Eastern District of New York
Press releases recorded for this federal judicial district.
Summer Camp Settles Claim That it Violated the Americans with Disabilities ActRead the Press Release
Joseph Nocella, Jr., United States Attorney for the Eastern District of New York, announced today a Settlement Agreement with Point O’ Pines Corporation to resolve allegations that its residential summer camp, Point O’ Pines Camp for Girls, located in Brant Lake, New York, violated Title III of the Americans with Disabilities Act (the ADA) by failing to offer a reasonable accommodation to a minor with a disability. The settlement will ensure equal access for campers with disabilities at Point O’Pines Camp for Girls under Title III of the ADA.
“Today’s settlement ensures that campers with disabilities will be reasonably accommodated so that they have the same opportunity to enjoy and participate in Point O’ Pines Camp for Girls as other campers. Our Office will continue to enforce the ADA and its protections against discrimination for people with disabilities,” stated United States Attorney Nocella.
The settlement agreement resolves an ADA complaint filed by the parents of a camper, a minor with Type 1 diabetes, to whom Point O’ Pines Camp for Girls failed to provide a reasonable accommodation for the summers of 2023 and 2024. The camper complained that Point O’Pines discharged her before the end of camp season because she has a disability. Under the terms of the settlement, Point O’ Pines Corporation has agreed to take appropriate steps to ensure evaluation of campers with disabilities on a case-by-case basis and make reasonable accommodations for them. Additionally, Point O’ Pines Camp for Girls will provide all of its employees and staff training regarding ADA compliance, and will identify and train relevant employees and staff on the specific disabilities of incoming campers.
Title III of the ADA prohibits discrimination against qualified individuals with disabilities on the basis of disability in the “services, programs, or activities of a public entity.” Point O’ Pines Camp for Girls is a place of public accommodation. To comply with Title III, public entities such as Point O’ Pines must ensure that individuals with disabilities have equal access to the goods, services, facilities, privileges, advantages, and accommodations of Point O’ Pines Camp for Girls. This includes making “reasonable modifications in policies, practices, or procedures when the modifications are necessary to avoid discrimination on the basis of disability, unless the public entity can demonstrate that making the modifications would fundamentally alter the nature of the service, program, or activity.”
The settlement is not an admission of wrongdoing by Point O’Pines.
This matter has been handled by Chief of Civil Rights Megan Freismuth, Assistant United States Attorney Anjna Kapoor, former Assistant United States Attorney Matthew Silverman, and Senior Auditor/Investigator Tisha Waite.
camp_settlement_press_release.pdfFlorida Firearms Parts Dealer Pleads Guilty to Exporting Weapons Components as Part of Russia-Based SchemeRead the Press Release
BROOKLYN, NY – Earlier today, in federal court in Brooklyn, Maxim Larin pleaded guilty to conspiracy to violate the Export Control Reform Act and attempting to violate the Arms Export Control Act in connection with his shipment of weapons parts and accessories to Kazakhstan. The proceeding was held before United States District Judge Nina R. Morrison. When sentenced, the defendant faces a maximum sentence of 40 years’ imprisonment. As part of his plea, the defendant agreed to forfeit $250,000 and dozens of weapons parts and accessories seized from his residence. Larin was arrested in Florida in August 2025.
Joseph Nocella, Jr., United States Attorney for the Eastern District of New York; John A. Eisenberg, Assistant Attorney General for the Justice Department’s National Security Division; Pete Gizas, Acting Special Agent in Charge, Homeland Security Investigations, New York (HSI New York); and David Peters, Assistant Secretary for Export Enforcement, U.S. Department of Commerce, Office of Export Enforcement (OEE), Bureau of Industry and Security, New York Field Office, announced the guilty plea.
“Motivated by greed, the defendant placed his own self-interest above the safety and security of our country and its allies by shipping export-controlled weapons parts to a volatile area of the world,” stated United States Attorney Nocella. “Today’s guilty plea should serve as a warning to all who seek to evade our nation’s export regulations for their own gain and for the benefit of our adversaries. Our Office and our law enforcement partners will vigorously investigate, prosecute, and hold to account those who compromise our national security.”
Mr. Nocella expressed his appreciation to the Department of Defense Criminal Investigative Service, HSI’s Miami Field Office, the United States Postal Service Office of Inspector General, and U.S. Customs and Border Protection for their valuable assistance.
“Maxim Larin knowingly weaponized his businesses to smuggle restricted firearms components and tactical equipment through a web of lies, false labels and undervalued shipments,” stated HSI New York Acting Special Agent in Charge Gizas. “This was a deliberate scheme to evade U.S. export laws and feed an illicit weapons pipeline connected to Russia’s war machine. His guilty plea makes clear that those who put profit over national security, disguise contraband as harmless goods and help arm hostile foreign networks will be exposed, prosecuted and punished to the fullest extent of the law. Together with our partners, HSI New York will continue to leverage our specialized authorities and global investigative reach to hold accountable those who attempt to undermine U.S. export controls and endanger national security.”
“Today's guilty plea highlights the Office of Export Enforcement's unwavering dedication to enforcing America's export control laws and holding accountable those who seek to evade them,” said Assistant Secretary for Export Enforcement Peters.
According to court documents, Larin is the owner of several U.S. based companies which deal in weapons parts and sensitive firearms accessories. Larin used his businesses to sell export-controlled weapons parts and accessories to his co-defendant based in Russia. The items Larin shipped to Kazakhstan were on the Commerce Control List (“CCL”) and designated as export restricted because their reshipment could be detrimental to U.S. foreign policy or national security.
As early as December 2022, Larin agreed with his Russia-based co-defendant to undervalue and mislabel the contents of the packages he was exporting. When asked by his co-defendant to falsely label the contents of a specific parcel, Larin replied “we can do that.” U.S. Customs and Border Protection records show the package was mislabeled and the value of its contents was listed as thousands of dollars less than its actual value. Larin also flagged for his co-defendant that certain items could be seized by U.S. authorities and suggested that items be repackaged to make them less conspicuous.
In approximately May 2023, Larin agreed with his co-defendant to ship semi-automatic enhanced triggers, hi-speed triggers, and charging handles to Kazakhstan. These items, which enhance the performance of firearms, were all included on the CCL and their export to Kazakhstan was prohibited. Larin suggested the items could be seized by U.S. authorities and agreed to falsely declare the contents of the package and its value. Rather than state that the parcel contained firearms parts, Larin listed its contents as a “light switch.”
In December 2023, Larin agreed to acquire a Raptar target acquisition device for his co-defendant. The Raptar is a firearms accessory which helps users acquire targets at long ranges. Given its obvious military application, the Raptar is included on the United States Munitions List, a list of items which cannot be exported from the United States without the approval of the Directorate of Defense Trade Controls, a unit within the U.S. Department of State. Larin obtained the Raptar device from another company and signed an agreement which specified that the item could not be shipped internationally. Although he knew about this prohibition, Larin shipped the Raptar to a co-conspirator in the United States who attempted to ship it to Kazakhstan in violation of U.S. export laws. The device was intercepted and seized by HSI in California.
The government’s case is being handled by the Office’s National Security and Cybercrime Section. Assistant United States Attorney Gilbert M. Rein is in charge of the prosecution, along with Trial Attorney Maria Fedor of the National Security Division’s Counterintelligence and Export Control Section, and with the assistance of Paralegal Specialist Magdalena St. Surin.
The Defendant:
MAXIM LARIN
Age: 44
Plantation, FloridaE.D.N.Y. Docket No. 25-CR-246 (NRM)
Arms Dealer Sentenced to Prison for Conspiring to Export American Made Ammunition Used in War Against UkraineRead the Press Release
Earlier today in federal court in Brooklyn, Italian national Manfred Gruber was sentenced by United States District Judge Hector Gonzalez to 18 months in prison for conspiracy to commit export control violations. Gruber pleaded guilty to the charge on March 30, 2026.
Joseph Nocella, Jr., United States Attorney for the Eastern District of New York; John A. Eisenberg, Assistant Attorney General of the Justice Department’s National Security Division; James C. Barnacle, Jr., Assistant Director in Charge, Federal Bureau of Investigation, New York Field Office (FBI); and David Peters, Assistant Secretary for Export Enforcement, U.S. Department of Commerce (DOC), announced the charges.
“The defendant was held accountable for his scheme to send military‑grade ammunition to Kyrgyzstan before reexporting the ammunition to Russia to support its war effort,” stated United States Attorney Nocella. “Today’s sentencing reaffirms that people who illegally divert weapons will be brought to justice.”
“Manfred Gruber's guilty plea reflects our unwavering commitment to enforcing U.S. export-control laws and protecting national security. His actions undermined federal regulations designed to safeguard our defense materials, and this outcome demonstrates that violations of these laws will be addressed with the utmost seriousness,” stated FBI Assistant Director in Charge Barnacle.
As set forth in court filings, the defendant was the Director of Sales for Italian Company-1, a large wholesale distributor of firearms and ammunition. The defendant served as a key member of an international procurement network for Russia during its war against Ukraine, purchasing ammunition from the United States and reexporting it to Kyrgyzstan in violation of DOC licenses issued to Italian Company-1, which required that the ammunition stay in Italy. The defendant did not apply for, obtain, or possess a license to export or reexport ammunition to Kyrgyzstan.
The defendant illegally exported ammunition worth over $540,000 from the United States to Kyrgyzstan, via companies that the defendant and his co-conspirator controlled in Italy. After reaching Kyrgyzstan, most of this ammunition was subsequently reexported to Russia.
In one example of the defendant’s illegal transactions, U.S. Company-1, headquartered in Nebraska, had a license to lawfully export ammunition to Italian Company-1, but the ammunition could not be reexported out of Italy. In violation of the license, the defendant, using a cutout company, Italian Company‑2, reexported U.S. Company-1 ammunition to Sergei Zharnovnikov, an arms dealer from Kyrgyzstan who has since pleaded guilty to conspiracy to violate export controls by sending U.S.-made firearms and ammunition to Russia. A contract found on Zharnovnikov’s phone indicated that he had contracted with a Russian company for ammunition manufactured by U.S. Company-1. Zharnovnikov was sentenced to 39 months’ imprisonment earlier this year. See United States v. Zharnovnikov, 25‑cr‑45 (HG).
In addition, U.S. Company-2, headquartered in Tennessee, had a license to lawfully export ammunition to Italian Company‑1, but the ammunition could not be reexported out of Italy. The defendant exported the ammunition from U.S. Company-2 to Italy, and then reexported the U.S. Company-2 ammunition from Italy to Kyrgyzstan.
The defendant was aware that U.S. law prohibited the reexport of U.S. ammunition without further licenses, which he did not obtain. To help the unlawful export scheme succeed, the defendant took steps to disguise the true destination of the ammunition. For example, in encrypted messages on or about September 23, 2023, the defendant and a co-conspirator discussed splitting up a shipment of 100,000 bullets. In the defendant’s words, this was necessary “so it goes unnoticed” by “FBI.”
The government’s case is being handled by the Office’s National Security and Cybercrime Section. Assistant United States Attorneys Ellen H. Sise, Tara B. McGrath, and Adam Amir are in charge of the prosecution, along with Trial Attorney Leslie Esbrook of the National Security Division’s Counterintelligence and Export Control Section, with assistance from Paralegal Specialist Jessica Spindler.
The Defendant:
MANFRED GRUBER
Age: 61
Ora, ItalyE.D.N.Y. Docket No. 26-CR-61 (HG)
Candidate for New York City Public Advocate Pleads Guilty to Wire FraudRead the Press Release
Earlier today in federal court in Brooklyn, Angela Aquino, a 2025 candidate for New York City Public Advocate, pleaded guilty to wire fraud in connection with her scheme to defraud New York City’s campaign finance system to obtain public matching funds. The proceeding was held before United States Magistrate Judge Vera Scanlon. When sentenced, Aquino faces a sentence of up to 20 years in prison.
Joseph Nocella, Jr., United States Attorney for the Eastern District of New York; Nadia I. Shihata, Commissioner, New York City Department of Investigation (DOI); and James C. Barnacle, Jr., Assistant Director in Charge, Federal Bureau of Investigation, New York Field Office (FBI), announced the guilty plea.
“The defendant, a former candidate for city office, admitted today that she attempted to defraud New York City of $1 million in public funds,” stated United States Attorney Nocella. “Her brazen efforts threaten the integrity of our local democratic processes.”
“New Yorkers deserve a baseline of integrity from candidates running for public office, an attribute this defendant – through her actions – demonstrated she clearly lacked,” stated DOI Commissioner Shihata. “As a candidate for NYC Public Advocate, this defendant attempted to fraudulently obtain $1 million in public matching funds by obscuring the true source of the funds flowing into her campaign committee’s bank account. The defendant also used some of her campaign funds to pay her personal expenses, including rent for her apartment. New York City’s Matching Funds Program is supported by taxpayer dollars, and those who seek these funds must follow the law. I thank the U.S. Attorney’s Office for the Eastern District of New York and the New York Office of the FBI for their partnership in protecting the integrity of our campaign finance system.”
“Angela Aquino's attempt to defraud the City of New York is disgraceful and unacceptable. Any theft of taxpayer money will be fully investigated and prosecuted. In support of the Vice President's Fraud Task Force, FBI New York will continue to work diligently to protect the public from fraud in all forms,” stated FBI Assistant Director in Charge Barnacle.
New York City’s Matching Funds Program
The New York City Campaign Finance Board (CFB) offers a voluntary public-financing program matching small-dollar contributions from New York City residents to candidates for city office. To be eligible for matching funds, candidates must meet a two-part fundraising threshold: first, they must collect a minimum number of contributions of $10 or more; and, second, they must raise a minimum amount of qualifying contributions from residents of New York City. To be eligible for the matching funds program, a candidate for Public Advocate must have raised at least $125,000 from at least 500 qualifying contributors. In addition, cash contributions are capped at $100 per contributor for purposes of qualifying for matching funds.
For a candidate to apply cash contributions toward the threshold necessary to become eligible for public matching funds, a candidate’s authorized committee was required to submit contribution cards to the CFB that listed, among other information, each contributor’s name, residential address, employer, and occupation, as well as the date and amount of contribution. The contribution cards also had to be signed by the contributors.
Candidates were prohibited from giving false information to the CFB. Candidates were also prohibited from using public matching funds for purposes that were illegal, improper, or not in furtherance of the candidate’s nomination or election. Violation of these prohibitions would render the candidate ineligible to receive public matching funds.
Once a candidate met the eligibility requirements to join the program, the CFB would provide the campaign with public funds at a matching rate of $8 to $1. In other words, if a candidate raised $125,000 toward the fundraising threshold, the CFB would provide that candidate with $1 million in public matching funds.
The Fraudulent Scheme
Aquino engaged in a scheme to obtain $1 million in public matching funds, knowing that her campaign committee was not entitled to such funds. In particular, she took numerous steps artificially to inflate the deposits into her campaign committee’s bank account to make it appear that the committee had met the $125,000 threshold for public funds. In fact, very little of the deposits were eligible contributions from New Yorkers.
In the first months of 2025, Aquino’s personal bank account received more than $130,000 that originated from the Philippines. Of this amount, at least $34,000 was a loan to Aquino from a contact there. Aquino, with others, repeatedly withdrew funds from her personal bank account in cash and deposited cash into her campaign committee’s bank account. These contributions were then identified to the CFB as contributions from residents of New York City that were eligible for public matching funds. Contribution cards submitted in support of these supposed contributions, which purported to identify the contributors and included their personal identifying information and their signatures, were falsified.
Aquino cycled funds out of, and back into, the campaign committee’s bank account, sometimes using bank accounts of friends and associates as intermediary accounts to obscure the true source of the funds. The purpose of cycling the funds in this way was to make the total amount of deposits into the campaign committee’s account appear higher, such that the total contributions would appear to meet the CFB’s threshold.
Aquino used funds from the campaign committee account to pay for her personal expenses, including the rent for her apartment, while falsely reporting to the CFB that the payments were for legitimate campaign expenses. Aquino also lied to federal agents concerning her relationship with the recipients of some of these expenditures. For example, Aquino told federal agents that her landlords helped with petitions and with campaigning, justifying the campaign’s payments to them. In fact, Aquino’s landlords had nothing to do with her campaign.
The government’s case is being handled by the Office’s Public Integrity Section. Assistant United States Attorneys Laura Zuckerwise and Sean Sherman are in charge of the prosecution with assistance from Paralegal Specialist Melissa Bennett.
The Defendant:
ANGELA AQUINO
Age: 47
New York, New YorkE.D.N.Y. Docket No. 26-CR-231 (MKB)
Baltimore Man Sentenced to 27 Years in Prison for Murder During a Violent Drug-Related Robbery in QueensRead the Press Release
Earlier today, in federal court in Brooklyn, Marcus Pittman, also known as “Nacho” and “Cheese,” was sentenced by United States District Judge Kiyo A. Matsumoto to 27 years in prison for causing death through use of a firearm, in connection with his participation in an armed robbery and kidnapping of two marijuana dealers in Queens, New York, during which Marcus Pittman murdered one of the dealers. Marcus Pittman pleaded guilty to the charge in December 2025.
Joseph Nocella, Jr., United States Attorney for the Eastern District of New York; James C. Barnacle, Jr., Assistant Director in Charge, Federal Bureau of Investigation, New York Field Office (FBI); and Jessica S. Tisch, Commissioner, New York City Police Department (NYPD), announced the sentence.
“Today, the defendant was held accountable for an execution-style, drug-related killing that he carried out in our community,” stated United States Attorney Nocella. “Marcus Pittman was the trigger man of a robbery crew that traveled to our district for the purpose of kidnapping and robbing marijuana dealers. His sentence affirms that gun violence will be severely punished.”
“Marcus Pittman's drug-related violence took a life, and this kind of criminal conduct will never be tolerated,” stated FBI Assistant Director in Charge Barnacle. “The FBI is resolute in pursuing those responsible for this type of harm in our communities. We will continue to dismantle the networks that fuel this brutality and ensure individuals who commit these acts are brought to justice.”
“As the defendants’ pleas confirm, Marcus Pittman and his co-defendants traveled across state lines to carry out a violent robbery, kidnapped two marijuana dealers, and murdered one of them in cold blood,” stated NYPD Commissioner Tisch. “Today’s sentencing is yet another reminder that the NYPD will continue to find, stop, and hold accountable those who drive violence in our city. I thank our investigators and law enforcement partners at the FBI and the U.S. Attorney’s Office for the Eastern District of New York for their diligent work on this case."
As set forth in the government’s sentencing memorandum, prior court filings, and statements during the sentencing, during the night of July 24, 2024 and into July 25, 2024, Marcus Pittman and his co-defendants carried out a violent armed robbery and kidnapping plot that resulted in the defendant shooting and killing John Doe #1 inside of a U-Haul van in Bayside, Queens. Marcus Pittman and his co-defendants drove from Maryland to New York City for the purpose of robbing John Doe #1 and John Doe #2, who were both drug dealers. Once in New York, co-defendants Jerome Waters and William Barnett met with John Doe #1 and John Doe #2 at a stash house in Queens under the guise of purchasing marijuana.
Moments later, Waters and Barnett pulled out their weapons and held up John Doe #1 and John Doe #2. They brought Marcus Pittman and his brother Delonta Pittman into the stash house to assist in the robbery and kidnapping. While in the stash house, Marcus Pittman and his co-defendants restrained John Doe #1 and John Doe #2 with zip ties and forced them outside and into the back of a Jeep and a U-Haul van. At the same time, Marcus Pittman and his co-defendants stole approximately 30 pounds of marijuana from the stash house.
Marcus Pittman’s co-defendants drove John Doe #1 and John Doe #2, who were still restrained, through Queens at gunpoint, demanding drugs and money. Co-defendant Jalon Garrett held a gun to John Doe #2 in one vehicle while Marcus Pittman held John Doe #1 at gunpoint in the back of a U-Haul van. Soon thereafter, while in the Bayside section of Queens, Marcus Pittman and John Doe #1 fought in the in the rear compartment of the U-Haul van. Marcus Pittman shot the victim multiple times, killing him. After the shooting, the defendants returned to Maryland. When John Doe #1’s body was later found by first responders, he still had a zip tie binding one of his hands and was surrounded by bags of marijuana.
For their roles in the crime, Delonta Pittman was sentenced to 180 months’ imprisonment; Waters to 240 months’ imprisonment; and Garrett to 156 months’ imprisonment. Barnett is awaiting sentencing.
This case was brought as part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. As part of the program, U.S. Attorneys’ Offices work in partnership with federal, state, local and tribal law enforcement and their local communities to develop effective, locally based strategies to reduce violent crime.
The government’s case is being handled by the Office’s International Narcotics and Money Laundering Section. Assistant United States Attorneys Adam Amir and Chand Edwards-Balfour are in charge of the prosecution.
Defendant:
MARCUS PITTMAN (also known as “Nacho” and “Cheese”)
Age: 31
Baltimore, MarylandAdditional Defendants:
DELONTA PITTMAN (also known as “D Lo”)
Age: 32
Baltimore, MarylandJEROME WATERS (also known as “the Engineer” and “Rome”)
Age: 24
Baltimore, MarylandWILLIAM BARNETT
Age: 28
Baltimore, MarylandJALON LENNY GARRETT
Age: 21
Baltimore, MarylandE.D.N.Y. Docket No. 24-CR-413 (S-2) (KAM)
Bloods Gang Leader Pleads Guilty to Racketeering, Including Murder on Long IslandRead the Press Release
Earlier today, in federal court in Central Islip, Dwayne Murray, also known as “Wayno,” a leader in the Almighty Gorilla Stone Nation set of the Bloods street gang (GSB), pleaded guilty to racketeering charges in connection with his participation in the June 12, 2020 murder of Wayne Cherry, as well as conspiracy to distribute controlled substances, and conspiracy to murder rival gang members. The proceeding was held before United States Magistrate Judge Steven L. Tiscione. When sentenced, Murray faces a mandatory minimum sentence of 10 years’ imprisonment and up to life in prison.
Joseph Nocella, Jr., United States Attorney for the Eastern District of New York; James C. Barnacle, Jr., Assistant Director in Charge, Federal Bureau of Investigation, New York Field Office (FBI); Bryan DiGirolamo, Special Agent in Charge, Bureau of Alcohol, Tobacco, Firearms and Explosives, New York Field Division (ATF New York); Raymond A. Tierney, District Attorney, Suffolk County District Attorney’s Office (SCDAO); and Kevin Catalina, Police Commissioner, Suffolk County Police Department (SCPD), announced the guilty plea.
“Today’s guilty plea is another victory in the relentless work by our Office and our law enforcement partners to dismantle and eradicate the Bloods street gang on Long Island,” stated United States Attorney Nocella. “For the acts of murder, violence and narcotics trafficking this defendant committed, he has now been held accountable and our communities, particularly Suffolk County, will be safer with him locked away in prison for a substantial period of time.”
“For years, Dwayne Murray wreaked havoc across Long Island, putting innocent residents in the crosshairs of drug trafficking and retaliatory murders. May today’s plea emphasize the FBI Safe Streets Task Force’s determination to eliminate the plague of gang violence in our communities to protect New Yorkers,” stated FBI Assistant Director in Charge Barnacle.
“This guilty plea holds a violent gang leader accountable for years of criminal activity that brought violence, drugs, and fear into our communities. His admitted involvement in murder, narcotics trafficking, and a conspiracy to kill rival gang members underscores the devastating impact violent criminal organizations can have on the communities they operate in. ATF remains committed to working alongside our law enforcement partners to identify, disrupt, and dismantle the individuals and organizations driving violent crime,” stated ATF New York Special Agent in Charge DiGiralamo. “I commend the dedicated efforts of the ATF Joint Firearms Task Force–Long Island, FBI, Suffolk County Police Department, Suffolk County District Attorney’s Office, and the U.S. Attorney’s Office for the Eastern District of New York in bringing this case to a successful resolution.”
“This defendant, a leader of the Almighty Gorilla Stone Nation gang, has admitted to committing a robbery and murder in 2020, conspiring for years to distribute deadly drugs, and trafficking more than five kilograms of cocaine during his reign of terror in this county,” stated Suffolk County District Attorney Tierney. “Our federal and local partners—like my office—remain relentless in dismantling violent gangs and bringing gang members to justice. I thank the U.S. Attorney for the Eastern District of New York, the FBI, ATF, and the SCPD and their investigators for their commitment to this case.”
“This plea is another step toward ensuring our communities remain safe and that those responsible for these vicious acts are held accountable,” stated SCPD Commissioner Catalina. “Reckless violence and narcotics trafficking have real consequences for individuals, families and our communities. We will continue working closely with our law enforcement partners to hold those responsible accountable and help keep Suffolk County safe.”
According to court filings and statements by Murray at the guilty plea proceeding, he participated in the robbery and murder on June 12, 2020 of Wayne Cherry in Baywood, New York, who was shot twice including once in the head. In addition, Murray acknowledged his roles in the GSB which included a years’ long conspiracy to distribute narcotics, and a standing order to kill rival members of the GSB. Murray also described his years-long trafficking of more than five kilograms of cocaine.
As alleged, the GSB and its co-conspirators, including Murray, also operated a sophisticated firearms trafficking network that spanned several states, and committed extensive fraud, stealing more than $1,000,000.
The government’s case is being handled by the Criminal Section of the Office’s Long Island Division. Assistant United States Attorneys Mark E. Misorek and Andrew P. Wenzel are in charge of the prosecution.
The Defendant:
DWAYNE MURRAY (also known as “Wayno”)
Age: 36
Coram, New YorkE.D.N.Y. Docket No. 22-CR-401 (S-3) (JMA)
Two Convicted Felons Charged with Possession of Ammunition in Connection with Broad Daylight Shooting in BrooklynRead the Press Release
Earlier today, at the federal courthouse in Brooklyn, a criminal complaint was unsealed charging Jonathan Arboleda and Wilson Martinez with being felons in possession of ammunition relating to a July 21, 2026 gunfight in the East New York section of Brooklyn. Martinez was arrested yesterday and will make his initial appearance this afternoon before United States Magistrate Judge Peggy Kuo. Arboleda is currently in state custody at Rikers Island and will be arraigned at a later date.
Joseph Nocella, Jr., United States Attorney for the Eastern District of New York; James C. Barnacle, Jr., Assistant Director in Charge, Federal Bureau of Investigation, New York Field Office (FBI); and Jessica S. Tisch, Commissioner, New York City Police Department (NYPD), announced the arrests and charges.
“As alleged, these defendants are convicted felons who engaged in a dangerous gunfight in a Brooklyn bodega in broad daylight, endangering the lives of numerous citizens,” said United States Attorney Nocella. “Both defendants have multiple prior felony convictions. Despite repeated encounters with our criminal justice system, each defendant chose to return to the streets to engage in a brazen act of violence. Today’s arrests demonstrate our continued commitment to working with our law enforcement partners to combat gun violence and hold accountable those who illegally possess firearms and ammunition and endanger our communities.”
“The shootout at the Brooklyn bodega was a blatant act of violence allegedly carried out by two convicted felons whose actions created an immediate and unacceptable threat to the community. This kind of violent criminal behavior is exactly why the FBI remains firmly committed to removing dangerous offenders from our streets and protecting the American public,” stated FBI Assistant Director in Charge Barnacle.
“As alleged in the complaint, Jonathan Arboleda and Wilson Martinez recklessly put countless lives at risk when they opened fire on each other in broad daylight inside a Brooklyn bodega,” stated NYPD Commissioner Tisch. “The NYPD remains focused on working with our law enforcement partners to go after guns and hold the perpetrators of gun violence accountable. I thank the U.S. Attorney’s Office for the Eastern District of New York and our NYPD officers for their diligent work to take these criminals off our streets.”
As alleged in the criminal complaint and other court filings, on July 21, 2026, at approximately 1:30pm, Martinez entered a bodega store in East New York and immediately pulled out a firearm and started shooting at Arboleda from close range. Surveillance video footage shows Martinez pulling a gun from his waistband and opening fire while bodega employees were within feet of him and in the line of fire of his 9mm bullets. Arboleda then fired shots back at Martinez from the back area of the bodega and ran into the middle of a crowded street while raising his firearm and pointing it at Martinez’s car as it drove away. Arboleda was apprehended at the scene bleeding from gunshot wounds to his right arm and abdomen.
Law enforcement recovered multiple spent shell casings and a live round of ammunition on the floor of the bodega. Both defendants have prior felony convictions that prohibit them from possessing firearms or ammunition.
The charges in the complaint are allegations, and the defendants are presumed innocent unless and until proven guilty. If convicted, each defendant faces up to 15 years in prison.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. As part of the program, U.S. Attorney’s Offices work in partnership with federal, state, local, and tribal law enforcement and their local communities to develop effective, locally based strategies to reduce violent crime.
The government’s case is being handled by the Office’s General Crimes Section. Assistant United States Attorney Andrew Stamboulidis is in charge of the prosecution.
The Defendants:
JONATHAN ARBOLEDA
Age: 30
Brooklyn, New YorkWILSON MARTINEZ
Age: 41
Brooklyn, New YorkE.D.N.Y. Docket No. 26-MJ-153
Bloods Member Sentenced to 27 Years in Prison for Gang-Related Shooting at Hamptons House Party and for Selling Fentanyl that Resulted in Death and Serious Bodily InjuryRead the Press Release
Earlier today, in federal court in Central Islip, Bloods member Joshua Crowell, also known as “Twiggy,” was sentenced by United States District Judge Gary R. Brown to 27 years in prison for assault in aid of racketeering and distribution of fentanyl that resulted in a death. Crowell pleaded guilty to these charges in October 2025.
Joseph Nocella, Jr., United States Attorney for the Eastern District of New York; Raymond A. Tierney, District Attorney, Suffolk County District Attorney’s Office (SCDAO); Pete Gizas, Acting Special Agent in Charge, Department of Homeland Security, Homeland Security Investigations (HSI); and Kevin Catalina, Commissioner, Suffolk County Police Department (SCPD), announced the sentence.
“Joshua Crowell committed acts of violence and sold lethal drugs on behalf of an extremely violent street gang,” stated United States Attorney Nocella. “His criminal conduct left three people wounded by gunfire, claimed one life through a fatal overdose, and caused two others to suffer overdose-related injuries. Today’s sentence sends a clear and powerful message that those who terrorize our communities with gang violence and deadly drugs will be held fully accountable for the devastation they cause.”
“This defendant unleashed gunfire into a crowded Hamptons house party — wounding innocent people — and trafficked fentanyl that caused a fatal overdose and left others fighting for their lives,” stated HSI Acting Special Agent in Charge Gizas. “Today’s sentence reflects the severe consequences of Joshua Crowell’s violent and deadly conduct. These crimes inflicted profound harm on victims, families, and the Long Island community. HSI New York, standing alongside our law enforcement partners, will not allow violent gangs to turn Long Island neighborhoods into battlegrounds or marketplaces for lethal drugs.”
"Crowell's actions display a selfish, blatant disregard for the safety of others," stated Suffolk County Police Commissioner Catalina. "He prioritized financial gain by peddling deadly drugs and prioritized gang status over the safety of dozens of individuals. It is my hope this sentence sends a message to others who put their greed above the well-being of the public."
“This Bloodhound Brims defendant along with another gang member and an associate indiscriminately fired with pistols and an assault rifle at partygoers in Southhampton. Amazingly, despite three people being hit, no one was killed. This could easily have been a mass murder,” stated Suffolk County District Attorney Tierney. “I thank our federal and local partners for working together to make sure that this defendant was held responsible for that violence, as well as the destruction wrought by the poison sold and multiple overdose deaths caused by this defendant. Suffolk County has no place for those who would terrorize our communities. Today’s sentence delivers accountability and sends a clear message that we will use every available tool to bring violent criminals to justice.”
As set forth in the government’s sentencing memorandum and other court filings, the defendant was an avowed member of the Bloodhound Brims set of the Bloods street gang who openly embraced and promoted his affiliation, including through social media posts. In furtherance of the gang’s criminal activities, he engaged in acts of violence and sold lethal drugs. In March 2021, Crowell, along with another member and an associate of the Bloods, traveled to a party hosted by rival gang members at a rental home in Southampton, New York. Upon arrival, they unleashed a barrage of nearly 50 rounds into the residence using two pistols and an AK-47 style assault rifle. Three partygoers were struck by gunfire and injured, though all ultimately survived.
Additionally, Crowell and several co-conspirators operated a drug trafficking network that for years sold fentanyl, heroin, and cocaine. His fentanyl sales had devastating consequences. At least three individuals overdosed after purchasing fentanyl from Crowell, including one victim who died after using the deadly drug he supplied.
The government’s case is being handled by the Criminal Section of the Office’s Long Island Division. Assistant United States Attorney James R. Simmons and Special Assistant United States Attorney Donald N. Barclay are in charge of the prosecution, with the assistance of Paralegal Specialists Samantha Schroder and Adam Bernard and Legal Assistant Danielle Rompel.
The Defendant:
JOSHUA CROWELL (also known as “Twiggy”)
Age: 32
Huntington, New YorkE.D.N.Y. Docket No. 24-CR-257 (S-1) (GRB)
Queens Accountant Indicted for Multiple Real Estate Investment Fraud Schemes and Federal Bankruptcy FraudRead the Press Release
Earlier today, in federal court in Central Islip, an indictment was unsealed charging Alberto Gomez, an accountant with a practice in Elmhurst, New York, with wire fraud and bankruptcy fraud in connection with multiple real estate investment fraud schemes. Those schemes included soliciting and obtaining investments for the purchase of property he purported to own but did not, and for investments of more than 100% ownership interest in properties across Long Island, resulting in losses to over a dozen victims in excess of $3 million. Gomez then fraudulently filed for bankruptcy in the United States Bankruptcy Court for the Eastern District of New York in an attempt to discharge his debts. Gomez was arrested this morning in Boca Raton, Florida, and will be arraigned in the Eastern District of New York at a later date.
Joseph Nocella, Jr., United States Attorney for the Eastern District of New York and James C. Barnacle, Jr., Assistant Director in Charge, Federal Bureau of Investigation, New York Field Office (FBI) announced the arrest and charges.
“As alleged in the indictment, Gomez brazenly stole millions of dollars from over a dozen investors, some of whom staked their life’s savings on his lies, and then he shamelessly declared bankruptcy, doubling down by lying to the court as well,” stated United States Attorney Nocella. “Our Office will vigorously prosecute serial fraudsters like Gomez.”
Mr. Nocella expressed his appreciation to the FBI Miami Office/West Palm Beach Resident Agency for their assistance with today’s arrest.
“Alberto Gomez allegedly orchestrated multiple real estate investment fraud schemes by misrepresenting property ownership, soliciting investments for properties he did not control, and collecting funds exceeding the value of real-estate on Long Island. These schemes caused more than $3 million in losses to over a dozen victims. The FBI will continue working alongside our partners at the U.S. Attorney's Office to pursue those who defraud investors and abuse the integrity of our financial systems,” stated FBI Assistant Director in Charge Barnacle.
As set forth in the indictment, from approximately April 2021 through November 2024, Gomez, who operated an accounting practice in Elmhurst, solicited real estate investors to purchase, in whole or in part, various properties in New York. Gomez promised exclusive ownership or partnership in these properties, or sought funding for renovations and capital improvements necessary to flip the properties for profit. One such property was located in Mount Vernon, and was the sole asset of a domestic limited liability company for which Gomez had filed Articles of Organization, but in which he himself had no ownership or managerial interest. Nevertheless, Gomez negotiated and executed ownership, purchase and partnership agreements with multiple investors, resulting in the effective sale of 266% of the ownership interest in that property. Approximately one year later, Gomez filed for bankruptcy in an attempt to discharge the debts he owed to these investors. In that filing, he falsely concealed his largest creditor and led the bankruptcy Trustee to believe that he owned the domestic limited liability company and its property.
Gomez similarly solicited investors, many of whom were elderly, in properties across Long Island. After executing multiple fraudulent joint venture or partnership agreements, Gomez sold 125% ownership interest in a property located in Mill Neck, and 130% ownership interest in a property located in East Hampton. Gomez also solicited investments in properties located in Glen Cove, Elmont and Bayville with promises to rehabilitate the properties and thereby garner higher resale value. No renovations or improvements were done to these properties; rather, Gomez used the investors’ funds to pay personal expenses and to pay back other investors.
The charges in the indictment are allegations and the defendant is presumed innocent unless and until proven guilty. If convicted, Gomez faces up to 20 years’ imprisonment on each of the four wire fraud counts, and up to five years’ imprisonment on the bankruptcy fraud count.
On April 7, the Department of Justice announced the creation of the National Fraud Enforcement Division (Fraud Division). The Fraud Division is focused on investigating and prosecuting those who commit fraud against the American people. In June 2019, the Attorney General announced the establishment of the Transnational Elder Fraud Strike Force. The Eastern District of New York was one of six U.S. Attorneys’ Offices to be selected to be a part of this joint law enforcement effort that brings together the resources and expertise of the Department of Justice’s Consumer Protection Branch, the FBI, the U.S. Postal Inspection Service, and other organizations. If you or someone you know is a victim of elder fraud, please call the Department of Justice’s National Elder Fraud Hotline at 833–FRAUD–11 (833–372–8311).
The government’s case is being handled by the Criminal Section of the Office’s Long Island Division. Assistant United States Attorney Charles P. Kelly is in charge of the prosecution, with the assistance of Paralegal Specialist Samantha Schroder and Victim Witness Specialist Stephanie Marroquin.
The Defendant:
ALBERTO GOMEZ (also known as “Alberto L. Gomez”)
Age: 48
Boca Raton, FloridaE.D.N.Y. Docket No. 26-227 (JMA)
Former Goldman Sachs Investment Banker Convicted of Foreign Bribery and Money LaunderingRead the Press Release
BROOKLYN, NY – Asante Kwaku Berko, a dual citizen of the United States and Ghana, was convicted today by a federal jury in Brooklyn on all counts of an indictment charging conspiracy to violate the Foreign Corrupt Practices Act (FCPA), violating the FCPA, and money laundering conspiracy for paying bribes to Ghanaian government officials in connection with the development of a power plant in Ghana. The verdict followed a nine-day trial before United States District Judge Diane Gujarati. When sentenced, Berko faces up to 30 years in prison. Berko was ordered remanded pending sentencing.
Joseph Nocella, Jr., United States Attorney for the Eastern District of New York, A. Tysen Duva, Assistant Attorney General of the Justice Department’s Criminal Division, and James C. Barnacle, Jr., Assistant Director in Charge, Federal Bureau of Investigation, New York Field Office, announced the verdict.
“Today’s verdict marks another significant victory in this Office’s longstanding commitment to rooting out corruption,” stated United States Attorney Nocella. “The defendant abused his access to high-level foreign government officials and his platform as an investment banker at a prestigious American firm to line his own pockets with millions of dollars.”
“We live in a global economy that American companies must be able to compete in fairly,” said Assistant Attorney General Duva of the Justice Department’s Criminal Division. “This defendant corrupted that fair competition. He abused his position at a world-renowned American investment bank by helping bribe Ghanaian officials, so he and his co-conspirators, including senior executives at a Turkish company, could make money. Today’s conviction makes clear that criminals who undermine our country’s interests by corrupting foreign governments and cutting off fair competition will face the full force of the Department of Justice.”
“Today’s verdict highlights the importance of domestic and international partnerships, and the magnitude of success that working together creates. The FBI is thankful for the assistance from the Department of Justice and the United Kingdom – specifically to the Office of International Affairs, U.S. Marshals Service, and INTERPOL – in pursuing justice to protect our country’s financial integrity,” stated FBI Assistant Director in Charge Barnacle.
U.S. Attorney Nocella also expressed his appreciation to the Government of the United Kingdom, the U.K. National Centre Bureau for INTERPOL, the Embassy of the United States in London, the Department’s Office of International Affairs and the U.S. Marshals Service for providing substantial assistance in securing the arrest and extradition of the defendant.
As proved at trial, Berko conspired to pay more than $1 million in bribes to multiple Ghanian government officials in connection with the development and financing of a power plant estimated to generate hundreds of millions of dollars in profits.
Beginning in December 2014, Berko, a former Executive Director in the Investment Banking Division at Goldman Sachs group, was responsible for securing and managing a deal between the Republic of Ghana and Aksa Enerji Uretim A.S. (Aksa), a Turkish energy company and Goldman client, for the construction and financing of a power plant in Ghana amidst a national energy crisis in the country.
During the scheme, Berko and his co-conspirators paid and conspired to pay bribes to individuals at numerous levels of the Ghanaian government to ensure that Aksa won its bid to build and operate the power plant. For example, in April 2015, Berko and the conspirators discussed paying $1 million to the Ghanaian Minister of Power who was responsible for securing key approvals enabling the project to progress and $250,000 to his senior adviser. Bribes were also paid to five Ghanaian officials during an all-expenses-paid trip to Turkey to view equipment for the power plant. After the power plant deal was ratified by the Ghanaian parliament in July 2015, Berko and his co-conspirators exchanged detailed emails regarding bribe payments. For example, in August 2015, they discussed $250,000 in bribe payments paid to various individuals, including $46,000 to members of the Ghanaian Parliament, which ratified the agreement between Aksa and the government of Ghana, paid by Berko himself. Also in August 2015, the co-conspirators discussed how a bribe recipient was waiting for the “holy rain” (i.e., the bribe payment) and “would appreciate it sooner rather than later.”
To conceal the scheme from Goldman and others, Berko lied to the compliance team at Goldman that was responsible for vetting the deal. Berko also used his personal email account, instead of his Goldman business email account, to discuss the deal and the bribe payments and directed his co-conspirators to do the same. In addition, Berko and his co-conspirators concealed and laundered the bribe payments using shell companies, sham invoices, nominee account holders and cash withdrawals. Payments in furtherance of the bribery scheme were laundered through U.S. and foreign bank accounts. Goldman ultimately withdrew from the deal due to corruption concerns.
The government’s case is being handled by the Business and Securities Fraud Section of the United States Attorney’s Office for the Eastern District of New York and the Criminal Division’s Fraud Section. Assistant United States Attorneys Jessica Weigel, Nick M. Axelrod and Tara McGrath are prosecuting the case with Assistant Chief Katherine Raut and Senior Trial Attorney Katherine Nielsen, and with assistance from Paralegal Specialists Melina Piatti-Chayan, Isha Jayadev and Teresa Dolan.
The Defendant:
ASANTE KWAKU BERKO
Age: 52
United Kingdom / GhanaE.D.N.Y. Docket No. 20-CR-328 (DG)
Former Banker Convicted for Scheme to Bribe Ghanaian OfficialsRead the Press Release
Today, a federal jury convicted a dual U.S.-Ghanaian citizen for his role in a scheme to bribe Ghanaian officials in connection with the development and financing of a multi-million-dollar power plant in Ghana.
“We live in a global economy that American companies must be able to compete in fairly,” said Assistant Attorney General A. Tysen Duva of the Justice Department’s Criminal Division. “This defendant corrupted that fair competition. He abused his position at a world-renowned American investment bank by helping bribe Ghanaian officials, so he and his co-conspirators, including senior executives at a Turkish company, could make money. Today’s conviction makes clear that criminals who undermine our country’s interests by corrupting foreign governments and cutting off fair competition will face the full force of the Department of Justice.”
“Today’s verdict marks another significant victory in this Office’s longstanding commitment to rooting out corruption,” said U.S. Attorney Joseph Nocella Jr. for the Eastern District of New York. “The defendant abused his access to high-level foreign government officials and his platform as an investment banker at a prestigious American firm to greedily line his own pockets.”
“Engaging in bribery damages the reputation of businesses and destroys fair competitions,” said Acting Assistant Director Matthew B. Floyd of FBI’s Criminal Division. “Berko intentionally lied to his company to continue his scheme. The FBI will not tolerate dishonesty or corruption from anyone who wishes to disturb the business market.”
According to court documents and evidence presented at trial, Asante Kwako Berko, 52, conspired to pay more than $1 million in bribes to multiple Ghanaian government officials in connection with the development and financing of a power plant estimated to generate hundreds of millions of dollars in revenue.
Beginning in December 2014, Berko, a former Executive Director in the Investment Banking Division at Goldman Sachs, was responsible for securing and managing a deal between Aksa Enerji, a Turkish energy company and client of Goldman Sachs, and the Republic of Ghana, for the construction and financing of a power plant in Ghana amidst a national energy crisis in the country.
During the scheme, Berko and his co-conspirators paid and conspired to pay bribes to individuals at numerous levels of the Ghanaian government to ensure that the Turkish Energy company won its bid to build and operate the power plant. In April 2015, Berko and the conspirators discussed paying $1 million to the Minister of Power who was responsible for securing key approvals enabling the project to progress.
Bribes were also paid to five Ghanaian officials during an all-expenses-paid trip to Turkey to view equipment for the power plant, during which the officials each received $5,000. After the power plant deal was ratified by the Ghanaian parliament in July 2015, Berko and his co-conspirators emailed about their bribe payments at length. The evidence further detailed tens of thousands of dollars in bribes that Berko had personally paid and for which he was still owed.
To conceal the scheme from Goldman Sachs and others, Berko lied to Goldman’s compliance team that was responsible for vetting the deal and he used his personal, non-official-business email account when talking about the bribes. Berko and his co-conspirators also concealed and laundered the bribe payments using shell companies, sham invoices, nominee account holders and cash withdrawals. Payments in furtherance of the bribery scheme were laundered through U.S. and foreign bank accounts, including several in Berko’s name. Goldman ultimately withdrew from the deal due to corruption concerns.
The jury convicted Berko of conspiracy to violate the Foreign Corrupt Practices Act (FCPA), violating the FCPA, and money laundering conspiracy. Sentencing is set for Nov. 10. He faces a maximum penalty of 30 years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
The FBI is investigating the case. The Justice Department’s Office of International Affairs and the FBI’s Law Enforcement Attaché in Accra worked with the International Cooperation Unit of the Office of the Attorney-General of Ghana, and Ghana’s Office of the Special Prosecutor, to provide significant assistance to this prosecution. The UK’s National Extradition Unit, the Crown Prosecution Service of England and Wales, the U.S. Embassy in London, the Justice Department’s Office of International Affairs and the U.S. Marshals Service provided substantial assistance in securing the arrest and extradition of the defendant.
Assistant Chief Katherine Raut of the Criminal Division’s Fraud Section, Senior Trial Attorney Katherine Nielsen of the Criminal Division’s Money Laundering, Narcotics, and Forfeiture Section, and Assistant U.S. Attorneys Jessica Weigel, Nick M. Axelrod, and Tara McGrath for the Eastern District of New York are prosecuting the case.
The Criminal Division’s Fraud Section is responsible for investigating and prosecuting FCPA and Foreign Extortion Prevention Act (FEPA) matters. Additional information about the Justice Department’s FCPA and FEPA enforcement efforts can be found at www.justice.gov/criminal/criminal-fraud/foreign-corrupt-practices-act.
New Charges and Rewards Announced for the Capture and/or Conviction of Senior Leaders of Notorious Mexican CartelRead the Press Release
Note: Copies of the indictments filed in the District of Columbia can be obtained by clicking on Julio César Montero Pinzón, Carlos Andrés Rivera Varela, Hugo Gonzalo Mendoza Gaytán, Ricardo Ruiz Velasco, and Julio Alberto Castillo Rodríguez. A copy of the superseding indictment filed in the Eastern District of New York can be found here.
Reward posters of the eight CJNG fugitives can be found in English here and in Spanish here.
Today the Department of Justice, in coordination with the Drug Enforcement Administration (DEA), Federal Bureau of Investigation (FBI), U.S. Immigration and Customs Enforcement Homeland Security Investigations (HSI), Internal Revenue Service Criminal Investigation (IRS-CI), U.S. Customs and Border Protection (CBP), and National Coordination Center (NCC) announced new charges of the most-wanted leaders of Cártel de Jalisco Nueva Generación (CJNG), one of the most prolific and dangerous drug cartels in Mexico. Alongside the indictments, the Department of State’s Bureau of International Narcotics and Law Enforcement Affairs (INL) announced more than $100 million in reward offers for information leading to the arrests and/or convictions of Juan Carlos Valencia González also known as “Pelón,” 41; Audias Flores Silva also known as “Jardinero,” 45; Julio César Montero Pinzón also known as “Tarjetas,” 44; Carlos Andrés Rivera Varela also known as “La Firma,” 40; Hugo Gonzalo Mendoza Gaytán also known as “Sapo,” 37; Ricardo Ruiz Velasco also known as “RR” / “Tripa,” 42; Julio Alberto Castillo Rodríguez also known as “Chorro,” 49; and Griselda Margarita Arredondo Pinzón, 36. These new enforcement actions are part of the NCC Homeland Security Task Force initiative to counter the narco-terrorist cartels that endanger the American people.
“The American people gave us a mandate to keep this country safe, and we will not rest until it is fulfilled,” said Acting Attorney General Todd Blanche. “Today's unsealing of criminal charges against five high-ranking CJNG leaders marks another decisive step in our campaign to dismantle the cartels that have plagued this country for far too long. With these charges now public, and with more than $100 million in State Department rewards for the capture or conviction of eight CJNG fugitives, this administration will use every tool at its disposal to bring these defendants to justice – no matter where they hide.”
“Every day, the Department fights to eradicate CJNG and bring its leaders to justice for the death and destruction they inflict on the American people,” said Assistant Attorney General A. Tysen Duva of the Justice Department’s Criminal Division. “Thanks to President Trump’s leadership and resolve, we continue to advance our mission to destroy foreign terrorist organizations and prosecute narco-terrorists. We will leave them nowhere to hide.”
“Last year, prosecutors in our Office’s Business and Securities Fraud Section and International Narcotics and Money Laundering Section obtained a superseding indictment against two senior leaders and a criminal associate of CJNG in connection with a fraud scheme targeting Americans who owned timeshare properties in Mexico,” said U.S. Attorney Joseph Nocella Jr. for the Eastern District of New York. “Thousands of U.S. victims have reported hundreds of millions of dollars in losses attributable to timeshare fraud schemes in Mexico. It is significant that our white-collar prosecutors are teamed with our narcotics prosecutors in this case because increasingly, transnational criminal organizations such as CJNG fund their illicit operations not only through drug trafficking and other forms of street crime, but sophisticated fraud schemes as well. It is our hope that the rewards being announced today will lead to capture of the fugitives so they can face American justice in a federal courtroom. Our prosecutors stand ready to hold them accountable.”
“DEA has never been more focused on dismantling CJNG and bringing its leaders, members, facilitators, and corrupt enablers to justice,” said DEA Administrator Terrance Cole. “As one of the world’s largest narco-terrorist organizations, CJNG poses a serious threat to the United States and our international partners. Juan Carlos Valencia González is one of DEA’s Most Wanted fugitives, and today’s coordinated actions demonstrate the full weight of the U.S. government behind this effort.”
“The FBI, alongside our Homeland Security Task Force partners, will systematically dismantle every piece of the Jalisco New Generation Cartel,” said FBI Director Kash Patel. “President Trump has given us the authorities we need to annihilate the drug trade and their criminal enterprise into fraud. This foreign terrorist organization’s complex time share fraud scheme stole hundreds of millions of dollars from U.S. citizens and continues to exploit our nation through widespread drug trafficking, money laundering, and systemic violence. This announcement puts the cartel on notice with the full force of the U.S. government committed to cutting off every source of illicit income that fuels this savage cartel.”
“Cártel de Jalisco Nueva Generación is a violent foreign terrorist organization that threatens the United States through drug trafficking, weapons trafficking, money laundering, fraud, and intimidation,” said HSI Executive Associate Director John Condon. “HSI-led investigations in Arizona and the Carolinas have targeted CJNG’s weapons, money, narcotics, and facilitators. Through the Homeland Security Task Force, HSI will continue working with federal, state, local, and international partners to follow the evidence, follow the money, and dismantle the networks that enable CJNG to harm American communities.”
“CJNG’s criminal enterprise has exploited financial systems and defrauded thousands of Americans, fueling violence and narcoterrorism across borders,” said Deputy Chief Gary Shapley of IRS-CI. “IRS-CI is committed to dismantling these networks — tracking illicit proceeds, exposing fraud, and holding cartel leaders accountable. Today’s coordinated action demonstrates the power of U.S. law enforcement partnerships and our resolve to protect the American public from the devastating impact of transnational crime. We will continue to pursue those who threaten our communities, wherever they operate.”
“CBP in close coordination with our federal and international law enforcement partners, supported critical actions in support of this investigation,” said Executive Assistant Commissioner Diane J. Sabatino of CBP’s Office of Field Operations (OFO). “CBP officers through targeted inspection and information sharing contributed to the direct action taken against the CJNG drug traffickers and money laundering subjects. This operation reflects OFO’s commitment to disrupting transnational criminal organizations, protecting the public, and helping ensure that those who enable money laundering and fraud schemes are held accountable.”
“The Department of State, together with our U.S. law enforcement partners, will continue to safeguard our nation, the American people, and our Hemisphere from the violence and terror inflicted by CJNG,” said INL Deputy Assistant Secretary of State, Ambassador Michael C. Gonzales. “We will use every tool at our disposal to hunt down, dismantle, and destroy these ruthless foreign terrorist organizations and defend America from the violence and drugs that have torn apart our families and communities.”
CJNG produces and traffics multi-tonnage quantities of drugs, including cocaine and methamphetamine, into the United States, and uses extreme violence to further its operations. On Feb. 20, 2025, the State Department designated CJNG as a foreign terrorist organization. About a year later, in February 2026, CJNG’s notorious top leader, Nemesio Oseguera Cervantes, also known as “El Mencho,” was killed during a Mexican military operation. According to court filings, Valencia González assumed the role of CJNG’s top leader following El Mencho’s death.
Increased Rewards Announced
The Department of Justice previously unsealed a federal indictment charging Valencia González with conspiracy to manufacture and distribute cocaine and methamphetamine for unlawful importation into the United States, as well as use of firearms, one of which was a machinegun, during and in relation to the charged drug trafficking crime. Valencia González is El Mencho’s stepson, who reportedly organized numerous crimes of violence as a CJNG leader, in addition to manufacturing, transporting, and distributing tonnage quantities of narcotics. The State Department announced today the newly increased reward of up to $25 million for information leading to Valencia González’s arrest and/or conviction.
The superseding indictment against Flores Silva was originally unsealed in May 2026, charging him with conspiracy to manufacture and distribute cocaine, heroin, and methamphetamine destined for the United States, use of firearms, one of which was a destructive device, in furtherance of the drug trafficking crime, and money laundering conspiracy. Flores Silva, a high-ranking member of the CJNG, was arrested in Mexico in April 2026. The State Department announced today the newly increased reward of up to $15 million for information leading to Flores Silva’s conviction.
If convicted of these charges, which were filed in the District of Columbia, Valencia González and Flores Silva face up to two consecutive life prison terms.
New Charges and Rewards Announced
The Department of Justice also announced the recent unsealing of criminal charges against five additional senior CJNG leaders.
According to court filings, at El Mencho’s direction, Montero Pinzón and Rivera Varela founded and led a group of highly trained and heavily armed sicarios, or hitmen, known as the “Grupo Elite.” The Grupo Elite allegedly acts as the CJNG’s enforcement arm to further CJNG’s drug trafficking operations, including by overseeing CJNG territories and murdering public officials and rival cartel members. As alleged, the Grupo Elite ran infamous training camps, wherein recruits learned weapons handling, such as the use of rocket launchers, .50-caliber machineguns, and rocket-propelled grenades, as well as the use of violence and torture to further CJNG’s objectives. Montero Pinzón and Rivera Varela allegedly had over 1,000 personnel reporting to them and ran the Guadalajara Plaza, one of the most important CJNG territories.
The filings allege that Mendoza Gaytán, El Mencho’s godson, procured the majority of the CJNG’s weapons, trained sicarios at CJNG’s training camps, and oversaw operations, including forced recruitment and violent enforcement, across multiple strategic CJNG locations.
The court documents further allege that Ruiz Velasco, another close associate of El Mencho and a Grupo Elite leader, oversaw all CJNG operations in several Mexican territories, including drug trafficking, bribery, procurement of weapons, and enforcement. Ruiz Velasco is also allegedly involved in the transportation, importation, and distribution of drugs, including the distribution of methamphetamine, fentanyl, and heroin within the United States and the collection of narcotics proceeds.
The court filings allege that Castillo Rodríguez, El Mencho’s former son-in-law, was responsible for various aspects of the CJNG’s operations, including overseeing CJNG operations in Colima, Mexico, collecting drug proceeds, paying for precursor chemicals used by the CJNG to manufacture methamphetamine, purchasing tonnage quantities of methamphetamine from CJNG suppliers, and overseeing the transportation of cocaine and methamphetamine shipments for importation into the United States.
The unsealed indictments allege that these five defendants participated in conspiracies to manufacture and distribute cocaine, methamphetamine, heroin, and fentanyl destined for the United States for over a decade. The indictments further allege that these defendants used, carried, brandished, or discharged firearms, some of which were semi-automatic weapons, machineguns, and destructive devices, during and in relation to the charged drug trafficking crimes. If convicted of these charges, which were filed in the District of Columbia, all five defendants face up to two consecutive life prison terms.
The State Department also announced today a reward of up to $15 million for information leading to Mendoza Gaytán’s arrest and/or conviction; a reward of up to $15 million for information leading to Castillo Rodríguez’s arrest and/or conviction; a reward of up to $10 million for information leading to Montero Pinzón’s arrest and/or conviction; a reward of up to $10 million for information leading to Rivera Varela’s arrest and/or conviction; and a reward of up to $10 million for information leading to Ruiz Velasco’s arrest and/or conviction.
Relatedly, the State Department also announced a reward of up to $2 million for information leading to the arrest and/or conviction of Arredondo Pinzón, Montero Pinzón’s half-sister. In coordination with Montero Pinzón and Rivera Varela, the three allegedly ran an international fraud scheme organized and controlled by the CJNG, which targeted Americans who own timeshare properties in Mexico. As announced in September 2025, Arredondo Pinzón is charged in the Eastern District of New York with conspiracy to commit wire fraud and money laundering. A superseding indictment returned in October 2025, also charges Montero Pinzón and Rivera Varela with conspiracy to commit money laundering, conspiracy to provide and providing material support to a foreign terrorist organization, and charges Montero Pinzón with conspiracy to commit wire fraud. If convicted, Arredondo Pinzón, Montero Pinzón, and Rivera Varela face up to 20 years in prison on each count related to the fraud scheme.
The timeshare fraud investigation is being investigated by the FBI New York Field Office, Threat Finance Task Force, DEA New York Division, IRS-CI New York Field Office, with support from CBP’s New York Field Office. The narcotics and firearms offenses are being investigated by DEA Bilateral Investigations Unit Los Angeles and HSI.
The Narcotic and Dangerous Drug Unit (NDDU) of the Criminal Division’s Money Laundering, Narcotics and Forfeiture Section, the Health and Safety Unit of the Criminal Division’s Fraud Section, and the U.S. Attorney’s Office for the Eastern District of New York are prosecuting these cases.
The Money Laundering, Narcotics and Forfeiture Section’s (MNF) mission is to take the profit out of crime, eliminate drug cartels, and protect the U.S. financial system. MNF pursues criminal prosecutions and criminal and civil asset recovery actions involving: financial facilitators who launder profits for criminals; financial institutions and their officers and employees whose actions threaten the U.S. financial system and financial institutions; international money launderers who support transnational organized crime; and the top command and control of international drug trafficking organizations.
MNF’s Narcotic and Dangerous Drug Unit investigates and prosecutes the top command and control elements of international drug cartels, drug trafficking organizations, and related transnational criminal organizations.
The Health and Safety Unit of the Fraud Section works with law enforcement partners to investigate and prosecute violations of federal laws designed to protect public health and safety. The unit focuses on corporations and individuals who make and sell dangerous drugs, food, and other consumer products that could cause significant harm to Americans.
The Transnational Criminal Organizations Strike Force investigates and prosecutes cartels and transnational criminal organizations by bringing charges that include terrorism, racketeering, and operating a continuing criminal enterprise. DEA’s Bilateral Investigations Unit is an elite group of experienced DEA special agents that are entrusted with handling the most sensitive, expansive, and difficult investigations that target the world’s most violent drug traffickers and terrorists.
These cases are part of the Homeland Security Task Force (HSTF) initiative established by Executive Order 14159, Protecting the American People Against Invasion. The HSTF is a whole-of-government partnership dedicated to eliminating criminal cartels, foreign gangs, transnational criminal organizations, and human smuggling and trafficking rings operating in the United States and abroad. Through historic interagency collaboration, the HSTF directs the full might of U.S. law enforcement towards identifying, investigating, and prosecuting the full spectrum of crimes committed by these organizations, which have long fueled violence and instability within our borders. In performing this work, the HSTF places special emphasis on investigating and prosecuting those engaged in child trafficking or other crimes involving children. The HSTF further utilizes all available tools to prosecute and remove the most violent criminal aliens from the United States.
Individual Arrested for Arson of Historic Brooklyn ChurchRead the Press Release
Today, a criminal complaint was unsealed in federal court in Brooklyn charging John Jones with intentionally setting fire to the South Bushwick Reformed Church (the Church) located at 855 Bushwick Avenue, Brooklyn, New York, on June 19, 2026. Jones was arrested earlier today in Manhattan and will make his initial appearance at a later date in the Eastern District of New York.
Joseph Nocella, Jr., United States Attorney for the Eastern District of New York; Bryan DiGirolamo, Special Agent in Charge, Bureau of Alcohol, Tobacco, Firearms, and Explosives, New York Division (ATF); Jessica S. Tisch, Commissioner, New York City Police Department (NYPD); and Lillian Bonsignore, Commissioner, New York City Fire Department (FDNY), announced the arrest.
“As alleged, Jones intentionally set fire to a historic and beloved church, significantly damaging the structure,” stated United States Attorney Nocella. “I commend the Special Agents and the NYPD Detectives who have worked tirelessly to identify and apprehend the perpetrator of this senseless act that has deeply wounded the Church’s congregation and the entire Bushwick community. Our Office will vigorously prosecute Jones to the full extent of the law. Arson is a terrible crime that strikes at the heart of public safety and endangers first responders.”
“This arrest reflects the strength of our law enforcement partnerships. Through the coordinated efforts of the ATF Arson & Explosives Task Force, NYPD, FDNY, and the U.S. Attorney’s Office EDNY, we acted swiftly to hold the individual allegedly responsible accountable for setting fire to a historic church that has been part of New York City’s fabric since the 1850s,” stated ATF Special Agent in Charge DiGirolamo.
“This defendant placed countless Brooklyn residents at risk when he recklessly set fire to the South Bushwick Reformed Church in broad daylight,” stated NYPD Commissioner Tisch. “New Yorkers deserve to practice their faith freely and without fear, and the destruction of this sacred New York City landmark will be met with swift justice. I thank the NYPD investigators and our law enforcement partners for their work to hold this individual accountable.”
“The intentional burning of a house of worship is an attack on a historic building and on the sense of safety and community it represents,” stated FDNY Commissioner Bonsignore. “This fire placed lives at risk, including the first responders who responded to protect the church and the surrounding neighborhood. We are grateful for the outstanding work of our partners at the ATF, NYPD, and the U.S. Attorney’s Office that led to this arrest. We will continue to work alongside our law enforcement partners to hold those responsible for these dangerous crimes accountable.”
The Church was constructed in the 1850s and was added to the National Register of Historic Places in 1982. It was also designated as a New York City Landmark in 1968.
As set forth in the complaint, between approximately 12:12 p.m. and 12:47 p.m. on June 19, 2026, Jones was captured on surveillance video attempting unsuccessfully to enter the Church. At approximately 12:30 p.m., Jones was observed on surveillance video inside a convenience store that was a short walking distance from the Church. He asked the cashier “for a lighter” and then paid for the lighter. Jones then returned to the Church, walking on and around the Church property and within the Church gates. A photo taken by a witness at about 1:27 p.m. shows smoke and low burning on an area of the Bushwick Avenue side of the Church. Jones appears to have approached areas of the Church exterior near to the location where low burning ultimately appears on the front of the Church.
The charge in the complaint is an allegation, and the defendant is presumed innocent unless and until proven guilty. If convicted, Jones faces a mandatory minimum sentence of five years’ imprisonment, and a maximum sentence of 20 years’ imprisonment.
The government’s case is being handled by the Office’s General Crimes Section. Assistant United States Attorney William Bristow is in charge of the prosecution.
The Defendant:
JOHN JONES
Age: 24
Brooklyn, New YorkE.D.N.Y. Docket No.26-MJ-0143
john_jones_complaint.pdfTwo MS-13 Gang Members Indicted for a 2016 Murder in Brentwood and 2023 Murder of Long Island Man in MarylandRead the Press Release
Today, Edwin Chavez-Garay, also known as “Spooky” and “Cruger,” and Jairo Diaz-Gamez, also known as “Cameleon” and “Antonimo,” who are both members of the Vegas Locos Salvatruchas (Vegas) subgroup or “clique” of the MS-13, a violent transnational organization, were arraigned in federal court in Central Islip on a second superseding indictment charging them with racketeering offenses in connection with two murders—the February 19, 2016 murder of Miguel Garcia-Moran in Brentwood, New York, and the August 19, 2023 murder of Carlos Lemus Interiano in Fort Washington, Maryland—and with other charges including murder, conspiracy to commit murder, and narcotics trafficking conspiracy (the Superseding Indictment). The Superseding Indictment, returned by a federal grand jury on July 30, 2026, also contains allegations against six previously charged defendants, all members of the MS-13, related to two additional murders on Long Island and other crimes. United States Magistrate Judge Anne Y. Shields ordered both defendants detained pending trial.
Joseph Nocella, Jr., United States Attorney for the Eastern District of New York; Pete Gizas, Acting Special Agent in Charge, Homeland Security Investigations, New York (HSI New York); James C. Barnacle, Jr., Assistant Director in Charge, Federal Bureau of Investigation, New York Field Office (FBI); and Kevin Catalina, Commissioner, Suffolk County Police Department (SCPD), announced the arrests and charges.
“The charges in the Superseding Indictment demonstrate the commitment by our Office and our law enforcement partners to hold vicious transnational organized crime groups like MS-13 accountable for their crimes, no matter how long it takes,” stated United States Attorney Nocella. “Too many families in our community have been permanently separated from their loved ones at a young age because of the ruthless and senseless violence of the MS-13, and we will not stop investigating until everyone is held accountable.”
Mr. Nocella expressed his grateful appreciation to the Washington and Baltimore Field Offices of the FBI, the New York City Police Department, ICE Enforcement and Removal Operations New York, the Prince George’s Police Department, the Montgomery County Police Department, the Maryland-National Capital Park Police, the Prince William County Police Department, and the United States Marshal Service, for their valuable assistance and partnership in this case.
“Two families spent years carrying the unbearable weight of unanswered questions while these accused MS-13 killers continued their lives as though they had not helped leave devastation in their wake. The charges announced today lay bare the brutality of these crimes: a 15-year-old boy allegedly lured into the woods in Brentwood and beaten to death with metal rods, and a Long Island man allegedly taken to Maryland and killed after falling out of favor with the gang. HSI New York, as a co-leader of the Homeland Security Task Force, remains steadfast in its mission to pursue violent transnational gangs, support our law enforcement partners, and help deliver long-overdue accountability for victims and their families,” stated HSI New York Acting Special Agent in Charge Gizas.
“The FBI condemns the brutal violence carried out by MS 13, including two murders that have deeply shaken our community,” stated FBI Assistant Director in Charge Barnacle. “Working closely with our partners, we remain unwavering in our pursuit of justice for the victims and their families. Protecting the people of New York is our top priority, and we will continue to take decisive, coordinated action to disrupt, dismantle, and hold accountable any group that threatens public safety.
“Thanks to the dedicated efforts of law enforcement and our partners at EDNY, this pair is now being held accountable for a series of crimes dating back a decade, proving that we do not relent in our pursuit of justice," stated SCPD Commissioner Catalina. “The killings carried out by these gang members were barbaric and senseless. The victims’ families have endured unimaginable loss, and we will continue working with our partners to dismantle criminal networks and prevent others from suffering the same pain and fear.”
As alleged in the Superseding Indictment, Chavez-Garay and Diaz-Gamez participated in the murder of Garcia-Moran, a 15-year-old boy, who the defendants wrongly believed was a member of a rival gang. On February 19, 2016, the defendants lured the victim to a wooded area in Brentwood, behind 80 Emjay Boulevard, where they beat him to death with metal rods. On September 21, 2016, members of the FBI and the SCPD, who were looking for evidence in connection with another MS-13 victim whose body was recovered in the same area, located skeletal remains which were later identified as those of Garcia-Moran. Years later, Chavez-Garay and Diaz-Gamez, who continued to rise in rank in the Vegas clique, lured Lemus Interiano, a resident of Huntington, New York, to Maryland so that he could be killed. Lemus Interiano, a member of the Vegas clique, had fallen out of favor with the gang, and was targeted for death by not only the Vegas clique but also co-defendant Gervin Barrera-Perez, a member of the Huntington clique. On August 19, 2023, Chavez-Garay and Diaz-Gamez drove Lemus Interiano to Maryland, where he was shot and killed in a wooded area. In February 2025, law enforcement in Maryland, while searching for another body, recovered Lemus Interiano’s arm bone at Piscataway Stream Valley Park in Fort Washington, Maryland. A subsequent search and excavation led to the discovery of additional evidence, including more human remains, clothing, and a bullet. Between the end of 2023 and March 2025, Chavez-Garay and Diaz-Gamez participated in the conspiracy to murder Carlos Lopez-Lopez, who was eventually stabbed to death and drowned after being attacked on the beach in Blue Point, New York. Lopez-Lopez, a former member of the MS-13, was targeted because the gang members believed that he was cooperating with law enforcement. Three co-defendants in this case were previously charged with having committed that murder.
Finally, the Superseding Indictment charges Chavez-Garay and Diaz-Gamez with conspiring to distribute cocaine and marijuana. These charges stem from the MS-13 cliques’ street-level sales of cocaine and marijuana on Long Island, the proceeds of which were used to help finance the MS-13’s criminal operations, including purchasing firearms, ammunition, and other weapons, and sending money to MS-13 leadership in the United States and Central America.
The Superseding Indictment is the latest in a series of federal prosecutions by the United States Attorney’s Office for the Eastern District of New York targeting members of the MS-13, a violent transnational criminal organization. The MS-13 is comprised primarily of immigrants from Central America, and it has leaders in El Salvador, Honduras, Mexico, and the United States, with thousands of members all over the world. With numerous branches, or “cliques,” the MS-13 is the most violent criminal organization on Long Island. Since 2003, hundreds of MS-13 members, including dozens of clique leaders, have been convicted on federal felony charges in the Eastern District of New York. A majority of those MS-13 members have been convicted on federal racketeering charges for participating in murders, attempted murders, and assaults. Since 2010 alone, this Office has obtained indictments charging MS-13 members with carrying out more than 75 murders in the Eastern District of New York, and it has convicted dozens of MS-13 leaders and members in connection with those murders. These prosecutions are the product of extensive collaboration with numerous law enforcement agencies, including HSI, FBI, and local and state partners.
The charges in the Superseding Indictment are allegations, and the defendants are presumed innocent unless and until proven guilty. If convicted, each of the defendants faces up to life in prison, or the possibility of the death penalty.
This case is part of Operation Take Back America, a Department of Justice initiative aimed at eradicating transnational criminal organizations, combating violent crime, and restoring the rule of law.
This case is also part of the Homeland Security Task Force (HSTF) initiative established by Executive Order 14159, Protecting the American People Against Invasion. The HSTF is a whole-of-government partnership dedicated to eliminating criminal cartels, foreign gangs, transnational criminal organizations, and human smuggling and trafficking rings operating in the United States and abroad. Through historic interagency collaboration, the HSTF directs the full might of U.S. law enforcement towards identifying, investigation, and prosecuting the full spectrum of crimes committed by these organizations, which have long fueled violence and instability within our borders. In performing this work, the HSTF places special emphasis on investigating and prosecuting those engaged in child trafficking or other crimes involving children. The HSTF further utilizes all available tools to prosecute and remove the most violent criminal aliens from the United States.
The government’s case is being handled by the Criminal Section of the Office’s Long Island Division. Assistant United States Attorneys Megan E. Farrell and Paul G. Scotti are in charge of the prosecution.
New Defendants:EDWIN CHAVEZ-GARAY (also known as “Spooky” and “Cruger”)
Age: 25
Brentwood, New YorkJAIRO DIAZ-GAMEZ (also known as “Cameleon” and “Anonimo”)
Age: 27
Bayshore, New YorkE.D.N.Y. Docket No. 25-CR-209 (S-2) (GRB)
25-cr-209_s-2_orellana-aleman_et_al.indictment.pdf 2026.08.03_s2_detention_letter_final.pdfBrooklyn Man Sentenced to 50 Years in Prison for Sex Trafficking and Murder in the Course of Sex TraffickingRead the Press Release
Earlier today, in federal court in Brooklyn, Omari Scott, also known as “Prince” and “Sir Prince,” was sentenced by United States District Judge Kiyo A. Matsumoto to 50 years in prison for murder in the course of sex trafficking, sex trafficking two victims (Jane Doe 1 and Jane Doe 2), and promoting prostitution. Scott was convicted by a federal jury in June 2025 of murder in the course of sex trafficking and sex trafficking Jane Doe 2. Prior to trial, Scott pleaded guilty to sex trafficking Jane Doe 1 and promoting prostitution. The charges relate to Scott’s trafficking of women at an open-air sex market in Brooklyn known as the “Penn Track” and his orchestration of the murder of a rival pimp after a dispute over the control of Jane Doe 2. Restitution to the victims will be determined at a later date.
Joseph Nocella, Jr., United States Attorney for the Eastern District of New York, James C. Barnacle, Jr., Assistant Director in Charge, Federal Bureau of Investigation, New York Field Office (FBI), and Jessica S. Tisch, Commissioner, New York City Police Department (NYPD), announced the sentence.
“The defendant earned this lengthy sentence through a pattern of ruthless violence, exploitation of vulnerable women, and abuse,” stated United States Attorney Nocella. “His actions caused lasting harm to his victims and demonstrated a complete disregard for the law and for human dignity. Our Office’s prosecutors and law enforcement brought him to justice and their noble work demonstrates a deep commitment to protecting the community from those who commit these heinous crimes.”“Omari Scott carried out a disturbing level of violence and exploitation of innocent victims. The FBI is dedicated to defending the individuals subjected to these crimes and pursuing offenders who threaten innocent civilians,” stated FBI Assistant Director in Charge Barnacle.
“The NYPD has no tolerance for anyone who sexually exploits women and profits from these horrific crimes,” stated NYPD Commissioner Tisch. “Omari Scott was a predator of the worst kind – using violence and financial control to force victims into this work and even orchestrating the murder of a rival for encroaching on his business. Thank you to the NYPD investigators, FBI, and the U.S. Attorney’s Office for the Eastern District of New York for their work to get this sex trafficker off our streets for good.”
As proven at trial, for years, Scott trafficked women at the Penn Track and other locations in New York City and New Jersey. He lured his victims in with promises of love and money, but once he had manipulated them into working for him, he took all the money they earned. He imposed nightly quotas and used violence and threats of violence to keep his victims earning. For example, Scott told an associate on a recorded call that he was “beating this b--- up tonight” for failing to work quickly enough to locate customers and, on another occasion, Scott warned a victim that he would “knock [her] out for disrespecting me.” In taking the money they earned, Scott rendered these women dependent on him for food, clothing, and shelter for themselves and for their young children.
In April 2023, Scott learned that Jane Doe 2 was planning to leave him to work for a rival, Cleveland Clay, in prostitution. Scott found Jane Doe 2 on the Penn Track, grabbed her by the hair, dragged her through the street, and threw her into his car. After Clay refused to back down, the defendant recruited another sex trafficker, Michael Simmons, to murder Clay. The defendant gave Simmons a gun and sent him to kill Clay, which Simmons did on May 1, 2023 in a White Castle parking lot on the Penn Track. Simmons then returned to Scott, who had been waiting for him in a nearby laundromat parking lot, to report that the job was done. Clay succumbed to his wounds several hours later. Simmons pleaded guilty in January 2025 to murder in the course of sex trafficking and sex trafficking of Jane Doe 2 and is awaiting sentencing.
The government’s case is being handled by the Office’s Human Trafficking and Civil Rights Section. Assistant United States Attorneys Erin Reid, Anna L. Karamigios, and Miranda Gonzalez are in charge of the prosecution, with additional assistance from Victim Witness Coordinator Huda Abouchaer and Victim Witness Specialist Kristina Marius.The Defendant:
OMARI SCOTT (also known as “Prince” and “Sir Prince”)
Age: 45
Brooklyn, New YorkE.D.N.Y. Docket No. 24-CR-158 (KAM)
Former Executive Director and Former Employee of Queens Defenders Legal Services Non-Profit Sentenced to Prison for Embezzling FundsRead the Press Release
Earlier today, in federal court in Brooklyn, Lori Zeno, the former executive director of Queens Defenders, a nonprofit legal services organization, and Rashad Ruhani, a former employee of the Organization, were sentenced by United States District Judge Rachel P. Kovner for their roles in a scheme to embezzle hundreds of thousands of dollars from Queens Defenders. Judge Kovner sentenced Zeno to 43 months’ imprisonment and Ruhani to 57 months’ imprisonment. The defendants were also ordered to pay $656,349.57 in restitution to Queens Defenders and forfeiture money judgments of $187,014.24 (Zeno) and $102,534.27 (Ruhani).
Joseph Nocella, Jr., United States Attorney for the Eastern District of New York, James C. Barnacle, Jr., Assistant Director in Charge, Federal Bureau of Investigation, New York Field Office (FBI), and Nadia I. Shihata, Commissioner, New York City Department of Investigation (DOI), announced the sentences.
“Lori Zeno brazenly betrayed and abused her position of trust as the director of a nonprofit organization, while Rashad Ruhani worked hand in hand with her to steal funds intended to provide legal services and other critical resources to disadvantaged members of the community,” stated United States Attorney Nocella. “Instead of upholding the law and serving those in need, the defendants greedily served themselves by spending those funds on luxury goods, lavish travel, and other personal indulgences. Today’s sentences serve as a reminder that our Office will continue to vigorously prosecute those who steal public funds and thereby deprive our communities of essential services.”
“Rather than honoring their responsibility to the community and safeguarding the resources entrusted to them, Lori Zeno and Rashad Ruhani chose to embezzle non-profit funds for their own interests. Their actions deprived people who needed and deserved legal support. Today’s sentencing reinforces our commitment to protecting the integrity of the services non-profits provide,” stated FBI Assistant Director in Charge Barnacle.
“Providing indigent New Yorkers with access to quality legal services is essential to ensuring a justice system governed by the rule of law and respect for constitutional rights. Lori Zeno and Rashad Ruhani betrayed their responsibility to help indigent New Yorkers through the City-funded legal services organization that Zeno co-founded and where Ruhani worked. Instead, they chose to embezzle hundreds of thousands of dollars from the organization, spending lavishly on themselves, including on a penthouse apartment, a vacation to Bali, and extravagant purchases at luxury retailers. Today, they stand convicted and face the consequences of their crimes. I thank the U.S. Attorney’s Office for the Eastern District of New York and the New York Office of the FBI for working with us to hold accountable anyone who misuses City funds and compromises vital services to New Yorkers.” stated DOI Commissioner Shihata.
As set forth in court filings, Zeno co-founded and served as the executive director of Queens Defenders, which provided legal services and community support services to indigent residents of Queens, New York. Zeno hired Ruhani to work for Queens Defenders in October 2023.
Between June 2024 and January 2025, Zeno and Ruhani engaged in a corrupt scheme to embezzle funds from Queens Defenders, diverting hundreds of thousands of dollars for their own personal benefit, including spending these stolen funds on foreign travel, expensive meals, luxury shopping, and rent for a penthouse apartment (the Penthouse Apartment). Zeno and Ruhani made extravagant purchases with the Queens Defenders’ credit cards, spending over $10,000 on a vacation to Bali; $1,700 at a luxury resort in Santa Monica, California; $3,300 for an 85-inch smart television to be installed at the Penthouse Apartment; thousands of dollars in food deliveries to the Penthouse Apartment; and thousands of dollars at luxury retailers such as Ralph Lauren and Neiman Marcus. In one instance, Zeno and Ruhani charged over $4,000 to a Queens Defenders credit card to buy a Louis Vuitton designer handbag. As part of the conspiracy, Zeno and Ruhani repeatedly lied to the Queens Defenders, falsely characterizing personal expenses as business expenses to obtain approval for the expenditures. To pay for the Penthouse Apartment, Zeno and Ruhani fraudulently obtained reimbursements from Queens Defenders for over $39,000 in rent by submitting lease documents that were altered to conceal Zeno’s involvement. Zeno also secured lucrative positions at Queens Defenders for relatives and associates of Ruhani who did little or no substantive work, including hiring a woman married to Ruhani as the director of a non-existent “health and wellness” program with a salary of $60,000. As a result of Zeno and Ruhani’s misuse of its funds, Queens Defenders lost its city contract to provide criminal defense services to low‑income New Yorkers.
The government’s case is being handled by the Office’s Public Integrity Section. Assistant United States Attorneys Russell Noble, Sean M. Sherman, and Brooke Theodora are in charge of the prosecution, with assistance from Paralegal Specialists Johnson Peow and Daniel Arakawa.
The Defendants:
LORI ZENO
Age: 65
Garden City, New YorkRASHAD RUHANI
Age: 56
Corona, New YorkE.D.N.Y. Docket No. 25-CR-182 (S-1) (RPK)
Gunman Pleads Guilty to Daytime Robbery of Brinks Armored Truck in QueensRead the Press Release
Earlier today, in federal court in Brooklyn, David Ortiz pleaded guilty to conspiracy to commit bank robbery, bank robbery, and brandishing a firearm during a crime of violence in connection with the gunpoint robbery of a Brinks armored truck transporting money belonging to a Bank of America branch. The proceeding was held before United States Magistrate Judge Peggy Kuo. When sentenced, Ortiz faces a mandatory minimum sentence of seven years’ imprisonment for brandishing a firearm, in addition to any sentence imposed for the bank robbery charges, and restitution.
Joseph Nocella, Jr., United States Attorney for the Eastern District of New York, James C. Barnacle, Jr., Assistant Director in Charge, Federal Bureau of Investigation, New York Field Office (FBI), and Jessica S. Tisch, Commissioner, New York City Police Department (NYPD), announced the guilty plea.
“The defendant planned and carried out a violent armed robbery in broad daylight, threatening Brinks armored truck employees with a firearm while stealing more than half a million dollars destined for a neighborhood bank,” stated United States Attorney Nocella. “This calculated crime may have looked like a scene out a movie, but it was terrifyingly real, and placed the victims in fear for their lives. Today’s guilty plea ensures that the defendant will face the consequences of his violent actions.”
"This was a brazen, violent crime that put innocent people in immediate danger. The FBI and NYPD moved quickly to track down David Ortiz to ensure he faced federal charges,” stated FBI Assistant Director in Charge Barnacle. “Violent robberies have absolutely no place in New York, and we will not hesitate to go after those who threaten our communities. Our work with our partners has led to this guilty plea.”“This defendant planned and executed an armed robbery outside a bank in Queens, threatening employees at gunpoint and stealing more than $500,000 from an armored truck,” stated NYPD Commissioner Tisch. “He thought he could get away with this dramatic crime, but his plan was no match for the skilled NYPD detectives and the investigative tools they used to track and arrest him. I thank our investigators and the U.S. Attorney’s Office for the Eastern District of New York for working to hold this criminal accountable.”
According to court filings and statements made during the plea hearing, on the morning of June 2, 2025 at approximately 8:43 a.m., Ortiz and an accomplice, both wearing masks and armed with guns, staged an ambush outside a Bank of America branch located at 205-02 Linden Boulevard in Queens, New York. The pair arrived before the scheduled cash delivery and waited for Brinks employees to transport money from an armored truck into the bank. When the employees began wheeling a bag of cash toward the bank entrance, Ortiz brandished a firearm, ordered the employees to the ground, and stole the service weapon of one of the armored car guards. At the same time, Ortiz’s accomplice loaded the bag containing approximately $542,000 into a Chevrolet sport utility vehicle which did not have license plates. The two men then fled with the stolen cash. Later, NYPD officers recovered a mask, a jacket, and a firearm discarded by Ortiz in the vicinity of Hilburn Avenue and Dunkirk Street. The stolen cash has not been recovered and Ortiz’s accomplice remains at large.
The government’s case is being handled by the Office’s General Crimes Section. Special Assistant United States Attorney Brachah Goykadosh and Assistant U.S. Attorney Daniel Amzallag are charge of the prosecution.
The Defendant:
DAVID ORTIZ
Age: 49
Brooklyn, New York and TexasE.D.N.Y. Docket No. 2-CR-343 (EK)
Settlement Agreement Reached with East Hampton Housing Authority to Resolve Civil Rights Lawsuit Alleging Failure to Reasonably Accommodate a Minor Tenant Requiring Use of an Assistance AnimalRead the Press Release
Joseph Nocella, Jr., United States Attorney for the Eastern District of New York, announced today a Settlement Agreement with the East Hampton Housing Authority resolving the United States’ lawsuit against East Hampton Housing Authority under the Fair Housing Act. The lawsuit alleged that East Hampton Housing Authority discriminated against a minor tenant by refusing to permit him to live with his emotional support dog to accommodate his disability. As alleged, over the course of nineteen months during 2021 and 2022, East Hampton Housing Authority took the erroneous position that emotional support animals did not qualify for reasonable accommodation under the law. The settlement will ensure equal access to housing for all East Hampton Housing Authority tenants who demonstrate their need for a reasonable accommodation for assistance animals under the Fair Housing Act.
“Today’s settlement ensures that tenants with disabilities who require assistance animals will be reasonably accommodated so that they have the same opportunity to use and enjoy their homes as other tenants,” stated United States Attorney Nocella. “Our Office will continue to enforce the Fair Housing Act and its protections against discrimination for people with disabilities.”
Under the terms of the settlement, East Hampton Housing Authority has agreed to adopt a reasonable accommodation policy regarding requests for assistance animals, comply with certain notice, training, and recordkeeping requirements to ensure that its officers and employees are knowledgeable about and comply with the terms of the Fair Housing Act, and allow the United States to monitor compliance with the Settlement Agreement. East Hampton Housing Authority has also agreed to pay the victim’s family $82,500 in damages, upon a release of claims.
The Fair Housing Act makes it unlawful to discriminate in the terms and conditions of the sale or rental of, or to otherwise make unavailable or deny, a dwelling based on the prospective buyer or renter’s disability. The Fair Housing Act also mandates that reasonable accommodations in rules, policies, practices, and services be provided when necessary to afford equal housing opportunities to persons with disabilities.
This matter has been handled by Chief of the Office’s Civil Division Civil Rights Section Megan Freismuth.
usa_v._ehha_fully_executed_agreement_7.16.26.pdfEstonian National Pleads Guilty to Exporting Electronics for the Benefit of Russian MilitaryRead the Press Release
BROOKLYN, NY – Earlier today, in federal court in Brooklyn, Andrey Shevlyakov pleaded guilty to conspiracy to commit export violations for his role in a procurement network which obtained sensitive electronics for the benefit of Russian military and government contractors. The proceeding was held before United States District Judge Rachel P. Kovner. When sentenced, Shevlyakov faces a maximum sentence of 40 years’ imprisonment. The defendant has agreed to forfeit approximately $1.5 million to the government. Shevlyakov was arrested by Estonian authorities in 2023 and was extradited to the United States in August 2025.
Joseph Nocella, Jr., United States Attorney for the Eastern District of New York; John A. Eisenberg, Assistant Attorney General for the National Security Division; Jason M. Hudson, Special Agent in Charge, FBI Houston; and Ramon Alvarado, Acting Special Agent in Charge of the U.S. Department of Commerce, Bureau of Industry and Security – Office of Export Enforcement’s Dallas Field Office, announced the guilty plea.
“For nearly a decade the defendant operated a foreign procurement network and supplied sophisticated U.S. technology to hostile Russian military actors, undermining U.S. national security and the security of our allies,” stated United States Attorney Nocella. “Today’s guilty plea demonstrates that our Office will vigorously prosecute and hold to account those who aid Russian attempts to illegally procure U.S. technology, no matter who they are or where they reside.”
Mr. Nocella expressed his appreciation to the Department of Justice’s Office of International Affairs and the Estonian Internal Security Service (KAPO) for their assistance in investigating the defendant’s conduct and securing his arrest and extradition.
“Andrey Shevlyakov’s arrest was the result of a spinoff case from a much larger FBI investigation that goes back some 14 years,” stated FBI Houston Special Agent in Charge Hudson, “Given the length, complexities and transnational borders involved, this case was extremely difficult, but at the end of the day our team endured and justice prevailed. Shevlyakov’s plea is the result of the FBI’s commitment to national security and relentlessness in preventing our foreign adversaries from illegally acquiring U.S. technologies for their weapons systems – technologies that can one day be used against our own service members.”
According to court documents, Shevlyakov engaged in a years-long effort to evade U.S. export controls. The defendant was added to the U.S. Department of Commerce, Bureau of Industry and Security’s Entity list (Entity List), meaning he was prohibited from acquiring any items from the United States without the Department of Commerce’s permission. Using multiple shell companies, Shevlyakov deceived U.S. manufacturers and suppliers and acquired sensitive technology and electronics. He then shipped the items to end-users in Russia, including defense contractors and Russian government agencies.
Shevlyakov was aware of his prohibited status but flouted U.S. export controls. In one instance, Shevlyakov placed an order with a U.S. company for sensitive electronic components, but the company refused to sell to the defendant and informed him he was on the Entity List. Shevlyakov then canceled his order, only to place it again days later using a different email address and under a false name.
Shevlyakov’s scheme caused the illegal export of over $1 million worth of sensitive electronics from the United States. The items he obtained for his Russian customers included low-noise pre-scalers and synthesizers used to conduct high-frequency communications. He also obtained analogy-to-digital converters which are used in defense systems, including avionics, missiles, and electronic warfare systems. He communicated extensively with Russian defense contractors and telecommunications companies about the sensitive items he procured.
Shevlyakov traveled extensively between Estonia and Russia to deliver the items he obtained. International border crossing records for the period 2010-2016 show that during that period, Shevlyakov crossed the Estonian border and into Russia over 100 times, many times on same-day trips. Records provided by the Finnish government show that the defendant was stopped by Finnish authorities while trying to smuggle electronics into Russia. Shevlyakov failed to provide a customs declaration, and Finnish border guards searched the defendant’s car and discovered approximately €70,000 worth of electronics hidden throughout the vehicle.
The government’s case is being handled by the Office’s National Security and Cybercrime Section. Assistant United States Attorneys Alexander Mindlin and Gilbert Rein are in charge of the prosecution, along with Trial Attorney Maria Fedor of the National Security Division’s Counterintelligence and Export Control Section, and with the assistance of Paralegal Specialists Matthew Jennings, Rebecca Roth, and Emma Tavangari.
The Defendant:
ANDREY SHEVLYAKOV
Age:
Tallinn, EstoniaE.D.N.Y. Docket No. 22-CR-490 (RPK)
Enforcer for Brooklyn-Based “Bully Gang” Sentenced to 52 Years in PrisonRead the Press Release
Earlier today, in federal court in Brooklyn, Franklin Gillespie was sentenced by United States District Judge Brian M. Cogan to 52 years’ imprisonment for multiple crimes related to his high-ranking membership of the Bully Gang, a violent street gang based in the Bedford-Stuyvesant neighborhood of Brooklyn. Among other serious crimes, Gillespie committed two murders, including the murder of a potential witness, as well as two armed robberies, while on supervised release for multiple federal firearms convictions.
Gillespie was one of four Bully Gang leaders and managers who were convicted after a 13-week trial in 2024, in a case that resulted in the arrest and conviction of 53 defendants. Gillespie’s co-defendants at trial—Moeleek Harrell, Derrick Ayers, and Anthony Kennedy—were sentenced to 60 years’ imprisonment in April 2026, 59 years’ imprisonment in June 2026, and 41 years’ imprisonment in May 2026, respectively. The trial defendants were convicted variously of racketeering, murder conspiracies, assaults, firearms offenses, drug trafficking offenses, and money laundering conspiracies. In connection with the racketeering conviction, a jury found several racketeering acts proven, including murder, murder conspiracy, robbery, bribery, drug trafficking conspiracy, and money laundering.
Joseph Nocella, Jr., United States Attorney for the Eastern District of New York; Bryan DiGirolamo, Special Agent in Charge, Bureau of Alcohol, Tobacco, Firearms and Explosives, New York Division (ATF); Jessica S. Tisch, Commissioner, New York City Police Department (NYPD); and Nadia I. Shihata, Commissioner, New York City Department of Investigation (DOI), announced the sentence.
“Franklin Gillespie was one of the most violent members of an extraordinarily violent street gang and our Brooklyn community is rid of him thanks to today’s sentence,” stated United States Attorney Nocella. “This important prosecution demonstrates our Office’s commitment to seeking justice for Gillespie’s many victims and their families, and ensures that our communities will be protected in the future from the leaders of this violent criminal organization.”
Mr. Nocella thanked the United States Attorney’s Office in the District of Maine and the Maine Drug Enforcement Agency for their assistance during this investigation and prosecution.
“This sentence holds accountable a senior gang member whose actions brought violence, fear, and tragedy to our communities. From orchestrating violent criminal activity to committing multiple murders, armed robberies, the defendant demonstrated a complete disregard for human life and the rule of law. ATF/ NYPD Joint Firearms Task Force remains committed to working alongside the NYPD, the U.S. Attorney’s Office for the Eastern District of New York, and our law enforcement partners to identify, investigate, and dismantle violent criminal organizations, ensuring those who terrorize our neighborhoods are brought to justice,” stated ATF Special Agent in Charge DiGirolamo.
“For years, the Bully Gang waged a campaign of violence and terror in Brooklyn, committing murders, shootings, armed robberies, and drug trafficking,” stated NYPD Commissioner Tisch. “Thanks to the tireless work of NYPD investigators and our law enforcement partners, Franklin Gillespie and the other top members of this ruthless gang will never walk free on our streets again. This case is yet another example of the NYPD’s precision policing strategy at work – going after the gangs and the guns to make our communities safer.”
“This sprawling investigation and today’s outcome have made the people of Brooklyn and beyond safer. With this sentence, Franklin Gillespie, one of four high-ranking gang leaders responsible for terrorizing neighborhoods by instilling fear, trafficking drugs, and committing murder, has been held accountable for his devastating conduct,” stated DOI Commissioner Shihata. “While this sentence cannot bring his victims back to their loved ones or undo the devastation his crimes have caused—it sends a clear message that those who endanger our communities will be brought to justice. I thank the U.S. Attorney for the Eastern District of New York, the ATF’s New York Division and the NYPD for their partnership on this significant investigation.”
As proven during trial and set forth in court documents, the Bully Gang was a violent criminal organization whose members committed murders, including the murder of a potential law enforcement witness; regularly shot at gang rivals in public streets; burned down a home with people inside; committed armed robberies with an arsenal of weapons trafficked from out of state; and engaged in multiple sprawling narcotics trafficking schemes. Gillespie was the gang’s violent enforcer who targeted the gang’s enemies and committed multiple murders. Gillespie’s three co-defendants at trial also played critical roles in the gang: Harrell was a founder and leader who directed the gang’s crimes; Ayers ran the gang’s extensive Maine drug trafficking organization and committed numerous violent crimes for the gang, including murder; and Kennedy was a trusted member of the gang who participated in the murders carried out by Gillespie and the gang’s drug trafficking.
Crimes of Violence
Gillespie committed numerous acts of violence on behalf of the Bully Gang. Over four days in April 2020, Gillespie, with the assistance of Kennedy, murdered two people. First, Gillespie murdered Paul Hoilett in Crown Heights, Brooklyn. Before the murder, Gillespie surveilled and followed Hoilett as Hoilett walked down the sidewalk. Gillespie then shot Hoilett in the back of the head at point-blank range. On the day of the murder, Kennedy drove Gillespie from New Jersey to Brooklyn, where Gillespie met Mike Hawley. Hawley then drove Gillespie directly to the murder.
Four days later, Gillespie and Kennedy murdered Hawley in Far Rockaway, Queens. After Gillespie and Kennedy came to believe that law enforcement was looking for Hawley, they targeted Hawley to prevent him from speaking to law enforcement authorities about Hoilett’s murder. Kennedy drove Gillespie to and from Queens to commit this murder, while Gillespie arranged a meeting with Hawley in Queens under false pretenses. As with the murder of Hoilett, Gillespie shot Hawley multiple times, also at point-blank range. Gillespie and Kennedy took many steps to hide their involvement in this murder from law enforcement authorities, including removing the license plate and inspection sticker from the getaway car used in the murder.
In addition to these two murders, Gillespie committed many other violent crimes. In August 2020, Gillespie and other Bully Gang members and associates committed two gunpoint robberies on consecutive days in Manhattan. After the robberies, Gillespie and his co-conspirators made social media posts flaunting the proceeds of the robberies and bragging about their crimes. One week later, Gillespie was found with three guns, including the two guns used in these robberies.
Gillespie’s violence was part of a larger pattern of violence among members of the Bully Gang. For example, in a shooting on October 1, 2017, Harrell, Ayers, and other gang members targeted a victim who the gang believed was responsible for the death of one of the Bully Gang’s founders. During this shooting, their intended target and an innocent bystander were shot. Separately, Harrell, Ayers, and other gang members targeted their rival “Stukes Crew” in numerous acts of violence over several years. These acts of violence included Ayers’s murder of Jonathan Jackson, a Stukes Crew associate, in March 2018. Harrell, Ayers, and other Bully Gang members also planned and participated in three additional shootings in Crown Heights targeting the Stukes Crew. One of these shootings resulted in a car crash that injured multiple people.
Notably, Gillespie is not alleged to have committed these 2017 and 2018 shootings because, from March 2016 through August 2019, he was in federal prison in connection with his second federal gun conviction. At the time of the murders and other conduct of which he was convicted in this case, Gillespie was on federal supervised release in connection with the federal firearms convictions.
Drug Trafficking
While still on federal supervised release, Gillespie also played an important role in the Bully Gang’s drug trafficking operation in Maine. As part of this scheme, the Bully Gang and its associates transported large quantities of drugs, including cocaine base, heroin, and fentanyl, from New York and New Jersey to Maine, where they sold the drugs out of stash houses throughout the state. For months, Gillespie recruited and directed subordinates who sold and transported drugs, managed the gang’s stash houses, traveled to Maine in connection with the scheme, and collected hundreds of thousands of dollars in profit from the drug sales. All of Gillespie’s co-defendants at trial were also involved in the Maine drug trafficking scheme, including Ayers, who ran the day-to-day operations of the scheme for many years.
Other members and associates of the gang, including Harrell and Kennedy, ran a separate drug smuggling scheme at jail facilities on Rikers Island. In connection with this scheme, Harrell, Kennedy, and their co-conspirators arranged for comic books and other papers soaked in synthetic cannabinoids, also known as “K2,” to be delivered to Rikers where the drugs were sold to inmates at a substantial profit.
* * * * *
The government’s case is being handled by the Office’s Organized Crime and Gangs Section. Assistant United States Attorneys Nicholas J. Moscow, Lindsey R. Oken, Joy Lurinsky, Victor Zapana, and Stephen H. Petraeus, and former Assistant United States Attorneys Drew Rolle and Michael J. Castiglione, were in charge of the prosecution, with significant assistance from Legal Administrative Specialist Samantha Ward, Intelligence Analyst Eungee Hwang, and Law Enforcement Coordinator Specialist Herbert Martin, among others.
The Defendants:
DERRICK AYERS (also known as “Dee” and “Mel”)
Age: 39
Rahway, New Jersey
(Sentenced to 59 years’ imprisonment on June 18, 2026)FRANKLIN GILLESPIE (also known as “Spazz” and “Frankie Gino”)
Age: 35
Newark, New Jersey
(Sentenced to 52 years’ imprisonment on July 22, 2026)MOELEEK HARRELL (also known as “Moe Money”)
Age: 36
Brooklyn, New York
(Sentenced to 60 years’ imprisonment on April 30, 2026)ANTHONY KENNEDY (also known as “Biggie”)
Age: 40
Queens, New York
(Sentenced to 41 years’ imprisonment on May 12, 2026)E.D.N.Y. Docket Nos. 11-CR-371 (BMC), 16-CR-252 (BMC), 20-CR-239 (S-8) (BMC), 20-CR-240 (BMC), 25-CR-229 (BMC)
E.D.N.Y. Docket Nos. 20-CR-239 (S-8) (BMC) and 20-CR-240 (BMC)
Owner of Long Island Ambulette Services Company Sentenced to Prison for Multimillion Dollar Healthcare Fraud SchemeRead the Press Release
Earlier today, in federal court in Central Islip, Adnan Arshad, also known as “Eddie,” was sentenced by United States District Judge Joan M. Azrack to 97 months in prison for conspiracy to commit healthcare fraud and conspiracy to commit money laundering in connection with a scheme to steal over $19 million from Medicaid. Arshad was also ordered to pay forfeiture of over $19 million, including the forfeiture of several real properties and vehicles.
Joseph Nocella, Jr., United States Attorney for the Eastern District of New York; Naomi Gruchacz, Special Agent in Charge, U.S. Department of Health and Human Services, Office of Inspector General (HHS-OIG); Harry T. Chavis, Jr., Special Agent in Charge, Internal Revenue Service-Criminal Investigation, New York (IRS-CI); and Raymond A. Tierney, Suffolk County District Attorney, announced the sentence.
“While taxpayers footed the bill, Arshad financed a lavish lifestyle with multimillion-dollar homes and luxury vehicles. Today’s sentence sends a clear message that those who defraud public healthcare programs for personal enrichment should take notice of the price this defendant will now pay for his greed,” stated United States Attorney Nocella. “Our Office and the Administration are vigorously prosecuting criminals like the defendant who treat Medicaid like their own personal piggy bank.”
Mr. Nocella expressed his appreciation to the Office of the New York State Comptroller and the Medicaid Fraud Control Unit of the New York State Attorney General's Office for their work on the case.
“The defendant in this case brazenly defrauded the Medicaid program of tens of millions of dollars for transportation services that were never provided,” stated HHS-OIG Special Agent in Charge Gruchacz. “HHS-OIG will continue to work with our law enforcement partners to hold accountable individuals who, to satisfy their own greed, exploit federal health care programs.”
“Adnan Arshad and his co-conspirators orchestrated a scheme that siphoned millions from Medicaid, depriving vulnerable patients of resources and fueling a lavish lifestyle built on fraud,” stated IRS-CI New York Special Agent in Charge Chavis. “This sentencing demonstrates that IRS Criminal Investigation will relentlessly pursue those who exploit public healthcare programs for personal gain. Today, justice has caught up with those who treat taxpayer dollars as their own.”
“Healthcare fraud on this scale does not stay hidden, and it will not go unpunished. This defendant saw hard-earned taxpayer funds meant for the less-fortunate as nothing more than a way to line his pockets. He billed Medicaid for transportation that never happened to finance a lavish lifestyle at the public's expense," stated Suffolk County District Attorney Tierney. “My Office is proud to stand with our federal partners to ensure that this defendant answers for his greed and forfeits what he stole.”
As set forth in court filings and facts presented in court, Arshad owned MTK Taxi LLC in Montauk, Long Island, and co-owned All-Star Taxi LLC, in Ronkonkoma. From approximately December 2020 to his arrest in June 2024, Arshad and his co-conspirators orchestrated a scheme to defraud Medicaid by paying illegal health care kickbacks to Medicaid beneficiaries in exchange for ordering transportation services through their companies, including transportation purportedly for methadone treatment at addiction treatment centers. In reality, Arshad’s companies generally did not provide the medical transportation services for which they billed Medicaid. Instead, they submitted millions of dollars in fraudulent claims for nonexistent rides, including claims for individuals who were deceased, hospitalized or incarcerated.
Arshad and his co-conspirators also inflated their Medicaid reimbursements by directing beneficiaries to request transportation to addiction treatment centers in New York City, despite the availability of numerous treatment centers on Long Island, and by instructing beneficiaries to provide false pickup addresses to make the trips appear longer and therefore more lucrative. Through this scheme, the transportation companies owned or operated by Arshad and his co-conspirators billed Medicaid over $16 million for trips to three addiction treatment centers in New York City.
Arshad used the illicit proceeds to expand and perpetuate the scheme by purchasing several additional transportation vehicles and to finance a lavish lifestyle, including the purchase of multimillion-dollar homes and luxury vehicles, such as a Ferrari and multiple BMWs and Mercedes.
To date, at least five of Arshad’s co-conspirators have pleaded guilty for their participation in the scheme and are awaiting sentencing.
The government’s case is being prosecuted by the Criminal Section of the Office’s Long Island Division. Assistant United States Attorney Adam Toporovsky and Special Assistant United States Attorney Jennifer Milito of the Suffolk County District Attorney’s Office are in charge of the prosecution, with the assistance of Paralegal Specialist Janelle Robinson. Assistant United States Attorney Tanisha Payne of the Office’s Asset Forfeiture Section is handling forfeiture matters.
On April 7, 2026, the Department of Justice announced the creation of the National Fraud Enforcement Division (Fraud Division). The Fraud Division is focused on investigating and prosecuting those who commit fraud against the American people.
The Defendant:
ADNAN ARSHAD (also known as “Eddie”)
Age: 47
Mount Sinai, New YorkE.D.N.Y. Docket No. 24-CR-231 (JMA)
Eight Defendants, Including Current and Former New York City Correction Officers, a Texas Parole Officer, and a New York City Transit Authority Employee, Charged in Check Fraud SchemeRead the Press Release
Earlier today, at the federal courthouse in Brooklyn, Bianca Vieux was arraigned on a superseding indictment charging Vieux and seven other defendants in a fraud scheme relating to deposits of falsified checks and the production of fraudulent Social Security cards. Vieux was arrested on July 7, 2026 in Fort Lauderdale, Florida. Steven Boyce, Daija-Nek Johnson, Michelle Wilson, and Valeria Waldron were arrested on June 18, 2026 and previously arraigned. Christopher Walker and Destiny Mendez were previously charged in the original indictment and their cases are pending. One additional defendant remains at large. In addition, in May 2026, two defendants charged in the original indictment, Aaron Warren and Tara Dildy, pleaded guilty to conspiracy to commit wire fraud and bank fraud and are awaiting sentencing.
Several of the defendants are current or former government employees. Walker is a New York City Correction Officer and made at least one fraudulent deposit while wearing his Department of Correction uniform. Waldron is a former New York City Correction Officer and was more recently employed as a parole officer with the Texas Department of Criminal Justice. Boyce is a track worker with the New York City Transit Authority. Warren and Dildy are also former New York City Correction Officers.
Joseph Nocella, Jr., United States Attorney for the Eastern District of New York; Harry T. Chavis, Jr., Special Agent in Charge, Internal Revenue Service-Criminal Investigation, New York (IRS-CI); and Nadia I. Shihata, Commissioner, New York City Department of Investigation (DOI), announced the arrests and charges in the superseding indictment.
“As alleged, the defendants conspired to create and deposit fake checks at various banks to line their own pockets at the expense of financial institutions,” stated United States Attorney Nocella. “It is particularly egregious when individuals who took an oath to uphold the law and serve the public, choose to commit serious federal crimes to serve themselves.”
“Public employees who exploit their positions for fraud don’t just break the law—they break the public’s trust. These defendants allegedly turned their access into a multi‑million‑dollar scheme built on fake checks, fraudulent documents, and deception. IRS‑CI and our law enforcement partners will follow the money, cut through the lies, and hold anyone who abuses their authority fully accountable,” stated IRS-CI New York Special Agent in Charge Chavis.
“As alleged in the superseding indictment, Vieux, Johnson, Mendez, Walker, Waldron, and Wilson each participated in a scheme to deposit into bank accounts falsified checks made out to themselves from various entities. Vieux orchestrated the scheme, advertising her services on an encrypted messaging platform, and solicited recruits to provide their debit cards and bank account information. As Vieux herself said in a text message: “lol I scam the government not human beings[.] I don’t steal from people I still [sic] from banks[.]” Once Vieux received an accountholder’s banking information, she or another co-conspirator would deposit a falsified check into their account. If it cleared, the accountholder would travel to Queens to make large cash withdrawals in person at various bank branches, stated DOI Commissioner Shihata.
Johnson, Mendez, Walker, Waldron, and Wilson were each recruited to receive deposits of falsified checks into their bank accounts and, if the funds cleared, make large cash withdrawals from their accounts. Walker took the scheme further, hiring other fraudsters to create fake checks and documents for him. Boyce created fake Social Security cards for Walker in exchange for a fee and explicitly acknowledged in a text message that he was in the business of “fraudulent federal documents.”
In total, the defendants created and/or deposited over $3 million worth of fictitious checks and obtained over $500,000 in fraudulent proceeds. The defendants spent their stolen cash on luxury handbags, plastic surgery, and tropical vacations, among other personal expenses.
The charges in the superseding indictment are allegations, and the defendants are presumed innocent unless and until proven guilty.
The government’s case is being handled by the Office’s Public Integrity Section. Assistant United States Attorney Russell Noble is in charge of the prosecution, with the assistance of Paralegal Specialist Daniel Arakawa.
The Defendants:
BIANCA VIEUX
Age: 33
Fort Lauderdale, FloridaSTEVEN BOYCE
Age: 32
Brooklyn, New YorkDAIJA-NEK JOHNSON
Age: 21
Queens, New YorkDESTINY MENDEZ
Age: 29
Brooklyn, New YorkCHRISTOPHER WALKER
Age: 34
Queens, New YorkVALERIA WALDRON
Age: 37
Pflugerville, TexasMICHELLE WILSON
Age: 54
Fort Worth, TexasDefendants Who Previously Pled Guilty:
AARON WARREN
Age: 36
Queens, New YorkTARA DILDY
Age: 36
Queens, New YorkE.D.N.Y. Docket No. 25-CR-271 (S-1) (NCM)
bianca_vieux_et_al._indictment.pdfCo-Founder of Sinaloa Cartel, Ismael “El Mayo” Zambada Garcia, Sentenced to Life in Prison for Engaging in a Continuing Criminal Enterprise and Other Drug-Related ChargesRead the Press Release
BROOKLYN, NY - Ismael “El Mayo” Zambada Garcia was sentenced today by United States District Judge Brian M. Cogan in federal court in Brooklyn to life in prison without the possibility of parole for his role as a principal leader of a continuing criminal enterprise — the Sinaloa Cartel, one of the most violent and powerful drug trafficking organizations in the world — and for Racketeer Influenced and Corrupt Organizations (RICO) violations.
Zambada Garcia pleaded guilty on August 25, 2025, admitting to being a principal leader of the continuing criminal enterprise and to the RICO charge. As part of his plea agreement, the Court entered a $15 billion forfeiture money judgment against him at today’s sentencing.
Joseph Nocella, Jr., United States Attorney for the Eastern District of New York; A. Tysen Duva, Assistant Attorney General, Head of the Justice Department’s Criminal Division; Terry Cole, Administrator, Drug Enforcement Administration (DEA); Frank Tarentino, Associate Chief of Operations (DEA), North East Region; John A. Condon, Acting Executive Associate Director for Homeland Security Investigations (HSI); Jeffrey L. Tyler, Special Agent in Charge, Federal Bureau of Investigation, Washington Field Office (FBI); Jason A. Reding Quiñones, United States Attorney for the Southern District of Florida; and Justin R. Simmons, United States Attorney for the Western District of Texas announced the sentence.
“Ismael Zambada Garcia spent nearly four decades poisoning American communities to make billions of dollars in profit and ordering the murders of anyone who stood in his way. Today, that chapter closes for good,” stated United States Attorney for the Eastern District of New York Joseph Nocella, Jr. “He will spend the rest of his life in a United States prison, exactly where he belongs. This sentence was made possible by the tireless bilateral cooperation between U.S. and Mexican law enforcement who refused to let El Mayo’s years of evading justice become a permanent state of affairs. We hope that today’s sentence brings some measure of justice to the countless victims of the Sinaloa Cartel’s narcotics trafficking and violence.”
“Today, narco-trafficker El Mayo was sentenced to life in prison, marking the end of his reign over the Sinaloa Cartel, one of the most violent and deadly drug cartels in history. He will never again inflict carnage, corrupt public officials, or traffic deadly drugs into our communities that ruin Americans and their families,” said Assistant Attorney General A. Tysen Duva of the Justice Department’s Criminal Division. “El Mayo’s conviction is historic, and it reflects the Justice Department’s commitment to the total elimination of cartels and transnational criminal organizations that threaten American lives. To those who remain: we will find you, we will prosecute you, and you, too, will face substantial time in prison.”
“Today’s sentencing sends a clear message to every cartel, every foreign terrorist leader: no matter how powerful you become or how long you evade justice, DEA will not stop pursuing you. For decades, Ismael ‘El Mayo’ Zambada García helped lead the Sinaloa Cartel – now designated a Foreign Terrorist Organization – fueling violence, corrupting public institutions, and trafficking fentanyl into the United States, where it has become a weapon of mass destruction that has claimed countless American lives. This outcome reflects the unwavering determination of DEA and our law enforcement partners, who never stopped pursuing this case. Justice does not have an expiration date, and neither does our resolve. We will continue targeting the leaders of the Sinaloa Cartel and every criminal organization that threatens the American people,” stated DEA Administrator Terrance C. Cole.
“Today, the United States closes the book on one of the most violent and destructive criminal figures of our time — the most prolific drug trafficker in modern history: Ismael 'El Mayo' Zambada Garcia,” stated HSI Acting Executive Associate Director John A. Condon. “For nearly two decades, HSI special agents and investigators interviewed countless witnesses, dissected every shred of evidence, and devoted themselves, through sleepless nights and early mornings, to making certain that 'El Mayo' and his co-conspirators would face justice on behalf of Sinaloa’s victims. Through the Homeland Security Task Force framework, HSI fused its global investigative reach, financial expertise, and border authorities with the invaluable capabilities of the FBI, the DEA, the U.S. Marshals Service, and our Department of Justice counterparts. With this sentencing, HSI, together with our invaluable HSTF partners, has taken one of the world’s most dangerous criminals off the map permanently.”
“El Mayo's sentencing is a testament to the dedication of dozens of law enforcement officers and attorneys who labored over this case for decades," stated Jeffrey Tyler, Special Agent in Charge of the FBI Washington Field Office'. “It’s also a victory for every American family who has lost a loved one to a drug overdose and every Mexican community that has lived in fear of cartel violence. In the wake of this sentencing, the FBI and our partners vow to continue to pour our collective resources into dismantling the cartel — bringing every faction leader, plaza boss, and assassin to justice.”
“Ismael ‘El Mayo’ Zambada Garcia spent nearly four decades leading a cartel that poisoned American communities, corrupted public officials, and used murder and terror to protect its power. Today’s life sentence ensures that his reign of violence is over for good. This result reflects years of determined work by prosecutors in the Southern District of Florida, who helped build and carry this case alongside our partners in Brooklyn, Texas, the Criminal Division, and federal law enforcement. No cartel leader is beyond the reach of American justice, and the Southern District of Florida will stay in the fight until the job is finished,” stated Jason A. Reding Quiñones, United States Attorney for the Southern District of Florida.
“The sentencing of Zambada Garcia to life in federal prison is a landmark moment in the fight against transnational criminal organizations,” stated Justin R. Simmons, United States Attorney for the Western District of Texas. “This Administration has made the total elimination of cartels a national priority because Mexican drug cartels are a multifaceted threat to the American way of life. Today’s sentencing is yet another example of our commitment to accomplishing that goal. The Western District of Texas is literally on the front lines of that fight, and our AUSAs and support staff will continue to wake up every day and do the next right thing on behalf of the American people just as they did in this case and so many cases like it.”
Zambada Garcia had faced indictments in six federal jurisdictions: the Eastern District of New York, United States v. Zambada Garcia, et al., 09-CR-466 (EDNY) (the “EDNY Indictment”); the Western District of Texas, United States v. Zambada Garcia, et al., 12-CR-849 (WDTX) (the “WDTX Indictment”); the District of Columbia (03-CR-34; 03-CR-331 (DDC)); the Northern District of Illinois (09-CR-383 (NDIL)); the Southern District of California (14-CR-658 (SDCA)); and the Central District of California (15-CR-566 (CDCA)).
Pursuant to a plea agreement, Zambada Garcia agreed to the transfer of the WDTX Indictment for plea and sentencing in the Eastern District of New York. Zambada Garcia was thus held accountable in the Eastern District of New York for the criminal conduct encompassing both indictments. The remaining indictments will be dismissed in the coming days.
The EDNY Indictment charged Zambada Garcia with being a principal leader of a continuing criminal enterprise for conduct spanning January 1989 through January 2024. The WDTX Indictment charged him with RICO conspiracy for his participation in money laundering, murder, and drug conspiracies, as well as violations of state law for murder and kidnapping, for conduct between January 1, 2000 and April 11, 2012.
Zambada Garcia’s rise to power began with the Sinaloa Cartel’s inception and ended with his arrest in July 2024. Previously known as the Mexican Federation, the Sinaloa Cartel is a drug trafficking organization based in Sinaloa, Mexico, that since approximately the late 1980s has imported lethal quantities of narcotics — including, among others, cocaine, heroin, methamphetamine, and fentanyl — into the United States and laundered billions of dollars in drug proceeds back to Mexico.
The Sinaloa Cartel’s operations initially focused on cocaine distribution based on cooperative arrangements and close coordination with South American sources of supply and distribution networks. This changed in the 2000s when the Colombians, seeing increased law enforcement activity, started to abandon their U.S. distribution businesses in favor of permitting Mexican traffickers to invest in cocaine shipments at wholesale prices, which those Mexican traffickers would then distribute in the United States. As a result, Mexican traffickers and the Sinaloa Cartel began to take a more integral role in moving cocaine from Colombia into and throughout the United States. Under Zambada Garcia’s leadership, the Cartel also recently branched out into the production and trafficking of fentanyl, including by purchasing fentanyl precursor chemicals from Chinese companies and producing many thousands of kilograms of fentanyl in laboratories both in rural areas and major cities in Mexico for distribution in the United States.
The Sinaloa Cartel’s distribution networks also have supported money laundering efforts that have delivered billions of dollars in illegal profits generated from drug sales in the United States back to the Sinaloa Cartel. Increased profits allowed the Sinaloa Cartel’s operations to grow a large-scale narcotics transportation network involving the use of land, air, and sea transportation assets, which eventually led to the Sinaloa Cartel shipping multi-ton quantities of cocaine from South America, through Central America and Mexico, and finally into the United States.
Zambada Garcia has devoted his efforts over decades to growing, increasing, and enhancing the power of the Cartel, and to growing his individual power and position in the Cartel after his partner El Chapo was captured in 2016. Under Zambada Garcia’s leadership, the Cartel regularly used brutal violence, intimidation, and murder to silence potential witnesses and dissuade law enforcement from performing its duties. Zambada Garcia has operated with impunity at the highest levels of the Mexican drug trafficking world while being assured of his continued success and safety from arrest through his payment of bribes to Mexican government officials and law enforcement officers. He controlled those corrupt officials and officers who protected his workers and drug shipments as his drugs were transported across Mexico and into the United States. Numerous witnesses have testified, including at the trials of El Chapo and corrupt former Mexican Secretary of Public Security Genaro García Luna, that corruption at all levels was necessary to allow the Zambada Garcia’s criminal enterprise to function so effectively at such a large scale: from local police officers who escorted the drugs through Mexico, to corrupt officials who informed the Cartel of military actions, thwarted capture operations, and consulted with the Cartel about proceedings and investigations against it.
HSI, the FBI, and the DEA investigated the case.
The government’s case is being handled by the Office’s International Narcotics and Money Laundering Section, and as part of the work of the Office’s Transnational Criminal Organizations Strike Force. Assistant United States Attorneys Francisco J. Navarro, Robert M. Pollack, Adam Amir, and Rebecca M. Urquiola are leading the prosecution for the Eastern District of New York. Assistant United States Attorney Laura Mantell of the Office’s Asset Forfeiture Section is handling forfeiture matters. Assistant United States Attorneys Monique Botero and Andrea Goldbarg of the Southern District of Florida and Assistant United States Attorneys Antonio Franco and Kyle Myers of the Western District of Texas are leading the prosecution for their respective offices. Trial Attorneys Jayce Born and Kirk Handrich are leading the prosecution for the U.S. Department of Justice Criminal Division’s Money Laundering, Narcotics and Forfeiture Section. The U.S. Attorneys’ Offices for the Northern District of Illinois, Central District of California, and Southern District of California provided substantial assistance.
This prosecution is also part of the Homeland Security Task Force (HSTF) initiative established by Executive Order 14159, Protecting the American People Against Invasion. The HSTF is a whole-of-government partnership dedicated to eliminating criminal cartels, foreign gangs, transnational criminal organizations, and human smuggling and trafficking rings operating in the United States and abroad. Through historic interagency collaboration, the HSTF directs the full might of U.S. law enforcement towards identifying, investigating, and prosecuting the full spectrum of crimes committed by these organizations, which have long fueled violence and instability within our borders. In performing this work, the HSTF places special emphasis on investigating and prosecuting those engaged in child trafficking or other crimes involving children. The HSTF further utilizes all available tools to prosecute and remove the most violent criminal aliens from the United States.
The Defendant:
ISMAEL ZAMBADA GARCIA (also known as “El Mayo”)
Age: 76
MexicoE.D.N.Y. Docket Nos. 09-CR-466 (BMC) (S-5), 25-CR-262 (BMC)
Venezuelan National Charged with Production of Child PornographyRead the Press Release
Yesterday, at the federal courthouse in Brooklyn, Edixon Briceno Montilla was charged in a criminal complaint with the sexual exploitation of a minor. Montilla was arrested yesterday and made his initial appearance before United States Magistrate Judge James R. Cho and was ordered detained pending trial.
Joseph Nocella, Jr., United States Attorney for the Eastern District of New York, and Pete Gizas, Acting Special Agent in Charge, Homeland Security Investigations, New York (HSI), announced the arrest.
“As alleged, Montilla preyed on minors who he had access to, abused them for his own sexual gratification, and filmed their victimization,” stated United States Attorney Nocella. “Prosecuting those who victimize children is a priority for the Department of Justice, this Office, and our law enforcement partners.”
“Edixon Briceno Montilla’s alleged conduct represents a level of depravity that is difficult to put into words. As charged, he targeted innocent children entrusted to his proximity, sexually abused them for his own gratification, recorded that abuse, and did so while brazenly remaining in this country unlawfully — demonstrating a callous disregard for his young victims and the safety of our entire community. HSI New York is unwavering in our commitment to protecting vulnerable members of our communities from those who would exploit them, and we will continue to aggressively pursue anyone who targets children, wherever they may try to hide," stated HSI Acting Special Agent in Charge Gizas.
As set forth in court filings and statements, Montilla was identified by law enforcement as the male adult who sexually abused a minor victim in a video depicting child sexual abuse that had circulated on the dark web. Law enforcement executed a judicially-authorized search warrant at Montilla’s residence in Brooklyn, New York, and recovered Montilla’s cellular telephone, which had additional videos that he had filmed and that depict his sexual abuse of another minor victim.
The charge in the complaint is an allegation and the defendant is presumed innocent unless and until proven guilty. If convicted of the charge, the defendant faces a mandatary minimum of 15 years in prison and up to 30 years in prison.
If you believe you were victimized by the defendant, or know someone who was, please contact the Homeland Security Investigations Tipline at 1-800-843-5678 or HSI Know2Protect: 1-833-591-5669.
This prosecution is part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by United States Attorneys’ Offices, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
This prosecution is also part of the Homeland Security Task Force (HSTF) initiative established by Executive Order 14159, Protecting the American People Against Invasion. The HSTF is a whole-of-government partnership dedicated to eliminating criminal cartels, foreign gangs, transnational criminal organizations, and human smuggling and trafficking rings operating in the United States and abroad. Through historic interagency collaboration, the HSTF directs the full might of U.S. law enforcement towards identifying, investigating, and prosecuting the full spectrum of crimes committed by these organizations, which have long fueled violence and instability within our borders. In performing this work, the HSTF places special emphasis on investigating and prosecuting those engaged in child trafficking or other crimes involving children. The HSTF further utilizes all available tools to prosecute and remove the most violent criminal aliens from the United States.
The government’s case is being handled by the Office’s General Crimes Section. Assistant United States Attorney Rebecca Sussman is in charge of the prosecution.
The Defendant:
EDIXON BRICENO MONTILLA
Age: 28
Brooklyn, New YorkE.D.N.Y. Docket No. 26-MJ-142 (JRC)
montilla_complaint.pdfTwo Members of Chinese Money Laundering Network Charged with Laundering Investment Fraud ProceedsRead the Press Release
Earlier today, in federal court in Brooklyn, an indictment was unsealed charging Zhuoying Chen, also known as “Jolene,” and Haojie Zhang, also known as “Kevin,” with money laundering conspiracy in connection with their participation in a scheme to launder funds derived from cyber investment fraud scams, or “pig butchering” scams. The defendants were arrested today and will be arraigned this afternoon before United States Magistrate Judge James R. Cho.
Joseph Nocella Jr., United States Attorney for the Eastern District of New York; A. Tysen Duva, Assistant Attorney General, Head of the Justice Department’s Criminal Division; John A. Condon, Executive Associate Director, Homeland Security Investigations (HSI); James C. Barnacle, Jr., Assistant Director in Charge, Federal Bureau of Investigation, New York Field Office (FBI); Harry T. Chavis, Jr., Special Agent in Charge, Internal Revenue Service Criminal Investigation, New York (IRS-CI New York); and Ketty Larco-Ward, Inspector in Charge, United States Postal Inspection Service, New York Division (USPIS) announced the arrests and indictment.
“As alleged, the defendants were key members of a sophisticated money laundering network that funneled over $40 million in victim funds to bank accounts in China,” stated United States Attorney Nocella. “Our Office will continue in its strong tradition of holding accountable anyone who seeks to prey on vulnerable victims with investment fraud schemes.”
“As alleged in the indictment, the defendants laundered fraud proceeds, enabling scammers to continue to victimize Americans and deprive them of their hard-earned money,” stated Assistant Attorney General Duva. “Dismantling Chinese money laundering networks that support investment fraud schemes is critical to protecting Americans. The Criminal Division will relentlessly pursue the financial networks that fuel and profit from these fraud schemes.”
“For nearly two years, these two Chinese nationals allegedly ran a sophisticated, illicit network that laundered funds stolen from unsuspecting victims’ life savings,” stated HSI Acting Executive Associate Director Condon. “Thanks to the dedicated efforts of HSI and our partners on the Homeland Security Task Force, this dangerous criminal enterprise has been exposed. HSI special agents remain relentless in their pursuit to dismantle money laundering networks and bring to justice anyone who seeks to profit from defrauding hard-working Americans.”
“The defendants' alleged operation laundered more than $40 million from American victims and deposited them directly in Chinese accounts overseas. The FBI is committed to working alongside our federal partners to dismantle scam compounds that seek to steal the hard-earned money of our citizens,” stated FBI Assistant Director in Charge Barnacle.
“Today’s indictment shows we’re not backing down against fraudsters who target innocent people—justice is coming for those who steal from hardworking Americans,” stated IRS-CI New York Special Agent in Charge Chavis. “This case reflects how IRS‑CI and our partners work side‑by‑side to uncover money‑laundering networks and protect the public. Together, we’re pushing forward to ensure Americans’ hard‑earned money is safe from schemes like these.”
“Investment fraud schemes exploit the trust of victims through false promises of favorable returns,” stated USPIS Inspector in Charge Larco-Ward. "The US Postal Inspection Service is committed to investigating fraud and protecting the community from those who seek to profit through deception.“
As alleged in the indictment, between 2020 and 2022, Chen and Zhang managed a network of more than a dozen individuals based in Queens and Brooklyn, New York who opened bank accounts in the name of shell companies to launder proceeds of investment scams known as “pig butchering” fraud schemes, a term derived from a foreign-language phrase used by perpetrators to describe the crimes. These schemes consist of perpetrators contacting victims via messaging services or social media applications. The perpetrators then initiate relationships with the victims and gain their trust, convincing victims to send money for lucrative investment opportunities. The perpetrators also show the victims fake profits on the purported investment and encourage the victims to invest more. Ultimately, the perpetrators steal the victims’ funds.
Chen and Zhang allegedly conspired with China-based co-conspirators to transfer the funds involved in pig butchering fraud schemes abroad. Chen, Zhang and other co-conspirators oversaw the use of approximately 45 shell companies and 140 company bank accounts located primarily in the Eastern District of New York to launder at least $43 million in criminal proceeds from these schemes.
The charges in the indictment are allegations and the defendants are presumed innocent unless and until proven guilty. If convicted, each defendant faces a maximum sentence of 20 years’ imprisonment.
This prosecution is also part of the Homeland Security Task Force (HSTF) initiative established by Executive Order 14159, Protecting the American People Against Invasion. The HSTF is a whole-of-government partnership dedicated to eliminating criminal cartels, foreign gangs, transnational criminal organizations, and human smuggling and trafficking rings operating in the United States and abroad. Through historic interagency collaboration, the HSTF directs the full might of U.S. law enforcement towards identifying, investigating, and prosecuting the full spectrum of crimes committed by these organizations, which have long fueled violence and instability within our borders. In performing this work, the HSTF places special emphasis on investigating and prosecuting those engaged in child trafficking or other crimes involving children. The HSTF further utilizes all available tools to prosecute and remove the most violent criminal aliens from the United States.
The government’s case is being handled by the Office’s Business and Securities Fraud Section and by the Department of Justice’s Money Laundering, Narcotics and Forfeiture Section. Assistant United States Attorneys Benjamin Weintraub and David I. Berman, and Trial Attorneys Claire Galasso, David Ginensky, and Adrienne Rosen are in charge of the prosecution, with assistance from Paralegal Specialist Laura Mansour.The Defendants:
ZHUOYING CHEN (also known as “Jolene”)
Age: 27
Brooklyn, New YorkHAOJIE ZHANG (also known as “Kevin”)
Age: 38
Queens, New YorkE.D.N.Y. Docket No. 26-CR-205 (KAM)
Florida Man Charged with Trafficking Thousands of Kilograms of Cocaine from Puerto Rico to John F. Kennedy Airport and Long IslandRead the Press Release
An indictment was unsealed yesterday in federal court in Central Islip charging Omar Morales-Negron, also known as “O,” with conspiracy to distribute and possession with intent to distribute cocaine, and two counts of possession with intent to distribute cocaine. Morales Negron was arrested on July 14, 2026 in Florida and will be arraigned in the Eastern District of New York at a later date.
Joseph Nocella, Jr., United States Attorney for the Eastern District of New York; Pete Gizas, Acting Special Agent in Charge, Homeland Security Investigations, New York (HSI New York); Frank A Tarentino III, Associate Chief of Operations, U.S. Drug Enforcement Administration, Northeast Region (DEA); and James C. Barnacle, Jr., Assistant Director in Charge, Federal Bureau of Investigation, New York Field Office (FBI), announced the arrest and indictment.
“As alleged, the defendant coordinated the shipments of massive amounts of cocaine into our Long Island community,” stated United States Attorney Nocella. “For years Morales-Negron profited from his international trafficking and taking advantage of end users who are addicted to his drugs. These charges will hold him accountable for the harm he has wrought.”
“As alleged, Omar Morales-Negron directed a criminal pipeline that moved thousands of kilograms of cocaine from Puerto Rico into Long Island, hiding drugs inside furniture and sham electronics shipments to flood our neighborhoods with poison. By dismantling this operation and seizing hundreds of kilograms of cocaine, HSI New York and our partners have cut off a major source of narcotics that fuels addiction, violence, and instability in our communities. HSI, as a leader of the Homeland Security Task Force New York, together with HSI Tampa and our law enforcement partners will continue to combine intelligence, investigative authorities, and resources to confront transnational criminal organizations and safeguard the American people,” stated HSI Acting Special Agent in Charge Gizas.
“By concealing cocaine inside furniture and shipments disguised as electronic parts, Omar Morales-Negron deliberately attempted to evade law enforcement while fueling addiction and violence throughout Long Island and our region” stated DEA Northeast Associate Chief of Operations Tarentino. “As alleged, Morales-Negron operated a sophisticated drug trafficking organization responsible for moving thousands of kilograms of cocaine from Puerto Rico into New York. The seizure of more than 465 kilograms of cocaine, coupled with investigative findings indicating the distribution of more than $100 million worth of cocaine on Long Island, underscores the immense scale of this operation. Thanks to the hard work of the DEA, our prosecutors, and our law enforcement partners, Morales-Negron is now in New York to answer for the harm he inflicted on the very communities he sought to poison.”
“Omar Morales-Negron allegedly trafficked large quantities of cocaine right into our backyard. Drug trafficking tears at our communities, fueling violence, addiction, and instability. The FBI, with its partners, continues to disrupt these operations to protect our neighborhoods,” stated FBI Assistant Director in Charge Barnacle.
From 2019 through the present, the defendant coordinated large scale shipments and distribution of narcotics from Puerto Rico to Long Island utilizing, among other methods, freight shipping routes. The defendant’s drug trafficking organization (DTO) shipped narcotics, which were secreted inside furniture, by ocean freight from Puerto Rico to the continental United States. Once the narcotics arrived in the United States, DTO members loaded the furniture containing narcotics onto trucks and transported them to warehouses in New York, including locations in the Eastern District of New York for distribution.
The defendant also orchestrated the surreptitious shipment of narcotics through the United Parcel Service. All the suspected narcotics-filled shipments weighed approximately the same amount and were labeled as electronics parts sent from a fictious corporation in Puerto Rico (“Company-1”) to John F. Kennedy International Airport (JFK Airport). Once the purported electronics parts arrived at the JFK Airport, other members of the DTO picked up the shipments for further distribution within the United States.
To date, law enforcement has intercepted some of the narcotics trafficked by the defendant’s DTO including:
- The January 29, 2026, seizure of 312 kilograms of cocaine (valued at $20 million) from two of Morales-Negron’s subordinates. The cocaine was shipped from Company-1 in Puerto Rico, arrived at JFK Airport and was picked up on the same day by a member of the DTO. The DTO member who picked up the shipment arrived driving a U-Haul truck. Later that day, Nassau County Police Detectives observed two individuals in a Plainview, New York hotel parking lot conduct a hand-to-hand narcotics exchange. Police approached the two individuals and observed numerous open suitcases which appeared to contain kilograms of cocaine (some of which is pictured below):
- The July 3, 2026, seizure of 153 kilograms of cocaine (valued at $10 million) from a shipment container seized in Queens, New York (some of which is pictured below):
During the investigation, ledgers detailing Morales-Negron’s large scale and highly profitable narcotics business were recovered allowing law enforcement to determine that his narcotics operation was responsible for the distribution of more than $100 million of cocaine on Long Island.
The charges in the indictment are allegations and the defendant is presumed innocent unless and until proven guilty. If convicted of the charges, Morales-Negron faces up to life in prison.
The government’s case is being handled by the Criminal Section of the Office’s Long Island Division. Assistant United States Attorney Mark E. Misorek and Special Assistant United States Attorney James P. Scahill are in charge of the prosecution, with the assistance of the Eastern District of New York’s Criminal Investigation Unit and Paralegal Specialist Dejah Turla.
This prosecution is also part of the Homeland Security Task Force (HSTF) initiative established by Executive Order 14159, Protecting the American People Against Invasion. The HSTF is a whole-of-government partnership dedicated to eliminating criminal cartels, foreign gangs, transnational criminal organizations, and human smuggling and trafficking rings operating in the United States and abroad. Through historic interagency collaboration, the HSTF directs the full might of U.S. law enforcement towards identifying, investigating, and prosecuting the full spectrum of crimes committed by these organizations, which have long fueled violence and instability within our borders. In performing this work, the HSTF places special emphasis on investigating and prosecuting those engaged in child trafficking or other crimes involving children. The HSTF further utilizes all available tools to prosecute and remove the most violent criminal aliens from the United States.
The Defendant:
OMAR MORALES-NEGRON
Age: 36
Orange City, FloridaE.D.N.Y. Docket No. 26-CR-207 (SJB)
Owner of Long Island Bus Company Sentenced to Prison for Multi Million-Dollar Bank FraudRead the Press Release
Earlier today, in federal court in Central Islip, John B. Mensch, the owner and chief executive officer of a bus conglomerate based in Medford, Long Island, was sentenced by United States District Judge Nusrat J. Choudhury to 18 months in prison for bank fraud conspiracy. Judge Choudhury also ordered Mensch to pay restitution in the amount of $9,326,366.03. Mensch pleaded guilty to the charge in October 2024.
Joseph Nocella, Jr., United States Attorney for the Eastern District of New York, James C. Barnacle, Jr., Assistant Director in Charge, Federal Bureau of Investigation, New York Field Office (FBI), and Matt McCool, Special Agent in Charge, United States Secret Service, New York Field Office (USSS), announced the sentence.
“John Mensch kept a failing business afloat by manipulating the banking system and exploiting the trust that financial institutions place in their customers,” stated United States Attorney Nocella. “By cycling worthless checks through multiple bank accounts, the defendant obtained millions of dollars in funds that did not exist, creating the illusion of financial stability while concealing the company’s insolvency. Today’s sentence should serve to warn fraudsters like the defendant that the loss of freedom and restitution to victims is the price of their crimes. This Office will continue to hold accountable those who abuse the financial system through sophisticated fraud schemes.”
“John Mensch’s feedback loop of fraud stole more than nine million dollars and manipulated financial institutions to keep his bankrupt business afloat. The FBI continues to hold accountable fraudsters who abuse our economic system for personal enrichment,” stated FBI Assistant Director in Charge Barnacle.
“This was not a victimless crime. It was a sophisticated scheme involving millions of dollars in fraudulent checks to benefit the defendant, while threatening the integrity of the banking system and harming his creditors, customers and employees,” stated USSS Special Agent in Charge McCool. “This sentencing should serve as a warning to other criminal fraudsters: We will catch you and you will be held accountable. Thanks to our partners in the New York law enforcement community and the Eastern District of New York for your collaboration in bringing justice in this case.”
Mensch was the owner and operator of East End, a transportation company that provided busing services for students on Long Island and elsewhere. Between 2017 and September 2018, East End maintained numerous accounts—and was granted expedited check-clearing privileges—at banks located in Suffolk County, New York, and Orange County, New York. Those privileges allowed East End to obtain near-immediate access to the deposited funds before the underlying checks had cleared. Mensch and other East End executives abused those privileges by engaging in an elaborate “check-kiting” scheme, passing fraudulent checks between East End’s various accounts to keep East End operational despite being effectively insolvent.
Specifically, Mensch and other East End executives drew checks on East End’s bank accounts at Financial Institution #1, despite those accounts containing insufficient funds to cover the checks. Those bad checks were then deposited into East End’s bank accounts at Financial Institution #2, which, unaware that the checks would eventually bounce, allowed East End immediate access to the funds. East End withdrew those funds to meet various financial obligations and then, before the checks bounced, conducted the same process in the reverse, drawing bad checks on its Financial Institution #2 accounts and depositing them into its Financial Institution #1 accounts to create the false impression that funds were available to cover the earlier checks. This circular flow of worthless checks continued, with the banks advancing East End non-existent funds for several months until the scheme was detected in September 2018. By that time, East End had obtained nearly $10 million dollars from Financial Institution #1 and Financial Institution #2, all of which it had spent while continuing to operate at a deficit.
The government’s case is being handled by the Criminal Section of the Office’s Long Island Division. Assistant United States Attorney Adam R. Toporovsky is in charge of the prosecution, with help from Paralegal Specialist Janelle Robinson.
The Defendant:
JOHN B. MENSCH
Age: 55
Quogue, New YorkE.D.N.Y. Docket No. 24-CR-334 (NJC)
Former Ship Captain Pleads Guilty to the Drugging and Sexual Assault at Sea of Merchant Marine Academy Student CadetRead the Press Release
Today, in federal court in Brooklyn, John Merrone pleaded guilty to all five counts of an indictment charging him with aggravated sexual abuse, sexual abuse, and abusive sexual contact relating to the rape of a 21-year-old United States Merchant Marine Academy (USMMA) student cadet (Jane Doe) working on a vessel under the command of the defendant. Merrone pleaded guilty after a jury was selected yesterday. The proceeding was held before United States District Judge Ramon E. Reyes. When sentenced, Merrone faces up to life in prison.
Joseph Nocella, Jr., United States Attorney for the Eastern District of New York and James C. Barnacle, Jr., Assistant Director in Charge, Federal Bureau of Investigation, New York Field Office (FBI), announced the guilty plea.
“The defendant today admitted abusing his authority as a ship captain to carry out a heinous sexual assault on a young woman, who was under his supervision, as she embarked on a career as a mariner,” stated United States Attorney Nocella. “It is my hope that today’s guilty plea will give the survivor of this attack some measure of closure knowing that the defendant has been held accountable for his despicable conduct.”
Mr. Nocella also expressed his appreciation to the United States Coast Guard for its investigative work on the case.
“Former Captain John Merrone grossly violated his authority by drugging and raping a U.S. Merchant Marine cadet training aboard his ship. The FBI is dedicated to holding accountable those in trusted roles from heinously abusing the brave servicemembers protecting this country,” stated FBI Assistant Director in Charge Barnacle.
In September 2019, Jane Doe was aboard a commercial vessel as part of her participation in the USMMA Sea Year Program where cadets study to be midshipmen and are assigned to a U.S.-flagged merchant vessel to obtain experience being a merchant mariner. The vessel was in the Atlantic Ocean bound for Corpus Christi, Texas. Merrone, then 47 years-old, was the highest-ranking official on the vessel. On September 9, 2019, Merrone summoned Jane Doe and another female cadet to his stateroom for a soda and poured each of them an alcoholic drink from an open bottle. Shortly after consuming the drinks, Jane Doe and the fellow student lost recollection of the remainder of the evening. Jane Doe awoke the next morning in her bed wearing only a shirt and bra, and no underwear or pants. She felt nauseous, had a headache and felt like someone had had sex with her. The next day, Merrone called Jane Doe to his stateroom and said that he had “fun last night” and asked her to do it again. Jane Doe told him that she did not recall what had happened, and Merrone told her “one thing led to another.” Jane Doe reported the sexual assault to her mother and a friend when she returned to the United States, and sought medical attention. She reported the attack to law enforcement in 2021. At his guilty plea, the defendant admitted that he knowingly gave Jane Doe an intoxicant without her knowledge or consent, and she became incapacitated. He then had sex with her without her consent.
The government’s case is being handled by the Office’s Human Trafficking and Civil Rights Section. Assistant United States Attorneys Kayla Bensing and Rachel Bennek are in charge of the prosecution with the assistance of Paralegal Specialist Emily Woodruff.
The Defendant:JOHN MERRONE
Age: 54
Hohenwald, TennesseeE.D.N.Y. Docket No. 25-CR-171 (RER)
Long Island MS-13 Gang Member Sentenced to 42 Years in Prison for His Role in Two 2016 Murders in Nassau CountyRead the Press Release
Earlier today, in federal court in Central Islip, Kevin Cuevas Del Cid, also known as “Creeper,” “Malcriado,” “Sombra,” “Vinky” and “Dabura,” a member of the Sailors Locos Salvatruchas Westside (Sailors) clique of La Mara Salvatrucha, also known as the MS-13, a transnational criminal organization, was sentenced by United States District Judge Joan M. Azrack to 42 years’ imprisonment for his role in the May 21, 2016 murder of Kerin Pineda and the October 10, 2016 murder of Javier Castillo, both of whom were killed in Freeport, New York, as well as a conspiracy to distribute cocaine and marijuana. Del Cid had previously pleaded guilty to these crimes in July 2025.
Joseph Nocella, Jr., United States Attorney for the Eastern District of New York, James C. Barnacle, Jr., Assistant Director in Charge, Federal Bureau of Investigation, New York Field Office (FBI), and Patrick J. Ryder, Commissioner, Nassau County Police Department (NCPD), announced the sentence.
“Today, the defendant faces justice for his role in the brutal murder of two innocent victims, young men who were targeted and tortured by the MS-13 street gang,” stated United States Attorney Nocella. “This defendant used social media to lure Kerin Pineda to his death, and this callous disregard for human life has now been met with a just punishment thanks to the work of our Office.”
“Today's sentencing marks an important step in holding violent MS-13 gang members accountable for the harm they inflict on innocent civilians. Kevin Cuevas Del Cid, an alleged MS-13 gang member, is facing punishment for the abhorrent crimes he committed. Rest assured that the FBI with its partners will continue to dismantle the MS-13 gang presence in New York and across the United States,” stated FBI Assistant Director in Charge Barnacle.
“Gang activity will never be tolerated here in Nassau County. The County Executive and I will dedicate any resources necessary to combat criminal behavior. Our department worked aggressively to investigate these cases with our partners in the FBI and US attorneys’ office. Today’s sentencing demonstrates our commitment to holding the defendant accountable for these murders," stated NCPD Commissioner Ryder.
According to court filings and statements by the defendant at the guilty plea proceeding, the defendant participated in the murder of 20-year-old Kerin Pineda, who was killed because of his suspected membership in the 18th Street gang. Specifically, in May 2016, Del Cid and other MS-13 members devised a plan where Del Cid created a fake Facebook profile of a young female to communicate with Pineda and lure him out to be killed. On May 21, 2016, Pineda went to a secluded wooded area near the Merrick-Freeport border believing that he was meeting the young female he had been communicating with on Facebook, who was, in fact, Del Cid. When Pineda arrived, he was surrounded and violently attacked by Del Cid and the other MS-13 members, each of whom took turns hacking and slashing him with the machetes. Pineda’s body was then buried in a hole that had been dug in the ground the day before, in anticipation of the murder. Del Cid is the first of six participants in the Pineda murder, all of whom have pleaded guilty, to be sentenced for that crime.
Del Cid also pleaded guilty to the murder of 15-year-old Javier Castillo, who, like Pineda, was killed because the MS-13 suspected him of being a member of the 18th Street gang. On October 10, 2016, members of the Sailors clique in Brentwood convinced Castillo, who lived in Central Islip, to go with them to Freeport – approximately 30 miles away – to smoke marijuana. Del Cid and the other MS-13 members took Castillo to an isolated marsh area along the water in Cow Meadow Park in Freeport, where they attacked and killed him, taking turns hacking him with a machete. Thereafter, the MS-13 members dug a hole and buried Castillo’s body, which was not recovered until one year later, in October 2017. More than a half dozen MS-13 members have been charged and pleaded guilty in connection with the Castillo murder.
Del Cid, who was 16 years-old at the time of the Pineda and Castillo murders, initially was charged by a juvenile information filed under seal on May 20, 2020. The government subsequently filed a motion to transfer Del Cid to adult status for prosecution, and an evidentiary hearing was held on June 3, 2022. On July 6, 2022, United States Circuit Judge Joseph F. Bianco, sitting by designation, issued a Memorandum and Order granting the government’s motion, and ordering Del Cid be prosecuted as an adult.
Today’s sentencing is the latest achievement in a series of federal prosecutions by the United States Attorney’s Office for the Eastern District of New York targeting members of the MS-13, a violent, transnational criminal organization. The MS-13’s leadership is based in El Salvador, Honduras, Guatemala and Mexico, but the gang has thousands of members across the United States. With numerous branches, or “cliques,” the MS-13 is the most violent criminal organization on Long Island. Since 2003, hundreds of MS-13 members, including dozens of clique leaders, have been convicted on federal felony charges in the Eastern District of New York. A majority of those MS-13 members have been convicted on federal racketeering charges for participating in murders, attempted murders and assaults. Since 2010, this Office has obtained indictments charging MS-13 members with carrying out more than 75 murders in the Eastern District of New York, resulting in the convictions of dozens of MS-13 leaders and members in connection with those murders. These prosecutions are the product of investigations led by the FBI’s Long Island Gang Task Force, which is comprised of agents and officers of the FBI, NCPD, Suffolk County Police Department, Nassau County Sheriff’s Department, Suffolk County Probation Office, Suffolk County Sheriff’s Office, the New York State Police, the Hempstead Police Department, the Rockville Centre Police Department and the New York State Department of Corrections and Community Supervision.
The case is part of Operation Take Back America, a Department of Justice initiative aimed at eradicating transnational criminal organizations, combating violent crime, and restoring the rule of law.
This prosecution is also part of the Homeland Security Task Force (HSTF) initiative established by Executive Order 14159, Protecting the American People Against Invasion. The HSTF is a whole-of-government partnership dedicated to eliminating criminal cartels, foreign gangs, transnational criminal organizations, and human smuggling and trafficking rings operating in the United States and abroad. Through historic interagency collaboration, the HSTF directs the full might of U.S. law enforcement towards identifying, investigating, and prosecuting the full spectrum of crimes committed by these organizations, which have long fueled violence and instability within our borders. In performing this work, the HSTF places special emphasis on investigating and prosecuting those engaged in child trafficking or other crimes involving children. The HSTF further utilizes all available tools to prosecute and remove the most violent criminal aliens from the United States.
The government’s case is being handled by the Criminal Section of the Office’s Long Island Division. Assistant United States Attorneys Paul G. Scotti, Justina L. Geraci and Megan E. Farrell are in charge of the prosecution, with the assistance of Paralegal Specialist Kerry Ucci and Automated Litigation Specialist Michael Compitello.
The Defendant:
KEVIN CUEVAS DEL CID (also known as “Creeper,” “Malcriado,” “Sombra,” “Vinky” and “Dabura”)
Age: 26
Freeport, New YorkE.D.N.Y. Docket No. 20-CR-251 (S-1) (JMA)
Jamaican National Sentenced to 66 Months in Prison for Multi-Million Dollar Sweepstakes Fraud Scheme Targeting the ElderlyRead the Press Release
Earlier today, in federal court in Central Islip, Adrian Lawrence, also known as “Mastermind,” was sentenced by United States District Judge Joan M. Azrack to 66 months’ imprisonment for conspiracy to commit wire and mail fraud, in connection with a years-long scheme to defraud elderly United States citizens. In addition to the prison term, Lawrence was ordered to pay restitution in the amount of $5.4 million. Lawrence was arrested in Jamaica, and was extradited to the United States. He pleaded guilty in December 2023.
Joseph Nocella, Jr., United States Attorney for the Eastern District of New York, James C. Barnacle, Jr., Assistant Director in Charge, Federal Bureau of Investigation, New York Field Office (FBI), Ketty Larco-Ward, Inspector in Charge, United States Postal Inspection Service, New York Division (USPIS), and Joel D. Weaver, Special Agent in Charge, Treasury Inspector General for Tax Administration, Southeast Field Division (TIGTA), announced the sentence.
“Today’s sentence punishes Lawrence for targeting dozens of vulnerable senior citizens, who were manipulated into believing they had won an official sweepstakes prize, in order to line his pockets with their hard-earned savings,” stated United States Attorney Nocella. “It will always be a priority of our Office to aggressively investigate elder fraud and hold responsible those who shamefully exploit our seniors for personal gain.”
"Adrian Lawrence defrauded at least 50 elderly victims of more than $5.4 million through manipulation and deceit. May today's sentencing highlight the FBI's commitment to holding accountable those who exploit vulnerable Americans out of greed," stated FBI Assistant Director in Charge Barnacle.
“Individuals who financially and emotionally exploit the elderly need to be held accountable. The United States Postal Inspection Service is committed to protecting the public and collaborating with other law enforcement agencies in combating schemes that target vulnerable victims. We encourage all USPS customers to be cautious, speak to loved ones about financial scams, and report any suspicious activities to law enforcement” stated USPIS Inspector in Charge Larco-Ward.
“The Treasury Inspector General for Tax Administration takes all investigations into Internal Revenue Service impersonation scams targeting elderly United States citizens seriously," stated TIGTA Special Agent in Charge Weaver. “We would like to thank our law enforcement partners and the U.S. Attorney's Office for prosecuting such egregious acts in this case."
As set forth in court filings and on the record at sentencing, for more than six and a half years—between October 2013 and April 2020—Lawrence and his co-conspirators located in Jamaica and elsewhere outside the United States, carried out a scheme to defraud elderly U.S. citizens (the Victims). They used the telephone and email to falsely inform the Victims that they had won sweepstakes contests that were sponsored by Publishers Clearing House. Lawrence and his co-conspirators instructed the Victims that to facilitate the release of their purported prize money, the Victims first needed to wire money, mail checks, or send cash to bank accounts controlled by Lawrence to cover the purported taxes and fees. The Victims were led to believe that once these funds were wired or otherwise received by the defendant and others, their prizes would be released to them. In reality, Lawrence knew that the Victims had won no sweepstakes prizes and owed no fees. At least 50 victims, whose average age was approximately 82 years old, sent more than $5.6 million to Lawrence and his co-conspirators.
The government’s case is being handled by the Criminal Section of the Office’s Long Island Division. Assistant United States Attorney Kaitlin McTague is in charge of the prosecution.
The Defendant:
ADRIAN LAWRENCE (also known as “Mastermind”)
Age: 34
Kingston, JamaicaE.D.N.Y. Docket No. 22-CR-159 (JMA)
Employee of Securities Filing Agent Sentenced to 27 Months in Prison for Insider TradingRead the Press Release
Earlier today, in federal court in Brooklyn, Justin Chen was sentenced by United States District Judge Orelia E. Merchant to 27 months in prison for insider trading conspiracy. Chen was previously employed at an EDGAR filing company and was responsible for reviewing draft securities filings before they were filed on the Securities and Exchange Commission’s EDGAR filing system. Chen misused material non-public information taken from his employer to trade in the securities of 13 publicly traded companies, making at least $2.38 million in profits. In addition to the custodial sentence, Judge Merchant ordered Chen to forfeit $1,828,442.00 in ill-gotten gains and pay $115,437.19 in restitution. A co-defendant, Jun Zhen, pleaded guilty in October 2025 for his role in the insider trading conspiracy and is awaiting sentencing.
Joseph Nocella, Jr., United States Attorney for the Eastern District of New York, and James C. Barnacle, Jr., Assistant Director in Charge, Federal Bureau of Investigation, New York Field Office (FBI), announced the sentence.
“Chen abused his position with his employer and misappropriated material non-public information to make millions,” stated United States Attorney Nocella. “This sentence sends the message to the public that we are watching and will aggressively prosecute those who exploit their access to private information for personal gain and undermine the integrity of economic markets.”
Mr. Nocella thanked the Securities and Exchange Commission (SEC) for their significant assistance in the prosecution.
"Justin Chen leveraged his employee access to earn over two million dollars through trades made with non-public information of more than a dozen companies. The FBI continues to hold accountable those who attempt to establish an unfair financial advantage by undermining the integrity of our securities market," stated FBI Assistant Director in Charge Barnacle.
As detailed in court filings and on the record statements, Chen was employed as an assistant manager at a company identified as “EDGAR Filer 1.” EDGAR Filer 1 is a filing agent that assists issuers of securities with submitting required disclosures to the SEC and the investing public through the SEC’s EDGAR filing system. Through his employment at EDGAR Filer 1, Chen had advance access to upcoming SEC filings for EDGAR Filer 1’s clients. These filings routinely included significant, market-moving information—material non-public information, including Form 8-K announcements about upcoming mergers and acquisitions, partnerships, asset sales, and quarterly earnings reports. As a part of his employment, Chen and his co-defendant Zhen, were responsible for reviewing draft securities filings and providing those filings to other EDGAR Filer 1 employees who would convert the filings to the format used by the SEC’s EDGAR filing system. Chen and Zhen used their advanced knowledge of upcoming securities filings, which would disclose material non-public information about, for example, partnerships, mergers, and planned acquisitions, to trade in 13 NASDAQ-listed companies, making a total profit of at least $2.38 million.
For instance, in the afternoon and evening on May 20, 2025, Chen and Zhen purchased approximately 186,275 shares of SigmaTron International, Inc. (ticker: SGMA), an Illinois-based provider of electronic manufacturing services. The next morning, on May 21, 2025, SGMA announced that it had entered into a merger agreement whereby SGMA would be acquired by Transom Capital Group, LLC at a 134% price premium over SGMA’s closing price per share on May 20, 2025. Following the announcement SGMA shares opened for trading on May 21, 2025 up approximately 127% from their closing price on May 20, 2025. Chen and Zhen sold all their shares in SGMA approximately a half-hour after the announcement, making a total profit of approximately $290,005.
Chen engaged in similar trading, sometimes within minutes of material announcements, in Ondas Holdings, Inc. (ticker: ONDS); Purple Innovation, Inc. (ticker: PRPL); Signing Day Sports, Inc. (ticker: SGN); Triller Group, Inc. (ticker: ILLR); ARB OIT Group Limited (ticker: ARBB); Asset Entities Inc. (ticker ASST); Rumble Inc. (ticker: RUM); Gryphon Digital Mining Inc. (ticker GRYP); New GenIVF Group Limited (ticker NIVF); Getty Images Holding (ticker: GETY); and Polyrizon Ltd. (ticker: PLRZ).
The government’s case is being handled by the Office’s Business and Securities Fraud Section. Assistant United States Attorneys Nick M. Axelrod and Sara K. Winik are in charge of the prosecution, with the assistance of Assistant United States Attorney Brendan King of the Office’s Asset Recovery Section who is handling forfeiture matters.
The Defendant:
JUSTIN CHEN (also known as “Jia Wei Chen”)
Age: 32
Brooklyn, New YorkCo-Defendant Awaiting Sentencing:
JUN ZHEN
Age: 30
Brooklyn, New YorkE.D.N.Y. Docket No. 25-CR-303 (OEM)
Five Defendants Plead Guilty to Gun Trafficking ChargesRead the Press Release
Earlier today, in federal court, in Brooklyn, Rohnique Posey, also known as “Pioneer,” pleaded guilty to firearms trafficking conspiracy and distribution of cocaine base before United States Magistrate Judge Peggy Kuo. Posey’s four co-defendants, Karsem Allen, also known as “Short,” Carolyn Hicks-Torres, Henry McCummings, and Dominic Smith, all previously pleaded guilty to engaging in a firearms trafficking conspiracy. In addition, Allen and Hicks-Torres pleaded guilty to possession of machine guns and McCummings pleaded guilty to possession of a defaced firearm.
When sentenced, all five defendants face a maximum sentence of 15 years’ imprisonment for the firearms trafficking conspiracy charge. Posey also faces a maximum sentence of 20 years’ imprisonment for distribution of cocaine base; Allen and Hicks-Torres face a maximum sentence of 10 years’ imprisonment for possession of machineguns; and McCummings faces a maximum sentence of 5 years’ imprisonment for possession of a defaced firearm.
Joseph Nocella, Jr., United States Attorney for the Eastern District of New York, Bryan DiGirolamo, Special Agent in Charge, Bureau of Alcohol, Tobacco, Firearms and Explosives, New York Division (ATF), and Jessica S. Tisch, Commissioner, New York City Police Department (NYPD), announced the guilty pleas.
“Illegal gun traffickers fuel violence, endanger innocent lives, and threaten the safety of our communities,” stated United States Attorney Joseph Nocella. “These guilty pleas hold accountable these defendants. who sought to flood Queens neighborhoods with illegal weapons, including semi-automatic and defaced firearms, and ghost guns. Every illegal firearm taken off our streets is a step towards safer communities, and our Office, alongside our federal and local law enforcement partners, will continue to stop the flow of illegal guns, combat gun violence, and protect the people of New York City. I commend the brave members of law enforcement who took these deadly weapons off the streets and out of the hands of violent criminals. We are all safer thanks to their exceptional work.”
“These guilty pleas are the result of focused investigative work and the strong partnership between ATF New York’s Crime Gun Enforcement Team and the NYPD Ghost Gun Unit. Together, we identified and disrupted a firearms trafficking network responsible for moving dozens of illegal firearms and machine gun conversion devices into Queens. Our commitment to reducing violent gun crime and protecting the communities we serve remains unwavering. We are grateful to the staff at U.S. Attorney’s Office for the Eastern District of New York for its continued partnership,” stated ATF Special Agent in Charge DiGirolamo.
“This case demonstrates once again that there will be consequences for those who attempt to bring illegal firearms into our city,” stated NYPD Commissioner Tisch. “That is the work behind the NYPD delivering record lows in murders, shooting incidents, and shooting victims for the first half of 2026: comprehensive investigations that remove illegal guns, dismantle trafficking pipelines, and hold the drivers of violence accountable. I thank our NYPD investigators, the ATF, and the U.S. Attorney’s Office for the Eastern District of New York for their commitment to keeping New Yorkers safe.”
As set forth in court filings, between December 2024 and June 2025, Allen, Hicks-Torres, McCummings, Posey, and Smith made multiple illegal firearms sales totaling at least 29 firearms, including semi-automatic and defaced weapons, inside apartment complexes in the Rockaways. On the day Allen and Hicks-Torres were arrested, July 1, 2025, they sold an additional 11 firearms. Allen and Hicks-Torres illegally obtained these firearms in North Carolina from straw purchasers and then transported the weapons to New York City to be sold through Posey. On one occasion, Allen and Hicks-Torres sold four machine gun conversion devices, which are designed for converting semi-automatic pistols into machine guns. McCummings and Smith primarily sold “ghost guns” which typically do not have serial numbers and therefore are untraceable. Posey also sold crack cocaine on four occasions.
Several firearms and machine gun conversion devices trafficked by the defendants are depicted below.
EDNY EDNY EDNYThe government’s case is being handled by the Office’s General Crimes Section. Assistant United States Attorneys Daniel Marcus and Brachah Goykadosh are in charge of the prosecution.
The Defendants:
KARSEM ALLEN (also known as “Short”)
Age: 50
Henderson, North CarolinaCAROLYN HICKS-TORRES
Age: 54
Henderson, North CarolinaHENRY MCCUMMINGS
Age: 44
Arverne, New YorkROHNIQUE POSEY (also known as “Pioneer”)
Age: 48
Arverne, New YorkDOMINIC SMITH
Age: 35
Teaneck, New JerseyE.D.N.Y. Docket No. 25-CR-216 (BMC)
Two Defendants Charged with Multi-Million Dollar Health Care Fraud SchemeRead the Press Release
An indictment was filed yesterday in federal court in Central Islip charging Saad Aziz and Zabed Chowdhury, also known as “Jared,” with conspiracy to commit health care fraud, health care fraud, conspiracy to defraud the United States and pay health care kickbacks, paying health care kickbacks, and money laundering conspiracy. The defendants allegedly offered and paid health care kickbacks and submitted fraudulent claims to Medicaid for ambulette services to medical appointments that were not performed, or the costs were artificially inflated. The defendants were previously charged by complaint and will be arraigned at a later date.
Joseph Nocella, Jr., United States Attorney for the Eastern District of New York, Naomi Gruchacz, Special Agent in Charge, U.S. Department of Health and Human Services, Office of Inspector General (HHS-OIG), Harry T. Chavis, Jr., Special Agent in Charge, Internal Revenue Service-Criminal Investigation, New York (IRS-CI), and Raymond A. Tierney, Suffolk County District Attorney, announced the charges.
“As alleged, the defendants turned a transportation program intended to provide vulnerable Medicaid beneficiaries with access to critical medical care into a vehicle for personal enrichment,” stated United States Attorney Nocella. “By paying illegal kickbacks, billing for rides that were never provided, and inflating reimbursement claims through false information, they allegedly stole tens of millions of taxpayer dollars. It is a priority of the Office and the Administration to protect the integrity of federally funded health care programs and to hold accountable those who seek to profit through fraud.”
Mr. Nocella expressed his appreciation to Homeland Security Investigations (HSI) New York's Homeland Security Task Force John F. Kennedy International Airport Financial Crimes Group and the Office of the New York State Comptroller for their work on the case.
“This scheme, as alleged, reflects an egregious abuse of the Medicaid program, diverting vital health care dollars away from the vulnerable individuals who depend on them,” stated HHS-OIG Special Agent in Charge Gruchacz. “HHS‑OIG remains steadfast in working with our law enforcement partners to protect taxpayer funds and uphold the integrity of federally funded health care programs.”
IRS-CI New York Special Agent in Charge, Chavis, Jr. stated: “This scheme took advantage of a program meant to help people get to the medical care they rely on. By gaming the system for their own benefit, the defendants didn’t just misuse taxpayer money — they made it harder for people who genuinely need support. We’re committed to protecting public funds and making sure anyone who tries to commit fraud is held responsible.”
“Medicaid's transportation benefit exists so that vulnerable people can get the care they need. These defendants allegedly exploited that lifeline, paying kickbacks and billing for trips that never happened in order to enrich themselves at the expense of taxpayers,” stated Suffolk County District Attorney Tierney. “I thank the United States Attorney's Office, HHS-OIG, IRS-CI, and the State Comptroller for their partnership in rooting out this alleged scheme.”
As set forth in court filings, the defendants owned and operated Tri-Hamlet Taxi Inc. From approximately January 2019 to October 2025, the defendants paid illegal health care kickbacks to Medicaid beneficiaries to induce them to request medical transportation services from Tri-Hamlet Taxi, primarily for purported necessary methadone treatment. In reality, the defendants often did not provide the medical transportation services for which they billed Medicaid, yet, fraudulently submitted millions of dollars in claims for these nonexistent trips.
The defendants also systematically inflated their Medicaid reimbursements. Although numerous addiction treatment centers on Long Island were available to beneficiaries, the defendants directed beneficiaries to request transportation to addiction treatment centers in New York City and to provide false pickup or drop-off addresses so they could bill Medicaid for longer, more expensive trips. Through this scheme, the defendants submitted more than $18 million in claims for rides exceeding 75 miles and, overall, fraudulently billed Medicaid more than $35 million.
The defendants used the illicit proceeds of the scheme to, among other things, fund their lifestyles and purchase multiple investment properties and homes with a combined value of approximately $6 million.
If convicted of the charges, the defendants each face up to 20 years in prison, and restitution and forfeiture of at least $35 million, including several real properties and 15 bank accounts.
The government’s case is being handled by the Criminal Section of the Office’s Long Island Division. Assistant United States Attorney Adam R. Toporovsky is in charge of the prosecution, with assistance from Paralegal Specialist Janelle Robinson. Assistant United States Attorney Madeline O’Connor of the Office’s Asset Forfeiture Section is handling forfeiture matters.
On April 7, 2026, the Department of Justice announced the creation of the National Fraud Enforcement Division (Fraud Division). The Fraud Division is focused on investigating and prosecuting those who commit fraud against the American people.
The Defendants:
SAAD AZIZ
Age: 52
Shirley, New YorkZABED CHOWDHURY (also known as “Jared”)
Age: 49
Lake Ronkonkoma, New YorkE.D.N.Y. Docket No. 26-CR-201 (NJC)
2026.07.01_filed_indictment.pdf 2026.07.01_tri-hamlet_bond_memo.pdfFederal Correctional Officer Sentenced to 200 Months’ Imprisonment for Federal Civil Rights and Firearm OffensesRead the Press Release
Earlier today, in federal court in Brooklyn, Leon Wilson, a former correctional officer at the Metropolitan Detention Center in Brooklyn (“MDC-Brooklyn”), was sentenced by United States District Judge Pamela K. Chen to 200 months in prison for willfully depriving an individual of his constitutional rights and using a firearm during a crime of violence. Wilson was convicted at trial in October 2025 on both counts of the indictment.
Joseph Nocella, Jr., United States Attorney for the Eastern District of New York, Ryan Geach, Special Agent in Charge of the Northeast Region, United States Department of Justice, Office of the Inspector General (DOJ OIG), and James C. Barnacle, Jr., Assistant Director in Charge, Federal Bureau of Investigation, New York Field Office (FBI), announced the sentence.
“Leon Wilson used the authority entrusted to him as a federal correctional officer not to protect the public, but to engage in a dangerous and unjustified pursuit that culminated in gunfire on the streets of Brooklyn,” stated United States Attorney Nocella. “This sentence demonstrates our Office’s unwavering commitment to protecting constitutional rights and prosecuting those who abuse the power of their badges.”
Mr. Nocella expressed his appreciation to the New York City Police Department (NYPD) for its work in this case.
“We rely on Correctional Officers to do their work with honesty and integrity. Unfortunately, Wilson chose to exploit his authority," stated DOJ OIG Special Agent in Charge Geach. “The DOJ OIG will continue working with its law enforcement partners to bring to justice anyone who violates their oath and engages in this type of conduct.”
“Leon Wilson’s flagrant abuse of authority injured a civilian and gravely endangered the lives of countless other New Yorkers. The FBI New York’s Civil Rights Task Force is dedicated to holding accountable public servants who use their badge as a shield to hide behind while engaging in violent criminal activity,” stated FBI Assistant Director in Charge Barnacle.
Wilson was on duty at MDC-Brooklyn on September 4, 2023, when he chased a civilian car (the BMW) out of the facility’s staff parking lot and off MDC-Brooklyn property. Wilson had no authority to pursue the BMW past MDC-Brooklyn’s property line, but he did so anyway and ultimately chased the car to the edge of the Brooklyn Bridge, approximately 3.5 miles from the facility. During the chase, Wilson exceeded the speed limit, passed other vehicles, and ran red lights. Approximately two minutes after the chase began—and nearly a mile from MDC-Brooklyn—Wilson fired several gunshots at the BMW, one of which penetrated the rear of the vehicle and struck the backseat passenger in the chest and lungs. Wilson continued to chase the BMW for several minutes after firing his weapon. He never reported the on-duty shooting to the NYPD, MDC-Brooklyn or Bureau of Prisons personnel.
The government’s case is being handled by the Office’s Public Integrity and Human Trafficking and Civil Rights Sections. Assistant United States Attorneys Erin Reid, Eric Silverberg, and Raffaela Belizaire are in charge of the prosecution, with assistance from Paralegal Specialists Daniel Arakawa and Melissa Bennett.
The Defendant:
LEON WILSON
Age: 51
Bronx, New YorkE.D.N.Y. Docket No. 24-CR-465 (PKC)
Former National Basketball Association Players, Current Player Agent, and Three Other Individuals Charged in Sports Bribery, Illegal Betting and Money Laundering ConspiraciesRead the Press Release
Earlier today, in federal court in Brooklyn, an indictment was unsealed charging six defendants — former National Basketball Association (NBA) players Malik Beasley and Edward Davis, and co-conspirators William Brown, Robert Gorodetsky, Ernesto Plascencia, and current NBA player agent Paolo Zamorano—with wire fraud conspiracy, bribery in sporting contests, honest services wire fraud conspiracy, and money laundering conspiracy for their alleged roles in a scheme to bribe Beasley to manipulate his performance in NBA games and use inside information about Beasley’s intended performance to profit via illegal betting activity. Several of the defendants were arrested today at locations across the country and will be arraigned in the Eastern District of New York at a later date.
Joseph Nocella Jr., United States Attorney for the Eastern District of New York, and James C. Barnacle, Jr., Assistant Director in Charge, Federal Bureau of Investigation, New York Field Office (FBI), announced the arrests and indictment.“As alleged, the defendants turned professional basketball into a criminal betting operation, bribing then-NBA player Malik Beasley to fix his performance in multiple games in order to place fraudulent wagers, enrich themselves and cheat legitimate sportsbooks,” stated United States Attorney Nocella. “Bribery and insider betting schemes like this one involving former NBA players and a current NBA player agent who exploited inside NBA information for profit erode the integrity of American sports and victimize the sports-watching public. Our Office will continue in its strong tradition of holding accountable anyone who seeks to corrupt sports through illegal means.”
Mr. Nocella thanked the FBI Field Offices in Charlotte, North Carolina; Los Angeles, California; Omaha, Nebraska; Chicago, Illinois; and Las Vegas, Nevada, for their valuable assistance.
“These defendants allegedly operated an illegal betting ring in an attempt to unlawfully earn hundreds of thousands of dollars. As alleged, Malik Beasley allowed himself to be bought and altered his gametime performance to line pockets of Ed Davis and his other co-conspirators. The FBI continues to dismantle fraudulent schemes that erode the integrity of any institution, including our nation's professional sports leagues,” stated FBI Assistant Director in Charge Barnacle.
As alleged, Beasley, then a player for the Milwaukee Bucks, agreed with his former NBA teammate Davis (known to the other co-defendants as Beasley’s “gatekeeper”) in advance of NBA games that Beasley would underperform, and at times overperform, relative to one or more of his betting statistics in those games. Davis, Brown, Gorodetsky, Plascencia, Zamorano and other co-conspirators subsequently used this non-public information relating to Beasley’s intended performance to place fraudulent wagers conditioned on Beasley’s performance in the games at issue, all with the intention of profiting off the scheme. As further alleged, in return for performance fixing, Beasley received bribes from the co-conspirators, typically by having Beasley’s gambling debts to Davis reduced or paid off.
Examples of some of the influenced games are described below.January 26, 2024 Milwaukee Bucks vs. Cleveland Cavaliers
As alleged, prior to the Bucks game against the Cleveland Cavaliers on January 26, 2024, Beasley informed Davis that he intended to underperform with respect to rebounding in the game. Beasley provided this information to Davis to obtain a promised bribe payment and for the purpose of enabling Davis and other co-conspirators to place wagers based on this non-public information. Davis subsequently disseminated the non-public information regarding Beasley to multiple co-conspirators, including Gorodetskty, Plascencia and Zamorano, to enable them to place fraudulent wagers. Plascencia then provided this same non-public information to Brown to enable him to place fraudulent wagers. Many of the fraudulent wagers were successful.
February 27, 2024 Milwaukee Bucks vs. Charlotte Hornets Game
As alleged, prior to the Bucks game against the Charlotte Hornets on February 27, 2024, Beasley informed Davis that Beasley intended to underperform with respect to points and overperform with respect to rebounding in the game. Beasley provided this information to Davis to obtain a promised bribe payment and for the purpose of enabling Davis and other co-conspirators to place wagers based on this non-public information. Davis subsequently disseminated the non-public information regarding Beasley to multiple co-conspirators, including Gorodetskty, Plascencia and Zamorano, to enable them to place fraudulent wagers. Plascencia then provided this same non-public information to Brown to enable him to place fraudulent wagers. Many of the fraudulent wagers were successful.
March 10, 2024 Milwaukee Bucks vs. Los Angeles Clippers
As alleged, prior to the Bucks game against the Los Angeles Clippers on March 10, 2024, Beasley informed Davis that Beasley intended to overperform with respect to rebounding in the game. Beasley provided this information to Davis to obtain a promised bribe payment and for the purpose of enabling Davis and other co-conspirators to place wagers based on this non-public information. Davis subsequently disseminated the non-public information regarding Beasley to multiple co-conspirators, including Gorodetskty, Plascencia and Zamorano, to enable them to place fraudulent wagers. Plascencia then provided this same non-public information to Brown to enable him to place fraudulent wagers. Many of the fraudulent wagers were successful.
In total, the defendants and their co-conspirators placed fraudulent wagers totaling hundreds of thousands of dollars conditioned on Beasley’s fixed performance in the influenced games at issue via multiple betting operators.
The charges in the indictment are allegations and the defendants are presumed innocent unless and until proven guilty. If convicted, each defendant faces a maximum sentence of 20 years’ imprisonment on the wire fraud conspiracy counts, 20 years’ imprisonment on the money laundering conspiracy count and five years’ imprisonment on the bribery in sporting contests count.
The government’s case is being handled by the Office’s Business and Securities Fraud Section. Assistant United States Attorneys Kaitlin T. Farrell, Benjamin Weintraub and David I. Berman are in charge of the prosecution, with assistance from Paralegal Specialist Erika Ellis; former Paralegal Specialist Liam McNett previously worked on the case.
The Defendants:
MALIK BEASLEY (also known as “Beas,” “Bease,” “MB” and “5”)
Age: 29
GeorgiaWILLIAM BROWN (also known as “Willo”)
Age: 39
NebraskaEDWARD DAVIS (also known as “as “Ed,” “ED” and “E Davis”)
Age: 37
North CarolinaROBERT GORODETSKY (also known as “Rob”)
Age: 34
IllinoisERNESTO PLASCENCIA (also known as “Ernie,” “Erny,” “Ernie P” and “Erny P”)
Age: 39
CaliforniaPAOLO ZAMORANO (also known as “PZ”)
Age: 39
CaliforniaE.D.N.Y. Docket No. 26-CR-190 (LDH)
malik_beasley_et_al_indictment.pdfManager of U.S. Freight Forwarding Company Sentenced to 18 Months in Prison for Circumventing Export ControlsRead the Press Release
BROOKLYN, NY – Earlier today, in federal court in Brooklyn, Natalya Ivanovna Mazulina, also known as “Natasha Mazulina,” a resident of Federal Way, Washington, was sentenced to 18 months in prison for crafting a scheme to circumvent U.S. export laws related to Russia. Mazulina was the Western Regional Manager of Delex Air Cargo LLC, a freight forwarding company based in Jamaica, New York, which operated out of John F. Kennedy International Airport and Seattle-Tacoma International Airport. Mazulina was arrested in December 2024 and, in October 2025, pled guilty to conspiracy to violate the Export Control Reform Act. As part of her sentence, Mazulina was ordered to forfeit $77,000 in criminal proceeds.
Joseph Nocella, Jr., United States Attorney for the Eastern District of New York; John Eisenberg, Assistant Attorney General for the Justice Department’s National Security Division; James C. Barnacle, Jr., Assistant Director in Charge, Federal Bureau of Investigation (FBI), New York Field Office; and James Guanci, Special Agent in Charge, Office of Export Enforcement, Boston Field Office, announced the sentence.
“The Russian oil and gas industry is the lifeblood that fuels the Russian war machine,” stated United States Attorney Nocella. “This defendant put her own profits above the national security of the United States by conspiring to illegally export industrial oil and gas equipment to Russia. Our Office will continue to use all our law enforcement tools to investigate and prosecute those who evade export control laws.”
Mr. Nocella extended his appreciation to the Department of Justice’s Money Laundering, Narcotics and Forfeiture Section, the U.S. Attorney’s Office for the Western District of Washington, the FBI’s Seattle Field Office, and the OEE’s Boston Field Office for their assistance in this case.
“Natalya Mazulina bolstered Russia’s military capabilities and jeopardized our country’s security by violating U.S. export regulations. The FBI maintains its unwavering commitment to quash threat actors who exploit American companies to support adversarial agendas of hostile nations,” stated FBI Assistant Director in Charge Barnacle.
“This case shows that BIS will work with our law enforcement partners to aggressively pursue all those who violate our export control laws,” stated Special Agent in Charge Guanci.
As described in court filings, from at least December 2022 through December 2024, Mazulina conspired with Russian freight forwarding companies and others to unlawfully ship controlled items, including industrial oil and gas equipment, from the United States to Russia, through intermediary countries. At one point, in June 2023, Mazulina told colleagues that her clients were paying through bank accounts in third party countries because “[m]ost of [her] clients [were] currently sanctioned with USA.” Mazulina attempted to conceal the unlawful scheme by submitting and causing the submission of false export documents to the U.S. government, which omitted the information that the goods were destined for Russia.
The government’s case is being handled by the Office’s National Security and Cybercrime Section. Assistant United States Attorney Matthew Skurnik is in charge of the prosecution. Significant assistance was provided by the Justice Department’s National Security Division’s Counterintelligence and Export Control Section.
The Defendant:
NATALYA IVANOVNA MAZULINA (also known as “Natasha Mazulina”)
Age: 43
Federal Way, WashingtonE.D.N.Y. Docket No. 24-CR-493 (EK)
Former NYC Mayoral Chief-Of-Staff and Three Others Charged in Bribery Scheme Related to NYC Migrant Shelter ContractRead the Press Release
A 13-count indictment was unsealed today in federal court in Brooklyn charging Anthony J. Carone, Frank V. Carone, Crystal Chen, and Yan Po Zhu, also known as “Andy Zhu,” for their roles in a bribery scheme that capitalized on funding meant to address New York City’s migrant crisis. The charges include fraud, bribery, money laundering, obstruction of justice, and tax fraud. All four defendants were arrested today and will be arraigned this afternoon before U.S. Magistrate Judge Marcia M. Henry.
Michael Considine, First Assistant United States Attorney for the Eastern District of New York; James C. Barnacle, Jr., Assistant Director in Charge, Federal Bureau of Investigation, New York Field Office (FBI); Harry T. Chavis, Jr., Special Agent in Charge, Internal Revenue Service‑Criminal Investigation, New York (IRS-CI New York); and Nadia I. Shihata, Commissioner, New York City Department of Investigation (DOI), announced the arrests and charges.
“As alleged in the indictment, the defendants exploited the unprecedented migrant crisis in New York City for their own personal gain,” stated First Assistant United States Attorney Considine. “The defendants engaged in a bribery scheme to secure a migrant shelter contract worth millions of dollars from a city agency funded in part by billions of federal dollars. Frank Carone and his brother Anthony Carone are also charged with evading taxes on the proceeds of that scheme. This case demonstrates the Office’s commitment to protecting taxpayer dollars, and holding accountable those who misuse public funds for private gain.”
FBI Assistant Director in Charge Barnacle: “The alleged conspiracy resulted in a massive betrayal of the American taxpayers’ trust by steering millions of dollars in funding for asylum housing in exchange for illegal bribe payments, which were then funneled to cover personal expenses. Frank Carone allegedly influenced and steered business to his brother and associates in exchange for cash. May today’s indictment emphasize the FBI’s determination to root out corrupt officials, and their co-conspirators, who use government funding for personal enrichment.”
“Today’s charges show how these defendants chose greed over integrity, exploiting a humanitarian crisis and siphoning taxpayer funds intended to support vulnerable migrant families. IRS Criminal Investigation worked alongside our law enforcement partners to unravel the financial maneuvers used to conceal bribe payments and evade taxes. Our mission in this case was simple—follow the money, expose corruption, and protect taxpayer funds,” stated IRS-CI New York Special Agent in Charge Chavis.
“The conduct charged in this indictment is the epitome of corrupt self-dealing. The former chief of staff in the prior mayoral administration allegedly used his connections and the influence afforded to him by his public office to push through a multimillion dollar, publicly funded contract to personally enrich himself. By allegedly engaging in this criminal scheme, as charged, all four defendants used the plight of migrants for their own profit, resulting in the inefficient use and approval of a shelter location that could house fewer people than more appropriate locations and required the City to expend additional resources to make up the difference. That two of the defendants are attorneys who allegedly violated their ethical duty to act with honesty and integrity underscores the seriousness of these charged offenses. DOI thanks the U.S. Attorney’s Office for the Eastern District of New York and the New York Offices of the FBI and the IRS for their steadfast partnership on this joint investigation, which highlights the need to protect the integrity of City processes and public funds, particularly during a crisis,” stated DOI Commissioner Shihata.
As alleged in court filings, beginning in approximately 2022, Anthony Carone and Frank Carone—who are brothers and attorneys both admitted to practice in the State of New York—Crystal Chen, and Yan Po Zhu, devised and executed a scheme to exploit the City’s migrant crisis for their personal profit.
In 2022, New York City experienced an unprecedented influx of migrant asylum seekers. New York City was a “right to shelter” city, meaning the City was legally required to provide shelter to all homeless individuals who sought it. Because the volume of migrant asylum seekers who needed housing outpaced the City’s existing shelter system, the City instituted a process for contracting with local hotels to house migrant asylum seekers (the Emergency Shelter Contracts). Through the Emergency Shelter Contracts, the City agreed to rent entire hotels for one year or more and utilize the hotels as emergency shelters to house migrant asylum seekers.
To identify and evaluate sites for potential Emergency Shelter Contracts, employees from the City’s Department of Social Services (DSS) solicited and reviewed proposals from local hotels. Following its own due diligence, DSS recommended to City Hall that the City enter into Emergency Shelter Contracts with certain local hotels. To fund the Emergency Shelter Contracts and other asylum services, the City received over approximately $1.8 billion of federal grant money in 2022.
As the City’s migrant crisis reached its peak in 2022, Frank Carone accepted a series of bribe payments from Zhu and Chen to steer a multi-million-dollar shelter contract to the Microtel, a hotel in Long Island City, Queens, which allowed the Microtel to operate as an emergency migrant shelter. Zhu, a wealthy businessman, owned the Microtel, and Chen was Zhu’s business manager.
Repeatedly throughout 2022, DSS rejected the Microtel as a suitable location to be run as a migrant shelter. Frank Carone, however, used his official position as Chief of Staff to intercede on the Microtel’s behalf in exchange for $120,000 of bribe payments from Zhu and Chen. Despite DSS’s prior independent assessment that the Microtel was not a suitable location for a temporary shelter, the Microtel was ultimately awarded an Emergency Shelter Contract due to Frank Carone’s directive to DSS to consider the Microtel for such a contract. The Microtel ultimately received an Emergency Shelter Contract worth $6,825,000, which inured to the financial benefit of Zhu and Chen.
To conceal the criminal nature of the bribe payments, Zhu and Chen directed the bribe payments to a bank account controlled by Anthony Carone in the name of his law firm (the Law Firm Account). The bribe payments were commingled with legal fees from other clients that Frank Carone referred to Anthony Carone while Frank Carone served as Chief of Staff. Anthony Carone then steered the majority of the funds paid into the Law Firm Account to Frank Carone, including by paying Frank Carone’s personal credit card bills while Frank Carone served as Chief of Staff. Anthony Carone also used the funds paid into the Law Firm Account to write checks payable to Frank Carone. In addition, Anthony Carone, Zhu, and Chen executed a sham retainer agreement to make the bribe payments to Frank Carone appear to be legitimate legal fees paid to Anthony Carone’s law firm. Notably, Anthony Carone did not inform his law firm partners that Zhu had allegedly retained Anthony Carone or the law firm, nor did Anthony Carone inform his law firm partners that he was facilitating cash payments from the Law Firm Account to Frank Carone including while Frank Carone was Chief of Staff.
The sham retainer agreement called for Zhu and Chen to make bribe payments totaling $120,000. After those payments were made, Chen emailed Anthony Carone and requested to terminate the sham retainer agreement. Despite the fact that the payments outlined in the sham retainer agreement had been made, Anthony Carone responded seeking additional payments. After no further payments were made, Frank Carone communicated with Zhu and expressed that he was “not happy” and would “not discuss[] [any future deals] until past is worked out.” In response, Zhu stated that he had “asked my partners to pay you for a year.”
Neither Frank Carone nor Anthony Carone reported their income from the criminal scheme to the IRS in their initial 2022 tax filings. Nor did Frank Carone report this outside income to the NYC Conflicts of Interest Board as required. In 2025, however, after learning there was a federal investigation into his finances, Anthony Carone amended his 2022 personal and law firm tax filings to declare as income the client fees he received in the Law Firm Account.
Similarly, in July 2024, after Frank Carone and Anthony Carone became aware of the federal investigation, they obstructed justice by fabricating evidence to create the false impression that the payments from the Law Firm Account to Frank Carone’s personal credit card were personal loans instead of a conduit to conceal bribe payments. Specifically, Frank Carone and Anthony Carone created and executed a document purporting to be a promissory note, which they backdated to January 2022, and subsequently provided to federal investigators.
The charges in the indictment are allegations and the defendants are presumed innocent unless and until proven guilty. If convicted of the charges, the defendants each face up to 20 years in prison.
The government’s case is being handled by the Office’s Public Integrity Section and the Criminal Section of the Office’s Long Island Division. Assistant United States Attorneys Sara K. Winik, Adam R. Toporovsky, and Eric Silverberg are in charge of the prosecution, with assistance from Paralegal Specialists Johnson Peow and Daniel Arakawa.
On April 7, 2026, the Department of Justice announced the creation of the National Fraud Enforcement Division (Fraud Division). The Fraud Division is focused on investigating and prosecuting those who commit fraud against the American people.
The Defendants:
ANTHONY J. CARONE
Age: 54
New York, NY and East Hampton, New YorkFRANK V. CARONE
Age: 56
New York, NY and Boca Raton, FloridaCRYSTAL CHEN
Age: 39
East Williston, New YorkYAN PO ZHU (also known as “Andy Zhu”)
Age: 51
Glen Head, New YorkE.D.N.Y. Docket No. 26-CR-177 (KAM)
26-cr-177_indictment.pdf 2026.06.24_carone_et_al._govt_bond_letter_26-cr-177.pdfBroker and Three Traders Plead Guilty to Multi-Year Insider Trading SchemeRead the Press Release
Earlier today, in federal court in Brooklyn, John Lowe and Richard Ringel pleaded guilty to securities fraud for their involvement in a multi-year insider trading scheme. Co-defendants David Cooper, a broker registered with the Financial Industry Regulatory Authority, and Randy Grewal pleaded guilty to securities fraud on September 22, 2025 and April 30, 2026, respectively. The proceeding was held before United States Magistrate Judge Taryn A. Merkl. When sentenced, the defendants each face a maximum sentence of 20 years’ imprisonment.
Joseph Nocella, Jr., United States Attorney for the Eastern District of New York; Pete Gizas, Acting Special Agent in Charge, Homeland Security Investigations, New York (HSI New York); and Ketty Larco-Ward, Inspector in Charge, United States Postal Inspection Service, New York Division (USPIS), announced the guilty pleas.
“For years, the defendants brazenly exploited their access to inside information to gain an unfair advantage over the investing public,” stated United States Attorney Nocella. “Insider trading destroys the public’s faith in the fairness and integrity of our markets. This Office is committed to protecting market integrity and rooting out bad actors, and it will continue to hold accountable those who engage in insider trading.”
Mr. Nocella expressed his appreciation to the United States Securities and Exchange Commission, New York Regional Office, and the Financial Industry Regulatory Authority.
“By admitting they conspired to steal confidential information from investment banks and trade ahead of multiple secondary stock offerings, these defendants have acknowledged a years-long scheme that corrupted the markets for their own gain and generated more than a million dollars in illicit profit,” stated HSI Acting Special Agent in Charge Gizas. “Insider trading erodes public confidence in our financial system, harms everyday investors who play by the rules, and sends a dangerous message that the wealthy and well connected can tilt the playing field in their favor. HSI New York, through meticulous financial analysis, a range of investigative techniques, and close coordination with the U.S. Attorney’s Office, the U.S. Postal Inspection Service, and the Financial Industry Regulatory Authority, will continue working alongside our law enforcement and regulatory partners to uncover complex financial crimes and ensure those who abuse access to sensitive information are held to account.”
“These individuals used their access to confidential information not available to the trading public to devise a scheme for their financial gain, profiting from MNPI. Let me be clear, it does not matter the type of scheme, postal inspectors will remain dedicated to exposing and bringing to justice anyone utilizing the U.S. mail to further criminal activity,” stated USPIS Inspector in Charge Larco-Ward.
As detailed in the indictment and other court filings, between approximately January 2018 and May 2024, the defendants conspired to obtain material non-public information (MNPI) about upcoming secondary stock offerings and to trade on that MNPI in advance of those offerings. The defendants illegally obtained MNPI from numerous sources, including through Cooper and another employee of a broker-dealer (Broker-Dealer), who had obtained MNPI from investment banks involved in and underwriting the secondary stock offerings. The MNPI included specific deal information such as the identity of the public company issuing the secondary offering; the timing of the deal; the structure of the deal; and the price at which the company would offer its stock in the upcoming offering. Employees of the Broker-Dealer breached their duty of confidentiality to their employer by improperly disclosing the MNPI to Lowe, Ringel and others with knowledge that they intended to use the information to execute short sales in advance of the public announcement of the secondary offerings. Employees of the Broker-Dealer shared the MNPI to induce their customers, including Lowe and Ringel, to commit to buy shares in the offerings so that the Broker-Dealer would receive compensation from the underwriters. Lowe, in turn, passed MNPI to Grewal. Lowe, Ringel and Grewal illegally profited more than $1 million from trading based on MNPI.
Evidence obtained from judicially authorized wiretaps revealed that in connection with numerous secondary offerings between approximately January 2023 and May 2023, Cooper and another employee of the Broker-Dealer (Co-Conspirator #1) obtained MNPI from investment firms that were underwriting the secondary offerings and provided MNPI to Lowe, Ringel and others, with knowledge that Lowe, Ringel and others intended to trade securities in advance of secondary offerings based on the MNPI. Those secondary offerings included the companies Chicken Soup for the Soul Entertainment, Inc. (NASDAQ: CSSE), Revelation Biosciences, Inc. (NASDAQ: REVB) and Tivic Health Systems, Inc. (NASDAQ: TIVC).
Fraudulent Trading on MNPI in the CSSE Secondary Offering
On or about March 30, 2023, Cooper obtained MNPI about the timing and pricing of the CSSE offering from the sole managing underwriter for the deal and shared that information with Ringel, who traded in CSSE in advance of the offering using the information, and with Co-Conspirator #1, who gave the inside information to Lowe. Lowe traded based on the MNPI and tipped Grewal, who also traded using the MNPI.
Fraudulent Trading on MNPI in the REVB Secondary Offering
Between February 6, 2023 and February 8, 2023, Lowe obtained MNPI about the timing of the REVB offering from a representative of the sole underwriter on the deal and passed it to Grewal, who traded in REVB using the information. Between February 7, 2023 and February 9, 2023, Ringel traded REVB based on MNPI that Cooper received from another representative of the sole underwriter on the deal.
Fraudulent Trading on MNPI in the TIVC Secondary Offering
On or about February 6, 2023, Cooper called a representative of the sole managing underwriter for the TIVC offering. The next day, Co-Conspirator #1 communicated to Lowe that TIVC intended to offer shares of its stock in a secondary offering. After learning this information, Lowe traded in TIVC and passed the MNPI he received from Co-Conspirator #1 to Grewal, who then also traded in TIVC. Between February 6, 2023 and February 8, 2023, Ringel and Cooper spoke over the telephone numerous times and Cooper executed a number of short sales in TIVC. In particular, on February 8, 2023 (after Co-Conspirator shared MNPI about the TIVC deal with Lowe), Cooper spoke with Co-Conspirator #1 and then with Ringel. Approximately six minutes after Ringel and Cooper spoke, Ringel executed additional short sales in TIVC.
* * * * *
The government’s case is being handled by the Office’s Business and Securities Fraud Section and the Criminal Section of the Office’s Long Island Division. Assistant United States Attorneys Jessica K. Weigel, Adam R. Toporovsky and Sophia M. Suarez are in charge of the prosecution, with assistance from Paralegal Specialist Laura Mansour. Assistant United States Attorney Laura Mantell of the Office’s Asset Forfeiture Section is handling forfeiture matters.
The Defendants:
JOHN LOWE (also known as “Clams”)
Age: 63
Sayville, New YorkRICHARD RINGEL
Age: 56
Boca Raton, FloridaCo-Defendants Who Previously Pleaded Guilty:
DAVID COOPER
Age: 40
Larchmont, New YorkRANDY GREWAL
Age: 55
Anthem, ArizonaE.D.N.Y. Docket No. 25-CR-10 (DG)
Three Defendants Indicted in Brooklyn Federal Court for Real Estate Investment SchemeRead the Press Release
Earlier today in federal court in Brooklyn, an indictment was unsealed charging John Christian Gelin, Heather Marquez, and Kaolee Vang-Thao with conspiracy to commit wire fraud and conspiracy to commit bank fraud. The charges arise from a multi-year and multi-million-dollar scheme to defraud financial institutions, investors, and prospective investors in connection with potential real estate transactions. Gelin was arrested today and will be arraigned this afternoon before United States Magistrate Judge Robert M. Levy. Marquez was arrested earlier today in Oceanside, California and will appear in the United States District Court for the Southern District of California. Vang-Thao was arrested earlier today in Brooklyn Center, Minnesota and will appear in the United States District Court for the District of Minnesota. Marquez and Vang-Thao will be arraigned in the Eastern District of New York at a later date.
Joseph Nocella, Jr., United States Attorney for the Eastern District of New York and James C. Barnacle, Jr., Assistant Director in Charge, Federal Bureau of Investigation, New York Field Office (FBI), announced the arrests and charges.
“As alleged, the defendants defrauded investors and lenders out of millions of dollars,” stated United States Attorney Nocella. “Because of their lies and greed, the defendants ruined the financial security of dozens of victims, leaving them on the hook for repaying loans they could not afford and causing some to declare bankruptcy. Our Office will vigorously prosecute those who abuse the trust of others and profit through fraud.”
“Through repeated lies, these defendants allegedly forced trusting investors into financial stress – and for some, ruin – to illegally route more than four million dollars to their personal accounts. The FBI’s Financial Crimes Task Force remains committed to apprehending fraudsters that steal from others to line their own pockets,” stated FBI Assistant Director in Charge Barnacle.
As alleged in the indictment, Gelin operated Kensington International, Inc. (Kensington), a purported real estate development company, and oversaw the Artist Financial Program (AFP), an affiliated entity that specifically targeted aspiring artists and musicians. Gelin marketed the companies as real estate investment firms focused on purchasing distressed real estate that would be rehabilitated and resold for profit.
The defendants raised investment capital by soliciting investors who generally had limited assets but high credit scores, and obtained loans and credit cards on behalf of the investors that they promised to repay. Marquez and Vang-Thao, through their firms the Funding Club Consulting and the Financial Saver Network, respectively, submitted loan and credit card applications on behalf of the investors. Unbeknownst to the investors, Marquez and Vang-Thao filed fraudulent applications with the lenders that often inflated the investors’ income to obtain higher loans. Investors were not shown the applications before Marquez and Vang-Thao submitted them, and Marquez and Vang-Thao advised investors to lie to the lenders. Additionally, Gelin used the alias “Christian” to conceal from investors and potential investors his criminal history, which included serving three years in prison for committing a similar fraud scheme.
Once the credit card and lending applications were approved, investors were instructed to wire 15% of the credit limit of the credit cards and loan proceeds to Marquez and Vang-Thao. The remaining 85% was transferred to bank accounts controlled by Gelin. Rather than using the loan proceeds entirely to invest in real estate as promised to investors, the defendants diverted investor funds to pay for their personal expenses and spent only a nominal amount of investor funds on buying and renovating homes.
Also contrary to their promises to the investors, the defendants did not pay the lenders back in full. As a result, the investors were unable to repay the full amount of the loans and credit cards taken out in their names. Some investors declared bankruptcy. In total, investors lost at least $4.2 million from the fraudulent scheme.
The charges in the indictment are allegations, and the defendants are presumed innocent unless and until proven guilty. If convicted, they each face up to 30 years in prison.
If you believe that you or someone you know was victimized by the defendants, please contact the FBI by email at: [email protected] or by calling 1-800-CALL-FBI.
On April 7, the Department of Justice announced the creation of the National Fraud Enforcement Division (Fraud Division). The Fraud Division is laser-focused on investigating and prosecuting those who commit fraud against the American people. The Department’s work to combat fraud supports President Trump’s Task Force to Eliminate Fraud, a whole-of-government effort chaired by Vice President J.D. Vance to eliminate fraud, waste, and abuse within Federal benefit programs.
The government’s case is being handled by the Office’s Business & Securities Fraud Section. Assistant United States Attorney James R. Simmons is in charge of the prosecution, with the assistance of Paralegal Specialist Melina Piatti-Chayan.
The Defendants:
JOHN CHRISTIAN GELIN
Age: 58
Brooklyn, New YorkHEATHER MARQUEZ
Age: 45
Oceanside, CaliforniaKAOLEE VANG-THAO
Age: 53
Brooklyn Center, MinnesotaE.D.N.Y. Docket No. 26-CR-157 (CBA)
New York City Public School Teacher Pleads Guilty to Possession of Child PornographyRead the Press Release
Earlier today, in federal court in Brooklyn, Joseph Taylor McKeel, a public school teacher at a high school in New York City, pleaded guilty to possession of child pornography. The proceeding was held before United States Magistrate Judge Peggy Cross-Goldenberg. When sentenced, McKeel faces up to 20 years’ imprisonment.
Joseph Nocella, Jr., United States Attorney for the Eastern District of New York, and James C. Barnacle, Jr., Assistant Director in Charge, Federal Bureau of Investigation, New York Field Office (FBI), announced the guilty plea.
“McKeel possessed graphic images of child sexual abuse, including sexual abuse of infants and toddlers, all while employed in a position of trust as a high school biology teacher,” stated United States Attorney Nocella. “Prosecuting those who victimize children by feeding the market for child pornography will always be a top priority of our Office and our law enforcement partners.”
“Joseph McKeel, a New York City public-school teacher, exploited children by obtaining child pornography that included infants and toddlers. This is not just a horrific violation of law and abuse of children, but a profound betrayal of the trust placed in him as a teacher. Our FBI/NYPD Crimes Against Children and Human Trafficking Task Force will relentlessly pursue those who engage in such despicable conduct,” stated FBI Assistant Director in Charge Barnacle.
As set forth in court filings, McKeel, a high school biology teacher, possessed hundreds of images of child pornography. McKeel was arrested in March 2026 on his way to work carrying a backpack that contained a thumb drive with over 150 images of child sexual abuse, along with a pipe used for smoking methamphetamine. An additional device containing child sexual abuse material was found during the execution of a search warrant at McKeel’s residence.
This prosecution is part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by United States Attorneys’ Offices, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
The government’s case is being handled by the Office’s General Crimes Section. Assistant United States Attorneys Rebecca Sussman and Samuel Rackear are in charge of the prosecution.
The Defendant:
JOSEPH TAYLOR MCKEEL
Age: 33
Brooklyn, New YorkE.D.N.Y. Docket No. 26-CR-148 (RPK)
New York City Department of Correction Captain Indicted for Extortion and Wage Fraud SchemeRead the Press Release
Earlier today, in federal court in Brooklyn, an indictment was unsealed charging Latanya Brown with extortion and federal program funds theft. Brown is a Captain with the New York City Department of Correction (DOC). The indictment charges Brown with two counts of extortion and one count of fraudulently obtaining funds from a federally funded government agency. Brown was arrested today and will be arraigned this afternoon before United States Magistrate Judge Seth D. Eichenholtz.
Joseph Nocella, Jr., United States Attorney for the Eastern District of New York; James C. Barnacle, Jr., Assistant Director in Charge, Federal Bureau of Investigation, New York Field Office (FBI); and Nadia I. Shihata, Commissioner, New York City Department of Investigation (DOI), announced the indictment and arrest.
“As alleged, the defendant brazenly abused her authority as a law enforcement supervisor to steal taxpayer money and terrorize her subordinates by shaking them down for money, expensive gifts, and chauffeuring her to run personal errands, including trips to a casino while she was on duty,” stated United States Attorney Nocella. “Our Office will vigorously prosecute corrupt government officials who betray the public’s trust, and where applicable as in this case, seek forfeiture of ill-gotten funds.”
“Captain Latanya Brown allegedly abused her rank and strongarmed her subordinates to support her lavish lifestyle. The FBI is determined to aggressively pursue and hold accountable government officials who steal American taxpayer dollars while engaging in corrupt misconduct for personal enrichment,” stated FBI Assistant Director in Charge Barnacle.
“As a New York City Correction Captain, this defendant was entrusted with great authority, including over those she supervised. Instead of setting the example by upholding the highest standards of integrity and fairness, as charged, this Correction Captain allegedly used her power to extort luxury gifts, money, and personal favors from her subordinates in exchange for approving overtime, schedule changes, and vacation time,” stated DOI Commissioner Shihata. “The indictment also charges that on more than 100 occasions in 2024 and 2025 the defendant allegedly collected thousands of dollars in regular and overtime pay for hours she did not work — coming to work late and leaving her post early, including to go to a casino. I thank the U.S. Attorney's Office for the Eastern District of New York and the New York Office of the FBI for their continued partnership in protecting taxpayer funds and holding public employees accountable.”
As alleged in the indictment, Brown has been employed by the DOC since October 2001 and has held the rank of Captain since July 2007. Between approximately July 2024 and November 2025, Brown was assigned to Rikers Island’s Facility Operations Department as a DOC supervisor. Between approximately November 2025 and December 2025, Brown was assigned to New York State courthouses located in the Bronx. As a Captain, Brown supervised other correction officers and was responsible for approving employee requests for shift-schedule changes, overtime shifts, and vacation time. In 2024 and 2025, Brown regularly threatened to withhold approvals for shift changes, overtime shifts, and vacation time requests for her officers unless they agreed to pay her money, buy luxury items for her, and/or perform personal errands for her. For example, in December 2024, Brown forced several officers to buy an expensive Louis Vuitton bag for her. When Brown made her demand, she made statements to the DOC officers implying, in sum and substance, that their shift assignments, overtime shifts, and vacation time would be in jeopardy unless they purchased the luxury item. Additionally, on numerous occasions, Brown forced officers to drive her while on duty for non-work-related purposes, such as visits to restaurants, bars, and a casino.
In 2024 and 2025, Brown received more than $250,000 in regular pay and more than $400,000 in overtime pay. However, on more than 100 occasions during this time period, Brown submitted documentation to the DOC claiming that she had worked the entirety of regular and overtime shifts, when in fact she actually arrived to work several hours late or left work several hours early on those occasions. On some occasions, when Brown left her assigned posting early, she did so to spend time at the Empire City Casino in Yonkers, New York. For example, on November 21, 2024, Brown claimed in documentation submitted to the DOC to have worked from 5:00 a.m. until 9:31 p.m. on Rikers Island. However, Brown was not at Rikers Island during the entirety of that shift and instead arrived at the casino that day at approximately 2:34 p.m. Nevertheless, Brown was compensated by the DOC as if she had worked her full shift and at least seven hours of overtime.
The charges in the indictment are allegations, and the defendant is presumed innocent unless and until proven guilty. If convicted, Brown faces up to 20 years in prison.
The government’s case is being handled by the Office’s Public Integrity Section. Assistant United States Attorneys Andrew Grubin and Andrew Wang are in charge of the prosecution with assistance from Paralegal Specialist Johnson Peow.
The Defendant:
LATANYA BROWN
Age: 51
Yonkers, New YorkE.D.N.Y. Docket No. 26-CR-168 (MKB)
latanya_brown_indictment.pdfFormer Director of a Brooklyn Daycare Pleads Guilty to Wire FraudRead the Press Release
Earlier today, in federal court in Brooklyn, Murielle Misczak pleaded guilty to wire fraud in connection with a scheme to defraud her former employer, a Brooklyn daycare (the Daycare), of more than $2.75 million. The proceeding was held before United States District Judge Nicholas G. Garaufis. When sentenced, Misczak faces a maximum sentence of 20 years’ imprisonment as well as restitution of $2,805,871.
Joseph Nocella, Jr., United States Attorney for the Eastern District of New York, and James C. Barnacle, Jr., Assistant Director in Charge, Federal Bureau of Investigation, New York Field Office (FBI), announced the guilty plea.
“The defendant took advantage of her access to bank accounts for the Daycare to steal millions in tuition payments in order to line her own pockets and fund trips to World Wrestling Entertainment events among other personal expenses,” stated United States Attorney Nocella. “Our Office will continue to vigorously prosecute individuals like the defendant who abuse positions of trust and seek to enrich themselves at the expense of services for children.”
“Murielle Misczak’s selfish greed deprived a local daycare of nearly three million dollars in critical funding intended for services to support the development and care of our communities’ children. The FBI continues to pull back the curtain on fraudsters seeking to steal from innocent New Yorkers, regardless of their cover up attempts,” stated FBI Assistant Director in Charge Barnacle.
As set forth in court filings, Misczak was hired by the Daycare in 2013 as Program Coordinator and was later promoted to Director in 2020. Starting in January 2022 and continuing through October 2025, Misczak stole more than $2.75 million in tuition payments by directing them to be paid into accounts she controlled and then transferring those payments into her own accounts. Misczak hid her theft from the Daycare by deleting and altering information in the Daycare’s accounting systems. Misczak spent over $600,000 in stolen funds on travel and entertainment, including over $350,000 on tickets to professional wrestling events, as well as hundreds of thousands of dollars on luxury goods and various personal expenses such as food delivery and ride sharing services.”
The government’s case is being handled by the Office’s Business and Securities Fraud Section. Assistant United States Attorneys Shannon C. Jones and Sophia M. Suarez are in charge of the prosecution, with assistance from Paralegal Specialist Melina Piatti-Chayan.
The Defendant:
MURIELLE MISCZAK
Age: 43
Brooklyn, New YorkE.D.N.Y. Docket No. 26-CR-65 (NGG)
New York Educational Technology Company Agrees to Settle Federal Grant Fraud Claims for $274,634Read the Press Release
Joseph Nocella, Jr., United States Attorney for the Eastern District of New York, announced today a settlement agreement with New York Educational Technology Company, LangInnov Inc. (LangInnov). The settlement agreement addressed allegations that LangInnov violated the federal False Claims Act (FCA) by 1) performing research and development funded by the National Science Foundation (NSF) through the Small Business Innovation Research (SBIR) program outside of the United States, which was expressly prohibited 2) double-booking payroll to both the SBIR program and a Paycheck Protection Program (PPP) loan, and 3) not primarily employing its principal investigator as required under the program. LangInnov agreed to pay $50,000 and to forgo $224,634.25 remaining unpaid on an SBIR award to settle these allegations. The settlement was based on LangInnov’s ability to pay.
“SBIR awardees are required to conduct all research and development in the United States to ensure that funds are used to support small businesses and technological advancements in the U.S. and to protect national security interests,” stated United States Attorney Nocella. “As alleged, LangInnov disregarded this requirement by improperly conducting federally funded work overseas. The settlement in this matter demonstrates our commitment to holding those who defraud government programs accountable for their actions.”
United States Attorney Nocella thanked the Office of the Inspector General for the National Science Foundation (NSF OIG) for its partnership in the investigation.
“When companies fail to follow the requirements of the SBIR program, it is not only a misuse of taxpayer dollars but also takes away funding from deserving U.S. businesses. NSF OIG remains committed to pursuing oversight of these programs to ensure taxpayer funds are invested in the United States to benefit U.S. businesses, the U.S. economy, and national security. I commend the U.S. Attorney’s Office for supporting this important proactive effort,” stated Megan E. Wallace, NSF’s Acting Inspector General.
NSF participates in the SBIR program, a critically important and highly competitive program created to fund technological advancements within the United States. Funding for this program strengthens the competitive free enterprise system and the United States economy. To maximize that impact, SBIR regulations require all research and development to be conducted in the United States. Additionally, the primary employment of the principal investigator for an SBIR project must be with the small business for the duration of the award.
The PPP was intended to provide emergency financial assistance to American small businesses by providing forgivable loans for payroll and certain other expenses. SBIR awardees were permitted by NSF to apply for PPP loans but were not permitted to receive or request compensation for the same costs for both programs.
LangInnov applied for and was awarded Phase I and Phase II SBIR awards by NSF to research and develop an innovative application for bilingual students. LangInnov also obtained a PPP loan which was subsequently forgiven by the U.S. Small Business Administration.
The United States Attorney’s Office commenced its investigation based on NSF OIG’s proactive initiative to protect national security interests by identifying SBIR recipients who improperly operate outside of the United States. As alleged, LangInnov improperly booked payroll to the Phase I SBIR award for its Chief Operating Officer for 100 hours of work performed in Paris, France. LangInnov also falsely stated in its PPP application that the United States was the principal place of residence for all employees and double-booked payroll to both the SBIR award and the PPP loan, including payroll for work in Paris. Additionally, LangInnov failed to primarily employ its principal investigator for the duration of the Phase I award. NSF suspended payments on the Phase II award when it learned of the conduct. At the time, $224,634.25 was the unpaid balance remaining on the award.
The claims asserted against LangInnov are allegations only and there has been no determination of liability.
The investigation is being handled by Assistant U.S. Attorney Bonni J. Perlin.
MS-13 Gang Member Sentenced to 35 Years in Prison for Murder on Subway Platform in QueensRead the Press Release
Today, in federal court in Brooklyn, Victor Lopez, also known as “Curioso,” a member of the Indios Locos Salvatruchas clique of La Mara Salvatrucha, also known as the MS-13, was sentenced by United States District Judge LaShann DeArcy Hall to 35 years in prison for his participation in the murder of Abel Mosso in 2019 on a crowded No. 7 subway train platform in Jackson Heights, Queens. Lopez, an El Salvadoran national, pleaded guilty in February 2025 to racketeering and causing Mosso’s death through the use of a firearm and has consented to be deported upon completion of his term of imprisonment. He is the fifth defendant convicted of Mosso’s murder to be sentenced.
Joseph Nocella, Jr., United States Attorney for the Eastern District of New York, James C. Barnacle, Jr., Assistant Director in Charge, Federal Bureau of Investigation, New York Field Office (FBI), Pete Gizas, Acting Special Agent in Charge, Homeland Security Investigations, New York (HSI New York), and Jessica S. Tisch, Commissioner, New York City Police Department (NYPD), announced the sentence.
“The defendant is deservedly punished for participating in a targeted killing of a perceived gang rival that was carried out in broad daylight on a subway platform, which also endangered the lives of numerous bystanders going about their business,” stated United States Attorney Nocella. “It is a priority of the Administration and our Office to eradicate local and transnational gangs that operate with no regard for human life. The substantial prison sentences imposed on the defendants responsible for this brutal murder make our communities safer.”
Mr. Nocella also thanked the Queens County District Attorney’s Office for their valuable coordination with the investigation.
“MS-13 member Victor Lopez participated in the public execution of a perceived rival with complete disregard for human life or innocent New Yorkers. May today's sentence reflect the FBI New York Safe Streets Task Force’s commitment to working with our federal and local partners to eliminate gang violence that plagues our communities with senseless crime and murder,” stated FBI Assistant Director in Charge Barnacle.
“Few acts demonstrate more brazen depravity than an execution-style ambush carried out in front of terrified commuters on a crowded subway platform, with these MS-13 members openly announcing their intent to kill. This cold-blooded murder was designed to send a message of fear to the public and to show that the gang believed it could operate with impunity. Thanks to the relentless work of HSI New York and our law enforcement partners, these ruthless offenders are off the streets, our communities are safer, and we will continue to pursue any MS-13 member who threatens the people of this district,” stated HSI Acting Special Agent in Charge Gizas.
“The defendant, who is a member of the notorious MS-13 crew, participated in the cold-blooded murder of a rival on a crowded subway platform in Queens,” said NYPD Commissioner Tisch. “Today’s sentencing decision reflects the ongoing efforts of NYPD investigators to take down violent gangs, remove guns from our streets, and keep communities safe. I am thankful to our partners at HSI, the FBI, and the U.S. Attorney’s Office for the Eastern District of New York for their hard work in this case.”
On the afternoon of February 3, 2019, Lopez and fellow MS-13 members Ramiro Gutierrez, Tito Martinez-Alvarenga, Emerson Martinez-Lara, and Ismael Santos-Novoa went to the Flushing-Main Street subway station to locate and kill Mosso, whom they believed to be a member of the rival 18th Street gang. Lopez, Gutierrez, and Martinez-Alvarenga followed Mosso onto the No. 7 train, while Santos Novoa and Martinez-Lara acted as lookouts for police. On the train, Lopez and Martinez Alvarenga assaulted Mosso and then dragged him out onto the platform at 90th Street and Roosevelt Avenue station. Lopez pulled out a gun, but Mosso wrestled it away. When a crowd of people gathered around and tried to help Mosso, one of the defendants shouted in Spanish, “Nobody get involved, we’re MS-13, we’re going to kill him.” Gutierrez then grabbed the gun from Mosso and shot him multiple times in the head, killing him. Later, Lopez burned the clothing he was wearing during the attack to avoid detection by law enforcement.
Four defendants were previously sentenced for their participation in Mosso’s murder as well as other crimes committed on behalf of the MS-13. Gutierrez and Martinez Alvarenga were sentenced to 55 years and 48 years in prison, respectively, for their participation in Mosso’s murder as well as the murder of Victor Alvarenga in 2018. Santos Novoa was sentenced to 24 years in prison for his role as a lookout in Mosso’s killing, the nonfatal shooting of another victim, and other murder conspiracies. Martinez-Lara was sentenced to 18 years in prison for his role as a lookout in Mosso’s murder and other murder conspiracies.
These sentencings are the latest in a series of federal prosecutions by the United States Attorney’s Office for the Eastern District of New York targeting members of the MS-13. MS-13’s leadership was based in El Salvador and Honduras, but the gang has thousands of members across the United States. Since 2003, hundreds of MS-13 members, including dozens of clique leaders, have been convicted on federal felony charges in the Eastern District of New York. A majority of those MS-13 members have been convicted on federal racketeering charges for participating in murders, attempted murders and assaults. Since 2010, this Office has obtained indictments charging MS-13 members with carrying out more than 75 murders in the district and has convicted dozens of MS-13 leaders and members in connection with those murders. These prosecutions are the product of investigations led by our law enforcement partners including HSI and the FBI’s Safe Streets Task Force, comprising agents and officers of the FBI and NYPD.
This prosecution is part of the Homeland Security Task Force initiative established by Executive Order 14159, Protecting the American People Against Invasion. The HSTF is a whole-of-government partnership dedicated to eliminating criminal cartels, foreign gangs, transnational criminal organizations and human smuggling and trafficking rings operating in the United States and abroad. Through historic interagency collaboration, the HSTF directs the full might of U.S. law enforcement towards identifying, investigating and prosecuting the full spectrum of crimes these organizations commit, which have long fueled violence and instability within our borders. In performing this work, the HSTF places special emphasis on investigating and prosecuting those engaged in child trafficking or other crimes involving children. The HSTF further utilizes all available tools to prosecute and remove the most violent criminal aliens from the United States. HSTF New York comprises agents and officers from HSI; the DEA; FBI; the New York City Police Department; IRS Criminal Investigation; Bureau of Alcohol, Tobacco, Firearms and Explosives; U.S. Marshals Service; U.S. Postal Inspection Service; and U.S. Secret Service, with the U.S. Attorney’s Office for the Eastern District of New York leading this prosecution.
The government’s case is being handled by the Office’s Organized Crime and Gangs Section. Assistant United States Attorneys Jonathan Siegel, Anna L. Karamigios, and Kam Ammari are in charge of the prosecution, with the assistance of Paralegal Specialists Timothy Migliaro and Danielle Barber.
The Defendant:
VICTOR LOPEZ (also known as “Curioso”)
Age: 27
Flushing, New YorkCo-Defendants Previously Sentenced:
RAMIRO GUTIERREZ (also known as “Cara de Malo”)
Age: 33
Flushing, New YorkTITO MARTINEZ-ALVARENGA (also known as “Imprudente”)
Age: 26
Flushing, New YorkISMAEL SANTOS-NOVOA (also known as “Profe”)
Age: 37
Flushing, New YorkEMERSON MARTINEZ-LARA (also known as “Fugitivo”)
Age: 27
College Point, New YorkE.D.N.Y. Docket No. 20-CR-228 (S-3) (LDH)
Long Island Pastor Sentenced to 210 Months in Prison for Sexual Exploitation of a ChildRead the Press Release
Earlier today, in federal court in Central Islip, Jose Saez, Jr., a pastor at Iglesia Cristiana Alumbrando El Camino church located in Brentwood, New York, was sentenced by United States District Judge Joan M. Azrack to 210 months in prison for sexual exploitation of a child. Saez communicated with minor victims over the internet, coerced them into creating and sending him sexually explicit images and videos of themselves, and coerced a minor to engage in sexual acts with the defendant at a public park on Long Island. Saez pleaded guilty to the charges in March 2025.
Joseph Nocella, Jr., United States Attorney for the Eastern District of New York, and James C. Barnacle, Jr., Assistant Director in Charge, Federal Bureau of Investigation, New York Field Office (FBI), announced the sentence.
“Today’s lengthy sentence holds the defendant accountable for his exploitation of children and his abuse of a position of trust,” stated United States Attorney Nocella. “As a pastor, the defendant occupied a role that carries with it a profound responsibility to protect and guide others, particularly the most vulnerable. Instead, he used that position to harm children. Protecting our community from predators like the defendant will always be a priority of our Office.”
Mr. Nocella expressed his appreciation to the Suffolk County Police Department for their work on the case.
“Jose Saez abused his position as a Pastor by coercing innocent children to send sexually explicit images and even forcing one minor to engage in sexual acts in a public space. The pain he inflicted on the children who trusted him is indefensible, and the FBI with its partners brought this individual to justice. The men and women of the FBI's Long Island Child Exploitation Task Force will never relent in their efforts to seek justice for victims and protect our communities children,” stated FBI Assistant Director in Charge Barnacle.
As set forth in court filings, and as established at both the plea proceeding and sentencing, Saez used an encrypted messaging service to engage in sexually explicit conversations with minors and with a law enforcement officer acting in an undercover capacity (the UC). In August of 2023, Saez had online conversations with the UC. During those conversations, the defendant stated that he had sexually abused an infant, that his “sweet spot” was molesting children between the ages of 11 and 15, and that he was able to find his younger victims at “church.” Pursuant to a court-authorized search, FBI agents recovered numerous images and videos of child pornography from the defendant, some of which he had solicited from minors. The defendant also admitted to law enforcement officers that he encouraged at least one minor to produce child pornography and send it to him.
In addition to the defendant’s solicitation and distribution of child sex abuse material, in May 2023, Saez also raped a minor he told to meet him in a public restroom in Mount Sinai, New York.
This prosecution is part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by United States Attorneys’ Offices, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.
Anyone with information about sexual exploitation by the defendant is asked to contact the FBI at tips.fbi.gov or (212) 384-1000.
The government’s case is being handled by the Criminal Section of the Office’s Long Island Division. Assistant United States Attorneys Mark E. Misorek and Adam R. Toporovsky are in charge of the prosecution, with assistance from Paralegal Specialist Dejah Turla.
The Defendant:
JOSE SAEZ, JR.
Age: 30
Brentwood, New YorkE.D.N.Y. Docket No. 23-CR-480 (JMA)
Defendant Sentenced to 210 Months’ Imprisonment for Sex Trafficking Minor VictimRead the Press Release
Earlier today, in federal court in Brooklyn, Hadrian Crichlow was sentenced by United States District Judge Hector Gonzalez to 210 months in prison for sex trafficking a minor. In addition to the terms of imprisonment, Judge Gonzalez ordered Crichlow to pay $12,000 restitution to the victim. Crichlow pleaded guilty to the charge in December 2025.
Joseph Nocella, Jr., United States Attorney for the Eastern District of New York, and James C. Barnacle, Jr., Assistant Director in Charge, Federal Bureau of Investigation, New York Field Office (FBI), announced the sentence.
“Sex trafficking is a crime that strips victims of their freedom, dignity, and safety, and today’s sentence reflects the profound harm he inflicted on a child,” stated United States Attorney Nocella. “Crichlow treated a child as a commodity, taking advantage of a vulnerable 15-year-old and selling her body for his own profit. Today’s outcome should send a clear message that such exploitation will be met with serious consequences, and it is my hope that it brings a measure of justice to the victim who endured these abuses.”
"Hadrian Crichlow subjected a vulnerable child to unthinkable sexual abuse and psychological torment, including repeatedly trafficking this minor victim for profit. May today’s lengthy sentence reflect the FBI’s dedication to holding accountable those who commit such vile actions that exploit children," stated FBI Assistant Director in Charge Barnacle.
Between September and October 2023, Crichlow, then 42-years-old, trafficked the victim – a 15-year-old unhoused runaway – and forced her to engage in commercial sex acts throughout New York City, including in Brooklyn and the Bronx, as well as in other states. Crichlow took photographs of the victim and those images were posted in online advertisements for commercial sex. Crichlow then forced the minor victim to meet with commercial sex customers multiple times per day in hotel rooms while transporting her between several states and required the victim to surrender all proceeds to him. Crichlow controlled the victim through a combination of isolation, dependency, drugging, and sexual violence. He prohibited her from possessing or using a cellphone outside of his presence, ensuring she could not contact family, friends, or law enforcement; he gave her drugs; and he forced her to engage in sex acts with him directly – separate from the commercial sex encounters he arranged – over her express objections, telling her on at least one occasion that he did not care whether she consented. Crichlow sex trafficked the victim until she escaped in October 2023.
The government’s case is being handled by the Office’s Human Trafficking and Civil Rights Section. Assistant United States Attorneys Rachel A. Bennek, Katherine Onyshko, and Sean Fern are in charge of the prosecution.
The Defendant:
HADRIAN CRICHLOW
Age: 45
Bronx, New YorkE.D.N.Y. Docket No. 25-CR-120 (HG)
Former New York City Police Department Detective Sentenced to 48 Months in Prison for Paycheck Protection Program Fraud SchemeRead the Press Release
Earlier today, in federal court in Brooklyn, John Bolden was sentenced by United States District Judge Diane Gujarati to 48 months in prison for wire fraud conspiracy in connection with a scheme to defraud the Paycheck Protection Program (PPP). At the time of his criminal conduct, Bolden was a detective with the New York City Police Department (NYPD). In addition to the prison term, Judge Gujarati ordered Bolden to pay restitution in the amount of $303,138 and forfeiture in the amount of $112,002. The defendant previously pleaded guilty on February 18, 2026.
Joseph Nocella, Jr., United States Attorney for the Eastern District of New York and James C. Barnacle, Jr., Assistant Director in Charge, Federal Bureau of Investigation, New York Field Office (FBI) announced the sentence.
“Despite being a police officer sworn to uphold the law, the defendant organized a scheme that enabled dozens of individuals, including clients, family members and NYPD co-workers, to obtain millions in federal funds using fictitious tax records,” stated United States Attorney Nocella. “Bolden brazenly took advantage of a COVID relief program created to help struggling businesses survive an unprecedented national crisis. The sentence imposed today reflects the seriousness of that misconduct and our Office’s commitment to prosecute fraud related to the pandemic.”
Mr. Nocella expressed his appreciation to the Suffolk County Police Department; the Small Business Administration’s Office of the Inspector General; the Board of Governors of the Federal Reserve System, Office of the Inspector General; the U.S. Department of Education, Office of Inspector General; and the NYPD’s Internal Affairs Bureau for their assistance on the case.
“John Bolden betrayed his oath to protect the community he served by secretly helping his co-defendants, family, and friends in stealing millions of dollars in PPP funds,” stated FBI Assistant Director in Charge Barnacle. “While an overwhelming majority of NYPD employees strictly adhere to values of integrity and honor, there are those who exploit the system for personal enrichment. The FBI, NYPD, and our federal partner agencies continue working together to hold those accountable who exploit federally funded relief programs.”
Then-detective Bolden owned partnership interests in a franchise for a tax-preparation business. Between May 2020 and October 2022, Bolden engaged in a scheme to defraud the Small Business Administration by working with his clients to fraudulently obtain PPP funds. Bolden obtained PPP funds for himself, his co-defendants and more than 65 individuals by helping submit online loan applications containing false and fraudulent information. One of those loan applications belonged to co-defendant Anthony Carreira, also a former NYPD detective, who knowingly submitted false documentation to obtain PPP funds. Co-defendant Christian McKenzie, who is Bolden’s cousin, also fraudulently obtained a PPP loan and steered other applicants to Bolden in exchange for fraudulent PPP proceeds. As part of the scheme, Bolden prepared fictitious Internal Revenue Service Form Schedule C documentation, which accompanied the loan applications and contained false information about his, his co-defendants’ and his clients’ places of employment, gross income and net income. Bolden sought to steal nearly $3 million from the PPP, and succeeded in stealing at least several hundred thousand dollars.
For their roles in the scheme, Carreira was sentenced on March 6, 2026 to time served, and McKenzie is scheduled to be sentenced on July 14, 2026.
The government’s case is being handled by the Office’s Public Integrity Section. Assistant United States Attorneys Andrew D. Grubin and Eric Silverberg are in charge of the prosecution, with assistance from Paralegal Specialist Johnson Peow.
The Defendants:
JOHN BOLDEN
Age: 47
Valley Stream, Long IslandANTHONY CARREIRA
Age: 43
Staten Island, New YorkCHRISTIAN MCKENZIE
Age: 48
Wheatley Heights, Long IslandE.D.N.Y. Docket No. 24-CR-361 (DG)
5-9 Brims Gang Member Pleads Guilty in Connection with August 17, 2025 Shooting in Crown HeightsRead the Press Release
Earlier today, in federal court in Brooklyn, Timothy Spence pleaded guilty to assault in-aid-of racketeering and a firearms crime related to his involvement in the August 17, 2025 shooting at Taste of the City Lounge in Brooklyn, New York, during which thirteen individuals were shot and three died. Spence, a member of the 5-9 Brims gang, waived indictment and pleaded guilty to an information charging him with assault in-aid-of racketeering in violation of Title 18, United States Code, Section 1959(a)(3), and discharging a firearm during a crime of violence, in violation of Title 18, United States Code, Section 924(c). The proceeding was held before United States District Judge Orelia E. Merchant. When sentenced, Spence faces a mandatory minimum sentence of 10 years’ imprisonment and up to life imprisonment.
Joseph Nocella, Jr., United States Attorney for the Eastern District of New York; James C. Barnacle, Jr., Assistant Director in Charge, Federal Bureau of Investigation, New York Field Office (FBI); and Jessica S. Tisch, Commissioner, New York City Police Department (NYPD), announced the guilty plea.
“As part of a gang dispute, Spence and others opened fire in the middle of a crowded bar, leaving three people dead and ten other injured victims,” stated United States Attorney Nocella. “As today’s guilty plea demonstrates, our Office is committed to prosecuting all gang-related gun violence and holding accountable those who perpetuate it.”
“The defendant and other members of the 5-9 Brims turned a crowded Brooklyn bar into a war zone when they opened fire on rival gang members, killing three people and injuring 10 others,” said NYPD Commissioner Tisch. “Today’s guilty plea reflects the NYPD’s relentless pursuit of the violent gang members who wreak havoc in our communities and claim lives. Thank you to the tireless work of our NYPD investigators and our partners at the FBI and the U.S. Attorney’s Office for the Eastern District of New York for holding these dangerous criminals accountable."
Mr. Nocella expressed his appreciation to FBI/NYPD Metro Safe Streets Task Force and the NYPD’s Gun Violence Suppression Division for their outstanding work and assistance in this investigation and prosecution.
As set forth in court filings, in the early morning hours of August 17, 2025, Spence was at Taste of the City Lounge, a restaurant and hookah bar in Brooklyn, New York, with members and associates of the 5-9 Brims. Also present at the lounge were individuals associated with the Folk Nation Gangster Disciples (or “GD”), a rival of the 5-9 Brims. At approximately 3:00 a.m., members of the 5-9 Brims began shooting at associates of GD, who returned fire. Spence, who was armed when the shooting began, shot towards a group of individuals affiliated with GD. Within approximately six seconds, over 40 shots were discharged into the crowded bar, killing three and injuring ten.
The government’s case is being handled by the Office’s Organized Crime and Gangs Section. Assistant United States Attorneys Dana Rehnquist, Daniel J. Marcus and Molly N. Delaney are in charge of the prosecution.
The Defendant:
TIMOTHY SPENCE
Age: 21
Brooklyn, New YorkE.D.N.Y. Docket No.: 26-CR-140 (OEM)
2026.05.05_u.s._v._spence_information_18_usc_1959a3_924c.pdfInmate Sentenced to 37 Months in Prison for Scheme to Smuggle Contraband into Metropolitan Detention Center in BrooklynRead the Press Release
Earlier today, in federal court in Brooklyn, Daryl Campbell was sentenced by United States District Judge Nicholas G. Garaufis to 37 months in prison for orchestrating a scheme to smuggle contraband into the Metropolitan Detention Center (the MDC). Campbell pleaded guilty in September 2025 to conspiracy to possess contraband. The sentence imposed today will run consecutive to the 35-year term he is serving for a manslaughter conviction in New York County. Campbell’s co‑defendants and fellow MDC inmates Ian Diez, Jonathan Guerrero, Abel Mora, and Mayovanex Rodriguez were previously sentenced to terms of incarceration ranging from six months to 30 months. A sixth co-conspirator, Carl Kelly, is awaiting sentencing.
Joseph Nocella, Jr., United States Attorney for the Eastern District of New York, and James C. Barnacle, Jr., Assistant Director in Charge, Federal Bureau of Investigation, New York Field Office (FBI) announced the sentence.
“The message to inmates from today’s sentencing is clear: go fishing for contraband, and all you will catch is another prison term,” stated United States Attorney Nocella. “The smuggling of drugs and weapons by inmates compromises the safety and security of the MDC. Our Office will continue to ensure that any inmates who smuggle contraband will be prosecuted and face the consequences.”
Mr. Nocella thanked the U.S. Bureau of Prisons for its assistance with the investigation.
“Daryl Campbell jeopardized the safety of other inmates and employees by obtaining illegal drugs and weapons while incarcerated at the Metropolitan Detention Center. May today's sentencing emphasize the FBI's commitment to holding accountable individuals who smuggle contraband into our federal jails,” stated FBI Assistant Director in Charge Barnacle.
Between April and June 2024, Campbell used a contraband cell phone to send detailed instructions to his co-conspirators on how to bring additional contraband into the MDC. As the organizer of the scheme, Campbell advised co-conspirators on how to package contraband, to deliver it to the MDC, and to get it into the jail, providing advice and guidance along the way as to how to accomplish each step in the process. In several voice recordings, Campbell explained his method of throwing a “line” out of a window of the MDC on to which a co-conspirator on the outside was to “hook” contraband, which could then be pulled back inside. On June 30, 2024, Kelly, Diez, Guerrero, Mora, and Rodriguez attempted to execute Campbell’s scheme. Kelly approached the front of the MDC and threw a rope made of duct tape up to the fourth floor, where Diez, Guerrero, Mora, and Rodriguez tried to pull it through the window of the recreation room in their housing area. Inside of the rope, correctional officers found papers laced with MDMB-4en-Pinaca (a synthetic cannabinoid), suboxone, marijuana, a scalpel, a phone charger, lighters, and cigarettes.
The government’s case is being handled by the Office’s General Crimes Section. Assistant United States Attorneys Russell Noble and Michael Manzo are in charge of the prosecution with the assistance of Special Agent Danielle Williams.
The Defendants:
DARYL CAMPBELL
Age: 40
Brooklyn, New YorkIAN DIEZ
Age: 22
Brooklyn, New YorkJONATHAN GUERRERO
Age: 38
Brooklyn, New YorkABEL MORA
Age: 24
Brooklyn, New YorkMAYOVANEX RODRIGUEZ
Age: 31
Brooklyn, New YorkE.D.N.Y. Docket No. 25-CR-108 (NGG)
CARL KELLY
Age: 35
Long Island City, New YorkE.D.N.Y. Docket No. 25-CR-250 (NGG)
Clinic Manager Convicted of $8 Million Medicare Fraud SchemeRead the Press Release
BROOKLYN, NY – Today, Olga Popovych was convicted by a federal jury in Brooklyn for her role in an $8 million health care fraud conspiracy. Popovych was an office manager of several physical therapy clinics in Brooklyn that paid cash kickbacks to ambulette drivers who recruited Medicare patients to transport to clinics. The verdict was returned after a one-week trial before United States District Judge LaShann DeArcy Hall.
Joseph Nocella, Jr., United States Attorney for the Eastern District of New York, Colin M. McDonald, Assistant Attorney General of the Justice Department’s National Fraud Enforcement Division, Naomi Gruchacz, Special Agent in Charge, U.S. Department of Health and Human Services, Office of Inspector General (HHS-OIG), and James C. Barnacle, Jr., Assistant Director in Charge, Federal Bureau of Investigation, New York Field Office (FBI), announced the verdict.
As proven at trial, Popovych was personally involved with paying ambulette drivers cash kickbacks. She also falsified medical records to indicate that physical therapists who were not actually at the clinic treated the patients. Between 2018 and 2020, Medicare paid these clinics over $8 million.
There was witness testimony that Popovych exchanged text messages with her co-conspirators that discussed the payment of kickbacks through the use of code words. The evidence also showed that Popovych suspected that the clinics were being watched by law enforcement and took steps to conceal the scheme.
Popovych was convicted of conspiracy to commit health care fraud, conspiracy to make false statements relating to health care matters, four counts of health care fraud, and three counts of making false statements relating to health care matters. When sentenced, she faces a statutory maximum penalty of 10 years in prison for each health care fraud conviction and five years in prison for each false statements count.
HHS-OIG and FBI investigated the case.
On April 7, the Department of Justice announced the creation of the National Fraud Enforcement Division (Fraud Division). The Fraud Division is laser-focused on investigating and prosecuting those who commit fraud against the American people. The Department’s work to combat fraud supports President Trump’s Task Force to Eliminate Fraud, a whole-of-government effort chaired by Vice President J.D. Vance to eliminate fraud, waste, and abuse within Federal benefit programs.
The Department of Justice’s Health Care Fraud Strike Force Program, currently comprised of nine strike forces operating in federal districts across the country, has charged more than 6,200 defendants who collectively billed federal health care programs and private insurers more than $45 billion since 2007. In addition, the Centers for Medicare & Medicaid Services, working in conjunction with the Office of the Inspector General for the Department of Health and Human Services, are taking steps to hold providers accountable for their involvement in health care fraud schemes. More information can be found at www.justice.gov/criminal-fraud/health-care-fraud-unit.
Trial Attorneys Patrick J. Campbell and John Howard of the Criminal Division’s Fraud Section are prosecuting the case with the assistance of Trial Attorney Miriam Glaser Dauermann.
The Defendant:
OLGA POPOVYCH
Age: 43
New York, New YorkE.D.N.Y. Docket No.: 20-CR-373 (LDH)