District of Puerto Rico
Press releases recorded for this federal judicial district.
Nine Individuals Indicted for the Murder of an Officer and Employee of the United StatesRead the Press Release
On Jan. 28, 2015, a federal grand jury in the District of Puerto Rico returned a six-count indictment charging nine individuals for the murder of Lieutenant Osvaldo Albarati-Casanas, a correctional officer of the Federal Bureau of Prisons, U.S. Attorney Rosa Emilia Rodríguez Vélez for the District of Puerto Rico announced.
The indictment charges that, on or about Feb. 26, 2013, in the District of Puerto Rico, Oscar Martínez-Hernández aka “Cali,” Ángel D. Ramos-Cruz aka “Api,” Miguel Díaz-Rivera aka “Bolo,” Juan Quiñones-Meléndez aka “El Manco,” Orlando Mojica-Rodríguez aka “Yogui,” Jayson Rodríguez-González aka “Gonzo,” Carlos Rosado-Rosado aka “Cano,” Alexander Rosario de León aka “Coquí,” and Jancarlos Velázquez-Vázquez aka “Jan,” the defendants herein, together with other persons known and unknown to the grand jury, aiding and abetting each other, did with premeditation and malice aforethought unlawfully kill Lieutenant Albarati-Casanas, an officer and employee of the United States, while he was engaged in and on account of the performance of his official duties.
Counts one and two are charges related to the murder of Lieutenant Albarati-Casanas. Counts three and four are charges related to the murder for hire of Lieutenant Albarati-Casanas. Finally, counts five and six are charges related to the firearms used in the commission of the violent felonies, murder and murder for hire.
Count two of the indictment sets forth the participation of the nine defendants in the conspiracy to commit murder. The purpose and object of the conspiracy was that the defendants would carry out the murder of Lieutenant Albarati-Casanas, thereby eliminating him as a correctional officer at the Metropolitan Detention Center and as a means of ensuring that the officer would no longer exercise his substantial investigative authority against the defendants and be unable to conduct seizures of contraband, including cellular phones, which were forbidden at the detention facility.
According to the indictment, defendants Martínez-Hernández, Ramos-Cruz and Díaz-Rivera solicited another person(s) and financed the plan to murder Lieutenant Albarati-Casanas. Defendants Quiñones-Meléndez and Mojica-Rodríguez provided a vehicle, four Glock .40 fully automatic pistols and a cellular phone to defendants Rodríguez-González, Rosado-Rosado and Rosario de León to murder Lieutenant Albarati-Casanas. Defendant Velázquez-Vázquez served as driver to Mojica-Rodríguez and participated in the plan to murder the victim.
“Throughout his law enforcement career, Lieutenant Albarati’s service was both selfless and courageous,” said U.S. Attorney Rodríguez-Vélez. “With this action, we continue our work to hold accountable those who carried out this reprehensible and senseless act. And in all that we do, the Department of Justice will continue to honor Lieutenant Albarati’s sacrifice, to safeguard the community he served, and to protect the values and principles he defended all his life.”
“In February 2013, Lieutenant Osvaldo Albarati’s life was spontaneously and brutally robbed from him, his family and friends, his partners, and the good people across the Federal Bureau of Prisons,” said Special Agent in Charge Carlos Cases of the FBI. “It is my sincerest hope that, while it took some time, the tireless and selfless effort of the men and women who worked to solve this case brings justice and closure to Albarati’s family. The FBI has always been and will continue to be relentless in the pursuit of justice.”
The murder of government employees and officials is a crime punishable by death or imprisonment for any terms of years or for life. Murder for hire is a crime punishable by death or imprisonment for any terms of years or for life. Possession of a firearm in furtherance of an attempted crime of violence is a crime punishable by a minimum penalty of 10 years and a maximum penalty of death or imprisonment for any term of years or for life.
Criminal indictments are only charges and not evidence of guilt. A defendant is presumed to be innocent until and unless proven guilty.
The case was investigated by the FBI with the collaboration of the Puerto Rico Police Department. The case is being prosecuted by Assistant U.S. Attorney Julia Díaz-Rex for the District of Puerto Rico and Trial Attorney Julie Mosley from the Justice Department’s Criminal Division Capital Crimes Unit.
United States and Colombian Law Enforcement Authorities Execute Simultaneous Arrests in Puerto Rico, Florida and Colombia Dismantling International Drug Trafficking and Money Laundering OrganizationRead the Press Release
This morning, U.S. federal agents in coordination with Colombian law enforcement authorities simultaneously executed arrest warrants in Puerto Rico, Florida and Colombia, dismantling an international drug trafficking and money laundering organization responsible for the importation of multi-kilogram quantities of cocaine into the United States and the laundering of millions of dollars in drug proceeds, U.S. Attorney Rosa Emilia Rodríguez-Vélez of the District of Puerto Rico announced today.
Last month, a federal grand jury in the District of Puerto Rico returned a 23-count indictment charging 29 individuals with numerous violations to federal narcotics and money laundering laws. The charges include conspiracy to import controlled substances, conspiracy to possess controlled substances, conspiracy to launder monetary instruments and substantive counts of money laundering and international money laundering. The indictment also contains a forfeiture allegation for the proceeds obtained as a result of the organization’s illegal activities.
The individuals named in the indictment are Carlos A. Segura-Galvis, Adolfo León García-Sierra, Jair Eudoro Ramírez-Díaz, Roque Caballero-Caballero, Hugo Ocampo-Gutierrez, Mireya Cabra-Traslaviña, Elkin Meléndez-Santiago, Gamalier González-Maldonado, Giovanni Cosme-Fernández, Eduardo Esteras-Rosado, José O. Medina-Nery, Hugo Enrique Romero-Vargas, Edison Miranda-Angulo, Noe Carbajal, Felipe Francisco De La Plaza, Edwin Lozada-Flores, Miguel Vargas-Roa, Ricardo Rodríguez-Rodríguez, Jorge Villarran-Romero, Francisco Otero-Retamar, Miguel A. Lebrón-Hernández, Eldin Meléndez-Santiago, Ángel M. Sierra-Rivera, Bergman Santiago-Contes, José Martínez-Meléndez, Flor Marina González-Rojas, Geovanny Mosquera-Vanegas, Yurgen Gabriel Álvarez-Gutierrez and Brian Montalvo-Tolentino.
Nine of the 29 defendants, Adolfo León García-Sierra, Jair Eudoro Ramírez-Díaz, Roque Caballero-Caballero, Hugo Ocampo-Gutierrez, Mireya Cabra-Traslaviña, Hugo Enrique Romero-Vargas, Flor Marina González-Rojas, Geovanny Mosquera-Vanegas and Yurgen Gabriel Álvarez-Gutierrez, will be extradited from Colombia to stand trial in the District of Puerto Rico.
The investigation leading to today’s arrests uncovered that from November 2010 through September 2012, members of this drug smuggling and money laundering organization operating in Colombia were sending kilogram quantities of cocaine to Puerto Rico using go-fast vessels. Members of the organization in Colombia and Puerto Rico would coordinate the maritime transportation in the following way: the vessels would depart from the northern part of Venezuela and would meet other vessels departing from Puerto Rico to receive the drugs at a pre-arranged point, approximately 100 nautical miles south of Puerto Rico. On some occasions, the vessels coming from Venezuela would travel directly to the island of Vieques, Puerto Rico, to deliver the drugs to individuals that were waiting for the drugs at shore. The drugs would be briefly stored in Vieques until the same was transported into the main island of Puerto Rico through the Fajardo-Vieques ferry. On some occasions the organization also used cargo containers and other type of vessels to smuggle cocaine and heroin into Puerto Rico.
It was also part of the modus operandi of this organization to require that members of the organization in Puerto Rico would travel to Venezuela and other places and remain there during the drug smuggling ventures to act as a personal guarantee, also known as “fiscales,” for the payment of the controlled substances smuggled into Puerto Rico.
Once the drugs were smuggled into Puerto Rico, members of the organization operating in the Barrio Obrero ward of Santurce and other parts of the San Juan, Puerto Rico, metropolitan area would receive the drugs and distribute it in Puerto Rico for financial gain. A portion of the drugs would be further transported to New York for further distribution and additional financial gain. Once the drugs were distributed, members of the organization would reap the profits from the sale of the controlled substances and would wait for instructions from Colombia on how to send the proceeds of their illegal drug trafficking business back to Colombia.
The organization would repatriate their illegal proceeds through wire transfers to banking institutions in Panama and China, Western Union transfers to individuals in Colombia and Peru and by the use of couriers traveling to Puerto Rico from Colombia, Venezuela and/or Florida to receive hundreds of thousands of dollars in bulk cash.
The investigation also revealed that the organization used threats, intimidation and acts of violence, including kidnappings, to collect debts for the controlled substances smuggled into Puerto Rico.
Today’s arrests are the result of a long-term investigation led by special agents from the U.S. Department of Homeland Security Homeland Security Investigations (HSI), in San Juan as part of the Organized Crime Drug Enforcement Task Force (OCDETF) program. The principal mission of the OCDETF program is to identify, disrupt and dismantle the most serious drug trafficking and money laundering organizations and those primarily responsible for the nation’s illegal drug supply.
“These arrests are a clear indication of the success of the OCDETF program in the fight against drug trafficking,” said U.S. Attorney Rodríguez-Vélez. “Today’s arrests dismantle an organization that coordinated not only the traffic of drugs within Colombia and the United States, but also the movement of drug money, which is essential to the success of these illegal activities. Among the individuals to be extradited from Colombia are drug owners, a maritime transportation coordinator, a money broker and enforcers for the drug trafficking organization. Two of the individuals named in this indictment have been listed as regional priority targets of the OCDETF program and are now behind bars facing long terms of imprisonment. We will continue maximizing our multi-agency efforts and will combine resources to investigate and prosecute those who disregard our laws and try to smuggle drugs into our jurisdiction.”
“This case exemplifies that those involved in the distribution of narcotics and other contraband will be vigorously investigated and prosecuted,” said Special Agent in Charge Ángel M. Meléndez of HSI San Juan. “Drug trafficking organizations must be aggressively attacked and dismantled at every level - from the street dealer to the international supplier and drug lord. Through the coordinated efforts of our federal, state and local law enforcement partners, we have effectively eradicated an organization responsible for bringing significant quantities of drugs into our communities.”
The defendants are facing terms of imprisonment from 10 years to life for the narcotics violations and up to 20 years for the money laundering violations. Criminal indictments are only charges and not evidence of guilt. A defendant is presumed to be innocent until and unless proven guilty.
The case is being prosecuted by Assistant U.S. Attorney Carlos R. Cardona for the District of Puerto Rico.
The U.S. Attorney’s Office for the District of Puerto Rico gratefully acknowledges the assistance of the U.S. Department of Justice’s Office of International Affairs, the office of the Judicial Attaché of the U.S. Embassy in Colombia, HSI special agents in Bogota, Colombia, and Colombian law enforcement authorities for their assistance and support provided in this case.
United States and Colombian Law Enforcement Authorities Execute Simultaneous Arrests in Puerto Rico, Florida and Colombia Dismantling International Drug Trafficking and Money Laundering OrganizationRead the Press Release
SAN JUAN, PR –This morning, federal agents in coordination with Colombian law enforcement authorities simultaneously executed arrest warrants in Puerto Rico, Florida, and Colombia, dismantling an international drug trafficking and money laundering organization responsible for the importation of multi-kilogram quantities of cocaine into the United States and the laundering of millions of dollars in drug proceeds, announced United States Attorney Rosa Emilia Rodríguez-Vélez today.
Last month, a federal grand jury in the District of Puerto Rico returned a twenty-three count indictment charging 29 individuals with numerous violations to federal narcotics and money laundering laws. The charges include: conspiracy to import controlled substances, conspiracy to possess controlled substances, conspiracy to launder monetary instruments and substantive counts of money laundering and international money laundering. The indictment also contains a forfeiture allegation for the proceeds obtained as a result of the organization’s illegal activities.
The individuals named in the indictment are: Carlos A. Segura-Galvis, Adolfo León García-Sierra, Jair Eudoro Ramírez-Díaz, Roque Caballero-Caballero, Hugo Ocampo-Gutierrez, Mireya Cabra-Traslaviña, Elkin Meléndez-Santiago, Gamalier Gonzàlez-Maldonado, Giovanni Cosme-Fernàndez, Eduardo Esteras-Rosado, José O. Medina-Nery, Hugo Enrique Romero-Vargas, Edison Miranda-Angulo, Noe Carbajal, Felipe Francisco De La Plaza, Edwin Lozada-Flores, Miguel Vargas-Roa, Ricardo Rodríguez-Rodríguez, Jorge Villarran-Romero, Francisco Otero-Retamar, Miguel A. Lebrón-Hernàndez, Eldin Meléndez-Santiago, Ángel M. Sierra-Rivera, Bergman Santiago-Contes, José Martínez-Meléndez, Flor Marina Gonzàlez-Rojas, Geovanny Mosquera-Vanegas, Yurgen Gabriel Álvarez-Gutierrez, and Brian Montalvo-Tolentino.
Nine of the twenty-nine defendants, to wit: Adolfo León García-Sierra, Jair Eudoro Ramírez-Díaz, Roque Caballero-Caballero, Hugo Ocampo-Gutierrez, Mireya Cabra-Traslaviña, Hugo Enrique Romero-Vargas, Flor Marina Gonzàlez-Rojas, Geovanny Mosquera-Vanegas, and Yurgen Gabriel Álvarez-Gutierrez, will be extradited from Colombia to stand trial in the District of Puerto Rico.
The investigation leading to today’s arrests uncovered that, from November 2010 through September 2012, members of this drug smuggling and money laundering organization operating in Colombia were sending kilogram quantities of cocaine to Puerto Rico using go-fast vessels. Members of the organization in Colombia and Puerto Rico would coordinate the maritime transportation in the following way: the vessels would depart from the northern part of Venezuela and would meet other vessels departing from Puerto Rico to receive the drugs at a pre-arranged point, approximately 100 nautical miles south of Puerto Rico. On some occasions, the vessels coming from Venezuela would travel directly to the island of Vieques, Puerto Rico to deliver the drugs to individuals who were waiting for the drugs at shore. The drugs would be briefly stored in Vieques until the same was transported into the main island of Puerto Rico through the Fajardo-Vieques ferry. On some occasions the organization also used cargo containers and other type of vessels to smuggle cocaine and heroin into Puerto Rico.It was also part of the modus operandi of this organization to require that members of the organization in Puerto Rico travel to Venezuela and other places and remain there during the drug smuggling ventures to act as a personal guarantee (also known as “fiscales”) for the payment of the controlled substances smuggled into Puerto Rico.
Once the drugs were smuggled into Puerto Rico, members of the organization operating in the Barrio Obrero ward of Santurce and other parts of the San Juan metropolitan area would receive the drugs and distribute it in Puerto Rico for financial gain. A portion of the drugs would be transported to New York for further distribution and additional financial gain. Once the drugs were distributed, members of the organization would reap the profits from the sale of the controlled substances and would wait for instructions from Colombia on how to send the proceeds of their illegal drug trafficking business back to Colombia.The organization would repatriate their illegal proceeds through wire transfers to banking institutions in Panama and China, Western Union transfers to individuals in Colombia and Peru, and by the use of couriers traveling to Puerto Rico from Colombia, Venezuela and/or Florida to receive hundreds of thousands of dollars in bulk cash.
The investigation also revealed that the organization used threats, intimidation, and acts of violence, to include kidnappings, to collect debts for the controlled substances smuggled into Puerto Rico.
Today’s arrests are the result of a long-term investigation led by special agents from the United States Department of Homeland Security, Homeland Security Investigations (HSI), in San Juan, Puerto Rico as part of the Organized Crime Drug Enforcement Task Force (OCDETF) program. The principal mission of the OCDETF program is to identify, disrupt and dismantle the most serious drug trafficking, and money laundering organizations, and those primarily responsible for the nation’s illegal drug supply.
“These arrests are a clear indication of the success of the OCDETF program in the fight against drug trafficking. Today’s arrests dismantle an organization that coordinated not only the traffic of drugs within Colombia and the United States, but also the movement of drug money, which is essential to the success of these illegal activities. Among the individuals to be extradited from Colombia are drug owners, a maritime transportation coordinator, a money broker, and enforcers for the drug trafficking organization. Two of the individuals named in this indictment have been listed as regional priority targets (RPOTs) of the OCDETF program and are now behind bars facing long terms of imprisonment,” said Rosa Emilia Rodríguez-Vélez, U.S. Attorney for the District of Puerto Rico. “We will continue maximizing our multi-agency efforts and will combine resources to investigate and prosecute those who disregard our laws and try to smuggle drugs into our jurisdiction.”
“This case exemplifies that those involved in the distribution of narcotics and other contraband will be vigorously investigated and prosecuted,” said Ángel M. Meléndez, special agent in charge of HSI San Juan. “Drug trafficking organizations must be aggressively attacked and dismantled at every level - from the street dealer to the international supplier and drug lord. Through the coordinated efforts of our federal, state and local law enforcement partners, we have effectively eradicated an organization responsible for bringing significant quantities of drugs into our communities.”
The case is being prosecuted by Assistant United States Attorney Carlos R. Cardona.
The United States Attorney’s Office for the District of Puerto Rico gratefully acknowledges the assistance of the US Department of Justice Office of International Affairs, the office of the Judicial Attaché of the US Embassy in Colombia, HSI special agents in Bogota, Colombia, and Colombian law enforcement authorities for their assistance and support provided in this case.
The defendants are facing terms of imprisonment from 10 years to life for the narcotics violations and up to 20 years for the money laundering violations. Criminal indictments are only charges and not evidence of guilt. A defendant is presumed to be innocent until and unless proven guilty.
Javier Carrillo, Aka “Cara Ancha” Arrested for Drug Trafficking and Money LaunderingRead the Press Release
SAN JUAN, Puerto Rico – Yesterday, defendant Javier Carrillo was arrested upon his arrival to the Luis Muñoz Marín International Airport from the Dominican Republic. Carrillo supplied multi-kilogram loads of cocaine to the group of 10 defendants indicted on July 16, 2014, operation Voodoo Sam II, by a federal grand jury in the District of Puerto Rico, charged with distribution of a controlled substance for purpose of unlawful importation, announced Rosa Emilia Rodríguez-Vélez, United States Attorney for the District of Puerto Rico. The Drug Enforcement Administration is in charge of the investigation.
Carrillo is facing three charges: distribution of a controlled substance for the purpose of unlawful importation, conspiracy to import a controlled substance, and conspiracy to launder monetary instruments.
The indictment alleges that beginning in 2005, the organization distributed wholesale and retail amounts of cocaine throughout Puerto Rico and continental United States. The defendants would obtain large amounts of cocaine in Saint Martin, Netherlands Antilles, which was then transported to Puerto Rico on board maritime vessels, commercial cargo planes, and private aircraft. They would also transport large sums of U.S. currency via aircraft and motor vessel to Saint Martin for the purchase of large quantities of cocaine and use the blackberry messenger application as well as other means of communication to communicate with each other.According to the indictment, in or about the year 2010, the defendants conspired to transport more than $12,000,000 in United States currency from Puerto Rico to Saint Martin, Netherland Antilles, knowing that the monetary instruments of funds involved in the transportation represented the proceeds of dealing in controlled substances.
In addition to the money judgment of 127 million dollars the defendants are facing, they have to forfeit properties utilized to facilitate the commission of the offense including two airplanes, an Aerostar-601 and a Cessna 340A.
Assistant U.S. Attorney Mariana Bauzà is in charge of the prosecution of the case. If convicted the defendants face a minimum sentence of 10 years up to life in prison.
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Individual Sentenced for Defrauding the US Department of Veterans AffairsRead the Press Release
SAN JUAN, P.R. – Rosa Emilia Rodríguez-Vélez, United States Attorney for the District of Puerto Rico, announced the sentencing of Pedro Rodríguez-Colondres to 18 months in prison by United States District Court Judge Francisco A. Besosa. Rodríguez-Colondres pled guilty to Theft of Government Funds in violation of 18 USC 641. As part of the sentencing the defendant was ordered to pay the US Department of Veteran’s Affairs $550,849.92 in restitution.
An investigation by Special Agents from the US Department of Veteran Affairs, Office of Inspector General (VA-OIG) and US Department of State, Bureau of Diplomatic Security (DSS), revealed the defendant was discharged upon his request from the US Army Reserve seven months after his enlistment and was informed he would be ineligible for reenlistment. Approximately three years later, on September 14, 1977, the defendant fraudulently enlisted using his cousin’s name Pedro Colondres-Rosa. The defendant was medically discharged for temporary disability on May 17, 1978, and five days after his discharge, the defendant requested disability benefits from Veterans Affairs. Over the last thirty years, the defendant fraudulently received in excess of $1.4 million dollars in compensation, education, and medical benefits from the Veterans Administration. Federal authorities became aware of the fraud after Rodríguez-Colondres attempted to obtain a U.S. Passport under the assumed identity of his cousin, Colondres-Rosa.
“This individual defrauded the US Department of Veteran’s Affairs for personal gain,” said United States Attorney, Rosa Emilia Rodríguez-Vélez. “We will continue to investigate and prosecute those who engage in corrupt acts which directly affect federal programs and the availability of these funds for its intended recipients. We commend the law enforcement agencies and our attorneys for their efforts in investigating this case and bringing this individual to justice.”
Individual Sentenced for Defrauding the US Department of Veterans AffairsRead the Press Release
SAN JUAN, P.R. – Rosa Emilia Rodríguez-Vélez, United States Attorney for the District of Puerto Rico, announced the sentencing of Pedro Rodríguez-Colondres to 18 months in prison by United States District Court Judge Francisco A. Besosa. Rodríguez-Colondres pled guilty to Theft of Government Funds in violation of 18 USC 641. As part of the sentencing the defendant was ordered to pay the US Department of Veteran’s Affairs $550,849.92 in restitution.
An investigation by Special Agents from the US Department of Veteran Affairs, Office of Inspector General (VA-OIG) and US Department of State, Bureau of Diplomatic Security (DSS), revealed the defendant was discharged upon his request from the US Army Reserve seven months after his enlistment and was informed he would be ineligible for reenlistment. Approximately three years later, on September 14, 1977, the defendant fraudulently enlisted using his cousin’s name Pedro Colondres-Rosa. The defendant was medically discharged for temporary disability on May 17, 1978, and five days after his discharge, the defendant requested disability benefits from Veterans Affairs. Over the last thirty years, the defendant fraudulently received in excess of $1.4 million dollars in compensation, education, and medical benefits from the Veterans Administration. Federal authorities became aware of the fraud after Rodríguez-Colondres attempted to obtain a U.S. Passport under the assumed identity of his cousin, Colondres-Rosa.
“This individual defrauded the US Department of Veteran’s Affairs for personal gain,” said United States Attorney, Rosa Emilia Rodríguez-Vélez. “We will continue to investigate and prosecute those who engage in corrupt acts which directly affect federal programs and the availability of these funds for its intended recipients. We commend the law enforcement agencies and our attorneys for their efforts in investigating this case and bringing this individual to justice.”
Federal Authorities Arrest 65 Year-Old for Child PornographyRead the Press Release
SAN JUAN, Puerto Rico – United States Magistrate Judge Bruce McGiverin authorized a criminal complaint against Carlos Manuel Colón-Velàzquez, a 65-year old resident of Coamo for production of child pornography and attempted production of child pornography, following an investigation lead by U.S. Immigration and Customs Enforcement (ICE), Homeland Security Investigations (HSI), announced United States Attorney for the District of Puerto Rico, Rosa Emilia Rodríguez-Vélez.
The affidavit alleges that on January 2, 2015, Homeland Security Investigations (HSI), San Juan, Child Exploitation Investigations Group (CEIG) received information from Puerto Rico Police Department (PRPD), Coamo District, regarding a 14-year-old minor male. According to PRPD, a concerned mother of a 14-year old male minor, referred hereinafter as John Doe, discovered messages between John Doe and a Facebook user “Charlie Colon” who was later identified as Carlos Manuel Colón-Velàzquez. In those messages the defendant requested and received sexually explicit images from John Doe. Colón-Velàzquez also sent the minor a video of himself masturbating.
“Unfortunately, sexual abuse of children has become all too common in Puerto Rico,” said United States Attorney for the District of Puerto Rico, Rosa Emilia Rodríguez-Vélez. “The USAO for the District of Puerto Rico is committed to taking full advantage of our investigative tools in order to protect our children from sexual predators.”
The case is being prosecuted by Assistant U.S. Attorney Elba Gorbea. If convicted, the defendant faces a mandatory minimum sentence of incarceration of fifteen years.
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 U.S. Attorneys’ offices and 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.A criminal complaint contains only charges and is not evidence of guilt. Defendants are presumed to be innocent unless and until proven guilty.
# # #Forty Individuals Arrested and Indicted for Social Security FraudRead the Press Release
On Jan. 12 and 13, 2015, a federal grand jury in the District of Puerto Rico returned 39 separate indictments charging one doctor, Luis Escabi-Pérez, and 39 other individuals for fraud in the application process for Social Security Administration (SSA) disability insurance benefits in Puerto Rico, announced U.S. Attorney Rosa Emilia Rodríguez Vélez for the District of Puerto Rico.
The SSA is responsible for the implementation of the Disability Insurance Benefits Program. The SSA provides monetary benefits to workers with severe, long-term disabilities who have worked in SSA-covered employment for a required length of time. Spouses and dependent children of disabled workers may also be eligible to receive benefits.
Pursuant to SSA regulations, a claimant must prove to SSA that he or she is disabled by furnishing medical and other evidence with the application. The application and supporting evidence would then be evaluated by SSA to determine the individual’s medical impairments and determine the effect of the impairment on the claimant’s ability to work on a sustained basis.
Escabi-Pérez, a psychiatrist, submitted psychiatric medical reports to the SSA in support of applications for disability insurance benefits submitted by his patients. Escabi-Pérez charged a fee for the medical visits, typically in the amount of $100. In addition, the defendant typically charged a fee in the amount of $500 for the preparation and submittal of a psychiatric medical report to the SSA. He would at times also charge additional fees of up to $5,000 to backdate medical records in order to create the appearance of a longer history of medical treatment.
For example, on Jan. 15, 2014, Escabi-Pérez submitted a medical report to the SSA suggesting that a patient, who was generally in good health and was not suffering from any physical or mental disabling conditions, was in fact suffering from disabling psychiatric conditions, and that the first medical visit of this patient to him was in April 2013, when in truth this patient’s first visit was in November 2013.
The patient initially received $11,242 as a retroactive payment calculated from the date of entitlement through the approval date. Thereafter, the patient received monthly disability insurance benefit payments of approximately $1,536. The total amount of benefits paid to the patient from the date of entitlement through the date of this indictment is approximately $27,096. Escabi-Pérez is also facing one charge of wire fraud. As part of the manner and means of the conspiracy, the doctor faxed the psychiatric report to the SSA supporting the existence of the alleged psychiatric conditions suffered by the patient, in spite of the fact that these psychiatric conditions were contrived.
Five indictments charge five individuals along with Escabi-Pérez of conspiracy to defraud the United States, wire fraud, theft of government property, concealment of failure to disclose an event to SSA and false statement in determining rights for disability. These defendants, aiding and abetting each other, knowingly and willfully embezzled, stole and converted to their own use the social security disability insurance benefit payments to which the defendants knew that they were not entitled.
Another five defendants filed SSA applications during 2011, which indicated the defendants were unable to work due to “back problems, cervical conditions, pain, carpal tunnel, arms numbed, legs numbed, depression,” among others. These defendants are charged with theft of government property because they embezzled, stole and converted to their own use, or the use of others, social security disability insurance benefit payments to which they knew they were not entitled. These defendants are also charged with false statement in determining rights for disability because they lied in the disability report (Form SSA-3368). The defendants stated that they stopped working because of their conditions, although the defendants knew that they stopped working because of a release agreement signed with pharmaceutical companies.
A third charge is for concealment or failure to disclose an event to SSA. These defendants intentionally concealed or failed to disclose the fact that their medical conditions had improved.
Twenty-nine defendants are facing two charges: theft of government property and concealment or failure to disclose an event to SSA.
The defendants who illegally received the benefits are Wilma Bolet, Juana Concepción-Santana, Miriam Cosme-García, Yesenia De Jesús, Ramona García, María García-Reyes, Pedro Laureano-Vázquez, Juan López-Rivera, Elizabeth Maldonado-Laureano, Fernando Marrero-Padilla, Ernie Martell-Orta, Ángel Montes-Orria, Lourdes Reyes-Medina, Candi, Rojas-Molina, Ángel Román-Santana, Miguel Santana-Ríos, José Valle-Oliveras, Edna Vargas-Valdés, Agustín Vázquez-Izquierdo, Orlando Pérez-Juarbe, Jorge Fraguada-Romero, Elsie Boneta-Román, Julio César Álamo-Casiano, Manuel Rivera-Santos, Francisco Declet, Luis Reyes-Serrano, Ismael Alicea-Berdecía, Rosa Espinosa-González, Johany Díaz-Oquendo, Ángel Rivera-Adorno, Myrna Ruiz-Rosso, William Feliciano, Edwin Figueroa, Ana Morales-de Jesús, Rosa Pagán-Ramos, Alberto Sostre-Cintrón, Constancia Vega-García, Raúl Domínguez and Ana Ruiz-Rivera.
“This case is the result of the continued efforts of the SSA and the FBI. Since August 2013, when 75 individuals were indicted for similar charges, including the current charges, we have filed a total of 115 indictments,” said U.S. Attorney Rodríguez-Vélez. “This is a great example of ongoing efforts by the Government to deter fraud against the social security programs. The Department of Justice is committed to investigate and prosecute those who engage in fraudulent schemes. Hopefully this round of arrests will discourage more people from getting involved in these types of schemes, because the investigation continues.”
The SSA in New York and Baltimore conducted a lengthy analysis of medical source documentation in social security’s files, wherein a pattern of fraudulent activity was discovered, initiating a full investigation. What followed was lengthy, intensive and complex investigative work—interviews, surveillances and other investigative activity.
“This fraud conspiracy scheme involving unscrupulous medical professionals and SSA disability claimants has been exposed and those involved are being brought to justice. It was only after the analysis of medical source documentation in SSA files that SSA OIG (Office of Inspector General) was able to identify the fraudulent pattern,” said Special Agent-in-Charge Edward J. Ryan of the SSA OIG’sOffice of Investigations. “This intensive and complex investigative work with the FBI and PRPD (Puerto Rico Police Department) consisted of numerous surveillances and other investigative activities that I cannot detail. This intelligence was also shared with the Health and Human Services OIG for their files. The evidence was provided to the U.S. Attorney’s Office which culminated in the additional arrests this morning. OIG will continue to work with our partners to protect the integrity of the Social Security Trust Fund.”
“This is another social security disability benefits fraud case where shameless individuals illegally obtained the benefits provided by the federal government,” said Special Agent in Charge Carlos Cases of the FBI’s San Juan Division. “This is not a victimless crime, but rather an outrageous, despicable and reprehensible act that deprives those who truly need assistance. Combating social security disability benefits fraud will continue to be a priority for the FBI in Puerto Rico.”
The case was investigated by the SSA-OIG with the collaboration of the FBI and the PRPD. The case was indicted by First Assistant U.S. Attorney María Domínguez and Special Assistant U.S. Attorney Vanessa D. Bonano-Rodríguez for the District of Puerto Rico.
Arrest and Indictment of Forty Individuals for Social SecurityRead the Press Release
SAN JUAN, P.R. - On January 12 and 13, 2015 a Federal Grand Jury in the District of Puerto Rico returned 39 separate Indictments charging one doctor, Luis Escabi-Pérez, and 39 other individuals for fraud in the application process for Social Security Administration (SSA) disability insurance benefits in Puerto Rico, announced United States Attorney for the District of Puerto Rico, Rosa Emilia Rodríguez Vélez.
The SSA is responsible for the implementation of the Disability Insurance Benefits Program. The SSA provides monetary benefits to workers with severe, long-term disabilities, who have worked in SSA covered employment for a required length of time. Spouses and dependent children of disabled workers may also be eligible to receive benefits.
Pursuant to SSA regulations, a claimant must prove to SSA that he or she is disabled by furnishing medical and other evidence with the application. The application and supporting evidence would then be evaluated by SSA to determine the individual’s medical impairments and determine the effect of the impairment on the claimant’s ability to work on a sustained basis.
Defendant Luis Escabi-Pérez, psychiatrist, submitted Psychiatric Medical Reports to the SSA in support of applications for disability insurance benefits submitted by his patients. Escabi-Pérez charged a fee for the medical visits, typically in the amount of $100.00. In addition, the defendant typically charged a fee in the amount of $500.00, for the preparation and submittal of a Psychiatric Medical Report to the SSA. He would at times also charge additional fees of up to $5,000 to backdate medical records in order to create the appearance of a longer history of medical treatment.
For example, on January 15, 2014, Escabi-Pérez submitted a medical report to the SSA suggesting that a patient who was generally in good health, and was not suffering from any physical or mental disabling conditions, was in fact suffering from disabling psychiatric conditions, and that the first medical visit of this patient to him was in April, 2013, when in truth this patient’s first visit was in November of 2013.
The patient initially received $11,242 as a retroactive payment calculated from the date of entitlement through the approval date. Thereafter, the patient received monthly disability insurance benefit payments of approximately $1,536.00. The total amount of benefits paid to the patient from the date of entitlement through the date of this Indictment is approximately $27,096. Escabi-Pérez is also facing one charge of wire fraud. As part of the manner and means of the conspiracy, the doctor submitted via facsimile transmission the psychiatric report to the SSA supporting the existence of the alleged psychiatric conditions suffered by the patient in spite of the fact that these psychiatric conditions were contrived.
Five indictments charge five individuals along with doctor Escabi-Pérez of conspiracy to defraud the United States, wire fraud, theft of government property, concealment of failure to disclose an event to SSA and false statement in determining rights for disability. These defendants, aiding and abetting each other, knowingly and willfully embezzled, stole, and converted to their own use the Social Security Disability Insurance Benefit payments to which the defendants knew that they were not entitled.
Another five defendants filed SSA applications during the year 2011 indicated the defendants were unable to work due to “back problems, cervical conditions, pain, carpal tunnel, arms numbed, legs numbed, depression”, to mention a few. These defendants are charged with theft of government property because they embezzled, stole and converted to their own use or the use of others, Social Security Disability Insurance Benefit payments to which they knew they were not entitled. These defendants are also charged with false statement in determining rights for disability because they lied in the Disability Report (Form SSA-3368). The defendants stated that they stopped working because of their conditions, although the defendants knew that they stopped working because of a release agreement signed with pharmaceutical companies.
A third charge is for concealment or failure to disclose an event to SSA. These defendants intentionally concealed or failed to disclose the fact that their medical conditions had improved.
Twenty-nine defendants are facing two charges: theft of government property and concealment or failure to disclose an event to SSA.
The defendants who illegally received the benefits are: Wilma Bolet, Juana Concepción-Santana, Miriam Cosme-García, Yesenia De Jesús, Ramona García, María García-Reyes, Pedro Laureano-Vàzquez, Juan López-Rivera, Elizabeth Maldonado-Laureano, Fernando Marrero-Padilla, Ernie Martell-Orta, Ángel Montes-Orria, Lourdes Reyes-Medina, Candi, Rojas-Molina, Ángel Romàn-Santana, Miguel Santana-Ríos, José Valle-Oliveras, Edna Vargas-Valdés, Agustín Vàzquez-Izquierdo, Orlando Pérez-Juarbe, Jorge Fraguada-Romero, Elsie Boneta-Romàn, Julio César Álamo-Casiano, Manuel Rivera-Santos, Francisco Declet, Luis Reyes-Serrano, Ismael Alicea-Berdecía, Rosa Espinosa-Gonzàlez, Johany Díaz-Oquendo, Ángel Rivera-Adorno, Myrna Ruiz-Rosso, William Feliciano, Edwin Figueroa, Ana Morales-de Jesús, Rosa Pagàn-Ramos, Alberto Sostre-Cintrón, Constancia Vega-García, Raúl Domínguez and Ana Ruiz-Rivera.
“This case is the result of the continued efforts of the SSA and the FBI. Since August 2013 when 75 individuals were indicted for similar charges, including the current charges, we have filed a total of 115 indictments,” said United States Attorney Rosa Emilia Rodríguez-Vélez. “This is a great example of ongoing efforts by the Government to deter fraud against the social security programs. The Department of Justice is committed to investigate and prosecute those who engage in fraudulent schemes. Hopefully this round of arrests will discourage more people from getting involved in these types of schemes, because the investigation continues”.The Social Security Administration in New York and Baltimore conducted a lengthy analysis of medical source documentation in Social Security’s files, wherein a pattern of fraudulent activity was discovered, initiating a full investigation. What followed was lengthy, intensive, and complex investigative work—interviews, surveillances, and other investigative activity. Special Agent-in-Charge Edward J. Ryan of the Office of the Inspector General, Office of Investigations of the Social Security Administration stated: “This fraud conspiracy scheme involving unscrupulous medical professionals and SSA disability claimants has been exposed and those involved are being brought to justice. It was only after the analysis of medical source documentation in SSA files that SSA, OIG was able to identify the fraudulent pattern. This intensive and complex investigative work with the FBI and PRPD consisted of numerous surveillances and other investigative activities that I cannot detail. This intelligence was also shared with the Health and Human Services OIG for their files. The evidence was provided to the U.S. Attorney’s Office which culminated in the additional arrests this morning. OIG will continue to work with our partners to protect the integrity of the Social Security Trust Fund.”
“This is another Social Security Disability Benefits Fraud case where shameless individuals illegally obtained the benefits provided by the Federal Government. This is not a victimless crime, but rather an outrageous, despicable and reprehensible act that deprives those who truly need assistance. Combating Social Security Disability Benefits Fraud will continue to be a priority for the FBI in Puerto Rico,” said Carlos Cases, Special Agent in Charge of the FBI.
The case was investigated by the Social Security-OIG with the collaboration of the FBI and the Puerto Rico Police Department. The case was indicted by First Assistant U.S. Attorney María Domínguez and Special Assistant United States Attorney Vanessa D. Bonano-Rodríguez.Twenty Year-Old Man Sentenced for Child PornographyRead the Press Release
SAN JUAN, P.R. – Today, defendant Anthony Alemàn-Pagàn was sentenced to a term of imprisonment of 97 months followed by 18 years of Supervised Release Term by US District Court Judge Daniel R. Domínguez, announced Rosa Emilia Rodríguez-Vélez, United States Attorney for the District of Puerto Rico.
On June 13, 2012, Alemàn-Pagàn was charged with transportation, receipt and possession of child pornography. According to the charging document, Alemàn-Pagàn knowingly sent an email message from his personal email account to more than 50 addressees containing two compressed files entitled “Girls.zip” and “Boys.zip, which when extracted revealed images depicting graphic and violent images of child pornography. The indictment revealed that, on several occasions, he received files containing child pornography. On April 3, 2014, the defendant pled guilty to one count of receipt of child pornography.
“I sincerely hope that a sentence of 8 years incarceration sends a clear message to anyone who knowingly searches for, receives and downloads images of child pornography from the internet. If you do or have considered doing so, please think long and hard what a sentence of 8 years incarceration would do to your life and that of your family. The U.S. Department of Justice, through its Project Safe Childhood, continues day-in and day-out investigating and prosecuting online sexual predators of minors,” said United States Attorney for the District of Puerto Rico, Rosa Emilia Rodríguez-Vélez.
The investigation was led by Immigration and Customs Enforcement (ICE) Homeland Security Investigations (DHS) and the Puerto Rico Police Department. The case was prosecuted by Assistant U.S. Attorney Marshal Morgan.17-Count Indictment in Illegal Concealed Carry Weapons Permits CaseRead the Press Release
SAN JUAN, Puerto Rico – On Thursday, December 11, 2014, a federal grand jury returned a 17-count indictment against former Lieutenant and head of Bayamón CIC, Puerto Rico Police Department Sergio Calderón-Marrero for conspiracy to commit identity fraud, unlawful production of identification documents, aggravated identity theft, attempted witness tampering and attempted obstruction of justice, announced Rosa Emilia Rodríguez-Vélez, United States Attorney for the District of Puerto Rico. The Federal Bureau of Investigation (FBI) and the Puerto Rico Police Department (PRPD) are in charge of the investigation.
Calderón-Marrero would obtain forged firearms handling course certificates, forge signatures of his clients, and use the notary seal of a deceased Attorney and Notary Public to circumvent the appropriate legal process and obtain Concealed Carry Weapons Permits illegally for his clients.
According to the accusation, from in or about January 2012, continuing through February 18, 2014, Calderón-Marrero conspired to knowingly cause, without lawful authority, Puerto Rico Concealed Carry Weapons Permits to be created illegally. Calderón-Marrero charged clients and collected money for services and fees that were not rendered and submitted forged documents to PRPD authorities. Calderón-Marrero’s scheme, which involved false handling course certificates and forged sworn statements, knowingly caused the transfer, possession, and use without lawful authority, the means of identification of another person which contained the name and signature of the PRPD Superintendent, the name of permit cardholders, and the name of a deceased Puerto Rico Notary Public and Attorney.
The purpose and object of the conspiracy was to have Commonwealth of Puerto Rico Concealed Carry Weapons Permits be issued falsely for pecuniary gain.The case is being prosecuted by Assistant U.S. Attorneys Luke Cass and José Capó-Iriarte. If convicted, the defendant could face up to 15 years in prison for unlawful production of identification documents, up to 15 years for conspiracy to commit identity fraud, up to 20 years for attempted witness tampering, and two additional years for aggravated identity theft. The defendant is also facing a forfeiture allegation for a sum of money representing the amount of proceeds obtained as a result of the scheme totaling approximately $105,000.00.
An indictment is a formal accusation of criminal conduct, not evidence. A defendant is presumed innocent unless and until convicted through due process of law.
Three Separate Individuals Arrested for A Total of Six CarjackingsRead the Press Release
SAN JUAN, Puerto Rico – On December 10 and 11, a federal grand jury in the District of Puerto Rico returned three indictments against three defendants charged with carjacking and firearms offenses, announced today Rosa Emilia Rodríguez-Vélez, United States Attorney for the District of Puerto Rico. The indictments are the result of a joint effort between the United States Attorney’s Office (USAO), the Federal Bureau of Investigation’s Save Our Streets Initiative (SOS) and the Puerto Rico Police Department (PRPD).
Luis Dàvila Crespo committed a series of carjackings from November 30 to December 4 throughout the San Juan metro area, in which individuals were violently carjacked with a knife. One carjacking involved a 93-year old male victim, and a separate carjacking occurred on the property of a church where the victim, a parishioner, was threatened with being stabbed.
The other two indictments charge Victor M. Rodríguez Cruz and Kevin Arias Rivera with armed carjackings, on September 19, 2014, and December 8, 2014, respectively. Both of those carjackings occurred at the residences of the victims were they were threatened with firearms.
On December 8, 2014, Arias Rivera was involved in a high-speed chase with the Puerto Rico Police Department seeking to evade apprehension that ended with the carjacked vehicle being flipped-over in the Luquillo area.
“The investigations of FBI special agents and designated PRPD officers will continue into similar crimes in other areas of Puerto Rico,” said US Attorney Rosa Emilia Rodríguez-Vélez. “The collaboration and team work between state and federal law enforcement agencies in the investigation and prompt filing of charges show the immediate results we continue to obtain with this joint initiative.”
Assistant U.S. Attorney Luke Cass is in charge of the prosecution of all three cases. If convicted, the defendants could face up to life in prison. Indictments contain only charges and are not evidence of guilt. Defendants are presumed to be innocent until and unless proven guilty.
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Individual Pleads Guilty for Carjacking That Resulted in MurderRead the Press Release
SAN JUAN, Puerto Rico – Edwin Torres-Osorio, aka “Bebe,” pled guilty yesterday to Count one of the indictment which charged that the defendant, along with three others, aiding and abetting each other, with the intent to cause death and serious bodily harm, did knowingly, willfully and intentionally take a Toyota Matrix that had been transported, shipped or received in interstate and foreign commerce, from the person of José E. Gómez-Saladín, by force, violence and intimidation by striking him in the head, and in perpetration of said offense caused his death, announced Rosa Emilia Rodríguez-Vélez, United States Attorney for the District of Puerto Rico. The sentence recommendation contained in the plea agreement is for 24 to 30 years imprisonment.
On November 29, 2012, Ruben Delgado-Ortiz, Torres-Osorio, Alejandra Berrios-Cotto and Lenisse Aponte-Aponte devised a scheme to rob a victim because Aponte-Aponte did not have enough money to pay her rent. As part of the scheme, Berrios-Cotto and Aponte-Aponte would lure a victim and then Delgado-Ortiz and Torres-Osorio would approach the victim regarding a fictitious debt Aponte-Aponte owed Delgado-Ortiz, in the hopes the victim would satisfy the fictitious debt.
Later that night, the four co-defendants made their way to Padial Street. A blue Toyota Matrix stopped nearby and Aponte-Aponte gave Delgado-Ortiz and Torres-Osorio the signal to approach the car and execute the plan. Delgado-Ortiz and Torres-Osorio entered the car, and Delgado-Ortiz told Aponte-Aponte she had to give him the money she owed him. Delgado-Ortiz had pepper spray in his pocket and used it to simulate the presence of a weapon. The driver, later identified as José E. Gómez-Saladín, eventually drove to an ATM machine where he, accompanied by Delgado-Ortiz, withdrew $400.00 and gave it to Delgado-Ortiz.
The group later drove towards Sabarona and discussed Gomez-Saladín’s fate since he had seen their faces and could identify them. Eventually, the group went to a gas station and purchased gas. Sometime thereafter, Delgado-Ortiz forced Gómez-Saladín to stop driving the car. Delgado-Ortiz then drove the Matrix to an old abandoned prison in Guavate. There, parked the car, and everyone got out. Aponte-Aponte used her cell phone to illuminate the area. Delgado-Ortiz and Berriós-Cotto escorted Gómez-Saladín from the car and told him to kneel. They doused him with gasoline and lit him on fire. Gómez-Saladin began yelling and got up and started to run. He stripped off his pants before tripping on a mound of garbage that was at the scene. Delgado-Ortiz and Berríos-Cotto followed Gómez-Saladin and began hitting him with sticks and tubing they found in the area. They beat Gómez-Saladín until he was barely breathing. The four co-defendants then gathered the sticks and tubing used to beat Gómez-Saladín, placed them in the car, and left the prison in the Matrix. His partially decomposed body was found by authorities several days later where the defendants had left him.
Delgado-Ortiz then drove to another gas station and they purchased more gasoline in order to burn the Toyota Matrix. They then proceeded towards La Macanea Road. There, they exited the car and Torres-Osorio pour gas over the seats and the dashboard. He then set the car on fire. The four co-defendants then left the scene on foot. They stopped at a Shell Gas Station to buy refreshments. They also unsuccessfully attempted to withdraw more money from Gómez-Saladín’s bank account. The co-defendants left the area on foot and went to their respective homes.
Sentencing hearing was scheduled for April 7, 2015. The case is being prosecuted by Assistant U.S. Attorney Julia Meconiates and Senior Litigation Counsel Scott Anderson.
Ruben Delgado-Ortiz pled guilty on October 24, 2014; sentencing is scheduled for February 19, 2015. He faces a sentence of 30 years.
18 Individuals Indicted for Drug Trafficking at El Trebol Public Housing ProjectRead the Press Release
SAN JUAN, Puerto Rico – On November 12, 2014, a federal grand jury in the District of Puerto Rico returned an indictment against 18 defendants charged with conspiracy to possess with intent to distribute controlled substances, announced Rosa Emilia Rodríguez-Vélez, United States Attorney for the District of Puerto Rico. The Drug Enforcement Administration is in charge of the investigation, with the collaboration of the Puerto Rico Police Department.
The 18 defendants are: Henry Díaz-Texidor, aka “Canto”; Enrique Osorio-Giron, aka “Yun Yun”; Frederick Torres-Merced, aka “Sombel”; Miguel A. Pagàn-Càtala, aka “Guelo”; Luis Javier Ríos Càtala, aka “Javi”; Saul O. Rodríguez-Rodríguez; José Verdejo-Santiago, aka “Colo”; Edgariel Medina-Rolón, aka “Precio”; Tomàs Benítez-Gonzàlez, aka “Tommy”; Giovanni Burgos-Arroyo, aka “Gino”; Larry Liboy López-Cepero, aka “Gordo”; Josué Machado-De Jesús, aka “Indio”; Jesús M. Marquez-Rosario, aka “Pacquiao”; Alexander Rosado-Ruiz, aka “Cachito”; José Abel Rosado-Ruiz, aka “Puchito”; Joshua Rosario-Cruz; Danny Tejada-Rosado, aka “Pocheche”; and Roberto García-Sànchez, aka “Robert”.
The indictment alleges that beginning in 2005, the organization distributed cocaine, heroin, crack, marihuana and prescription drugs within 1,000 feet of a real property comprising housing facility owned by a public housing authority, all for financial gain and profit.The 18 co-conspirators had many roles in order to further the goals of the conspiracy. Some of the defendants would routinely possess, carry, brandish, and use firearms to protect themselves and the drug trafficking organization; and would use force, violence, threats and intimidation in order to discipline members of their own organization.
It was further a part of the manner and means of the conspiracy that locks would be placed by members of the organization on gates located in the common areas of El Trébol buildings in order to protect the sellers from law enforcement.
“I commend our state and federal law enforcement partners for their hard work and efforts in this investigation,” said Rosa Emilia Rodríguez-Vélez, U.S. Attorney for the District of Puerto Rico. “We will pursue the prosecution of these defendants with equal vigor.”
“The Drug Enforcement Administration initiated Operation Lucky Charm in April 2013, in conjunction with the Puerto Rico Police Department. DEA will not allow these violent drug trafficking organizations to take control over the lives of innocent people who live in El Trébol Public Housing Project or any other communities in Puerto Rico,” said Vito Salvatore Guarino, Special Agent in Charge of the DEA Caribbean Division.
Assistant U.S. Attorney Teresa Zapata-Valladares is in charge of the prosecution of the case. If convicted the defendants face a minimum sentence of 10 years up to life in prison. Indictments contain only charges and are not evidence of guilt. Defendants are presumed to be innocent until and unless proven guilty.Four Members of an Organization That Committed Fourteen Armed Robberies in Puerto Rico Indicted Under the Rico ActRead the Press Release
SAN JUAN, Puerto Rico – On October 29, 2014, an indictment issued by a federal grand jury in the District of Puerto Rico was unsealed, charging four defendants with racketeering, interference with commerce by robbery, and related firearm offenses, announced Rosa Emilia Rodríguez-Vélez, U.S. Attorney for the District of Puerto Rico. The FBI is in charge of the investigation.
The Indictment charges Luis Ruiz-Santiago, a/k/a “Turbo/Wicho;” Roberto García-Santiago, a/k/a “Piri;” Jesús Ramírez-Cotto, “Coco/Conteo;” and Carlos López-Soto, a/k/a “Chemito” with violating the RICO Act, Hobbs Act, and using firearms during and in relation to crimes of violence. These four defendants were part of a criminal organization that engaged in robbery and acts of violence.
The purpose of the criminal enterprise was to enrich its members and associates. To accomplish this, defendants would: (1) commit armed robberies during which, through the use of force, violence, and intimidation, they would take money, electronics, and other property from persons and businesses, (2) pool resources in order to accomplish the robberies, (3) use guns to commit the robberies, (4) have a getaway driver for the robberies, (5) sell the items that were obtained from the robberies, and (6) share the proceeds of the robberies. The indictment alleges that the defendants are responsible for fourteen (14) armed robberies to persons, businesses, and street vendors. Through these robberies, defendants were able to obtain at least eighty-thousand dollars ($80,000.00) in profits.
“This RICO prosecution shows the continued commitment of federal and state authorities to disrupt and dismantle violent organizations whose members affect the daily lives of the people residing in Puerto Rico,” said US Attorney Rosa Emilia Rodríguez-Vélez. “The United States Attorney’s Office for the District of Puerto Rico is determined to eliminate criminal organizations which engage in violent offenses for profit, at the expense of the safety and well-being of our citizens.”
The case is being prosecuted by Assistant United States Attorney Victor O. Acevedo-Hernàndez from the RICO Unit of the United States Attorney’s Office for the District of Puerto Rico and Special Assistant United States Attorney Kelly Zenón-Matos.If convicted, the defendants face up to life in prison. Indictments contain only charges and are not evidence of guilt. Defendants are presumed to be innocent until and unless proven guilty.
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13 Individuals Charged with Theft of Public Money and Aggravated Identity TheftRead the Press Release
SAN JUAN, P.R. – A federal grand jury in the District of Puerto Rico returned seven indictments against 13 defendants charged with theft of public money and aggravated identity theft, announced Rosa Emilia Rodríguez-Vélez, United States Attorney for the District of Puerto Rico. Today Internal Revenue Service (IRS) agents and with the assistance of the task force officers of the Puerto Rico Police Department (PRPD), the Puerto Rico Treasury Department, and the Puerto Rico Special Investigations Bureau executed the arrest.
Out of the 13 defendants, nine are charged with conspiracy to unjustly enrich themselves by fraudulently obtaining United States Department of Treasury tax refunds to which they were not entitled. Members of the conspiracy would submit false and fraudulent federal income tax returns to the United States Department of Treasury using names and social security numbers of individuals without their knowledge or authority. They designated mailing addresses where the tax refunds would be sent, but these were not the true and correct mailing addresses of the individuals whose identities were used to file the false and fraudulent federal income tax returns. Based upon these false and fraudulent income tax returns, the United States Department of Treasury issued income tax refunds, unbeknownst to the individuals whose names and social security account numbers were fraudulently used, to the members of the conspiracy by mailing U.S. Treasury checks to the mailing addresses designated in the false and fraudulent federal tax returns. The members of the conspiracy would forge the endorsement of the individual whose name was on each U.S. Treasury check as the recipient of the refund. They would then negotiate and cause the checks to be deposited in exchange for cash.
Upon conviction of one or more of the violations of 18 USC § 641 set forth in the indictments the defendants shall forfeit to the United States of America pursuant to 18 USC § 981 (a) (1) (C) and 28 USC § 2461 (c), any property , real or personal which constitutes or is derived from profits traceable to the offense. The property to be forfeited includes, but is not limited to, the amount of $1,184,937.52.
“Today’s arrests demonstrate our commitment to investigate and prosecute those who steal the identities of unsuspecting victims in order to enrich themselves at the expense of the federal government.” said U.S. Attorney Rosa Emilia Rodríguez-Vélez.
“Identity theft remains a top priority for the Internal Revenue Service. The indictments announced today send a clear message that stealing identities to file tax returns and receive fraudulent refunds will not be tolerated. The individuals who commit these crimes will be brought to justice. We are committed to safeguarding the U.S. Treasury and the public against stolen identity refund fraud,” stated IRS-CI Acting Special Agent in Charge Donnell Young.
Assistant U.S. Attorney Justin Martin is in charge of the prosecution of the case. If convicted, the defendants face a sentence of up to 10 years of imprisonment under 18 U.S.C. § 641, a minimum sentence of 2 years of imprisonment under 18 U.S.C. § 1028A(c) and a sentence of up to 5 years of imprisonment under 18 U.S.C. § 371. Indictments contain only charges and are not evidence of guilt. Defendants are presumed to be innocent until and unless proven guilty.
Criminal indictments are only charges and are not evidence of guilt. A defendant is presumed innocent unless and until proven guilty.
30 Individuals Indicted for Trafficking DrugsRead the Press Release
SAN JUAN, Puerto Rico – On September 18, 2014, a federal grand jury in the District of Puerto Rico returned an indictment against 30 defendants charged with conspiracy to possess with intent to distribute controlled substances, announced Rosa Emilia Rodríguez-Vélez, United States Attorney for the District of Puerto Rico. Today DEA and ATF agents and officers of the Puerto Rico Police Department (PRPD), executed the arrest warrants.
The object of the conspiracy was to distribute controlled substances at the Las Mesetas Public Housing Project located within the Municipality of Arecibo, Puerto Rico since 2008. This organization would purchase wholesale quantities of heroin, cocaine, and marihuana in order to distribute the same in street quantity amounts at their drug distribution points in Las Mesetas. These drug points would have fixed prices for types of drugs in order to maintain the parity of the sales. The leader and drug point owner would have other members of the organization administrating the daily activities of the drug distribution point.
Some of the cocaine purchased at wholesale quantities would be converted into crack cocaine, “cooked”, for subsequent sale and distribution at the drug points. The organization would use residences located within Las Mesetas and other locations outside the housing project to conceal drugs, drug paraphernalia, firearms and ammunitions. Some of the defendants would routinely possess, carry, brandish, and use firearms to protect themselves and further their drug trafficking organization.
The main leader of the drug trafficking organization, Jorge Sanchez-Sostre aka “Georgie” had control of the drug distribution points located within Las Mesetas through three co-defendants also acting as drug point owners. These drug point owners were Yadira Casanova-Avila, Jonathan Beltran-Perez aka “Puruco”, and Christian Sanchez-Sostre. The leaders of the organization had the final approving authority as to the disciplinary actions to be imposed upon residents of Las Mesetas and members of the conspiracy.
“Today’s arrests demonstrate our commitment to dismantle drug trafficking organizations which, through their illicit business, are affecting the quality of life of the law abiding citizens in our public housing projects.” said Rosa Emilia Rodríguez-Vélez, U.S. Attorney for the District of Puerto Rico. “ We will continue our hard work to maintain the peace in our neighborhoods.”
“ATF's FRONTLINE strategy in protecting Americans and our communities from violent crime is our number one priority. Today's Las Mesetas case, is just another example of ATF's efforts of working hand in hand with our DEA and PRPD law enforcement partners,” said Special Agent in Charge Hugo Barrera, Miami Field Division. “We will work together to eradicate violent gun and drug related crime and dismantle Drug Trafficking Organizations such as this one.”“DEA will continue to work hand in hand with the United States Attorney’s Office for the District of Puerto Rico, Bureau of Alcohol Tobacco, Firearms and Explosives, Puerto Rico Police Department, U.S. Marshal Service, Puerto Rico National Guard, Puerto Rico Housing Department, Special Investigations Bureau, Ports of Authority and the Department of Corrections, in effort to disrupt and dismantle all the violent drug trafficking organizations that utilizes firearms to intimidate and operate there drug points out of the Public Housing Projects and other communities for financial gain. These Drug Trafficking Organizations will not be allowed to continue nor expand their operations”. Said Vito Salvatore Guarino, Special Agent In Charge of the DEA Caribbean Division.
Assistant U.S. Attorney Victor Acevedo and Assistant U.S. Attorney Seth Erbe are in charge of the prosecution of the case. If convicted, the defendants face a sentence of not less than twenty (20) years of imprisonment and up to life under 21 U.S.C. §§ 841(a)(1), 846 and 860 and a minimum sentence of not less than five (5) years of imprisonment and up to life under 18 U.S.C. § 924(c).Indictments contain only charges and are not evidence of guilt. Defendants are presumed to be innocent until and unless proven guilty.# # #
Federal Civil Complaint Against FBI Agents Is DismissedRead the Press Release
SAN JUAN, Puerto Rico – On September 17, 2014, after three days of jury trial, U.S. Magistrate Judge Camille Velez-Rivé dismissed the civil claims filed by Plaintiff Carlos Hernandez-Cuevas alleging false arrest and malicious prosecution against FBI Special Agents William Taylor and Steven Martz, announced Rosa Emilia Rodríguez-Vélez, United States Attorney for the District of Puerto Rico.
Plaintiff Hernandez-Cuevas alleged that after his arrest in Puerto Rico he spent three months detained in a federal penitentiary in New Jersey, where he was charged with money laundering in connection to drug trafficking activities. The criminal charges were later dismissed by the Government. In her dismissal, U.S. Magistrate Judge Camille Velez Rivé determined that the final disposition in the civil case should not go to the jury based on insufficient evidence. Judge Velez-Rivé, analyzed the evidence presented at trial and noted, in pertinent part that:
“Testimonies show that there was enough evidence through the investigation which led the agents to reasonably and logically believe that Plaintiff was a courier on July 20, 2004. As such, there was probable cause to arrest Plaintiff Hernàndez-Cuevas based on the totality of the circumstances, the evidence collected at the time including the information provided by the confidential informant and other evidence as testified, and based on the collective knowledge of all the agents who participated in the Paracash investigation.”
“The dismissal of this case upholds the legitimate actions undertaken by federal law enforcement officers during the investigation which led to Hernandez-Cuevas’ arrest.” said Rosa Emilia Rodríguez-Vélez, U.S. Attorney for the District of Puerto Rico.
The government attorneys in this case were Assistant U.S. Attorney Lisa Bhatia-Gauthier and Trial Attorney Leah Taylor from the U.S. Department of Justice’s Constitutional Torts Branch.
# # #Attorney Charged with Concealing A Fugitive from ArrestRead the Press Release
SAN JUAN, Puerto Rico – On September 16, 2014, a federal grand jury in the District of Puerto Rico returned an indictment against state criminal defense attorney, Lemuel Velilla Reyes, charged with concealing a person from arrest, announced Rosa Emilia Rodríguez-Vélez, United States Attorney for the District of Puerto Rico. This investigation was led by the Federal Bureau of Investigations (FBI) Public Corruptions Squad and the assistance of the Drug Enforcement Administration (DEA).
On July 14, 2011, Velilla-Reyes legally represented federal fugitive Wilfredo Rodríguez- Rodríguez, aka “Fredo”, aka “Cape”, aka “Capellan”, under the false name of “Felix Otero-Torres” on local drug and weapon charges.
Wilfredo Rodríguez-Rodríguez has an outstanding arrest warrant since July 14, 2010, in a federal case U.S. v. José Colón-de Jesus, et. al. Crim. No. 10-251 (JAF) where he is listed the fifth individual in the 110 codefendant indictment for participating as a leader in a drug trafficking conspiracy to distribute controlled substances at the Virgilio Davila, Las Gardenias, Brisas de Bayamón, and Falin Torrech housing projects, and other areas within the Bayamon Municipality. Velilla-Reyes was known as the attorney for the drug trafficking organization which Rodríguez-Rodríguez was a part of, and had legally represented him in a prior criminal state case in 2006.
In the early morning hours of July 14, 2011, the Police of Puerto Rico arrested Rodríguez-Rodríguez in Toa Baja while they were executing state arrest warrants. Upon his arrest, he provided the false name of Felix Otero-Torres and did not provide or have in his person any identification documents.
While at the police station, attorney Velilla-Reyes arrived to legally represent Rodríguez-Rodríguez under the false name he had provided. Velilla-Reyes stood by while the charges against his client where brought forth under the false name. He then appeared in court during the local probable cause proceedings and falsely represented to the court that his client Felix Otero-Torres could not recall his social security number or his full address. Velilla-Reyes requested that bail be set without electronic monitoring and told the court he would continue to represent his client throughout all the proceedings. He also assured his client’s fulfillment of pre-trial release conditions and his appearance in court. Rodríguez-Rodríguez, who was affirmatively identified during the days that followed, did not show up to the police station for booking and did not return to any court proceeding. Velilla-Reyes continued as the attorney in record, but failed to appear in any of the subsequent court hearings. To this day Wilfredo Rodríguez-Rodríguez is still a fugitive.
“Our efforts to eradicate corruption in the judicial system of Puerto Rico will include investigations and prosecutions such as this one. The actions committed by this attorney and his effort to conceal a federal fugitive from arrest through illegal conduct, undermine the public’s trust in the judicial system, which is a cornerstone to our democracy.” said Rosa Emilia Rodríguez-Vélez, U.S. Attorney for the District of Puerto Rico.
“Acts like the ones alleged to have been committed by Attorney Lemuel Velilla, in this indictment, undermine the credibility of the judicial system and violates the trust and expectation of the residents of Puerto Rico.” said Carlos Cases, Special Agent in Charge for the FBI. “The FBI is fully committed to identify and investigate corruption at all levels.”
Assistant U.S. Attorneys Myriam Y. Fernàndez and Jenifer Y. Hernàndez, Deputy Chiefs of the Narcotics Unit, are in charge of the prosecution of the case. If convicted the defendant faces a maximum sentence of five years or a fine of no more than $250,000.00, or both for count Title 18, United State Code, Section 1071. Indictments contain only charges and are not evidence of guilt. The defendant is presumed to be innocent until and unless proven guilty.
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Businessman Pleads Guilty to Selling Putrid Pork MeatRead the Press Release
SAN JUAN, Puerto Rico – José Suàrez, owner of Joshua Enterprises, Inc., dedicated to food salvage and distribution, pleaded guilty today to selling meat products that were unfit for human consumption, announced Rosa Emilia Rodríguez-Vélez, United States Attorney for the District of Puerto Rico. Suàrez is facing a possible sentence of three years in prison.
The defendant pleaded guilty to count one of the Information. According to the charging documents, from on or about April 8, 2009 through October 27, 2010, in the District of Puerto Rico, the defendant José Suàrez sold or offered for sale, meat products, specifically, pork shoulder picnics, which were adulterated and unfit for use as human food at the time of such sale or at the time the pork shoulder picnics were offered for sale.
The defendant, José Suàrez accepted for storage, 52,859 pounds of pork shoulders. The pork shoulders were received from an individual who worked for the transporter, Horizon Lines. The defendant was informed by this individual that the pork shoulders had suffered temperature abuse during transport. Subsequently, the pork shoulder picnics were offered for sale by the employee of Horizon Lines to various buyers. Suàrez was invited to also make an offer to purchase them. He did in fact purchase 52,859 pounds of pork shoulders.
On October 27, 2010, the USDA sampled two of the remaining pork shoulders in storage and determined that it was not fit for human consumption. As a result, defendant José Suàrez agreed to destroy the remaining 12,143 pounds of pork shoulders. According to available information, none of the buyers reported that consumers had become ill as a result of ingesting or eating the pork shoulders.
The case was investigated by the US Department of Agriculture and prosecuted by Assistant U.S. Attorney Mariana Bauzà-Almonte.
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Sixteen Former Puerto Rico Police Officers Plead Guilty to Running Criminal Organization from the Police DepartmentRead the Press Release
WASHINGTON – Sixteen former Puerto Rico police officers have pleaded guilty for their roles in a criminal organization run out of the police department. The officers used their affiliation with law enforcement to commit robbery and extortion, to manipulate court records in exchange for bribes, and to sell illegal narcotics.
Assistant Attorney General Leslie R. Caldwell of the Justice Department’s Criminal Division, U.S. Attorney Rosa Emilia Rodríguez-Vélez of the District of Puerto Rico and Special Agent in Charge Carlos Cases of the FBI’s San Juan Division made the announcement.
“These 16 police officers were charged with fighting crime, protecting lives and property, and improving the quality of life in Puerto Rico,” said Assistant Attorney General Caldwell. “Instead, they used their badges and guns to do the opposite, committing crimes, endangering lives, and stealing property under the veil of police authority. This prosecution demonstrates the Justice Department’s commitment to holding all criminals accountable – including those who wear a badge. We will use every tool at our disposal, including the RICO laws, to rid our communities of corruption.”
The following 13 defendants pleaded guilty to conspiracy to violate the Racketeer Influenced and Corrupt Organizations (RICO) Act: Osvaldo Vazquez-Ruiz, 38; Orlando Sierra-Pereira, 37; Danny Nieves-Rivera, 35; Roberto Ortiz-Cintron, 35; Yovanny Crespo-Candelaria, 34; Jose Sanchez-Santiago, 32; Miguel Perez-Rivera, 35; Nadab Arroyo-Rosa, 33; Jose Flores-Villalongo, 52; Luis Suarez-Sanchez, 36; Eduardo Montañez-Perez, 29; Carlos Laureano-Cruz, 40; and Carlos Candelario-Santiago, 47. Three defendants, Ruben Casiano-Pietri, 36, Christian Valles-Collazo, 28, and Ricardo Rivera Rodriguez, 39, pleaded guilty to robbery and extortion charges. Several of the defendants also pleaded guilty to firearms charges in connection with the use of their police-issued firearms in furtherance of their crimes. At the time of their criminal conduct, Flores-Villalongo and Candelario-Santiago were sergeants with the Police of Puerto Rico (POPR), and the other defendants were police officers. Sentencing hearings are scheduled for December 2014.
According to court documents, over the course of the conspiracy, the officers worked together to conduct traffic stops and enter the homes of suspected criminals to steal money, property and drugs for their own personal enrichment. They planted evidence to make false arrests, and then extorted money from their victims in exchange for their release from custody. Additionally, in exchange for bribe payments, the officers gave false testimony, manipulated court records and failed to appear in court when required so that criminal cases would be wrongfully dismissed. The officers also sold and distributed wholesale quantities of narcotics.
As just a few examples of their criminal conduct, in April 2012, defendants Vazquez-Ruiz and Sierra-Pereira conducted a traffic stop in their capacity as police officers and stole approximately $22,000 they believed to be illegal drug proceeds. Vazquez-Ruiz later attempted to extort approximately $8,000 from an individual believed to be a drug dealer’s accomplice in exchange for promising to release a prisoner.
Further, in November 2012, defendants Sierra-Pereira, Nieves-Rivera, Ortiz-Cintron and Valles-Collazo illegally entered an apartment and stole approximately $30,000, which they believed were illegal lottery proceeds.
The defendants frequently shared with one another the proceeds they illegally obtained, and used their power, authority and official positions as police officers to promote and protect their illegal activity. Among other things, the defendants used POPR firearms, badges, patrol cars, tools, uniforms and other equipment to commit the crimes, and then concealed their illegal activity with fraudulently obtained court documents and falsified POPR paperwork that made it appear they were engaged in legitimate police work.
The case was investigated by the FBI’s San Juan Division, and prosecuted by Trial Attorneys Brian K. Kidd, Emily Rae Woods and Menaka Kalaskar of the Criminal Division’s Public Integrity Section and Assistant U.S. Attorney Mariana E. Bauzà of the District of Puerto Rico.
Suspended Catholic Priest Pleads GuiltyRead the Press Release
SAN JUAN, Puerto Rico – Israel Berríos-Berríos, a suspended Catholic priest, pleaded guilty today to transporting a minor with the intent to engage criminal sexual conduct, announced Rosa Emilia Rodríguez-Vélez, United States Attorney for the District of Puerto Rico. Berríos-Berríos is facing a possible sentence of 10 to 12 years in prison.
The indictment charged that from on or about July 21, 2008, through on or about July 25, 2008, the defendant did knowingly transport an individual, who had not attained the age of 18 years, in interstate and foreign commerce, with the intent to engage in any sexual activity for which a person could be charged with a criminal offense. According to the Government’s version of facts, the defendant did transport a then 15 year-old male minor identified as “John Doe” to the City of Miami, Florida, where together they took a four-day cruise to the Bahamas aboard the vessel known as “Majesty of the Seas.” While on the cruise the defendant engaged in lewd acts with John Doe, which constitutes a violation of Title 18, USC, Section 2423(a).
“The USAO for the District of Puerto Rico is committed to taking full advantage of our investigative tools in order to protect our children from sexual predators,” said United States Attorney for the District of Puerto Rico, Rosa Emilia Rodríguez-Vélez. “We commend our team of prosecutors and investigators who worked tirelessly in this case and today achieved this conviction. The public should be reminded to report all inappropriate behavior with children to their local authorities and together, local and federal law enforcement, will see that justice is carried out.”
The case was prosecuted by Assistant U.S. Attorney Marshal D. Morgan, Coordinator of the initiative Project Safe Childhood, and Assistant U.S. Attorney Elba Gorbea.
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 U.S. Attorneys’ offices and 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.
16 Individuals Indicted for Drug TraffickingRead the Press Release
SAN JUAN, Puerto Rico – On August 19, 2014, a federal grand jury in the District of Puerto Rico returned an indictment against 16 defendants charged with conspiracy to possess with intent to distribute controlled substances, announced Rosa Emilia Rodríguez-Vélez, United States Attorney for the District of Puerto Rico. The Drug Enforcement Administration (DEA) is in charge of the investigation, with the collaboration of the United States Postal Inspection Service (USPIS) and the Federal Bureau of Investigation (FBI).
The indictment charges 16 individuals with conspiracy to knowingly and intentionally distribute, and cause the distribution of, in excess of 50 grams of methamphetamine, its salts, isomers, and salts of its isomers, and quantities of Gamma-butyrolactone (GBL) knowing that it was for human consumption, all for significant financial gain and profit. The defendants are: Javier Trujillo-Plumey, aka “Mother”; Ramón Antonio Torres-Gonzàlez, aka “Gabriel”; Armando Duran; José Aníbal Rivera-Fuentes, aka “Luis,” “La Negra”; Nicholson Silva-Hernàndez, aka “Nico”; Fernando Dàvila-Guadalupe, aka “Fernan”; Juan Medina-Mojica; Antonio Camacho-Espaillat; Elvyn García, aka “Vinny”; Pablo Ramos-Pabón, aka “PJ”; Waldemar Gonzàlez-Medina, aka “Wally”; Esteban Ortiz; Hommy Rosado-Rodríguez; Eduard Gonzàlez-Pérez, aka “Bacteria”; Joeing Navarro, aka “Joe,” “Hunterman”; and Peter Molina.
The indictment alleges that beginning in September 2013, the organization distributed wholesale and retail amounts of methamphetamine –also known by its street names of ICE, crystal ICE and meth– and GBL throughout Puerto Rico. The meth was supplied by defendants and co-conspirators residing in the State of California, and the GBL was supplied out of China.It was further part of the manner and means of the conspiracy that the controlled substances would be sent to defendants using commercial carriers such as United States Postal Service, UPS or FedEx. According to the indictment, the defendants used communication facilities, such as cellphones, to commit and facilitate the sales of meth and GBL.
“This is the first time that our District prosecutes a drug trafficking organization for distributing methamphetamines and GBL,” said Rosa Emilia Rodríguez-Vélez, U.S. Attorney for the District of Puerto Rico. “This investigation and prosecution are significant because we have disrupted the supply of this dangerous drug, which is new in Puerto Rico, before its demand increases to levels seen in the US mainland.”
“Operation Ice Island is an investigation that began in September 2013, with the seizure of 14.4 grams of Crystal Methamphetamine (ICE) where members of the Javier Trujillo-Plumey Drug Trafficking Organization used as Modus Operandi the distribution of Crystal Meth imported from California to Puerto Rico. The DEA will continue to work with state and federal authorities to combat drug trafficking and new forms and methods used by drug traffickers to circumvent our monitoring,” said Vito Salvatore Guarino, Special Agent in Charge of the DEA Caribbean Division.
Eliezer Juliàn, Postal Inspector/Team Leader from the US Postal Inspection Service stated: “The US Postal Inspection Service has altered its strategy regarding the investigation, arrest, and prosecution of those who would use the U.S. Mails to transport illegal drugs and firearms. Our approach seeks to identify, disrupt, and dismantle drug trafficking organizations (DTO’s). In addition, we have strengthened our relationship with our federal and state law enforcement partners. This level of inter-agency cooperation has had an impact on DTO’s operating in Puerto Rico.”
Assistant U.S. Attorney Myriam Fernàndez is in charge of the prosecution of the case. If convicted the defendants face a minimum sentence of 10 years up to life in prison. Indictments contain only charges and are not evidence of guilt. Defendants are presumed to be innocent until and unless proven guilty.
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Three Defendants Plead Guilty on the Lawman Gun Shop CaseRead the Press Release
SAN JUAN, Puerto Rico – María Del Carmen Rivera-Negrón, Julio Colón-Santiago, and Rivera Pagàn & Asociados, Inc., d/b/a The Lawman Gun Shop pled guilty today announced Rosa Emilia Rodríguez-Vélez, United States Attorney for the District of Puerto Rico.
On or about the 21st day of May, 2012, in the District of Puerto Rico, the defendants aiding and abetting others, did willfully and knowingly cause, without lawful authority, production of identification documents, authentication features, and false identification documents, to wit, a Commonwealth of Puerto Rico Concealed Carry Weapons Permit under Weapons Permit Number XX129, with the help of attorney and notary public Antonio Peluzzo-Perotin.
The Federal Bureau of Investigation (FBI) and the Puerto Rico Police Department (PRPD) are in charge of the investigation.
María Del Carmen Rivera-Negrón and Julio Colón-Santiago co-owned The Lawman Gun Shop, a federally licensed firearms (FFL) dealer. Using their positions, the defendants participated in a scheme to have Commonwealth of Puerto Rico Concealed Carry Weapons Permits issued without compliance with applicable law.
Defendants admit that they participated in the scheme for pecuniary gain and stipulated that the loss generated during the course of the scheme, which involved possession of five or more means of identification and involved over 250 victims, was greater than $1,000,000.
The defendants will request a sentence of five years of imprisonment while the United States may argue for a sentence of up to 12 years of imprisonment.
Defendants admitted that they used their special skills as owners of an armory and federally licensed firearms dealers in order to carry out the scheme. The Board of Directors of Rivera Pagàn & Asociados, Inc., d/b/a The Lawman Gun Shop also authorized a guilty plea on behalf of the Commonwealth of Puerto Rico corporation.
María Del Carmen Rivera-Negrón, Julio Colón-Santiago, and Rivera Pagàn & Asociados, Inc., d/b/a The Lawman Gun Shop admitted that the scheme permitted unqualified individuals to carry firearms without being properly vetted under the law thereby circumventing the statutory, judicial, and bureaucratic processes for obtaining a Puerto Rico Concealed Carry Weapons Permit.
The corporation known as The Lawman Gun Shop also plead guilty and will forfeit their federal firearms license and is now exposed to monetary fines of up to $250,000.
Sentencing hearings were scheduled for December 11, 2014. The case is being prosecuted by Assistant U.S. Attorneys José Capó-Iriarte and Luke Cass.
Jorge Gomez-Gonzalez, Aka “Cara De Truck” Sentenced to 30 Years in PrisonRead the Press Release
SAN JUAN, PR – Jorge Gómez-Gonzàlez, aka “Cara de Truck”, was sentenced to 30 years in prison by United States Senior District Court Judge Daniel Domínguez. Gómez-Gonzàlez was found guilty after a six-week long jury trial for conspiracy to possess with intent to distribute and to import controlled substances at La Perla Ward and other areas in Puerto Rico, announced United States Attorney Rosa Emilia Rodríguez-Vélez. While the Advisory Guidelines recommended a sentence of life imprisonment, the prosecutor did not request a life sentence, and the judge felt that the interests of justice were best met with a sentence of 30 years.
The object of the conspiracy was to distribute and supply controlled substances within La Perla Ward, and to supply heroin to numerous Public Housing Projects, municipalities and towns located within Puerto Rico for significant financial gain. The defendants and their co-conspirators would purchase wholesale quantities of heroin, cocaine, marijuana, Xanax and Percocet in order to distribute the same in street quantity amounts at their drug distribution points. The leaders would routinely give out “samples” of new batches of heroin or cocaine to users in order to test the “quality” of the drug and promote the sale of the product.
“The U.S. Attorney’s Office will continue working along with other law enforcement agencies to prosecute criminals who deprive our communities of a peaceful and safe environment,” said Rosa Emilia Rodríguez-Vélez, U.S. Attorney for the District of Puerto Rico. “I commend our prosecutors and investigative agencies who have demonstrated, once again, that our efforts continue to provide positive results to the community.”
This case is part of the Organized Crime Drug Enforcement Task Force (OCEDTF). The case was investigated by DEA, ICE, ATF and PRPD, and prosecuted by Assistant United States Attorneys George Massucco and Elba Gorbea.Nine Individuals Indicted for Wire Fraud and Student Loan FraudRead the Press Release
San Juan, Puerto Rico – On July 16, a federal grand jury returned an 18-count indictment against nine individuals for student loan fraud, announced United States Attorney for the District of Puerto Rico Rosa Emilia Rodríguez-Vélez. The investigation was conducted by the Department of Education, Office of Inspector General.
Charles Santana, Jessica Rodríguez-Velàzquez, Eliezer Santana-Cruz, Nydia I. Cruz-Rodríguez, Alexis Cockran-Cruz, José Lanause-Cruz, Yamille Santana-Cruz, Matilde Santana-Cruz, and Irma Montañez-Aponte, aiding and abetting each other, devised a scheme in which the defendants would obtain money in the form of student financial aid funds provided and insured by the U.S. government to which they were not entitled, under false and fraudulent pretenses.According to the indictment, defendant Charles Santana recruited other persons who did not intend to attend school or earn a degree (“the straw students”). Santana promised the straw students a cut of the student aid funds that would be fraudulently obtained by the scheme. Santana and Rodríguez-Velàzquez instructed the straw students to enroll in online courses at InterAmerican University (IAU), Guayama. The straw students enrolled in this program in order to obtain the student aid funds without any intent to earn a degree or to use the money for authorized educational expenses.
Santana solicited personal identifying information from the straw students for the purpose of using their identities to apply for federal student aid for each straw student. He falsely stated on master promissory notes that the proceeds of student aid funds would be used for authorized educational expenses, when in truth and fact, Santana knew that the straw students did not intend to attend school or earn a degree, and that the money would not be used for authorized educational expenses.
The defendants caused federal student loans and grants to be awarded to themselves and others based on false information provided on the IAU and Free Application for Federal Student Aid (FAFSA) applications, and the master promissory notes, which resulted in student aid funds being disbursed to themselves and others. The defendants caused student aid funds to be wrongfully disbursed in an aggregate amount in excess of $300,000.00.
Santana and Rodríguez-Velàzquez received student aid funds, and they gave a cut of the money to the straw students. Santana completed the online assignments for each straw student so that they appeared to be active students and the financial aid would continue to be disbursed to the defendants.
Defendant Charles Santana is facing eight counts of aggravated identity theft. According to the indictment, he transferred, possessed, and used, without lawful authority, a means of identification of another person, that is, the names, social security numbers, and electronic signatures of other persons, in order to be able to carry out the scheme.
“These individuals are charged with defrauding education programs for personal gain,” said United States Attorney, Rosa Emilia Rodríguez-Vélez. “We will continue to investigate and prosecute those who engage in corrupt acts which directly affect federal programs and the availability of these funds for its intended recipients,” stated Rodríguez-Vélez. Said U.S. Attorney Rosa Emilia Rodríguez-Vélez
“Scams like the ones these nine individuals are alleged to have perpetrated steal money from hardworking taxpayers. They are criminal enterprises that we call “fraud rings” -- large, loosely affiliated groups of criminals that are operating around the country, exploiting distance education programs at colleges and universities in order to fraudulently obtain Federal student aid,” said Yessyka Santana, Special Agent in Charge of the U.S. Department of Education's Southeastern Regional Office. “They see it as an opportunity to grab some quick cash with relatively little effort. We see it for what it is -- a crime. As the law enforcement arm of the U.S. Department of Education, ensuring that those who steal student aid or game the system for their own selfish purposes are stopped and held accountable for their criminal actions is a big part of our mission.”
This case is being prosecuted by Assistant U.S. Attorney Justin R. Martin. The maximum penalties are twenty years of imprisonment for the wire fraud and five years for the student loan fraud. Defendant Santana is also facing two years of imprisonment consecutive to any sentence, for each of the aggravated identity theft charges. An indictment is a formal accusation of criminal conduct, not evidence. A defendant is presumed innocent unless and until convicted through due process of law.10 Individuals Indicted for Drug Trafficking and Money LaunderingRead the Press Release
SAN JUAN, Puerto Rico – On July 16, 2014, a federal grand jury in the District of Puerto Rico returned an indictment against 10 defendants charged with distribution of a controlled substance for purpose of unlawful importation, announced Rosa Emilia Rodríguez-Vélez, United States Attorney for the District of Puerto Rico. Drug Enforcement Administration is in charge of the investigation.
The indictment charges 10 individuals with conspiracy to knowingly and intentionally distribute and cause the distribution of five kilograms or more of cocaine, intending and knowing that such cocaine would be unlawfully imported to the United States, all for significant financial gain and profit. The defendants are: Javier Carrillo, aka “Cara Ancha,” “Ojos Lindos;” Alex Rudolph Antonio Reed, aka “Feo;” José Ángel Burgos-Rodríguez, aka “Che,” “Dragoncito;” Héctor Manuel Pérez-Arizmendi, aka “Cachete;” José Miguel Rodríguez; Carlos Gilberto Miranda-Ríos, aka “El Gordo;” Delfin Robles-Álvarez, aka “El Indio;” Nelson Tomas Feliciano-Collazo, Wilfredo Eli Rivera-Zayas; and Julio Mejía-Leyva.
The indictment alleges that beginning in 2005, the organization distributed wholesale and retail amounts of cocaine throughout Puerto Rico and continental United States. The defendants would obtain large amounts of cocaine in Saint Martin, Netherlands Antilles, which was then transported to Puerto Rico on board maritime vessels, commercial cargo planes, and private aircraft. They would also transport large sums of U.S. currency via aircraft and motor vessel to Saint Martin for the purchase of large quantities of cocaine and use the blackberry messenger application as well as other means of communication to communicate with each other.According to the indictment, in or about the year 2010, the defendants conspired to transport more than $12,000,000 in United States currency from Puerto Rico to Saint Martin, Netherland Antilles, knowing that the monetary instruments of funds involved in the transportation represented the proceeds of dealing in controlled substances.
Some of the defendants also laundered drug proceeds through the Puerto Rico Lottery. As part of the manner and means of this money laundering conspiracy, the defendants and their co-conspirators had a point of contact within the Puerto Rico Lottery who would corruptly offer winning lottery tickets before they were claimed. Burgos-Rodríguez, Miranda-Ríos and Robles-Álvarez would purchase the winning lottery tickets with proceeds from the cocaine sales, for the price of the winning ticket plus a twenty percent commission. The defendants would redeem the winning ticket as though it had always been their own. The lottery would then issue a check for the winning amount to the co-conspirator who claimed the ticket, who could then deposit the check in their bank account as actual earned income, thereby laundering the underlying drug proceeds.In addition to the money judgment of 127 million dollars the defendants are facing, they have to forfeit a property located at Barrio Hato Tejas, Bayamón, PR; and two airplanes, an Aerostar-601 and a Cessna 340A.
“This drug trafficking organization was involved in a conspiracy to traffic massive quantities of illegal drugs into the United States,” said Rosa Emilia Rodríguez-Vélez, U.S. Attorney for the District of Puerto Rico. “These arrests demonstrate the Justice Department’s commitment to hold ruthless cartel leaders responsible for importing narcotics into the United States – no matter where they conduct their illegal business. Along with our domestic and international law enforcement partners, we will ensure that cartel members and associates are brought to justice for the damage they inflict on both sides of the border.”
“DEA will continue to investigate, disrupt and dismantle drug trafficking organizations operating out of Colombian and other parts of South America using the Caribbean Region as a transshipment point to smuggle narcotics into the United States,” said Pedro Janer, Acting Special Agent in Charge of the DEA Caribbean Division.
Assistant U.S. Attorney Mariana Bauzà is in charge of the prosecution of the case. If convicted the defendants face a minimum sentence of 10 years up to life in prison. Indictments contain only charges and are not evidence of guilt. Defendants are presumed to be innocent until and unless proven guilty.# # #
Coast Guard Interdicts 3,591 Pounds of Marihuana, Detains 5 Suspected Smugglers in the Caribbean SeaRead the Press Release
SAN JUAN, Puerto Rico – The Coast Guard seized more than 3,500 pounds of marihuana with an estimated wholesale value of $3.5 million and detained five suspected smugglers during a drug interdiction in the Caribbean Sea, Southwest of Cabo Rojo, Puerto Rico.
Michael Dacosta, Shawn A. Ally, Nolan E. Connelly, Ron D. Griffith, and Owen K. Drakes were charged in a complaint authorized by Magistrate Judge Silvia Carreño-Coll on July 17, for conspiracy to possess a controlled substance on board a vessel subject to the jurisdiction of the United States. Defendants continue detained at the Metropolitan Detention Center.
While on patrol July 8, the Coast Guard Cutter Northland detected the suspicious 68-foot motor vessel An-Nur transiting the Caribbean Sea with five crewmembers onboard. Northland’s boarding team discovered 3,591 pounds of marijuana onboard. The Northland crew seized the marijuana, detained the crew, and took the An-Nur in tow.
“The strong international, federal and local law enforcement partnerships in our area have again proven their effectiveness in preventing drug shipments from reaching Caribbean shores,” said Capt. Robert Warren, commander of the Coast Guard Sector San Juan. “We are committed to disrupting the flow of illegal drugs in the Caribbean Sea and will continue to aggressively pursue and prosecute suspected smugglers.”
The Northland transferred the illegal drug shipment, the vessel, and detainees to the custody of Customs and Border Protection and Federal Bureau of Investigation special agents, who will be leading a criminal investigation into the case as part of the Caribbean Corridor Strike Force.
“Once again the combined efforts of federal law enforcement agencies resulted in the seizure of millions of dollars’ worth of narcotics. Our message continues to be the same: we will detect and interdict drug smugglers attempting to flood our island with their poisonous cargo,” said Rosa Emilia Rodríguez-Vélez, U.S. Attorney for the District of Puerto Rico. “These arrests are a clear indication of the continued success of the Caribbean Corridor Strike Force.”
Since October 2013, the Coast Guard has seized 17,591 kilograms of cocaine and 4,341 pounds of marihuana during 25 counter-drug interdictions under Operation Unified Resolve, in partnership with regional law enforcement authorities in the Caribbean. The wholesale value for these seizures is worth more than $444 million.
The Coast Guard’s efforts under Operation Unified Resolve contribute to the interagency results being achieved each and every day locally under Operation Caribbean Guard, which coordinates efforts between the Coast Guard, DHS and Commonwealth and Territorial law enforcement partners, who are working diligently to deter, detect and disrupt illicit maritime trafficking to Puerto Rico and the U.S. Virgin Islands.
The U.S. Attorney’s Office created the CCSF to disrupt and dismantle major drug trafficking organizations operating in the Caribbean. CCSF is part of the High Intensity Drug Trafficking Area and Organized Crime Drug Enforcement Task Force that investigates South American-based drug trafficking organizations responsible for the movement of multi-kilogram quantities of narcotics using the Caribbean as a transshipment point for further distribution to the United States. The initiative is composed of Immigrations and Customs Enforcement-Homeland Security Investigation the U.S. Attorney for the District of Puerto Rico, Drug Enforcement Administration, FBI, the Coast Guard, CBP and Puerto Rico Police Joint Forces for Rapid Action.
The Coast Guard Cutter Northland is a 270-foot medium endurance cutter homeported in Portsmouth, Va.
The case is being prosecuted by Special Assistant United States Attorney Glenn Goetchius.
The defendants are facing terms of imprisonment from 10 years to life for the narcotics violations. Criminal complaints are only charges and not evidence of guilt. A defendant is presumed to be innocent until and unless proven guilty.
Mayor of Rio Grande Indicted on Charges of Bribery, Extortion and Obstruction of JusticeRead the Press Release
SAN JUAN, P.R. – Today, Eduard Rivera-Correa, mayor of the municipality of Río Grande, Puerto Rico, was arrested by Federal Bureau of Investigation (FBI) agents on charges of bribery, attempted extortion and obstruction of justice, announced Rosa Emilia Rodríguez-Vélez, U.S. Attorney for the District of Puerto Rico. The indictment authorized by a federal grand jury this week, charges Rivera-Correa with one count of bribery, one count of attempted extortion and two counts of obstruction of justice. The indictment also charges attorney Alejandro Carrasco with four counts of bribery concerning programs receiving federal funds.
According to the indictment, attorney Carrasco and mayor Rivera-Correa, did corruptly solicit, demand, and knowingly accepted and agreed to accept kickbacks from a person known as Contractor A, intending to be influenced and rewarded in connection with different business transactions involving $5,000 or more for construction consulting services. The payments received by the mayor exceeded $39,000; and the payments received by attorney Carrasco exceeded $183,365. Attorney Carrasco provided legal services to the municipalities of Barceloneta, Juncos and Río Grande during this time and obtained kickbacks in exchange for his assistance with securing these contracts.
Rivera-Correa is also charged in Count Six with attempted extortion of political contributions through the sales of political tickets to a dinner. According to the indictment and motion for detention pending trial, Rivera-Correa used his office and economic fear to extort $4,000 from Contractor A. The tickets, as described in the motion for bail pending appeal were presented by Rivera-Correa as the “keys for 2013” or “passes for 2013” and sold in exchange for continued business with the Municipality of Rio Grande.
“Dishonest public officials who request illegal payments from contractors as a regular course of business do not serve the interests of their constituents. This alleged breach of public trust will not be tolerated,” said US Attorney Rosa Emilia Rodríguez-Vélez. “We will continue to prosecute public officials who abuse their positions of trust for personal gain.”This case was investigated by the FBI and is being prosecuted by Senior Litigation Counsel, Charles R. Walsh. The Office of Government Ethics collaborated during the investigation.
If found guilty, the defendants could face up to 10 years in prison and a $250,000 fine. Criminal indictments contain only charges and are not evidence of guilt. Defendants are presumed to be innocent unless and until proven guilty.
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Three Individuals Indicted for Theft of Government PropertyRead the Press Release
SAN JUAN, P.R. – Yesterday, June 26, a Federal grand jury returned an 86-count indictment charging three individuals for theft of government property, announced Rosa Emilia Rodríguez-Vélez, United States Attorney for the District of Puerto Rico. The case involves schemes to defraud the United States by fraudulently obtaining and converting to cash United States Treasury Checks issued by the Internal Revenue Service, in connection fraudulent tax returns filed with the agency.
The defendants charged in the indictment cashed or attempted to cash or deposit a Treasury Check issued by the IRS in connection with a false and fraudulent tax return. The check amounts range from $5,460 to $9,851. Defendant Alfredo Rojas-Reynoso is facing 43 charges of theft of government property and 43 charges of aggravated identity theft. Alexander Aguasvivas-Troncoso is facing 17 charges of theft of government property and 17 charges of aggravated identity theft. Miguel A. Berríos-Velàzquez is facing 10 charges of theft of government property and 10 charges of aggravated identity theft.
The tax returns were filed using the personal identifying information of individuals, when in reality, said individuals never filed such tax returns with the IRS. The investigation has revealed that said false and fraudulent tax returns were filed without the consent of the taxpayers who appear in the returns. The majority of the defendants would attempt to negotiate the Treasury checks by depositing them in their accounts at financial institutions, that is, banks and credit unions.
“The Department of Justice is strongly committed to promoting compliance with federal tax laws, and we will continue to aggressively prosecute these offenses” said Rosa Emilia Rodríguez-Vélez, United States Attorney for the District of Puerto Rico.
“Stealing identities, filing false tax returns, and negotiating U.S. Treasury checks resulting from this criminal activity are violations of the law that IRS Criminal Investigation takes very seriously. This indictment shows that IRS Criminal Investigation and the U.S. Attorney's Office will continue to identify, investigate, and bring to justice those who attempt to benefit from the use of stolen identities,” said José A. Gonzàlez, Special Agent in Charge, IRS Criminal Investigation.
If convicted, the defendants face a maximum possible sentence of ten years on the theft of government property, and two consecutive years for each count of aggravated identity theft.
The case is being investigated by IRS – Criminal Investigation Division. Indictments are only charges and are not evidence of guilt. Defendants are presumed to be innocent unless and until proven guilty. The investigation is ongoing.
34 Individuals Indicted for Drug Trafficking in the Municipality of AguadillaRead the Press Release
SAN JUAN, Puerto Rico – Yesterday, June 11, 2014, a federal grand jury in the District of Puerto Rico returned an indictment against 34 defendants charged with conspiracy to possess with intent to distribute controlled substances, announced Rosa Emilia Rodríguez-Vélez, United States Attorney for the District of Puerto Rico. Today, FBI agents and officers of the Puerto Rico Police Department (PRPD), the agencies in charge of the investigation, executed the arrest warrants.
The indictment charges 34 individuals with conspiracy to knowingly and intentionally possess with intent to distribute cocaine base (crack), cocaine, and marihuana, all within 1,000 feet of the real property comprising the La Montaña Housing Project located within the Municipality of Aguadilla, all for significant financial gain and profit.
The indictment alleges that beginning in 2009, the organization established drug distribution points located at different areas in La Montaña. It was further part of the manner and means of the conspiracy that the defendants and their co-conspirators would act in different roles in order to further the goals of the conspiracy, to wit: leaders and drug point owners who directed and supervised runners, enforcers, drug processors, sellers, and facilitators. Leaders directly controlled and supervised the drug trafficking activities at the drug points located within La Montaña. Enforcers possessed, carried, brandished, used and discharged firearms to protect the members of the drug trafficking organization, the narcotics, the proceeds derived from their sales, and to further accomplish the goals of the conspiracy.The runners were responsible for providing sufficient narcotics to the sellers for further distribution at the drug point and collecting the proceeds of drug sales, as well as paying and supervising sellers. Sellers distributed street quantity amounts of crack, cocaine, and marijuana. Facilitators allowed the use of their residences by the drug trafficking organization, and served as messengers and intermediaries for other members of the conspiracy.
Assistant U.S. Attorney Vanessa E. Bonhomme is in charge of the prosecution of the case. If convicted the defendants face a minimum sentence of 10 years up to life in prison. Indictments contain only charges and are not evidence of guilt. Defendants are presumed to be innocent until and unless proven guilty.
72 Individuals Indicted for Drug Trafficking in the Municipality of San JuanRead the Press Release
SAN JUAN, Puerto Rico – On May 28, 2014, a federal grand jury in the District of Puerto Rico returned an indictment against 72 defendants charged with conspiracy to possess with intent to distribute controlled substances, announced Rosa Emilia Rodríguez-Vélez, United States Attorney for the District of Puerto Rico. Today, FBI agents and officers of the Puerto Rico Police Department (PRPD) and the San Juan Municipal Police, the agencies in charge of the investigation, executed the arrest warrants with assistance from ATF, and DEA.
The indictment charges 72 individuals with conspiracy to knowingly and intentionally possess with intent to distribute cocaine base (crack), heroin, cocaine, marihuana, Oxycodone (commonly known as Percocet) and Alprazolam (commonly known as Xanax), all within 1,000 feet of the real property comprising the Jardines de Monte Hatillo Housing Project and other areas nearby, all located within the Municipality of San Juan, all for significant financial gain and profit.
The indictment alleges that beginning in 2007, the organization established drug distribution points located at different areas in Monte Hatillo, San Martin Housing Project, Jardines de Berwind Towers, and El Polvorin Ward. Leaders would routinely authorize and instruct other co-conspirators to provide free “samples” of narcotics to “customers” in order to promote the sales of a specific brand of drug at the drug points.Some of the defendants would routinely possess, carry, brandish and use firearms, including “high power” rifles, to protect themselves and the drug trafficking organization from rival gangs. They would have access to different type of vehicles, including but not limited to cars, motorcycles and scooters, in order to transport money, narcotics and firearms. Also, these vehicles would often be used by some of the defendants and their co-conspirators to conduct drive by shooting and to “hunt” members of rival gangs.
As part of the manner and means of the conspiracy, leaders would collect monies from the sales of the drug point to shifts to create a money depository (known as “el pote,” in Spanish) in order to buy weapons and ammunition, for the use of the members of the drug trafficking organization, and/or for the payment of legal fees and matters for the benefit of the members of the drug trafficking organization.The 72 co-conspirators had many roles in order to further the goals of the conspiracy. According to the indictment this organization had 27 leaders/drug point owners/drug point administrators. The remainder defendants acted as enforcers, suppliers, drug processors, runners, sellers, and facilitators. Twenty-one of the individuals are facing one count of using and carrying firearms during and in relation to a drug trafficking crime.
“This investigation and six-count indictment represent a top-to-bottom dismantling of a violent criminal organization intent on polluting our neighborhoods with drugs,” said Rosa Emilia Rodríguez-Vélez, U.S. Attorney for the District of Puerto Rico. “The criminal activity laid out in this indictment shows the lengths people will go to sell drugs, but it should also underscore our commitment to fighting back. Federal and local law enforcement agencies remain committed to work tirelessly to target and eliminate the most significant threats to our communities.”
Assistant U.S. Attorneys Alberto López-Rocafort and Teresa Zapata-Valladares are in charge of the prosecution of the case. If convicted the defendants face a minimum sentence of 10 years up to life in prison. Indictments contain only charges and are not evidence of guilt. Defendants are presumed to be innocent until and unless proven guilty.
Puerto Rico Superior Court Judge and Local Businessman Indicted on Conspiracy and Federal Programs Bribery ChargesRead the Press Release
WASHINGTON – A current Puerto Rico Superior Court Judge and Puerto Rico businessman were charged with orchestrating a criminal scheme in which the businessman paid bribes to the judge presiding over the criminal case against the businessman according to an indictment unsealed today.
Assistant Attorney General Leslie R. Caldwell of the Justice Department’s Criminal Division, U.S. Attorney Rosa Emilia Rodríguez-Vélez of the District of Puerto Rico, and Special Agent in Charge Carlos Cases of the FBI’s San Juan Division made the announcement.
“The outcome of a criminal case should be determined by the evidence and the law, not by paid-for bias,” said Assistant Attorney General Caldwell. “When citizens can’t have faith in the very people who are sworn to uphold the law, confidence in the entire system is shaken. We are committed to restoring that faith by rooting out corruption wherever it may be found.”
“A fair and impartial criminal justice system is one of the cornerstones of our democracy,” said U.S. Attorney Rodríguez-Vélez. “Judges, in particular, are expected to protect the public’s trust in the fairness of the judicial system. Investigations such as the one leading to today’s indictment are crucial to deter corrupt officials influenced by greed from breaking their oath to uphold the rule of law. This case should serve as a strong warning to those who might consider similar behavior. No one is above the law and everyone is accountable for their misdeeds.”
“Rogue justice as the one allegedly imparted by Judge Manuel Acevedo-Hernàndez will not be tolerated by the FBI,” said Special Agent in Charge Cases. “The FBI will continue vigorously to investigate allegations of corruption at all levels.”
The indictment, returned yesterday by a federal grand jury in the District of Puerto Rico and unsealed today, charges Manuel Acevedo-Hernandez, 62, and Lutgardo Acevedo-Lopez, 39, with conspiracy to commit federal programs bribery. Acevedo-Hernandez was also charged with receipt of a bribe by an agent of an organization receiving federal funds, and Acevedo-Lopez was charged with paying a bribe to an agent of an organization receiving federal funds.
According to the indictment,Acevedo-Hernandez, a Supervisory Superior Court Judge in the Aguadilla judicial region of Puerto Rico, allegedly accepted bribes from AcevedoLopez and others, knowing that the payments were made so that Acevedo-Hernandez would use his official position as a Superior Court judge for Acevedo-Lopez’s benefit. In particular, Acevedo-Hernandez presided over a criminal trial of Acevedo-Lopez and acquitted Acevedo-Lopez of all charges pending against him, including vehicular homicide. In exchange for the acquittal, Acevedo-Lopez, through an intermediary, bribed Acevedo-Hernandez by paying taxes owed by Acevedo-Hernandez, paying for construction of a garage, and providing him with a motorcycle, clothing and accessories, including cufflinks and a watch.
The charges contained in the indictment are merely accusations. The defendants are presumed innocent unless and until proven guilty.
The case is being investigated by the FBI’s San Juan Division and is being prosecuted by Trial Attorney Peter Mason of the Criminal Division’s Public Integrity Section and Assistant U.S. Attorneys Timothy Henwood and Jose Capo of the District of Puerto Rico.
Citizens of Puerto Rico who have allegations of public corruption are encouraged to contact the FBI’s San Juan Division at (787) 754-6000.
Nineteen Individuals Indicted for Drug Trafficking and Money LaunderingRead the Press Release
SAN JUAN, Puerto Rico – Nineteen individuals have been arrested and charged in San Juan, Puerto Rico, with conspiracy to possess with intent to distribute and conspiracy to import heroin from Colombia and Venezuela into Puerto Rico, announced U.S. Attorney Rosa Emilia Rodriguez Vélez for the District of Puerto Rico. The federal and local agencies in charge of the investigation are the Drug Enforcement Administration (DEA), Homeland Security Investigations (HSI), US Postal Inspection Service (USPS), the Internal Revenue Service (IRS), and the Police of Puerto Rico.
The indictment unsealed in federal court today charges the following individuals: Hernando Marin-Echeverri, aka “Nando;” Ricardo Torres-Rivera, aka “Ricky;” Armando Rivera-Ortiz; Yarimar Rodríguez-Mercado, aka “La Tia”; Rodolfo Reyes-Santana, aka “Papote;” Carlos Fernando Saavedra-Potes, aka “Fernando;” Manuel Reinel Martínez-Salas, aka “Chino;” Christian Luis Martínez-Robles; Eduardo Rafael Campo-Carvajalino, aka “Tocayo;” Lucy Stella Gómez-Lopera, aka “La Flaca;” Jaime Ernesto Montoya-Gómez, aka “Risitas;” Jorge Aquiles Berríos-Vega, aka “Maracucho;” Paula Andrea Gavazno-Ruiz; Luis Medina-Chavez; Sariann Ramos-Maldonado, aka “Sara;” Nilson Aristizabal-Tezna; Jannette Saavedra-Echaevarría; José Luis Castro-Delgado; and Erika Casillas-Bonet.
From in or about August 2012 through in or about April 2013: Defendant Hernando Marin-Echeverri, based in Colombia, would communicate with defendants in Puerto Rico in order to coordinate the importation, transportation and distribution of heroin into Puerto Rico. Some defendants, acting as couriers, would travel into Venezuela to meet with other defendants who would provide suitcases with heroin hidden inside. Other defendants, based in Colombia, were responsible for preparing and hiding the heroin inside suitcases; transporting the suitcases from Colombia into Venezuela and delivering the suitcases to couriers.
Some defendants would transport and deliver drug proceeds, from Puerto Rico, to defendants in Venezuela. Drug proceeds from Puerto Rico to Colombia, were sent through electronic wire transfers. The defendants concealed and disguised the nature, location, source, ownership and control of the illegal proceeds obtained from drug trafficking, through money laundering. Another means used to send heroin laden parcels into Puerto Rico was through the United States Postal Service.
“These accusations demonstrate the Justice Department’s commitment to hold drug traffickers responsible for importing narcotics into the United States – no matter where they conduct their illegal business. Along with our domestic and international law enforcement partners, we will continue with our efforts to ensure that cartel members and associates are brought to justice for the damage they inflict on both sides of the border,” said Rosa Emilia Rodríguez-Vélez, U.S. Attorney for the District of Puerto Rico.
“DEA will continue to investigate, disrupt and dismantle drug trafficking organizations operating from Colombian and Venezuela using Puerto Rico as a transshipment point to smuggle narcotics into the United States,” said Vito Guarino, Special Agent in Charge of the Drug Enforcement Administration (DEA) Caribbean Division.
Eliezer Julian, Domicile Coordinator, US Postal Inspection Service stated: “The US Postal Inspection Services seeks to identify, disrupt, and dismantle drug trafficking organizations that attempt to utilize the US Mails. We have strengthened our relationship with our federal and state law enforcement partners. This inter-agency cooperation has had an impact on DTO's operating in Puerto Rico.”
IRS-CI SAC José A. Gonzàlez stated, “The laundering of illegal drug profits is as important and essential to drug traffickers as the very distribution of their illegal drugs. By following the money trail, IRS-CI Special Agents were able to identify multiple wire transactions, between various cities in Puerto Rico and South America. These transactions were allegedly conducted by the defendants in furtherance of their drug smuggling operation from Colombia to Puerto Rico. IRS-CI will continue to work alongside its law enforcement partners in order to financially disrupt and dismantle drug trafficking organizations.”
Assistant U.S. Attorney Elba Gorbea is in charge of the prosecution of this case. If convicted the defendants face a minimum sentence of 10 years up to life in prison. Indictments contain only charges and are not evidence of guilt. Defendants are presumed to be innocent until and unless proven guilty.
The defendants were the targets of a long-term Organized Crime Drug Enforcement Task Force (OCDEFT) investigation. The principal mission of the OCDETF program is to identify, disrupt and dismantle the most serious drug trafficking, weapons trafficking and money laundering organizations, and those primarily responsible for the nation’s illegal drug supply.
Sixteen Current and Former Puerto Rico Police Officers Indicted for Allegedly Running Criminal Organization Out of Police DepartmentRead the Press Release
WASHINGTON – Sixteen current and former Puerto Rico police officers have been indicted for their alleged participation in a criminal organization, run out of the police department, that used their affiliation with law enforcement to make money through robbery, extortion, manipulating court records and selling illegal narcotics.
Acting Assistant Attorney General David A. O’Neil of the Justice Department’s Criminal Division, U.S. Attorney Rosa Emilia Rodríguez-Vélez of the District of Puerto Rico and Special Agent in Charge Carlos Cases of the FBI’s San Juan Division made the announcement.
“The criminal action today dismantles an entire network of officers who, we allege, used their badges and their guns not to uphold the law, but to break it,” said Acting Assistant Attorney General O’Neil. “The indictment portrays a classic criminal shakedown, an organized crime spree of which the most experienced mafia family would have been proud. But the people wielding the guns and stealing the drugs here weren’t mob goodfellas or mafia soldiers – these were police officers violating their oaths to enforce the law, making a mockery of the police’s sacred responsibility to protect the public.”
“This is a troubling day for law enforcement in Puerto Rico. Officers who use their badges as an excuse to commit egregious acts of violence and drug trafficking are an affront to the rule of law,” said US Attorney Rosa Emilia Rodríguez-Vélez. “According to these allegations, the law enforcement officers charged today sold their badges by taking payoffs from drug dealers that they should have been arresting, extorting money, planting evidence and stealing from them, to mention a few of their crimes. They not only betrayed the citizens they were sworn to protect, they also betrayed the thousands of honest, hard-working law enforcement officers who risk their lives every day to keep us safe. We will continue to work with our local law enforcement partners to end this cycle of corruption and renew Puerto Rico’s trust in its police officers.”
“Today is a sad day for Puerto Rico, where a group of police officers allegedly disgraced their uniform and are a shame to the Police of Puerto Rico,” said FBI Special Agent in Charge Cases. “They not only let their colleagues and family down, they let the citizens of Puerto Rico down.”
The indictment, returned yesterday by a federal grand jury in the District of Puerto Rico, includes 36 charges against the following individuals: Osvaldo Vazquez-Ruiz, 38; Orlando Sierra-Pereira, 37; Danny Nieves-Rivera, 34; Roberto Ortiz-Cintron, 34; Yovanny Crespo-Candelaria, 33; Jose Sanchez-Santiago, 31; Miguel Perez-Rivera, 34; Nadab Arroyo-Rosa, 33; Jose Flores-Villalongo, 52; Luis Suarez-Sanchez, 36; Eduardo Montañez-Perez, 29; Carlos Laureano-Cruz, 40; Carlos Candelario-Santiago, 46; Ruben Casiano-Pietri, 36; Ricardo Rivera-Rodriguez, 39; and Christian Valles-Collazo, 28. At the time of the crimes charged, Flores-Villalongo and Candelario-Santiago were sergeants with the Police of Puerto Rico (POPR); the others were police officers.The first 13 defendants listed are charged with conspiring to violate the Racketeer Influenced and Corrupt Organizations (RICO) Act. Other charges against certain defendants include extortion and attempted extortion under color of official right, conspiracy to commit robbery and attempted robbery, illegal use and sale of firearms, narcotics trafficking, civil rights violations, theft of government property, and false statements to federal agents.
According to the indictment, the officers charged with RICO conspiracy were members of a criminal organization who sought to enrich themselves through a pattern of illegal conduct. The officers worked together to conduct traffic stops and enter homes or buildings used by persons suspected of being engaged in criminal activity to steal money, property and narcotics. The officers planted evidence to make false arrests, then extorted money in exchange for their victims’ release from custody. In exchange for bribe payments, the defendants gave false testimony, manipulated court records and failed to appear in court when required so that cases would be dismissed. The officers also sold and distributed wholesale quantities of narcotics.
For example, in April 2012, defendants Vazquez-Ruiz and Sierra-Pereira allegedly conducted a traffic stop in their capacity as police officers and stole approximately $22,000 they believed to be illegal drug proceeds. Vazquez-Ruiz later attempted to extort approximately $8,000 from an individual they believed to be a drug dealer’s accomplice in exchange for promising to release an alleged prisoner.
In another example, the indictment alleges that in November 2012, defendants Sierra-Pereira, Nieves-Rivera, Ortiz-Cintron and Valles-Collazo illegally entered an apartment and stole approximately $30,000, which they believed were illegal lottery proceeds.
The indictment charges that the defendants frequently shared the proceeds they illegally obtained and that they used their power, authority and official positions as police officers to promote and protect their illegal activity. Among other things, the indictment charges that they used POPR firearms, badges, patrol cars, tools, uniforms and other equipment to commit the crimes and concealed their illegal activity with fraudulently obtained court documents and falsified POPR paperwork to make it appear that they were engaged in legitimate police work.
The charges contained in the indictment are merely accusations. The defendants are presumed innocent unless and until proven guilty.
The case is being investigated by the FBI’s San Juan Division. The case is being prosecuted by Trial Attorneys Brian K. Kidd, Emily Rae Woods and Menaka Kalaskar of the Criminal Division’s Public Integrity Section and Assistant U.S. Attorney Mariana Bauza of the District of Puerto Rico.
Citizens of Puerto Rico with allegations of law enforcement corruption are encouraged to contact the FBI’s San Juan Division at (787) 754-6000.
24 Individuals Indicted for Drug TraffickingRead the Press Release
SAN JUAN, Puerto Rico – U.S. Attorney for the District of Puerto Rico Rosa Emilia Rodríguez-Vélez announced the indictment and arrest of 24 defendants charged with conspiracy to possess with intent to distribute controlled substances. The Drug Enforcement Administration (DEA) the Puerto Rico Police Department (PRPD) are the agencies in charge of the investigation.
The indictment returned by a federal grand jury on May 15, 2014, and unsealed in federal court today, charges 24 individuals with conspiracy to knowingly and intentionally possess with intent to distribute cocaine. Beginning on a date unknown, but not later than the year 2009, the object of the conspiracy was to possess and distribute kilogram quantities of controlled substances, mainly cocaine, in Puerto Rico for further distribution in the continental United States, all for significant financial gain and profit.
As part of the manner and means by which the defendants and their associates accomplished the objects of the conspiracy, they recruited individuals to use them as “mules” or couriers in order to transport kilograms of cocaine from the Luis Muñoz Marín International Airport (“LMMIA”), located in San Juan, Puerto Rico, to the continental United States. The defendants used residences located within the area of Orlando and Kissimmee, Florida, in order to stash large amounts of U.S. Currency and drugs.The co-defendants and their co-conspirators concealed kilogram quantities of cocaine using the children’s toy “Lite Brite” and DVD players of different brands. It was further part of the manner and means of the conspiracy that the co-defendants and their co-conspirators would travel, or cause others to travel in commercial airline flights, from Puerto Rico to the continental United States, carrying kilogram quantities of cocaine hidden in suitcases; and their co-conspirators would receive kilogram quantities of cocaine in the continental United States for further distribution.
The co-defendants and their co-conspirators often used the recruited couriers and the same containers to transport the profits generated from the drug sales back to Puerto Rico. They invested part of the profits of the sales in the purchase of more narcotics, to further their drug trafficking activities. The leaders of the conspiracy used part of the proceeds of the illegal activity to purchase legitimate assets and services, including but not limited to, real estate properties, nightclubs, motor vehicles, vessels, clothing, trips, hotel accommodations, private parties and plastic surgery.
The defendants are: Heriberto Burgos-Martínez, aka “Spowell;” Saul Guzmàn-Font, aka “Saul Peluca;” Michael Aponte-Pinto, aka “Lito;” Hector Tapia-Rodríguez, aka “Hugo;” Roberto Ramírez-Rodríguez, aka “Rockero;” Xavier Rodríguez-Casado, aka “Bebo Gran;” Roberto Baez-Figueroa, aka “Potro;” Lonnie Tapia-Rodríguez, aka “Cascote;” José W. Telleria-Arriaga, aka “Gordo;” Max J. Acevedo-Andino, aka “Max Joel;” Victor Rivera-Mercado, aka “Poke;” Mecsac Ramírez-Rodríguez, aka “Messak;” Ángel García-Trinidad, aka “Angelito;” Paulette Concepción-Díaz, aka “Pao;” Yamira Díaz-Algarín; Landy Y. Castro-Flores; Luis F. Villegas-Nieves, aka “Blon Blon;” Neftali Galindo-Isaac, aka “Fifty;” Allan Rodríguez-Crispin, aka “Love;” Jesús E. Miranda-Lugo, aka “Shaka;” José Oliveras-Ruiz, aka “Cascara;” Hector M. Robles-Alvira; Lefty Méndez-Valentin, aka “Zurdo;” and Edwin M. Rosario-Rodríguez, aka “Toto.”
“Drug trafficking organizations must be aggressively attacked and dismantled at every level,” said Rosa Emilia Rodríguez-Vélez, U.S. Attorney for the District of Puerto Rico. “Today we have stopped a criminal organization from funneling significant quantities of cocaine into the continental United States using commercial airlines from Puerto Rico to the state of Florida. This operation will have significant effects, not only in Puerto Rico, but in the streets and communities in Florida which were used by this organization to further their drug distribution activities.”
“The continuous interdiction efforts of the DEA at the Luis Muñoz Marin International Airport led to the investigation the Heriberto BURGOS-Martinez Drug Trafficking Organization and subsequent arrest of 24 members of his drug trafficking organization,” said Vito Salvatore Guarino, Special Agent in Charge of the DEA Caribbean Division. “Also our HIDTA partners were essential in the success of this investigation. We will continue using the HIDTA resources to target other criminal organizations engaged in drug transportation activities.”
Assistant U.S. Attorneys Alberto R. López-Rocafort and Teresa Zapata-Valladares are in charge of the prosecution of the case. If convicted the defendants face a minimum sentence of 10 years up to life in prison. Indictments contain only charges and are not evidence of guilt. Defendants are presumed to be innocent until and unless proven guilty.
The defendants were the targets of a long-term Organized Crime Drug Enforcement Task Force (OCDEFT) investigation. The principal mission of the OCDETF program is to identify, disrupt and dismantle the most serious drug trafficking, weapons trafficking and money laundering organizations, and those primarily responsible for the nation’s illegal drug supply.Julio A. Garcia-Encarnacion in Jail for Failure to Pay Legal Child SupportRead the Press Release
SAN JUAN, P.R – Today, United States District Court Judge Francisco Besosa revoked the probation term of convict Julio A. García-Encarnación, a well-known and highly appraised race horse jockey, for failure to pay legal child support obligations, announced United States Attorney for the District of Puerto Rico, Rosa Emilia Rodríguez-Vélez. Originally, Garcia-Encarnacion was sentenced to five years of probation with restitution as a condition of probation. The defendant owes child support of his two children of approximately $177,000. Judge Besosa resentenced García-Encarnación to two years in prison. Imprisonment does not terminate his restitution obligation.
Defendant García-Encarnación, is the registered parent of a minor who was born on October 1995 and since on or about January 2008, the defendant failed to comply with his child support obligation. As of May 2012, the past due amount of child support owed by García-Encarnación amounts to approximately $65,152.00.
García-Encarnación is also the biologcal and registered parent of another minor who was born in January 1996. García-Encarnación has failed to pay child support to his daughter since October 2007. As of May 2012, the defendant’s failure to comply with his child support obligation in relation to his daughter has accrued a past due amount of approximately $100,848.42.
The investigation was conducted by the Department of Health & Human Services, Office of Inspector General with the assistance of ASUME (Puerto Rico Child Support Enforcement Administration). The case was prosecuted by Assistant United States Attorneys Héctor Ramírez-Carbó and Wallace A. Bustelo.
Federal Authorities Arrest Suspended Catholic PriestRead the Press Release
SAN JUAN, Puerto Rico – A federal grand jury returned a four-count indictment against Israel Berríos-Berríos, a suspended Catholic priest, for sex trafficking of children and transporting a minor with the intent to engage criminal sexual conduct, announced Rosa Emilia Rodríguez-Vélez, United States Attorney for the District of Puerto Rico.
The indictment alleges that from in or about the year 2007, through in or about 2008, Berríos-Berríos, while affecting interstate commerce, did knowingly recruit, entice, harbor, transport, provide, obtain and maintain, a 14-15 year-old male, identified as “John Doe,” knowing that said minor had not attained the age of 18. Defendant transported minor “John Doe” in an automobile owned and used by the San José Parish, from Aibonito, PR, to the defendant’s residence located in Naranjito, PR, knowing that “John Doe” would engage in a commercial sex act.
From on or about July 21, 2008, through on or about July 30, 2008, the defendant transported “John Doe” to the City of Miami, Florida, where together they took a four-day cruise to the Bahamas aboard the vessel known as “Majesty of the Seas,” knowing that minor “John Doe” would engage in a commercial sext act.
“Unfortunately, sexual abuse of children has become all too common in Puerto Rico,” said United States Attorney for the District of Puerto Rico, Rosa Emilia Rodríguez-Vélez. “The USAO for the District of Puerto Rico is committed to taking full advantage of our investigative tools in order to protect our children from sexual predators. I urge the public to be on the lookout for children being transported anywhere within Puerto Rico for the purpose of engaging in any sexual activity, and to contact the authorities immediately.”
The case is being prosecuted by Assistant U.S. Attorney Marshal D. Morgan, Coordinator of the initiative Project Safe Childhood. If convicted, the defendant faces a mandatory minimum sentence of incarceration of ten years and a possible maximum statutory penalty of life imprisonment.
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 U.S. Attorneys’ offices and 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.
“These allegations are especially disturbing given the position of trust the defendant has occupied,” said Ángel M. Meléndez, special agent in charge of HSI San Juan. “Identifying people who violate their positions of public trust by contributing to the exploitation of children is a top priority for HSI. Anyone who targets children for sexual exploitation should also consider themselves a target by HSI and by our law enforcement partners regardless of who they are. We have an obligation to protect those most vulnerable in our society who cannot protect themselves.”
A criminal indictment contains only charges and is not evidence of guilt. Defendants are presumed to be innocent unless and until proven guilty.
Elba I. Bonilla-Bayon Indicted and Arrested for Theft of Government PropertyRead the Press Release
SAN JUAN, P.R. – Yesterday, May 7, a Federal grand jury returned a 175 count-indictment against Elba I. Bonilla-Bayón for theft of government property, concealment of bankruptcy assets, student assistance program fraud, money laundering and aggravated identity theft, announced Rosa Emilia Rodríguez-Vélez, United States Attorney for the District of Puerto Rico. The defendant is facing a forfeiture allegation of $1,429,873.00.
According to the indictment, from on or about January, 2010 through on or about December 2012, the defendant wilfully and knowingly stole and purloined goods of the United States, that is, funds from Head Start / Early Head Start Programs; Child Care Development Fund Program; Child and Adult Care Food Program; and the American Recovery and Reinvestment Act, property of the United States of the value of $1,429,873.00, in checks ranging from $1,000 to $37,000, which said property had come into the possession and under the care of Elba I. Bonilla-Bayón by virtue of her employment as a President and Chairman of the Board for Programa Avance en Puerto Rico, grantee and delegated agency of United States Department of Health and Human Services (Head Start, Early Head Start and Child Care Development Fund Program) and the United States Department of Agriculture (Child and Adult Care Food Program).
Bonilla-Bayón operated and administered 49 Head Start / Early Head Start centers in the municipalities of Loíza, Canóvanas, Río Grande and Luquillo that served 1,318 children. From in or around January 2010, continuing through in or around December, 2012 the defendant through Programa Avance en Puerto Rico, opened approximately 35 bank accounts at Westernbank, Banco Popular de Puerto Rico, Banco Santander and Cooperativa de Ahorro y Crédito Metodistas Unidos de Puerto Rico. She received approximately $30,800,178.45 in federal funds from multiple federal agency programs, including but not limited to Head Start Program, Early Head Start Program, Child Care Program, Child and Adult Care Food Program (CACFP) and the American Recovery and Reinvestment Act.
During the scheme, Bonilla-Bayón through Programa Avance en Puerto Rico began receiving funds under the CACFP for reimbursement of the meals and snacks it was purportedly providing to children in its programs. From that time until in or around December 2012, Avance received a total of approximately $549,736.28 as a direct result of monthly records the defendant signed and provided to the Puerto Rico Department of Education.
Also, according to the indictment, on or about September 25, 2010, Bonilla-Bayón opened an account at the San Juan Marriott Resort & Stellaris Casino and was approved a credit line of up to $30,000.00 as a local player. The majority of the funds stolen by the defendant were spent by her at the San Juan Marriott Resort & Stellaris Casino.
In addition to the scheme purported by the defendant, Bonilla-Bayón filed for bankruptcy under the provisions of Chapter 11 at the United States Bankruptcy Court for the District of Puerto Rico. The defendant, knowingly and fraudulently concealed property belonging to Programa Avance en Puerto Rico, specifically a Child and Adult Care Food Program (USDA) check payment of $99,307.03, from the trustee charged with control of the debtor’s property, from the creditors and the United States Trustee.
The defendant herein knowingly engaged and attempted to engage in monetary transactions affecting interstate and foreign commerce in criminally derived property of a value greater than $10,000, such property having been derived from the specified unlawful activity of Concealment of Bankruptcy Assets. Specifically, the indictment details at least four payments ranging from $13,000 to $18,000 Bonilla-Bayón made to the San Juan Marriott Resort & Stellaris Casino with the money concealed from the United States Trustee.
The aggravated identity theft charges relate to monthly reports submitted by Bonilla-Bayón to the Puerto Rico Family Department in order to receive the funds using the identity of the Head Start Program participants as she knowingly possessed, used, and transferred without lawful authority, a means of identification of the Head Start Program beneficiaries (Name, Date of Birth and Family ID) in connection to the theft of government funds.
The Student Financial Aid Fraud charge relates to the fact that the defendant did knowingly and willfully fail to refund $13,185.50, as required by federal regulation, to the United States Department of Education. These funds were received as Pell grant moneys for students at Centro de Capacitación y Asesoramiento Vetelba, Inc. who did not complete their course of study or were otherwise not entitled to Pell grants.
“The defendant took advantage of her managerial position in Programa Avance en Puerto Rico and stole directly from the government of the United States, money that was intended to be used for children’s education and development,” said United States Attorney Rosa Emilia Rodríguez-Vélez. “The vast majority of government employees are hardworking members of our community, but those who betray the trust and use their position for personal gain should know that they will be investigated and prosecuted to the full extent of the law.”
“I am proud to be part of the Federal team that brought Elba Bonilla to justice,” said Tom O’Donnell, Special Agent in Charge of Health and Human Services OIG (HHS/OIG). “Greed, at the expense of valuable HHS Head Start Grant funds, will not be tolerated. These funds are needed to nurture low-income children and their families. I would like to thank HHS/OIG’s Office of Audit Services for their expertise in the audit of Programa Avance, and for providing significant support during the investigation.”
“The defendant’s criminal activities remind the public that fraud against the United States government remains an ongoing problem in our country,” said Carlos Cases, Special Agent in Charge of the FBI, San Juan Field Office. “The FBI and our law enforcement partners are committed to preventing and prosecuting fraud against the government at all levels.”This case was investigated by the US Department of Health and Human Services, Office of Inspector General (Investigations / Audit Services), with the collaboration of the Federal Bureau of Investigation, the US Department of Agriculture, Office of Inspector General, the US Trustee Office, and the US Department of Education, Office of Inspector General.
The case is being prosecuted by Special Assistant U.S. Attorneys Wallace A. Bustelo and Pedro R. Casablanca. If found guilty, the defendant could face a possible sentence of 10 years in prison for theft of government property and engaging in monetary transactions in property derived of specific unlawful activity, five years of imprisonment and a fine of up to $250,000.00 for the concealment of bankruptcy assets, and two additional years for each aggravated identity theft count. A criminal indictment contains only charges and is not evidence of guilt. Defendants are presumed to be innocent unless and until proven guilty.U.S. Coast Guard, Caribbean Border Interagency Group Authorities Seize $37 Million Worth of Cocaine in the Caribbean SeaRead the Press Release
SAN JUAN, Puerto Rico — U.S. Coast Guard, U.S. Customs and Border Protection, the Drug Enforcement Administration and the Puerto Rico Police seized nearly 1,280 kilograms of cocaine, with an estimated whole sale value of $37 million, and apprehended two Dominican Republic nationals during an at-sea interdiction in the Caribbean Sea Wednesday, announced United States Attorney Rosa Emilia Rodríguez-Vélez. U.S. Magistrate Judge Camille L. Vélez-Rivé authorized a complaint charging Santos Lantigua-Nuñez and Efrain Cedano-Díaz with conspiracy to possess a controlled substance on board a vessel subject to the jurisdiction of the United States.
The interdiction is the result of the Caribbean Border Interagency Group's Operation Caribbean Guard and the Coast Guard’s Operation Unified Resolve.
During a routine Caribbean patrol, the crew of a Coast Guard HC-144 Ocean Sentry Maritime Patrol Aircraft from Air Station Miami detected a 35-foot go-fast vessel with two outboard engines traveling northbound without any navigation lights, south of Puerto Rico Tuesday night.
Coast Guard Sector San Juan watchstanders diverted the Coast Guard Cutters Drummond and Farallon and launched an armed Coast Guard helicopter from Coast Guard Air Station Borinquen to interdict the suspect vessel. Customs and Border Protection Caribbean Air and Marine Branch and the Puerto Rico Police Joint Forces of Rapid action were also notified and launched marine units to interdict the suspect vessel.
The Coast Guard HC-144 maintained near-constant surveillance of the go-fast vessel as the armed Coast Guard helicopter arrived on scene and fired warning shots in an attempt to get the suspects to stop. When the vessel did not comply, the helicopter crew fired at and disabled one of the vessel’s engines, prompting the suspected smugglers to jettison the contraband overboardA Customs and Border Protection marine unit along with marine units from Puerto Rico Police then intercepted the vessel, and a law enforcement team from the Coast Guard Cutter Drummond embarked the suspects.
Law enforcement personnel including crewmembers onboard the Coast Guard Cutters Drummond and Farallon were able to retrieve 45 bales of contraband jettisoned by the smugglers. Narcotics Identification Field Tests conducted by the law enforcement revealed positive results for the presence of cocaine.
“Our multiagency partnerships in the region along with the continuous augmentation of Coast Guard air and surface assets sent to Puerto Rico to interdict major drug shipments at sea continues to pay off,” said Capt. Drew W. Pearson, Commander, Coast Guard Sector San Juan. “The airborne use of force expertly applied by the Coast Guard helicopter crew to stop this vessel should serve as a serious deterrent to smugglers to know they will be caught and brought to justice.”
“These arrests are a clear indication of the continued success of the Caribbean Corridor Strike Force” said Rosa Emilia Rodríguez-Vélez, U.S. Attorney for the District of Puerto Rico. “This is just another example of the fine work our State and Federal law enforcement partners accomplish every day. With the continued collaboration and assistance of our law enforcement partners, we will continue our efforts to bring drug smuggling organizations to justice.”“CBP air and marine assets continuously patrol the coastal borders of Puerto Rico and the US Virgin Islands to leverage the collective efforts of all federal and state law enforcement partners to intercept any smuggling venture,” stated Johnny Morales, Director of CBP Air Operations.
“Once again the combined efforts of DEA, USCG, CPB and PRPD-FURA resulted in the seizure of millions of dollars’ worth of narcotics. Our message continues to be the same: we will detect and interdict drug smugglers attempting to flood our island with their poisonous cargo,” said Vito Salvatore Guarino, Special Agent in Charge of the Drug Enforcement Administration, Caribbean Division.
During interviews with the suspects, it was discovered the third person jumped overboard to avoid apprehension as law enforcement units approached the disabled vessel. The Coast Guard conducted a large scale search for the missing person that lasted 34 hours and covered 546 square miles before suspending search efforts for the missing smuggler Thursday night. While searching for the missing person Coast Guard active duty and Auxiliary crews located and subsequently recovered 45 bales of contraband from the water, which later tested positive for cocaine.
The two apprehended smugglers, the seized cocaine, and the suspect’s vessel were transferred in Ponce, Puerto Rico, to Customs and Border Protection officers and Drug Enforcement Agency agents for processing and prosecution.
The Coast Guard Cutters Farallon and Drummond are 110-foot patrol boats homeported in San Juan, Puerto Rico.
The case is being prosecuted by Special Assistant United States Attorney Kelley Tiffany.The defendants are facing terms of imprisonment from 10 years to life for the narcotics violations. Criminal complaints are only charges and not evidence of guilt. A defendant is presumed to be innocent until and unless proven guilty.
The Coast Guard's efforts under Operation Unified Resolve contribute to the interagency results being achieved each and every day locally under Operation Caribbean Guard, which coordinates efforts between the Coast Guard, its DHS, Commonwealth and Territorial law enforcement partners, who are working diligently to deter, detect and disrupt illicit maritime trafficking to Puerto Rico and the U.S. Virgin Islands. Since June 2012, the Coast Guard and its interagency partners supporting Caribbean Guard and Unified Resolve have seized more than $1 billion in illicit narcotics and detained nearly 90 suspected smugglers.
48 Individuals Indicted for Drug Trafficking in the Municipality of MayaguezRead the Press Release
SAN JUAN, PR – U.S. Attorney for the District of Puerto Rico Rosa Emilia Rodríguez-Vélez announced the indictment and arrest of 48 defendants charged with conspiracy to possess with intent to distribute, and distribution of controlled substances. The Drug Enforcement Administration (DEA) the Puerto Rico Police Department (PRPD) are the agencies in charge of the investigation.
The indictment, returned on April 23, 2014, by a federal grand jury and unsealed in federal court today, charges 48 individuals with conspiracy to knowingly and intentionally possess with intent to distribute heroin, cocaine, cocaine base (crack), and marihuana, all within 1,000 feet of the real property comprising the Rafael Hernàndez (El Kennedy), Manuel Hernàndez-Rosa (El Candelaria), and El Carmen Public Housing Projects, all for significant financial gain and profit.
The indictment alleges that beginning in 2010, the organization established drug distribution points among the housing projects. Some of the defendants would routinely possess, carry, brandish and use firearms to protect themselves and the drug trafficking organization from rival gangs.As part of the manner and means of the conspiracy, high level members of the drug trafficking organization or leaders would use monies derived from the sales of controlled substances to purchase firearms, ammunition and bulletproof vests.
The 48 co-conspirators had many roles in order to further the goals of the conspiracy. The following are the roles as alleged in the indictment: four leaders; four suppliers; eight enforcers; three runners; 40 sellers; and one facilitator. Twenty-seven of the defendants are facing one count of using and carrying firearms during and in relation to a drug trafficking crime.
“This investigation and six-count indictment represent a top-to-bottom dismantling of a violent criminal organization intent on polluting our neighborhoods with drugs,” said Rosa Emilia Rodríguez-Vélez, U.S. Attorney for the District of Puerto Rico. “Federal and local law enforcement agencies remain committed to work tirelessly to target and eliminate the most significant threats to our communities.”
“This investigation is another example of DEA joint efforts with the Police of Puerto Rico to rid the west part of the Island of violent drug trafficking criminal organizations. Today we impact Mayagüez. Our efforts don’t stop here; they will continue,” said Vito Salvatore Guarino, Special Agent in Charge of the DEA Caribbean Division.
Assistant U.S. Attorney José Contreras is in charge of the prosecution of the case. If convicted the defendants face a minimum sentence of 10 years up to life in prison. Indictments contain only charges and are not evidence of guilt. Defendants are presumed to be innocent until and unless proven guilty.
HSI Arrests Former Special Education School Bus Driver on Sexual Exploitation ChargesRead the Press Release
SAN JUAN, PR – In the first case since 1945 in the District of Puerto Rico involving the transportation of an adult with the intent to engage in criminal sexual conduct, U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) special agents arrested a man in Orocovis today on sexual exploitation charges, announced Rosa Emilia Rodríguez-Vélez, United States Attorney for the District of Puerto Rico. Today, US Magistrate Judge Camille Vélez-Rivé authorized the criminal complaint charging Edwin Maldonado-Burgos with violating Title 18, United States Code, Section 2124.
HSI special agents arrested Maldonado-Burgos, 57, of Orocovis, after an investigation that stemmed from a referral from the Puerto Rico Department of Justice revealed that he transported a then 18-year-old mentally-disabled female, identified in the criminal complaint as “Jane Doe,” in order to engage in criminal sexual conduct.
“Today, the US Attorney’s Office is expanding its net of protection over the citizens of Puerto Rico by prosecuting, for the first time in more than 68 years in this District, a section of the White Slave Traffic Act, that protects any individual, not just minors, from criminal sexual exploitation,” said Rosa Emilia Rodríguez-Vélez, US Attorney for the District of Puerto Rico. “With today’s arrest let it be known that federal authorities will use every resource at their disposal, and every law on the books, to protect all victims of sexual exploitation.”
“Few cases are more heinous and despicable than one involving the sexual exploitation of a minor. In this case, though, we are faced with a case involving the sexual exploitation of a mentally-disabled adult woman, whose cognitive development is akin to that of a sixth grader,” said Angel M. Melendez, special agent in charge of HSI San Juan. “Have no doubt, HSI will not tolerate this aberrant behavior against a very vulnerable sector of our society whether the victim is a minor or, as in this case, an adult with the mental capacity of a minor.”
According to the criminal complaint, in or about October 2012, Maldonado-Burgos, a school bus driver, picked up Jane Doe at her Orocovis school and transported her to a deserted area in order to engage in criminal sexual conduct. Jane Doe, who is currently 19 years old, was a student in a specialized school for the mentally handicapped. The charging document further alleges that Jane Doe asked Maldonado-Burgos to stop the school bus so she could use the bathroom. When she walked back towards the bus, Maldonado forcibly grabbed her and sexually assaulted her.
The criminal complaint also alleges that when Jane Doe asked Maldonado-Burgos what would happen if they had baby, he said that he would “kill himself.” The investigation revealed that approximately one month after the incident, Jane Doe began to feel sick. As a result, her mother took her to the doctor thinking the she might be ill. When all tests came up negative, the doctor suggested doing a pregnancy test, which ultimately came up positive. After finding out that Jane Doe was pregnant, Maldonado-Burgos threatened to kill her and the baby if she did not have an abortion. A subsequent DNA test conducted as part of the Puerto Rico Department of Justice’s investigation revealed, with an accuracy of 99.9%, that Maldonado-Burgos was in fact the father of Jane Doe’s child.
Maldonado-Burgos will be brought before U.S. Magistrate Judge Camille Vélez-Rivé later today for his initial appearance. He is expected to be transferred to the Metropolitan Detention Center in Guaynabo to await the outcome of his case.
The case is being prosecuted by Assistant U.S. Attorney Marshal Morgan. If convicted, the defendant could face up to ten years in prison. A criminal complaint is an accusation of criminal conduct, not evidence. A defendant is presumed innocent unless and until convicted through due process of law.
510-Count Second Superseding Indictment in Illegal Concealed Carry Weapons Permits CaseRead the Press Release
SAN JUAN, PR – Yesterday, May 1st, a Federal grand jury returned a 510-count second superseding indictment against attorney and notary public Antonio Peluzzo-Perotin, María Del Carmen Rivera-Negrón, Julio Colón-Santiago, the Lawman Gun Shop, José M. Prado-Colón and Julio C. Medina-Mojica for conspiracy to commit several offenses against the United States, unlawful production of documents, forgery of signatures and seals, and aggravated identity theft, announced Rosa Emilia Rodríguez-Vélez, United States Attorney for the District of Puerto Rico. The Federal Bureau of Investigation (FBI) and the Puerto Rico Police Department (PRPD) are in charge of the investigation.
Prado-Colón, an auxiliary Police of Puerto Rico officer, auxiliary national guardsmen, and firearms instructor, and Medina-Mojica, owner of a shooting range in Humacao, PR, are facing twenty counts of unlawful production of documents or authentication features and aggravated identity theft. In coordination with defendants Julio Colón-Santiago and Carmen Rivera-Negron they falsified safety course certificates required under Puerto Rico law for concealed carry weapons permits. This was in turn used to illegally obtain concealed carry weapons permits.
According to the accusation, from in or about the year 2010, continuing through December 2013, Rivera Pagàn & Asociados Inc. doing business as Lawman Gun Shop, conspired to commit offenses against the United States, that is: the forgery of the signature of a judge and counterfeit of the seal of the Superior Court of Puerto Rico and using these forgeries for the purpose of authenticating a document before the Puerto Rico Police Department (PRPD) in an official proceeding to obtain a fraudulent Concealed Carry Weapons Permit. The defendants charged clients and collected money for services and fees that were not rendered. Defendants’ scheme knowingly caused the transfer, possession, and use without lawful authority, a means of identification of another person which contained the name and signature of the PRPD Superintendent and the name of permit cardholders.
The purpose and object of the conspiracy for the defendants was to have Commonwealth of Puerto Rico Concealed Carry Weapons Permits be falsely issued for pecuniary gain. It was part of the manner and means of the conspiracy for defendants to charge between $1,000- $1,150 for an application. Defendant Julio Colón-Santiago, aka “Junior” or María del Carmen Rivera-Negrón, aka “Maricarmen,” as owners of the gun shop, would give approximately $480 of the fees to defendant Peluzzo-Perotín, and the remaining amounts would be kept as proceeds of The Lawman Gun Shop.
Customers of the gun shop would be provided and invoice detailing services such as: photocopies, affidavits, stamps, Puerto Rico Department of Treasury filing fees, broker services, and a medical certificate, most of which were never rendered. By perpetrating this scheme the defendants entirely bypassed the judicial process, which had been legislatively established to properly adjudicate these Concealed Weapons permit applications.
The case is being prosecuted by Assistant U.S. Attorneys José Capó-Iriarte and Luke Cass. If convicted, the defendants could face up to 15 years in prison for unlawful production of identity documents, up to five years for falsifying court documents, up to five years for conspiracy and two additional years for each aggravated identity theft count.
An indictment is a formal accusation of criminal conduct, not evidence. A defendant is presumed innocent unless and until convicted through due process of law.
41 Individuals Indicted for Drug Trafficking in the Municipality of San JuanRead the Press Release
SAN JUAN, PR – U.S. Attorney for the District of Puerto Rico Rosa Emilia Rodríguez-Vélez announced the indictment and arrest of 41 defendants charged with conspiracy to possess with intent to distribute, and distribution of controlled substances. Today, ICE-HSI agents and officers of the Puerto Rico Police Department (PRPD), the agencies in charge of the investigation, executed the arrest warrants with assistance from ATF, FBI, CBP, San Juan Municipal Police and the Puerto Rico Department Housing.
The indictment, handed down April 22, 2014 by a federal grand jury and unsealed in federal court today, charges 41 individuals with conspiracy to knowingly and intentionally possess with intent to distribute cocaine base (crack), cocaine, and marihuana, all within 1,000 feet of the real property comprising the Nemesio R. Canales Public Housing Project, all for significant financial gain and profit.
The indictment alleges that beginning in 2007, the organization established drug distribution points at the area known as “El Medio” which constitutes the basketball court, and the areas surrounding the gym, and the Administration Office. Other areas of drug distribution also include the areas between buildings 4, 5, 32, 33, 50, 51, 60, and 61 of the housing project. Some of the defendants would routinely possess, carry, brandish and use firearms to protect themselves and the drug trafficking organization from rival gangs.As part of the manner and means of the conspiracy, some of the defendants and their co-conspirators would have access to different vehicles in order to transport money, narcotics and firearms. Also, these vehicles would often be used by some of the defendants and their co-conspirators to conduct drive by shootings and to go out and “hunt” rival gang members. Some of these vehicles were altered with hidden compartments to conceal drugs and firearms.
The 41 co-conspirators had many roles in order to further the goals of the conspiracy. The following are the roles as alleged in the indictment: nine leaders/drug point owners/drug point administrators; one supplier; two enforcers; five runners; 18 sellers; and six facilitators. Thirty-one of the defendants are facing one count of using and carrying firearms during and in relation to a drug trafficking crime.
“This investigation and five-count indictment represent a top-to-bottom dismantling of a violent criminal organization intent on polluting our neighborhoods with drugs,” said Rosa Emilia Rodríguez-Vélez, U.S. Attorney for the District of Puerto Rico. “The criminal activity laid out in this indictment shows the lengths people will go to sell drugs, but it should also underscore our commitment to fighting back. Federal and local law enforcement agencies remain committed to work tirelessly to target and eliminate the most significant threats to our communities.”
Special Assistant U.S. Attorney María L. Montañez-Concepción is in charge of the prosecution of the case. If convicted the defendants face a minimum sentence of 10 years up to life in prison. Indictments contain only charges and are not evidence of guilt. Defendants are presumed to be innocent until and unless proven guilty.
Individual Sentenced to 35 Years in Prison for CarjackingRead the Press Release
SAN JUAN, PR – Judge Juan Pérez-Giménez sentenced Luis A. García-Pagàn to 35 years in prison for the commission of a home invasion and carjacking on February 4, 2013, in which the victims were a medical doctor (ophthalmologist) and his young son. The defendant was indicted by a Grand Jury on February 28, 2013 and was found guilty by a federal jury on December 18, 2013.
One of the victims testified at trial, in the early hours of February 4th, 2013, three subjects including Ricardo Urbina-Robles and Luis A. García-Pagàn, recently sentenced to 30 years in prison, for the commission of the same offense, entered his home carrying firearms and wearing masks. During the next hour and a half, the defendant and other two individuals, attacked and threatened the doctor and his son multiple times. At one point, one of the assailants ordered the others to kill the doctor and his son, but the murder was not carried out.
The defendants took the doctor and his son from their room in the upper level of their home to the living room downstairs, where they stole a plasma TV and other valuables. The individuals also stole around $40,000 from the safe and a 2000 grey Acura that belonged to the doctor. At one point, García-Pagàn spoke with the victim in a bathroom, while the victim’s hands were tied and told the victim: “no salgas, no llames a la policía, usted se crió distinto que yo, así yo le doy de comer a mis hijos, usted va a tener una vida larga, a mí me van a matar en la calle o en la càrcel.” (“Do not come out, do not call the police, you were raised different than me, I feed my kids this way, you are going to have a long life, I will get killed on the street or in jail.”) The vehicle was later found in the housing complex, after the assailants failed to exit the area with the vehicle.
Ricardo Urbina-Robles and Luis A. García-Pagàn were both indicted for the commission of this offense. Urbina-Reyes plead guilty to all counts and received a sentence of 30 years in prison on April 2, 2014.
Individual Indicted for Wire Fraud, Money Laundering and Aggravated Identity TheftRead the Press Release
SAN JUAN, PR – On April 24, a federal grand jury returned a 18-count indictment charging Miguel A. Merced-Torres for the use of interstate wired communications to commit fraud and money laundering, announced United States Attorney for the District of Puerto Rico Rosa Emilia Rodríguez-Vélez. The investigation was conducted by the Federal Bureau of Investigation and the United States Secret Service.
Merced-Torres was the incorporator and resident agent of MM Technology Wireless Group, a corporation registered with the Puerto Rico State Department since June 9, 2009. From on or about July, 2006, to on or about February, 2013, the defendant devised a scheme and artifice to defraud other persons, and to obtain money and property by means of materially false and fraudulent pretenses, representations and promises.Through the scheme and artifice to defraud, Merced-Torres obtained money from investors by falsely representing himself as a representative of the Federal Communications Commission, hereinafter “FCC.” Merced-Torres falsely promised said investors that they were going to receive financial benefits and profits from their investments in cellular tower administration contracts. The defendant and his coconspirators would convince victims to invest money by falsely representing that the FCC was actively seeking individuals to invest money in exchange for the FCC’s issuance of cellular tower administration contracts, which would render considerable profit for the investors.
When victims began to inquire about delays in signing the cellular tower administration contracts, and after some victims requested the return of their money, Merced-Torres would have emails sent from an email account he had created, “[email protected],” falsely representing that the emails were sent by FCC officials. The e-mails provided false reasons for the delays in signing the cellular tower administration contracts, such as: 1) problems with the security clearance of investors and subsequent investigations by the FBI; 2) inadvertent notification of incorrect dates for the signing of contracts; 3) alleged electoral bans for signing contracts within the first 10 days of each month; 4) serious car accident involving the alleged FCC interim program administrator, who remained in a coma and connected to life-support machinery; among others.
As part of the manner and means of the conspiracy, the defendant would make partial payment of money to victims, under the representation that the money was a loan to the victim to ease his or her financial hardship caused by the delays, and under the understanding that said money would have to be paid back to the FCC prior to signing the contracts.
Merced-Torres requested and received bank wire transfers totaling the sum of $2,611,461.48 from victim “J.M.,” for the purpose of investing in the fraudulent scheme. He also received $2,369,678.00 in deposits from five other victims. In addition, on or about July 2008, the defendant informed victim “R.C.” of a vehicle he wanted to lease, a 2007 BMW 750i. Merced-Torres asked “R.C.” to purchase the vehicle for him, and indicated that the transaction and car payments would be credited towards the investment amounts owed by “R.C.” Between, September 2008 and February 2013, “R.C.” made car payments totaling $39,823.80 in benefit of the defendant.
The defendant is also charged with four counts of money laundering, in that he did knowingly engage and attempt to engage in monetary transactions by and through a financial institution, affecting interstate or foreign commerce, in criminally derived property of a value between $20,000 and $100,000, such property having been derived from a specified unlawful activity, that is, wire fraud.
Counts 14-18 charge Merced-Torres with aggravated identity theft. The defendant did knowingly transfer, possess, and use, without lawful authority, a means of identification of another person, that is, names and unique email addresses of other persons during and in relation to wire fraud violations.
Miguel Merced-Torres is facing a money judgment of $9,089,777.37. He is also facing a forfeiture allegation of: a land lot located at Turabo Ward in the municipality of Caguas; a residential apartment located at Islabella Condominium in Caguas; a land lot located at Tomas de Castro Ward in Caguas; an apartment at Villas del Mar Condominium in the municipality of Cabo Rojo; a land lot located at La Serranía Urbanization in Caguas; a lot located in Turabo Gardens Urbanization in Caguas; a land lot located at Tejas Ward in the municipality of Las Piedras; a land lot located in San Lorenzo Valley Urbanization in the municipality of San Lorenzo; and a house located on Calle Rufo Ramirez, Barrio Celada, in the municipality of Gurabo.
“The U.S. Attorney’s Office is committed to prosecuting financial crimes and protecting the citizens of Puerto Rico. The joint efforts of the FBI and the Secret Service lead to the arrest of this individual, who no longer will be able to defraud investors,” said United States Attorney Rosa Emilia Rodríguez-Vélez.
The case is being prosecuted by Assistant U.S. Attorney Justin R. Martin. The maximum penalties are up to 20 years for the wire fraud charges, up to 20 years for the money laundering charges and two mandatory consecutive years for each aggravated identity theft charge. An indictment is a formal accusation of criminal conduct, not evidence. A defendant is presumed innocent unless and until convicted through due process of law.
Seven Individuals Indicted for Trafficking in Counterfeit GoodsRead the Press Release
SAN JUAN, PR – On April 14, a federal grand jury returned six separate indictments charging seven individuals for trafficking in counterfeit goods, specifically “Freshlook” mark contact lenses, announced United States Attorney for the District of Puerto Rico Rosa Emilia Rodríguez-Vélez. The investigations were conducted by Immigration and Customs Enforcement (ICE) Homeland Security Investigations (HSI), with the collaboration of U.S. Customs and Border Protection (CBP), Federal Drug Administration (FDA), Puerto Rico Police Department (PRPD) and the San Juan Municipal Police.
Beginning no later than July 19, 2012, and continuing to on or about August 21, 2012, José Estevez-Cabrera did conspire with other persons, known and unknown to the Grand Jury, to traffic in goods, specifically contact lenses, knowingly using on and in connection with such goods a counterfeit mark, namely the “Freshlook” logo. According to the indictment, Estevez-Cabrera did intentionally traffic in goods, aiding and abetting others, with intent to defraud and mislead, received a misbranded device, that is counterfeit Freshlook Colorblends contact lenses, in interstate commerce, and delivered and proffered delivery to another, for pay and otherwise. Said device was misbranded in that its labeling was false and misleading in any particular. The defendant is facing a forfeiture allegation of 3,942 boxes of counterfeit Freshlook Colorblends contact lenses.Wilma Soto-Díaz and Karla Rodríguez-Soto, mother and daughter, are charged with Conspiracy to traffic in counterfeit goods and trafficking in counterfeit goods. They are both facing a forfeiture allegation of 101 boxes of counterfeit Freshlook Colorblends contact lenses.
On four separate indictments, Ezequiel Bayon-Santos, Katherine Agostini-Ruiz, Rafael Torres-Vicente and Eileen Martinez-Estevez are charged with trafficking counterfeit Freshlook Colorblends contact lenses. These defendants are facing the following forfeiture allegations:
- Bayon-Santos- 93 boxes of counterfeit Freshlook Colorblends contact lenses
- Agostini-Ruiz- 93 boxes of counterfeit Freshlook Colorblends contact lenses
- Torres-Vicente- 25 boxes of counterfeit Freshlook Colorblends contact lenses
- Martinez-Estevez- 15 boxes of counterfeit Freshlook Colorblends contact lenses
“These defendants recklessly put in danger the health of many patients who need contact lenses by trafficking the counterfeit lenses. Specifically, lab tests revealed that many of the counterfeit contact lenses were contaminated with bacteria, and some also had physical defects including sharp edges,” said Rosa Emilia Rodríguez-Vélez.
“To people who think designer knockoffs are a harmless way to beat the system and get a great deal - buyer beware,” said Angel M. Melendez, special agent in charge of HSI San Juan. “Part of what you're paying for when you buy established brands, regardless of the product, are quality control. As this case shows, when you purchase counterfeit decorative contact lenses, you can easily get something you hadn't bargained for, something that could put you at risk by damaging your eyes or even blind you.”
These cases are being prosecuted by Assistant U.S. Attorney Justin R. Martin. The maximum penalties are 10 years of imprisonment for conspiracy to counterfeit goods and for trafficking in counterfeit goods; and 3 years for misbranding devices. An indictment is a formal accusation of criminal conduct, not evidence. A defendant is presumed innocent unless and until convicted through due process of law.
Individual Indicted for Credit Card Fraud and Aggravated Identity TheftRead the Press Release
SAN JUAN, PR – Yesterday afternoon, a federal grand jury returned a seven-count indictment against Kafi Rhaman Farrakhan for counterfeit credit card and manufacturing and aggravated identity theft, announced United States Attorney for the District of Puerto Rico Rosa Emilia Rodríguez-Vélez. The investigation was conducted by the United States Secret Service.
Kafi Rahman Farrakhan, aka “Ramon Chris Manuel,” aka “Ramon Charlie Manuel,” aka “Cedric Briggs Stewart,” aka “Eric Shawn Fulton,” knowingly and with intent to defraud, possessed device-making equipment, that is a credit card encoder. Said possession affected interstate and foreign commerce, in that the credit card encoder was used to create fraudulent credit cards that were possessed and used in Puerto Rico with credit card numbers issued by banks located outside of Puerto Rico. The banks were: Wells Fargo Bank, JP Morgan Chase Bank, and Target VISA.According to the indictment, the defendant did knowingly possess, without lawful authority, means of identification of other victims; that is, various credit card numbers, during and in relation to a felony violation. The defendant used various fraudulent credit cards to pay for his stay at different hotels and to buy luxury items such as designer handbags. The defendant obtained credit card numbers purchased from black market internet.
The defendant is facing a forfeiture allegation that includes: all fraudulent credit cards and identification documents; one credit card encoder; one Hewlett Packard TouchSmart personal computer; one Hewlett Packard Pavilion dv7 laptop computer; one Louis Vuitton handbag; three Guess handbags; and one Miami Beach, Glam Rock, diamond bracelet.
This case is being prosecuted by Assistant U.S. Attorney Justin R. Martin. The maximum penalties are 15 years of imprisonment for count one and two additional years for each aggravated identity theft count. An indictment is a formal accusation of criminal conduct, not evidence. A defendant is presumed innocent unless and until convicted through due process of law.Caribbean Corridor Strike Force Seizes 1,774 Kilos of Cocaine, 2 Venezuelans ArrestedRead the Press Release
SAN JUAN, PR – On March 31, 2014, the Caribbean Corridor Strike Force (CCSF) intercepted a Zodiac type vessel off the coast of Dorado while attempting to smuggle a load of cocaine into Puerto Rico. Two Venezuelan nationals and 1,774 kilograms of cocaine where seized during the interdiction announced United States Attorney Rosa Emilia Rodríguez-Vélez today. Yesterday, U.S. Magistrate Camille L. Vélez-Rivé authorized a complaint charging Reny Alexander López-Meneces and Andri Rivas Rojas-Irving with conspiracy to possess a controlled substance on board a vessel subject to the jurisdiction of the United States.
On March 31, 2014, at approximately 6:00pm, a US Customs and Border Protection (CBP) marine patrol aircraft of the Caribbean Air & Marine Branch (CAMB) detected a Zodiac vessel traveling southbound heading directly to Puerto Rico. While under surveillance, the aircraft coordinated with the CBP Marine Patrol Units to intercept the Zodiac. Upon detection of the CBP marine units, the occupants of the vessel began to jettison what appeared to be bales of contraband into the water.
Additionally, while avoiding interdiction, one of the Zodiac crew members fell overboard while in the process of throwing bales into the water. A total of three bales where recovered from the ocean along with the man that had fallen over board. The Zodiac type boat was detained with a total of 58 additional bales and one more crew member.
The contraband, in the form of brick shape objects, was field tested and yielded positive results to cocaine. A total of two crew members were placed under arrest. The crew members were later identified as Reny Alexander López-Meneces and Andri Rivas Rojas-Irving. Further, a total of 61 bales of cocaine were seized with an approximate weight of 1,774.4 kilograms.
“These arrests are a clear indication of the continued success of the Caribbean Corridor Strike Force” said Rosa Emilia Rodríguez-Vélez, U.S. Attorney for the District of Puerto Rico. “This is just another example of the fine work our State and Federal law enforcement partners accomplish every day. With the continued collaboration and assistance of our law enforcement partners, we will continue our efforts to bring the most powerful and prolific drug organizations to justice.”
“ICE HSI is committed to working with our federal, state and local counterparts in an effort to stop the movement of contraband in the Caribbean,” said Ángel M. Meléndez, Special Agent in Charge of HSI San Juan. “Those involved in drug trafficking should know that the Caribbean is no longer an option to transship narcotics into the United States.”
“Our air and marine assets are always ready to assist all federal, state and local law enforcement partners to interdict smuggling ventures and curb criminal activity in the island,” stated Johnny Morales, Director of Air Operations at the CBP Caribbean Air and Marine Branch.
“With this significant cocaine seizure the Caribbean Corridor Strike Force proves once more its effectiveness in cutting the Caribbean pipeline of drugs between South America and the United States,” said Vito Salvatore Guarino, Special Agent in Charge of the DEA, Caribbean Division.
The case was investigated by agents from the Caribbean Corridor Strike Force (CCSF). The CCSF is an initiative of the U.S. Attorney's Office created to disrupt and dismantle major drug trafficking organizations operating in the Caribbean. CCSF is part of the Organized Crime Drug Enforcement Task Force (OCDETF) that investigates South American-based drug trafficking organizations responsible for the movement of multi-kilogram quantities of narcotics using the Caribbean as a transshipment point for further distribution to the United States. The initiative is composed of DEA, HSI, FBI, US Coast Guard, US Attorney Office for the District of Puerto Rico, and PRPD's Joint Forces for Rapid Action.
The case is being prosecuted by Assistant United States Attorney Carlos R. Cardona.The defendants are facing terms of imprisonment from 10 years to life for the narcotics violations. Criminal indictments are only charges and not evidence of guilt. A defendant is presumed to be innocent until and unless proven guilty.
Caribbean Corridor Strike Force Dismantles Drug Trafficking Organization Responsible for Transporting Drugs and Money Between Puerto Rico-Culebra-St ThomasRead the Press Release
SAN JUAN, PR – This morning, the Caribbean Corridor Strike Force (CCSF) dismantled a drug trafficking organization responsible for the importation of multi-kilogram quantities of cocaine into Puerto Rico and the transportation of drug money between Puerto Rico-Culebra-St. Thomas announced United States Attorney Rosa Emilia Rodríguez-Vélez today.
On March 27, 2014, a federal grand jury returned a five-count indictment charging David Pina-Lico, aka El Negro; Alexis Acosta-Monell, aka Pulpo; Johnathan Saldaña-Garcia; Victor Cruz-Resto, aka Pulga, Charlie Martinez-Pimentel, aka Pajarito; Noel Rodriguez-Lopez, aka Gordo, aka Gordo Gurabo; Israel Adorno-Perez, aka Rafita, Aka Gafita with participating in a conspiracy to import controlled substances, conspiracy to possess controlled substances, namely cocaine, conspiracy to launder monetary instruments, and money laundering.
The investigation leading to today’s arrests uncovered that members of this organization would take orders from individuals in Puerto Rico interested in purchasing kilogram quantities of cocaine in St. Thomas. The organization would receive the money for the payment of the narcotics from the buyers in Puerto Rico and would coordinate the delivery of the money to the sellers in St. Thomas. Once the money arrived to St Thomas, the organization would arrange for the smuggling of the narcotics into Puerto Rico. The organization coordinated the movement of drugs and money in phases: The money was first moved from the east coast of Puerto Rico to Culebra, either in motor vessels or via the ferry; once the money arrived to Culebra, it was then transported to St. Thomas in motor vessels. The drugs were smuggled into Puerto Rico using the same system, from St Thomas to Culebra, and then to Puerto Rico.
The indictment includes a forfeiture allegation for the proceeds obtained as a result of the organization’s illegal activities, the motor vessels that were used during the smuggling operations, and a vehicle.
“These arrests are a clear indication of the success of the Caribbean Corridor Strike Force in the fight against drug trafficking. Today’s arrests dismantles an organization that coordinated not only the traffic of drugs within the eastern Caribbean, but also the movement of drug money, essential to the success of these illegal activities,” said Rosa Emilia Rodríguez-Vélez, U.S. Attorney for the District of Puerto Rico. “We will continue maximizing all of our combined resources to investigate and prosecute those who disregard our laws and try to smuggle illegal contraband into our jurisdiction.”“The DEA Caribbean Division will continue its effort to fight the drug trafficking organizations who continue to utilize the eastern Caribbean Corridor between Puerto Rico and the U.S. Virgin Islands, using the Islands of Culebra and Vieques as transshipment points,” said Vito Salvatore Guarino, Special Agent in Charge of the DEA Caribbean Division. “These arrests are one more example that the Caribbean Corridor Strike Force continues to prove its value as an effective tool to coordinate multi-agency efforts to disrupt and stop the flow of drugs between Puerto Rico and the U.S. Virgin Islands via Culebra and Vieques.”
“These arrests are proof that Homeland Security Investigations remains vigilant and that along with our partners in the Caribbean Corridor Strike Force will continue using our robust investigative authorities to identify, investigate and apprehend those involved in drug trafficking,” said Angel M. Melendez, special agent in charge of HSI San Juan. “HSI and our CCSF partners will not tolerate the importation of illegal drugs into the United States through Puerto Rico.”
The case was investigated by agents from the Caribbean Corridor Strike Force (CCSF). The CCSF is an initiative of the U.S. Attorney's Office created to disrupt and dismantle major drug trafficking organizations operating in the Caribbean. CCSF is part of the Organized Crime Drug Enforcement Task Force (OCDETF) that investigates South American-based drug trafficking organizations responsible for the movement of multi-kilogram quantities of narcotics using the Caribbean as a transshipment point for further distribution to the United States. The initiative is composed of DEA, HSI, FBI, US Coast Guard, US Attorney Office for the District of Puerto Rico, and PRPD's Joint Forces for Rapid Action.
The case is being prosecuted by Assistant United States Attorney Carlos R. Cardona.The defendants are facing terms of imprisonment from 10 years to life for the narcotics violations and up to 20 years for the money laundering violations. Criminal indictments are only charges and not evidence of guilt. A defendant is presumed to be innocent until and unless proven guilty.