Eastern District of Pennsylvania
Press releases recorded for this federal judicial district.
Philadephia Man Charged with Gun OffenseRead the Press Release
Philip Epps, 26, of Philadelphia, Pa., was charged today by Indictment with possession of a firearm by a convicted felon, announced United States Attorney Zane David Memeger.
If convicted the defendant faces a mandatory minimum term of imprisonment of 15 years, and a maximum possible sentence of life imprisonment.
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 Virgil B. Walker.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525International Arms Smuggler Sentenced to X Years in PrisonRead the Press Release
PHILADELPHIA – Siarhei Baltutski, a/k/a Sergey Boltutskiy, 41, of Minsk, Belarus, was sentenced today to XX months in prison for conspiracy to violate the Arms Export Control Act, conspiracy to violate the International Emergency Economic Powers Act, and conspiracy to commit money laundering. Baltutski pleaded guilty on January 25, 2013. In addition to the prison term, U.S. District Court Judge Paul S. Diamond ordered ...
The sentence was announced by United States Attorney Zane David Memeger, Acting Assistant Attorney General John Carlin of the Justice Department’s National Security Division, Acting Assistant Attorney General Mythili Raman, of the Justice Department’s Criminal Division, and Special Agent-in-Charge John P. Kelleghan of Immigration and Customs Enforcement Homeland Security Investigations.
Between January 1, 2008 and September 21, 2011, Baltutski organized a network of buyers in the United States to obtain and illegally export to Belarus high-tech military hardware such as Scorpion Thermal Weapon Sights, ThOR 2 Thermal Imaging Scopes, Thermal-Eye Renegade 320's, and other night vision targeting devices. During the course of the conspiracy, Baltutski and his associates illegally exported hundreds of such items. Baltutski then arranged for hundreds of thousands of dollars to be secretly wired, via offshore shell companies, to purchase these items, pay for shipping, and pay his network of buyers.
“The Arms Export Control Act and the International Emergency Economic Power Act prohibit the export of high tech military technology which is critical to the national security and foreign policy interests of the United States,” said Memeger. “Keeping this important technology out of the hands of current and potential adversaries is critical to our national interest and the safety and success of our service members in combat today.” “Today’s sentence sends a strong message that the justice system will seriously punish those who threaten our national interests through this type of criminal activity.”
“HSI is committed to protecting Americans and our allies from greedy profiteers exporting sensitive technology,” said Kelleghan. “When sensitive military components get into the wrong hands, our national security and our troops’ lives are seriously threatened.”
“The FBI places a high priority on preventing advanced technology from getting to those who might use it to harm American troops or U.S. interests,” said FBI Special Agent-in-Charge Edward J. Hanko. “In this case, one man’s greed potentially put untold numbers of Americans at risk.”
This case was investigated by the U.S. Immigration and Customs Enforcement Homeland Security Investigations and the Federal Bureau of Investigation. It was prosecuted by Assistant U.S. Attorney Robert Livermore, Trial Attorney Jerome Maiatico with the Department of Justice’s Organized Crime and Gang Section, and Trial Attorney David Recker of the National Security Division.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525New York Man Charged with EscapeRead the Press Release
Jermaine Heylinger, 41, of Jamaica, New York, was charged today by Indictment with one count of escape, announced United States Attorney Zane David Memeger.
If convicted the defendant faces a maximum possible sentence of five years imprisonment, a $250,000 fine, 3 years supervised release and a $100 special assessment.
The case was investigated by the United States Marshal Service and is being prosecuted by Assistant United States Attorney Jennifer Chun Barry.
Click here to view the indictment
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Alleged Bank Robber ChargedRead the Press Release
Marcus Akiem Ricketts, 36, of Boyertown, Pennsylvania was charged today by superseding indictment with armed bank robbery and using and carrying a firearm during a crime of violence, announced United States Attorney Zane David Memeger. These charges stem from four armed bank robberies. The indictment alleges Ricketts committed the following armed robberies: on June 8, 2010, at the Sovereign Bank, located at 258 East High Street, Pottstown, Pennsylvania; on January 24, 2012, at the Citizens Bank, located at 209 Lancaster Avenue, Devon, Pennsylvania; on April 12, 2012, at the First Niagara Bank, located at 502 State Avenue, Emmaus, Pennsylvania; and on July 2, 2012, at the Manufacturers and Traders Trust Company (“M&T Bank”), formerly located at 760 North Pottstown Pike, in Exton, Pennsylvania.
If convicted of all charges, Ricketts faces a maximum possible sentence of life imprisonment, with a mandatory minimum term of 82 years, five years of supervised release, a $2 million fine, and an $800 special assessment.This case was investigated by the Federal Bureau of Investigation, the Pennsylvania State Police, the Chester County Sheriff’s Department, the Chester County Detectives, and the police departments for Easttown Township, Emmaus, Lower Merion, Pottstown, Uwchlan, Shillington Township, Warminster, and West Whiteland, Pennsylvania. In addition, the District Attorney’s offices for the counties of Berks, Bucks, Chester, Lehigh and Montgomery were also involved in the investigation. This case is being prosecuted by Assistant United States Attorney Jeffery W. Whitt.
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An Indictment or Information is an accusation. A defendant is presumed innocent unless and until proven guilty.UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Ambulance Company Owners Sentenced to Prison for Health Care Fraud SchemeRead the Press Release
PHILADELPHIA - Aleksandr N. Zagorodny, 40, of Southampton, PA, was sentenced today to 78 months in prison for a healthcare fraud scheme involving MedEx Ambulance, Inc., located in Feasterville, PA. Zagorodny was the President and a founder of MedEx Ambulance. His 36 year-old brother, Sergey Zagorodny, from Philadelphia, PA, the former Vice-president and co-owner of the company, was sentenced to 60 months in prison for his involvement in the health care fraud scheme. MedEx Ambulance was ordered to be dissolved after it has been excluded from participation in Medicare and its assets are transferred to the government to satisfy restitution and forfeiture obligations. Each defendant had pleaded guilty to all counts in a 41-count indictment including health care fraud, false statements in connection with health care matters, wire fraud, and conspiracy to commit health care fraud and wire fraud.
Defendant MedEx Ambulance and its owners transported patients who were able to walk and could travel safely by means other than ambulance and who were not eligible for ambulance transportation under Medicare requirements. Falsified reports made it appear that the patients needed to be transported by ambulance when the defendants and their employees knew otherwise. The defendants billed for the ambulance services as if those services were medically necessary. The Medicare program was bilked out of more than $3.4 million through this fraud.
U.S. District Court Judge Berle M. Schiller also ordered restitution to Medicare in the amount of $3,418,358.81, a special assessment of $4,100 for each individual defendant and $16,400 for the corporation, and a 3-year term of supervised release for the individuals and 5 years of probation for the corporation. The Court ordered the forfeiture of four ambulances that had been purchased for over $200,000, as well as forfeiture of bank accounts worth over $40,000, and entered a money judgment against the defendants for $3,418,358.81. In connection with the sentencing, the company agreed to sell its base of operations and to provide the proceeds of that sale to the government in partial satisfaction of the defendants’ restitution obligations. The defendants and their wives also pledged to sell their family homes, as well as additional property, and to provide the proceeds of the sale of those assets to partially satisfy the defendants’ restitution obligations.
The case was investigated by the Federal Bureau of Investigation and the U.S. Department of Health and Human Services, Office of the Inspector General. It is being prosecuted by Assistant United States Attorney Matthew J.D. Hogan.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Member of the Violent "Harlem Boys" Drug Gang Sentenced to Life in PrisonRead the Press Release
PHILADELPHIA – Ramel Moten, 29, of Philadelphia, was sentenced today to life plus 130 years in prison for racketeering, attempted murder in-aid-of-racketeering and other charges connected to the activities of a violent drug gang called the “Harlem Boys.” Moten and six other members of the gang, which operated in and around the Bartram Village Housing Development (“BVHD”) in Southwest Philadelphia, were convicted at trial on December 6, 2012. The 13 other defendants charged in the 89-count indictment and one additional charged separately pleaded guilty. Moten was a lead gunman, supplier and distributor of illegal narcotics for the enterprise. He frequently provided firearms to the other members of the gang for use in robberies. The gang committed crimes including attempted murder in aid of racketeering, robbery, carjacking, assault in aid of racketeering, threats in aid of racketeering, firearms offenses that include use of firearms during the commission of violent crimes and numerous substantive drug crimes, including conspiracy to distribute 280 grams or more of cocaine base. The trial lasted 12 weeks.
Convicted at trial with Moten were: Reginald Stephens, Bryan Hill, Warren Stokes, Hikeem Torrence, Merrell Hobbs, and Khalil Allen. Each faces a mandatory minimum prison term of 10 years with a maximum of life when sentenced.
“The sentence imposed today sends a very clear message to gang members in our city that if you engage in violent behavior you will be investigated, prosecuted, and put behind bars for a very long time. ATF has a zero-tolerance policy towards career criminals who continually inflict senseless acts of violence in our neighborhoods,” said ATF Special Agent-in-Charge Sam Rabadi. “Communities, like Bartram Village, can have an improved quality of life when violent predators are removed from our streets.”
In addition to the prison term, U.S. District Court Judge Lawrence Stengel ordered a $5,000 fine, a $3,100 special assessment and 10 years of supervised release.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Philadelphia Police Department, it is being prosecuted by Assistant United States Attorneys Salvatore L. Astolfi and Katayoun Copeland.UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Shoe Store Chain Owner Sentenced for Tax Fraud ConspiracyRead the Press Release
Augst 29, 2013PHILADELPHIA - Uri Jacobson, 42, of Philadelphia, was sentenced today to 30 months in prison for a tax fraud conspiracy that involved paying employees under the table and filing false tax returns. Jacobson, the co-owner of 12 shoe and discount stores doing business as Bare Feet Shoes, employed more than 200 people in Pennsylvania and New Jersey including Elena Falaschetti, 53, also of Philadelphia, who was a store manager and was indicted with Jacobson. Falaschetti was sentenced on May 20, 2013 to six months of home confinement. U.S. District Court Judge Lawrence F. Stengel also ordered Jacobson to pay restitution to the IRS in the amount of $1,263,000 and ordered one year of supervised release.
Between 2003 and 2009, Jacobson decided to pay some of his employees, in whole or in part, “under the table,” that is, without federal income taxes and federal Social Security and Medicare taxes being withdrawn from their wages and paid to the IRS. Jacobson caused his office employees, including Falaschetti, to falsely report salary, hours, and/or wages per hour for certain employees to the company’s payroll service. Jacobson’s own corporate records show that between 2004 and approximately September 2009, Bare Feet Shoes paid out a total of approximately $2,787,640 in gross wages which were not reported to the IRS and from which federal income taxes and Social Security and Medicare taxes were not withheld and paid to the IRS. Jacobson’s failure to withhold and pay over his employees full federal taxes, and his failure to pay his employer’s matching share of the Social Security and Medicare taxes, caused a tax loss of approximately $596,628.
Jacobson, who pleaded guilty on September 5, 2012, filed false tax returns for 2004, 2006, 2007, and 2008 and failed to file a personal income tax return for 2005, under-reporting his income by approximately $700,000. Falaschetti, who also pleaded guilty on September 5, 2012, filed false personal income tax returns for tax years 2006 through 2009, under-reporting her income by approximately $121,000.
The case was investigated by the Internal Revenue Service Criminal Investigations and was prosecuted by Assistant United States Attorney Paul Gray.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Philadelphia Pair Charged in Drug CaseRead the Press Release
Antonio Smith-Valera, a/k/a “Antonio Smith,” 56, and Moise Calzadilla, a/k/a “Cuba,” 39, both of Philadelphia, Pennsylvania was charged by Indictment today with conspiracy to distribute cocaine, distribution of cocaine, and attempted distribution of cocaine, announced United States Attorney Zane David Memeger. Smith-Valera was additionally charged with possession with intent to distribute crack, cocaine, and heroin; possession of firearm in furtherance of drug trafficking crime; and possession of firearm by convicted felon.
If convicted, Smith-Valera faces a maximum of life imprisonment, a mandatory minimum of 15 years imprisonment, a minimum of eight years of supervised release up to a lifetime of supervised release, a $21,500,000 fine, a $600 special assessment, and forfeiture. If convicted, Calzadilla faces a maximum of 80 years imprisonment, a mandatory minimum of 5 years imprisonment, a minimum of four years of supervised release up to a lifetime of supervised release, a $6,000,000 fine, a $300 special assessment, and forfeiture.
The case was investigated by the Drug Enforcement Administration and the Montgomery County Narcotics Enforcement Team. It is being prosecuted by Assistant United States Attorney Ewald Zittlau.
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UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Nine Year Prison Sentence for Illegal Gun RunnerRead the Press Release
PHILADELPHIA – Luis Ramos, 35, of Philadelphia, was sentenced yesterday to 108 months in prison for his role in an illegal gun trafficking operation. Ramos was charged with six other defendants who were using Ramos’ house, in the 2000 block of East Atlantic Street in Philadelphia, as a center for illegal gun sales. Between February 2011 and August 2012, on multiple occasions, one or more of the co-conspirators agreed to sell a buyer a gun and, when the buyer pulled up in front of Ramos’ house, or other locations, delivered the gun to the buyer’s car window. In addition to Ramos’ house, the defendants were using a storage facility, in the 3500 block of North B Street, and a clothing store, in the 3900 block of Kensington Avenue, for purposes of conducting their illegal gun sales. The operation was brought to a halt by an undercover investigation involving the Bureau of Alcohol, Tobacco, Firearms and Explosives.
Ramos pleaded guilty to conspiracy, gun trafficking, unlawfully making a weapon from a shotgun, two counts of unlawfully transferring a firearm, unlawful possession of a short-barreled shotgun, and 21 counts of being a felon in possession of a firearm. Ramos’ co-defendants Ruben Ramos, Dalvi Rodriguez, and Jim Cruz are awaiting sentencing; Co-defendants Daniel Ruiz, Hector Ortiz, Eddy Delacruz, and Miguel Massa are awaiting trial. In all, their operation sold 43 guns illegally, plus ammunition.
Ramos and his co-defendants were arrested with several other defendants charged in separate indictments as a result of the ATF investigation which also resulted in the seizure of more than five dozen guns and hundreds of rounds of ammunition.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives and is being prosecuted by Assistant United States Attorney Joseph Labar.UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Bank Employee Charged in Fraud SchemeRead the Press Release
Horng Dai, a/k/a “James Dai,” 46, of Newtown, PA, was charged today by Indictment1 with seven counts of receipt of commissions or gifts for procuring loans, announced United States Attorney Zane David Memeger.
If convicted on all counts, the defendant faces a maximum possible sentence of 65 years imprisonment, a $2.5 million fine, not more than five years of supervised release and a $325 special assessment.
The case was investigated by the Federal Bureau of Investigation and is being prosecuted by Assistant United States Attorney Linwood C. Wright, Jr.
Click here to view the indictment
1 An Indictment or Information is an accusation. A defendant is presumed innocent unless and until proven guilty.UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Alleged Drug Traffickers IndictedRead the Press Release
PHILADELPHIA - A superseding indictment, filed August 21, 2013, was unsealed today charging Joseph Torres, 31, Bertin Sanchez, 29, Euddy Izquierdo, 31, and Frank Felix-Herrera, 49, all of Philadelphia, with membership in a conspiracy to distribute one kilogram or more of heroin, announced United States Attorney Zane David Memeger. All four defendants are charged as members of a conspiracy that allegedly distributed more than 500 kilograms of heroin produced by a Mexico-based heroin distribution organization. The drugs were sold and distributed in Philadelphia between the Spring of 2010 and July 19, 2013. Torres, Sanchez and are further charged with possession with intent to distribute, and aiding and abetting possession with intent to distribute 12 kilos of heroin, which was seized from the organization’s heroin stash house located at 3901 City Line Avenue. Izquierdo is charged with possession to distribute 21 kilos of heroin; and Felix-Herrera is charged with possession with intent to distribute 2 kilos of heroin.
The indictment further charges that defendant Torres coordinated and supervised the transportation and delivery of the from Mexico to Philadelphia where he oversaw distribution of kilogram quantities of heroin by defendant Sanchez. Torres also allegedly collected and supervised the storage, transportation and laundering of drug proceeds for the organization, accounted to the leaders of the organization, and ensured that drug proceeds were laundered transmitted, and transported to the leadership in Mexico using various money laundering techniques. It is further charged that Sanchez received, arranged and supervised the storage and distribution of kilogram to multi-kilogram quantities of heroin distributed by the Mexico-based organization’s Philadelphia distributors. It is alleged that at the time of defendant Sanchez’s arrest on July 19, 2013, Sanchez had recently distributed approximately 39 kilograms of heroin for the organization and was awaiting cash payments from Philadelphia area heroin distributors.
The indictment also alleges that defendant Izquierdo and Felix-Herrera served as distributors for the Mexico-based heroin trafficking organization and was responsible for the distribution of kilogram to multi-kilogram quantities of heroin in the Philadelphia area. At the time of Izquierdo’s arrest, he was found in possession of $105,118.56 representing alleged drug proceeds. The indictment further charges that Izquierdo also coordinated the transfer of heroin from Mexico and Chicago, Illinois to the Philadelphia region, using vehicles with concealed compartments intended for carrying drugs and drug proceeds.
According to the indictment, at the time of Torres’ arrest on July 19, 2013, at an apartment at 7801 Roosevelt Boulevard, agents found $19,319 in alleged drug proceeds, as well as a smashed electronic money counter and a heat sealer used in the packaging of drug proceeds. In addition, Torres was found to be in possession of a black Saturn automobile which contained a hidden, electronically controlled compartment that contained $89,920 in United States currency.
If convicted of all charges, each of the defendants faces a maximum penalty of life in prison with a mandatory minimum term of 10 years, at least five years of supervised release, and a fine of up to $20 million.The case was investigated by the Drug Enforcement Administration and is being prosecuted by Assistant United States Attorney Joseph T. Labrum, III.
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UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Advance Pay Scheme Defendant Pleads Guilty to Multi-million Dollar Fraud of EntrepreneursRead the Press Release
PHILADELPHIA - Andrew Bogdanoff, 66, of Scottsdale, Arizona, pleaded guilty today to charges stemming from an advance fee scheme that defrauded hundreds of victims searching for commercial financing. The scheme defrauded more than 800 victims out of more than $10 million. Bogdanoff pleaded guilty to conspiracy to commit mail and wire fraud, mail fraud, wire fraud, money laundering, conspiracy to defraud the United States, and filing false tax returns. He faces an advisory sentencing guideline range of at least 121 months to 151 months in prison. A sentencing hearing is scheduled for December 4, 2013.
Charged in the 33-count indictment with Bogdanoff were Matthew McManus, 44, of Glenside, Pennsylvania, Shayne Fowler, 28, of Scottsdale, Arizona, Joel Nathanson, 26, of San Diego, California, Frank Vogel, 48, of Rochester Hills, Michigan, and Aaron Bogdanoff, 25, of Scottsdale, Arizona.
Andrew Bogdanoff was the founder and chairman of Remington Financial Group (later renamed Remington Capital) and ran the company with defendant McManus until 2008 in Arizona and Pennsylvania. After McManus left the company in 2008, defendant Fowler replaced McManus as Bogdanoff’s right-hand man. Defendant Nathanson was one of Remington’s most proficient employees and helped Remington defraud many victims. Defendant Vogel was a Michigan-based broker who referred numerous victims to Remington in exchange for large kickbacks.
Between 2005 and 2011, the defendants fraudulently induced hundreds of people to pay Remington fees in excess of $10,000 a piece, based on false representations that Remington had lenders and/or investors ready to provide financing for the victims’ projects. To facilitate this fraud the defendants issued each victim a “letter of interest,” commonly referred to as an LOI. Almost every LOI Remington issues stated that Remington had a lender or investor interested in financing the victim’s project. Remington issued an LOI to every victim even though no Remington employee had spoken to any funding source and Remington knew that it was unlikely to find funding for the project.
The LOI was written to fraudulently lead victims to believe that Remington was either a lender or had spoken to lenders that had already expressed interest in the customer's project when neither was true. Additionally, the financing terms Remington included in the LOI were unrealistic and were used solely to induce customers to pay Remington's advance fees. In addition to the false representations in the LOI, the defendants and other Remington employees allegedly also told victims the following lies to further induce victims to pay Remington’s fees: a) Remington had five investors or lenders interested in their project; b) Remington was the actual lender for the project; c) Remington funded or “closed” 80 percent of its deals; d) the victim would get funding for the project once the advance fee was paid and/or; e) Remington would provide funding through its funding source Northbridge.
After a customer paid Remington’s fee, McManus and Andrew Bogdanoff instructed Remington employees to find problems with the projects so that Remington could blame its failure to provide financing on the victim. The defendants did this to help protect Remington from civil and criminal complaints.
Some of the defendants used sophisticated means to perpetuate the fraud. For instance, in 2010, defendants Fowler and Andrew Bogdanoff used Remington’s website to advertise an anti-fraud policy and stated falsely that Remington had recently provided information to the Federal Bureau of Investigation and local law enforcement authorities about a suspected email scam. Remington posted this information to ensure that if potential customers used an internet search engine to search for allegations about Remington's fraud they would be directed to Remington's website, rather than third-party internet sources that contained negative information about Remington.
Co-defendants Joel Nathanson and Shayne Fowler have pled guilty and are awaiting sentencing.
The case was investigated by the Federal Bureau of Investigation and the Internal Revenue Service Criminal Investigation Division with assistance from the Pennsylvania Securities Commission. It is being prosecuted by Assistant United States Attorney David Axelrod.UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Norristown Man Sentenced to 22 Years for Robbing Tavern and Its EmployeeRead the Press Release
PHILADELPHIA - Marc Viney, 35, of Norristown, was sentenced today to 264 months in prison for robbing an employee of the Roo House Tavern in Norristown and then robbing the tavern. Viney was convicted on January 31, 2013, following a four day trial, of robbery, criminal conspiracy to commit robbery, and possession of a firearm in furtherance of a violent crime.
On July 10, 2011, Viney followed home an employee of the Roo House Tavern, after the employee closed the bar for the night. At the victim's apartment, Viney confronted the victim, bound, gagged, blindfolded, and assaulted him, while holding him at gunpoint. Viney then stole money and a laptop from the victim’s home. Viney then forced the victim to go back to Roo House Tavern, where Viney stole several thousand dollars in proceeds from the Tavern.
In addition to the prison term, seven years of which is mandatory, U.S. District Court Judge Mary McLaughlin ordered restitution to the victims in the amount of $3,537 and five years of supervised release.
The case was investigated by the FBI, the Montgomery County Detective Bureau and members of the Norristown Police Department. It was prosecuted by Special Assistant United States Attorney Rebecca W. Strubel.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Indictment Charges Illegal Removal of AsbestosRead the Press Release
David Mermelstein, 53, of Willow Grove, Pennsylvania, was charged today by Indictment with five counts of illegal removal of asbestos, announced United States Attorney Zane David Memeger. The indictment alleges that from in or about September, 2009 through in or about April, 2010, Mermelstein hired day laborers instead of licensed asbestos contractors to remove asbestos from commercial property he owned at 10175 Northeast Avenue, Philadelphia. The indictment alleges that Mermelstein directed the removal of asbestos by these laborers without safeguards required by federal law.
If convicted, the defendant faces a maximum possible sentence of 25 years imprisonment and a fine of $1.25 million.
The case was investigated by the Environmental Protection Agency (“EPA”) and the City of Philadelphia’s Air Management Services. It is being prosecuted by Assistant United States Attorney Virgil B. Walker and Special Assistant United States Attorney Patricia Miller.
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UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Racketeering Charges Filed Against Alleged Members of Violent Loan Sharking and Illegal Gambling OrganizationRead the Press Release
PHILADELPHIA - An indictment was unsealed today charging nine people in a loan sharking and illegal gambling ring allegedly run out of several Philadelphia businesses. Ylli Gjeli, 48, Fatimir Mustafaraj, 41, George Markakis, 43, Gezim Asllani, 34, Rezart Rahmi Telushi, 40, Eneo Jahaj, 26, Ardit Pone, 35, all of Philadelphia, PA, Erion Murataj, 35, of Huntingdon Valley, and Brian Jackson, 35, of Harleysville, were arrested this morning. They are named in an indictment charging racketeering conspiracy, racketeering collection of unlawful debt, making extortionate extensions of credit, collections of extensions of credit by extortionate means, operating an illegal gambling business, and possession of a firearm in furtherance of a crime of violence.
The charges were announced by United States Attorney Zane David Memeger, Acting Assistant Attorney General Mythili Raman of the Justice Department’s Criminal Division, FBI Special Agent-in-Charge Ed Hanko and Special Agent-in-Charge of IRS Criminal Investigation Akeia Conner.According to the indictment, the defendants and their associates used businesses located in Philadelphia - including the Lion Bar & Grill, Blackbird Café, “Ylli’s 2 Brothers,” First England Pizza, and various coffee shops, among others - to conduct the enterprise’s loan sharking activities and illegal gambling business. The defendants allegedly generated money by making and collecting on loans with usurious rates of interest; using intimidation, threats, and violence to make and collect on loans; and making loans to betting customers whose debts were incurred through the enterprise’s illegal gambling business.
Members and associates of the enterprise allegedly cultivated their reputation for violence by threatening customers with dangerous weapons such as a firearm and hatchet; using implied threats and intimidation; telling customers that if they did not pay their debts someone would kill them, “break your legs,” or physically harm them or their family members in some other way; and physically assaulting subordinate members and associates.
It is further alleged that the defendants attempted to conceal the existence and operations of the enterprise from law enforcement by: limiting their discussions of criminal activities when on the phone, using cryptic and coded language to describe criminal activities, such as “pizza” to describe a loan; conducting pat-downs and body searches of customers to check for weapons and recording devices; and conducting the enterprise’s transactions primarily in cash.
“The indictment charges the defendants with running a violent loan sharking and gambling enterprise, using intimidation, threats, and actual violence as part of their illegal business,” said Memeger. “We will not tolerate this type of criminal activity that preys upon financial weakness and threatens the physical safety of the individuals in debt and their innocent family members.”
“The indictment unsealed today charges nine defendants with operating a criminal enterprise built on illegal gambling and a violent extortion racket,” said Acting Assistant Attorney General Raman. “The Justice Department will not stand by as criminal organizations victimize our communities. Today’s charges demonstrate our ongoing commitment to working alongside our federal, state and local counterparts to root out organized crime.”
“The defendants allegedly victimized people twice over,” said FBI Special Agent in Charge Hanko. “They provided loans at outrageous interest rates to those unable to obtain loans from traditional sources and then used threats and violence to collect on those illegal loans. Today's arrests demonstrate the FBI’s continued commitment to ridding Philadelphia of organized crime, wherever we find it.”
“Individuals who engage in this type of financial fraud should know they will not go undetected and will be held accountable,” said Special Agent-in-Charge of IRS Criminal Investigation Akeia Conner. “IRS Criminal Investigation is committed to ‘following the money trail’ to ensure that those who engage in these illegal activities are vigorously investigated and brought to justice.”
According to the indictment, Gjeli was a leader and “boss” of the organization; Mustafaraj, a/k/a “Tony,” was a leader and “muscle.” Both allegedly directed other members in the loan sharking activities and illegal gambling business, approved loans, used intimidation and threats of violence against customers, collected weekly loan payments, physically assaulted subordinate members and associates, supervised the illegal gambling business, provided cash to pay customer’s gambling wins and otherwise financed the gambling business, collected gambling debts, and made loans to customers whose debts were incurred through the illegal gambling business. Markakis, a/k/a “George the Greek,” a/k/a “Fat George,” was allegedly a leader of the enterprise who directed other members in the illegal gambling business. Defendants Murataj, a/k/a “Ben,” a/k/a “Paul,” and Asllani, a/k/a “Sam,” were allegedly “collectors” who assisted Gjeli and Mustafaraj in making loans and regularly collected weekly loan payments from customers. Defendant Telushi, a/k/a “Luigi,” was allegedly a “collector” who regularly collected weekly loan payments from customers. Defendants Jahaj, a/k/a “Nimo,” Brian Jackson, a/k/a “Mark,” and Ardit Pone were allegedly “bookies” who operated parts of the illegal gambling business and regularly collected gambling debts. Jahaj and Jackson also set up and administered online accounts to facilitate customer betting and used the enterprise’s loan sharking activities to convert the gambling debts to loans.
If convicted of all charges, defendants Gjeli and Mustafaraj face a maximum possible sentence of life in prison. The remaining defendants each face a maximum possible sentence of 20 years imprisonment.
The case was investigated by the Federal Bureau of Investigation, Internal Revenue Service Criminal Investigations, Immigration and Customs Enforcement Homeland Security Investigations, Pennsylvania State Police, Montgomery County Detectives, and the New Jersey State Police. It is being prosecuted by Assistant United States Attorney Salvatore L. Astolfi and Trial Attorney Jerome Maiatico from the Department of Justice Organized Crime & Gang Section.
Click here to view the indictment
An indictment is an accusation, and defendants are presumed innocent unless and until proven guilty.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525California Man Sentenced for Running Fraudulent ClinicRead the Press Release
PHILADELPHIA – George Baginyan, 33, of Glendale, California, was sentenced to two years in prison for operating a fraudulent clinic and defrauding Medicare. Baginyan was the owner of New Era Health Center Inc. (“New Era”), a purported clinic that was located near the Einstein Medical Center in Philadelphia. Between December 2008 and October 2009, Baginyan used the National Provider Identification number (NPI) of an elderly and frail doctor of osteopathy to bill Medicare for medical services and tests, making it appear that the doctor had provided those services and tests when he had not. The doctor had, in fact, never set foot in New Era. In total, Baginyan caused the submission of fraudulent bills to Medicare totaling more than $250,000, which resulted in payments from Medicare totaling $132,848.81. On October 15, 2012, Baginyan pleaded guilty to 10 counts of health care fraud and 10 counts of making false claims to the government. At his plea hearing, Baginyan admitted that he was fully aware of the fraud he was committing when he submitted the phony claims.
In addition to the prison term, U.S. District Court Judge Mitchell S. Goldberg ordered restitution to Medicare in the amount of $132,848.81, a special assessment of $2,000, and three years of supervised release.
“George Baginyan traveled from California to set up a fraudulent Medicare business in Philadelphia where he stole a physician's identity; submitted false claims for unnecessary, substandard medical procedures; and robbed our Medicare program of more than $100,000,” said Special Agent-in-Charge Nick DiGiulio with the Inspector General’s Office of the United States Department of Health and Human Services in Philadelphia. “Other fraudsters should make note of the sentence in this case and should know that HHS-OIG will continue to pursue those who steal from our government health insurance programs.”
The case was investigated by the United States Department of Health and Human Services Office of Inspector General Office of Investigations. It was prosecuted by Assistant United States Attorney Mary E. Crawley.UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Baltimore Man Charged with Fraudulent Use of A Social Security NumberRead the Press Release
Walter Morgan a/k/a “Walter E. Morgan Gomez,” 34, of Baltimore, MD, was charged today by Indictment with one count of fraudulent use of a social security number and one count of making a false statement, announced United States Attorney Zane David Memeger. In particular, the indictment charges the defendant with using a social security number that did not belong to him, and falsely claiming United States citizenship on an I-9 Form in order to obtain employment.
If convicted, Morgan faces a maximum sentence of 10 years imprisonment, a three-year term of supervised release, a $500,000 fine, and a $200 special assessment.
The case was investigated by the United States Department of Labor, Office of Inspector General, Social Security Administration, Office of Inspector General, the Federal Bureau of Investigation, the U.S. Department of Transportation, Office of Inspector General, and Immigration and Customs Enforcement Homeland Security Investigations. It is being prosecuted by Assistant United States Attorney Paul G. Shapiro.
An indictment is an accusation, and defendants are presumed innocent unless and until proven guilty.
Click here to view the indictment
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Philadelphia Man Charged in Bank RobberyRead the Press Release
Harry Michael Schiech, 30, of Philadelphia, Pennsylvania was charged today by indictmentwith bank robbery and attempted bank robbery, announced United States Attorney Zane David Memeger.
According to the indictment, on May 18, 2013, Schiech robbed the Citizens Bank branch at 2702 Kirkbride Street, in Philadelphia and, on May 24, 2013, attempted to rob the Bank of America branch at 2439 Welsh Road in Philadelphia.
If convicted of all charges, the defendant faces a maximum possible sentence of 40 years in prison.
The case was investigated by the Federal Bureau of Investigation and is being prosecuted by Assistant United States Attorney Salvatore L. Astolfi.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525New Jersey Businessman Sentenced for Tax and Fraud ChargesRead the Press Release
PHILADELPHIA - Mark Olkowski, 62, of North Wildwood, NJ, was sentenced today to three months in prison for filing false personal income tax returns with the Internal Revenue Service from 2006 through 2009 and wire fraud. Olkowski, a business partner in K & O Sporting Goods on Moyamensing Avenue in Philadelphia, pleaded guilty on April 24, 2013 to the tax charges and to 15 counts of wire fraud committed upon the Pennsylvania State Unemployment Compensation system. K & O is a distributor of t-shirts and other clothing items to labor unions, municipalities, and political candidates.
Between 2006 through 2009, Olkowski failed to report a total of approximately $148,000 of income to the IRS. The unreported income included significant sums of cash received by K & O but which Olkowski pocketed and did not deposit to K & O business accounts. It also included income he received from making personal expenditures using corporate credit cards. The tax loss on this unreported income is approximately $25,000.
Olkowski made two false applications for unemployment compensation benefits. In his applications, Olkowski falsely claimed to have been laid off from K & O, and did not tell unemployment compensation authorities that he was an owner of K & O Sporting Goods and that he was receiving income from K & O while he was applying for unemployment benefits. The loss to the unemployment compensation system is approximately $16,000.In addition to the prison term, U.S. District Court Judge Harvey Bartle III ordered Olkowski to pay restitution to the IRS in the amount of $56,459, which he has paid, and to the Pennsylvania State Unemployment Compensation system in the amount of $16,046, a fine of $15,000, a $1,900 special assessment, and two years of supervised release.
The case was investigated by the Internal Revenue Service Criminal Investigations and the Federal Bureau of Investigation. It was prosecuted by Assistant United States Attorney Paul L. Gray.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525State Trooper Charged in Civil Rights CaseRead the Press Release
PHILADELPHIA - Pennsylvania State Trooper Kelly Cruz, 43, of Oxford, Pennsylvania, was charged in a one count indictment, unsealed today, with deprivation of civil rights, announced United States Attorney Zane David Memeger.
The indictment alleges that on August 9, 2009, Cruz, while working as a State Trooper, kicked Z.B. in the back of the head as Z.B. was lying face down on the floor in handcuffs. As a result of the kick, Z.B. suffered bodily injury that required surgery to repair his teeth.
If convicted, the defendant face a maximum possible sentence of 10 years in prison.
The case was investigated by FBI-Newtown Square Office and is being prosecuted by Assistant United States Attorneys L.C. Wright and Maureen McCartney.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Philadelphia Man Charged in Cooking Oil TheftRead the Press Release
An indictment was unsealed today charging Bernard Corbin, 46, of Philadelphia, PA, with conspiracy to transport stolen property in interstate commerce and transportation of stolen property in interstate commerce, announced United States Attorney Zane David Memeger. The indictment charges that in 2012 Corbin used a company named Simply Green to steal large quantities of used cooking oil.
If convicted the defendant faces a maximum possible sentence of fifteen years imprisonment, three years supervised release, a $500,000 fine, and a $200 special assessment.
The case was investigated by the Federal Bureau of Investigation, the Ridley Township Police Department, the Bensalem Police Department, the Hilltown Police Department, the Newtown Square Police Department, the Marple Township Police Department, the Philadelphia Police Department, and the Media Police Department, and is being prosecuted by Assistant United States Attorney David L. Axelrod.
Click here to view the indictment
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525New Jersey Man Sentenced to 18 Years for Scamming NunsRead the Press Release
PHILADELPHIA - Adriano Sotomayor, 55, of Margate, New Jersey, was sentenced today to 18 years in prison for 17 counts of wire fraud in connection with a scheme to defraud members of the Dominican Sisters of the Rosary of Fatima (“Sisters of Fatima”), and others, out of more than $1 million. Sotomayor carried out his fraud scheme between May 2009 and February 2012. He was indicted on November 15, 2011 and went on the run. He was captured by the FBI Fugitive Squad in Las Vegas, Nevada, on February 27, 2012 and pleaded guilty to his fraud scheme on February 22, 2013.
Sotomayor launched his scheme by causing an elderly nun to believe that she had been named in a will as the beneficiary of an estate estimated at approximately $2.1 million. In order to lure the elderly nun into this scheme, the defendant caused his victim to believe that the man who notified her about the will was a Catholic priest from New Jersey, and the testator was one of his parishioners. Sotomayor fraudulently induced the elderly nun to begin sending money to him in Atlantic City, New Jersey, by telling her that she needed to pay taxes, processing fees, and various legal fees associated with the fictitious will. He went on to target other victims in Levittown and Philadelphia who initially sent money to him on the elderly nun’s behalf. Sotomayor caused at least 50 victims to send a total of at least $1.3 million from Pennsylvania and elsewhere to him in New Jersey over a two year period. The defendant received wire transfers at the Trump Plaza Hotel and Casino, the Showboat Hotel and Casino, and Bally’s Park Place, among other places.
In addition to the prison term, U.S. District Court Judge Eduardo C. Robreno ordered restitution in the amount of $1,506,533, three years of supervised release, and a $1,700 special assessment.
The case was investigated by the Federal Bureau of Investigation and was prosecuted by Assistant United States Attorney Karen M. Klotz.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Allentown Mortgage Co.'s Former Manager Sentenced for FraudRead the Press Release
PHILADELPHIA – Joel Tillett, 36, of Whitehall, PA, was sentenced today to four years in prison and ordered to pay restitution of $979,562.20 in connection with a mortgage fraud conspiracy. Tillett, the former general manager of Madison Funding, Inc., a now-defunct Allentown mortgage loan origination company, pleaded guilty on May 14, 2013 to conspiracy and to uttering and publishing false documents to obtain a loan insured by the Department of Housing and Urban Development (HUD). The fraud conspiracy caused mortgage lending businesses to issue millions of dollars’ worth of loans that were based on false information.
Between October 2006 and at least June 2008, Tillett conspired to defraud mortgage lenders by submitting loan applications that contained false information about the borrowers which was often supported by falsified, forged, and altered documents. The mortgage lenders, which included Washington Mutual Inc., Countrywide Home Loans, Mortgage IT, International Mortgage Corporation, and Security Atlantic Mortgage Company, relied on the fraudulent representations and provided Madison Funding’s clients with millions of dollars in loans to purchase real estate. Each funded loan generated thousands of dollars’ worth of commissions to Madison Funding and its employees. Many of those loans have since defaulted and some of them were insured by the Federal Housing Administration (“FHA”), which was an agency within HUD. Fannie Mae incurred losses of $1.2 million after purchasing approximately 65 mortgages that were originated at Madison Funding during the time frame of the scheme.
In addition to the prison term, U.S. District Court Judge Harvey R. Bartle ordered three years of supervised release. Tillett must also pay a $200 special assessment.
The case was investigated by the Department of Housing and Urban Development Office of the Inspector General, the Federal Deposit Insurance Corporation Office of Inspector General, and the Federal Housing Finance Agency Office of Inspector General. It is being prosecuted by Assistant United States Attorney Mark B. Dubnoff.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Head of Charter School Pleads Guilty to FraudRead the Press Release
PHILADELPHIA - Masai Skief, 32, of Philadelphia, Pennsylvania, pleaded guilty today to an information charging him with two counts of wire fraud, arising from the abuse of his leadership positions at a Philadelphia charter school, announced United States Attorney Zane David Memeger. Skief was the chief executive officer of Harambee Institute of Science and Technology Charter School (“Harambee Charter School”) and the president and chief administrative officer of a related non-profit organization, Harambee Institute, Inc. (“Harambee Institute”).
Harambee Charter School, a non-profit corporation, was established to educate children from kindergarten to eighth grade, and it promoted itself as Pennsylvania’s first African-centered charter school. Harambee Institute was a separate non-profit corporation that had been established to provide students with educational services and vocational training. Harambee Institute owned the school building that was used by Harambee Charter School and collected rent from the school. For its students, Harambee Charter School created a scholarship fund intended to benefit those who intended to attend a “historically black institution of higher education in the United States.”
During a guilty plea hearing before the Honorable Paul S. Diamond, Skief admitted that he engaged in a scheme to improperly obtain the funds of both the scholarship fund and Harambee Institute. First, Skief improperly withdrew $9,000 from the scholarship fund in order to purchase a house for himself in Philadelphia. Then, through his control of the bank accounts of Harambee Institute, Skief converted for his own personal use approximately $79,000 from Harambee Institute. He did this primarily through a series of improper cash withdrawals from the bank accounts of Harambee Institute.
Skief also made substantial efforts to conceal his illegal activities, both during and after the fraud. In particular, he attempted to disguise a significant portion of his improper cash withdrawals from the accounts of Harambee Institute as labor costs for Harambee Institute, when there were no such labor costs associated with the improper withdrawals. Skief directed an accountant to create IRS forms to reflect this false information. Skief also directed others to lie for him to federal agents and to a federal grand jury about the use of the funds that the defendant had unlawfully converted.
A sentencing hearing is scheduled for November 14, 2013. Skief faces a maximum possible sentence of 40 years in prison and an expected advisory sentencing guideline range of at least 21 to 27 months imprisonment, plus full restitution to the scholarship fund and to the Harambee Institute.
“Masai Skief stole scholarship money, mortgaging children’s futures to help buy himself a house,” said FBI Special Agent-in-Charge Edward Hanko. “His further theft from the education non-profit taught Philadelphia’s kids a harsh lesson about unmitigated greed.”
“Today’s action shows that Mr. Skief not only abused his position of trust for personal gain, but did so at the expense of students. That is unacceptable,” said Special Agent-in-Charge Steven Anderson, of the U.S. Department of Education Office of Inspector General Mid-Atlantic Office. “OIG will continue to aggressively pursue those who misappropriate education funds for their own purposes. America’s students and taxpayers deserve nothing less.”
The case was investigated by the Federal Bureau of Investigation and the United States Department of Education Office of Inspector General. It is being prosecuted by First Assistant United States Attorney Louis D. Lappen and Assistant United States Attorney Joseph J. Khan.
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UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Serial Bank Robber Pleads GuiltyRead the Press Release
PHILADELPHIA - Tarik Hooks, 35, of Philadelphia, pleaded guilty today to robbing six banks and attempting to rob three others between February 2, 2013, and February 21, 2013. Hooks admitted that: on February 2, 2013, he robbed the Citizen’s Bank branch located inside the Acme supermarket at 121 East City Avenue, in Bala Cynwyd, PA; on February 8, 2013, he robbed the Wells Fargo Bank branch at 65 West Baltimore Avenue in Lansdowne, PA; on February 12, 2013, he robbed the TD Bank at 401 West Lancaster Avenue in Haverford, PA; on February 14, 2013, Hooks robbed the Sovereign Bank at 1 Belmont Avenue in Bala Cynwyd, PA; on February 17, 2013, he robbed the TD Bank at 5501 Ridge Avenue in Philadelphia, PA; and on February 21, 2013, he robbed the TD Bank at 2200 Garrett Road in Drexel Hill, PA.
Hooks also pleaded guilty to unsuccessful robberies at: the Citizen’s Bank branch inside the Giant supermarket, at 543 North Oak Avenue in Clifton Heights, PA, on February 7, 2013; the Citizen’s Bank branch, at 543 North Oak Avenue in Clifton Heights, PA, on February 9, 2013; the TD Bank branch, at 5501 Ridge Avenue, in Philadelphia, PA, on February 14, 2013.
In addition to the nine counts of the indictment, the defendant also admitted today to robbing a
Citizen’s Bank located inside an Acme market at 2084 Naamans Road, in Wilmington, Delaware, on February 10, 2013, at approximately 11:20 a.m. The defendant has agreed that, for purposes of calculating his Sentencing Guideline range and restitution, the February 10 bank robbery shall be treated as if the defendant had been convicted of the offense.Hooks faces a maximum possible sentence of 180 years in prison, a fine of up to $2.25 million, and $900 in special assessments when sentenced on November 12, 2013.
The case was investigated by agents from the Federal Bureau of Investigation, the Philadelphia Police Department, the Lower Merion Township Police Department, Landsdowne Police Department, Aldan Police Department and is being prosecuted by Special Assistant United States Attorney Pedro de la Torre.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Philadelphia Man Charged with Duping Gold BuyersRead the Press Release
Hashim Sharif, 39, of Philadelphia, PA was charged today by Information with one count of wire fraud in connection with a scheme that, collectively, defrauded victims out of approximately $1 million, announced United States Attorney Zane David Memeger.
Sharif, who also went by the name “Adam Ford,” operated a website (phoniexgoldllc.com) where he advertised gold and other precious metal products for sale. After receiving money from customers Sharif did not send the purchased products and spent the money on luxury vehicles, real estate, and other goods.
If convicted the defendant faces a maximum possible sentence of 20 years imprisonment, three years supervised release, a $250,000 fine, and a $100 special assessment.
The case was investigated by the Federal Bureau of Investigation and Philadelphia Police Department, and is being prosecuted by Assistant United States Attorney David L. Axelrod.
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An Indictment or Information is an accusation. A defendant is presumed innocent unless and until proven guilty.UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Two Charged in Drug Smuggling Scheme Involving Philadelphia International AirportRead the Press Release
Jose Rodriguez, 25, of Sharon Hill , PA, and Edwin Fernandez, 35, of Philadelphia were charged in a six count Indictment, unsealed today, in a case involving an alleged drug trafficking organization, announced United States Attorney Zane David Memeger. The defendants are charged with conspiracy to import five kilograms or more of cocaine, importation of five kilograms or more of cocaine, attempted importation of five kilograms or more of cocaine, conspiracy to distribute five kilograms or more of cocaine, and two counts of attempted possession with the intent to distribute five kilograms or more of cocaine.
According to the indictment, between December, 2011 and July, 2012, Rodriguez and Fernandez, worked with a Santo Domingo, Dominican Republic drug trafficking organization (“Santo Domingo DTO”) to smuggle at least 71 kilograms of cocaine into the United States through the Philadelphia International Airport. Rodriguez, an employee of US Airways, recruited other US Airway employees, including Person #1, Person #2, and Person #3, to assist in the smuggling of bags which contained kilograms of cocaine.
The indictment further alleges that the Santo Domingo DTO employed several individuals, including airport employees in Santo Domingo, to ensure that bags filled with kilograms of cocaine were safely loaded aboard commercial airplanes destined for Philadelphia, PA. After the bags were safely loaded onto the plane in Santo Domingo, members of the Santo Domingo DTO alerted defendants Fernandez and Rodriguez who then notified the recruits to assist in the offloading of the bags at the Philadelphia Airport. Once the plane arrived in Philadelphia, the recruited US Airways employees would offload the baggage from the plane and divert the bags with the drugs onto domestic baggage claim belts, rather than the international baggage claim belts. This avoided inspection by United States Customs and Border Protection officials. Defendants Fernandez and Rodriguez then arranged for those bags to be retrieved from domestic baggage claim belts for distribution elsewhere.
According to the indictment, on January 7, 2012, United States Customs and Border Protection officials recovered three bags which contained approximately 50.81 kilograms of cocaine that had been offloaded from an incoming US Airways Flight from Santo Domingo, Dominican Republic to Philadelphia, PA. Additionally, on April 14, 2012, law enforcement officials in Santo Domingo, Dominican Republic, recovered a suitcase filled with approximately 20.84 kilograms of cocaine that was intended to be loaded onto a US Airways flight destined for Philadelphia, PA.
If convicted, each defendant faces a mandatory minimum sentence of 10 years in prison with a maximum possible sentence of life.
The case was investigated by Immigration and Customs Enforcement Homeland Security Investigations with assistance from U.S. Customs and Border Protection. It is being prosecuted by Assistant United States Attorneys Maureen McCartney and Kishan Nair.
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UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Pharmacist Pleads Guilty to Money Laundering Scheme Tied to Illegal Internet PharmacyRead the Press Release
PHILADELPHIA – Eric Vern Fox, 45, a pharmacist living in Berwyn, Pennsylvania, pleaded guilty today to a money laundering conspiracy, in violation of federal money laundering laws. These charges were transferred from the Eastern District of Texas for guilty plea and sentencing. Between June 2002 and September 2007, Fox owned and operated two compounding pharmacies in this district: the Medicine Shoppe, located at 578 Lancaster Avenue, Berwyn, PA, and Compounding Rx Apothecary, located at 81 Lancaster Avenue, Store #4, Malvern, PA.
The indictment alleges that from June 2002 until September 2007, Fox agreed with the owners and operators of an illegal internet pharmacy, the Madison Pain Clinic, located in Texas, to compound millions of hydrocodone pills that the Madison Pain Clinic sold to internet customers under fraudulent “prescriptions,” outside the usual course of professional practice and not for a legitimate medical purpose.
The money laundering charge, to which Fox pleaded guilty, alleges that between June 2002 and September 2007, Fox was paid by the Madison Pain Clinic for the hydrocodone pills that the clinic sold to its internet customers, and agreed to launder the proceeds of this illegal activity totaling at least $4.5 million. The plea agreement calls for Fox to receive an agreed-upon sentence of 12 months and a day in prison, followed by three years of supervised release. The plea agreement also requires Fox to forfeit the sum of $2 million and pay an assessment of $100. U.S. District Court Judge R. Barclay Surrick scheduled a sentencing hearing for November 8, 2013.
The case was investigated by the Drug Enforcement Administration and the Internal Revenue Service, Criminal Investigations. In this district it is being prosecuted by Assistant United States Attorney Mary E. Crawley.UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Indictment Charges Serial Bank Robber in New HeistsRead the Press Release
PHILADELPHIA - Carl Anthony Goodwin, 28, of Philadelphia, PA, was charged today by indictment in several robberies in Philadelphia, one of which was committed while he was a resident of a halfway house, announced United States Attorney Zane David Memeger. Goodwin is charged with five robberies, one attempted robbery, and escape from the residential reentry center.
Goodwin had been released to the Kintock Residential Reentry Center at 301 East Erie Avenue (“Kintock”) after completing a 30-month prison sentence for two attempted robberies on banks in Philadelphia. According to the indictment, on June 17, 2013, Goodwin robbed the Dunkin Donuts store at 3705 Germantown Ave. It is further alleged that on June 19, 2013, Goodwin escaped from confinement at the Kintock Residential Reentry Center. It is further alleged that on June 20, 2013 and July 2, 2013, Goodwin robbed the Citizens Bank branch, at 6324 Stenton Ave., and that on June 21, 2013, Goodwin attempted to rob the Bank of America branch located at 3705 Aramingo Avenue. Goodwin is also charged with the June 24, 2013 robbery of the Beneficial Bank branch at 5301 Chew Ave., and the July 7, 2013 robbery of the Wells Fargo Bank branch at 861 East Allegheny Avenue.
If convicted of all charges, Goodwin faces a maximum possible sentence of 125 years in prison, a fine of up to $1.75 million, three years of supervised release, and a $700 special assessment.
The case was investigated by the Federal Bureau of Investigation and is being prosecuted by Assistant United States Attorney Paul G. Shapiro.
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UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Lancaster County Man Charged with Possession of Child PornographyRead the Press Release
Richard Dean Russell, 52, of New Holland, PA, was charged today, by information, with possession of child pornography, announced United States Attorney Zane David Memeger. The indictment charges Russell with one count of possessing child pornography on October 17, 2012.
If convicted the defendant faces a maximum possible sentence of 10 years imprisonment.
The case was investigated by the United States Postal Inspection Service and is being prosecuted by Assistant United States Attorney Albert S. Glenn.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by United States Attorneys’ Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
California Man Charged in Multi-Million Dollar Mortgage FraudRead the Press Release
Steven Pitchersky, 64, of Rancho Mirage, California, was charged today by Information with one count of wire fraud, announced United States Attorney Zane David Memeger. Pitchersky, who operated Nationwide Mortgage Concepts, a California mortgage lender, is accused of engaging in a scheme to defraud Ally Bank that caused the bank a loss of approximately $5.3 million.
If convicted the defendant faces a maximum possible sentence of 20 years imprisonment, three years supervised release, a $250,000 fine, and a $100 special assessment.
The case was investigated by the Federal Bureau of Investigation, the Office of the Special Inspector General for the Troubled Asset Relief Program, and the Department of Veterans Affairs Office of Inspector General, and is being prosecuted by Assistant United States Attorney David L. Axelrod.Click here to view the indictment
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Woman Sentenced for Stealing Dead Father's Social Security BenefitsRead the Press Release
PHILADELPHIA - Sophia Beltz, 55, of Philadelphia, PA was sentenced today to nine months in prison for the theft of $172,133 in government funds. Beltz stole Social Security Administration Retirement Insurance Benefits intended for her father who had died in February 1997. Beltz carried out her fraud scheme until it was discovered in August 2012. She pleaded guilty on April 30, 2013. U.S. District Court Judge Legrome D. Davis noted that Beltz collected the funds every month for over 15 years which amounted to approximately 180 fraudulently collected checks.
In addition to the prison term, Beltz must pay restitution to the Social Security Administration in the amount of $172,133 and she must serve three years of supervised release following her prison term.
The case was investigated by the Social Security Administration, Office of Inspector General and was prosecuted by Special Assistant United States Attorney Amanda R. Reinitz.UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Drug and Gun Charges FiledRead the Press Release
Nicholas Suozzo, 32, of Philadelphia, PA, was charged by Indictment with nine counts, including: possession of unregistered firearms, which included machine guns and explosive devices; distribution and possession with intent to distribute marijuana within a school zone; and possession of firearms in furtherance of a drug trafficking crime, announced United States Attorney Zane David Memeger.
If convicted the defendant faces a maximum possible sentence of life imprisonment, a mandatory consecutive 5 years imprisonment, at least 4 years up to lifetime supervised release, a $770,000 fine, and $600 special assessment.
The case was investigated by the Philadelphia Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and is being prosecuted by Special Assistant United States Attorney Joseph Whitehead, Jr.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Education Consultant Sentenced for Tax CrimesRead the Press Release
PHILADELPHIA - Cheryl Mobley, 55, of Philadelphia, was sentenced today to three years probation and four months of home confinement for failing to timely file a federal income tax return for 2005 and for failing to file a federal income tax return for 2006. Mobley earned more than $260,000 in income during those years as a consultant for the Pennsylvania Higher Education Assistance Agency (PHEAA) and the Educational Advancement Alliance (EAA). IRS records show that Mobley filed her 2005 return on June 21, 2010, after she was under investigation by federal agents, but did not pay the balance of $23,718 in taxes due for 2005. She pleaded nolo contendere to that charge on March 20, 2012. Mobley also never filed a federal income tax return for year 2006 or paid taxes for that year. She pleaded guilty to that charge. In total, Mobley failed to report gross income totaling approximately $264,755 for 2005 and 2006, on which there is a total tax due of approximately $52,713.
In addition to the probationary term, U.S. District Court Judge Joel H. Slomsky ordered restitution to the IRS of $61,491.00, a $3000.00 fine, and a $50 special assessment.
The case was investigated by the Internal Revenue Service Criminal Investigations and was prosecuted by Assistant United States Attorney Paul Gray.UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Philadelphia Man Convicted of Sex Trafficking A ChildRead the Press Release
Enoch Smith, 36, a/k/a “Drees,” a/k/a “Idris,” of Philadelphia, PA, was convicted today of all charges including sex trafficking of a minor and production of child pornography. According to evidence and testimony presented at trial, Smith operated a prostitution business in Philadelphia between April 1, 2009 and June 30, 2011. He recruited young women, including a minor (“Minor 1”), to work as prostitutes. Smith would photograph each female in his home with his camera and, using his laptop computer, would create an Internet advertisement for each on a website known as Backpage.com. Smith gave each of his recruits a cellular telephone, which he paid for, and then included that phone number in the Backpage advertisement.
Smith also had sexual relations with the females who worked for him. Smith lived with
several of the females who were working for him. The “dates” would take place at the home that Smith leased and the females gave 100 percent of their cash earnings to Smith. The Philadelphia Police Department learned of the prostitution operation by surveying Backpage advertisements and conducted an undercover “sting” operation at the premises in June 2011. A subsequent forensic examination of Smith’s laptop computer revealed two sexually explicit images of Minor 1, both of which were taken prior to her 18th birthday. Smith was charged locally and was later charged in a
federal indictment.A sentencing hearing is scheduled for October 31, 2013. Smith faces a mandatory minimum sentence of 15 years’ imprisonment and a maximum sentence of 30 years’ imprisonment on Count One, a mandatory minimum sentence of 10 years’ imprisonment and a maximum possible sentence of life imprisonment on Count Two, a $500,000 fine, a lifetime period of supervised release and a $200 special assessment.
The case was investigated by the Federal Bureau of Investigation, and the Philadelphia Police Department Vice Unit, with assistance from the Philadelphia District Attorney’s Office and the Bucks County District Attorney’s Office. It is being prosecuted by Assistant United States Attorney Michelle L. Morgan.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Judge Give Violent Robber A Long Prison TermRead the Press Release
PHILADELPHIA - Amos Singleton, 58, of Philadelphia, was sentenced late yesterday to 30 years in prison for the armed robbery of an employee of the Walnut Lane Apartments, at 236 West Walnut Lane in Philadelphia, in November 2010. Singleton and Corey Pasley, who worked at the apartment complex as a security guard, made off with cash, money orders, and checks, after Singleton struck the victim and fired his gun, striking the victim in the head. Despite severe injuries, the victim broke free, ran from the office and alerted residents to the robbery. Singleton and Pasley stole approximately $2,645 in cash and $1,265 in money orders and checks from the office safe. U.S. District Court Judge Norma Shapiro also ordered restitution, a $2,500 fine, and five years of supervised release.
On June 22, 2012, a jury returned guilty verdicts against both defendants on all charges, including: conspiracy to commit robbery which interferes with commerce, robbery, and using a firearm in the course of a robbery. Singleton, who was already a convicted felon, was additionally convicted of knowingly possession of a firearm by a convicted felon. Pasley is awaiting sentencing.
The case was investigated by the Philadelphia Police Department and the Bureau of Alcohol, Tobacco, and Firearms. It is being prosecuted by Assistant United States Attorney Mark Miller.
This investigation and prosecution is part of a joint initiative by the United States Attorney's Office, the District Attorney's Offices in the Eastern District of Pennsylvania, the Bureau of Alcohol, Tobacco, and Firearms (ATF), the Federal Bureau of Investigation (FBI), and other federal, state and local law enforcement agencies, to identify and prosecute dangerous firearms offenders in federal court where the defendants are likely to receive a substantial sentence upon conviction.UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Philadelphia Man Charged with Social Security FraudRead the Press Release
Angel Garcia, a/k/a “Angel Ramos,” 56, of Philadelphia, PA was charged today by Information with one count of theft of government funds, in connection with his alleged scheme to collect Social Security Administration Supplemental Security Income benefits to which he was not entitled, announced United States Attorney Zane David Memeger. According to the information, the defendant applied for and received benefit payments from the Social Security Administration under one Social Security number while working under a second Social Security number. The information alleges that his conduct resulted in a loss to the government of approximately $106,566.60.
If convicted, the defendant faces a maximum possible sentence of 10 years imprisonment; 3 years of supervised release; a $250,000 fine; restitution of $106,566.60; and a $100 special assessment.The case was investigated by the Social Security Administration – Office of Inspector General, and is being prosecuted by Special Assistant United States Attorney Amanda R. Reinitz.
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UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Philadelphia Woman Sentenced for Social Security FraudRead the Press Release
PHILADELPHIA - Edith Warren, a/k/a “Jourdon Warren-McPherson,” “Jourdon Edith Reed,” “Jourdon Edith Warren-McPherson,” “Edith Reed,” and “Jourdon Edith Warren,” 56, of Philadelphia, PA, was sentenced today to nine months in prison followed by six months of home confinement for a scheme to defraud the government. Warren was collecting Supplemental Security Income and welfare benefits she was not entitled to receive. She pleaded guilty to one count of theft of government funds and one count of Social Security fraud.
Warren concealed her work activity under a second Social Security number, as well as her ownership of two homes, and her marital status. She filed for and received Supplemental Security Income, medical assistance, benefits from the Supplemental Nutrition Assistance Program, and cash assistance benefits. In addition to the prison term, U.S. District Court Judge Gene E. K. Pratter ordered restitution to the Social Security Administration of $42,360, to the Department of Health and Human Services of $88,970, and to the U.S. Department of Agriculture of $11,024, as well as three years of supervised release with 50 hours of community service per year.
The case was investigated by the Social Security Administration Office of Inspector General and the United States Department of Agriculture Office of Inspector General. It was prosecuted by Special Assistant United States Attorney Amanda R. Reinitz.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Philadelphia Man Sentenced for Defrauding Former Property Owners and Their FamiliesRead the Press Release
PHILADELPHIA - Amin A. Rashid, a/k/a “Lawrence D. Wilson,” 63, of Philadelphia, was sentenced today to 240 months in prisoin for mail fraud and aggravated identity theft in connection with a three-year fraud scheme. The scheme defrauded former property owners and their families of over $650,000. Rashid was convicted at trial on July 12, 2011. In addition to the prison term, U.S. District Court Judge Cynthia M. Rufe ordered restitution of $782,391, a $1700 special assessment, and five years of supervised release.
From at least December 2005 to August 2008, Rashid operated “The Center for Constitutional and Criminal Justice” under the guise of assisting former owners of properties sold at Sheriff’s sale. Rashid told these clients that he could help recover their properties or the proceeds from the Sheriff’s sale. Rashid took fees from these clients and photocopies of their drivers licenses but typically did nothing in return.Rashid altered his clients’ driver’s licenses and submitted them to a title company along with forged power of attorney documents to steal Sheriff’s sale proceeds due to other former property owners. The forged power of attorney documents carried signatures of former property owners who actually died years before they purportedly signed the documents. In addition, Rashid submitted bogus corporate resolutions that purportedly authorized him to collect Sheriff's sales proceeds that were due to these corporations. Rashid used his family members to pose as officers of these corporations.
The case was investigated by the United States Postal Inspection Service, the Philadelphia County District Attorney’s Office, and the Philadelphia Police. It was prosecuted by Assistant United States Attorney Vineet Gauri.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Philadelphia Man Charged with Sex Trafficking A MinorRead the Press Release
PHILADELPHIA – An indictment was unsealed today charging Rahim McIntyre, 36, of Philadelphia, PA, with three counts of sex trafficking of a minor and by force, announced United States Attorney Zane David Memeger. McIntyre was arrested today.
According to the indictment, McIntyre, a/k/a “King Kobra,” caused Internet advertisements to be created in which he advertised various females as available for purchase for purposes of prostitution. One of these females, whom McIntyre recruited, was under the age of 18. The advertisements featured pictures of the females, either scantily clad or partially nude, a description of each female, and a phone number to call to arrange a meeting with a female employed by McIntyre as a prostitute.
If convicted, the defendant faces a maximum possible sentence of life imprisonment, with a minimum mandatory of 15 years, a $750,000 fine, five years supervised release and a $300 special assessment.
McIntyre’s brother, Rashaad McIntyre, was charged in December 2012 with sex trafficking of minors and production of child pornography.
The case was investigated by the Federal Bureau of Investigation, with assistance from the Pennsylvania State Police Criminal Intelligence Center, and the Philadelphia First Judicial Court Warrant Unit. It is being prosecuted by Assistant United States Attorney Michelle Morgan. The defendant’s arrest is part of the FBI’s Operation Cross Country, a nationwide effort during July 2013 to apprehend sex traffickers and identify and rescue victims of human trafficking.
Click here to view the indictment
An Indictment or Information is an accusation. A defendant is presumed innocent unless and until proven guilty.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Philadelphia Man Charged Robbing Haverford Jewelry StoreRead the Press Release
Stephen Easterling, 28, of Philadelphia, Pennsylvania was charged by Information today with one count of Hobbs Act Robbery, announced United States Attorney Zane David Memeger. According to the indictment, the defendant attempted to rob K/V Jewelers, Inc., trading as Main Line Jewelers, located at 7553 Haverford Avenue, Philadelphia, Pennsylvania on February 1, 2013.
If convicted, the defendant faces a maximum possible sentence of 20 years in prison, three years of supervised release, a $250,000 fine, restitution, and a $100 special assessment.
The case was investigated by the Federal Bureau of Investigation and the Philadelphia Police Department. It is being prosecuted by Assistant United States Attorney Ewald Zittlau.
This case is part of Project Safe Neighborhoods, a federal initiative designed to identify and prosecute firearms offenders in federal court, where the defendant is likely to receive a substantial sentence upon conviction.
Click here to view the indictment
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525La Cosa Nostra Member Sentenced to 137 Months in PrisonRead the Press Release
PHILADELPHIA – Damion Canalichio, 43, of Turnersville, NJ, was sentenced today to 137 months in prison and a $1,000 fine for his participation in a racketeering conspiracy involving loan sharking and illegal gambling. In addition to his prison term, U.S. District Judge Eduardo C. Robreno ordered three years of supervised release.
On Feb. 5, 2013, after a four-month trial, a jury convicted Canalichio of conspiring to conduct and participate in the affairs of the Philadelphia La Cosa Nostra (LCN) Family through a pattern of racketeering activity. The evidence at trial proved that, in furtherance of the racketeering conspiracy, Canalichio, as a “made” member, engaged in loan sharking and illegal sports bookmaking activities on behalf of the mob. Canalichio exploited the violent reputation of the Philadelphia LCN Family in extending usurious loans and collecting payments on the loans, leaving the borrowers in fear of physical harm if they did not pay promptly. Canalichio also directed and supervised the participation of associates in his crew to carry out these racketeering crimes.
The case is being investigated by the FBI, the Internal Revenue Service-Criminal Investigation, the Pennsylvania State Police, the New Jersey State Police, the Philadelphia Police Department, and the U.S. Department of Labor’s Office of Inspector General Office of Labor Racketeering and Fraud Investigations, and the U.S. Department of Labor’s Employee Benefits Security Administration. Additional assistance was provided by the New Jersey Department of Corrections.The case is being prosecuted by Assistant U.S. Attorneys Frank A. Labor III and Suzanne B. Ercole, and Trial Attorney John S. Han of the Department of Justice’s Organized Crime and Gang Section. Valuable prosecutorial assistance was provided by the Pennsylvania Office of the Attorney General.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525La Cosa Nostra Associate Sentenced to 8 Years in PrisonRead the Press Release
PHILADELPHIA – Gary Battaglini, 52, of Sewell, NJ, was sentenced today to 96 months in prison and a $1,000 fine for his participation in a racketeering conspiracy involving loan sharking and illegal gambling. In addition to the prison term, U.S. District Judge Eduardo C. Robreno ordered three years of supervised release.
On Feb. 5, 2013, after a four-month trial, a jury convicted Battaglini of conspiring to conduct and participate in the affairs of the Philadelphia La Cosa Nostra (LCN) Family through a pattern of racketeering activity. The evidence at trial proved that, in furtherance of the racketeering conspiracy, Battaglini, as an “associate,” engaged in loan sharking and illegal sports bookmaking activities on behalf of the mob. Battaglini exploited the violent reputation of the Philadelphia LCN Family in extending usurious loans and collecting payments on the loans, leaving the borrowers in fear of physical harm if they did not pay promptly.
The case was investigated by the FBI, the Internal Revenue Service-Criminal Investigation, the Pennsylvania State Police, the New Jersey State Police, the Philadelphia Police Department, and the U.S. Department of Labor’s Office of Inspector General Office of Labor Racketeering and Fraud Investigations, and the U.S. Department of Labor’s Employee Benefits Security Administration. Additional assistance was provided by the New Jersey Department of Corrections.The case was prosecuted by Assistant U.S. Attorneys Frank A. Labor III and Suzanne B. Ercole, and Trial Attorney John S. Han of the Department of Justice’s Organized Crime and Gang Section. Valuable prosecutorial assistance was provided by the Pennsylvania Office of the Attorney General.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Telford Man Indicted on Child Porn ChargesRead the Press Release
PHILADELPHIA - Timothy James Kane, 32, of Telford, PA, was charged today by Indictment1 with one count of possession of child pornography, one count of receipt of child pornography and one count of distribution of child pornography announced United States Attorney Zane David Memeger.
If convicted, Kane faces a maximum sentence of 50 years imprisonment, a five year mandatory minimum term of imprisonment, a three-year term of supervised release, a $750,000 fine, and a $300 special assessment.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
The case was investigated by the Federal Bureau of Investigation, and is being prosecuted by Assistant United States Attorney Paul G. Shapiro.
Click here to view the indictment
1An Indictment or Information is an accusation. A defendant is presumed innocent unless and until proven guilty.UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525La Cosa Nostra Underboss Sentenced to 188 Months in PrisonRead the Press Release
PHILADELPHIA - Joseph Massimino, 63, of Philadelphia, was sentenced today to 188 months in prison for his participation in a racketeering conspiracy involving extortion, loan sharking, and illegal gambling. In addition to the prison term, U.S. District Judge Eduardo C. Robreno ordered three years of supervised release. Massimino must also pay a $5,000 fine.
On Feb. 5, 2013, after a four-month trial, a jury convicted Massimino of conspiring to conduct and participate in the affairs of the Philadelphia La Cosa Nostra (LCN) Family through a pattern of racketeering activity. The evidence at trial proved that, in furtherance of the racketeering conspiracy, Massimino, as a “made” member and underboss, extorted “street tax” payments from a bookmaker, used threats of violence against debtors to collect loan sharking payments, and forced the owners of a vending company to sell the portion of their business related to the operation of illegal video poker machines. In addition, Massimino ran an illegal electronic gambling device business for the mob, providing video poker machines and other gambling devices for bars, restaurants, convenience stores, coffee shops and other locations in Philadelphia and its suburbs. In one of these locations, Massimino also operated an illegal sports bookmaking business.
The case is being investigated by the FBI, the Internal Revenue Service-Criminal Investigation, the Pennsylvania State Police, the New Jersey State Police, the Philadelphia Police Department, and the U.S. Department of Labor’s Office of Inspector General Office of Labor Racketeering and Fraud Investigations, and the U.S. Department of Labor’s Employee Benefits Security Administration. Additional assistance was provided by the New Jersey Department of Corrections.The case was prosecuted by Assistant U.S. Attorneys Frank A. Labor III and Suzanne B. Ercole, and Trial Attorney John S. Han of the Department of Justice’s Organized Crime and Gang Section. Valuable prosecutorial assistance was provided by the Pennsylvania Office of the Attorney General.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Former PHA Employee Charged in Fraud ConspiracyRead the Press Release
PHILADELPHIA - Richard Lewis, 54, of Philadelphia, Pennsylvania, was charged by indictment unsealed today, with conspiracy to steal property from the Philadelphia Housing Authority where Lewis was employed at the time, in the amount of approximately $348,910, announced United States Attorney Zane David Memeger. Lewis was arrested this morning by the FBI.
According to the indictment, between September 2002 and July 2011, Lewis conspired with Richard Perri, Jaquel Crews, and Mark Miller, each charged elsewhere, and others known and unknown to the grand jury, to purchase building materials with PHA funds, sell those materials at a discount, and conceal those fraudulent sales. Crews, Miller and others ordered the building materials from Lewis who then directed Perri - a materials coordinator for PHA - to purchase materials from Sawbell Lumber and Home Depot. Perri fraudulently disguised the purchases as for PHA use, submitted the bills to the PHA Accounts Payable Department for payment, and arranged for the fraudulently purchased materials to be delivered to private properties specified by Lewis, Crews, Miller and others. Lewis and Perri were paid approximately 30 to 50-percent of the value of the materials by the purchasers and they split those payments. The indictment further alleges that Lewis made false statements about the purchase of those materials to law enforcement officers and provided false information about his sales of those building materials.
If convicted, Lewis faces a maximum possible sentence of 5 years imprisonment and a $250,000 fine.
The case was investigated by the Federal Bureau of Investigation, the United States Department of Housing and Urban Development Office of Inspector General, and the PHA Police Department, with assistance from the Drug Enforcement Administration, and the Philadelphia District Attorney’s Office. It is being prosecuted by Assistant United States Attorney K.T. Newton.
Click here to view the indictment
1An Indictment or Information is an accusation. A defendant is presumed innocent unless and until proven guilty.UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Alleged Bank Robber ChargedRead the Press Release
Jermaine Coleman, 31, of Philadelphia, PA, was charged today by Indictment with three counts of bank robbery, announced United States Attorney Zane David Memeger.
According to the indictment, Coleman robbed the Alliance Bank at 9 East Baltimore Avenue in Lansdowne on March 7, 2013; the Alliance Bank at 201 South 69th Street in Upper Darby on March 9, 2013; and the Beneficial Savings Bank at 727 Church Lane in Yeadon on March 11, 2013.
If convicted of all counts, the defendant faces a maximum possible sentence of 60 years in prison, a $750,000 fine, a three year period of supervised release, and a $300 special assessment.
The case was investigated by the Federal Bureau of Investigation and is being prosecuted by Assistant United States Attorney Alicia M. Freind.
Click here to view the indictment
1An Indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Settlement Announced in Whistleblower Suit Against Shredding CompaniesRead the Press Release
PHILADELPHIA – A settlement agreement, resulting from a whistleblower lawsuit, was announced today between the United States and two of the country’s largest commercial shredding services companies. Shred-It Incorporated and Iron Mountain, Incorporated were named in a whistleblower lawsuit that alleged that Shred-It and Iron Mountain contracted with the government to provide shredding services but did not cut the government’s documents to the size required under the General Services Administration’s standards. Accordingly, their claims for payment for these services were false. United States Attorney Zane David Memeger announced that Iron Mountain will pay $800,000 to the government, plus attorneys’ fees; Shred-It will pay $300,000 to the government, plus attorneys’ fees.
The case was originally filed under the False Claims Act by Douglas Knisely, who operates a paper shredding business in Lock Haven, Pennsylvania. The False Claims Act permits ordinary citizens (known as “relators”) to bring lawsuits in the name of the United States alleging fraud against the government. The relator is entitled to a portion of the settlement.
Shred-It and Iron Mountain are two of the largest companies in the United States that provide commercial shredding services to the government.
This matter was handled by Assistant United States Attorney Thomas Johnson and Gregory Pearson of the Department of Justice Civil Frauds Unit.
UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Philadelphia Doctor Pleads Guilty to Running Pill MillRead the Press Release
PHILADELPHIA - Kermit Gosnell, 72, of Philadelphia, pleaded guilty today to 12 counts in connection with running a pill mill out of his clinic located at 3801-3805 Lancaster Avenue in Philadelphia. Gosnell pleaded guilty to conspiracy to distribute controlled substances, including oxycodone, alprazolam, and codeine; distribution and aiding and abetting the distribution of oxycodone; and maintaining a place for the illegal distribution of controlled substances. U.S. District Court Judge Cynthia M. Rufe scheduled a sentencing hearing for October 4, 2013. He faces an advisory sentencing guideline range of 292 to 365 months in prison.
Gosnell, with the assistance of several of his former office staff at Family Medical Society, A Division of Women’s Medical Society, Inc. (“WMS”), ran a prescription pill mill from June of 2008 through February 18, 2010. Gosnell wrote fraudulent prescriptions for thousands of prescription pills and the frequently-abused syrups Phenergan and Promethazine with Codeine, to drug “seekers,” who met with Gosnell briefly for a cursory exam or no exam. Gosnell and his staff allowed customers to purchase multiple prescriptions under multiple names; customers could place orders for refills in person, over the phone, or by leaving a message on a WMS office answering machine; the WMS office staff would give the refill orders to Gosnell, who, without seeing the customer, would write the requested prescription and give it to WMS staff who would then collect cash and “tips” from customers. Gosnell went from writing several hundred prescriptions for controlled substances per month filled at pharmacies in 2008 to over 2,300 filled at pharmacies in January of 2010. Gosnell charged from $115.00 to $150.00, with a follow up visit fee of $50.00 and a $20 fee for refills of controlled substances for cash paying customers.
“Prescription drug abuse is a growing epidemic, made worse by unscrupulous doctors and other professionals who use their licenses to distribute dangerous drugs to addicts and those who have no actual medical need for the drugs,” said U.S. Attorney Zane David Memeger. “The investigation and prosecution of those involved in the illegal distribution of prescription drugs is a priority of the Department of Justice and this United States Attorney’s Office.”
“Doctors who deal powerful drugs to vulnerable people are violating their own oath – and our country’s laws,” said FBI Special Agent-in-Charge Edward J. Hanko. “The FBI and its partners are committed to investigating illegal drug distribution, whether it’s via a street pusher or a prescription pad.”
“The Drug Enforcement Administration wishes to thank all of the law enforcement agencies that participated in this investigation as well as the U.S. Attorney’s office for their support in the prosecution of Kermit Gosnell,” said DEA Special Agent-in-Charge David G. Dongilli. “The investigation included undercover purchases of oxycodone, a highly addictive Schedule II Controlled Substance, and it revealed that Gosnell and members of his staff were using his medical license and DEA Registration as a shield to cover his drug distribution operation.”
The case was investigated by the Federal Bureau of Investigation, the Drug Enforcement Administration, the U.S. Department of Health and Human Services/Office of Inspector General, the Philadelphia Police Department, and the Philadelphia District Attorney’s Office. It is being prosecuted by Assistant United States Attorneys Joan E. Burnes and Jessica Natali.
UNITED STATES ATTORNEY'S OFFICE Contact: PATTY HARTMAN
EASTERN DISTRICT, PENNSYLVANIA Media Contact
Suite 1250, 615 Chestnut Street 215-861-8525
Philadelphia, PA 19106UNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525Philadelphia Man Charged with Illegal Reentry After DeportationRead the Press Release
Joel Ernesto Esquerra-Cervantes, a/k/a “Luis Gonzalez-Solivan,” a/k/a “Raul Salazar-Trujillo,” a/k/a “Armando Espinoza Padilla,” 34, of Philadelphia, PA, was charged today by Indictment with illegal reentry after deportation, announced United States Attorney David Memeger. The indictment alleges that on or about April 28, 2012, Esquera-Cervantes, an alien, and native and citizen of Mexico, was found in the United States after having been deported from the United States on or about September 13, 1998, March 3, 1999, February 20, 2000, February 28, 2000, May 13, 2003, September 12, 2003, October 27, 2003, January 13, 2009, January 15, 2009 and January 24, 2009.
If convicted the defendant faces a maximum possible sentence of two years.
The case was investigated by Immigration and Customs Enforcement, Enforcement and Removal Operations (“ERO”) and is being prosecuted by Assistant United States Attorney Bea Witzleben.
Click here to view the indictment
An Indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.UNITED STATES ATTORNEY’S OFFICE Contact: PATTY HARTMAN
EASTERN DISTRICT, PENNSYLVANIA Media Contact
Suite 1250, 615 Chestnut Street 215-861-8525
Philadelphia, PA 19106COPIES OF NEWS MEMOS AND RELATED DOCUMENTS CAN ALSO BE FOUND AT
HTTP://www.justice.gov/usao/paeUNITED STATES ATTORNEY'S OFFICE, EASTERN DISTRICTof PENNSYLVANIA
Suite 1250, 615 Chestnut Street, Philadelphia, PA 19106
PATTY HARTMAN, Media Contact, 215-861-8525