Eastern District of Pennsylvania

PHILADELPHIA – United States Attorney William M. McSwain announced that Anthony Robinson, a/k/a, Anthony Harrison, 32, of Philadelphia, PA was convicted today at trial for being a felon in possession of a firearm.

The evidence at trial showed that in April 2019, Philadelphia Police Officers responded to a report of a fight involving a man with a gun. The man was described as wearing a gray sweat suit with yellow lettering. When the officers arrived, defendant Robinson was dressed in the outfit described in the report, and he fled the scene. While attempting to run, the defendant discarded the weapon in his hand. After a brief struggle, officers apprehended the defendant and recovered the gun. As a previously convicted felon, Robinson was prohibited from possessing a firearm. Among the evidence presented were two surveillance videos that captured the defendant fleeing the scene and discarding the weapon.

“Reducing violent crime is a top priority of my Office and of the Department of Justice, and successful prosecutions of cases like this remain a key part of our deterrence strategy,” said U.S. Attorney McSwain. “We are committed to working with the Philadelphia Police Department and our federal partners to clear the streets of illegal firearms in the hands of convicted felons, which undeniably pose a serious threat to public safety in our City.”

“ATF’s top priority is combating violent crime; one of the ways we accomplish that mission is by keeping firearms out of the hands of violent offenders,” said Donald Robinson, Special Agent in Charge, ATF Philadelphia Field Division. “This conviction is a perfect example of the collaborative effort between ATF and our partners at the Philadelphia Police Department and the United States Attorney’s Office in targeting violent offenders and protecting our communities.”

“The arrest and successful prosecution of Anthony Robinson, a recidivist offender, evidences the value of sustained collaboration between law enforcement partner agencies,” said Acting Philadelphia Police Commissioner Christine Coulter. “We anticipate that his conviction and attendant sentence will have an appreciable impact on the safety of the community we serve.”

The defendant faces a maximum possible sentence of ten years’ incarceration.

The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Philadelphia Police Department, and is being prosecuted by Assistant United States Attorney Eric L. Gibson.

PHILADELPHIA – United States Attorney William M. McSwain announced that the District Court for the Eastern District of Pennsylvania has entered an injunction ordering Miller’s Organic Farm (Miller’s) of Bird-in-Hand, Pennsylvania, and its owner, Amos Miller, to cease violating federal food safety laws. After suing Miller’s in April 2019 for civil injunctive relief, the government moved for summary judgment. In granting that motion, the district court entered judgment against Mr. Miller and the farm and enjoined them from continued selling of non-federally-inspected, misbranded meat and poultry products to nationwide consumers, and from continued obstruction of federal health and safety oversight.

The United States brought the action on behalf of the Food Safety and Inspection Service (FSIS) of the U.S. Department of Agriculture. FSIS is responsible for ensuring that commercially sold meat, poultry and egg products are safe, wholesome, and correctly labeled and packaged. FSIS fulfills its mission by inspecting meat and poultry products before they reach consumers. For years, Miller’s has been illegally slaughtering and processing livestock and poultry, and commercially selling substantial quantities of the resulting products for human consumption, all without a USDA-FSIS Federal Grant of Inspection. Meanwhile, the products’ labeling has misled consumers by failing to disclose that the products have not been federally inspected and may not be sold commercially.

The suit is part of the United States’ continuing efforts to bring Miller’s into compliance with federal food safety laws. In late 2015, for example, the Food and Drug Administration, which regulates milk, isolated and identified Listeria monocytogenes (L. mono) bacteria in Miller’s raw milk samples. Through whole genome sequencing, the FDA found genetic similarity between that bacteria and other L. mono in two individuals who had developed listeriosis after consuming raw milk. The FDA named Miller’s as the “likely source” of infections in those persons, one of whom died.   

FSIS sought to assess whether L. mono might be contaminating Miller’s meat and poultry products. But Mr. Miller refused to grant FSIS entry to the farm’s meat and poultry-related facilities, even after the agency served him with a subpoena. The United States then sued Miller’s to enforce the subpoena and USDA’s access rights. See United States v. Miller’s Organic Farm and Amos Miller, EDPA No. 16-cv-2731. Even after the court enforced the subpoena, and even after FSIS cited Miller’s with misbranding and other violations, the violations continued. Further, Miller’s continued to obstruct FSIS’ access to Miller’s facilities, records, and inventory.

Although Miller’s Organic Farm is a sole proprietorship, Mr. Miller organized Miller’s sales operations into a so-called “private membership association” (PMA) food buyer’s club. Mr. Miller based his non-compliance on assertions that PMAs are exempt from regulatory laws. This is false: PMAs are not exempt from federal food safety and other health and safety laws. The United States’ injunction action, United States of America v. Miller’s Organic Farm and Amos Miller, EDPA No. 19-cv-1435, is the first-ever suit of its kind where FSIS obtained an injunction against such a PMA farm business.

The civil injunction requires Miller’s to cease commercial sales of non-federally-inspected, misbranded, non-exempt meat and poultry products. Miller’s also must maintain relevant business transaction records, cooperate with FSIS inspections and oversight, and otherwise comply with federal food safety laws. Miller’s is subject to financial sanctions if it violates the injunction.

“As I stated when my Office filed this suit and as the injunction shows, food establishments in this District must follow federal food safety laws that protect the public,” said U.S. Attorney McSwain. “Congress enacted such generally applicable laws to ensure that the nation’s food supply is safe for consumption. We will continue to take enforcement action whenever commercial sellers ignore the rule of law, make up their own sets of rules, or otherwise attempt to hide behind a business structure to thwart congressionally-mandated federal oversight. Today’s injunction is necessary to effect Miller’s compliance and to ensure that, with FSIS’ oversight and assistance, compliance will continue in coming years.”

“At FSIS, we will continue to use our regulatory authority to ensure that meat, poultry, and processed egg products facilities comply with federal food safety laws,” said FSIS Administrator Carmen Rottenberg. “Inspection is the cornerstone of our food safety regulatory system – enabling consumers to purchase and prepare meat and poultry with confidence in the safety of these products.”

This case is being handled by AUSA Gerald Sullivan for the United States Attorney’s Office, which received assistance from Investigator Paul J. Flanagan of FSIS’ Compliance and Investigations Division, Philadelphia Regional Office; Attorney Advisor Tracey Manoff of USDA’s Office of the General Counsel; and Team Lead Troy Hambright of FSIS’ Enforcement and Litigation Division, Office of Investigation, Enforcement and Audit.    

PHILADELPHIA – United States Attorney William M. McSwain announced that defendants Abdul Ibrahim West, a/k/a “AR-Ab,” 37, of Brookhaven, Jamaal Blanding, a/k/a “Bionickhaz,” 38, of Philadelphia, Jameel Hickson, a/k/a “Meliano,” 41, of Philadelphia, and Hans Gadson, a/k/a “NoBrakes Bras,” 34, of Philadelphia, were convicted today at trial for conspiracy to distribute drugs and other drug trafficking crimes.

Separately but in a related case, Charles Salley, a/k/a “Dark Lo,” a/k/a “Ron Harvey,” 37, of Clayton, Delaware, was arrested last week and charged by complaint with witness tampering during the trial.

Conviction at Trial

The evidence at trial showed that defendants West, Blanding, Hickson and Gadson ran a violent drug trafficking organization from at least March 2017 until June 2018. Although they purported to be rap music artists and associates of a local music label and group known as the “Original Block Hustlaz,” or “O.B.H.”, these defendants made money distributing cocaine, crack cocaine, methamphetamine, and heroin in and around Philadelphia. The organization was led by West, who purchased bulk drugs, distributed the drugs, and ordered acts of murder and violence in furtherance of the organization’s drug trafficking. Additionally, Blanding and Hickson imported drugs from California, while Gadson and Blanding distributed the drugs throughout Philadelphia.

Throughout the course of the investigation, law enforcement agents conducted surveillance and undercover sting operations during which drugs were purchased from the defendants. The defendants maintained four separate properties in connection with their drug trafficking organization. In May 2018, agents executed a search warrant on one of the properties and seized ten kilograms of cocaine and five pounds of methamphetamine.

Each of the defendants now faces a maximum of life in prison under federal law.

New Charge of Witness Tampering

The complaint against defendant Salley alleges that on November 6, 2019, a cooperating witness in the above-referenced trial received a threatening letter from Salley under the pen name “Ron Harvey,” a pseudonym Salley has used in various rap songs. The complaint further alleges that Salley, who also goes by the stage name “Dark Lo,” threatened physical violence against the cooperating witness and others if the witness testified at trial against Salley’s O.B.H. associates.

On November 13, 2019, United States Magistrate Judge Lynne A. Sitarski detained Salley pending trial in this matter.

If convicted, Salley faces a maximum possible sentence of 20 years’ imprisonment and a fine.

“West and his co-defendants, members of the O.B.H. drug organization, pumped huge quantities of deadly drugs into our community while pretending to be legitimate artists and businessmen,” said U.S. Attorney McSwain. “Drug trafficking is an inherently dangerous business, and drug traffickers ultimately deliver violence and destruction to our communities without any regard for the people living there. Our Office is determined to do exactly what we did in this case: investigate and convict these dangerous criminals and put them in prison.”

“Furthermore, witness intimidation has no place in the criminal justice system and will be dealt with swiftly and harshly,” continued U.S. Attorney McSwain. “As alleged in a criminal complaint, an associate of O.B.H. attempted to intimidate a witness during the trial and is now behind bars, where he will remain pending trial.”

“West and his crew transported illegal narcotics across the country to push here on our streets,” said Michael T. Harpster, Special Agent in Charge of the FBI’s Philadelphia Division. “They used violence to maintain their hold on their drug territory, in order to keep the cash rolling in. The FBI and our partners on the Violent Gang Safe Streets Task Force are determined to dismantle dangerous trafficking operations like this and bring those involved to justice, as we push every day to make this city safer.”

The “O.B.H.” case is part of the FBI’s Violent Gang Safe Streets Task Force, a program through which all of the federal, state, and local law enforcement agencies collaboratively address the violent crime plaguing communities. The case was investigated by the Federal Bureau of Investigation and the Philadelphia Police Department, and is being prosecuted by Assistant United States Attorneys Everett Witherell and Timothy Stengel.

The Salley case was investigated by the Federal Bureau of Investigation, and is being prosecuted by Assistant United States Attorney Justin Ashenfelter. An indictment, information, or criminal complaint is an accusation. A defendant is presumed innocent unless and until proven guilty.

PHILADELPHIA – United States Attorney William M. McSwain announced that Tyson Blount, 35, of Abington, PA was arrested and charged by Indictment with four counts of Hobbs Act Robbery and one count of using a firearm in furtherance of a crime of violence.

The Indictment alleges that the defendant, along with a still un-identified accomplice, robbed four Montgomery County businesses at gunpoint between October 27 and December 20, 2018. The victim businesses included two tobacco shops, a Metro PCS cell phone store, and a Dairy Queen.

“As alleged, Blount’s complete disregard for others’ safety is appalling,” said U.S. Attorney McSwain. “The employees of these stores were simply doing their jobs, while the defendant is accused of terrorizing them so that he could steal the relatively small amounts of cash they had on hand. My Office is committed to punishing and deterring this type of senseless violence.”

If convicted, the defendant faces a maximum possible sentence of life imprisonment.

The case was investigated by the FBI, the Pennsylvania State Police, and the Upper Dublin, Upper Moreland, and Abington Police Departments, and is being prosecuted by Assistant United States Attorney Kelly Harrell.

An indictment, information, or criminal complaint is an accusation. A defendant is presumed innocent unless and until proven guilty.

PHILADELPHIA – United States Attorney William M. McSwain announced that Rodolfo Blanco, 45, of Langhorne, PA, was sentenced to 78 months’ imprisonment, followed by four years’ supervised release, and ordered to pay a $25,000 fine. United States District Court Judge Jeffrey Schmehl imposed the sentence.

In July 2019, Blanco pleaded guilty to one count of possession with intent to distribute cocaine and one count of attempted possession with intent to distribute cocaine. Blanco was arrested on June 12, 2019, while traveling southbound on Interstate 476, and the Pennsylvania State Police recovered approximately one kilogram of cocaine in Blanco’s vehicle. Two days later, federal authorities intercepted a second package mailed to a house Blanco owned in Philadelphia. The second package contained approximately one additional kilogram of cocaine.

“This case is an example of federal and state law enforcement working together to stop the flow of illegal narcotics onto the streets of Philadelphia,” said U.S. Attorney McSwain. “Aggressive enforcement of our nation’s most serious drug laws, which is a top priority for my Office, is the best way to stop illegal drugs from destroying our communities and endangering public safety.”

The case was investigated by the Drug Enforcement Administration, with assistance from the Pennsylvania State Police and is being prosecuted by Assistant United States Attorneys Christopher J. Mannion and Alison Donahue Kehner.

PHILADELPHIA – Two years ago, the Department of Justice announced the revitalization and enhancement of Project Safe Neighborhoods (PSN), the centerpiece of the Department’s violent crime reduction strategy. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.

Throughout the past two years, the Department has partnered with all levels of law enforcement, local organizations, and members of the community to reduce violent crime and make neighborhoods safer for everyone. According to the FBI’s 2018 Crime in the United States Report released last month, the national violent crime rate decreased for the second consecutive year, down 3.9 percent from the 2017 numbers.

“The revitalized Project Safe Neighborhoods program is a major success,” said Attorney General William P. Barr. “It packs a powerful punch by combining advanced data with local leadership, further reducing violence in communities across the country and improving overall public safety. U.S. Attorneys continue to focus their enforcement efforts against the most violent criminals and work in partnership with federal, state, local, and tribal police. The Justice Department’s relationships across the board have never been stronger.”

“Project Safe Neighborhoods is a proven program with demonstrated results, and since the re-launch two years ago, we can see the benefits of the program in real time right here in the Eastern District of Pennsylvania,” said United States Attorney William M. McSwain. “We know that the most effective strategy to reduce violent crime is based on sound policing policies and law enforcement partnerships at every level, which is why I am committed to building those partnerships, standing up for the victims of violent crime, and enforcing the rule of law.”

“The Philadelphia Police Department recognizes that a successful violent crime prevention strategy must be comprehensive, evidence based, measurable, and include partnerships among law enforcement agencies and other stakeholders,” said Acting Police Commissioner Christine M. Coulter. “The Project Safe Neighborhoods (PSN) program captures each of these necessary ingredients for success. We are fortunate to have been part of the re-launch in 2017, and join our partners in celebrating the program's two year anniversary, and the collective progress we have made.”

As the Department and the U.S. Attorney’s Office for the Eastern District of Pennsylvania (USAO-EDPA) celebrates the two-year anniversary of the revitalized PSN program, below are some of the highlights of the district’s PSN actions over the past year.

Enforcement Actions

In the last year, USAO-EDPA has partnered with local law enforcement to ensure federal efforts are focused against the most violent offenders. The following are some excellent examples:

• In November 2018, a federal jury convicted Lukeen Gerald, of Philadelphia, Pennsylvania, after a trial for his involvement in seven armed robberies of convenience stores throughout the city. During the robberies, he shoved firearms in the faces of many victim store employees. In one instance, he fired the gun into the ceiling of a Dunkin Donuts; the gun was so close to the victim’s head that the sound caused the victim’s eardrum to rupture. Gerald faces a mandatory minimum of 157 years for the firearms charges alone, and additional time for the Hobbs Act robbery convictions.

• In May 2019, a federal jury convicted Kevin Archie of one count of being a convicted felon in possession of a firearm. Archie was arrested while illegally in possession of a weapon while on a street corner in the Kensington neighborhood of Philadelphia. Philadelphia Police officers arrested Archie after responding to an alarming call of a man with a gun. Archie, an armed career criminal, faces a mandatory minimum of 15 years in prison.

• Together with ATF, USAO-EDPA brought firearms dealer Kenney Cherry, of Philadelphia, to justice. In August 2019, a federal jury convicted Cherry of dealing in firearms without a license, multiple counts of felon in possession of a firearm, and other related firearms offenses. The defendant sold 24 firearms and two “machine gun” conversion devices in a short span. Cherry remains incarcerated awaiting sentencing.

• After a Philadelphia Police Inspector, who was driving home, heard multiple gunshots and witnessed two men in broad daylight pointing firearms, USAO-EDPA charged the case federally and successfully prosecuted Salim Davis. In September 2019, the office partnered with Philadelphia Police and ATF to ensure a federal jury found Davis guilty of all crimes related to his carrying a loaded Smith & Wesson .40 caliber semi-automatic handgun and an unlabeled prescription pill bottle containing 72 Alprazolam pills he had to sell. Davis remains incarcerated awaiting sentencing.

Community Partnerships

• The PSN Call-In Program consists of regular, face-to-face call-ins of individuals who were recently released from state custody to warn them of the consequences of committing any further crimes. The Call-In program is a partnership with local, state, and federal law enforcement, as well as community members and service providers. Working closely with the Pennsylvania Board of Probation and Parole, the program ensures connections to critical assistance and support to the released individuals. Since 2013, USAO-EDPA has hosted 17 Call-Ins with over 300 state parolees.

• Launched in October of last year, Relapse Prevention Court (RPC) maximizes opportunities for long-term recovery from substance use and facilitates successful completion of participants’ terms of supervised release. RPC held its first graduation in October to celebrate its participants’ successful completion of the program.

• USAO-EDPA is an active participant in state-wide Reentry Coalitions comprised of representatives from government, law enforcement, non-profit organizations, and community groups. The Coalitions work on various projects to coordinate resources, create partnerships and improve delivery of reentry services in the counties of the Eastern District of Pennsylvania.

Aggressive Response Throughout EDPA and in Philadelphia in Particular

• Even though FBI data shows that violent crime has decreased in the United States from 2017 to 2018, Philadelphia has seen a disturbing uptick in the most serious types of violent crime, such of homicides and shootings.

• To attempt to address (and contain) this growing issue in Philadelphia, USAO-EDPA has aggressively increased its focus on PSN cases and violent crime prosecutions in general over the past two years.

• For example, in FY2019 (October 2018-September 2019), USAO-EDPA brought charges against 195 defendants in PSN cases, compared to 80 in FY2018 - an almost 144% increase in one year. Much of this increase has been driven by the situation on the ground in Philadelphia.

These enforcement actions and partnerships are part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally based strategies to reduce violent crime. To learn more about Project Safe Neighborhoods, go to www.justice.gov/psn.

PHILADELPHIA – United States Attorney William M. McSwain announced that Loren Varga, 62, of Franklin Township, New Jersey, was sentenced to one day of incarceration, two years’ supervised release and a $1,500 fine by United States District Court Judge Anita Brody for illegally purchasing a tiger skin rug, made from an endangered species.

In July 2019, the defendant pleaded guilty to one count of violating the Endangered Species Act and one count of violating the Lacey Act. These charges stemmed from his participation in the commercial purchase of a tiger rug, which he knew was made from an endangered species, and for which he traveled across state lines to receive.

Some years before, the defendant had previously attempted to buy a similarly illegal tiger pelt and was warned by the Unites States Fish and Wildlife Service (USFWS) that to do so was a crime. Apparently undeterred, the defendant again sought one out in 2018. When USFWS discovered the defendant’s intentions, it arranged a sting operation to thwart that effort. That operation led to this prosecution.

“People who make persistent efforts to own these endangered animal pelts are part of the very industry that has led these majestic animals to become endangered,” said U.S. Attorney McSwain. “It is illegal and further, it is unconscionable, that someone would attempt to procure an endangered animal skin not just once, but twice. We take this type of conduct seriously and it will be prosecuted.”

The case was investigated by the United States Fish and Wildlife Service, and is being prosecuted by Assistant United States Attorney Nancy Beam Winter.

PHILADELPHIA – United States Attorney William M. McSwain announced that Matthew Chancler, 57, of Pottstown, Pennsylvania was sentenced today to 18 months’ imprisonment by United States District Court Judge Michael Baylson for engaging in a fraud scheme that victimized his employer.

The defendant was a Certified Public Accountant and the Director of Finance for United Chemical Technologies (“UCT”), a company located in Bristol, Pennsylvania. In this role, Chancler oversaw the financial operations of the company: accounts payable, accounts receivable, payroll, and auditing.

During an approximately two-year period, from August 2016 through July 2018, Chancler abused his position of trust on a regular and systematic basis by using company issued credit cards for over 1,800 personal purchases and over 400 cash withdrawals from ATMs, while disguising the true nature of these transactions in the company’s financial records in order to cover his tracks. Those personal purchases included clothing, electronics, food, travel, jewelry, sporting equipment, and other personal items and entertainment. He also manipulated the company’s payroll system to generate additional fraud proceeds. In total, the defendant stole over $360,000 through his fraudulent use of the cards and manipulation of the payroll system. The defendant’s scheme put the company in financial jeopardy and caused its officers and employees substantial hardship.

“Chancler abused his position of authority and trust for nothing more than his own greed,” said U.S. Attorney McSwain. “Companies rely on professionals to maintain the finances of their organization and to act as good stewards – not to break the law to line their own pockets.”

The case was investigated by the Federal Bureau of Investigation and is being prosecuted by Assistant United States Attorney Louis D. Lappen.

PHILADELPHIA – United States Attorney William M. McSwain announced that William Limper, 41, Raul Rivera, 42, Michael Dombrowski, 30, and Robert Hopkins, 24, all of Philadelphia, were charged by a Second Superseding Indictment for their roles in a conspiracy to burglarize or attempt to burglarize 49 pharmacies in the City of Philadelphia and the surrounding suburbs over the last five years.  The charges include 36 counts of pharmacy burglary; 13 counts of attempted pharmacy burglary; one count each of possession with intent to distribute controlled substances; one count each of possession of a firearm in furtherance of a drug trafficking crime; and related conspiracy, drug and gun offenses.

The Second Superseding Indictment alleges that Limper, Rivera, Dombrowski, and Hopkins were involved in a conspiracy from November 2014 until April 2019 to burglarize pharmacies in order to steal controlled substances – primarily Schedule II opiates such as oxycodone and Percocet tablets – for the purpose of distributing them to others for profit. The defendants allegedly forced entry into the pharmacies at nighttime with burglary tools such as crow bars and Halligan bars (specialized forcible entry tools used by law enforcement and firefighters) when the pharmacies were closed. The defendants concealed their identities with clothing and masks over their faces, and used scanners to monitor police activity and two-way radios to communicate with each other during the burglaries.

As alleged, the defendants thoroughly planned and executed these burglaries in great detail.  For example, in order to facilitate quick getaways in the event that they were detected by witnesses or law enforcement, the defendants used stolen Jeep Grand Cherokee SRT sport utility vehicles (SUV) with powerful engines.  When they were not using the stolen vehicles to perpetrate burglaries, the defendants concealed the vehicles in garages in a commercial storage lot, where they also hid their tools and the clothing they wore during the burglaries to avoid detection by law enforcement. After each of the burglaries, the defendants divided the stolen narcotics among themselves for the purpose of selling them to others.

“These charges are a huge blow to this sophisticated burglary and drug distribution organization,” said U.S. Attorney McSwain.  “As alleged, these defendants were able to carry out their conspiracy for years – terrorizing communities and small businesses all across the region, and adding to the scourge of the opioid epidemic for their own benefit.  I want to thank the large group of law enforcement partners who worked together in a highly coordinated effort using targeted investigative techniques to make this case possible.”

“The FBI remains committed to fighting the opioid crisis on all fronts,” said Michael T. Harpster, special agent in charge of the Philadelphia Division.  “Today's indictment makes it clear that the the FBI and or law enforcement partners will work tirelessly to prevent violent drug gangs from terrorizing our communities, and we will bring them to justice when they do.”

If convicted, defendant William Limper faces a maximum possible sentence of life imprisonment, a mandatory-minimum five years’ imprisonment consecutive to any other sentence imposed, a mandatory minimum six years’ supervised release up to lifetime supervised release, a $16,750,000 fine, and a $5,300 special assessment; defendant Raul Rivera faces a maximum 1,010 years’ imprisonment, a mandatory-minimum three years up to lifetime supervised release, a $14,250,000 fine, and a $5,100 special assessment; defendant Michael Dombrowski faces a maximum 310 years’ imprisonment, a mandatory-minimum three years up to lifetime supervised release, a $5,500,000 fine, and a $1,600 special assessment; and defendant Robert Hopkins faces a maximum 470 years’ imprisonment, a mandatory-minimum three years up to lifetime supervised release, a $7,500,000 fine, and a $2,400 special assessment.

The case was investigated by the Federal Bureau of Investigation, the Philadelphia Police Department, the Bristol Township Police Department, the Upper Southampton Police Department, the Chester Police Department, the Lower Merion Police Department, the Upper Chichester Township Police Department, the Folcroft Police Department, the Sharon Hill Police Department, the Central Bucks Regional Police Department, the Hatboro Police Department, the Upper Darby Police Department, the Haverford Township Police Department, the Ridley Township Police Department, the Bristol Borough Police Department, the Lower Southampton Township Police Department, the Falls Township Police Department, the Springfield Township Police Department, the Marple Township Police Department, and the Warrington Township Police Department, and is being prosecuted by Assistant United States Attorney Thomas M. Zaleski.

An indictment, information, or criminal complaint is an accusation. A defendant is presumed innocent unless and until proven guilty.

PHILADELPHIA – On October 15, 2019, United States Attorney William M. McSwain was invited to speak at the Quarterly Luncheon of the Executive Board of the Citizens’ Crime Commission of the Greater Delaware Valley. U.S. Attorney McSwain addressed the current state of criminal justice in Philadelphia, highlighting in particular the defense-oriented litigation tactics on display in several cases handled by the Philadelphia District Attorney’s Office during Larry Krasner’s tenure. Among the cases analyzed, U.S. Attorney McSwain dissected Krasner’s litigation maneuvers in the latest Mumia Abu-Jamal appeal and explained how Krasner is attempting to position the case to free the unrepentant cop killer.

* * *

Thank you, John [Appledorn], for that introduction and for your work as President of the Citizens’ Crime Commission of the Delaware Valley. And thank you for inviting me to speak to this distinguished group of law enforcement and citizens who appreciate the sacrifices that those serving in law enforcement make every day. My heart feels good to be among a group such as this. It is an honor to be here and to support this group’s mission: to improve the quality of life of citizens in the Delaware Valley with ongoing outreach, community programs, and the latest safety and security initiatives. It is a worthy mission, and one that my Office shares.

As U.S. Attorney, I have the privilege of working with thousands of dedicated police officers, detectives, case agents, and prosecutors across the nine counties of the Eastern District of Pennsylvania. Working side-by-side with those who are willing to sacrifice for the greater good is one of the best things about my job. I felt that way when I was an Assistant U.S. Attorney earlier in my career, and it holds true today.

The brave men and women in law enforcement in the Eastern District of Pennsylvania serve and protect a broad swath of communities. Our District is comprised of large metropolitan cities, rural areas, and every type of community in between, and the issues that the police encounter in the District are as diverse as the communities they serve. But law enforcement officers are cut from the same cloth – they are honorable, courageous, selfless, and resilient. These values bind them together, serve as an inspiration to me, and provide a source of strength when the going gets tough.

Unfortunately for those brave men and women, times are tough for law enforcement these days – in Philadelphia and beyond. For one thing, police work is not getting any safer. Gun violence continues to plague the City; just this past weekend, there were six different reported shooting incidents. Two men were killed, and a total of 13 people were injured in the span of only two days. Through October 12, the number of homicide victims this year has reached 266, which is an increase over the number of victims during the same time frame last year, which was already a terrible year.

Times are also tough for law enforcement because their jobs are made all the more difficult by a culture of disrespect for law enforcement championed by the words and actions of Philadelphia District Attorney Larry Krasner, or as he refers to himself, the City’s “public defender with power.” Or perhaps we should refer to him as Uncle Larry, which is the nickname that the City’s violent criminals have affectionately bestowed upon him. Uncle Larry’s antics are especially dangerous because he is a prosecutor – and as such, he’s supposed to be on the side of law enforcement and community safety. He took an oath to uphold the rule of law, to protect public safety, and to represent victims and the people of this City in our criminal justice system. Instead, through the policies he has put in place and through his various courtroom maneuvers, he has done just the opposite. This reality often makes Krasner as dangerous as the criminals that he’s looking out for.

This conclusion – that Krasner’s policies endanger the public – is buttressed by the data collected and displayed on his “Public Data Dashboard,” a website Krasner announced a few weeks ago that tallies up information on key metrics that include the number of incidents, arrests, charges, case outcomes, and “years of future incarceration imposed.” The data from the dashboard serves as a scoreboard of sorts – one that collects wins for criminals and losses for the law-abiding public.

The dashboard touts some stunning statistics. To highlight just a few that compare this year to five years ago: (1) the DA’s Office has charged 26 percent fewer cases this year than through the same date in 2014; (2) it has charged 268 people for retail theft this year, down from 1,900 five years ago; (3) the conviction rate for homicides is down as compared to 2014; and (4) in a City full of gun violence, the number of illegal gun possession cases diverted into the Accelerated Rehabilitation Disposition program (which amounts to a free first offense) has skyrocketed – there were 10 in 2014 and 78 in 2018. None of this is good news for law enforcement, for the rule of law, or for the communities we serve.

The effect of Krasner’s policies and his culture of disrespect were on full display in front of a national audience this past August when Maurice Hill, a convicted felon with a long rap sheet, opened fire on Philadelphia police officers as they attempted to execute a search warrant. This confrontation left six officers wounded and a neighborhood traumatized. It is a miracle that the officers survived the attack and that the chaos ended with Maurice Hill in custody.

The Maurice Hill incident and these stunning statistics raise some obvious questions: Are criminals emboldened by Larry Krasner? And do some segments of the community take their cues from the District Attorney’s slander against law enforcement and then pile on with even more disrespect? The answers are: yes and yes. When the City’s top local prosecutor talks about the police as if they are the enemy, criminals take heart and the community takes note. And the rule of law takes a huge hit.

Which brings me to the message I want to deliver to you today – it’s reflected in the title of my remarks and it’s the same message that I’ve delivered to Larry Krasner and others who feed the culture of disrespect: Enough of this nonsense already. Since the day I was sworn in as U.S. Attorney, it has been my mission to restore a culture of respect for law enforcement and for the rule of law, to stop violent crime and to advocate for victims and the law-abiding members of our community. And the way to do that is to challenge those, like Krasner, who have a warped value system, to call out this nonsense, and to aggressively prosecute dangerous criminals in this City and in our District. This is what prosecutors are supposed to do, and it’s what I intend to do every minute of every day that I have this job.

Larry Krasner’s approach to prosecution elevates politics over public safety and puts police in danger. We’ve seen this, not only in his policies that discourage arrests, prosecution, and meaningful prison sentences for serious offenders, but also in the effect that his various litigation maneuvers have had on the integrity of the judicial system. In short, Krasner is hard at work trying to take decisionmaking power out of the hands of judges and juries and into his own – because judges and juries, unlike Krasner, cannot always be trusted to be cheerleaders for violent defendants.

For example, take the case of Jouvan Patterson, who shot Philadelphia shop owner Li (“Mike”) Poeng, with a military-style assault rifle during an attempted robbery of Mr. Poeng’s convenience store in May 2018. Mr. Poeng, a refugee from Cambodia, fought with Patterson on the sidewalk in front of his store, with his wife and children inside the store, terrified. Poeng is now confined to a wheelchair as a result of the shooting.

The DA’s Office originally charged Patterson with multiple crimes, including attempted murder and aggravated assault, but then quietly dropped the attempted murder charges and agreed to a ridiculously lenient plea deal of 3 1/2 to 10 years imprisonment. My Office stepped in once we learned of this miscarriage of justice and charged Patterson federally with one count of attempted robbery which interferes with interstate commerce and one federal firearms charge. On the gun charge alone, he faces a statutory maximum of life imprisonment and a statutory minimum of ten years’ imprisonment, which must run consecutively to any other sentence imposed on the attempted robbery count – with no parole. Mr. Patterson’s trial is scheduled for next year. And I can promise you this – at that court proceeding, the prosecutor from my Office will be acting like a prosecutor and not a public defender. The prosecutor will represent the interests of the public and the victim. There is no “Uncle Bill” waiting for Mr. Patterson in federal court.

And then there’s the case of Michael White, the man accused of stabbing and killing Philadelphia resident Sean Schellenger last summer. Krasner’s pretrial maneuvers – dropping first degree murder charges in favor of third degree, and then more recently his motion to dismiss even the third-degree murder charge against White – framed the factual issues in the defendant’s favor by limiting the jury’s options and paving the way for the defendant to put the victim’s character on trial. The pretrial motion Krasner submitted claimed that his office would fare better with a jury arguing voluntary manslaughter rather than third degree murder. But let’s face it: the only person who fares better with that maneuver is the defendant, Michael White.

Then of course, there’s Krasner’s newly expanded Conviction Integrity Unit, which to date, is responsible for reversing murder convictions of 10 defendants (or five percent of the cases it has reviewed) since Krasner came into office. That’s more than three times the number of convictions reversed in just over a year under Krasner than had been reversed in the previous four years since the unit was formed in 2014. In these cases, a pattern has emerged: Krasner shamelessly substitutes his own judgment for the jury’s, further victimizing the families.

In the latest of these 10 cases – that of Willie Veasy, a convicted murderer – Krasner’s office joined forces with Veasy’s lawyers and filed a joint motion seeking Veasy’s release, which the trial court granted earlier in October. This was a case with both a confession and an eyewitness that the jury had chosen to believe, after weighing the evidence in a court of law, including Veasy’s claimed alibi defense. But Uncle Larry, many, many years after the murder and the trial, decided that what the jury concluded after weighing the evidence didn’t matter; all that matters is what Krasner, the public defender with power, thinks. So he used that power and decided that the police detectives on the case had coerced the confession. Mind you, no court ever ruled that Veasy’s confession was coerced or that the detectives on the case acted improperly. That’s because the DA’s Office didn’t ask any court to do so; it conveniently skipped over the part of the process where the prosecutor seeks an evidentiary hearing during which it could test the defendant’s allegations of coercion. It did so in part because Krasner has had it out for the two detectives on the case for some time, but no court ever had to consider that bias. Equally troubling is the fact that in joining forces with the defendant’s lawyers, the DA’s office also conveniently discounted the eyewitness testimony – that was never recanted – pointing to Veasy as the shooter.

The result: Veasy is freed and Uncle Larry puts up a big number – 10 convicted murderers freed – on his new dashboard. Is this an “exoneration” of a convicted murderer? Is this a finding of innocence? Hardly. It is, instead, the ugly manifestation of Krasner’s hatred for law enforcement – and his affection for convicted murderers – that causes him to usurp the roles of the judge and jury and thereby make a mockery of our criminal justice system. In the aftermath, Mr. Veasy summed up the situation nicely: “Th[ings] are going to change with who we have in office today, and if we continue to keep people in office like him, things will definitely turn around for a lot of people.” Yes, Mr. Veasy, you have that exactly right.

And if Krasner has his way, things are only going to get worse. Which brings me to the never-ending, complicated Mumia Abu-Jamal saga. The District Attorney’s Office’s handling of this case since Krasner took office in 2018 has paved the way for what I believe is Krasner’s long-term play in this case – to become this unrepentant cop killer’s savior and add another tally to his dashboard by freeing yet another convicted murderer. Krasner’s response to a series of defense moves during the most recent phase of this litigation shows an alarming pattern – one showing Krasner’s office backing away, every chance it gets, from its obligation to fight to preserve the jury’s guilty verdict. Even though Krasner technically represents the Commonwealth – that is, the people of Pennsylvania and the victim’s family – his actions confirm that he does so in name only. Instead, he is using his power to side with Abu-Jamal and his lawyers rather than fight for those whom he is supposed to represent.

In the most recent chapter of this case, Abu-Jamal is now pursuing his fifth round of post-conviction review in the Superior Court of Pennsylvania. Broadly speaking, post-conviction review is the judicial process separate from the direct appeals process that gives defendants another avenue to raise legal challenges to their convictions. Convicted criminals first file Post Conviction Relief Act (“PCRA”) petitions at the trial court level – in the Pennsylvania system, that is the Court of Common Pleas sitting as a “PCRA court” – and then those petitions make their way through the normal appellate process. But let’s be clear: a convicted defendant is not entitled to file PCRA petitions in perpetuity; at some point, both state and federal law, duly enacted by the legislature, place clear limits on convicted criminals’ PCRA rights.

Those limits should have been applied in Abu-Jamal’s case, but they clearly were not. He received this fifth proverbial “bite at the apple” because a trial-court level judge – in fact, the same judge who sided with Krasner in the Veasy case – took up Abu-Jamal’s fifth PCRA petition and found in December 2018 that his four previous proceedings were tainted by the mere appearance of bias stemming from then-Justice Castille’s involvement in the case. The court reasoned that because Castille was the Philadelphia District Attorney when Abu-Jamal was convicted, that was enough to raise concerns about the fairness of the judicial process overall.

This PCRA court finding was a big win for this cop killer, as it allowed him to immediately file an appeal to the Superior Court in which he could relitigate multiple issues he previously raised unsuccessfully many years ago. And that is exactly what Abu-Jamal did when he filed an appeal to the Pennsylvania Superior Court in January 2019.

Fortunately for Abu-Jamal, Krasner has been more than willing to lay down in the course of the current Pennsylvania Superior Court appeal rather than fight to defend the jury’s finding of guilt. There’s not one, or two, but three instances to point to, in just this phase of the litigation alone, where Krasner decided to take a dive rather than oppose Abu-Jamal’s various litigation maneuvers.

The first example is seen in how the District Attorney’s Office handled Abu-Jamal’s request in the Superior Court for immediate transfer of his appeal to the Pennsylvania Supreme Court. On March 11, 2019, when the Superior Court asked the parties to show cause why the case should not be transferred, Abu-Jamal advocated to bypass the Superior Court altogether. Rather than opposing that procedure, the District Attorney’s Office stood by and decided not to object to it. Though there are instances (death penalty cases being one of them) when a direct appeal to the Pennsylvania Supreme Court is appropriate, this is no longer a death-penalty case, and Krasner knows that. So why not fight? This is the first move where Krasner’s approach – an utter refusal to engage on the issues – is on full display.

The second instance in the Superior Court involves how the District Attorney handled his office’s appeal of the ruling on Justice Castille’s previous involvement in the Abu-Jamal case. Initially, Krasner’s office appealed the PCRA court’s adverse ruling, but then Krasner’s office withdrew its appeal altogether. That left only Abu-Jamal’s appeal – again raising claims that have been previously raised and rejected – in place. The import of Krasner’s inaction is obvious: it clears the path for a future court to rule differently on one or more of these previously rejected claims. It does not matter than multiple courts have already ruled against Abu-Jamal. It does not matter that the law prohibits endless PCRA petitions and appeals. When advocating for murderous defendants, finality is not of any concern to this public defender with power.

Finally, on the very same day that Abu-Jamal filed his appellate brief in the Superior Court, raising all of those previously rejected claims, he filed a motion for remand based on a whole new theory of relief that he had conjured up. He now claimed there was new factual evidence, disclosed for the first time in January 2019, that raised serious questions about the integrity of his conviction. He further claimed that the new evidence should be reviewed and evaluated by the very same judge that had revived his appellate rights in the first place – the Court of Common Pleas judge that had granted Abu-Jamal’s PCRA petition in December 2018.

By now, you can probably guess what happened: the District Attorney’s Office chose again to take a dive and not oppose remand. From Abu-Jamal’s point of view, this is a far better result than having the Superior Court rule on his case or obtaining an immediate transfer to the Pennsylvania Supreme Court. The reason why is obvious: it sets the stage for the case to go back to the same friendly judge to decide whether this “new evidence” warrants a new trial. Abu-Jamal only has to convince one judge to rule in his favor rather than a panel of Superior Court judges or a majority of Justices sitting on the Pennsylvania Supreme Court. By not opposing remand, Krasner just increased Abu-Jamal’s chances of winning a new trial by knocking out two levels of appellate review and cutting multiple judges out of the deliberative process. All in a day’s work.

The Superior Court has not ruled on the remand issue, but it doesn’t have to because we can already see where this case is headed. Krasner’s pattern of behavior, his decision to take not one dive, not two, but three, in the Abu-Jamal Superior Court appeal alone, has the same feel as what happened in the Veasy case. It’s classic Krasner-style prosecution, which is marked by inaction rather than action; silence rather than opposition; defense-oriented tactics rather than prosecutorial zeal. It is yet another example of how Philadelphia’s public defender with power tries to use that power to manufacture his desired results with as little judicial oversight as possible. And here, what Krasner wants is to see Abu-Jamal walk out of prison.

As horrifying as that sounds, here is how it could happen. It’s not hard to predict how this plays out on remand once you look at Krasner’s shameful pattern of conduct in this and other recent cases. The first pathway to freeing Abu-Jamal is if, on remand, Krasner signals that the trial court judge should grant a new trial based on this newly discovered evidence and the judge obliges; Krasner’s office can then simply take another dive and not appeal that ruling. That is not an unlikely possibility when you consider his past maneuvers.

An alternative path to the same result is if the trial court judge denies Abu-Jamal’s request for a new trial on this newly discovered evidence, but then Krasner waits for the inevitable appeal and takes yet another dive in the Superior Court (it would not be the first time), which will mean procedurally that the Superior Court could remand the case for a retrial without objection from the District Attorney’s Office.

Either outcome would then pave the way for Krasner to conclude that a retrial, almost 40 years after the murder, is an impossible feat for his office to pull off – a conclusion that would be utterly indefensible when you consider how the District Attorney’s Office got there in the first place. And then out walks the cop-killer Abu-Jamal, a free man. Criminal justice, Krasner-style.

* * * *

So what are the takeaways from all of this? What can we do about the sorry state of criminal justice in Philadelphia? We can all stand up for those left behind as a result of Krasner’s upside-down approach to prosecution. We can all say “thank you” to our law enforcement community and encourage a culture of respect for law enforcement and for the rule of law. And as federal prosecutors, my Office will continue to serve as the adversaries against crime that the City deserves. In short, we can fight back with all our energy and resolve to do the right thing. That’s a choice that I’ve made, and I will never, ever back down from it. And neither will you. Let’s go forward together and do justice. Thank you, and God Bless you all.

PHILADELPHIA – United States Attorney William M. McSwain announced that Stamatios “Tom” Kousisis, 62, of Downingtown, PA was sentenced to 70 months’ imprisonment, three years’ supervised release, and a $17,500 fine by United States District Judge Wendy Beetlestone for a multi-million dollar fraud he perpetrated against the Pennsylvania Department of Transportation. Kousisis was found guilty of wire fraud and related charges after a 19-day jury trial in August 2018.

The defendant operated a scheme to secure lucrative PennDOT contracts worth more than $150 million utilizing a now-defunct certified disadvantaged business enterprise (DBE). A DBE is a business or firm that is at least 51% owned by one or more individuals who are members of historically disadvantaged groups: this can include women, racial minorities and disabled persons. The rules governing PennDOT contracts required that the defendant and his employer, Alpha-Liberty Joint Venture, use a legitimate, certified DBE to provide at least 6% of the value of the work -- in this case contracts to repair and renovate the Girard Point Bridge and Amtrak’s 30th Street Train Station, both in Philadelphia.

Instead of legitimately employing a DBE to meet contract requirements, the defendant engaged in a fraud scheme in which a company owned by an African-American woman was used as a front. The company was provided invoices showing that it had performed work on these projects, when in fact it did not provide any services of economic value. Further, to inflate the value of the “work” performed by the front company, the defendant funneled payments for materials used on out-of-state projects through the front company and submitted the resulting invoices to PennDOT under the false representation that they had been purchased for and used on the two projects.

“DBE rules exist to level the playing field for legitimate disadvantaged businesses, not for defendants like Kousisis to cynically manipulate to line their own pockets,” said U.S. Attorney McSwain. “Kousisis demonstrated a blatant disrespect for the law by defrauding the government contracting process, and therefore taxpayers, for his own benefit. We will continue to work with our law enforcement partners at all levels to uphold the rule of law and ensure a fair playing field for all.”

“In defrauding the government, Kousisis lined his pockets while stealing from a project designed to help provide a fair opportunity to compete for federally funded projects,” said Michael T. Harpster, Special Agent-in-Charge of the Philadelphia Division. “Today’s sentence sends the message that the FBI will work tirelessly to protect government programs from fraud, waste and abuse and to level the playing field for the disadvantaged.”

“The sentencing handed down in this case should serve as notice that unscrupulous, fraudulent activity within U.S. Department of Transportation (DOT) DBE programs will be met with the full force of the criminal justice system,” said Douglas Shoemaker, Regional Special Agent-in-Charge of the DOT, Office of Inspector General. “Working with our law enforcement and prosecutorial partners, we will continue to root out and hold individuals and businesses accountable when they misuse Federal funding program opportunities for personal gain.”

“We hope the results of this case send a clear message about the consequences of fraud, especially when the fraud occurs under the guise of helping disadvantaged businesses,” said Kevin Winters, Amtrak’s Inspector General. “Our office will vigorously investigate and help bring to justice those who engage in such fraudulent activity as we work to protect Amtrak funds and American taxpayers.”

The case was investigated by the U.S. Department of Transportation – Office of Inspector General, the U.S. Department of Labor – Office of Inspector General, the Federal Bureau of Investigation, and the Amtrak – Office of Inspector General, and is being prosecuted by Assistant United States Attorneys Paul G. Shapiro and David E. Troyer.

Philadelphians are shocked and outraged by two recent shootings of the most innocent among us:  11 month-old Yazeem Jenkins, who was shot four times on October 19 in Hunting Park while in a car with his father and stepmother, and two year-old Nikolette Rivera, who was shot in the head the next day while in her mother’s arms in her living room in Kensington.  Nikolette has been buried and Yazeem is fighting for his life at Children’s Hospital.

The community is united in its condemnation of these heinous acts – but we must be honest about what enabled them to happen.  It is the misguided policies of Philadelphia District Attorney Larry Krasner that led to these avoidable and heartbreaking tragedies.  No amount of excuses or deflection can change this fact.

Francisco Ortiz has been charged with the attempted murder of Yazeem, and he is also alleged to have supplied one of the weapons that was used in the attack on Nikolette’s family.  Ortiz never should have been on the street to begin with.  He has a long rap sheet, which includes serving ten years in prison on gun charges.  He finished serving that sentence in April and was released.  Within three months of his release, he was arrested again in July on gun charges and his bail was originally set at $100,000.  He was held for trial after a preliminary hearing, at which point his attorney asked for reduced bail.

That was the point at which a responsible prosecutor would have stepped in and fought tooth and nail against any reduction in bail.  In fact, a responsible prosecutor would have asked for an increase in bail after the preliminary hearing, which had established probable cause for the crimes. 

Krasner, however, is anything but a responsible prosecutor.  Instead, he is a defense-oriented ideologue who is more interested in looking out for the likes of Francisco Ortiz than he is in protecting public safety.  So his office consented to the court slashing Ortiz’s bail in half.  At which point Ortiz made bail, was released, and returned to his life of crime.  Soon, Nikolette would be dead and Yazeem would be clinging to life.  For good measure, Ortiz is also a prime suspect in a September homicide in the City’s Lawncrest section. 

It is not the job of the District Attorney to give Francisco Ortiz a helping hand.  It is the job of the District Attorney to pursue justice and prosecute dangerous, violent felons like Ortiz to the fullest extent of the law.

There are real-world consequences to having a District Attorney who cares more about defendants than he does about victims and public safety.  When it comes to dealing with violent criminals, the public doesn’t need a prosecutor whose overarching principle is decarceration.  It needs robust enforcement of our criminal laws.  That is what will make a difference in our community – and that is what Nikolette and Yazeem and their families deserve. 

PHILADELPHIA – First Assistant United States Attorney Jennifer Arbittier Williams announced that James Traband, 53, of Upland, Delaware County, PA was sentenced to 30 years in federal prison followed by lifetime supervised release by United States District Judge Harvey A. Bartle for possession and distribution of child pornography.

In 2018, the Criminal Investigation Division of the Delaware County District Attorney’s Office investigated Traband for trafficking in child pornography using his Facebook account. The investigation revealed that the defendant had created a fake profile for himself, posing as a 13-year old boy, to find and entice other minor boys into sexual activity online. He used real photos he had taken of a young boy who lived with him to lure other young boys into believing they were communicating with a boy of their same age. In reality, they were talking with Traband, a middle-aged convicted sex offender, who convinced them to engage in sexual chats and exchange sexually explicit images.

At the time he committed these offenses, Traband was a registered sex offender, having previously been convicted in Delaware County of child pornography offenses. He was also under court supervision.

The case was referred to the Federal Bureau of Investigation, and Traband was ultimately indicted and convicted of distributing and attempting to distribute child pornography and possession of child pornography.

“Traband’s days of exploiting and victimizing children online are over,” said First Assistant U.S. Attorney Williams. “Child sexual exploitation is appallingly pervasive, and exacerbated by the easy availability of digital media and communications. This case serves as a message to all adults who care for children: please monitor what they do online. And as always, we stand ready with our federal partners to identify and prosecute these criminals.”

“Child exploitation is among the most heinous crimes we investigate. As a result of our partnership with the Criminal Investigation Division of the Delaware County District Attorney’s Office, this unrepentant predator will no longer be able to harm children,” said Michael T. Harpster, special agent in charge of the Philadelphia Division. “The FBI and its law enforcement partners will never stop working to hunt down child predators and deliver justice on behalf of their victims.”

This case is part of Project Safe Childhood (PSC), a program bringing together all levels of law enforcement and the communities they serve to reduce the sexual exploitation and abuse of children. The case was investigated by the Federal Bureau of Investigation, the Delaware County District Attorney’s Office, and is being prosecuted by Assistant United States Attorney Michelle Rotella.

PHILADELPHIA – U.S. Attorney William M. McSwain announced that Montgomery County physician Spiro Y. Kassis, M.D., of Plymouth Township, PA, has agreed to pay $1.4 million, has committed to never obtaining a controlled substance registration, and has consented to a 15-year exclusion from Medicare and Medicaid in order to resolve allegations that he improperly prescribed Schedule II controlled substances to patients between July 1, 2014 and February 14, 2017. This civil settlement is announced after Kassis already pled guilty to criminal charges for illegal distribution of controlled substances and awaits sentencing.

The settlement resolves allegations that Kassis wrote improper Schedule II prescriptions, including opioids, for his patients when those prescriptions had no legitimate medical purpose and were not issued in the usual course of professional practice. In addition, it resolves allegations that Kassis deposited and commingled the proceeds from the sale of improper Schedule II prescriptions into various bank accounts.

Kassis has already pled guilty to 14 counts of illegal distribution of controlled substances in a related criminal case, for which he is scheduled to be sentenced in January 2020. Kassis claimed to be a specialist in psychiatry and addiction medicine, and operated medical offices in East Norriton Township, PA and Scranton, PA. He used his offices to operate a prescription “pill mill,” whereby he sold medically unnecessary prescriptions for opioids such as oxycodone. Kassis sold prescriptions to so-called patients for approximately $200 cash each. At the East Norriton office, he saw approximately 45 “patients” per day. As each person came in, he collected $200 cash from the patient, counted the money, and then issued the requested prescriptions electronically to the patient’s pharmacy. Often, Kassis issued dangerous combinations of prescriptions including oxycodone, methadone, and buprenorphine, all to the same patient.

“This settlement illustrates my Office’s dedication to ensuring that physicians who engage in illegal distribution of opioids and other controlled substances are held accountable using all of our enforcement tools, including powerful civil ones,” said U.S. Attorney McSwain. “This case is an excellent example of how collaboration between our civil and criminal divisions, as well as our federal and local law enforcement partners, can lead to just results. We will continue our aggressive pursuit of doctors who violate their duties and break the law by engaging in illegal opioid prescribing.”

“Dr. Kassis pleaded guilty to numerous federal drug distribution charges for his illegal distribution of oxycodone over a several-year period. In addition to his pending sentencing on these charges, Dr. Kassis has agreed to pay a significant settlement that represents the money he made from his illegal activities,” said Jonathan A. Wilson, Special Agent in Charge of the Drug Enforcement Administration’s (DEA) Philadelphia Field Division. “Doctors that seek to betray their professional oath and engage in this type of illegal activity will be subject to both criminal charges and significant civil penalties.”

“Settlements like these are critical to ensure that doctors writing improper opioid prescriptions reimbursed by Medicare and Medicaid are held responsible for their misconduct and barred from participating in these programs for a substantial number of years,” said Maureen R. Dixon, Special Agent in Charge for the U.S. Department of Health and Human Services, Office of the Inspector General. “HHS-OIG will continue to work with the U.S. Attorney’s Office’s Civil Division and our other law enforcement partners to ensure the integrity of the Medicare and Medicaid programs.”

“This case began as part of a larger effort to investigate a number of pill-pushing doctors in Montgomery County. This doctor, Kassis, who had taken an oath to do no harm, was in fact keeping those suffering from substance abuse addicted and in danger of overdosing through his actions, all for monetary gain,” said Montgomery County District Attorney Kevin R. Steele.

The case was investigated by the Drug Enforcement Administration; Federal Bureau of Investigation; U.S. Department of Health and Human Services – Office of Inspector General; and Montgomery County Detective Bureau’s Narcotics Enforcement Team. The civil investigation and settlement were handled by Assistant United States Attorneys Anthony D. Scicchitano and Sarah Grieb. The related criminal charges are being prosecuted by Assistant United States Attorney M. Beth Leahy and Special Assistant United States Attorney James Price, who was cross-designated by the Montgomery County District Attorney for the prosecution.

The claims resolved by the civil settlement are allegations only; there has been no determination of liability.

PHILADELPHIA – First Assistant United States Attorney Jennifer Arbittier Williams announced that John Krasley, 51, of Kutztown, PA, was convicted at trial of distributing, transporting, receiving and accessing child pornography after a week-long trial in Easton, PA.

Between March of 2013 and June of 2018, the defendant used various websites to access and share password-protected child pornography files on an almost daily basis. On six separate occasions, Krasley granted access to folders containing child pornography to undercover law enforcement officers. In addition, using electronic surveillance, agents identified further instances of child pornography access and distribution. All of these incidents occurred using the password-protected internet connection at Krasley’s residence in Kutztown.

“Krasley’s years-long history of exploiting the victimization of children online are over,” said First Assistant U.S. Attorney Williams. “Child sexual exploitation is appallingly pervasive, and exacerbated by the easy availability of digital media and communications. Further, the ability to hide this type of activity online can make these cases even more difficult to investigate and prosecute. As always, we stand ready with our federal partners to identify and prosecute these criminals.”

“Child exploitation investigations continue to be one of HSI’s highest investigative priorities,” said Marlon Miller, special agent in charge of HSI Philadelphia. “Crimes against children impact all of us and have far reaching consequences. HSI will continue working with our federal, state and local partners to identify arrest and prosecute anyone who trades in this vile material.”

This case is part of Project Safe Childhood (PSC), a program bringing together all levels of law enforcement and the communities they serve to reduce the sexual exploitation and abuse of children. The case was investigated by Homeland Security Investigations, and is being prosecuted by Assistant United States Attorney Albert S. Glenn.

PHILADELPHIA – First Assistant U.S. Attorney Jennifer Arbittier Williams announced that Anthony Hall, 45, of Philadelphia, PA was convicted of conspiracy to distribute PCP and other substantive drug charges following a trial which lasted a week and a half.

The defendant was a member of a large drug trafficking organization (DTO) which sold the drug PCP in bulk on the streets of Philadelphia for at least six months in 2015. After a lengthy investigation, evidence presented at trial showed that the DTO utilized a property on North Broad Street, just blocks from Temple University, from which it ran a 24/7 operation using numerous distributors in the immediate vicinity.

The investigation and prosecution of this DTO dates back years. Members of the DTO were originally indicted in 2015 under the caption United States v. Nayeem Gordon, et al. Thereafter, the grand jury returned a Superseding Indictment with additional drug trafficking charges against a total of fourteen defendants in 2019. After most of those defendants pled guilty, defendant Hall was the lone member of the group to go to trial.

“Hall and other members of this drug organization pumped huge quantities of a highly toxic, hallucinogenic, and often deadly drug into our community,” said First Assistant U.S. Attorney Williams. “Drug trafficking delivers destruction to our communities. As is evident by the many years spent prosecuting this case, our Office is determined to investigate and convict these criminals, and put them behind bars.”

Hall faces a significant sentence in excess of the mandatory minimum under federal sentencing guidelines.

The case was investigated by the Drug Enforcement Administration with assistance from the Pennsylvania Attorney General’s Gun Violence Task Force and is being prosecuted by Assistant United States Attorneys MaryTeresa Soltis and Anthony Wzorek.

PHILADELPHIA – First Assistant United States Attorney Jennifer Arbittier Williams announced that Linda Paolini, 44, of Philadelphia, PA, pleaded guilty today before United States District Judge Nitza I. Quiñones Alejandro to two counts of manufacturing and attempted manufacturing of child pornography, and one count of online enticement of a minor.

The charges arise out of a telephone tip received by the FBI about Paolini, who was pretending to be an underage girl for the purpose of luring underage boys online. The defendant communicated through Instagram with one particular boy, soliciting him for videos of himself masturbating. She and her victim exchanged over 50,000 Instagram messages over the course of a few months, including explicit and sexually charged chats.

“Paolini’s conduct is reprehensible, and her days of exploiting and victimizing children online are over,” said First Assistant U.S. Attorney Williams. “Child sexual exploitation is appallingly pervasive, and exacerbated by the easy availability of digital media and communications. This case serves as a message to all adults who care for children: please monitor what they do online. And as always, we stand ready with our federal partners to identify and prosecute these criminals.”

Paolini faces life imprisonment, with a mandatory minimum of at least 15 years, a mandatory term of at least 5 years but up to a lifetime of supervised release, a $750,000 fine, and $15,300 in special assessments.

The case was investigated by the FBI and is being prosecuted by Assistant United States Attorney Michael J. Rinaldi.

CHESTER, PA – William M. McSwain, United States Attorney for the Eastern District of Pennsylvania; Michael Harpster, Special Agent in Charge of the Federal Bureau of Investigation-Philadelphia Office; Jonathan Wilson, Special Agent in Charge of the Drug Enforcement Administration-Philadelphia Field Division; and Katayoun Copeland, District Attorney of Delaware County, jointly announced today the unsealing of two parallel Indictments charging 22 individuals with drug trafficking and firearms offenses.  The defendants are alleged to be members of rival drug trafficking groups (DTGs) operating next to each other in territories occupying the west side of Chester.  The two rival groups are the “3rd Bone” (or “3BM”) DTG and the “William Penn” (“the Pen” or “Ject Boyz”) DTG.

The Indictments announced today arose out of a multi-year joint investigation involving the United States Attorney’s Office, FBI, DEA, Chester City Police, and the Delaware County District Attorney’s Office.  In describing the facts in the Indictments during a press conference at the Chester Police Department, U.S. Attorney McSwain noted the havoc and terror allegedly caused by these groups on the streets of Chester.

The details of each Indictment, both unsealed this morning, are provided below.

United States v. Deshaun Davis et al., Criminal No. 19-636, is a 70-count Indictment involving the 3rd Bone DTG.  The Indictment charges conspiracy to distribute crack, cocaine, fentanyl, and heroin (one count); distribution and possession with intent to distribute controlled substances (57 counts); unlawful use of a communications facility in furtherance of a drug felony (five counts); possession of a firearm in furtherance of a drug trafficking crime (three counts); felon in possession of a firearm (two counts); and aiding and abetting.  The following 13 individuals, all allegedly part of the 3rd Bone DTG, are named in the Indictment:

• Deshaun Davis, 34, of Chester;
• Dwayne Butler, 25, of Chester;
• Tyleel Scott-Harper, 23, of Chester;
• Brandon Scott-Harper, 20, of Chester;
• Michael Wright, 20, of Chester;
• Isiah Jenifer, 22, of Chester;
• Frederick Rochester, 27, of Chester;
• Jamel Covington, 29, of Chester;
• Johvon Covington, 30, of Chester;
• Derrick Cooper, 25, of Upland;
• Frederick Donaldson, 25, of Chester;
• Perley Mack, Jr., 24, of Marcus Hook; and
• Shahaad Sterling, 21, of Chester. 

United States v. Issac Barrett et al., Criminal No. 19-567, is a 19-count Superseding Indictment involving the William Penn DTG.  The Superseding Indictment charges conspiracy to distribute crack, cocaine, and heroin (one count); distribution and possession with intent to distribute crack and cocaine (12 counts); possession with intent to distribute crack (two counts); possession of a firearm in furtherance of a drug trafficking crime (two counts); and felon in possession of a firearm (two counts).  The following nine individuals, all allegedly part of the William Penn drug trafficking group, are named in the Superseding Indictment:

• Issac Barrett, 33, of Essington;
• Kaleaf Gilbert, 27, of Chester;
• Darnell Bell, 29, of Chester;
• Terrence Womack, 32, of Chester;
• Brennen Lane, 31, of Chester;
• Dion Kattes, 21, of Chester;
• Saequan Womack, 26, of Chester;
• Jamar Bright, 31, of Chester; and
• Kevin Nichols, 57, of Chester.

The dual Indictments allege that the 3rd Bone and William Penn DTGs controlled adjacent drug territories in the western part of Chester.  The 3rd Bone DTG’s drug operations were centered in the area of 3rd and Lamokin Streets, while the William Penn DTG controlled the drug territory surrounding the Chester Housing Authority’s William Penn Homes. 

As alleged in the Indictments, both groups distributed drugs—mainly crack cocaine—to customers in their respective territories, and both groups defended their respective drug territories with armed violence.  This brought them into regular conflict with each other.  The Indictments describe several shootings and other acts of violence carried out between members of the two groups.  For example, the Barrett Superseding Indictment alleges that 3rd Bone and William Penn DTG members were involved in an exchange of gunfire on February 21, 2019, in the 700 block of 2nd Street in Chester.  After the shooting, the Indictment alleges William Penn DTG members Issac Barrett and Kaleaf Gilbert discussed the incident on the telephone and the two men agreed that one of the victims injured in the shooting “deserve[d] it” for “tr[ying] to hit” Gilbert.  Barrett also is accused of putting a $15,000 bounty on the head of one of the rival DTG members that he believed was involved in the shooting.

“As alleged in the Indictments, these two groups have terrorized the Chester community for years with their drug dealing and associated violence.  Today, their reign of terror ends,” said U.S. Attorney McSwain.  “Both of these Indictments represent the culmination of years of dedicated investigative work and collaboration among federal and local law enforcement agencies.  We are strongest by working together and we are committed to improving and protecting the quality of life of the law-abiding residents of Chester, who deserve to live and work in peace.” 

“Predatory violent drug gangs like 3rd Bone and the Ject Boyz prey on members of their own communities,” said FBI Special Agent in Charge Harpster.  “Today’s Indictments resulted from a long term, multi-agency investigation, and the charges send a message to gang members that the FBI and its law enforcement partners will never stop working to make our communities safer and free from violent crime.”

“The individuals that were indicted and arrested today terrorized the residents of Chester through their alleged drug-trafficking activities and acts of violence, to include shootings, to further and expand their criminal activities,” said DEA Special Agent in Charge Wilson. “These are dangerous people that were arrested today.  The DEA, working with partner federal, state, and local law enforcement agencies, will continue to work together to identify the drug-trafficking organizations that pose the greatest threat to our communities.”

“My Office is committed to making the streets of Chester safe from drug trafficking and related violence,” said District Attorney Copeland.  “Every resident deserves the right to walk their children to school or commute to work without fear.  I am grateful to continue my Office’s good work and collaboration with U.S. Attorney McSwain, the FBI, the DEA, and all of our federal, state, and local partners to assure the safety of everyone in our community.”

If convicted, each of the defendants faces at least 20 years of potential imprisonment. Several of the senior members of the two groups, including Davis, Butler, Barrett, and Gilbert, face potential life sentences.

The case was investigated by the Federal Bureau of Investigation, the Drug Enforcement Administration, and the Chester Police Department Narcotics Unit, with assistance from the Delaware County District Attorney’s Office, the Delaware County Drug Task Force, the U.S. Marshals Task Force, the Pennsylvania State Police, the Delaware County Sheriff’s Office, the Chester Township Police Department, the Ridley Township Police Department, and the Sharon Hill Police Department.  It is being prosecuted by Assistant United States Attorney Sean McDonnell.

An indictment, information, or criminal complaint is an accusation. A defendant is presumed innocent unless and until proven guilty.

PHILADELPHIA – United States Attorney William M. McSwain announced that Rohan Maxwell, 45, of Allentown, Pennsylvania today entered a plea of guilty to one count of illegally re-entering the United States after deportation and one count of passport fraud before United States District Judge J. Curtis Joyner.

Maxwell was charged in August 2019 by Superseding Indictment with illegal re-entry after deportation and passport fraud, whereby having been deported to his native Jamaica on three separate occasions in 1997, 1999, and 2004, he submitted an application for a United States passport in 2011 using the identity of another person. The defendant was found in the United States in Lehigh County in July 2019.

“To state the obvious, those who enter our country illegally are not above the law – nobody is,” said U.S. Attorney McSwain. “By his actions, Maxwell has demonstrated a blatant disrespect for our nation’s laws. Not only did he flout our immigration laws, but also he committed an additional fraud to obtain a U.S. passport. We will continue to work with our law enforcement partners to uphold the rule of law and ensure our nation’s immigration laws are enforced.”

The case was investigated by the Diplomatic Security Service and Homeland Security Investigations, and is being prosecuted by Assistant United States Attorney Josh A. Davison.

PHILADELPHIA – United States Attorney William M. McSwain announced that Evan Burgess, 28, of Blue Bell, Pennsylvania was sentenced to 78 months’ imprisonment followed by fifteen years of supervised release by the United States District Judge Timothy J. Savage.  The defendant will be required to register as a sex offender as a result of this conviction.

The defendant, a former karate instructor at Destolfo’s Premier Martial Arts in Conshohocken, previously pleaded guilty in June 2019 to two counts of traveling in interstate commerce to engage in illicit sexual conduct with two minors, who were his teenage karate students at the time of the incidents.  These incidents occurred while the defendant and his victims were attending karate tournaments in August 2016 in National Harbor, Maryland and in September 2014 in East Elmhurst, New York.

“Burgess took advantage of his position of trust as an instructor of young men to abuse them – sometimes brazenly while other adults were in the room or nearby,” said U.S. Attorney McSwain.  “Child abuse and exploitation are heinous crimes which my Office takes very seriously.  Burgess will now pay for his crimes behind bars where he belongs.”

The case was investigated by the FBI and Whitpain Township Police, and is being prosecuted by Assistant United States Attorney Kelly Harrell.

READING, PA – United States Attorney William M. McSwain and Berks County District Attorney John T. Adams announced that ten individuals from Reading were charged by a Second Superseding Indictment with murder, kidnapping, drug distribution, and firearms offenses. At a press conference at the District Attorney’s Office, U.S. Attorney McSwain noted that these charges come about seven months after six of the same individuals were initially indicted on drug distribution and firearms offenses as part of a drug trafficking organization known as “Trinidad” operating in and around Reading. The additional offenses announced today relate to multiple homicides and kidnappings that occurred in 2017 and 2018, including a quadruple homicide that occurred on January 28, 2018.

The ten charged individuals are:

• Jesus Feliciano-Trinidad, a/k/a “Chewy,” a/k/a “Che,” 29;
• Yomar Velazquez-Figueroa, a/k/a “Negrito,” 21;
• Fitzgerald Daliot-Rios, a/k/a “Barber,” 29;
• Mariela Alvarado, a/k/a “Onyx,” 38;
• Dewayne Quinones, a/k/a “Hombre,” 25;
• Owen Malave-Medina, 22;
• Pedro Sanchez-Laporte, a/k/a “Javi,” 28;
• Lillian Garcia-Ortiz, a/k/a “Lilly,” 20;
• Angel Rivera-Silva, a/k/a “Estrellita,” 41; and
• Mayco Alvarez-Jackson, a/k/a “Pipon,” 22.
   

The charges stem from a years’ long investigation into the receipt, processing, and distribution of methamphetamine, heroin, fentanyl, cocaine, and crack cocaine by the defendants from June 2017 until March 21, 2018.  The defendants are accused of using a number of buildings, residences, firearms and acts of violence to further their drug dealing efforts in and around the Reading area. 

Included within the allegations of the Second Superseding Indictment are events in which various defendants conspired to shoot and kill Miguel Reyes on December 13, 2017; kidnap, shoot, and kill Hector Gonzalez-Rivera on January 24, 2018; and shoot and kill Jarlyn Lantigua-Tejada, Juan Rodriguez, Nelson Onofre, and Joshua Santos on January 28, 2018. The Second Superseding Indictment also alleges various defendants in this drug trafficking group conspired to shoot individuals on February 25, 2018 and February 26, 2018, and then conspired to commit another kidnapping on February 27, 2018. 

“This has been a complex, ongoing investigation since I was here in Reading in March 2019 to announce the original charges against some of these same defendants,” said U.S. Attorney McSwain. “The current defendants now face some of the most serious, violent charges that exist under federal law. I want to commend District Attorney Adams for the strong partnership that exists between our Offices that made these charges possible. My Office is committed to working with the Berks County District Attorney’s Office and all of our federal, state, and local law enforcement partners to destroy violent drug gangs and keep the Reading community safe.”

“As charged, this organization created mayhem in the City of Reading,” said District Attorney Adams. “Through the cooperative efforts of my Office, the Reading Police and many of our Municipal, State and Federal partners, we have now dismantled a violent drug trafficking organization.”

“Violent drug gangs destroy communities,” said Michael T. Harpster, Special Agent in Charge of the FBI’s Philadelphia Division. “This superseding indictment sends the message that the FBI and our local law enforcement partners will never stop working to make our communities safer and free from violent crime.”

If convicted, defendants Feliciano-Trinidad, Velazquez-Figueroa, Daliot-Rios, Quinones, Sanchez-Laporte, Rivera-Silva, and Alvarez-Jackson face death eligible offenses.

If convicted, defendants Alvarado and Malave-Medina face up to life imprisonment. 

If convicted, defendant Garcia-Ortiz faces up to 40 years imprisonment.

The case was investigated by the Federal Bureau of Investigation, the Berks County District Attorney’s Office, the Berks County Detectives, and the Reading Police Department, with assistance from the Pennsylvania State Police and the Montgomery County Detectives, and is being prosecuted by Assistant United States Attorney Kelly A. Lewis Fallenstein and Special Assistant United States Attorney Rosalynda M. Michetti.

An indictment, information, or criminal complaint is an accusation. A defendant is presumed innocent unless and until proven guilty.

PHILADELPHIA – United States Attorney William M. McSwain announced that Fred Arena, 41, of Salem, New Jersey was arrested this morning and charged by Indictment with making false statements to government agents. The Indictment alleges that the defendant, who is an employee at the Philadelphia Navy Yard and as such is required to obtain a security clearance, lied to obtain the clearance. He also subsequently lied to federal investigators who asked him about his answers to questions on the security clearance paperwork.

According to the Indictment, on January 10, 2019, Arena completed the standard Form SF-86 to obtain a security clearance for his employment. On that form, he was required to disclose whether he had ever been a member of an organization that used, or advocated the use of, force or violence to prevent others from exercising their constitutional rights. He falsely answered that he had not. In fact, Arena was an avowed member of Vanguard America, a white supremacist group that fits that description. On the same application, Arena was asked whether he had property repossessed within the past seven years. He falsely answered that he had not. In fact, Arena had previously defaulted on a car loan, and his car was repossessed within the seven year window.

“Lying on federal security clearance forms and to government agents will land you in big trouble,” said U.S. Attorney McSwain. “Further, the nature of the defendant’s alleged lies – attempting to conceal his affiliation with a white supremacist group in order to obtain federal employment – is extremely disturbing. I want to thank all of our law enforcement partners in New Jersey and Pennsylvania for their excellent work on this investigation.”

“Members of groups that sponsor hate and bias-motivated violence have no place in government employment,” said U.S. Attorney for the District of New Jersey Craig Carpenito. “Knowing this, the defendant in this case, a New Jersey resident, lied to conceal his membership in a white supremacist organization. We are proud to join our colleagues from the Eastern District of Pennsylvania in prosecuting him for those lies.”

“Membership in a group espousing extremist ideology is not itself illegal — but lying to the FBI is,” said Michael T. Harpster, Special Agent in Charge of the FBI's Philadelphia Division. “If the people we interview feel they can deceive us with impunity, critical investigations will be compromised, threatening the very integrity of the justice system. Arena lied about his history in order to obtain a security clearance he should not have had, and he lied to federal agents questioning him. These charges are the consequences of his actions.”

If convicted, the defendant faces a maximum possible sentence of 25 years’ imprisonment, three years’ supervised release, and a $1,250,000 fine.

The case was investigated by the Federal Bureau of Investigation – Joint Terrorism Task Force, the Gloucester County Prosecutor’s Office, the Salem County Prosecutor’s Office, the New Jersey State Police and the Naval Criminal Investigative Service (NCIS), with assistance from the Philadelphia Police Department, and is being prosecuted by Assistant United States Attorney for the Eastern District of Pennsylvania Joseph LaBar and Assistant United States Attorney for the District of New Jersey Martha Nye.

An indictment, information, or criminal complaint is an accusation. A defendant is presumed innocent unless and until proven guilty.

PHILADELPHIA – U.S. Attorney William M. McSwain announced that Gary Frank, 48, of Philadelphia and Bala Cynwyd, PA, was sentenced to 210 months’ imprisonment, five years supervised release and ordered to pay $33,702,900 in restitution by United States District Judge Gerald Pappert for executing a massive fraudulent loan scheme, for which he was indicted in March 2018 on charges of wire fraud, bankruptcy fraud, and money laundering, and to which he subsequently pleaded guilty in April 2019. Immediately following the sentencing hearing, the defendant was taken into custody to begin serving his jail sentence.

For over a decade, the defendant executed a complex and sophisticated scheme to defraud numerous victims. Frank owned and operated a Bala Cynwyd business named the Legal Coverage Group, Ltd., which contracted with employers desiring to offer a legal plan to their employees as part of their benefits plans. Frank tricked his victims into believing that the Legal Coverage Group was a rapidly growing leader in the legal services industry, generating hundreds of millions of dollars of annual revenue and employing hundreds of individuals. In reality, Frank’s business experienced virtually no growth from approximately 2006 through 2017, and generated only several thousand dollars of annual revenue.

Through this fraud, the defendant obtained over $30 million in loans, which he used to live an extravagant lifestyle, including finagling his way into the cultural scene in Philadelphia with positions on the boards of the Philadelphia Orchestra and the Philly Pops. The defendant’s largest victims were banks and financial institutions, which loaned the Legal Coverage Group millions of dollars based upon the defendant’s lies. The defendant also allegedly deceived many individuals and other entities, including several of his close friends, his company’s staff members, its advisors, customers, vendors, and local charities.

“Gary Frank is nothing but a con man and now he’s where he belongs – in a prison cell. And he will be there for a very long time,” said U.S. Attorney McSwain. “His greed and his lies were bound to catch up with him, and they did. My Office will continue to work aggressively with our law enforcement partners to protect innocent individuals and businesses from being victimized by financial fraud.”

The case was investigated by the Federal Bureau of Investigation and is being prosecuted by Assistant United States Attorney Patrick J. Murray.

PHILADELPHIA – United States Attorney William M. McSwain announced that Suudimon Washington, 33, of Harrisburg, PA, was sentenced to 100 months’ incarceration, three years’ supervised release, and ordered to pay a $2,000 fine and $200 restitution by United States District Judge Edward G. Smith for a violent carjacking in Lancaster on October 12, 2018.

The defendant approached an 85-year-old man in Lancaster City, brandished a knife and demanded the victim’s keys. Washington then ordered the victim to open the door to the car and climb into the passenger seat. After he drove the victim for several miles through the Lancaster area, he dropped the victim off at a campground in Lancaster County. Later that evening, the defendant was observed driving the victim’s vehicle in West Philadelphia. Philadelphia Police Department officers conducted a traffic stop and arrested the defendant. In May 2019, Washington pled guilty to one count of carjacking.

“When a defendant in a high-profile violent crime case such as this is brought to justice and put behind bars, it brings a sense of relief to the community,” said U.S. Attorney McSwain. “And when a particularly vulnerable person is targeted – like children, the disabled or the elderly – it puts us all on edge. Thanks to the work of our investigative partners, Mr. Washington is in prison where he belongs.”

This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.

The case was investigated by the Federal Bureau of Investigation, the Lancaster City Bureau of Police, and the Philadelphia Police Department, and is being prosecuted by Assistant United States Attorney Robert E. Eckert.

PHILADELPHIA – United States Attorney William M. McSwain announced that Daquan Jones, 28, of Wilkes-Barre, Pennsylvania, charged in by Indictment which was unsealed today with conspiracy to pass more than $75,000 in counterfeit $100 bills to numerous retail stores across Pennsylvania and elsewhere.

The Indictment alleges that Jones manufactured the counterfeit $100 bills at his home in Wilkes-Barre, and then employed numerous co-conspirators to pass the counterfeit notes to retail stores across the Commonwealth, including in Berks County, Delaware County, Centre County and Blair County. These co-conspirators, charged elsewhere, are alleged to have used the counterfeit $100 bills to purchase retail items in order to receive legitimate U.S. currency as change, which the co-conspirators would return to Jones along with the purchased items. The indictment alleges the conspiracy spanned from June of 2018 until June of 2019.

“Criminal counterfeiting of U.S. currency is a serious crime,” said U.S. Attorney McSwain.  “Indeed, it is a slap in the face to everyone who puts in an honest day’s work to earn their money.  This indictment sends a clear message that we take this type of fraud very seriously and we will pursue it to the fullest extent of the law.”

“The U.S. Secret Service was originally founded to combat counterfeit currency and remains one of our core missions today.  The results of this investigation should serve as a reminder that the Secret Service will aggressively investigate and seek prosecution of those considering manufacturing counterfeit U.S. currency to defraud the citizens and businesses of Pennsylvania.”

If convicted, the defendant faces a maximum possible sentence of twenty years’ imprisonment.

The case was investigated by the United States Secret Service, and is being prosecuted by Assistant United States Attorney Matthew T. Newcomer.

An indictment, information, or criminal complaint is an accusation. A defendant is presumed innocent unless and until proven guilty.

 

PHILADELPHIA – United States Attorney William M. McSwain announced that Imad Dawara, 39, of Swathmore, PA and Bahaa Dawara, 31, of Woodlyn, PA, who are brothers originally from Syria but now American citizens, were arrested and charged by Indictment on October 16, 2019. During a news conference held today, U.S. Attorney McSwain announced that his Office had unsealed the 10-count Indictment charging the defendants with planning and causing the arson of their business, RCL Management LLC, at 239-241 Chestnut Street in Philadelphia on February 18, 2018 in order to receive insurance proceeds from the destruction.

Specifically, the defendants have been charged with one count of conspiracy to commit arson, one count of conspiracy to use fire to commit a federal felony, one count of malicious damage by means of fire of a building used in interstate commerce, one count of using fire to commit a federal felony, four counts of wire fraud, and two counts of mail fraud. The defendants were arrested yesterday evening at Philadelphia International Airport and are scheduled to appear in U.S. Magistrate Court before Chief Magistrate Judge Linda K. Caracappa at 1:30pm today.

The Indictment alleges that from around December 2012 until February 18, 2018, the defendants owned and operated various restaurants and entertainment establishments in Philadelphia, including a restaurant and hookah lounge at 239-241 Chestnut Street. As the charges lay out, the Dawara brothers were struggling in their Chestnut Street business and had a history of fighting with their landlord. By October 2015, the landlord sent the Dawara brothers a Notice of Default and Breach of Lease, citing numerous violations which included 26 citations from the Pennsylvania State Police Bureau of Liquor Control Enforcement. In response, the charges note that Imad Dawara threatened the landlord that he would destroy the place if the landlord attempted to evict the brothers from the premises.

In November 2015, the Court of Common Pleas of Philadelphia County prohibited the defendants from engaging the services of a disc jockey, providing live entertainment, and allowing the use of tobacco products (including hookah) on the premises unless they had the proper permits. Also in November 2015, their landlord sent the defendants a Notice of Intent to terminate their lease. By October 2017, the Dawara brothers had ceased all business operations for RCL Management at 239-241 Chestnut Street. The brothers attempted to sell their business, but as they had failed to renew their lease or pay rent, no one would buy it. On January 31, 2018, their landlord directed the defendants to vacate the premises by February 2, 2018 and advised the defendants that they owed over $64,000 in overdue payments.

On the same day that the defendants were ordered to vacate the premises, the Indictment alleges that despite no longer doing any business at that location, Imad Dawara contacted an insurance broker to inquire about purchasing insurance for 239-241 Chestnut Street. The Dawara brothers had not held an insurance policy on their business at the Chestnut Street location for over a year, but 16 days before the fire, Imad Dawara purchased insurance. In obtaining this new insurance policy, the charges allege that Imad Dawara asked the insurance broker repeatedly how he would be paid “if there was a fire.” The insurance policy purchased on February 2, 2018 provided coverage in the event of an accidental fire at 239-41 Chestnut Street in the amount of $750,000, which consisted of $500,000 for property damage and $250,000 for business interruption.

On February 18, 2018, at approximately 3:11am, the Indictment alleges that a fire was intentionally started with gasoline in the basement of 239 Chestnut Street, which destroyed the entire building, displaced approximately 160 people – some of whom have never been able to return – closed the 200 block of Chestnut Street for months, and closed numerous businesses, including The Best Western, The Little Lion, Gina’s 45, and Capofitto Pizza & Gelato.

According to the Indictment, both Dawara brothers lied under oath about their whereabouts and activities on the night of the arson. Imad Dawara remained in the office at another business he owns (the B-Side Complex located at 939 N. Delaware Avenue in Philadelphia), while defendant Bahaa Dawara traveled to 239 Chestnut Street to start the fire in the basement.

“No one in Old City will forget when this arson lit up the night sky,” said U.S. Attorney McSwain. “This impacted the heart of our nation’s most historic square mile, which includes Independence Hall and the Liberty Bell Pavilion just blocks away. Many people’s lives were permanently altered, losing their homes and livelihoods. If not for the heroism of the Philadelphia Fire Department, the devastation from that night would have been unthinkable. The City is forever in their debt.”

“Acts of arson are violent crimes that threaten the community. ATF is committed to keeping the public safe from those who maliciously set these fires,” said Special Agent in Charge Donald Robinson. “We appreciate the dedication of the Arson and Explosives Task Force, which includes ATF, the Philadelphia Fire Marshal’s Office, and the Philadelphia Police and Fire Department personnel, who all worked tirelessly from the early morning hours of the arson on February 18, 2018, through the Indictment of the Dawara brothers and right up to yesterday’s arrests. These investigators will continue to tirelessly work this investigation in order to provide justice for the victims, and to hold those who are responsible, accountable for their actions. I would also like to thank the Department of Homeland Security and the United States Customs and Border Protection for their assistance with the arrests at the Philadelphia International Airport, along with the Taxi and Limousine Enforcement Division of the Philadelphia Parking Authority for their assistance.”

If convicted, the defendants face a maximum possible sentence of 20 years’ imprisonment.

The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) Philadelphia, the Philadelphia Fire Marshal, and the Philadelphia Police Department, with assistance from the Philadelphia Parking Authority Taxi and Limousine Division, and is being prosecuted by Assistant United States Attorney Jeanine Linehan.

An Indictment, Information, or Criminal Complaint is an accusation. A defendant is presumed innocent unless and until proven guilty.

PHILADELPHIA - U.S. Attorney William M. McSwain announced that Peter Goodchild, 56, of Philadelphia, PA, was sentenced 102 months’ incarceration and ordered to pay $1,589,315 restitution by United States District Judge Gerald A. McHugh for his scheme to embezzle that amount from his former employer, QwikSource, over a ten-year period from 2005 until 2015. The defendant was convicted by a jury in April 2019 on 48 counts of wire fraud, 10 counts of money laundering, one count of aggravated identity theft and six counts of filing false income tax returns.

As the former bookkeeper for QwikSource LLC/GMI Technical Sales LLC of Florham Park, NJ, the defendant operated his scheme by opening a PayPal account using his employer’s name, transfering funds from QwikSource’s bank account to that PayPal account, moving the funds from that PayPal account to another PayPal account belonging to his girlfriend, and then moving the funds from his girlfriend’s PayPal account to one or more of his personal bank accounts. The defendant further concealed the embezzlement by making false financial entries on files he maintained for QwikSource that increased the cost of goods sold by the same amount of money that he had stolen from QwikSource’s bank account.

“My Office takes offenses like embezzlement, tax fraud and money laundering very seriously,” said U.S. Attorney McSwain. “The defendant stole more than a million and a half dollars by abusing his position of trust. My Office will continue to work with our law enforcement partners to protect innocent individuals and businesses from being victimized by this type of fraud.”

The case was investigated by the Federal Bureau of Investigation and the Internal Revenue Service and is being prosecuted by Assistant United States Attorney Anita Eve.

PHILADELPHIA – United States Attorney William M. McSwain announced that Bakary Camara, 32, of Philadelphia, Pennsylvania, was sentenced to 70 months’ incarceration and three years’ supervised release by United States District Judge John R. Padova for his scheme to produce fake Pennsylvania identification documents by bribing a state official. In February 2019, a jury convicted Camara of numerous charges, including conspiracy to unlawfully produce identification documents, bribery of an agent from the Pennsylvania Department of Transportation (PennDOT), misuse of a social security number, and aggravated identity theft.

According to evidence presented at trial, Camara bribed a PennDOT agent with cash payments in exchange for the issuance of driver’s licenses to dozens of foreign nationals who failed to take the required tests and failed to provide proof of residency. Some who received their license through Camara were new to the country, could not speak English, and were unfamiliar with the process of obtaining a driver’s license, while others could not pass the PennDOT knowledge or road tests. In particular, Camara fraudulently used another person’s social security number on proof of residency documents in an attempt to make it appear that two New York residents were residents of Pennsylvania.

Camara’s co-conspirator, the PennDOT agent, entered false information into the PennDOT system stating the individuals passed the required tests and met the residency requirements when they had not. The PennDOT agent then unlawfully issued driver’s licenses to those individuals. The scheme ran from at least April 2014 through May 2015. During that time, Camara unlawfully assisted at least 30 immigrants in obtaining Pennsylvania learner’s permits and driver’s licenses. Camara charged these individuals $300 to $7,000 for each Pennsylvania driver’s license. Camara provided the PennDOT official at least $5,100 in bribes.

“This kind of bribery and fraud is atrocious and an affront to public safety,” said U.S. Attorney McSwain. “Government-issued identification should never be procured by fraud, but to provide fraudulent driver’s licenses to those who should not be operating a vehicle on our roads is incredibly dangerous. We will aggressively investigate and root out this type of unconscionable behavior.”

The case was investigated by the Department of Homeland Security, the Social Security Administration, Office of Inspector General, and Pennsylvania Department of Transportation. The case is being prosecuted by Assistant United States Attorney Tiwana Wright.

PHILADELPHIA – United States Attorney William M. McSwain announced that George Alexander, 28, of Philadelphia, Pennsylvania, was sentenced to 21 months’ incarceration, 12 months’ home confinement and five years’ supervised release by United States District Judge Jan. E. DuBois for violating Megan’s Law. Under Megan’s Law, also known as the Sex Offender Registration and Notification Act (SORNA), sex offenders are required to register their home, work, and school addresses with state law enforcement, so that individuals can search a database and be aware of convicted sex offenders living, working, or attending school in their neighborhood.

The defendant was convicted of sexual contact with a minor in 2018 and incarcerated. He registered a Philadelphia address upon his release from jail, but then moved away from that address within a month and never listed his new address. He was arrested in May 2019 in Vermont, more than nine months after leaving his registered Philadelphia address.

“The purpose of Megan’s Law is to provide the public with current information about the whereabouts of sex offenders in order to ensure public awareness and safety,” said U.S. Attorney McSwain. “If those offenders do not comply with the registration requirements, we will aggressively prosecute them for this failure so that the public receives the information that it deserves.”

“Parents have the right to know if a predator lives next door,” said Michael T. Harpster, Special Agent in Charge of the FBI’s Philadelphia Division. “Megan’s Law was enacted in order to provide that information to the public and better protect children. Registered sexual offenders are required to keep their information up to date. Those who won’t need to know they’ll be swiftly held accountable.”

The case was investigated by the Federal Bureau of Investigation with the assistance of the United States Marshals Service and the Colchester, VT Police Department, and is being prosecuted by Assistant United States Attorney Nancy Rue.

PITTSBURGH - A resident of Pittsburgh pleaded guilty in federal court to a charge of violating federal narcotics and firearms laws, United States Attorney Scott W. Brady announced today.

Tyree Jrevae Booker, age 41, pleaded guilty to one count before Senior United States District Judge Nora Barry Fischer.

In connection with the guilty plea, the court was advised that on December 6, 2018, Booker possessed a Hi-Point pistol and ammunition, knowing that he had previously been convicted of crimes punishable for a term exceeding one year, including an August 14, 1996 conviction for voluntary manslaughter in the Allegheny County Court of Common Pleas. He also possessed quantities of crack cocaine, cocaine and methamphetamine with the intent to distribute those substances.

Judge Fischer scheduled sentencing for April 16, 2020 at 9:00 a.m. The law provides for a total sentence of not more than 30 years in prison, a fine of $1,250,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.

Assistant United States Attorney Brendan T. Conway is prosecuting this case on behalf of the government.

The Bureau of Alcohol, Tobacco and Firearms and the Pittsburgh Bureau of Police conducted the investigation that led to the prosecution of Booker. Project Safe Neighborhoods (PSN) is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.

PHILADELPHIA – U.S. Attorney William M. McSwain announced that Sharif Khalid, 42, of Willow Grove, PA was convicted at trial of possession of a machine gun.

According to the evidence presented at trial, in March 2018 Khalid knowingly possessed a firearm that was a fully automatic weapon, specifically an AR-57, and 50 live rounds of ammunition for that model rifle. The defendant was also charged with possession of a non-registered firearm, in his case, a machine gun that had been altered to fire fully automatic. The investigation began when at ATF agent received a report from the owner of a gun shop and range in Philadelphia that a customer was firing a fully automatic weapon at their firing range. ATF agents arrived at the gun shop, confronted the defendant and performed a field test on the rifle, determining that the weapon was fully automatic. Agents seized the rifle and through their investigative work found that the defendant is not registered to possess a firearm.

“By owning and firing this illegal weapon, the defendant endangered everyone in his midst,” said U.S. Attorney McSwain. “Thanks to our dedicated partners at ATF and our Office’s trial team, the defendant will no longer freely wander the streets with a dangerous, illegal weapon and will be held accountable for his crime.”

“ATF’s top priority is combating violent crime; one of the ways we accomplish that mission is by keeping firearms out of the hands of violent offenders,” said Donald Robinson, Special Agent in Charge, ATF Philadelphia Field Division. “This conviction is a perfect example of the collaborative effort between ATF and our partners at the United States Attorney’s Office in targeting violent offenders and protecting our communities.”

This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.

The defendant faces a maximum possible sentence of 20 years’ imprisonment, three years supervised release, a $500,000 fine and a $200 special assessment.

The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, and is being prosecuted by Assistant United States Attorney Salvatore L. Astolfi.

PHILADELPHIA – U.S. Attorney William M. McSwain announced that Matt “Mack” Jones, 36, of Bensalem, PA was convicted at trial of heroin trafficking and gun charges following a four day trial.

In January 2018, New Jersey State Police, the Philadelphia DEA, and the Philadelphia Police Department began a joint investigation of the defendant and other co-conspirators. Officers learned that the defendant was a supplier of heroin, and that he supplied two female associates with bags of heroin and directed them to deliver the bags to customers in New Jersey and the Philadelphia area.

Investigators conducted several controlled buys of heroin from the defendant and his co-conspirators with the assistance of a cooperating witness at the Cherry Hill Mall in Cherry Hill, NJ and the Philadelphia Mills (formerly Franklin Mills) in Philadelphia, PA. Laboratory analysis of the seized material confirmed the presence of heroin mixed with fentanyl. In July 2018, officers searched the defendant’s home and found firearms, including a Colt .38 handgun and a 12 gauge shotgun, ammunition, half a kilogram of heroin, cocaine, marijuana, drug packaging paraphernalia and more than $100,000 cash.

“Jones and other members of this drug organization pumped huge quantities of deadly drugs into our community for years,” said U.S. Attorney McSwain. “Drug trafficking is an inherently dangerous business and the traffickers ultimately deliver destruction to our communities. Our office is determined to investigate and convict these criminals, and put them behind bars.”

Jones faces a potential sentence of 35 years’ to lifetime imprisonment under federal sentencing laws.

The case was investigated by Drug Enforcement Administration, the Philadelphia Police Department, the New Jersey State Police, the Bensalem Township Police, and the Philadelphia District Attorney’s Office, and is being prosecuted by Assistant United States Attorney Frank Labor III.

PHILADELPHIA – On Saturday, October 5, 2019, United States Attorney William M. McSwain addressed members of law enforcement, the military, and civilian guests as the Law Enforcement Guest of Honor at the Marine Corps-Law Enforcement Foundation’s Philadelphia Gala. The annual event, held this year at the SugarHouse Casino, is a fundraiser to support the Foundation’s core mission: to provide scholarships to children who have lost a parent serving in the U.S. Marine Corps or federal law enforcement. Since its founding in 1995, MC-LEF has awarded over $76 million in educational awards and other humanitarian assistance to over 4,100 recipients.

* * *

Remarks as Prepared for Delivery

Thank you, Chief Inspector Boyle for that kind introduction and for your work as Vice President of the Pennsylvania Chapter of the Marine Corps-Law Enforcement Foundation (MCLEF).

There are a few other thank-yous that I would like to make at the outset. First, I want to thank the organizers of this wonderful Gala. In particular, I’d like to thank Kevin Cauley, both for inviting me to speak to this distinguished group of heroes and friends, and more importantly, for his continued support of law enforcement and the military. Our country needs more citizens like Kevin – people who appreciate the sacrifices that those serving in the military and in law enforcement make every day.

I’d like to thank our military guest of honor, General James T. Conway, the 34th Commandant of the Marine Corps: it is an honor to be with you this evening, General, though this is not the first time that our paths have crossed in a meaningful way to me. Back when I was a boot Second Lieutenant at Quantico, General Conway – or Colonel Conway at the time – was in command of The Basic School, which as many of you know is an arduous, six-month infantry training course for newly commissioned Second Lieutenants. Among these Lieutenants, it is known as TBS. Which either stands for The Basic School, or perhaps, depending on your mood at the time, “The Big Suck.”

Anyway, as a boot Second Lieutenant, I had the privilege of sitting next to General Conway at our TBS Mess Night. I actually had General Conway on my right, and General Christmas to my left. That’s pretty heady stuff for a Second Lieutenant. Sitting with those two great men, listening to their stories, absorbing their lessons, and seeing the way that they treated each other (and the way that they treated me) solidified my love for the Marine Corps in a way that has stayed with me for my whole life, and that will always be with me.

I also would like to express my gratitude this evening to the five brave Medal of Honor recipients who grace us with their presence: Barney Barnum (USMC); Brian Thacker (Army); Tom Kelley (Navy); Mike Thornton (Navy SEAL); and Tommy Norris (Navy SEAL, and retired FBI). Every American is indebted to you for your incredible fortitude, sacrifice, and valor.

Next, I want to thank and congratulate Tony McIntyre, founder of the McIntyre Group, for being selected to receive the Eagle Globe & Anchor Award tonight, and Quint Avenetti, Vice President, Combat Systems Development and Support at Navmar Applied Sciences Group, for receiving the Semper Fidelis Award. Both of these men have made extraordinary contributions to the Marine Corps-Law Enforcement Foundation’s cause, and tonight’s recognition is very well-deserved.

And my final thank you is, in many ways, the most important one: I would like to recognize and thank those in the audience tonight who have either served in the military or in law enforcement (or both, as is the case for many of you). Whether you served in the past or serve in the present, and whether you are a reservist or active duty, a police officer or a federal agent – you are the heroes among us. And you share the same purpose: to keep Americans safe and to ensure that we all can sleep peacefully at night. All Americans are indebted to you for your service. If everyone could please join me in a round of applause to thank our heroes.

There is much that is similar about military service and law enforcement service, so it comes as no surprise that likeminded individuals are drawn to this sort of work. There’s a natural bond between the military and law enforcement.

For one thing, to succeed, both jobs require discipline and mental and physical toughness. They both also rely on structure and a healthy respect for rules. That said, there’s also a good bit of uncertainty that comes with both lines of work. For example, when you volunteer for this life, there is often uncertainty about where you will be assigned or even what you will do; more poignantly, when you are on the job, you don’t know whether you will return home safely at the end of a shift or the end of the tour of duty. These parallels between the military and law enforcement bring me to three main points I would like to make this evening.

First, I believe those who serve in the military or in law enforcement share a set of core values that enable them to serve and protect others and preserve our American way of life. One of my favorite aspects of the job as U.S. Attorney is that I get to work side-by-side with our federal, state, and local law enforcement partners every day. I see, firsthand, how hard they work to do the right thing, to protect our communities, and to help victims of crime. And as I have said publicly, their jobs are made all the more difficult by a disturbing culture of disrespect for law enforcement in some circles in this City. This is unconscionable and despicable. But I make you this promise: as long as I’m the U.S. Attorney, I will use the full power of my Office for every minute of every day to stand with and stand up for the police and law enforcement. Because that is what you deserve.

It is the shared core values of the military and law enforcement – values like honor, courage, commitment, humility, integrity, resilience, and selflessness – that bind us together, and what makes this organization so special. You have embraced sacrifice as a way of life, not because it’s easy, but because you recognize the power and the good that comes from it. There is no greater calling than the one you have chosen in a life of service.

Second, while service to others requires personal sacrifice, the act of service also bestows great gifts to those who choose this path in life. That observation certainly holds true for me, both from my time as a Marine and my time in law enforcement. And when it comes to the Corps, I know that it has given me much more than I could ever give in return.

There is, first and foremost, the satisfaction that comes with committing yourself totally to something greater than yourself. But there are also practical, day-to-day gifts. Two that come to mind immediately are the lasting friendships and the lifelong lessons in leadership that I’ve received. I am at my happiest when I am with my Marine Corps brothers and sisters. I know that they would do anything for me, and I would do anything for them. Those friendships bring joy and meaning to my life.

And I can also say with certainty that my time in the Corps has influenced my career as a lawyer more than anything else. Whenever I come to a fork in the road and encounter a difficult decision in my civilian career, I always try to think back to what my Marine Corps commanders would expect of me – what would people like General Conway expect me to do? What can I do that is true to values that I learned in the Corps? What decision would that version of myself from long ago choose to make? In short, what would Lieutenant McSwain do?

I ask myself these questions and they give me clear answers. It isn’t always easy to do the right thing – especially in today’s complicated civilian world, with its attendant social and political pressures, the desire to be liked, the temptation to just go along to get along, and the natural human desire to do less, not more. I sometimes fail to meet the expectations of the Marine Corps. But I know what they are – and I know right from wrong. I draw strength from that. And I always will.

Which brings me to my final point. This evening’s event – a Gala to raise scholarship funds for the children of fallen military or law enforcement officers – is a microcosm of all that is good and pure about the people drawn to military and law enforcement service. We can never repay the debt that we owe to the fallen and their family members. And we cannot replace the void or take away the families’ pain. But what we can do is take care of the families and work tirelessly to make sure that the sacrifices that their loved ones made will never be forgotten. I am profoundly proud to be part of that everlasting cause.

May God bless you, and may God bless the United States of America. Thank you and Semper Fi.

PHILADELPHIA – United States Attorney William M. McSwain announced that Jeffrey Lyons, 58, of Lancaster, PA, Karen Connelly, 65, of Manheim, PA, and Judith Avilez, 58, of Elizabethtown, PA were all charged with bank fraud for their roles in defrauding Fulton Bank. Lyons and Connelly were charged by Information and Avilez was charged by Indictment.

The charging documents allege that between 2003 through May 15, 2018, Lyons, the former CEO of Worley & Obetz, and Worley & Obetz’s two controllers, Connelly and Avilez, defrauded Fulton Bank by fraudulently inflating Worley & Obetz’s revenue on its financial statements. Worley & Obetz was an oil and gas company in Manheim, PA, that provided home heating oil, gas, and propane to its customers. As a result of these and other alleged financial improprieties, the company has shut down and all employees lost their jobs.

To perpetuate the fraud, Connelly and Avilez created fraudulent Worley and Obetz financial statements to make the company appear to the bank that it had more revenue and accounts receivable than it did. Connelly was the Worley & Obetz controller from 2000 until she retired in December 2015. After Connelly retired, she and Lyons continued the fraud for approximately six months until Lyons asked Connelly to teach the scheme to Worley & Obetz’s new controller, Avilez.

Avilez’s Indictment alleges that after Connelly taught her how to commit the fraud, she knowingly continued the fraud with Lyons, falsifying Worley & Obetz’s financial statements. Lyons is also alleged to have altered a customer contract and provided the altered contract to Fulton Bank to support Worley & Obetz’s requests for more loans. The charging documents allege that the bank fraud scheme continued for at least 15 years. Fulton Bank relied on the fraudulent Worley & Obetz customer contract and the fraudulent Worley & Obetz financial statements created by Lyons, Connelly, and Avilez when it lent Worley & Obetz over $60 million.

The Information also charges Lyons with tax evasion for not reporting over $650,000 in income he received from Worley & Obetz in 2013.

“The alleged fraud here is stunning in scope and duration,” said U.S. Attorney McSwain. “As alleged, the defendants obtained tens of millions of dollars from bank lenders to benefit their business, when their jobs as CEO and Controller required them to act with fiduciary integrity. My Office will continue to work aggressively with our law enforcement partners to protect innocent individuals and businesses from being victimized by financial fraud.”

If convicted, Karen Connelly and Judith Avilez face a maximum possible sentence of 30 years’ imprisonment and a $1,000,000 fine and Lyons faces a maximum sentence of 35 years’ imprisonment and a $1,250,000 fine.

The case was investigated by the Federal Bureau of Investigation, IRS Criminal Investigations, and Northern Lancaster County Regional Police Department and is being prosecuted by Assistant United States Attorney Tiwana Wright of the Eastern District of Pennsylvania.

An indictment, information, or criminal complaint is an accusation. A defendant is presumed innocent unless and until proven guilty.

PHILADELPHIA, PA – First Assistant United States Attorney Jennifer Arbittier Williams announced that chiropractor Ron Siscoe and his practice, Ovation Center of Integrative Medicine (“Ovation”), have agreed to pay $98,497.62 to resolve liability under the False Claims Act for the alleged improper billing of electro-acupuncture devices called Stivax and/or P-Stim. This is the second electro-acupuncture device settlement announced in this District, as part of a U.S. Attorney’s Office ongoing investigation. (The first involved Dr. Richard Frey and Physicians Alliance Ltd., and was announced on September 17, 2019).

From July 13, 2016 through August 21, 2017, Siscoe and Ovation billed Medicare for the implantation of neurostimulator electrodes, a surgical procedure usually necessitating an operating room for which Medicare reimburses thousands of dollars. However, Siscoe was not conducting that surgery. Instead, a nurse practitioner was applying a Stivax device in an office setting without surgery or anesthesia. In addition, for many of the claims at issue, Siscoe and Ovation billed the procedure using the National Provider Identification number of a physician who did not actually perform or supervise the procedure.

Stivax is an electric acupuncture device that, pursuant to manufacturer’s instructions, is affixed behind a patient’s ear using an adhesive. Needles are inserted into the patient’s ear and affixed using another adhesive. Once activated, the device provides intermittent stimulation by electrical pulses. It is a single-use, battery-powered device designed to be worn for several days until its battery runs out, at which time the device is thrown away. Medicare does not reimburse for acupuncture or for acupuncture devices such as Stivax, nor does Medicare reimburse for it as a neurostimulator or as implantation of neurostimulator electrodes. Other brand names for this device include P-Stim, NeuroStim, ANSiStim, E-Pulse, and NSS-2 Bridge.

On May, 17, 2018, SafeGuard Services LLC, the Northeastern Unified Program Integrity Contractor (“UPIC”) of Medicare, provided Ovation with notice that it was initiating a post-payment medical review of certain of Ovation’s claims for Stivax services. In response, Ovation conceded that the Stivax claims were inappropriate and thus agreed to make voluntary repayment to Medicare for those claims the UPIC had identified.

“We said it in September and say it again now: acupuncture devices may not be billed as surgically implanted neurostimulators,” said First Assistant U.S. Attorney Williams. “Medicare paid thousands of dollars because of the alleged improper billing alleged here, which harms American taxpayers. We appreciate Ovation’s willingness to promptly negotiate a resolution in this matter.”

Williams continued, “We would encourage anyone who may have been involved in P-Stim false billing to come forward voluntarily and self-disclose the misconduct. As this second P-Stim settlement in just the last month shows, we are continuing to work closely with our partners at CMS’s Center for Program Integrity, the Department of Health and Human Services Office of Inspector General, and sister U.S. Attorney’s Offices around the country to hold accountable any other providers who inappropriately billed this device and any product distributors or marketers who may have architected or carried out such a billing scheme.”

“Every dollar saved is critical to the sustainability of our Medicare program and the needs of our beneficiaries,” said Centers for Medicare and Medicaid Services Administrator Seema Verma. “We thank our partners at the Department of Justice and Department of Health and Human Services Office of Inspector General for working hard with us to identify, investigate, and eliminate waste, fraud and abuse in our federal healthcare programs.”

“Accurately billing for services provided to Medicare beneficiaries is required of all health care providers,” said Maureen R. Dixon, Special Agent in Charge for the U.S. Department of Health and Human Services, Office of the Inspector General. “HHS-OIG, CMS’s Center for Program Integrity, and the U.S. Attorney’s Office will continue to evaluate and pursue inaccurate billings of P-Stim and similar devices.”

The settled civil claims are allegations only. There has been no determination of civil liability. This case was investigated by the U.S. Department of Health and Human Services Office of the Inspector General. It was handled by Assistant U.S. Attorney Matthew E. K. Howatt, Civil Chief Gregory B. David, and Auditor Dawn Wiggins.

PHILADELPHIA, PA—United States Attorney William M. McSwain announced that Drexel University has agreed to pay the United States $189,062 to resolve potential liability under the False Claims Act for a former professor’s use of grant funds towards “gentlemen’s clubs” and other improper purchases.

For ten years, the head of Drexel’s Department of Electrical and Computer Engineering, Dr. Chikaodinaka D. Nwankpa, submitted improper charges against federal grants. The majority of the charges were made to gentlemen’s clubs and sports bars in the Philadelphia area.

The government’s investigation began in 2017 after Drexel voluntarily disclosed the improper charges to eight federal grants for energy and naval technology related research that it received from the Department of the Navy, the Department of Energy, and the National Science Foundation. After an internal audit in 2017, Drexel discovered that between July 2007 through April 2017, Dr. Nwankpa submitted improper charges against the federal grants for items such as personal iTunes purchases and for “goods and services” provided by Cheerleaders, Club Risque, and Tacony Club.

Drexel disclosed Dr. Nwankpa’s conduct to the government and cooperated with the investigation to identify the full scope of the misconduct. Dr. Nwankpa repaid $53,328 to Drexel, resigned his position in lieu of termination, and was debarred from federal government contracting for a period of six months. Drexel has implemented changes to prevent similar misconduct in the future, such as improvements to its charge approval and auditing policies.

“This is an example of flagrant and audacious fraud, and a shameful misuse of public funds.” said U.S. Attorney McSwain. “The agencies providing these grant funds expect them to be used towards advancements in energy and naval technology for public benefit, not for personal entertainment.”

U.S. Attorney McSwain continued, “We appreciate Drexel’s self-disclosure and cooperation in this matter. At the same time, we are disappointed that Dr. Nwankpa’s conduct went unnoticed for so long, but Drexel’s strengthening of its charge approval process is certainly a step in the right direction.”

NCIS Northeast Field Office Special Agent in Charge Leo S. Lamont stated: "Fraud is never a victimless crime. In this case, the flagrant and wrongful misuse of American taxpayers’ funds not only eroded the public trust, but jeopardized the Department of Navy’s efforts to obtain the best technology and research for our brave men and women in uniform. NCIS will continue to battle fraud in all forms and tirelessly pursue all those who seek to cheat, steal, defraud, or harm the American Public and the Department of the Navy.”

The settled civil claims are allegations only. There has been no determination of civil liability. This case was investigated by the Naval Criminal Investigative Service, the U.S. Department of Energy Office of Inspector General, and the National Science Foundation Office of Inspector General. It was handled by Assistant United States Attorney Stacey L. B. Smith and Fraud Investigator Jeffrey Braun.

PHILADELPHIA – United States Attorney William M. McSwain announced that Dayvon Nicole Brown, 25, of Coatesville, Pennsylvania was convicted at trial of possession of a firearm by a convicted felon.

During the week-long trial, the government presented evidence which showed that in May 16, 2018, the defendant was the rear seat passenger in a vehicle that was stopped by Coatesville Police Department officers for being operated without headlights on. After Brown was asked to step out of the car, a 9mm handgun loaded with 7 live rounds of 9mm ammunition was located on the rear passenger floor, partially hidden under the seat directly in front of where Brown had been sitting. During an interview following his arrest, Brown stated that the handgun was his. Because he qualifies as an “Armed Career Criminal” under federal law, the defendant is now facing a mandatory minimum sentence of 15 years’ imprisonment.

“Reducing violent crime is a top priority of my Office and of the Department of Justice, and successful prosecutions of cases like this remain a key part of our deterrence strategy,” said U.S. Attorney McSwain. “My Office remains committed to working with local police departments to clear the streets of Chester County, and all counties in our district, of firearms in the hands of convicted felons.”

This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.

The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, and is being prosecuted by Special Assistant United States Attorney Michelle V. Barone and Assistant United States Attorney Mark S. Miller.

PHILADELPHIA – First Assistant United States Attorney Jennifer Arbittier Williams announced that Rakee Russ, 41, of Philadelphia, PA was sentenced to 12 months and one day of incarceration, three years’ supervised release and $420 restitution by United States District Judge R. Barclay Surrick for his participation in a scheme to sell counterfeit tickets.

Russ pleaded guilty in July 2019 to conspiracy to commit wire fraud, wire fraud, conspiracy to traffic in counterfeit goods, and trafficking in counterfeit goods, arising from his role in the sale of counterfeit tickets to sporting events, including the January 2017 Villanova-Virginia NCAA Men’s College Basketball game and the September 2017 Eagles v. Giants NFL game, both in Philadelphia, PA. The counterfeit tickets bore the authentic trademarks that were registered with the United States Patent and Trademark Office. Russ sold the counterfeit tickets at the Wells Fargo Center and Lincoln Financial Field.

“Criminal counterfeiting and piracy are serious, federal crimes,” said First Assistant U. S. Attorney Williams. “When fans spend their hard-earned money on event tickets, they deserve the real deal. This defendant took advantage of unsuspecting fans, and now he will be doing more than a year in federal prison. To anyone else out there who thinks selling counterfeit tickets are not going to be prosecuted federally, take notice. Justice has been served.”

The case was investigated by the Federal Bureau of Investigation and prosecuted by Assistant United States Attorneys Joan E. Burnes and Anita Eve.

PHILADELPHIA – First Assistant United States Attorney Jennifer Arbittier Williams announced that Collin Cowell, a/k/a “Tyson,” 29, was sentenced to 324 months’ incarceration and 20 years’ supervised release by United States District Court Judge J. Curtis Joyner for his scheme to organize and manage a trafficking venture with ‘employees’ whom he trained to sell young girls into sexual conduct.  The defendant is also required to register as a sex offender.

The defendant was convicted in March 2018 of sex trafficking and aiding and abetting the sex trafficking of three minor children, two of whom were only 15 years old, in Philadelphia and elsewhere.  He was also convicted of the distribution of child pornography for posting a sexually explicit image of two of the young girls on backpage.com, a website Cowell and his co-defendants used to advertise the minors for commercial sex acts with sex buyers, which financially benefited him directly.  The defendant not only led the trafficking operation, he trained those working under him to engage in sex trafficking.

“Cowell’s crimes were devastating to his minor victims,” said First Assistant U.S. Attorney Williams. “Today’s sentence of almost three decades incarceration reflects the seriousness of his crimes and the irrevocable damage he caused, all in pursuit of financial gain. We will continue to work collectively to investigate these destructive crimes against vulnerable children.”

The case was investigated by the Federal Bureau of Investigation, and is being prosecuted by Assistant United States Attorney Melanie Babb Wilmoth

PHILADELPHIA – First Assistant United States Attorney Jennifer Arbittier Williams announced a $4.25 million civil settlement with Glenn A. Kline, D.O. and Community Surgical Associates to resolve civil allegations relating to kickbacks received from two hospitals formerly operated by Health Management Associates (HMA) in Lancaster, Pennsylvania, in violation of the False Claims Act and Anti-Kickback Statute. Dr. Kline’s case is related to a larger investigation under which HMA agreed to pay $260 million to the United States to settle claims arising from HMA’s fraudulent billing practices in multiple healthcare institutions across the United States.

Between 2009 and 2012, as alleged in the relators’ complaint, Dr. Kline practiced as a general surgeon in Lancaster, Pennsylvania. Dr. Kline was a major source of surgical business in the Lancaster area. His ability to refer patients to two former HMA hospitals, Lancaster Regional Medical Center and Heart of Lancaster Medical Center, gave Dr. Kline significant leverage over HMA as it attempted to compete in the Lancaster market.

To secure Dr. Kline’s referrals, the complaint alleges that HMA compensated Dr. Kline by paying him exorbitantly more than the fair market value of his services. Dr. Kline was being paid 300% more than the Medical Group Management Association (MGMA) median salary for comparable general surgeons, and no fair market value analysis was done to support this payment. In addition to his excessive salary, Dr. Kline demanded, and was paid, additional amounts to benefit his practice, Community Surgical Associates. As alleged, Dr. Kline was paid these amounts as kickbacks for his referral of patients to Lancaster Regional Medical Center and Heart of Lancaster Medical Center, which in turn billed federal health care programs for those patients’ services. According to the complaint, these arrangements were intentionally structured to disguise payments which were, in actuality, payments for patient referrals, not for legitimate services.

“Our resolution of this matter and the significant recovery we have obtained from this physician show once again that no matter how complex the fraud scheme is, we will find it, stop it, and punish it,” said First Assistant U.S. Attorney Williams. “The alleged improper physician inducements that Dr. Kline demanded, and received, are a form of ‘pay to play’ business practice that could compromise professional judgment. In sum, this conduct must be rooted out because it interferes with a physician’s ability to provide top-notch patient care to American citizens.”

The allegations resolved by the settlement were brought in a lawsuit filed under the qui tam, or whistleblower, provisions of the False Claims Act, which permit private parties to sue on behalf of the government for false claims and to receive a share of any recovery. George E. Miller and Michael J. Metts, former HMA hospital executives in Lancaster, filed suit in the Eastern District of Pennsylvania, alleging the improper financial relationship between HMA and Dr. Kline. Mr. Miller and Mr. Metts will receive approximately $1,054,000 million as their share of the recovery. Counsel for the whistleblowers, Marc S. Raspanti, Esquire and Pamela Coyle Brecht, Esquire from the law firm of Pietragallo Gordon Bosick & Raspanti, LLP, worked closely with the United States to investigate and resolve this case. “We sincerely thank Mr. Miller and Mr. Metts. Together with their lawyers, these two citizens provided invaluable assistance to the government throughout this case. Without the willingness of relators to shed light on allegations of fraud, preserving government program funds would be far more challenging. Their efforts played a vital role in the resolution of these cases,” said Williams.

“Today’s settlement highlights our dedication to ensuring physicians are making health care decisions based on their patients’ needs, not illegal inducements,” said Maureen R. Dixon, Special Agent in Charge, Philadelphia Regional Office, U.S. Department of Health and Human Services, Office of the Inspector General. “We will continue to work with the U.S. Department of Justice to safeguard patients and taxpayers.”

This case was investigated by the U.S. Department of Health and Human Services Office of the Inspector General. For the U.S. Attorney’s Office, the investigation and settlement were handled by Deputy Chief Charlene Keller Fullmer, Assistant United States Attorney Veronica Finkelstein, and Auditor Dawn Wiggins.

The civil claims resolved by the settlement are allegations against Dr. Kline only, and there has been no determination of liability.

PHILADELPHIA – United States Attorney William M. McSwain issued the following statement regarding the opinion issued by the district court this afternoon:

“As Deputy Attorney General Rosen explained today, the Department of Justice remains committed to preventing illegal drug injection sites from opening. Today’s opinion is merely the first step in a much longer legal process that will play out. This case is obviously far from over. We look forward to continuing to litigate it, and we are very confident in our legal position.”

PHILADELPHIA – United States Attorney William M. McSwain announced that Deyao Chen, Guichun Chen, and Liangtu Pan a/k/a Liang Pan, all of the People’s Republic of China, have been charged by indictment with the following: conspiracy to import controlled substances (one count); conspiracy to distribute controlled substances (one count); and distribution of furanyl fentanyl, U-47700, and methoxyacetyl fentanyl – all powerful synthetic opioids (62 counts). In a news conference at the U.S. Attorney’s Office, U.S. Attorney McSwain addressed the charges in the indictment and highlighted broader efforts of the U.S. Attorney’s Office for the Eastern District of Pennsylvania and law enforcement to stem the tide of the opioid crisis.

The indictment alleges that from in or about April 2016 through on or about March 22, 2017, Deyao Chen, Guichun Chen, and Liangtu Pan operated through websites located in the People’s Republic of China and offered controlled substances for sale, including furanyl fentanyl, U-47700, and methoxyacetyl fentanyl. The defendants often used the same alias, “Alex,” when using these websites. Customers accessed these websites and selected the controlled substances they wanted to purchase, and the defendants directed the customers to different websites to pay for their orders.

Upon receipt of payment from the customers, the defendants emailed the customers’ orders to David Landis, charged elsewhere, who was a distributor residing in Montgomery County, Pennsylvania and a former Montgomery County Deputy Sheriff. The defendants mailed controlled substances from China to Landis in quantities sufficient to meet the orders from their internet customers. Landis would then mail the controlled substances via the United States Postal Service to customers located throughout the United States and in numerous other countries. In less than a year, Landis mailed approximately 2,900 packages of controlled substances to customers on behalf of the defendants. Landis has pleaded guilty and is awaiting sentencing.

Of the 62 distribution counts set forth in the indictment, one count alleges distribution of U-47700 to an individual which resulted in serious bodily injury. The remaining 61 distribution counts allege that the defendants distributed U-47700 and/or furanyl fentanyl to numerous individuals, including to five individuals in Georgia, Illinois, Ohio, and Tennessee who received these illegal substances and later overdosed and died with these controlled substances in their systems.

“Make no mistake: China is waging an undeclared war on our country and our American way of life, with deadly drugs serving as its weapon of choice,” said U.S. Attorney McSwain. “China is supplying the United States with the most potent and deadly fentanyl and other synthetic opioids on the market today. Today’s indictment is an important step in choking the flow of these deadly drugs into the Eastern District of Pennsylvania. International suppliers beware: you cannot hide behind a computer or evade our detection by drug trafficking from a far-away place. Even if you are halfway around the world, you will be held to account for your crimes.”

“This indictment sends a strong message to anyone connected anywhere in the world with production and trafficking of narcotics into the United States that Homeland Security Investigations and our law enforcement partners are going to hold you accountable,” said Marlon V. Miller, Special Agent in Charge of Homeland Security Investigations, Philadelphia. “Whether you’re selling fentanyl on a corner in Kensington or hiding behind a keyboard in China, Homeland Security Investigations will ensure that justice will be served.”

“The indictments announced today are the result of years of exemplary policework and collaboration at all levels of law enforcement,” said Major Douglas Burig, Director of the Pennsylvania State Police Bureau of Criminal Investigation. “The State Police will continue to work closely with our local, state, and federal partners to investigate and dismantle dangerous drug trafficking organizations that attempt to do business in Pennsylvania.”

“David Landis’ base of trafficking operations may have been Montgomery County, but his reach was global, spreading poison, misery and death far and wide. Because of traffickers like Landis, people are dying across the Commonwealth and across the country,” said Montgomery County District Attorney Kevin Steele. “I am proud to partner with United States Attorney McSwain and our other state and federal partners as we work to take down these dealers, shut down these drug pipelines and get this poison out of our communities.”

If convicted, the defendants face a maximum possible sentence of life imprisonment.

This Organized Crime Drug Enforcement Task Force (OCDETF) designated case was supported by the Liberty Mid-Atlantic High Intensity Drug Trafficking Area (LMAHIDTA) and investigated by Homeland Security and the Pennsylvania State Police, with assistance from the following law enforcement agencies: Drug Enforcement Administration; U.S. Postal Inspection Service; United States Postal Service-Office of Inspector General; United States Secret Service; U.S. Customs and Border Protection; the Pennsylvania National Guard; Mentor-on-the-Lake Police Department, Ohio; La Vergne, Tennessee Police Department; Floyd County, Georgia Police Department; Hebron, Ohio Police Department; and the Tri-County, Illinois Drug Enforcement Task Force. It is being prosecuted by Assistant United States Attorneys Clare Putnam Pozos and Faithe Moore Taylor, and Special Assistant United States Attorney Samantha Thompson.

An indictment, information, or criminal complaint is an accusation. A defendant is presumed innocent unless and until proven guilty.

PHILADELPHIA – United States Attorney William M. McSwain announced that Craig A. Cohen, age 55, of Blue Bell, Pennsylvania was charged by Information with one count of mail fraud. Cohen was an attorney who worked for approximately eight years for a Philadelphia, Pennsylvania law firm (“the Law Firm”). Cohen specialized in representing insurance companies in subrogation matters, particularly those matters involving losses generated by water damage. As a subrogation attorney, Cohen filed claims on behalf of insurance companies to obtain recoveries against product manufacturers and class action settlement funds after insurance companies covered losses of insured individuals due to water damage resulting from defective products.

Over the course of approximately four years, from 2015 through 2019, Cohen engaged in a fraudulent scheme to obtain financial recoveries from product manufacturers and class action settlement funds for his own benefit, based on (1) entirely fabricated subrogation claims; and (2) legitimate subrogation claims to which an insurance company client of the Law Firm, and not Cohen, was entitled to the financial recovery.

Cohen operated the scheme primarily from his home in Blue Bell where he created a legal entity, WLSP, PLLC (“WLSP”), which he used to file the fabricated claims. He also opened a post office box in Philadelphia and created internet domains and email addresses for his company so that his fraudulent business could function effectively and appear legitimate.

Cohen created fake subrogation claims by modifying the paperwork from legitimate claims that he and other attorneys had already successfully resolved on behalf of clients of the Law Firm. His fake paperwork for each claim made it falsely appear that losses to the insured were caused by one manufacturer’s defective product, when in fact, a different manufacturer’s product caused those losses. Where necessary, Cohen would physically damage products and take pictures of them to submit with his fraudulent claim. He also engaged an expert engineer to examine the defective product and issue a report describing the defect that would entitle Cohen’s purported client to a recovery against the product manufacturer or settlement fund.

In addition to submitting entirely fake claims, Cohen also used legitimate, unresolved claims from insurance company clients of the Law Firm and submitted those claims through WLSP, generating financial recoveries entirely for himself. In each of these cases, Cohen convinced the Law Firm’s client and the Law Firm that the claims were not viable and should not be pursued, when in fact, the claims were viable. In converting these legitimate claims to his own company’s name and pursuing them solely for his own benefit, Cohen defrauded the insurance company clients of the Law Firm that were entitled to a recovery as well as the Law Firm that was entitled to a contingency fee on those matters.

In total, Cohen submitted dozens of fraudulent claims, causing losses to numerous victims, including product manufacturers, class action settlement funds, insurance companies, and the Law Firm, for an alleged loss of at least approximately $3.4 million.

“Attorneys of any kind, public or private, take an oath to act in accordance with the law – not to use their law license to steal,” said U.S. Attorney McSwain. “The allegations here are particularly disturbing, as the defendant went to great lengths to deceive and defraud his employer and its clients of millions of dollars, which is illegal conduct for an employee in any line of work, but is especially egregious for a lawyer.”

If convicted, the defendant faces a maximum possible sentence of 20 years in prison.

The case was investigated by the Federal Bureau of Investigation, and is being prosecuted by Deputy United States Attorney Louis D. Lappen.

An indictment, information, or criminal complaint is an accusation. A defendant is presumed innocent unless and until proven guilty.

PHILADELPHIA – United States Attorney William M. McSwain announced that Angelo Perrucci, Jr., of Bangor, PA was arrested and charged by Indictment with wire fraud.

The indictment alleges that between on or about March 16, 2016 and on or about May 29, 2019, Angelo Perrucci, Jr., while serving as the administrator of an estate of a deceased Bergen County, N.J. individual, defrauded the estate of more than $300,000. During the more than three-year period in which Perrucci purported to serve as the administrator of the estate, he issued more than seventy checks to himself.

“As alleged in the indictment, this defendant – an attorney entrusted with the care of this estate – committed fraud and stole from the true beneficiaries of the estate,” said U.S. Attorney McSwain. “Attorneys of any kind, public or private, take an oath to act in accordance with the law – not to use their law license to steal. My Office will continue to root out the type of conduct that is alleged here.”

If convicted, the defendant faces a maximum possible sentence of 100 years’ imprisonment.

The case was investigated by the United States Postal Inspection Service, and is being prosecuted by Assistant United States Attorney Christopher J. Mannion of the Eastern District of Pennsylvania.

An indictment, information, or criminal complaint is an accusation. A defendant is presumed innocent unless and until proven guilty.

PHILADELPHIA – United States Attorney William M. McSwain announced that Stephen Eckler, 68, of Ivyland, Pennsylvania, and Robert Yost, 52, of Southampton, Pennsylvania, were charged by Information with willful failure to pay employment taxes.

The information alleges that Eckler and Yost, owners of the Kopper Kettle Bar and Restaurant, located in Feasterville, Pennsylvania, did not report $263,340 in cash wages that they paid to dishwasher employees at the Kopper Kettle Bar and Restaurant during the period March 2012 through at least September 2016. As a result of this practice, defendants Eckler and Yost failed to properly collect and pay over employment taxes to the Internal Revenue Service, including Social Security Tax and the Medicare Tax, commonly referred to as “FICA” taxes, and federal income tax withholdings.

“Our tax system requires businesspeople to truthfully report the wages paid to their employees,” said U.S. Attorney McSwain. “The defendants’ practice of paying their employees in cash, concealing this from the IRS, and failing to collect and pay federal employment taxes, undermines the integrity of the federal income tax system and harms those who play by the rules. My Office will aggressively pursue businesspeople who operate in such an illegal manner.”

If convicted, the defendants face a maximum possible sentence of five years in prison, a $250,000 fine, and full restitution paid to the IRS.

The case was investigated by the Internal Revenue Service, Criminal Investigation Division, and is being prosecuted by Assistant United States Attorney Richard P. Barrett.

An indictment, information, or criminal complaint is an accusation. A defendant is presumed innocent unless and until proven guilty.

PHILADELPHIA – First Assistant United States Attorney Jennifer Arbittier Williams announced that Christopher O’Sullivan, 31, of Philadelphia, was charged by Indictment with one count of using a facility of interstate commerce to entice a minor to engage in sexual activity, and one count of manufacturing child pornography.

The indictment alleges that between June 21 and July 23, 2019, O’Sullivan enticed a minor to engage in criminal sexual activity and manufactured child pornography. Court documents allege that O’Sullivan, a middle school teacher, coerced a 12-year-old minor boy to take a sexually explicit photograph and text it to O’Sullivan, and that O’Sullivan discussed sexual activity with the minor over text messaging. O’Sullivan was arrested by criminal complaint on August 30, 2019, in Plattsburgh, New York, and he has been detained since that time.

Anyone with additional information regarding O’Sullivan related to the sexual abuse of minors is encouraged to contact the FBI – Philadelphia at (215)418-4000.

“The defendant’s alleged abuse of his position of trust in our community for his perverse gratification is over,” said First Assistant U.S. Attorney Williams. “Child sexual exploitation is appallingly pervasive, exacerbated by the easy availability of digital media and communications, and it demands an aggressive response. We stand ready with our federal partners to identify and prosecute individuals that perpetuate this abuse.”

“Rather than live up to a teacher’s commitment to care for his students, O’Sullivan robbed this young boy of his innocence and childhood. Although today’s indictment cannot repair the damage O’Sullivan caused, it sends the message that the FBI and our partners, like the Philadelphia Police Department’s Special Victims Unit, remain committed to hunting down child predators,” said Michael T. Harpster, Special Agent in Charge of the Philadelphia Division of the FBI.

If convicted, the defendant faces a mandatory minimum term of imprisonment of 15 years, a maximum possible sentence of lifetime imprisonment, a mandatory minimum term of 5 years up to a lifetime of supervised release, a $500,000 fine, a $200 special assessment, and a $10,000 additional assessment.

The case was investigated by the Federal Bureau of Investigation, and is being prosecuted by Assistant United States Attorney Michelle L. Morgan. An indictment, information, or criminal complaint is an accusation.

A defendant is presumed innocent unless and until proven guilty.

PHILADELPHIA – United States Attorney William M. McSwain joined fellow Justice Department officials today at a press conference to announce a coordinated health care fraud enforcement action across seven federal districts involving more than $800 million in loss and the distribution of over 3.25 million opioid pills in “pill mill” clinics. The takedown includes new charges against 48 defendants for their roles in submitting over $160 million in fraudulent claims. Of those 48 defendants, 15 are doctors or medical professionals, and at least 24 defendants were charged for their roles in diverting opioids. In the Eastern District of Pennsylvania, 17 defendants (five of whom are doctors or medical professionals) were arrested, and the conduct involved submission of more than $4 million in fraudulent claims and distribution of approximately 738,000 oxycodone pills to the streets of this District.

Today’s announcement comes one year after the Department of Justice announced the formation of the Newark/Philadelphia Regional Medicare Fraud Strike Force, a joint law enforcement effort that brings together the resources and expertise of the Health Care Fraud Unit in the Criminal Division’s Fraud Section, and the U.S. Attorney’s Offices for the Eastern District of Pennsylvania and the District of New Jersey. The Strike Force focuses its efforts on aggressively investigating and prosecuting complex cases involving patient harm, large financial loss, and the illegal prescribing and distribution of opioids and other dangerous narcotics.

“As today’s takedown demonstrates, this Strike Force has produced precisely what we hoped it would – and by that I mean tangible results,” said U.S. Attorney McSwain. “We have brought together a wealth of resources, knowledge, and subject-matter expertise – that of health care fraud prosecutors, civil enforcement attorneys, data analysts, and law enforcement agencies – all working to stop fraud, waste, and abuse within our federal health care programs and to stem the tide of illegal opioid distribution. These are top priorities of the Department of Justice and of my Office, and our focus in this area continues to pay off.”

At the press conference, U.S. Attorney McSwain announced details about the following cases charged in the Eastern District of Pennsylvania:

Timothy F. Shawl, M.D., 60, of Garnet Valley, PA, a medical doctor, was charged with five counts of unlawful distribution of controlled substances. He allegedly wrote prescriptions for controlled substances that were outside the usual course of professional practice and not for a legitimate medical purpose. As alleged in the indictment, Shawl wrote prescriptions for controlled substances for patients without seeing, treating, or examining them. Shawl allegedly prescribed hundreds of prescriptions for oxycodone to approximately 16 patients, amounting to over 29,000 oxycodone tablets. The Federal Bureau of Investigation (FBI) conducted the investigation. The case is being prosecuted by Trial Attorney Debra Jaroslawicz of the DOJ Fraud Section.

The second case involves defendants Neil K. Anand, M.D., 42, of Bensalem, PA, and Asif Kundi, 31, Atif Mahmood Malik, 34, and Viktoriya Makarova, 33, all of Philadelphia, PA. Anand, a medical doctor, Kundi and Malik, unlicensed foreign medical school graduates, and Makarova, a nurse practitioner, were each indicted on one count of health care fraud and one count of conspiracy to distribute controlled substances. The charges stem from the defendants’ alleged submission of false and fraudulent claims to Medicare, health plans provided by the United States Office of Personnel Management (OPM), and Independence Blue Cross (IBC). The claims allegedly were for “Goody Bags,” which were stuffed with medically unnecessary prescription medications that were dispensed by non-pharmacy dispensing sites owned by Anand. In total, Medicare, OPM, and IBC allegedly paid over $4 million for the Goody Bags. Patients were allegedly required to take the Goody Bags in order to receive prescriptions for controlled substances.

According to the indictment, Malik and Kundi wrote prescriptions for controlled substances using blank prescriptions that were pre-signed by Anand or Makarova. Anand and Makarova provided over 10,000 prescriptions for Schedule II controlled substances, of which over 7,000 were for oxycodone, for a staggering total of over 634,000 oxycodone tablets distributed from this scheme. The investigation was conducted by the following agencies: FBI, Department of Health and Human Services – Office of Inspector General (HHS-OIG), United States Postal Service – Office of Inspector General (USPS-OIG), the Office of Personnel Management, the Pennsylvania Office of Attorney General, and the Philadelphia Police Department. The case is being prosecuted by DOJ Trial Attorney Jaroslawicz.

Additionally, 12 indictments were unsealed yesterday involving charges against 12 people for allegedly possessing oxycodone with intent to distribute. The indictments charge that, from September 2016 through June 2019, the 12 defendants all presented forged prescriptions for oxycodone to various pharmacies outside of Philadelphia, in order to obtain oxycodone to distribute to others. The defendants, all from Philadelphia, allegedly drove to Pennsylvania pharmacies in Marcus Hook, Drexel Hill, and Kennett Square, and a New Jersey pharmacy in Mount Laurel, to fill these forged prescriptions. The defendants are charged with at least two, and up to 32, counts of possession with intent to distribute oxycodone. The defendants are charged with having received anywhere from 6,300 milligrams to 135,000 milligrams of oxycodone, which is approximately 75,000 oxycodone pills.

Charged were: Lamar Dillard, 37; Jermaine Grant, 29; Katrina Tucker, 32; Maurice Bertrand, 31; Courtney Brockenborough, 34; Alan Alexander Harrison, 29; Abdullah Howard, 23; Jonathan Metellus, 32; Clinton Monte Bullock, 29; Crystal Coleman, 31; Marques Russell, 35; and Joseph Michael Simmons. One defendant, Metellus, is also charged with one count of health care fraud, for allegedly using his Medicaid card to purchase prescription drugs with a forged prescription. These cases were investigated by the Drug Enforcement Administration, HHS-OIG, the Pennsylvania Department of State’s Bureau of Enforcement and Investigations, the Chester County District Attorney’s Office, and the Easttown Township Police Department. They are being prosecuted by Assistant U.S. Attorneys David E. Troyer, Elizabeth Abrams, Joan Burnes, and Mary Kay Costello, all of the Eastern District of Pennsylvania.

Today’s enforcement actions were led and coordinated by the Health Care Fraud Unit of the Criminal Division’s Fraud Section, in conjunction with its Medicare Fraud Strike Force, as well as the U.S. Attorney’s Offices for the Eastern District of Pennsylvania, District of New Jersey, Western District of Pennsylvania, Eastern District of New York, Western District of New York, District of Connecticut, and District of Columbia.

“Physicians and other medical professionals who fraudulently bill our federal health care programs are stealing from taxpayers and robbing vulnerable patients of necessary medical care. The medical professionals and others engaging in criminal behavior by peddling opioids for profit continue to fuel our nation’s drug crisis,” said Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division. “The Department of Justice will continue to use every tool at our disposal, including data analytics and traditional law enforcement techniques, to investigate, prosecute, and punish this reprehensible behavior and protect federal programs from abuse.”

“Today's indictments confirm the FBI's commitment to hunting down doctors and other healthcare professionals who act like drug dealers. The opioid crisis is devastating families here in Philadelphia and across the country. The FBI and its law enforcement partners will continue to focus on corrupt physicians and others driving the epidemic,” said Michael T. Harpster, Special Agent in Charge of the Philadelphia Division of the FBI.

“Today’s law enforcement actions show we are holding alleged bad actors accountable and working to prevent further harm to beneficiaries and taxpayers,” said Maureen R. Dixon, Special Agent in Charge, Philadelphia Regional Office of the Inspector General, U.S. Department of Health and Human Services. “HHS-OIG will continue to work with our law enforcement and community partners to combat health care fraud and drug diversion in the Philadelphia Region.”

“The DEA’s Diversion Investigators and Tactical Diversion Squads are missioned with the identification, investigation, and arrest of rogue DEA Registrants and drug trafficking organizations involved in the illegal distribution of controlled substances such as oxycodone and other prescription painkillers,” said Jonathan A. Wilson, Special Agent in Charge of the DEA’s Philadelphia Field Division. “Working with our partner agencies such as the U.S. Department of Health & Human Services, the U.S. Department of Labor, and the Federal Bureau of Investigation, the DEA will continue to pursue federal criminal cases and parallel civil proceedings against the registrants and organizations that seek to divert these powerful painkillers that have contributed to the opioid epidemic.”

U.S. Postal Service Office of Inspector General Special Agent in Charge Kenneth Cleevely, Eastern Area Field Office, stated: “The Postal Service spends billions of dollars per year on health care related costs for postal employees, the majority of which is for legitimate purposes. However, a few medical providers try to take advantage of the system. USPS – OIG special agents will vigorously investigate health care fraud allegations that touch the Postal Service and will work with our law enforcement partners to bring fraudsters to justice.”

“The opioid, heroin, and fentanyl epidemic is devastating Pennsylvania communities, and it is fueled in part by prescription drug abuse,” said Pennsylvania Attorney General Josh Shapiro. “The defendants had a responsibility to help their patients, but instead they are charged with giving them dangerous opioids that they did not need. They also allegedly committed millions of dollars in insurance fraud, which causes rates for all consumers to increase. I’m proud to work with our law enforcement partners to put a stop to this criminal enterprise and protect the people of Pennsylvania.”

A complaint, information or indictment is merely an allegation, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.

PHILADELPHIA, PA – First Assistant U.S. Attorney Jennifer Arbittier Williams announced today an $8.5 million civil settlement to resolve two False Claims Act cases, United States et al. ex rel. Ravi Srivastava v. Trident USA Health Services LLC, Symphony Diagnostic Services No. 1, Inc. dba MobilexUSA, Civil Action No. 16-2956 (E.D. Pa.), and United States ex rel. Peter Goldman v. Symphony Diagnostic Services No. 1, LLC, d/b/a MobilexUSA, Civil Action No. 19-cv-01603 (E.D. Pa.).  The lawsuits were filed by whistleblowers Ravi Srivastava and Peter Goldman, respectively, on behalf of the United States. The defendant is MobilexUSA, also known as Trident USA Health Services, LLC (Trident). 

Trident provides mobile diagnostic services, including mobile x-rays, to individuals residing in skilled nursing facilities. The United States pays Trident to provide mobile x-rays to Medicare and Medicaid participants in these skilled nursing facilities.  Whistleblower Srivastava had been Trident’s Chief Information Officer, and whistleblower Goldman had been a Trident regional sales manager.  Based upon these whistleblowers’ allegations that Trident was engaged in a kickback scheme with skilled nursing facilities, the government investigated Trident’s pricing arrangements and its costs to provide mobile x-rays at these facilities. 

Based upon its investigation, the government alleges that, from approximately June 2006 through September 2019, Trident engaged in illegal “swapping” arrangements under which Trident provided mobile x-rays to skilled nursing facilities at prices below Trident’s costs to provide the services, or below fair market value, for the purpose of inducing the facilities to refer lucrative federal health program business to Trident. Federal law prohibits the payment of kickbacks in exchange for the referral of federal healthcare business, including for healthcare that will be paid by the federal government through Medicare or Medicaid. Trident, like other companies that submit claims for payment to Medicare or Medicaid, is required to certify that it is compliant with federal anti-kickback laws. The government alleges that Trident’s certifications of anti-kickback law compliance were false certifications.   

On February 10, 2019, Trident filed for bankruptcy protection. In bankruptcy, Trident sought to extinguish the government’s ability to collect any damages or penalties from Trident in connection with the illegal swapping arrangements. Despite Trident’s bankruptcy, the government and whistleblowers Srivastava and Goldman and their counsel worked together closely and continued their vigorous pursuit of the government’s claims, resulting in the $8.5 million settlement.

First Assistant U.S. Attorney Williams said: “Companies that violate the False Claims Act through illegal swapping arrangements, or by any other illegal scheme violating federal laws designed to protect the public fisc, will not find a safe harbor in bankruptcy court. The government will not relent or be deterred in our pursuit of justice for America’s taxpayers.”    

Whistleblower Srivastava will receive $2,018,750.00 as his share of the government’s $8.5 million recovery, and whistleblower Goldman will receive $106,250.00. The whistleblowers were represented by attorneys Sherrie R. Savett, Esq. and Russell D. Paul, Esq., of Berger Montague, Philadelphia, PA, and James D. Young, Esq., of Morgan & Morgan Complex Litigation Group, Jacksonville, FL, respectively. “The whistleblowers and their lawyers provided vital and exceptionally valuable support to the government’s effort in this case, even after Trident’s bankruptcy put any recovery in doubt,” stated Williams.

This case was investigated by the U.S. Department of Health and Human Services Office of the Inspector General. The lawsuits were handled by Assistant U.S. Attorneys Joel M. Sweet and Veronica J. Finkelstein, Auditor Dawn Wiggins, and Investigator Jeffrey R. Braun, from the U.S. Attorney’s Office for the Eastern District of Pennsylvania, along with Trial Attorneys Alex Thor Pogozelski and Michael J. Podberesky of the Civil Frauds Branch of the Department of Justice. Assistant U.S. Attorney Jessica Hu of the U.S. Attorney’s Office for the Southern District of New York represented the United States in Trident’s bankruptcy proceedings.     

The government’s settled civil claims are based on allegations. There has been no court determination of liability.

PHILADELPHIA, PA – United States Attorney William M. McSwain announced that the owners of E-Z Pharmacy in Philadelphia have agreed to pay $1,100,000 to resolve liability under the False Claims Act.

Dhanyabapa LLC, doing business as E-Z Pharmacy, and Shardaben Patel will jointly pay $1,100,000 to the federal government to resolve allegations that they violated the False Claims Act by billing Medicare for prescription medications that were not actually dispensed during the period from January 1, 2012 to December 31, 2016. These medications include Advair Diskus, Humalog, Novolog, Renvela, and Lidoderm. Dhanyaba LLC and Shardaben Patel also agreed to a ten-year federal healthcare exclusion, which will prohibit them from receiving payments from any federally funded health care insurer such as Medicare for the next decade.

“Taxpayer dollars should be spent on needed medications, not wasted on fraud and abuse,” said U.S. Attorney McSwain. “We appreciate E-Z Pharmacy's willingness to promptly negotiate a resolution in this matter. I also want to thank the Department of Health and Human Services, Office of the Inspector General for its referral of this matter. Our Office will continue to work proactively with our law enforcement partners to identify and prosecute fraudulent conduct.”

“Pharmacies are responsible for all claims they submit to Medicare,” said Maureen R. Dixon, Special Agent in Charge of the Philadelphia Regional Office of the Department of Health and Human Services, Office of the Inspector General. “HHS-OIG and the U.S. Attorney’s Office take allegations of health care fraud seriously and will work together to ensure taxpayer dollars are only spent on bona fide medical claims.”

The settled civil claims are allegations only. There has been no determination of civil liability.

This case was investigated by the U.S. Department of Health and Human Services Office of the Inspector General. It was handled by Assistant U.S. Attorney Deborah W. Frey, Civil Chief Gregory B. David, and Auditor George Niedzwicki.

PHILADELPHIA – First Assistant United States Attorney Jennifer Arbittier Williams announced today that the following sentences were handed down this week for defendants’ participation in a nationwide child exploitation enterprise and child pornography conspiracy occurring over the online communications service Discord: (a) Andrew Dowdle, 47, of Oswego, New York, was sentenced to 16 years’ imprisonment and 15 years of supervised release; (b) Carl Masters, 44, of Lawrence, Kansas, was sentenced to 27 years’ imprisonment and a lifetime of supervised release; and (c) Ric Crossfield, Jr., 24, of Queens, New York, was sentenced to 14 years’ imprisonment and 40 years of supervised release. All three defendants will be required to register as sex offenders upon their release from incarceration. All sentences were imposed by United States District Judge Harvey Bartle III.

The case represents the first child exploitation enterprise prosecution ever brought in the Eastern District of Pennsylvania.

The sentenced defendants and their co-conspirators congregated on Discord, an Internet communications service permitting users to create “servers” (essentially chat rooms with certain advanced features) typically organized around a particular common interest. In the case of the sentenced defendants and their co-conspirators, their common interest was child pornography streamed via web camera or cell phone camera over any of a number of video-streaming platforms (including Omegle, Skype, live.me, Snapchat, Periscope, musical.ly, YouNow and others).

Over various Discord servers, the defendants and the other enterprise members encouraged one another to produce child pornography by communicating over the Internet directly with minors and enticing them to broadcast sexually explicit videos of themselves, and then to share the results of their successful efforts (which they described as “wins”) with other members of the group. The members also provided each other with links to child pornography and technical advice designed to facilitate the viewing and retention of child pornography videos. Hundreds of minor children were victimized by the enterprise, and vast quantities of child pornography were produced.

Each of these sentences followed a previous guilty plea. Dowdle pled guilty to conspiracy to advertise child pornography on April 8, 2019. Masters pled guilty to engaging in a child exploitation enterprise and conspiracy to advertise child pornography on April 25, 2019. Crossfield pled guilty to engaging in a child exploitation enterprise and conspiracy to advertise child pornography on April 17, 2019.

“The harm caused by any child exploitation is devastating and long-lasting,” said First Assistant U.S. Attorney Williams. “In this case, the impact can be multiplied by the hundreds of victims these defendants and others manipulated for their own benefit. There can be no doubt that children across the nation, and the world, are safer now that these defendants are off the street. We stand ready with our federal and local partners to identify and prosecute all those who would prey upon minor children.”

The case was investigated by the Federal Bureau of Investigation, and is being prosecuted by Assistant United States Attorney Seth M. Schlessinger and Trial Attorneys Lauren E. Britsch and Kaylynn N. Foulon of the Department of Justice’s Child Exploitation and Obscenity Section.