Northern District of New York

ALBANY, NEW YORK – Derek R. Schwartz, age 55, of Coppell, Texas, was sentenced today to 72 months in prison for conspiring with former ValueWise CEO Michael T. Mann to defraud companies that loaned millions of dollars to ValueWise subsidiaries. 

United States Attorney Carla B. Freedman and Craig L. Tremaroli, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation (FBI), made the announcement.

Schwartz pled guilty in September 2023 to one count of conspiring to commit wire fraud and four counts of wire fraud.  He admitted to helping Mann fraudulently obtain millions of dollars in loans from financing companies.

Mann obtained millions of dollars in loans from two financing companies, located in New York and Colorado, by falsifying his companies’ receivables.  Mann falsely told the financing companies that Minnesota-based UnitedHealth Group Incorporated (“UHG”) and its subsidiary OptumInsight Inc. (“Optum”), owed millions of dollars to his Clifton Park-based companies.  Mann routinely created fake invoices reflecting the fictitious debt and assigned them to the financing companies as collateral for loans.

Schwartz was a high-level executive at Optum, and then began working for ValueWise in October 2013.  Until about August 2016, he operated TrueHR, LLC, a ValueWise subsidiary based in Dallas, Texas.

Schwartz admitted that in October 2013, he and Mann asked Luke Steiner, a UHG/Optum employee whom Schwartz used to supervise, to represent to the financing companies that the fake invoices created by Mann were valid and payable by Optum.  With Schwartz’s encouragement, Steiner regularly made these false verifications for six years, ending in August 2019.

Schwartz also admitted he took these other actions in furtherance of the fraudulent scheme:

• In 2014 and 2015, he asked two other UHG/Optum employees to verify false invoices that Mann submitted to one of the financing companies, identified in court papers as “Financing Company-1.”  He instructed these employees to respond to Financing Company-1’s inquiries in the same manner as Steiner.

• From 2014 through 2018, Schwartz lied directly to one of Mann’s lenders, “Financing Company-2.”  Mann falsely represented to Financing Company-2 that one of his companies, Weitz & Associates, needed loans in order to pay its vendors.  As part of its due diligence process, Financing Company-2 verified, with Weitz’ purported vendors, that they were receiving payments from Weitz.  One such purported vendor was TrueHR, a ValueWise company operated by Schwartz.  In fact, TrueHR was not a Weitz vendor, and Schwartz regularly lied to Financing Company-2 about TrueHR receiving payments from Weitz – and continued to do so even after TrueHR ceased to exist as a company.

Senior United States District Judge Lawrence E. Kahn also ordered Schwartz to serve 3 years of post-imprisonment supervised release and to pay a total of $12,968,505.20 in restitution to Financing Company-1 and Financing Company-2; Judge Kahn ordered Schwartz to pay $2,000 in restitution per month, including while incarcerated. In addition, Schwartz has already made a $1 million restitution payment to the Court for distribution to his victims.

Mann, formerly of Saratoga County, New York, pled guilty to various crimes in connection with his fraudulent scheme, and was sentenced in August 2021 to 144 months in prison.  Steiner pled guilty in February 2020 to conspiring with Mann and was sentenced to probation.

The FBI investigated this case, and Assistant U.S. Attorneys Michael Barnett and Cyrus P.W. Rieck prosecuted this case.

ALBANY, NEW YORK – Eduardo Abreu, age 48, of Latham, New York, was arrested yesterday on a criminal complaint charging him with receipt of child pornography. 

United States Attorney Carla B. Freedman and Craig L. Tremaroli, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation (FBI), made the announcement.

The criminal complaint alleges that on or about August 21, 2024, Abreu received approximately 225 images of child pornography over the internet.  The charges in the complaint are merely accusations.  The defendant is presumed innocent unless and until proven guilty.

Abreu appeared yesterday in Albany before United States Magistrate Judge Christian F. Hummel, and ordered detained pending a detention hearing scheduled for Thursday, August 29. 

Abreu faces at least 15 years and up to 40 years in prison, a maximum fine of $250,000, and a term of post-imprisonment supervised release of at least 5 years and up to life. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines, and other factors. Abreu may also be ordered to pay restitution to the victims of his offense and forfeit any devices used in the offense. Abreu would also have to register as a sex offender upon his release from prison.

The FBI’s Child Exploitation and Human Trafficking Task Force is investigating the case. Assistant U.S. Attorney Allen J. Vickey is prosecuting the case.

Launched in May 2006 by the Department of Justice, Project Safe Childhood is led by United States Attorney’s offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS), and is designed to marshal 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.

ALBANY, NEW YORK – Davon Parson, age 20, of Albany, was sentenced today to 15 months in prison, to be followed by 2 years of post-release supervision, for his role in a bank fraud conspiracy targeting SEFCU.  United States Attorney Carla B. Freedman and Matthew Scarpino, Special Agent in Charge of the Buffalo Field Office of Homeland Security Investigations (HSI), made the announcement. 

Parson previously pled guilty to one count of bank fraud conspiracy and one count of aggravated identity theft.  He admitted that he was a member of a conspiracy to defraud SEFCU by, among other things, applying for loans using stolen identities of real people, and withdrawing the money in cash.  Parson admitted that he applied for a $25,000 loan in another person’s name using a fake driver’s license.  Parson also admitted that he had cashed and attempted to cash fraudulent checks drawn on real customers’ accounts. 

Parson was charged by indictment, along with Evan Cutler, of Queensbury, New York, Dnauticah Taylor-Sterman, of Albany, and Allahson Allah, formerly known as Gwyn Cancer, of Albany. According to the indictment and statements made by prosecutors in court, the conspirators obtained customer account information from Caeshara Cannon, age 33, of Albany, a former Member Service Manager at SEFCU, and used that information to create counterfeit checks, which were presented for negotiation at SEFCU branches in the Northern District of New York.  The conspirators also obtained personal identifying information of real people, which they used to fraudulently obtain loans from SEFCU and then withdraw the proceeds in cash.

Parson was also ordered to pay $9,000 restitution to SEFCU.  The remaining defendants have all pled guilty and are due to be sentenced later this year.  In addition, Caeshara Cannon was previously arrested and pled guilty on September 14, 2023 to conspiracy to commit bank fraud and aggravated identity theft.  She is scheduled for sentencing on October 4, 2024.

HSI is investigating the case, with assistance from the Bethlehem Police Department.  Assistant United States Attorney Benjamin S. Clark is prosecuting this case.

ALBANY, NEW YORK – Alexander Wilson, age 31, of Albany, was sentenced today to 27 months in prison for illegally possessing a pistol as a convicted felon. 

United States Attorney Carla B. Freedman; United States Marshal David L. McNulty; Bryan Miller, Special Agent in Charge of the New York Field Division of the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF); and New York State Police (NYSP) Superintendent Steven G. James made the announcement. 

As part of his previously entered guilty plea, Wilson, who has two prior felony convictions, admitted that on March 16, 2023, he threw a loaded pistol from a vehicle while being pursued by a New York State Trooper on Interstate 90 in Albany.

United States District Judge Mae A. D’Agostino also imposed a 3-year term of supervised release, to begin after Wilson is released from prison.  Judge D’Agostino also ordered Wilson to forfeit the firearm.

The United States Marshals Service, ATF, and NYSP investigated the case.  Assistant U.S. Attorney Joshua R. Rosenthal prosecuted the case 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 gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.

SYRACUSE, NEW YORK – Rasheed Mingues, age 45, a resident of New York City, was sentenced today to 188 months in prison following his convictions for possession of controlled substances with the intent to distribute and possession of a firearm as a previously convicted felon.  United States Attorney Carla B. Freedman and Frank A. Tarentino III, Special Agent in Charge of the U.S. Drug Enforcement Administration (DEA), New York Division, made the announcement.

As part of his previous guilty plea, Mingues admitted that between April and October 2022, he sold over 100 grams of methamphetamine and over 30 grams of fentanyl in the Utica, New York area, where he had been temporarily staying. He also admitted that on December 9, 2022, he possessed over 700 grams of fentanyl, over 700 grams of methamphetamine, and over 100 grams of cocaine with the intent to distribute them, and that he possessed a loaded 9mm handgun in the same bag as the drugs.  Federal law prohibits Mingues from possessing the firearm as a result of his prior felony conviction. 

Chief United States District Judge Brenda K. Sannes also imposed a 5-year term of supervised release, to begin after Mingues is released from prison.  Chief Judge Sannes also ordered Mingues to forfeit the firearm.

The DEA and New York State Police investigated the case with assistance from the Utica Police Department, Syracuse Police Department, Oneida County Sheriff’s Office, and the U.S. Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF).  Assistant U.S. Attorneys Jessica N. Carbone and Benjamin Gillis prosecuted the case.

SYRACUSE, NEW YORK – Jevon Henry, age 43, of the Bronx, New York, was sentenced today to 96 months in prison for possession of cocaine with the intent to distribute.  United States Attorney Carla B. Freedman and Frank A. Tarentino III, Special Agent in Charge of the U.S. Drug Enforcement Administration (DEA), New York Division, made the announcement.

As part of his prior guilty plea, Henry admitted that on January 29, 2024, he travelled to Syracuse from New York City carrying approximately 5.5 kilograms of cocaine in two pieces of luggage.  Henry also admitted that he intended to distribute the cocaine in Syracuse.  DEA agents were able to stop Henry at a local hotel before he could distribute any of the cocaine.

United States District Judge Glenn T. Suddaby also imposed a 4-year term of supervised release, to begin after Henry is released from prison. 

DEA investigated the case with assistance from the Syracuse Police Department, Onondaga County Sheriff’s Office, and Onondaga County District Attorney’s Office. Assistant U.S. Attorney Jessica N. Carbone prosecuted the case.

ALBANY, NEW YORK – Scott Weinbloom, age 49, of Latham, New York, was sentenced today to 97 months of imprisonment, to be followed by 20 years of supervised release, for possessing child pornography. United States Attorney Carla B. Freedman and Craig L. Tremaroli, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation (FBI), made the announcement.

As part of his guilty plea, Weinbloom admitted that on May 18, 2022, he possessed hundreds of images and videos of child pornography on a USB flash memory stick found in his residence and that two computers recovered from his residence had also been used to store and view child pornography. 

In addition to the imprisonment and supervised release terms, Weinbloom was ordered to pay a total of $72,000 in restitution to child victims depicted in the files he possessed, and will be required to register as a sex offender upon release from imprisonment.

The FBI’s Albany Division Child Exploitation and Human Trafficking Task Force investigated this case.  The Task Force includes members of federal, state, and local law enforcement agencies, including the Colonie Police Department. Assistant United States Attorney Dustin C. Segovia prosecuted the case as part of Project Safe Childhood.

Launched in May 2006 by the Department of Justice, Project Safe Childhood is led by United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS).  Project Safe Childhood marshals federal, state, and local resources to better locates, 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.

SYRACUSE, NEW YORK – Joshua Demars, age 38, of Fulton, New York, was sentenced yesterday to serve 12 years in federal prison following his conviction for multiple charges of receipt, transportation, and possession of child pornography. United States Attorney Carla B. Freedman, Matthew Scarpino, Special Agent in Charge of Homeland Security Investigations (HSI), Buffalo Field Office, and New York State Police (NYSP) Superintendent Steven G. James made the announcement.

As part of his prior guilty plea, Demars admitted that he communicated with minors using the Snapchat application to receive images and videos of child pornography. Demars also admitted that he used his Dropbox account to upload a video of a 5–7-year-old female being sexually abused by an adult male. Moreover, Demars acknowledged that he possessed hundreds of videos and images of child pornography on several of his personal devices.

Following his term of imprisonment, Demars will be placed on supervised release for 10 years, and will be required to register as a sex offender. Demars was also ordered to pay restitution to the victims that he solicited on Snapchat.

HSI, the NYSP Internet Crimes Against Children Task Force, and the NYSP Troop D Computer Crime Unit investigated the case and Special Assistant U.S. Attorney Paul Tuck and Assistant U.S. Attorney Jessica Carbone prosecuted Demars as part of Project Safe Childhood. 

Launched in May 2006 by the Department of Justice, Project Safe Childhood is led by United States Attorney’s Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS).  Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.

ALBANY, NEW YORK – Carl J. DiVeglia III, age 36, of Albany, was sentenced today to 20 months in prison for engaging in a fraudulent scheme to obtain more than $1.6 million in unemployment insurance benefits by abusing his position with the New York State Department of Labor (NYSDOL).

The announcement was made by United States Attorney Carla B. Freedman; Craig L. Tremaroli, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation (FBI); and Jonathan Mellone, Special Agent in Charge, Northeast Region, U.S. Department of Labor, Office of Inspector General (USDOL-OIG).

As part of his previously entered guilty plea to conspiracy to commit mail fraud, DiVeglia admitted that he and another former NYSDOL employee, Wendell Giles, abused their state computer access to create and approve false unemployment insurance applications in 2020 and 2021, including applications for the federal Pandemic Unemployment Assistance (PUA) program.  DiVeglia admitted responsibility for over $1.6 million in losses to NYSDOL and to personally receiving approximately $225,000 in fraud proceeds.

United States District Judge Glenn T. Suddaby also imposed a 2-year term of supervised release, to begin after DiVeglia is released from prison.  Judge Suddaby also ordered DiVeglia to pay $1,662,819 in restitution to the State of New York and to forfeit a $225,000 money judgment to the United States.

Giles was previously sentenced to 36 months’ imprisonment for his role in the scheme.  Four related defendants—Todd Ward, a/k/a “Fats,” age 45, of Troy, New York; Christopher Ward, a/k/a “Reek,” age 46, of Troy; Rocco Resciniti a/k/a “Rock,” age 50, of Albany; and Jamaine Myers, age 46, of Troy—have also pled guilty to fraud charges for their involvement in DiVeglia’s scheme.  Resciniti was sentenced to three years of probation on July 31, 2024, and the remaining defendants are scheduled to be sentenced in the fall.      

The FBI and USDOL-OIG investigated these cases, with assistance from the NYSDOL Office of Special Investigations. Assistant U.S. Attorneys Joshua R. Rosenthal and Joseph S. Hartunian are prosecuting the cases.

On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the Department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.

Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.

ALBANY, NEW YORK – Brian Mills, age 39, a resident of Dannemora, New York, pled guilty yesterday to knowingly providing a firearm to a felon. 

United States Attorney Carla B. Freedman; Matthew Scarpino, Special Agent in Charge, Homeland Security Investigations (HSI), Buffalo Field Office; and Plattsburgh Police Chief Peter Mitchell made the announcement.

Mills admitted that at various times during summer 2022, he traded a New England Firearms Company Model Pardner-SP1 .410-gauge shotgun, an Armalite rifle, ammunition, an ammunition magazine and two body armor vests to Dustin J. Manor at Manor’s apartment in Plattsburgh, New York, knowing that Manor was a felon. On October 20, 2022, the Plattsburgh Police Department seized the shotgun, one (1) .44 magnum round of ammunition, shotgun rounds, and a set of RTS Tactical Level IV ceramic body armor from Manor’s Plattsburgh apartment after responding to a domestic incident there.

Manor was federally prohibited from possessing the firearms and ammunition due to 2014 drug felony convictions for which he was sentenced to five years in state prison.

Mills had been employed as a corrections officer with the New York State Department of Corrections and Community Supervision at Clinton Correctional Facility, but resigned his position following his arrest.

Sentencing is scheduled for December 19, 2024. Mills faces up to 15 years in prison, a fine of up to $250,000, and a term of supervised release of up to 3 years.  A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines, and other factors.

Yesterday, Senior United States District Judge Lawrence E. Kahn sentenced Manor to 57 months in prison and 3 years supervised release for possessing the .410-gauge shotgun and ammunition as a felon.

HSI and the Plattsburgh Police Department investigated this case. Assistant U.S. Attorney Douglas G. Collyer is prosecuting the case.

SYRACUSE, NEW YORK – Shane Millan, age 53, of Jefferson County, New York, was arrested today on four counts of deprivation of rights under color of law. United States Attorney Carla B. Freedman and Vance Kuhner, Special Agent in Charge for U.S. Customs and Border Protection, Office of Professional Responsibility, New York, NY, made the announcement.

The misdemeanor information alleges that Millan, while acting under color of law as a Border Patrol Agent, willfully deprived four different victims of their constitutional right to be free from unreasonable searches when, during virtual processing concerning their admission to the United States, he commanded three women to expose their bare chests to him over webcam and a fourth woman to expose her breasts to him while her bra remained on. The information further alleges that Millan told the women that these were legitimate searches incident to admission into the United States, though Millan’s demands to see the victims’ breasts were for his own gratification.

Millan was arraigned today in Syracuse, before United States Magistrate Judge Thérèse Wiley Dancks and released pending a trial.

The charges in the information are merely accusations. The defendant is presumed innocent unless and until proven guilty.

U.S. Customs and Border Protection Office of Professional Responsibility Investigative Operations Directorate is investigating the case. Assistant U.S. Attorneys Michael F. Perry and Michael D. Gadarian are prosecuting the case.

ALBANY, NEW YORK – William De La Rosa, age 29, of Manhattan, was sentenced on Friday to 60 months in prison for possessing with intent to distribute 1 kilogram of cocaine. 

United States Attorney Carla B. Freedman and Frank A. Tarentino III, Special Agent in Charge of the U.S. Drug Enforcement Administration (DEA), New York Division, made the announcement.

As part of his guilty plea earlier this year, De La Rosa admitted that on January 25, 2024, he drove to a hotel in Amsterdam, New York, where he planned to distribute 1 kilogram of cocaine to another person.  When he arrived, law enforcement searched his vehicle and discovered the cocaine. 

United States District Judge Glenn T. Suddaby also imposed a 4-year term of supervised release, which will start when De La Rosa is released from prison.  The DEA investigated the case.  Assistant U.S. Attorney Mikayla Espinosa prosecuted the case. 

SYRACUSE, NEW YORK – The City of Syracuse has been awarded two grants totaling $1.4 million dollars through the U.S. Department of Justice Byrne Discretionary Community Project Grants program to enhance neighborhood street cameras, and to expand programs run by the Syracuse Police Athletic/Activities League, announced Carla Freedman, United States Attorney for the Northern District of New York.

“I could not be happier that the Department of Justice has awarded these grants to the City of Syracuse to support and expand the Police Athletic/Activities League (PAL), and to enhance the already successful COPS cameras program. The Syracuse PAL engages kids in healthy programming and sports and builds positive relationships with law enforcement officers who volunteer their time. The COPS cameras make neighborhoods safer and are an asset to the Syracuse Police in preventing and combatting crime. These two grants fund the kind of twenty-first century public safety that supports kids in activities that keep them away from crime and gangs, and provides police with the tools they need to keep neighborhoods safe.”  

Syracuse Police Chief Joseph Cecile said, "Cops Cameras are the number one technology requested by both Syracuse residents and Syracuse Police Officers, and for good reason. They have been instrumental in both prevention and apprehension of all crimes, ranging from homicides to stolen vehicles. I would like to thank the United States Department of Justice for this generous award, and also for their continued partnership with the Syracuse Police Department and the Syracuse community."

Jimmy Oliver, Syracuse Director for Community Engagement (Police Athletic/Activities League), said, “We are very excited about this funding coming to Syracuse PAL so that we can connect Teens, Cops, and Communities. We want to thank Senators Schumer and Gillibrand for sowing this seed into our mission, and vision. This will impact teens, and law enforcement in Syracuse, and Onondaga county. We will continue to build positive, and intentional relationships with law enforcement and our teenagers.”

The project description for the $415,000 awarded to the Syracuse Police Athletic/Activities League says that the funds will be used to support programs for youths 14 to 19 years of age aimed at keeping, “kids safe and help put them on a path to success” through programs like “sports and other activities, and [to] create a sense of belonging, purpose, and pride.” The creation of the Syracuse Police Athletic/Activities League was announced in June 2021.

The project description for the $1 million awarded to City of Syracuse for neighborhood street cameras (known as COPS cameras) says they are “essential tools for public safety” and aid “in response to emergencies,” “play a key role in criminal investigations,” and have been “the top requested technology by the citizens of Syracuse for over a decade.”

The Edward Byrne Memorial Justice Assistance Grant (JAG) program is a U.S. Department of Justice formula grant program. The JAG program allocates funds to the 50 states, the District of Columbia, Puerto Rico, Guam, the Virgin Islands, America Samoa, and the Northern Mariana Islands for a variety of state and local criminal justice initiatives. The program is administered by the Bureau of Justice Assistance (BJA).

ALBANY, NEW YORK – Lesley Lucchese, age 54, and Danielle Cappetti, age 45, both of New York City, have pled guilty in connection with their roles in a bank fraud conspiracy that targeted credit unions all over the country since at least December 2021. United States Attorney Carla B. Freedman and Craig L. Tremaroli, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation (FBI), made the announcement.

As part of their pleas, Lucchese and Cappetti each admitted that between at least December 2021 and April 2023, they fraudulently withdrew funds from credit unions while acting as runners for a nationwide bank fraud conspiracy that targeted credit unions insured by the National Credit Union Share Insurance Fund.  Many of the credit unions were members of a shared branching network, which allowed customers of member credit unions to withdraw funds from their accounts at other member credit unions by presenting an identification with their photograph, their account number, and the last four digits of their Social Security number.  The network allowed customers of localized credit unions easier access to their accounts when traveling throughout the country.  The conspirators exploited this network by creating fake identifications in the names of real credit union customers, but with photographs of other individuals, including Lucchese and Cappetti, who conducted fraudulent transactions at shared branch member credit unions all over the country in exchange for drugs or a small portion of the stolen funds.  In total, Lucchese and Cappetti fraudulently obtained nearly $500,000 from credit unions, the vast majority of which went to supervisors in the conspiracy. 

Lucchese pled guilty today to conspiracy to commit bank fraud and Cappetti pled guilty to the same offense on August 5, 2024.  Cappetti, who is from the Bronx, is scheduled to be sentenced on December 5, 2024. Lucchese, of Manhattan, is scheduled to be sentenced on December 17, 2024.  

Both defendants face up to 30 years in prison, a term of supervised release of up to 5 years, and a fine of up to $1 million.  Both defendants will be ordered to pay restitution to victims of their offenses, and Lucchese agreed to forfeit $9,512.67 in U.S. currency seized by the Escambia County and Okaloosa County Sheriff’s Offices in Florida in October 2022 when Lucchese was arrested with co-defendants David Daniyan and Akeem Balogun after traveling there to conduct fraudulent withdrawals. 

The pleas of Lucchese and Cappetti resolve the charges against them in a federal indictment returned last December, allegedly involves more than $1 million in total losses. Five defendants have now pled guilty in connection with the indictment.

The following defendants are also charged in the indictment:

• Oluwaseun Adekoya, age 38, of New Jersey, is charged with one count of conspiracy to commit bank fraud and two counts of aggravated identity theft;

• David Daniyan, age 59, of Brooklyn, New York, is charged with one count of conspiracy to commit bank fraud and two counts of aggravated identity theft;

• Akeem Balogun, age 53, of Brooklyn, is charged with conspiracy to commit bank fraud;

• Gaysha Kennedy, age 45, of Brooklyn, previously pled guilty to one count of conspiracy to commit bank fraud;

• Victor Barriera, age 63, of the Bronx, previously pled guilty to conspiracy to commit bank fraud; and

• Jerjuan Joyner, age 49, of Brooklyn, previously pled guilty to conspiracy to commit bank fraud.

As to the defendants who have not pled guilty, the charges in the indictment are merely accusations. These defendants are presumed innocent unless and until proven guilty.

FBI Albany is investigating the case, with assistance from the FBI Field Offices in New York and Newark, and Resident Agencies in Westchester, New York; Garrett Mountain, New Jersey; and Fort Walton Beach, Florida.  Additional assistance was provided by other law enforcement agencies, including Immigration and Customs Enforcement – Enforcement & Removal Operations (New York Field Office & Albany sub-office); U.S. Department of State Diplomatic Security Service (Buffalo Field Office & St. Albans Resident Office); U.S. Social Security Administration – Office of the Inspector General, the New York State Police; Cohoes Police Department; Colonie Police Department; Elmira Police Department; Corning Police Department; Plattsburgh Police Department; Florida law enforcement agencies including the Okaloosa County Sheriff’s Office and Escambia County Sheriff’s Office; law enforcement agencies in New Hampshire, including the Rochester Police Department, Manchester Police Department, Amherst Police Department; the Norwich, CT Police Department; law enforcement agencies in Massachusetts, including the Springfield, MA Police Department; the Pennsylvania State Police; the Delaware State Police; and law enforcement agencies in Maryland, including the Harford County Sheriff’s Office and Baltimore County Sheriff’s Office.

Assistant United States Attorney Benjamin S. Clark is prosecuting this case.

ALBANY, NEW YORK – Christopher Viagrande, age 42, of Latham, New York, pled guilty today to distributing controlled substances outside the course of professional practice and for no legitimate medical purpose.

United States Attorney Carla B. Freedman and Special Agent in Charge Frank A. Tarentino III, U.S. Drug Enforcement Administration (DEA), New York Division, made the announcement.

Viagrande admitted that from May 2021 through January 2024, he issued a total of 149 controlled substance prescriptions, to a total of five people, for no legitimate medical purpose. Viagrande also admitted to improperly issuing an additional 28 controlled substance prescriptions, to two people, from June 2019 to April 2020. Nearly all of the prescriptions were for amphetamine.

Viagrande admitted to prescribing dangerous amounts of amphetamine to someone (identified in court papers as “Individual-1”) who was not seeing him for patient visits in 2023 and 2024, while he also failed to keep medical records for Individual-1 and ignored indications that she was abusing the drug.

Viagrande also admitted to regularly prescribing amphetamine to “Individual-2” at Individual-1’s request, even though Individual-2 was never his patient. Viagrande admitted to ignoring indications that Individual-1 was picking up Individual-2’s prescriptions at pharmacies.

At sentencing, before Senior United States District Judge Frederick J. Scullin, Jr., Viagrande faces up to 20 years in prison and a fine of up to $1 million, as well as at least 3 years of post-imprisonment supervised release. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines and other factors.

As part of his plea agreement, Viagrande surrendered his DEA registration, which had allowed him to prescribe controlled substances.

The DEA’s Tactical Diversion Squad (TDS) investigated this case. TDS is comprised of DEA Special Agents and Diversion Investigators, as well as Investigators from the New York State Department of Health, Bureau of Narcotic Enforcement. Assistant U.S. Attorney Michael Barnett is prosecuting this case.

ALBANY, NEW YORK – Taykwun Smoaks, age 32, of Albany, pled guilty today to receipt of child pornography. United States Attorney Carla B. Freedman, Matthew Scarpino, Special Agent in Charge, Homeland Security Investigations (HSI), Buffalo Field Office, and New York State Police Superintendent Steven G. James made the announcement.

Smoaks admitted that from February to March 2023, he received and possessed images and videos of child pornography on his computer and external hard drive. Smoaks admitted that he downloaded more than 600 images, including images of prepubescent minors, images that involved sadistic and masochistic conduct, and images involving the sexual abuse of toddlers.

At sentencing scheduled before United States District Judge Anne M. Nardacci on December 16, 2024, Smoaks faces at least 5 years and up to 20 years in prison, a maximum fine of $250,000, and a term of post-imprisonment supervised release of at least 5 years and up to life. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines, and other factors. Smoaks may also be ordered to pay restitution to the victims of his offenses and forfeit the devices used in the offenses. Smoaks would also have to register as a sex offender upon his release from prison.

HSI and the State Police investigated the case. Assistant U.S. Attorney Alexander P. Wentworth-Ping is prosecuting the case.

Launched in May 2006 by the Department of Justice, Project Safe Childhood is led by United States Attorney’s offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS), and is designed to marshal 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.

SYRACUSE, NEW YORK – Skyler Keleher, age 23, of St. Lawrence County, was sentenced today to serve 30 years in federal prison for his conviction on two counts of Sexual Exploitation of a Child.  United States Attorney Carla B. Freedman, Craig L. Tremaroli, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation (FBI), and New York State Police Superintendent Steven G. James made the announcement.

In his prior guilty plea, Keleher admitted that on at least two separate occasions in 2017 he sexually abused a two-year-old child and livestreamed the abuse to others over the Internet, using Facebook Messenger and Facebook Live.  Since then, video recordings of the abuse have been widely circulated over the Internet, and recovered by law enforcement in at least 26 separate investigations across the United States and abroad.  While the videos were first documented by law enforcement in 2018, Keleher’s identity was not confirmed until 2022, at which time he was arrested by authorities. 

Following his term of imprisonment, Keleher will be placed on a term of supervised release for life, and will be required to register as a sex offender.

This case was investigated by FBI Operation Rescue Me, the FBI’s Albany Division Child Exploitation and Human Trafficking Task Force, and the New York State Police, Troop B.  Assistant U.S. Attorney Lisa M. Fletcher, Project Safe Childhood Coordinator for the Northern District of New York, prosecuted the case.

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 identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.

SYRACUSE, NEW YORK – Bernabe Lopez, age 59, of Utica, New York, was sentenced today to serve 88 months in federal prison for conspiring to possess with intent to distribute and to distribute fentanyl, announced United States Attorney Carla Freedman; Frank A. Tarentino III, Special Agent in Charge of the U.S. Drug Enforcement Administration (DEA), New York Division and Thomas Fattorusso, Special Agent in Charge of the Internal Revenue Service-Criminal Investigation (IRS-CI), New York Field Office.  Lopez was also ordered to serve a 4-year term of supervised release following his term of imprisonment, pay a $100 special assessment and a $4,950.00 money judgment, representing proceeds of his drug trafficking offense. 

From May 2020 through October 2021, Lopez acquired quantities of fentanyl from co-conspirators in the Rodriguez Drug Trafficking Organization (Rodriguez DTO), which he then re-distributed to others in the Utica, New York area.  Lopez also sold a cutting agent to members of the conspiracy for $10 a gram, knowing that the co-conspirators were adulterating fentanyl with the cutting agent to increase volume for sales. 

Lopez was one of 9 defendants charged in the Rodriguez DTO. To date, all of the other defendants pled guilty and were sentenced as follows:

• Ivan Rodriguez, Sr., the head of the Rodriguez DTO, pled guilty to one count of conspiring to distribute fentanyl and distribution of fentanyl and one count of money laundering and was sentenced to 121 months incarceration.
• Eric Ares pled guilty to conspiring to distribute fentanyl and one count of possession with the intent to distribute fentanyl and was sentenced to 120 months incarceration. 
• Ivan Rodriguez, Jr. pled guilty to conspiring to distribute fentanyl and was sentenced to 120 months incarceration.
• Jose Morales pled guilty to conspiring to distribute fentanyl, and distribution and possession with intent to distribute fentanyl, and was sentenced to 120 months incarceration.
• Harry Rodriguez pled guilty to two counts of possession with intent to distribute fentanyl and was sentenced to 84 months incarceration.

• Edgar Tejada pled guilty to possession with the intent to distribute cocaine and possessing a firearm in furtherance of a drug trafficking crime, and was sentenced to 72 months incarceration.
• Angel Calderon Ortiz pled guilty to conspiring distribute fentanyl and one count of possession with the intent to distribute fentanyl and was sentenced to 60 months incarceration.
• Jose Aponte pled guilty to conspiring to distribute fentanyl and one count of possession with the intent to distribute fentanyl and was sentenced to 40 months incarceration.

This effort is part of an Organized Crime Drug Enforcement Task Force (OCDETF) operation. OCDETF identifies, disrupts and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.

This case is being investigated by the U.S. Drug Enforcement Administration, Internal Revenue Service Criminal Investigations Division, Homeland Security Investigations, United States Immigration and Customs Enforcement and Removal Operations, New York State Police, Oneida County Sheriff’s Office, Oneida County District Attorney’s Office, Utica Police Department, Syracuse Police Department, Rome Police Department,  Onondaga County Sheriff’s Office, Onondaga County District Attorney’s Office, New York Army National Guard Counter Drug Program, Yorkville Police Department, Whitesboro Police Department, and is being prosecuted by Assistant U.S. Attorney Tamara Thomson.

UTICA, NEWYORK -- Christopher Gleason, age 36, of Auburn, New York appeared before U.S. District Court Judge David N. Hurd today and pleaded guilty to four counts of false statement to obtain federal employees’ compensation, announced United States Attorney Carla B. Freedman and Matthew Modafferi, Special Agent in Charge, United States Postal Service, Office of Inspector General - Northeast Region.

Gleason was employed by the U.S. Postal Service as a letter carrier.  On January 20, 2022, Gleason sprained his ankle while delivering mail.  Shortly thereafter, Gleason began receiving workers’ compensation benefits administered by the U.S. Department of Labor’s Office of Workers’ Compensation Programs (OWCP). To continue receiving benefits, Gleason was required to electronically complete, sign and file a Claim for Compensation Form CA-7 biweekly.  On each form, Gleason was instructed to report any and all earnings from employment outside his federal job during the period claimed in the CA-7.  The defendant admitted to filing multiple false claims affirming that he had not worked outside of his federal job, when the defendant was in fact working and earning income performing construction work while collecting workers’ compensation benefits.  As a result of the false statements, Gleason received benefits totaling $14,858.94.

At sentencing, scheduled for December 11, 2024, Gleason faces up to 5 years in prison, a fine of up to $250,000.00 a term of supervised release of up to 3 years, and Gleason will be required to pay restitution in the amount of the fraudulently obtained benefits.  A defendant’s sentence is imposed by a judge based on the statute the defendant violated, the U.S. Sentencing Guidelines, and other factors.

The United States Postal Service, Office of Inspector General, and the U.S. Department of Labor investigated this case.  Assistant U.S. Attorney Tamara Thomson is prosecuting the case.

SYRACUSE, NEW YORK – Patrick Dai, age 22, formerly a junior at Cornell University and originally from Pittsford, New York, was sentenced today to 21-months imprisonment for posting threats to kill or injure another person using interstate communications. The announcement was made by Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division, United States Attorney Carla B. Freedman, Craig L. Tremaroli, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation (FBI), New York State Police Superintendent Steven G. James, and Cornell University Police Chief Anthony Bellamy.

Patrick Dai was also sentenced to a three-year term of post-incarceration supervised release to include no contact with Cornell University, mental health treatment, as well as restrictions and monitoring of his electronic devices and internet use.

As part of his previously entered guilty plea, Dai admitted that on October 28 and 29, 2023, he posted threatening messages to the Cornell section of an online discussion forum, including posts that said “gonna shoot up 104 west” (a dining hall at Cornell University that caters predominantly to Kosher diets and is next to the Cornell Jewish Center that provides residential accommodations for students) and “gonna bomb jewish house.” In another post, Dai threatened to “stab” and “slit the throat” of any Jewish man he saw on campus, to rape and throw off a cliff any Jewish women he saw, and to behead any Jewish babies. In that same post, Dai threatened to “bring an assault rifle to campus and shoot all you pig jews.”

“Every student has the right to pursue their education without fear of violence based on who they are, how they look, where they are from or how they worship,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “Antisemitic threats of violence, like the defendant’s vicious and graphic threats here, violate that right. Today’s sentencing reaffirms that we will hold accountable those who violently threaten and intimidate others based on their religious practice or background. The Justice Department will continue to protect all Americans against bias-motivated crimes wherever they occur, including college campuses.”

“Today former Cornell University student Patrick Dai was sentenced to serve 21 months in prison for posting anonymous threats to kill Jewish students,” said United States Attorney Carla B. Freedman. “Before imposing sentence, the court found that this was a hate crime under the federal Sentencing Guidelines because Dai targeted Jewish students and substantially disrupted the university’s core function of educating its students. The defendant’s threats terrorized the Cornell campus community for days and shattered the community’s sense of safety.  My office will continue to aggressively investigate and prosecute threats and acts of violence motivated by antisemitism and by hatred of any kind.”

“Mr. Dai’s actions serve as a disturbing reminder of the terrifying hatred our Jewish communities encounter simply because of their beliefs,” said Special Agent in Charge Craig L. Tremaroli of the FBI Albany Field Office. “Thanks to the strong partnerships between our Joint Terrorism Task Force (JTTF), the New York State Police, and the Cornell University Police Department, Dai was quickly identified, charged, and has remained in custody since that hateful day in October 2023. This sentence should serve as a reminder that the FBI will continue to work diligently with our law enforcement partners to investigate any individual who perpetuates hate crimes to ensure our college campuses and communities at large remain free of hateful individuals who threaten the safety of Americans.”

New York State Police Superintendent Steven G. James said, “No person should fear being attacked for who they are or what they believe. The sentencing of Mr. Dai is a reminder that there is zero tolerance for any individual that perpetuates hate crimes within our communities. I thank the United States Attorney’s Office for the Northern District of New York and our partners in law enforcement for their shared commitment to intercepting these crimes.”

Cornell University Police Chief Anthony G. Bellamy said, “The Cornell University Police Department is dedicated to the safety and security of our community. We appreciate the close collaboration of the U.S. Attorney Office, Federal Bureau of Investigation, and New York law enforcement partners investigating this case and making a timely arrest. This sentencing affirms that threats against our community will not be tolerated.”

FBI Albany’s Joint Terrorism Task Force, which includes the New York State Police, investigated the case, with assistance from the Cornell University Police Department and the Ithaca Police Department

Assistant U.S. Attorneys Geoffrey J. L. Brown, Stephen C. Green and Michael D. Gadarian for the Northern District of New York prosecuted the case, with assistance from the Justice Department’s National Security Division’s Counterterrorism Section and the Civil Rights Division’s Criminal Section. 

Patrick Dai, 22, formerly a junior at Cornell University and originally from Pittsford, New York, was sentenced today to 21 months in prison, followed by three years of supervised release and a special assessment in the amount of $100 for posting threats to kill or injure another person using interstate communications.

“Every student has the right to pursue their education without fear of violence based on who they are, how they look, where they are from or how they worship,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “Antisemitic threats of violence, like the defendant’s vicious and graphic threats here, violate that right. Today’s sentencing reaffirms that we will hold accountable those who violently threaten and intimidate others based on their religious practice or background. The Justice Department will continue to protect all Americans against bias motivated crimes wherever they occur, including college campuses.”

“Today, former Cornell University student Patrick Dai was sentenced to serve 21 months in prison for posting anonymous threats to kill Jewish students,” said U.S. Attorney Carla B. Freedman for the Northern District of New York. “Before imposing a sentence, the court found that this was a hate crime under the federal Sentencing Guidelines because Dai targeted Jewish students and substantially disrupted the university’s core function of educating its students. The defendant’s threats terrorized the Cornell campus community for days and shattered the community’s sense of safety. My office will continue to aggressively investigate and prosecute threats and acts of violence motivated by antisemitism and by hatred of any kind.”

“Mr. Dai’s actions serve as a disturbing reminder of the terrifying hatred our Jewish communities encounter simply because of their beliefs,” said Special Agent in Charge Craig L. Tremaroli of the FBI Albany Field Office. “Thanks to the strong partnerships between our Joint Terrorism Task Force (JTTF), the New York State Police and the Cornell University Police Department, Dai was quickly identified, charged and has remained in custody since that hateful day in October 2023. This sentence should serve as a reminder that the FBI will continue to work diligently with our law enforcement partners to investigate any individual who perpetuates hate crimes to ensure our college campuses and communities at large remain free of hateful individuals who threaten the safety of Americans.”

As part of his previously entered guilty plea, Dai admitted that, on Oct. 28 and 29, 2023, he posted threatening messages to the Cornell section of an online discussion forum, including posts that said “gonna shoot up 104 west” (a dining hall at Cornell University that caters predominantly to Kosher diets and is next to the Cornell Jewish Center that provides residential accommodations for students) and “gonna bomb jewish house.” In another post, Dai threatened to “stab” and “slit the throat” of any Jewish man he saw on campus, to rape and throw off a cliff any Jewish women he saw and to behead any Jewish babies. In that same post, Dai threatened to “bring an assault rifle to campus and shoot all you pig jews.”

The FBI’s Joint Terrorism Task Force, which includes the New York State Police, investigated the case, with assistance from the FBI Albany Field Office, Cornell University Police Department and Ithaca Police Department.

Assistant U.S. Attorneys Geoffrey J. L. Brown, Stephen C. Green and Michael D. Gadarian for the Northern District of New York prosecuted the case, with assistance from the National Security Division’s Counterterrorism Section and the Civil Rights Division’s Criminal Section. 

ALBANY, NEW YORK – Gilberto Robles Gonzalez, age 39, and a citizen of Mexico, pled guilty today to possessing fraudulent immigration and employment documents.

United States Attorney Carla B. Freedman and Thomas P. Brophy, Immigration and Customs Enforcement, Enforcement and Removal Operations (ICE-ERO) Buffalo Field Office Director, made the announcement.

Gonzalez admitted that on May 6, 2024, he possessed a counterfeit permanent resident card and a counterfeit social security card, both in his name, and knew that the cards were fraudulent. 

At sentencing scheduled for December 5, 2024, before United States District Judge Anne M. Nardacci, Gonzalez faces up to 10 years in prison and a fine of up to $250,000.  A defendant’s sentence is imposed by a judge based on the statute the defendant violated, the U.S. Sentencing Guidelines, and other factors. 

ICE-ERO investigated the case and Assistant U.S. Attorney Rick Belliss is prosecuting the case. 

ALBANY, NEW YORK – LaFay Pearson, aka “Lala,” age 23, and Alyssa June White, age 31, both of Troy, New York, pled guilty to offenses related to their involvement in nationwide marijuana trafficking and money laundering conspiracies. 

United States Attorney Carla B. Freedman; John B. DeVito, Special Agent in Charge of the New York Field Division of the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF); Frank A. Tarentino III, Special Agent in Charge, U.S. Drug Enforcement Administration (DEA), New York Division; Troy Police Chief Daniel DeWolf; and Matthew Scarpino, Special Agent in Charge of the Buffalo Field Office of Homeland Security Investigations (HSI), made the announcement.

In pleading guilty, Pearson admitted to being a member of a marijuana and tetrahydrocannabinols (THC) trafficking organization that cultivated marijuana on a commercial scale in Fresno, California, and shipped thousands of kilograms of marijuana and THC from Fresno to locations throughout the United States, including the Capital Region of New York.

Pearson admitted to receiving packages of marijuana shipped by Dwight A. Singletary, II, aka “Nutt” and “Mike Jones,” and McKenzie Merrialice Coles, aka “Kenzie,” from a shipping store in Fresno, Fast Pack & Ship, at her home in Troy.  Pearson was notified of the packages of marijuana by Coles and David Singletary, aka “DB,” and was paid between $300 and $400 in cash per package of marijuana received.  Pearson worked with her brother, Isiah Ti-Quan Clements, aka “Zay,” to receive the packages of marijuana, and between May 2020 and January 2021, received 11 packages containing approximately 72 kilograms, or 159 pounds, of marijuana.  Pearson also admitting to packaging marijuana for sale and to texting with Coles, Clements, and David Singletary about doing so. 

White admitted to conspiring with Dwight Singletary, David Singletary, and Lawrence Mumphrey, aka “L,” to launder the proceeds of marijuana and THC sales by purchasing cashier’s checks with cash drug proceeds. 

Federal law requires financial institutions to complete a currency transaction report for cash transactions over $10,000.  To avoid the reporting requirement and otherwise conceal the cash drug proceeds, White purchased six cashier’s checks in amounts slightly below the reporting threshold for cash transactions with $57,240 in cash drug proceeds.  The cashier’s checks were payable to Dwight Singletary; Dwight Singletary’s real estate lawyers; and Dwight Singletary’s company, DAS Empire, Inc.

Pearson faces up to 20 years in prison, a term of supervised release of between three years and life, and a fine of up to $1 million for conspiring to manufacture, distribute, and possess with intent to distribute controlled substances. 

White faces up to 20 years in prison, a fine of up to $500,000, and may also be required to serve up to three years of supervised release for conspiring to commit money laundering. 

A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines and other factors.

Pearson and White were charged in an indictment with Dwight Singletary, David Singletary, Coles, Clements, Mumphrey, and 17 other people charging marijuana distribution and money laundering conspiracies, firearms offenses, and other crimes.  Dwight Singletary, David Singletary, Coles, Clements, and Mumphrey have pled not guilty and are presumed innocent unless and until proven guilty.  The charges in the indictment are merely accusations. 

In addition to Pearson and White, 12 other defendants, Rosemary Coles, Latrice Mumphrey, Sammy Olague, Victor Turner, Kristle Walker, Ruby Ledesma, Lateek White, Onisha Smith, Jazell Shuler, Earnest Flood, aka “Pop,” Consanga Harris, aka “Sondy,” and James Tyrell Daniels, aka “Red” and “Ghost,” previously pled guilty and are pending sentencing. 

The ATF, DEA, Troy Police Department and HSI are investigating the case. Assistant U.S. Attorneys Cyrus P.W. Rieck and Dustin C. Segovia are prosecuting the case.

This prosecution is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.

ALBANY, NEW YORK – Mana Sambola a/k/a “Coffee,” age 41, a Liberian citizen residing in Saratoga Springs, New York, pled guilty today to illegally possessing two firearms. 

United States Attorney Carla B. Freedman and Matthew Scarpino, Special Agent in Charge of the Homeland Security Investigations (HSI), Buffalo, New York Field Office, made the announcement.

A search warrant executed at Sambola’s apartment on May 22, 2023, led to the recovery of a Glock 43 pistol; an Anderson Manufacturing AM15 assault rifle; and four boxes of ammunition. Sambola has prior felony convictions that prevent him from lawfully possessing those firearms and ammunition. 

Sambola faces a maximum term of 15 years in prison; a fine of up to $250,000; and a term of supervised release of up to 3 years.  A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines and other factors.

HSI investigated the case with the assistance of the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF); the Warren County District Attorney’s and Sheriff’s Offices; the New York State Police; and the Saratoga County Sheriff’s Office.  Assistant U.S. Attorney Jonathan S. Reiner is prosecuting the case.

SYRACUSE, NEW YORK – James Kenyon, age 52, of Smithville Flats, New York, pled guilty yesterday to transmitting a threat to injure in interstate commerce and unlawfully possessing three firearms while subject to a domestic violence order of protection.

United States Attorney Carla B. Freedman and Craig L. Tremaroli, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation (FBI), made the announcement.

Kenyon admitted that on December 10, 2022, he made a profanity-laced Facebook post in which he threatened to decapitate another individual and told the individual to move out-of-state.  Kenyon also admitted to possessing two rifles and a shotgun on December 29, 2022, while subject to a domestic violence restraining order that prohibited him from possessing any firearms.

The charges to which Kenyon pled guilty carry a combined maximum term of 20 years in prison, a fine of up to $250,000, and a term of supervised release of up to 3 years.  A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines and other factors.  Kenyon also agreed to forfeit all three firearms. 

The FBI investigated the case, which Assistant U.S. Attorney Jonathan S. Reiner is prosecuting.

ALBANY, NEW YORK – Derbie Michel, age 33, formerly of Troy, New York, was sentenced today to 63 months in prison for illegally possessing ammunition as a convicted felon. 

United States Attorney Carla B. Freedman and Craig L. Tremaroli, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation (FBI), made the announcement.

In previously pleading guilty, Michel, who has three prior felony convictions, admitted that he possessed five rounds of ammunition on October 15, 2022. According to court documents filed by the Government, Michel threw these rounds of ammunition from a car while fleeing from members of the Troy Police Department on October 15, 2022.  He also threw a privately made firearm, or “ghost gun,” from the car during the same pursuit. 

In imposing the sentence, Senior United States District Judge Frederick J. Scullin, Jr. found that Michel recklessly endangered others by instructing the driver of the car to engage in the car chase and later obstructed justice by making materially false statements about that conduct in connection with his sentencing.  Judge Scullin also ordered Michel to serve a 3-year term of supervised release upon Michel’s release from prison.  

The FBI’s Capital District Safe Streets Gang Task Force, which includes FBI Special Agents and members of state and local law enforcement agencies, including the Troy Police Department, investigated the case.  The U.S. Marshals Service and the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) assisted in the investigation.  Assistant U.S. Attorneys Joshua R. Rosenthal and Allen J. Vickey prosecuted the case.   

SYRACUSE, NEW YORK – Mergim Ademi, age 24, of Syracuse, pled guilty today to firearms offenses including Dealing in Firearms Without a License, Sale of Firearms and Ammunition to a Prohibited Person, and Possession of a Firearm in a School Zone.

The announcement was made by United States Attorney Carla B. Freedman and Bryan Miller, Special Agent in Charge of the New York Field Division of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF). 

As part of his guilty plea, Ademi admitted that between approximately January 2023 and March 2024, he obtained firearms and firearm parts, advertised them for sale through Facebook and other means, then sold them to customers in exchange for cash, knowing that he did not hold a license as a firearms dealer. Ademi further admitted that in 7 transactions between December 19, 2023 and March 28, 2024, he sold a rifle, 9 handguns (including some that were privately made firearms, and some that had been reported stolen), a forced reset trigger, and multiple rounds of ammunition. Ademi acknowledged that he sold firearms and ammunition to an individual whom he had reasonable cause to believe was a felon. Ademi also admitted that he sold firearms to a customer at a location that was within approximately 260 feet of the grounds of a charter high school in Syracuse, New York.

At sentencing scheduled for November 27, 2024, before United States District Judge David N. Hurd, Ademi faces a combined maximum sentence of 25 years’ imprisonment and a criminal fine of up to $750,000. Additionally, Ademi may be required to serve a post-imprisonment term of supervised release of up to 3 years. A defendant’s sentence is imposed by a judge based on the statute the defendant violated, the U.S. Sentencing Guidelines, and other factors.

ATF and the Syracuse Police Department investigated the case, with the assistance of the New York State Police Community Stabilization Unit. Assistant U.S. Attorney Matthew J. McCrobie is prosecuting the case. 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 gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.

SYRACUSE, NEW YORK – Henry C. Albrecht, Jr., age 54, of Forestport, New York, was sentenced today to serve 180 months (15 years) in federal prison for presenting, receiving, and possessing child pornography.

United States Attorney Carla B. Freedman and Matthew Scarpino, Special Agent in Charge of the Buffalo Field Office of Homeland Security Investigations (HSI), made the announcement.

During his previously entered guilty plea, Albrecht admitted that, from at least May 2021 through February 28, 2023, he received child pornography images and videos using social media messaging applications and from another adult who gave him a flash drive with child pornography files saved onto it. Albrecht admitted further that, in December 2022, he had a live video call with another adult and shared his screen with that person and presented multiple videos of children engaged in sexually explicit conduct. Albrecht also possessed more than 2,500 files of child pornography on various devices on the day of his arrest.

In addition to imposing a 15-year term of imprisonment, United States District Judge David N. Hurd also sentenced Albrecht to serve a 15-year term of supervised release upon his release from prison, at which time Albrecht will be required to register as a sex offender. Albrecht also was ordered to forfeit to the United States the electronic devices he used to commit the offenses.

HSI investigated this case. Assistant U.S. Attorney Michael D. Gadarian prosecuted the case as part of Project Safe Childhood. Launched in May 2006 by the Department of Justice, Project Safe Childhood is led by United States Attorney’s offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS). Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.

SYRACUSE, NEW YORK – Carlos Pena Uceta, age 34, of Utica, New York, was sentenced yesterday to serve 130 months in federal prison for possession of a controlled substance with the intent to distribute and possession of a firearm in furtherance of his drug trafficking crime.  United States Attorney Carla B. Freedman and Frank A. Tarentino III, Special Agent in Charge of the U.S. Drug Enforcement Administration (DEA), New York Division, made the announcement.

As part of his plea on February 27, 2024, Pena Uceta admitted that, on June 4, 2023, he possessed a duffel bag in his vehicle containing five kilograms of cocaine, which he had just purchased in New York City and was transporting back to the Northern District of New York. Pena Uceta further admitted that, on the same date, he also possessed two kilograms of cocaine and a Polymer 80 9mm “ghost gun” in a suitcase at his apartment.

Chief United States District Judge Brenda Sannes also imposed a 4-year term of supervised release, which will start when Pena Uceta is released from prison.

The DEA investigated the case with assistance from New York State Police, Utica Police Department, and the Oneida County Sheriff’s Office.  Assistant U.S. Attorney Jessica N. Carbone prosecuted the case.

ALBANY, NEW YORK – Daniel Fuino, age 75, of Slingerlands, New York, pled guilty today to sexual exploitation of a child. United States Attorney Carla B. Freedman and Craig L. Tremaroli, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation (FBI), made the announcement.

Fuino admitted that between the summer of 2022 and April 2023, he babysat a young female child at his residence.  During this period, Fuino used the child to engage in sexually explicit conduct for the purpose of producing child pornography.  The victim was 6 years old when the conduct began.

If United States District Judge Mae D’Agostino accepts the parties’ agreed-upon disposition at sentencing on November 26, 2024, Fuino will receive a prison term of 180 months, at least 15 years of supervised release to follow that term of imprisonment, and a fine of up to $250,000.  He will also be ordered to pay restitution to the victim, forfeit the device used in the offense, and will be required to register as a sex offender.  A defendant’s sentence is imposed by a judge based on the statute the defendant violated, the U.S. Sentencing Guidelines, and other factors.

The FBI’s Child Exploitation Task Force – comprised of FBI Special Agents, and state and local police investigators, including from the New York State Police and Colonie Police Department – investigated this case, which is being prosecuted by Assistant United States Attorney Benjamin S. Clark as part of Project Safe Childhood.

Launched in May 2006 by the Department of Justice, Project Safe Childhood is led by United States Attorney’s offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.

SYRACUSE, NEW YORK – Dustin Smith, age 30, of Utica, New York, pled guilty yesterday to a four-count indictment charging him with distributing, receiving, and possessing child pornography.  United States Attorney Carla B. Freedman and Matthew Scarpino, Special Agent in Charge of Homeland Security Investigations (HSI), Buffalo Field Office, and New York State Police (NYSP) Superintendent Steven G. James made the announcement.

In pleading guilty, Smith admitted that he has a 2013 conviction for Sexual Abuse in the First Degree in Oneida County Court, and that in 2022, while under parole supervision for that conviction, he possessed a cell phone which he used to send, receive, and possess thousands of images and videos of child pornography.  Specifically, Smith admitted that he used the cell phone to exchange videos of child pornography with at least two identified minor children.

At sentencing scheduled for November 20, 2024, Smith faces a statutory minimum term of imprisonment of at least 15 years, and a maximum of 40 years on each of the receipt and distribution counts, and a term of at least 10 years, with a maximum of 20 years imprisonment on the possession count. Additionally, Smith will be required to serve a post-imprisonment term of supervised release of between 5 years and life, must register as a sex offender upon release, pay restitution to the victims of his offenses, and forfeit the device he used to commit the crimes. A defendant’s sentence is imposed by a judge based on the statute the defendant violated, the U.S. Sentencing Guidelines, and other factors.

HSI investigated this case with assistance from the New York State Police Computer Crimes Unit, New York State Parole, and Oneida County Sheriff’s Office.  Assistant United States Attorney Jessica N. Carbone is prosecuting this case as part of Project Safe Childhood.

Launched in May 2006 by the Department of Justice, Project Safe Childhood is led by United States Attorney’s offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.

SYRACUSE, NEW YORK – Lawrence Boone, age 28, of Syracuse pled guilty today to multiple counts of receipt, distribution, and possession of child pornography, announced United States Attorney Carla B. Freedman, Matthew Scarpino, Special Agent in Charge of Homeland Security Investigations (HSI), Buffalo Field Office, and New York State Police (NYSP) Superintendent Steven G. James.

On several occasions from August through November 2023, Boone received images and videos of child pornography from other users on a smartphone messaging application. In exchange, Boone sent those users images and videos of child pornography that he possessed. Law enforcement arrested Boone on November 21, 2023, and seized multiple electronic devices used by Boone. Digital forensic analysis revealed that Boone possessed numerous images and videos of child pornography on each of the devices.

Sentencing is scheduled for November 25, 2024, before United States Chief District Judge Brenda K. Sannes.  Boone faces a mandatory minimum term of 5 years in prison on the receipt and distribution charges, a maximum term of 20 years in prison for each of the indicted charges, a fine of up to $250,000, and a term of supervised release of between 5 years and up to life.  Boone will also be required to register as a sex offender.  A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines, and other factors.

The case is being investigated by HSI, the NYSP Internet Crimes Against Children Task Force, and the NYSP Troop D Computer Crime Unit. Assistant U.S. Attorney Ben Gillis prosecuted the case as a part of Project Safe Childhood.

Launched in May 2006 by the Department of Justice, Project Safe Childhood is led by United States Attorney’s Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS). Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.

ALBANY, NEW YORK – Kori E. Overton, age 50, of Schenectady, New York, was sentenced today to 72 months in prison for possessing a firearm in furtherance of a drug trafficking offense, possessing cocaine with intent to distribute it, and possessing a firearm as a convicted felon.

United States Attorney Carla B. Freedman; Frank A. Tarentino III, Special Agent in Charge of the U.S. Drug Enforcement Administration (DEA), New York Division; and New York State Police Superintendent Steven G. James made the announcement.

As part of his plea on November 20, 2023, Overton admitted that on September 15, 2020, he possessed a bag containing cocaine and a loaded Bryco Arms Model 59 9-millimeter handgun when he was pulled over by the New York State Police in Albany, for a violation of the New York State Vehicle and Traffic Law. The cocaine and firearm were found in a hidden after-market compartment built into his vehicle’s front passenger seat. Overton was prohibited from possessing the firearm and ammunition because of a 1991 felony conviction for robbery.

Senior United States District Judge Frederick J. Scullin, Jr. also imposed a 3-year term of supervised release, which will start when Overton is released from prison.

The DEA and New York State Police investigated the case. Assistant U.S. Attorney Douglas Collyer prosecuted the case.

ALBANY, NEW YORK – Christopher Montano, age 40, of Edinburg, New York, was sentenced today to 76 months in prison for unlawfully conspiring to deal, possess, transfer and make unregistered firearms, and for distributing methamphetamine.

The announcement was made by United States Attorney Carla B. Freedman; Bryan Miller, Special Agent in Charge of the New York Field Division of the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF); and Matthew Scarpino, Special Agent in Charge of the Buffalo Field Office of Homeland Security Investigations (HSI).

As part of his prior guilty plea, Montano admitted that between August and October 2019, he, along with Michael Castelluccio, conspired to build and sell firearms from component parts ordered online. These firearms are commonly known as “ghost guns” because they do not have serial numbers, which makes them difficult for law enforcement to trace.

Montano admitted to conspiring to possess and transfer short-barreled rifles, which are rifles with barrels less than 16 inches long, and admitted to doing so without having filed an application with nor received approval from the Secretary of the Department of the Treasury, or paying the tax required by federal law.  He also admitted to selling more than 50 grams of methamphetamine.

United States District Judge Glenn T. Suddaby also imposed a 5-year term of supervised release, which will start after Montano is released from prison. Judge Suddaby previously sentenced Castelluccio to 30 months in prison.

This case was investigated by the ATF and HSI, with assistance from the Schenectady County and Montgomery County Sheriff’s Offices. Assistant U.S. Attorney Alexander Wentworth-Ping prosecuted this case.

SYRACUSE, NEW YORK – Austin Tennant, age 29, of Phoenix, New York, was sentenced today to 180 months (15 years) in federal prison for distributing, receiving, and possessing child pornography. Tennant was previously convicted following a four-day trial in February 2024.

The announcement was made by United States Attorney Carla B. Freedman and Matthew Scarpino, Special Agent in Charge of the Buffalo Field Office of Homeland Security Investigations (HSI).

The evidence at trial established that, between September of 2022 and January of 2023, Tennant obtained from the Internet, and directly from child victims, hundreds of videos and thousands of images of child pornography. The evidence further established that Tennant later redistributed that same child pornography to others, including to other children in an effort to induce them to provide him with sexually explicit images and videos of themselves.

In addition to imposing a 15-year term of imprisonment, Chief United States District Judge Benda K. Sannes also sentenced Tennant to serve a 15-year term of supervised upon his release from prison at which time Tennant will also be required to register as a sex offender.

The case was investigated by HSI Syracuse with assistance from the Oswego County Sheriff’s Office. Assistant U.S. Attorney Adrian LaRochelle and Special Assistant U.S. Attorney Paul Tuck prosecuted the case as part of Project Safe Childhood.

Launched in May 2006 by the Department of Justice, Project Safe Childhood is led by United States Attorney’s offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS).  Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims.  For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.

ALBANY, NEW YORK – Nicholas Colon, age 37, of the Bronx, New York, was sentenced today to 46 months in prison for conspiring to possess cocaine with the intent to distribute it.

United States Attorney Carla B. Freedman and Frank A. Tarentino III, Special Agent in Charge of the U.S. Drug Enforcement Administration (DEA), New York Division, made the announcement.

Colon previously admitted to driving in tandem with Kenny Gonzalez from Long Island to Queens, where they picked up approximately two kilograms of cocaine from their drug supplier.  Colon and Gonzalez then drove north to Ulster County, where they were stopped with the cocaine.  Colon admitted he and Gonzalez intended to distribute the cocaine in the Northern District of New York. 

United States District Judge Glenn T. Suddaby also imposed a 4-year-term of supervised release.  Judge Suddaby previously sentenced Gonzalez to 60 months in prison and a 4-year-term of supervised release.

The DEA investigated the case, which Assistant U.S. Attorney Jonathan S. Reiner prosecuted.

ALBANY, NEW YORK – Scott Solomon, age 38, of Albany, was sentenced today to 13 months in prison, to be followed by 3 years of supervised release, for defrauding a loan program meant for businesses struggling with the financial effects of the coronavirus pandemic.

United States Attorney Carla B. Freedman and Craig L. Tremaroli, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation (FBI), made the announcement.

In previously pleading guilty to two counts of bank fraud, Solomon admitted that in 2020, he fraudulently applied for and obtained Paycheck Protection Program (PPP) loans for two restaurants in Saratoga Springs, New York, that he had once operated. Solomon submitted false and forged tax documents as part of each loan application, and lied about each restaurant’s number of employees and payroll.

At the time Solomon applied for the loans, neither restaurant was operational, and Solomon used the loaned funds, totaling $163,993, in ways he knew were prohibited by the PPP. Solomon also fraudulently obtained forgiveness of one of the loans, in the amount of $87,500, by falsely telling the lender that he used the loaned funds for payroll.

PPP loans, which were issued by financial institutions in 2020 and 2021 and guaranteed by the U.S. Small Business Administration, needed to be used by the borrowing business only on certain, permissible expenses, such as payroll costs, interest on mortgages, rent, and utilities. 

Senior United States District Judge Frederick J. Scullin, Jr. also ordered Solomon to pay $163,993 in restitution and to forfeit that same amount as proceeds of his crimes.

Solomon has two prior felony convictions for grand larceny, as well as a prior misdemeanor conviction for possession of a forged instrument.

The FBI investigated this case and Assistant U.S. Attorney Michael Barnett prosecuted this case.

On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the Department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.

Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.

SYRACUSE, NEW YORK – William Gladney, age 41, of Manlius, New York, was sentenced today to 120 months of imprisonment, to be followed by 35 years of supervised release, for possessing child pornography. United States Attorney Carla B. Freedman, Matthew Scarpino, Special Agent in Charge of Homeland Security Investigations (HSI), Buffalo Field Office, and New York State Police (NYSP) Superintendent Steven G. James made the announcement.

As part of his previous guilty plea, Gladney admitted that he possessed thousands of videos and images of child pornography on several of his personal devices. Gladney has a previous conviction for possession of child pornography in Texas.

In addition to the imprisonment and supervised release terms, Gladney was ordered to pay a total of $44,000 in restitution to child victims depicted in the files he possessed, and will be required to continue to register as a sex offender upon his release from imprisonment.

HSI, the NYSP Internet Crimes Against Children Task Force, the NYSP Troop D Computer Crime Unit, and the Auburn Police Department investigated the case and Special Assistant U.S. Attorney Paul Tuck and Assistant U.S. Attorney Tamara Thomson prosecuted Gladney as part of Project Safe Childhood. 

Launched in May 2006 by the Department of Justice, Project Safe Childhood is led by United States Attorney’s Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS).  Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.

ALBANY, NEW YORK – Brian Scott, age 44, of Albany, pled guilty today to conspiring to distribute and possess with intent to distribute cocaine and marijuana, and to distributing cocaine.

United States Attorney Carla B. Freedman; Craig L. Tremaroli, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation (FBI); and Matthew Scarpino, Special Agent in Charge of the Buffalo Field Office of Homeland Security Investigations (HSI), made the announcement.

Scott admitted that between June 2020 and October 2023, he was involved in a drug trafficking organization that trafficked cocaine and marijuana in the Capital Region and the North Country. Scott admitted that he and a co-conspirator routinely sent drug couriers, whom they referred to as “horses,” between the Capital Region and the North Country to transport cocaine to the North Country and marijuana to the Capital Region. Scott also admitted that he had obtained at least seven kilograms of cocaine from another co-conspirator and sold over 400 grams of cocaine to another person between May and September 2023.

At sentencing on November 26, 2024, Scott faces at least 10 years and up to life in prison. The judge will also be required to impose a term of post-release supervision of at least 5 years and up to life. Scott has also agreed to forfeit $4,865 in seized drug money and to the entry of a forfeiture money judgment in the amount of $17,180. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines, and other factors. 

FBI, HSI, and the New York State Police investigated the case. Assistant U.S. Attorneys Cyrus P.W. Rieck and Joseph Hartunian are prosecuting the case.

ALBANY, NEW YORK – Timothy “Mitch” Duell, age 47, of Schenectady County, New York, pled guilty today to possessing child pornography. United States Attorney Carla B. Freedman and Special Agent in Charge Matthew Scarpino of Homeland Security Investigations (HSI), Buffalo, New York Field Office, made the announcement.

Duell admitted that he possessed sexually explicit images of a child under the age of 12, and engaged in chats where he discussed his interest in engaging in sex acts with that child. 

At sentencing scheduled for November 26, 2024, before United States District Judge Mae D’Agostino, Duell faces a statutory maximum imprisonment term of 20 years. Additionally, Duell will be required to serve a post-imprisonment term of supervised release of between 5 years and life, must register as a sex offender upon release, pay restitution to the victim of his offense, and forfeit the device he used to commit it. A defendant’s sentence is imposed by a judge based on the statute the defendant violated, the U.S. Sentencing Guidelines, and other factors.

HSI and the New York State Police investigated this case, and Assistant United States Attorney Michael D. Gadarian prosecuted this case as part of Project Safe Childhood.

Launched in May 2006 by the Department of Justice, Project Safe Childhood is led by United States Attorney’s offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.

SYRACUSE, NEW YORK – Kevin Harrington, age 50, of Oneonta, New York, pled guilty to a federal indictment charging him with two counts of mail fraud, United States Attorney Carla B. Freedman and Craig L. Tremaroli, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation (FBI) announced.

At his change of plea, Harrington admitted that he was the former executive director at First Community Care of Bassett, LLC (an affiliate of Bassett Healthcare Network). During his employment, Harrington submitted fraudulent expense reports seeking reimbursement for the purchase of continuous positive airway pressure (CPAP) machines. As part of the scheme, Harrington provided invoices to his employer that falsely claimed he had paid thousands of dollars for medical equipment when no such equipment was ever purchased. Unaware that the invoices were fraudulent, First Community Care of Bassett issued and mailed checks to Harrington for reimbursement.  In total, Harrington admitted to stealing over $150,000 from his former employer.

At sentencing on November 21, 2024, Harrington faces a maximum term of 20 years in prison, a fine of up to $250,000, and a term of supervised release of up to three years. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines, and other factors.

FBI is investigating the case and Special Assistant U.S. Attorney Paul Tuck is prosecuting the case.

SYRACUSE, NEW YORK – Henry Estuardo Casteneda-Castro, age 33, who was living in Oneida County, pled guilty to an indictment charging him with illegally possessing a social security card he had purchased unlawfully. United States Attorney Carla B. Freedman and Thomas P. Brophy, Field Office Director, U.S. Department of Homeland Security, Immigration and Customs Enforcement, Enforcement and Removal Operations, (ICE-ERO) Buffalo, NY made the announcement.

During the plea, Casteneda-Castro admitted that several years ago he had illegally entered the United States through Texas. After entering, he purchased an identification card and social security card of another individual to illegally obtain work. In May 2023, Casteneda-Castro was arrested by the Oneida County Sherif’s department on an unrelated matter and was found in possession of the fraudulent identification card and the social security card that he had unlawfully purchased.

At sentencing on November 21, 2024, Casteneda-Castro faces a maximum term of 10 years in prison, a fine of up to $250,000, and a term of up to 3 years supervised release. A defendant’s sentence is imposed by a judge based on the statute the defendant violated, the U.S. Sentencing Guidelines, and other factors.

The U.S. Department of Homeland Security, ICE-ERO investigated the case with the help of the Oneida County Sherriff’s Department and Special Assistant U.S. Attorney Paul Tuck prosecuted the case. 

ALBANY, NEW YORK – Evan Cutler, age 25, of Queensbury, New York, pled guilty today to conspiring to commit bank fraud and aggravated identity theft.  United States Attorney Carla B. Freedman and Matthew Scarpino, Special Agent in Charge of the Buffalo Field Office of Homeland Security Investigations (HSI), made the announcement. 

In a plea before United States District Judge Anne M. Nardacci, Cutler admitted that between February and October 2022, he organized a conspiracy to defraud SEFCU by, among other things, applying for loans using stolen identities of other people, and withdrawing the loaned money in cash.  Cutler admitted he and other members of the conspiracy applied for loans in other people’s names using fake New York driver licenses with their photographs but bearing the names and dates of birth of other people, and the proceeds were given to co-conspirator Allahson Allah. The conspirators also obtained customer account information from Caeshara Cannon, of Albany, a former Member Service Manager at SEFCU, and used that information to create counterfeit checks, which were presented for negotiation at SEFCU branches in the Northern District of New York. 

Cutler further admitted that the conspiracy netted $113,800 in fraudulent cash withdrawals. 

Cutler was previously charged by an indictment, along with Allahson Allah, Davon Parson, and Dnauticah Taylor-Sterman, all of Albany. Cutler is the last defendant in the conspiracy to plead guilty. Cannon has pled guilty as well.

At sentencing on November 19, 2024, Cutler faces at least 2 years and up to 32 years in prison, a fine of up to $1.25 million, and a supervised release term of up to 5 years.  A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines and other factors.

HSI investigated the case, with assistance from the Bethlehem Police Department.  Assistant United States Attorney Benjamin S. Clark is prosecuting this case.

ALBANY, NEW YORK – Conifer Park Inc. agreed to pay $300,000 to resolve allegations that it violated the Controlled Substances Act’s (CSA) recordkeeping requirements.

United States Attorney Carla B. Freedman and Special Agent in Charge Frank A. Tarentino III, U.S. Drug Enforcement Administration (DEA), New York Division made the announcement.

Conifer Park is a maintenance and detoxification facility that dispenses controlled substances, including methadone and buprenorphine, to treat individuals for substance use disorder.  The CSA requires entities that dispense controlled substances to maintain certain records and to conduct periodic inventories.  An inspection by the DEA in 2018 revealed that Conifer Park failed to maintain accurate records or perform required inventories, and was co-mingling controlled substances among different registrants.  Conifer Park subsequently agreed to comply with the CSA’s recordkeeping requirements in the future and to institute an electronic recordkeeping system if it was unable to do so.  DEA conducted similar inspections in 2021 and 2023 and determined that Conifer Park’s recordkeeping practices continued to violate the CSA.  Despite the continued non-compliance, Conifer Park did not implement an electronic recordkeeping system.

Contemporaneously with the Settlement Agreement resolving the Controlled Substances Act civil penalties, Conifer Park entered into a Memorandum of Agreement with the DEA, agreeing to implement an electronic recordkeeping system no later than November 1, 2024. 

This case was investigated by DEA Albany District Office’s Diversion Group.  Assistant U.S. Attorney Christopher Moran represented the United States in this matter.

ALBANY, NEW YORK – Kyle Biswell, age 38, of Prairie Grove, Arkansas, pled guilty today to traveling from Arkansas to Albany, with the intent to engage in illicit sexual contact with a child, and to transporting child pornography in interstate commerce.

United States Attorney Carla B. Freedman and Craig L. Tremaroli, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation (FBI), made the announcement.

Biswell admitted that between January and April 2023, he communicated with an individual he believed was the mother of an 11-year-old girl through an internet-based social networking application and using his cellular phone.  Over the course of those communications, Biswell expressed his interest in engaging in sexual contact with the 11-year-old and ultimately purchased airfare to travel from his home in Arkansas to Albany, with the intent to engage in illicit sexual contact with the child on April 8, 2023.  Upon his arrival in the Capital Region on April 8, 2023, Biswell was arrested by FBI agents, and admitted that he had traveled from Arkansas to Albany for the purpose of engaging in sexual acts with a child he believed to be 11 years old.  Biswell further admitted that he brought child pornography with him on his cell phone.  The cell phone was subsequently searched by the FBI and found to contain numerous videos and images depicting child pornography, including several videos depicting the sexual abuse and rape of children under the age of 5.   

At sentencing on November 13, 2024, before United States District Judge Anne M. Nardacci, Biswell faces at least 5 years and up to 30 years in prison.  The judge will also be required to impose a term of post-release supervision of at least 5 years and up to a life term.  The court may also impose a fine of up to $250,000, restitution, and forfeiture of the cell phone Biswell used to commit his offenses.  A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines, and other factors.  Biswell will also have to register as a sex offender upon his release from prison. 

The FBI investigated the case. Assistant U.S. Attorney Benjamin S. Clark is prosecuting the case as part of Project Safe Childhood.  Launched in May 2006 by the Department of Justice, Project Safe Childhood is led by United States Attorney’s Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS).  Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.

ALBANY, NEW YORK – Omar Alaidrus, age 23, of Schenectady, New York, was charged today with distributing controlled substances.

United States Attorney Carla B. Freedman; Special Agent in Charge Charmeka Parker of the U.S. Department of Agriculture – Office of the Inspector General Northeast Region (USDA-OIG); Special Agent in Charge Matthew Scarpino of Homeland Security Investigations (HSI), Buffalo, New York Field Office; and Schenectady County Sheriff Dominic Dagostino made the announcement.

According to a criminal complaint, on March 29, 2023, a police officer, posing as a customer, went into the deli and grocery in Schenectady where Alaidrus was working behind the counter.  Alaidrus used the officer’s electronic benefits card to record a purchase of $201.15 using what are commonly known as “food stamps,” removed $100 from the cash register, kept that cash, and gave the officer fentanyl pills and Xanax. The charges in the complaint are merely accusations. The defendant is presumed innocent unless and until proven guilty.

The charge filed against Alaidrus carries a maximum term of 20 years in prison, a fine of up to $1 million, and a term of supervised release of at least 3 years and up to life.  A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines and other factors.

Alaidrus appeared today in Albany, before United States Magistrate Judge Daniel J. Stewart, and was ordered detained pending a detention hearing scheduled for July 17, 2024.

USDA-OIG, HSI, the Schenectady County Sheriff’s Office, the Schenectady Police Department, and the New York State Police are investigating the case. Assistant U.S. Attorney Jonathan S. Reiner is prosecuting the case.

ALBANY, NEW YORK – Andrew Deleon, age 27, of Schenectady, New York, was sentenced today to 72 months in prison for conspiring to distribute and possess with intent to distribute methamphetamine and fentanyl, and distributing methamphetamine.

The announcement was made by United States Attorney Carla B. Freedman; Frank A. Tarentino III, Special Agent in Charge of the U.S. Drug Enforcement Administration (DEA), New York Division; and Ketty Larco-Ward, Inspector in Charge of the Boston Division of the United States Postal Inspection Service (USPIS).

As part of his earlier guilty plea, Deleon admitted that he received multiple packages in the U.S. Mail that he knew contained controlled substances and intended to give the controlled substances to the leader of the drug trafficking organization. Deleon also distributed methamphetamine on behalf of the organization. As part of the conspiracy, Deleon distributed and/or possessed with the intent to distribute approximately 1,827.18 grams of pure methamphetamine and 10.68 grams of fentanyl.

United States District Judge Anne M. Nardacci also imposed a term of 3 years of supervised release, which will start after Deleon is released from prison.

Five other defendants have been charged as part of this conspiracy and are currently awaiting trial:

Defendant

Charges

Max./Min. Terms of Imprisonment

Felix Arencibia

Conspiracy to distribute and possess with intent to distribute methamphetamine and fentanyl

Distribution of methamphetamine

Minimum: 10 years Maximum: Life

Todd Austin

Conspiracy to distribute and possess with intent to distribute methamphetamine

Distribution of methamphetamine

Maximum: 20 years

Ahmad Burke

Conspiracy to distribute and possess with intent to distribute methamphetamine

Maximum: 20 years

Kevisha DuBoise

Conspiracy to distribute and possess with intent to distribute methamphetamine

Distribution of methamphetamine

Maximum: 20 years

Christian Mur-Santana

Conspiracy to distribute and possess with intent to distribute methamphetamine and fentanyl

Distribution of methamphetamine

Minimum:10 years Maximum: Life

 

The charges in the indictment are merely accusations. These defendants are presumed innocent unless and until proven guilty.

Three other defendants charged as part of this conspiracy have pled guilty and are currently pending sentencing:

Melissa Karwan, age 37, of Schenectady, pled guilty to conspiracy to distribute and possess with intent to distribute methamphetamine, and distribution of methamphetamine. Karwan is scheduled to be sentenced on August 30, 2024.

Flor Arencibia, age 39, of Albany, pled guilty to conspiracy to distribute and possess with intent to distribute methamphetamine, and distribution of methamphetamine. Arencibia is scheduled to be sentenced on September 5, 2024.

Stefanie Plass, age 37, of Schenectady, pled guilty to conspiracy to distribute and possess with intent to distribute methamphetamine, and distribution of methamphetamine. Plass is scheduled to be sentenced on September 30, 2024.

These cases are being investigated by DEA and USPIS.  Assistant U.S. Attorneys Ashlyn Miranda and Joshua Rosenthal are prosecuting the cases.

This case is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.

ALBANY, NEW YORK – Robert Cutter, age 44, of Lake George, New York, pled guilty today to the attempted online enticement of a minor.

United States Attorney Carla B. Freedman and Craig L. Tremaroli, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation (FBI), made the announcement.

Cutter admitted that on June 27, 2023, he exchanged sexually explicit text messages with someone he believed was an adult offering the sexual services of a 12-year-old girl in an attempt to entice the child into engaging in sexual acts with him.  Cutter also admitted that on that same date, he travelled to a pre-determined location in Warren County, New York, with the intent to engage in sexual acts with the 12-year-old girl.  Cutter was arrested by law enforcement shortly after arriving at the location.

At sentencing on November 11, 2024, before United States District Mae A. D’Agostino, Cutter faces at least 10 years and up to life in prison.  The judge will also be required to impose a term of post-release supervision of at least 5 years and up to life.  The court may also impose a fine of up to $250,000, restitution, and forfeiture of the smartphone Cutter used to commit his offense.  A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines, and other factors.  Cutter will also have to register as a sex offender upon his release from prison.

This case was investigated by the FBI Child Exploitation Task Force, comprised of FBI Special Agents, and state and local police investigators, including from the New York State Police and Warren County Sheriff’s Office.  Assistant U.S. Attorney Allen J. Vickey is prosecuting the case as part of Project Safe Childhood. 

Launched in May 2006 by the Department of Justice, Project Safe Childhood is led by United States Attorney’s Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS).  Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.

SYRACUSE, NEW YORK – Altagracios De La Cruz-Calderon, 60, who was living in Oneida County, was sentenced to 57 months imprisonment today for illegally reentering the United States after previously being convicted of an aggravated felony. United States Attorney Carla B. Freedman and Thomas P. Brophy, Field Office Director, U.S. Department of Homeland Security, Immigration and Customs Enforcement, Enforcement and Removal Operations, (ICE-ERO) Buffalo, NY made the announcement.

De La Cruz-Calderon had previously been deported or removed from the United States to the Dominican Republic five times. As part of his previous guilty plea, De La Cruz-Calderon admitted that he had been convicted of federal drug and gun charges in the 1990s and spent several years in federal prison before one of his deportations to the Dominican Republic. De La Cruz-Calderon was most recently found in the United States in New Hartford, New York. De La Cruz-Calderon will be subject to deportation again at the conclusion of his prison sentence.

The U.S. Department of Homeland Security, ICE-ERO investigated the case with the help of the United States Marshall Service and the New Hartford Police Department. Special Assistant U.S. Attorney Paul Tuck prosecuted the case. 

ALBANY, NEW YORK – Strauss Ventures LLC doing business as The Grand Health Care System and 12 affiliated skilled nursing facilities (collectively, the Grand), have agreed to resolve allegations that they violated the False Claims Act by knowingly billing federal health care programs for therapy services that were unreasonable, unnecessary, unskilled, or that simply did not occur as billed. Many of the settling facilities are located in upstate and central New York, including in Albany, Oneida, Madison, Columbia, and Herkimer counties.

“Today’s settlement protects patients and taxpayers by ensuring that medical treatment is dictated by patient need and not by financial motive,” said United States Attorney Carla B. Freedman.  “Skilled nursing facilities provide important services to a vulnerable population, and we will continue to hold them accountable when they provide patients with unnecessary services and falsify records.”

The settlement resolves allegations that from as early as January 1, 2014 to September 30, 2019, the Grand knowingly submitted false claims for rehabilitation therapy for residents at 12 facilities Strauss Ventures owned and operated. During this period, Medicare Part A (Medicare’s hospital insurance, which also pays for care in a skilled nursing facility in some circumstances) and TRICARE (the federal health care program for the Department of Defense) paid for such services at rates that varied based on the number of minutes of skilled rehabilitation therapy provided. The Grand allegedly submitted bills where the reimbursement claimed was based on providing more therapy than was reasonable and necessary, or in some cases where the therapists did not provide the amount of therapy reported. 

As part of the settlement, the Grand admitted that certain now-former Grand management level employees implemented quotas that each of the 12 facilities was expected to reach, including quotas relating to beneficiaries’ lengths of stay and to the percentage of beneficiaries billed at the highest reimbursement level. To meet these quotas, facilities often scheduled patients to receive therapy without consideration of what was reasonable and necessary based on the individual patients’ clinical condition. In addition, the Grand directed that no more than three patients be discharged from any facility per week and instructed that no Medicare Part A patients should be discharged from rehabilitation therapy unless it had been discussed with corporate officials. The Grand admitted that this resulted in some Medicare beneficiaries “staying on therapy longer than was reasonable and medically necessary.” 

The Grand acknowledged that there were various instances where supervisory officials, who did not personally evaluate or treat patients, set or adjusted the number of minutes of therapy that a Medicare patient would receive. The Grand also acknowledged that there were instances where supervisory personnel falsified the number of therapy minutes in the Grand’s electronic recordkeeping system or instructed subordinates to do so, well after the therapy was allegedly rendered.

“We expect nursing facilities to provide only reasonable and appropriate amounts of skilled rehabilitation therapy service to their residents and to bill government healthcare programs only for the services actually provided,” said Principal Deputy Assistant Attorney General Brian Boynton, head of the Department of Justice’s Civil Division. “The department is committed to protecting both vulnerable nursing home patients and taxpayers against fraudulent conduct by unscrupulous actors.” 

The settlement also resolves federal allegations that the Grand submitted false claims to Medicaid for services rendered at its Pawling, New York nursing home between January 1, 2016 and June 30, 2021. These claims were allegedly false because the reimbursement rate was inflated by data inaccurately reflecting the degree of care, including rehabilitation therapy services, needed by Medicaid patients there. 

The Grand has also entered into a five-year Corporate Integrity Agreement with the Department of Health and Human Services Office of Inspector General (HHS-OIG) that requires an independent review organization to annually assess the medical necessity and appropriateness of therapy services billed to Medicare.

“Violations of the False Claims Act are absolutely unacceptable and will not be tolerated by the FBI and its partners,” said Executive Assistant Director Michael Nordwall of the FBI’s Criminal, Cyber, Response and Services Branch. “We will continue our work of protecting the American taxpayer by relentlessly pursuing businesses that do not comply with the rule of law. If you bill federal health care programs in an unnecessary manner, there will be consequences.”

“The Grand admitted to providing unnecessary care to our most vulnerable, to include knowingly keeping patients in their facilities and away from their loved ones when they needed them most,” said Craig Tremaroli, Special Agent in Charge of the FBI’s Albay Field Office. “This settlement illustrates the FBI’s commitment to working with our partners to protect federally funded healthcare programs from abuse by companies looking to line their pockets with taxpayer dollars.”

“As a part of this settlement, the defendants acknowledged that they obtained funds from the Medicare program to which they were not entitled,” stated Special Agent in Charge Naomi Gruchacz of HHS-OIG. “Individuals and entities that participate in the federal health care system are required to obey the laws meant to preserve the integrity of program funds and the provision of appropriate, quality services to patients.”

“Protecting the integrity of the healthcare system for our military members and their families is a top priority of the Defense Criminal Investigative Service (DCIS), the law enforcement arm of the Department of Defense Office of Inspector General,” stated Acting Special Agent in Charge Brian J. Solecki of DCIS Northeast Field Office. “DCIS will continue to work with its law enforcement partners and the Department of Justice to hold DoD contractors accountable for their fraudulent activity and ensure America’s service members are not subject to unnecessary risk.”

The settlement resolves a whistleblower lawsuit filed under the qui tam provisions of the False Claims Act by two former providers of rehabilitation therapy at the Grand. The Act allows private persons to file civil actions on behalf of the government and share in any recovery. Under the settlement, the whistleblowers will receive approximately $4,047,000 of the settlement proceeds. The case is docketed with the U.S. District Court for the Northern District of New York under number 1:19-cv-1311.

The U.S. Attorney’s Office for the Northern District of New York; the Justice Department’s Civil Division, Commercial Litigation Branch, Fraud Section; HHS-OIG’s New York Region; the FBI, Albany Field Office; DCIS, Syracuse Resident Agency, and the New York State Attorney General’s Office investigated the matter. Assistant U.S. Attorney Adam J. Katz and Senior Trial Counsel Christelle Klovers represented the United States.

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