shops, websites, social media accounts, and email addresses claiming to sell medical supplies currently in high demand, such as surgical masks. When consumers attempt to purchase supplies through these channels, fraudsters pocket the money and never provide the promised supplies.
- Provider scams: Scammers are also contacting people by phone and email, pretending to be doctors and hospitals that have treated a friend or relative for COVID-19, and demanding payment for that treatment.
- Charity scams: Scammers are soliciting donations for individuals, groups, and areas affected by COVID-19.
- Phishing scams: Scammers posing as national and global health authorities, including the World Health Organization (WHO) and the Centers for Disease Control and Prevention (CDC), are sending phishing emails designed to trick recipients into downloading malware or providing personal identifying and financial information.
- App scams: Scammers are also creating and manipulating mobile apps designed to track the spread of COVID-19 to insert malware that will compromise users’ devices and personal information.
- Investment scams: Scammers are offering online promotions on various platforms, including social media, claiming that the products or services of publicly traded companies can prevent, detect, or cure COVID-19, and that the stock of these companies will dramatically increase in value as a result. These promotions are often styled as “research reports,” make predictions of a specific “target price,” and relate to microcap stocks, or low-priced stocks issued by the smallest of companies with limited publicly available information.
The Task Force urged everyone to avoid these and similar scams by taking the following steps:
- Independently verify the identity of any company, charity, or individual that contacts you regarding COVID-19.
- Check the websites and email addresses offering information, products, or services related to COVID-19. Be aware that scammers often employ addresses that differ only slightly from those belonging to the entities they are impersonating. For example, they might use “cdc.com” or “cdc.org” instead of “cdc.gov.”
- Be wary of unsolicited emails offering information, supplies, or treatment for COVID-19 or requesting your personal information for medical purposes. Legitimate health authorities will not contact the general public this way.
- Do not click on links or open email attachments from unknown or unverified sources. Doing so could download a virus onto your computer or device.
- Make sure the anti-malware and anti-virus software on your computer is operating and up to date.
- Ignore offers for a COVID-19 vaccine, cure, or treatment. Remember, if there is a medical breakthrough, you won’t hear about it for the first time through an email, online ad, or unsolicited sales pitch.
- Check online reviews of any company offering COVID-19 products or supplies. Avoid companies whose customers have complained about not receiving items.
- Research any charities or crowdfunding sites soliciting donations in connection with COVID- 19 before giving. Remember, an organization may not be legitimate even if it uses words like “CDC” or “government” in its name or has reputable looking seals or logos on its materials. For online resources on donating wisely, visit the Federal Trade Commission (FTC) website.
- Be wary of any business, charity, or individual requesting payments or donations in cash, by wire transfer, gift card, or through the mail. Don’t send money through any of these channels.
- Be cautious of “investment opportunities” tied to COVID-19, especially those based on claims that a small company’s products or services can help stop the virus. If you decide to invest, carefully research the investment beforehand. For information on how to avoid investment fraud, visit the U.S. Securities and Exchange Commission (SEC) website.
For the most up-to-date information on COVID-19, visit the Centers for Disease Control and Prevention (CDC) and World Health Organization (WHO) websites.
Georgia Man Arrested for Orchestrating Scheme to Defraud Health Care Benefit Programs Related to COVID-19 and Genetic Cancer TestingRead the Press Release
NEWARK, N.J. – A Georgia man will appear in court today for his alleged role in a conspiracy to defraud federally funded and private health care benefit programs by submitting fraudulent testing claims for COVID-19 and genetic cancer screenings, U.S. Attorney Craig Carpenito announced.
Erik Santos, 49, of Braselton, Georgia, is charged by complaint with one count of conspiring to violate the Anti-Kickback Statute and one count of conspiring to commit health care fraud. He was arrested at his home today by special agents of the FBI and is scheduled to have his initial court appearance this afternoon before U.S. Magistrate Judge Alan J. Braverman in Atlanta federal court.
“The complaint in this case describes a defendant who saw the spread of COVID-19 as nothing more than an opportunity to profit personally,” U.S. Attorney Carpenito said. “As the complaint alleges, he offered kickbacks in exchange for medically unnecessary tests – including potentially hard-to-obtain COVID-19 tests – thus preying on people’s fear in order to defraud the government and make money for himself. The U.S. Attorney’s Office and our law enforcement partners are focused on protecting the public from this kind of despicable pandemic profiteering, and will act quickly to halt the fraud and bring the perpetrators to justice.”
“It is unfortunate that we have people in our country who will capitalize on others' suffering to make a buck,” Special Agent-in-Charge Gregory W. Ehrie of FBI Newark said. “But this case takes things to a new low. This defendant not only allegedly defrauded the government, he conspired to bilk his fellow citizens of a valuable resource that's in high demand. His profiteering is akin to receiving blood money. Throughout this challenging crisis, the FBI remains on duty and vigilant in our efforts to capture anyone who puts money before humanity."
“At a time when Americans are coming together in many different ways to help our fellow citizens make it through this crisis, it is unfathomable to think that some people, driven by personal greed, would try to take advantage of people who need help the most,” Chris Hacker, Special Agent in Charge of FBI Atlanta, said. “Though the FBI has had to adapt to doing business in this trying time, we want to make it clear that we are continuing to protect our citizens and uphold the Constitution.”
“Individuals seeking to fraudulently profit during the COVID-19 global pandemic undermine the government's response, jeopardize medical professionals and endanger the public,” Special Agent-in-Charge Leigh-Alistair Barzey, Defense Criminal Investigative Service (DCIS), Northeast Field Office, said. “The DCIS is committed to working with the U.S. Department of Justice and its law enforcement partners to combat health care fraud and protect TRICARE, the DoD's health care system, and the military members and their families who depend upon it.”
According to documents filed in this case and statements made in court:
Santos ran a marketing company that generated leads to testing companies. From November 2019 through the present, Santos and others engaged in a large-scale scheme to defraud Medicare by soliciting and receiving kickback payments from companies involved in clinical and diagnostic testing in exchange for steering to those companies individuals eligible for testing that Medicare would reimburse. Medicare is a federally funded program to provide medical insurance benefits for individuals 65 and older and certain disabled individuals who qualify under the Social Security Act.
Santos agreed with others to be paid kickbacks on a per-test basis for submitting genetic cancer screening tests to diagnostic testing facilities, regardless of medical necessity. A genetic cancer screening is a diagnostic tool that tests for a genetic predisposition to cancer. Santos’ scheme aimed to submit more than $1.1 million in fraudulent claims to Medicare.
Starting in February 2020, the effects of the COVID-19 pandemic began to be felt in the United States. The virus is considered especially dangerous to patients over 65 – the same population that is eligible for Medicare and TRICARE benefits. As cases have increased in the United States, many individuals are reporting difficulty obtaining tests to determine whether they were infected with the virus.
As the COVID-19 crisis began to escalate, Santos used the pandemic as an opportunity to expand his pre-existing kickback schemes and to capitalize on a national emergency for his own financial gain. Santos agreed with others to be paid kickbacks on a per-test basis for COVID-19 tests, provided that those tests were bundled with a much more expensive respiratory pathogen panel (RPP) test, which does not identify or treat COVID-19. Santos sought to maximize his kickback profits and to bleed federal health care resources at a time when Medicare beneficiaries across the United States were in dire need of coverage for medical treatment and services.
On March 19, 2020, Santos made the following statements in a telephone call explaining that he viewed the pandemic as a money-making opportunity:
• “[W]hile there are people going through what they are going through, you can either go bankrupt or you can prosper.”
• “[T]he good thing is we’re opening a lot of doors through this coronavirus testing.”
• Santos noted that his other work was on hold because “everybody has been chasing the Covid dollar bird.”
The count of conspiracy to commit health care fraud carries a maximum potential punishment of 10 years in prison; conspiracy to violate the Anti-Kickback Statute carries a maximum potential penalty of five years in prison. Both offenses are also punishable by a fine of $250,000, or twice the gross gain or loss from the offense.
U.S. Attorney Carpenito credited special agents of the FBI, under the direction of Special Agent in Charge Gregory W. Ehrie in Newark and Special Agent in Charge Chris Hacker in Georgia; U.S. Department of Health and Human Services, Office of Inspector General, under the direction of Special Agent in Charge Scott J. Lampert; U.S. Department of Defense, Office of the Inspector General, Defense Criminal Investigative Service, under the direction of Special Agent in Charge Leigh-Alistair Barzey; U.S. Department of Veterans Affairs Office of Inspector General, under the direction of Resident Agent in Charge Christopher F. Algieri with the ongoing investigation leading to today’s arrest.
To find more about Department of Justice resources and information, please visit: www.justice.gov/coronavirus
The government is represented by Assistant U.S. Attorney Sean M. Sherman of the U.S. Attorney’s Office’s Opioids Unit in Newark.
The charges and allegations contained in the complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
Brooklyn Man Arrested for Assaulting FBI Agents and Making False Statements About His Possession and Sale of Scarce Medical EquipmentRead the Press Release
NEWARK, N.J. – A Brooklyn man was arrested today for allegedly coughing on FBI agents while claiming to have COVID-19, and with lying to them about his accumulation and sale of surgical masks, medical gowns, and other medical supplies, U.S. Attorney Craig Carpenito announced.
Baruch Feldheim, 43, was arrested by special agents of the FBI today and charged by complaint with assaulting a federal officer and with making false statements to law enforcement. Feldheim is scheduled to have his initial appearance this afternoon before U.S. Magistrate Judge Michael A. Hammer in Newark federal court.
According to documents filed in this case and statements made in court:
On March 25, 2020, the Department of Health and Human Services issued an executive order designating certain scarce health and medical resources necessary to respond to the spread of the Coronavirus. Those designated materials included N95 filtering face-piece respirators, personal protection equipment (PPE) face masks, surgical masks, sterilization services, and disinfecting devices, among other things.
Feldheim allegedly sold certain designated materials, including N95 respirators, to doctors and nurses at inflated prices. In one instance, on March 18, 2020, a doctor in New Jersey contacted Feldheim via a WhatsApp chat group labeled “Virus2020!” Feldheim agreed to sell to the doctor approximately 1,000 N95 masks and other assorted materials for $12,000, an approximately 700 percent markup from the normal price charged for those materials. Feldheim directed the doctor to an auto repair shop in Irvington, New Jersey, to pick up the order. According to the doctor, the repair shop contained enough materials, including hand sanitizers, Clorox wipes, chemical cleaning supply agents, and surgical supplies, to outfit an entire hospital. Feldheim later told the doctor that he had been forced to move all of those supplies from Irvington to another location.
On March 23, 2020, Feldheim allegedly offered to sell a nurse a quantity of surgical gowns and directed the nurse to his residence in Brooklyn. Feldheim also received, on March 25, 2020, a shipment from Canada containing approximately eight pallets of medical facemasks. On March 27, 2020, FBI agents observed an empty box of N95 masks outside of Feldheim’s residence.
On March 29, 2020, FBI agents witnessed multiple instances during which individuals approached Feldheim’s residence and walked away with boxes or bags that appeared to contain medical supplies. On that date, FBI agents approached Feldheim outside of his residence. After identifying themselves as FBI agents, they told Feldheim that they wanted to stay a distance away from him given concerns over the spread of Coronavirus. When the agents were within four to five feet of him, Feldheim allegedly coughed in their direction without covering his mouth. The agents then told him that they were looking for certain PPE materials and that they had information that Feldheim was in possession of large quantities of such materials. At that point, Feldheim told the FBI agents that that he had the Coronavirus.
Feldheim then made false statements to the FBI agents regarding his possession and sale of personal protective equipment and other materials. He falsely told the agents, among other things, that he worked for a company that bought and sold personal protective equipment and other materials and that he never took physical custody of the materials. Feldheim further falsely stated that he did not possess large quantities of personal protective equipment materials and that he never sold them directly to individuals.
The assault charge carries a maximum penalty of one year in prison and a $100,000 fine. The false statements charge carries a maximum penalty of five years in prison and a $250,000 fine.
Please report COVID-19 fraud, hoarding, or price-gouging to the National Center for Disaster Fraud’s National Hotline at (866) 720-5721 or e-mail [email protected].
U.S. Attorney Carpenito credited special agents of the FBI, under the direction of Special Agent in Charge Gregory W. Ehrie in Newark, with the investigation leading to today’s arrest.
The government is represented by Assistant U.S. Attorney Jonathan Fayer of the Economic Crimes Unit.
The charges and allegations contained in the complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
U.S. Attorney Announces Nearly $60 Million in Grants Available to Support Prisoners’ Successful Reentry into Their CommunitiesRead the Press Release
NEWARK, N.J. – U.S. Attorney Craig Carpenito today announced that nearly $60 million in Department of Justice grants is available to help communities address public safety by supporting successful reentry of adult and juvenile offenders into their communities.
“The vast majority of inmates will be eventually returning to society after having completed their sentences,” U.S. Attorney Carpenito said. “We want to make sure that when they do, they have the best possible chance at successfully reintegrating. The programs supported by these grants will help support those who are developing the strategies that will make that possible.”
“Our nation is facing difficult public safety challenges that demand strong and immediate action. The high rate of recidivism poses a dire threat to community safety and is being met with a robust response by this Administration,” Katharine T. Sullivan, Principal Deputy Assistant Attorney General for the Office of Justice Programs said. “The Department of Justice is front and center in the fight to meet this persistent challenge. OJP is making historic amounts of grant funding available to ensure that our communities have access to innovative and diverse solutions.”
The funding is available through OJP, the federal government’s leading source of public safety funding and crime victim assistance in state, local and tribal jurisdictions. OJP’s programs support a wide array of activities and services, including adult and juvenile reentry initiatives and research projects designed to improve our knowledge of what works in reentry programming.
A number of funding opportunities are currently open, with several more opening in the near future.
Correctional Adult Reentry Education, Employment, and Recidivism Reduction Strategies Program
https://bja.ojp.gov/funding/opportunities/bja-2020-17104
Total Available $7.2 million Deadline 4/27/2020
Improving Community Supervision Outcomes through Swift, Certain, and Fair Responses
https://bja.ojp.gov/funding/opportunities/bja-2020-17096
Total Available $3 million Deadline 4/28/2020
Improving Reentry for People with Substance Use Disorders Program
https://bja.ojp.gov/SCASUD20
Total Available $13.2 million Deadline 4/27/2020
Innovations in Reentry Initiative: Building System Capacity & Testing Strategies to Reduce Recidivism
https://bja.ojp.gov/funding/opportunities/bja-2020-17281
Total Available $4 million Deadline 5/4/2020
Research and Evaluation on Promising Reentry Initiatives https://nij.ojp.gov/funding/opportunities/nij-2020-17295
Total Available $6 million Deadline 5/5/2020
Review and Validation of the First Step Act Risk Assessment Tool https://nij.ojp.gov/funding/opportunities/nij-2020-fsa
Total Available: Determined after selection Deadline 4/10/2020
Second Chance Act Community-Based Reentry Program
https://bja.ojp.gov/funding/opportunities/bja-2020-17110
Total Available $13.5 million Deadline 5/4/2020
Second Chance Act Evaluation Participation Support
https://bja.ojp.gov/funding/opportunities/bja-2020-17680
Total Available $4 million Deadline 4/28/2020
Second Chance Act Youth Offender Reentry Program
https://ojjdp.ojp.gov/sites/g/files/xyckuh176/files/media/document/ojjdp-2020-17350.pdf
Total Available $7 million Deadline 4/28/2020
For more information regarding all OJP funding opportunities, visit https://www.ojp.gov/funding/explore/current-funding-opportunities
Monmouth County Man Charged with Producing and Distributing Child PornographyRead the Press Release
NEWARK, N.J. – A Monmouth County, New Jersey, man is scheduled to appear before a U.S. Magistrate Judge today for allegedly producing and distributing images of himself sexually assaulting a child, U.S. Attorney Craig Carpenito announced today.
Christian Importuna, 24, of Englishtown, New Jersey, is charged by complaint with one count of production of child pornography and one count of distribution of child pornography. He will make his initial appearance today by telephone conference before U.S. Magistrate Judge Cathy L. Waldor. Importuna was arrested at his home this morning by special agents of the FBI.
According to documents filed in this case and statements made in court:
Importuna produced at least two videos that showed him sexually assaulting a child. The videos came to the attention of law enforcement officials on March 24, 2020, when Importuna attempted to trade images of child pornography with an undercover law enforcement officer on an internet-based application. Law enforcement initially linked the videos to Importuna through business records indicating that they were sent from his Englishtown residence. The investigation further linked Importuna to the production of the images through physical identifiers that were visible in the subject videos.
The charge of production of child pornography, carries a mandatory minimum penalty of 15 years in prison, a maximum potential penalty of 30 years in prison, and a $250,000 fine. The charge of distribution of child pornography, carries a mandatory minimum of five years in prison, a maximum of 20 years in prison, and a $250,000 fine.
U.S. Attorney Carpenito credited FBI Newark's Child Exploitation and Human Trafficking Task Force, under the direction of Special Agent in Charge Gregory W. Ehrie in Newark, with the investigation leading to these charges. He also thanked the New Jersey Regional Computer Forensics Lab, Monmouth County Prosecutor's Office, and Englishtown Police Department, for their assistance with the investigation.
The government is represented by Assistant U.S. Attorney Shawn Barnes of the U.S. Attorney’s Office’s Organized Crime/Drug Enforcement Task Force Unit in Newark.
The charges and allegations in the complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
U.S. Attorney Announces More Than $83 Million Available to Support School SafetyRead the Press Release
NEWARK, N.J. – U.S. Attorney Craig Carpenito today announced that more than $83 million in Department of Justice grants is available to help communities improve school security and protect students, faculty and staff from threats of violence.
“The funding opportunities we are announcing will help with research into the causes of school violence and the effectiveness of approaches to dealing with it,” U.S. Attorney Carpenito said. “It will also provide resources that can be used to develop support services for children exposed to violence in their homes, schools, and communities, and for violent crime reduction strategies that focus on violent juvenile offenders.”
“School violence is no longer an abstract threat but has become a tragic reality in too many of America’s communities. Moving to meet this challenge is among the Administration’s top domestic priorities,” said Katharine T. Sullivan, Principal Deputy Assistant Attorney General for the Office of Justice Programs. “The Department of Justice is front and center in the fight to meet this challenge. OJP is making historic amounts of grant funding available to ensure that our communities have access to innovative and diverse solutions.”
The funding is available through OJP, the federal government’s leading source of public safety funding and crime victim assistance in state, local and tribal jurisdictions. OJP’s programs support a wide array of activities and services, including programs designed to tighten school security and improve the reporting of threats.
A number of funding opportunities for school safety are currently open, with another opening in the near future:
Research and Evaluation on School Safety
https://nij.ojp.gov/funding/opportunities/nij-2020-17308
Total Available $5 million Deadline 4/13/2020
STOP Act School Violence Program (FY20)
https://nij.ojp.gov/funding/opportunities/nij-2020-17308
Total Available $71.4 million Deadline 4/13/2020
Strategies to Support Children Exposed to Violence
https://ojjdp.ojp.gov/funding/opportunities/ojjdp-2020-17926
Total Available $7 million Deadline 4/27/2020
For more information regarding all OJP funding opportunities, visit: https://www.ojp.gov/funding/explore/current-funding-opportunities.
More Than $163 Million Available to Fight Addiction Crisis Announced by New Jersey U.S. AttorneyRead the Press Release
NEWARK, N.J. –U.S. Attorney Craig Carpenito today announced that more than $163 million in Department of Justice grants is available to help communities address America’s addiction crisis.
“My office devotes substantial resources toward the battle against opioid diversion and abuse, but the problem requires more than just a law enforcement approach,” U.S. Attorney Carpenito said. “These grants provide resources to our partners that can help them tackle opioid addiction, a crisis that afflicts so many of our communities, with solutions focused on treatment and recovery. I encourage them to explore the opportunities listed below.”
“Our nation is facing the difficult challenge of curbing substance addiction, which threatens public safety and is among the Administration’s top domestic priorities,” Katharine T. Sullivan, Principal Deputy Assistant Attorney General for the Office of Justice Programs (OJP), said. “The Department of Justice is front and center in the fight to meet this challenge. OJP is making historic amounts of grant funding available to ensure that our communities have access to innovative and diverse solutions.”
The funding is available through OJP, the federal government’s leading source of public safety funding and crime victim assistance in state, local and tribal jurisdictions. OJP’s programs support a wide array of activities and services, including programs designed to prevent overdose deaths and break the cycle of addiction and crime.
A number of funding opportunities that address the addiction crisis are currently open:
Adult Drug Court and Veterans Treatment Court Discretionary Grant Program
https://bja.ojp.gov/funding/opportunities/bja-2020-17098
Total Available $1.75 million Deadline 5/14/2020
Comprehensive Opioid, Stimulant, and Substance Abuse Site-based Program
https://bja.ojp.gov/COSSAP20
Total Available $27 million Deadline 5/21/2020
Enhancing Community Responses to America's Addiction Crisis: Serving Our Youngest Crime Victims
https://www.ovc.gov/grants/pdftxt/fy-2020-enhancing-community-responses-to-drug-crisis.pdf
Total Available: $19 million Deadline: 5/4/2020
Family Drug Court Program
https://ojjdp.ojp.gov/funding/opportunities/ojjdp-2020-17090
Total Available $18.2 million Deadline 4/8/2020 (Extended)
Harold Rogers Prescription Drug Monitoring Program
https://bja.ojp.gov/funding/opportunities/bja-2020-17754
Total Available $28.1 Deadline 5/5/2020
Juvenile Drug Treatment Court Program
https://ojjdp.ojp.gov/funding/opportunities/ojjdp-2020-17051
Total Available $7.2 million Deadline 4/13/2020 (Extended)
Mentoring Opportunities for Youth Initiative
https://ojjdp.ojp.gov/funding/opportunities/ojjdp-2020-16930
Total Available $48 million Deadline 4/13/2020
Opioid Affected Youth Initiative
https://ojjdp.ojp.gov/funding/opportunities/ojjdp-2020-17352
Total Available $9 million Deadline 4/20/2020
Research and Evaluation on Drugs and Crime https://nij.ojp.gov/funding/opportunities/nij-2020-17275
Total Available $1 million Deadline 4/20/2020
Residential Substance Abuse Treatment for State Prisoners
https://bja.ojp.gov/RSAT20
Total Available $4.5 million Deadline 4/6/2020
For more information regarding all OJP funding opportunities, visit: https://www.ojp.gov/funding/explore/current-funding-opportunities
New Jersey U.S. Attorney Announces More Than $65 Million Available to Fight Human Trafficking and Help Trafficking VictimsRead the Press Release
NEWARK, N.J. – U.S. Attorney Craig Carpenito of the District of New Jersey today announced that more than $65 million in Department of Justice grants is available to help communities combat human trafficking and serve adults and children who are victimized in trafficking operations.
“Human trafficking crimes are among the most difficult cases our office handles,” U.S. Attorney Carpenito said. “The resources being made available by the Justice Department to all of our partners in battling this crime will go a long way in this fight. I encourage state and local agencies to apply to these grant programs for help obtaining the tools these funds will make available.”
“Our nation is facing difficult challenges, none more pressing than the scourge of human trafficking. Human traffickers pose a dire threat to public safety and countering this threat remains one of the Administration’s top domestic priorities,” Katharine T. Sullivan, Principal Deputy Assistant Attorney General for the Office of Justice Programs, said. “The Department of Justice is front and center in the fight against this insidious crime. OJP is making historic amounts of grant funding available to ensure that our communities have access to innovative and diverse solutions.”
The funding is available through OJP, the federal government’s leading source of public safety funding and crime victim assistance in state, local and tribal jurisdictions. OJP’s programs support a wide array of activities and services, including programs that support human trafficking task forces and services for human trafficking survivors.
A number of funding opportunities are currently open, with several more opening in the near future.
Missing and Exploited Children Training and Technical Assistance Program
https://ojjdp.ojp.gov/funding/opportunities/ojjdp-2020-17351
Total Available $1.8 million Deadline 4/6/2020 (Extended)
Multidisciplinary Task Force Program to Combat Human Trafficking
Total Available $22 million Opens week of 3/16/2020
Preventing Trafficking of Girls
Total Available $1.7 million Opens week of 3/16/2020
Research and Evaluation on Trafficking in Persons https://nij.ojp.gov/funding/opportunities/nij-2020-17324
Total Available $2.5 million Deadline 4/20/2020
Services for Victims of Human Trafficking
Total Available $16.5 million Opens week of 3/16/2020
Specialized Training and Technical Assistance on Housing for Victims of Human Trafficking
Total Available $2 million Opens week of 3/16/2020
Human Trafficking Training and Technical Assistance Program
Total Available $5 million Opens week of 3/16/2020
Improving Outcomes for Child and Youth Victims of Human Trafficking
Total Available $6 million Opens week of 3/16/2020
Integrated Services for Minor Victims of Labor Trafficking
Total Available $8 million Opens week of 3/16/2020
For more information regarding all OJP funding opportunities, visit https://www.ojp.gov/funding/explore/current-funding-opportunities
U.S. Attorney Urges Public to Report Suspected COVID-19 FraudRead the Press Release
NEWARK, N.J. – U.S. Attorney Craig Carpenito of the District of New Jersey today urged the public to report suspected fraud schemes related to COVID-19 (the novel coronavirus) by calling the National Center for Disaster Fraud (NCDF) hotline (1-866-720-5721) or to the NCDF at: https://www.justice.gov/disaster-fraud/webform/ncdf-disaster-complaint-form .
In coordination with the Department of Justice, Attorney General William Barr has directed U.S. Attorneys to prioritize the investigation and prosecution of COVID-19 fraud schemes. The NCDF Hotline can receive and enter complaints into a centralized system that can be accessed by all U.S. Attorneys, as well as Justice Department litigating and law enforcement components, to identify, investigate and prosecute fraud schemes. The NCDF coordinates complaints with 16 additional federal law enforcement agencies, as well as state Attorneys General and local authorities.
“Unfortunately, we have already seen examples in New Jersey of unscrupulous people trying to take advantage of this global pandemic to cheat frightened citizens and the government out of money,” U.S. Attorney Carpenito said. “Our mission to protect the public is as important now as ever, and we will investigate and prosecute these fraudsters with every resource we have.”
Some examples of these schemes include:
- Individuals and businesses selling fake cures for COVID-19 online and engaging in other forms of fraud.
- Phishing emails from entities posing as the World Health Organization or the Centers for Disease Control and Prevention.
- Malicious websites and apps that appear to share COVID-19s-related information to gain and lock access to your devices until payment is received.
- Seeking donations fraudulently for illegitimate or non-existent charitable organizations.
- Medical providers obtaining patient information for COVID-19 testing and then using that information to fraudulently bill for other tests and procedures.
In a memorandum to U.S. Attorneys issued March 19, Deputy Attorney General Jeffrey Rosen also directed each U.S. Attorney to appoint a Coronavirus Fraud Coordinator to serve as the legal counsel for the federal judicial district on matters relating to the COVID-19, direct the prosecution of COVID-19-related crimes, and to conduct outreach and awareness activities. The District of New Jersey Coronavirus Fraud Coordinator is Daniel Shapiro, Chief of the Economic Crimes Unit in Newark.
To find more about Department of Justice resources and information, please visit www.justice.gov/coronavirus
Two Passaic County Men Charged with Conspiracy and Bank RobberyRead the Press Release
NEWARK, N.J. – Two Passaic County men are scheduled to appear today in connection with the robbery of the Valley National Bank in Little Falls, New Jersey, on Feb. 27, 2020, U.S. Attorney Craig Carpenito announced.
Nicholas Ortiz, 37, of Paterson, New Jersey, and Jose Soto, 49, of Passaic, New Jersey, are each charged by complaint with one count of bank robbery and one count of conspiracy to commit bank robbery. Soto is also charged with an additional count of bank robbery in connection with the robbery of a PNC Bank branch in Passaic on Feb. 6, 2020. Both defendants were arrested today and are scheduled to have their initial appearances this afternoon with U.S. Magistrate Judge Cathy Waldor in Newark federal court by telephonic conference.
According to documents filed in this case and statements made in court:
On Feb. 6, 2020, two suspects wearing ski masks and holding umbrellas entered the PNC Bank in Passaic, New Jersey, and allegedly began ordering everyone to get down on the floor. One of the suspects pointed a silver and black handgun customers and employees. The other suspect entered the bank and jumped over the teller counter, demanding that the teller turn over all cash in the drawers.
On Feb. 27, 2020, two suspects allegedly entered the Valley National Bank in Little Falls, New Jersey. One of the suspects pointed a silver and black gun at customers and employees. The second suspect jumped over a teller counter and began rifling through various drawers. The suspects then forced the bank employees at gunpoint to open the vault, and began retrieving cash from the bank vault. The suspects forced all employees into the bank vault and then fled through the rear door.
Law enforcement officers were subsequently able to identify Soto as the owner of the getaway car from the PNC Bank robbery. They were also able to place Soto’s phone in the vicinity of the PNC Bank on the day of the robbery.
Law enforcement were able to identify Ortiz as the owner of the getaway car from the Valley National Bank Robbery. They were also able to place both Soto’s and Ortiz’s phone in the vicinity of the Valley National Bank on the day of the robbery.
Each bank robbery charge carries a maximum potential penalty of 20 years in prison and a $250,000 fine, or twice the gross gain or loss from the offense. The conspiracy 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.
U.S. Attorney Carpenito credited special agents of the FBI, under the direction of Special Agent in Charge Gregory W. Ehrie in Newark; the Passaic Police Department, under the direction of Chief Luis A. Guzman; the Little Falls Police Department, under the direction of Chief Steven Post; the Passaic County Prosecutor’s Office, under the direction of Prosecutor Camelia M. Valdes; the Passaic County Sheriff’s Department, under the direction of Sheriff Richard Berdnik; and the Paterson Police Department, under the direction of Police Director Jerry Speziale, with the investigation leading to today’s charges.
The government is represented by Assistant U.S. Attorney Emma Spiro 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.
Supplier to Trenton Drug Trafficking Conspiracy Admits Heroin Distribution and Firearms OffensesRead the Press Release
TRENTON, N.J. – A Trenton man today admitted his role as a supplier to a significant drug trafficking conspiracy that distributed more than one kilogram of heroin in Trenton and the surrounding area, U.S. Attorney Craig Carpenito announced today.
David Antonio, a/k/a “Pop,” a/k/a “Papi,” a/k/a “Santiago Ramirez,” 32, pleaded guilty today before Chief U.S. District Judge Freda L. Wolfson in Trenton federal court to Count One of a third superseding indictment charging him with conspiracy to distribute and possess with intent to distribute one kilogram or more of heroin. Another Trenton resident, Wayne K. Bush, 42, pleaded guilty today before Judge Wolfson to Count Ten of the third superseding indictment charging him with using a telephone to facilitate a drug trafficking crime.
In October 2018, Antonio, Bush, and 24 other individuals were charged by criminal complaint with conspiracy to distribute heroin. On Feb. 27, 2020, a grand jury returned a 10-count third superseding indictment charging Antonio, Bush, and five other defendants with conspiracy to distribute one kilogram or more of heroin and various other drug and firearm offenses. Of the 26 defendants originally charged in the criminal complaint, Antonio and Bush are the 20th and 21st defendants to plead guilty. The charges remain pending against five defendants.
According to documents filed in this case and statements made in court:
From October 2017 to October 2018, the defendants and others engaged in a large drug trafficking conspiracy that operated in the areas of Martin Luther King Boulevard, Sanford Street, Middle Rose Street, Southard Street, Hoffman Avenue, Chambers Street, and Coolidge Avenue in Trenton, and which sought to profit from the distribution of heroin and numerous other controlled substances. Through the interception of telephone calls and text messages pursuant to court-authorized wiretap orders, controlled purchases of heroin, the use of confidential sources of information, and other investigative techniques, law enforcement learned that conspirators Jakir Taylor and Jerome Roberts obtained regular supplies of hundreds of “bricks” of heroin from Antonio. Intercepted communications among Taylor, Roberts, Antonio, and other conspirators revealed that Taylor and Roberts agreed to obtain from Antonio, and that Antonio agreed to supply, a “motherlode” of as many as 1,400 bricks of heroin in a single delivery – equating to approximately 1.5 kilograms of heroin. Taylor told Antonio that he intended to “flood the streets” of Trenton with this large supply, and Antonio agreed to supply a sufficient amount of heroin to Taylor that would allow him to do so. In communications with Taylor, Antonio indicated that he was “filling the bags” up with heroin and fentanyl. During coordinated arrests on Oct. 25, 2018, law enforcement arrested Antonio at a residence in Trenton, and recovered more than 1.4 kilograms of heroin, in addition to a significant amount of paraphernalia used to package heroin for distribution.
Telephonic communications intercepted pursuant to the wiretap order also revealed that Bush, who was incarcerated during the conspiracy on a related conviction, facilitated Taylor’s plan by providing specific advice and recommendations to Taylor on pricing and quantity, ensuring loyalty from his subordinates, and maintaining relationships with heroin suppliers.
The drug conspiracy count to which Antonio pleaded guilty carries a statutory mandatory minimum term of 10 years in prison, a maximum potential penalty of life years in prison, and a maximum fine of $10 million. Because Antonio admitted during his plea to having previously been convicted of a federal drug trafficking offense for which he served more than a year in prison, he may be eligible for a statutory enhanced penalty, which would increase the statutory mandatory minimum term of imprisonment to 15 years, and a maximum fine of $20 million. The facilitation charge to which Bush pleaded guilty carries a statutory maximum term of imprisonment of four years, and a maximum fine of $250,000. Antonio’s sentencing is scheduled for June 30, 2020, and Bush’s sentencing is scheduled for June 29, 2020.
U.S. Attorney Carpenito credited special agents of the FBI, Newark Division, Trenton Resident Agency, under the direction of Special Agent in Charge Gregory W. Ehrie; special agents of the Bureau of Alcohol, Tobacco, Firearms, and Explosives, Newark Division, Trenton Field Office, under the direction of Special Agent in Charge Charlie J. Patterson; officers of the Trenton Police Department, under the direction of Police Director Sheilah Coley; officers of the Princeton Police Department, under the direction of Chief of Police Nicholas Sutter; officers of the Ewing Police Department, under the direction of Chief of Police John P. Stemler III; officers of the Burlington Township Police Department, under the direction of Police Director Bruce Painter; and detectives of the Burlington County Prosecutor’s Office, under the direction of Prosecutor Scott A. Coffina, with the investigation leading to today’s guilty pleas. He also thanked officers of the New Jersey State Police, under the direction of Superintendent Col. Patrick J. Callahan; detectives of the Mercer County Prosecutor’s Office, under the direction of Prosecutor Angelo Onofri; officers of the Mercer County Sheriff’s Office, under the direction of
Sheriff John A. Kemler; and members of the New Jersey State Board of Parole for their assistance in the investigation and prosecution of the case.
The government is represented by Attorney-in-Charge J. Brendan Day and Assistant U.S. Attorney Alexander Ramey of the U.S. Attorney’s Office’s Criminal Division in Trenton.
This case was conducted under the auspices of the Organized Crime Drug Enforcement Task Force (OCDETF) and the FBI’s Greater Trenton Safe Streets Task Force, a partnership between federal, state and local law enforcement agencies to enhance the identification, apprehension, and prosecution of individuals involved in gang-related activities, violent crime, and drug distribution in and around the greater Trenton area. 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 charges and allegations pending against the remaining five defendants are merely accusations, and they are presumed innocent unless and until proven guilty.
Second Hudson County Man Charged with Using Drones to Smuggle Contraband into Fort Dix Federal Prison Appears in CourtRead the Press Release
TRENTON, N.J. – The second of two Hudson County, New Jersey, men charged with conspiring to use drones to smuggle contraband, including marijuana, steroids, syringes, cell phones and cell phone equipment, into the federal correctional facility at Fort Dix, surrendered to authorities and appeared in court today, U.S. Attorney Craig Carpenito announced.
Adrian Goolcharran, a/k/a “Adrian Ajoda,” a/k/a “Adrian Ahoda,” 35, of Union City, New Jersey, appeared before U.S. Magistrate Judge Tonianne Bongiovanni in Trenton federal court and was released on a $100,000 secured bond. He and Nicolo Denichilo, 38, of Jersey City, New Jersey, are each charged by complaint with one count of conspiring to smuggle contraband and to defraud the United States and one count of smuggling contraband into the federal prison at Fort Dix. Denichilo appeared in court March 13, 2020, following his arrest and was released on a $100,000 unsecured bond.
According to the documents filed in this case and statements made in court:
Special agents of the U.S. Department of Justice, Office of Inspector General (DOJ-OIG) obtained evidence of at least seven drone deliveries since July 2018 containing contraband meant for inmates at Fort Dix. Goolcharran used cell phones to coordinate the drops with others, including text messaging aerial shots of locations at Fort Dix to better position the drops and to discuss weather conditions. On the same day as a drone drop in April 2019, local police in the area conducted a vehicle stop on Denichilo and Goolcharran less than five miles from Fort Dix. On March 7, 2020, an individual fitting Goolcharran’s description and another individual were captured by a surveillance camera carrying and flying a drone from a launch spot located in the woods outside of Fort Dix. Law enforcement also obtained evidence of Goolcharran bringing multiple drones to a store for repairs, including a broken drone shortly after the March 7, 2020, drone flight.
On March 12, 2020, law enforcement agents, acting on information obtained by Fort Dix officials, approached Denichilo and another individual at a launch site near Fort Dix, minutes after Fort Dix officials had observed a drone flying over a housing unit at the prison. Both men fled, and Denichilo was apprehended hiding in a ditch near the launch site. Fort Dix officials also found an inmate in the area of the drone drop inside the prison in possession of 34 cell phones, nine chargers, 51 SIM cards and other telephone equipment. Agents also seized an SUV near the launch site outside of the prison that contained the drone in the backseat.
Contraband that has been seized by authorities pursuant to the intercepted drone drops into Fort Dix includes marijuana, steroids, more than 160 cell phones, 150 SIM cards, 74 cell phone batteries and chargers, 35 syringes and two metal saw blades. Denichilo’s fingerprint was obtained from a plastic bag recovered from one of the drone drops at Fort Dix. Goolcharran’s DNA was recovered from electrical tape found on the drone used in a July 2018 drop.
The conspiracy count carries a maximum penalty of five years in prison and maximum fine of $250,000 and the contraband smuggling count carries a maximum penalty of one year in prison and $100,000 fine.
U.S. Attorney Carpenito credited agents of the DOJ-OIG, New Jersey area office, under the direction of Special Agent in Charge Guido Modano, and its Cyber Investigations Office, under the direction of Special Agent in Charge Keith A. Bonanno; the U.S. Air Force Office of Special Investigations, Detachment 307, under the direction of Superintendent Jonathan Jackson; and the U.S. Department of Transportation – Office of Inspector General, Northeast Region, under the direction of Special Agent in Charge Douglas Shoemaker, with the investigation leading to the charges.
He also thanked Federal Bureau of Prisons personnel at Fort Dix, under the direction of Warden David Ortiz; special agents of the FBI, under the direction of Special Agent in Charge Gregory W. Ehrie; special agents of the U.S. Attorney’s Office, under the direction of Supervisory Special Agent Thomas J. Mahoney; and officers with the Pemberton Borough Police Department, under the direction of Chief Edward Hunter; the Pemberton Township Police Department, under the direction of Chief David Jantas; and Chesterfield Township Police Department, under the direction of Chief Kyle Wilson, for their assistance.
The government is represented by Assistant U.S. Attorneys Cari Fais and Jeffrey Manis of the Office’s Special Prosecutions Division in Newark.
The charges and allegations contained in the complaints are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
Long-Time Fugitive Arrested for Participation in Large-Scale Mortgage Fraud SchemeRead the Press Release
NEWARK, N.J. – A Brazilian national was arrested this morning for his role in a long-running mortgage fraud scheme based in New Jersey, U.S. Attorney Craig Carpenito announced.
Isaac DePaula, 40, of Brazil, was charged by complaint in 2012, indicted in 2016, and has been a fugitive. He returned via Newark Liberty International Airport this morning to face a four-count indictment charging him with conspiracy to commit bank fraud and three counts of bank fraud. DePaula made his initial appearance before U.S. Magistrate Judge James B. Clark III in Newark federal court and was released on his own recognizance.
According to documents filed in this and other cases and statements made in court:
From September 2006 to May 2008, DePaula and his conspirators engaged in a long-running, large-scale mortgage fraud conspiracy through a company called Premier Mortgage Services (PMS). The conspirators targeted properties in low-income areas of New Jersey. After recruiting straw buyers, the conspirators used a variety of fraudulent documents to make it appear as though the straw buyers possessed far more assets, and earned far more income, than they actually did. The conspirators then submitted these fraudulent documents as part of mortgage loan applications to financial institutions. Relying on these fraudulent documents, financial institutions provided mortgage loans for the targeted properties. The conspirators then split the proceeds from the mortgages among themselves and others by using fraudulent settlement statements (HUD-1), which hid the true sources and destinations of the mortgage funds provided by financial institutions. In reality, the straw buyers had no means of paying the mortgages on the properties, many of which entered into foreclosure proceedings.
DePaula was a loan officer at PMS and recruited straw buyers, provided false and fraudulent documents to the straw buyers, and incorporated false and fraudulent documents into loan applications to induce financial institutions to fund mortgage loans. The loan officers profited illegally by receiving a commission from PMS for each mortgage loan that they closed, and also profited illegally by diverting portions of the fraudulently obtained mortgage proceeds for themselves, often via shell corporations or nominee bank accounts.
DePaula faces a maximum potential penalty of 30 years in prison and a fine of $1 million per count. His co-defendant, Rodrigo Costa, remains at large. All of the remaining conspirators have previously pleaded guilty and been sentenced for their roles in the scheme.
U.S. Attorney Carpenito credited special agents of the FBI, under the direction of Special Agent in Charge Gregory W. Ehrie; special agents of the IRS, under the direction of Special Agent in Charge John R. Tafur; and special agents of the Federal Housing Finance Agency’s Office of the Inspector General, under the direction of Special Agent in Charge Robert Manchak, for the investigation leading to today’s arrest.
The government is represented by Assistant U.S. Attorneys Rahul Agarwal and Zach Intrater.
The charges and allegations contained in the indictment are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
Defense counsel: Joshua Cohn Esq., Saddle Brook, New Jersey
Two Hudson County Men Charged with Using Drones to Smuggle Contraband into Fort Dix Federal PrisonRead the Press Release
TRENTON, N.J. – Two Hudson County, New Jersey, men were charged today with conspiring to use drones to smuggle contraband, including marijuana, steroids, syringes, cell phones and cell phone equipment, into the federal correctional facility at Fort Dix, U.S. Attorney Craig Carpenito announced.
Nicolo Denichilo, 38, of Jersey City, New Jersey, and Adrian Goolcharran, a/k/a “Adrian Ajoda,” a/k/a “Adrian Ahoda,” 35, of Union City, New Jersey, were each charged by complaint with one count of conspiring to smuggle contraband and to defraud the United States and one count of smuggling contraband into the federal prison at Fort Dix. Denichilo was arrested March 12, 2020, after federal law enforcement agents learned of a scheduled drone drop at Fort Dix. He had his initial appearance this afternoon before U.S. Magistrate Judge Tonianne Bongiovanni in Trenton federal court and was released on $100,000 unsecured bond. Goolcharran remains at large.
According to the documents filed in this case and statements made in court:
Special agents of the U.S. Department of Justice, Office of Inspector General (DOJ-OIG) obtained evidence of at least seven drone deliveries since July 2018 containing contraband meant for inmates at Fort Dix. Goolcharran used cell phones to coordinate the drops with others, including text messaging aerial shots of locations at Fort Dix to better position the drops and to discuss weather conditions. On the same day as a drone drop in April 2019, local police in the area conducted a vehicle stop on Denichilo and Goolcharran less than five miles from Fort Dix. On March 7, 2020, an individual fitting Goolcharran’s description and another individual were captured by a surveillance camera carrying and flying a drone from a launch spot located in the woods outside of Fort Dix. Law enforcement also obtained evidence of Goolcharran bringing multiple drones to a store for repairs, including a broken drone shortly after the March 7, 2020, drone flight.
On March 12, 2020, law enforcement agents, acting on information obtained by Fort Dix officials, approached Denichilo and another individual at a launch site near Fort Dix, minutes after Fort Dix officials had observed a drone flying over a housing unit at the prison. Both men fled, and Denichilo was apprehended hiding in a ditch near the launch site. Fort Dix officials also found an inmate in the area of the drone drop inside the prison in possession of 34 cell phones, nine chargers, 51 SIM cards and other telephone equipment. Agents also seized an SUV near the launch site outside of the prison that contained the drone in the backseat.
Contraband that has been seized by authorities pursuant to the intercepted drone drops into Fort Dix includes marijuana, steroids, more than 160 cell phones, 150 SIM cards, 74 cell phone batteries and chargers, 35 syringes and two metal saw blades. Denichilo’s fingerprint was obtained from a plastic bag recovered from one of the drone drops at Fort Dix. Goolcharran’s DNA was recovered from electrical tape found on the drone used in a July 2018 drop.
The conspiracy count carries a maximum penalty of five years in prison and maximum fine of $250,000 and the contraband smuggling count carries a maximum penalty of one year in prison and $100,000 fine.
U.S. Attorney Carpenito credited agents of DOJ-OIG, New Jersey area office, under the direction of Special Agent in Charge Guido Modano, and its Cyber Investigations Office, under the direction of Special Agent in Charge Keith A. Bonanno; the U.S. Air Force Office of Special Investigations, Detachment 307, under the direction of Superintendent Jonathan Jackson; and the U.S. Department of Transportation – Office of Inspector General, Northeast Region, under the direction of Special Agent in Charge Douglas Shoemaker, with the investigation leading to the charges.
He also thanked Federal Bureau of Prisons personnel at Fort Dix, under the direction of Warden David Ortiz; special agents of the FBI, under the direction of Special Agent in Charge Gregory W. Ehrie; special agents of the U.S. Attorney’s Office, under the direction of Supervisory Special Agent Thomas J. Mahoney; and officers with the Pemberton Borough Police Department, under the direction of Chief Edward Hunter; the Pemberton Township Police Department, under the direction of Chief David Jantas; and Chesterfield Township Police Department, under the direction of Chief Kyle Wilson, for their assistance.
The government is represented by Assistant U.S. Attorneys Cari Fais and Jeffrey Manis of the Office’s Special Prosecutions Division in Newark.
The charges and allegations contained in the complaints are merely accusations, and the defendants are presumed innocent unless and until proven guilty.