Middle District of Tennessee
Press releases recorded for this federal judicial district.
High Ranking MS-13 Gang Member Facing Federal Firearms Charges After South Nashville ShootingRead the Press Release
NASHVILLE, Tenn. – November 9, 2020 – A criminal complaint was unsealed Friday charging the local leader of an MS-13 Gang clique with being a convicted felon in possession of a firearm, announced U.S. Attorney Don Cochran for the Middle District of Tennessee.
Sergio Alvarado, aka Sergio Ochoa, 27, of Nashville, was initially arrested on October 31st by Metropolitan Nashville Police Department (MNPD) officers after fleeing from officers following a shootout at Club Miami. This incident began around 4:00 a.m. when a MNPD officer heard gunfire coming from the vicinity of the nightclub. The officer proceeded toward the nightclub and upon arrival, heard a volley of gunshots and saw two cars speeding out of the parking lot. The officer then found one individual in the parking lot suffering from a gunshot wound.
Additional officers arrived on the scene and approached a car believed to be involved in the shooting. As officers approached the car, they saw Alvarado running toward the back of the parking lot and toward several dumpsters. Officers continued to pursue Alvarado and eventually found him in a wooded area and arrested him. After tracing the flight path taken by Alvarado, officers recovered a 9mm pistol and a .380 caliber pistol near the dumpsters. Alvarado was later released on bond. On Thursday, Alvarado was arrested on the federal firearms charge.
A detention motion filed Friday by the government asserts that Alvarado is the leader of the local MS-13 clique – Thompson Place Locos Salvatrucha, and he has returned to distributing controlled substances. This gang is a violent, international street gang that operates in middle Tennessee and elsewhere. The motion also asserts that Alvarado has a substantial criminal history, including several drug trafficking and firearm offenses and is currently on supervised release from a 2017 case in which he received a 30-month sentence for drug trafficking and firearm offenses; and that he has further violated the terms of his release by associating with a known felon, Michael Mosely, at the Dogwood Bar in Nashville, moments before Mosely stabbed two individuals to death on December 21, 2019.
This case is being investigated by the Bureau of Alcohol, Tobacco, Firearms & Explosives; Homeland Security Investigations; the U.S. Marshals Service; the Drug Enforcement Administration; and the Metropolitan Nashville Police Department. Assistant U.S. Attorney Ahmed Safeeullah and Trial Attorney Matthew Hoff of the Criminal Division’s Organized Crime and Gang Section are prosecuting the case.
A criminal complaint is merely an accusation. The defendant is presumed innocent until proven guilty in a court of law.
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High Ranking MS-13 Gang Member Facing Federal Firearms Charges After Nightclub ShootingRead the Press Release
A criminal complaint was unsealed Nov. 6 charging the local leader of an MS-13 Gang clique with being a convicted felon in possession of a firearm, announced Acting Assistant Attorney General Brian C. Rabbitt of the Justice Department’s Criminal Division and U.S. Attorney Don Cochran for the Middle District of Tennessee.
Sergio Alvarado, aka Sergio Ochoa, 27, of Nashville, Tennessee, was initially arrested on Oct. 31 by Metropolitan Nashville Police Department (MNPD) officers after fleeing from officers following a shootout at Club Miami. This incident began around 4:00 a.m. when a MNPD officer heard gunfire coming from the vicinity of the nightclub. The officer proceeded toward the nightclub and upon arrival, heard a volley of gunshots and saw two cars speeding out of the parking lot. The officer then found one individual in the parking lot suffering from a gunshot wound.
Additional officers arrived on the scene and approached a car believed to be involved in the shooting. As officers approached the car, they saw Alvarado running toward the back of the parking lot and toward several dumpsters. Officers continued to pursue Alvarado and eventually found him in a wooded area and arrested him. After tracing the flight path taken by Alvarado, officers recovered a 9mm pistol and a .380 caliber pistol near the dumpsters. Alvarado was later released on bond. On Nov. 5, Alvarado was arrested on the federal firearms charge.
A detention motion filed Friday by the government asserts that Alvarado is the leader of the local MS-13 clique – Thompson Place Locos Salvatrucha. This gang is a violent, international street gang that operates in middle Tennessee and elsewhere. The motion also asserts that Alvarado has a substantial criminal history, including several drug trafficking and firearm offenses; is currently on supervised release from a 2017 case in which he received a 30-month sentence for drug trafficking and firearm offenses; and that he has further violated the terms of his release by associating with a known felon, Michael Mosely, at Dogwood Bar in Nashville, moments before Mosely stabbed two individuals to death on Dec. 21, 2019.
This case is being investigated by the Bureau of Alcohol, Tobacco, Firearms & Explosives; U.S. Immigration and Customs Enforcement’s Homeland Security Investigations; and MNPD. Trial Attorney Matthew Hoff of the Criminal Division’s Organized Crime and Gang Section and Assistant U.S. Attorney Ahmed Safeeullah are prosecuting the case.
A criminal complaint is merely an accusation. The defendant is presumed innocent until proven guilty in a court of law.
The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
Mid-State Tax Preparer Headed to Federal Prison AgainRead the Press Release
NASHVILLE, Tenn. – November 4, 2020 – A Collinwood, Tennessee tax preparer was sentenced yesterday to 21 months in federal prison for preparing false tax returns for clients, announced U.S. Attorney Don Cochran for the Middle District of Tennessee.
Steve Lewis Newell, 73, was charged in September 2019 with three counts of preparing false tax returns. He pleaded guilty to all counts in November 2019. U.S. District Court Judge Eli J. Richardson also ordered Newell to pay $230,066in restitution to te IRS.
According to court documents, Newell ed and controlled Tax Masters and Accounting in Collinwood and assisted in the preparation of individual tax returns on behalf of his clients. Between 2014 and 2018, Newell prepared and filed more than 7,700 federal income tax returns, several of which contained inflated or fictitious deductions in Schedule A, including state and local taxes, charitable contributions, and employee business expenses. Newell also falsified other items on his clients’ tax returns, such as the filing status of the taxpayer. Each of these fraudulent misrepresentations served to lower the tax liability for his clients.
The scheme resulted in clients obtaining refunds, which they were not entitled to and caused a tax loss to the IRS of at least $230,000.
Court documents also reveal that Newell’s fraudulent tax schemes date back to the 1990’s when he was caught aiding and assisting in the filing of false tax returns—the same crime for which he was sentenced in this case. He eventually pleaded guilty to these charges and was to report to federal prison in February 2002. Newell however, sent false medical records to the U.S. Attorney’s Office and to the Court, claiming that he was terminally ill. Newell also submitted a forged affidavit from a physician, which stated that he only had three months to live. This resulted in numerous continuances by the Court to delay Newell’s report date to prison. IRS agents later discovered that Newell had fraudulently obtained the records of a patient who had died from colon cancer and altered the records to reflect that he was terminally ill. Newell had submitted a medical release form to the patient’s physician claiming to need the records for IRS purposes. Agents also discovered that during this period, Newell had continued to perform tax work, despite the Court’s order not to engage in tax work as a condition of his delay in reporting to prison. Newell subsequently pleaded guilty in 2004 to charges arising from that conduct. Also in 2004, Newell pleaded guilty to additional crimes of making false statements to the IRS when he prepared and filed false tax forms for a company for which he was the tax return preparer. For all these crimes he was sentenced to 43 months in prison.
This case was investigated by the IRS-Criminal Investigation. Assistant U.S. Attorney Kathryn Booth prosecuted the case.
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U.S. Attorney's Office and FBI to Monitor Election Day ComplaintsRead the Press Release
NASHVILLE, Tenn. – November2, 2020 - United States Attorney Don Cochran announced today that Assistant United States Attorneys (AUSAs) Sarah Beth Myers and Robert S. Levine will lead the efforts of his office in connection with the Justice Department’s nationwide Election Day Program for tomorrow’s general election. AUSAs Myers and Levine have been appointed to serve as the District Election Officers for the Middle District of Tennessee and in that capacity are responsible for overseeing the District’s handling of complaints of election fraud and voting rights concerns in consultation with Justice Department Headquarters in Washington.
“Every citizen must be able to vote without interference or discrimination and to have that vote counted without it being stolen because of fraud,” said U.S. Attorney Cochran. “The Department of Justice will always act appropriately to protect the integrity of the election process.”
The Department of Justice has an important role in deterring election fraud and discrimination at the polls, and combating these violations whenever and wherever they occur. The Department’s long-standing Election Day Program furthers these goals, and also seeks to ensure public confidence in the integrity of the election process by providing local points of contact within the Department for the public to report possible election fraud and voting rights violations while the polls are open through election day.
Federal law protects against such crimes as intimidating or bribing voters, buying and selling votes, impersonating voters, altering vote tallies, stuffing ballot boxes, and marking ballots for voters against their wishes or without their input. It also contains special protections for the rights of voters, and provides that they can vote free from acts that intimidate or harass them. For example, actions of persons designed to interrupt or intimidate voters at polling places by questioning or challenging them, or by photographing or videotaping them, under the pretext that these are actions to uncover illegal voting may violate federal voting rights law. Further, federal law protects the right of voters to mark their own ballot or to be assisted by a person of their choice (where voters need assistance because of disability or illiteracy).
The franchise is the cornerstone of American democracy. We all must ensure that those who are entitled to the franchise exercise it if they choose, and that those who seek to corrupt it are brought to justice. In order to respond to complaints of election fraud or voting rights concerns during the voting period that ends on November 3, 2020, and to ensure that such complaints are directed to the appropriate authorities, the District Election Officers will be on duty while the polls are open. They can be reached by the public at the following telephone number: 615-401-6661.
In addition, the FBI will have special agents available in each field office and resident agency throughout the country to receive allegations of election fraud and other election abuses on election day. The local FBI field office can be reached by the public at 615-232-7500.
Complaints about possible violations of the federal voting rights laws can be made directly to the Civil Rights Division in Washington, DC by phone at 800-253-3931 or by complaint form at https://civilrights.justice.gov/ .
Please note, however, in the case of a crime of violence or intimidation, please call 911 immediately and before contacting federal authorities. State and local police have primary jurisdiction over polling places, and almost always have faster reaction capacity in an emergency.
United States Attorney Cochran said, “Ensuring free and fair elections depends in large part on the cooperation of the American electorate. It is imperative that those who have specific information about discrimination or election fraud make that information available to my office, the FBI, or the Civil Rights Division.”
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Holistic Wellness Business Founder Charged in Ponzi SchemeRead the Press Release
NASHVILLE, Tenn. – October 26, 2020 – The founder of a Nashville, Tennessee-based holistic wellness business was charged Friday with operating a Ponzi scheme, in which he duped dozens of patients, financial institutions and investors out of nearly $700,000, announced U.S. Attorney Don Cochran for the Middle District of Tennessee.
Howard L. Young, 75, of Nashville, was charged in a criminal Information with four counts of bank fraud; six counts of wire fraud; and aggravated identity theft.
The charging documents allege that in 2015, Young founded Integrative Medical Services (IMS), purportedly a holistic wellness business. Young also held himself out to hold a Doctor of Naturopathy but did not hold a Medical Doctorate and did not have a medical license.
As early as 2017, Young began soliciting cancer patients, investors and employees, telling them that he had obtained a $2 million grant from Vanderbilt University to study cancer patients and other patients with chronic medical conditions. Young claimed he was awarded this grant because he had cured himself of cancer using naturopathic methods. Young also promised that, as part of the study, patients would receive nutritional supplements, blood testing, nutrition and exercise coaching, gym memberships, massages, and acupuncture.
In order to participate in the study, Young told patients that Vanderbilt required an up-front payment of $10,000 but the funds would be returned to them at the conclusion of one year. If patients could not afford to pay the upfront money, they were required to secure a CareCredit credit card or open a Health Credit Services account. Each of these products is designed to assist patients in paying for medical treatments and functions like a revolving line of credit or an unsecured installment loan and requires the patient to make monthly installment payments. Young promised patients that he would hold the initial funds withdrawn in escrow and would make all monthly payments and would pay off all existing balances at the conclusion of one year, so long as the patient continued to abide by all study protocols.
In fact, Vanderbilt had not awarded any grants to Young or IMS. Young’s representations that IMS had a grant from Vanderbilt were false and was intended to induce patients to apply for and obtain credit and loan accounts at Synchrony Bank, MetaBank, and Cross River Bank; to induce investors to give him funds for his fraudulent scheme; and to induce employees to help him solicit additional patients to participate in his fraudulent scheme.
Young did not hold the money in escrow as he promised and withdrew a portion of the funds for his own personal use, made payments to his personal credit cards, and made minimum payments on account holders’ credit accounts and loan accounts. Patients did not routinely receive the nutritional supplements promised by Young, nor did they receive nutrition and exercise coaching, gym memberships, massages, or acupuncture as promised. To further conceal his scheme, Young also changed the mailing addresses for patients’ accounts at CareCredit and HCS so that the monthly account statements went to a post office box he controlled. Young made minimum payments on the CareCredit and HCS accounts to conceal the fraud and to keep his scheme going so that he could recruit additional patients to participate in the fictitious grant study.
IMS generated little, if any, revenue. The vast majority of funds flowing into IMS were deposits from the CareCredit credit accounts and the HCS loan accounts. By July 2019, Young had received a total of approximately $669,470 from CareCredit and HCS.
If convicted, Young faces up to 30 years in prison and a $1 million fine.
This case was investigated by the FBI. Assistant U.S. Attorney Kathryn W. Booth is prosecuting the case.
A criminal Information is merely an accusation. The defendant is presumed innocent until proven guilty in a court of law.
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Department of Justice Awards $400,000 Grant to Support Gun Prosecutor in NashvilleRead the Press Release
NASHVILLE, Tenn. – October 26, 2020 - U.S. Attorney Don Cochran today announced $400,000 in Department of Justice funding to hire a special prosecutor to try federal firearms cases originating in Nashville. The award supports violence reduction efforts as part of Operation Legend and other Department-led initiatives in cities across the country.
“Keeping its citizens safe is the primary responsibility of government,” said Attorney General William P. Barr. “Cities plagued by violent crime need the resources to tackle it, and these grant awards will help do that. On the enforcement side, Real Time Crime Centers will make policing more efficient and targeted; and on the prosecution side, Special Assistant U.S. Attorneys will help bring more federal firearms cases to justice.”
Attorney General Barr announced last week that the Department of Justice’s Office of Justice Programs is making up to $5.3 million available in grants to support Operation Legend sites nationwide. More than $1.3 million will fund special prosecutors who have been cross designated to try federal firearms cases originating in Albuquerque, New Mexico; Kansas City, Missouri; Memphis, Tennessee; and St. Louis, Missouri. In addition, these and other Legend cities will be eligible for grant funding to support Real Time Crime Centers. These centers are a considerable financial investment for any law enforcement agency. The funding being made available to each Legend city can assist police departments in purchasing critical equipment and paying overtime to keep these centers staffed around the clock.
“We are pleased to support the outstanding work being undertaken through Operation Legend to reduce violent crime by focusing on cases involving illegal firearms,” said OJP Principal Deputy Assistant Attorney General Katharine T. Sullivan. “The Office of Justice Programs is pleased to make these resources available to support the brave crime-fighters who work so hard to deter violence and keep our communities safe.”
“Adding yet another prosecutor to our gun crime unit will expand our ability to pursue more dangerous criminals in the middle District,” said U.S. Attorney Cochran. “We are grateful for the support of Tennessee Attorney General Herbert Slatery, III and his willingness to become a partner in this violence reduction initiative.”
“We are pleased to partner with U.S. Attorney Don Cochran and the United States Attorney’s Office to protect the law abiding citizens of middle Tennessee. Many thanks to the U.S. Department of Justice for creating this opportunity and providing funding for an additional gun crimes prosecutor, said Tennessee Attorney General Herbert Slatery III.”
A grant to the Tennessee Office of Attorney General will support the hiring of a full-time local prosecutor who will be empowered to try firearms cases in federal court. Prosecuting gun crimes is central to the Justice Department’s strategy under Operation Legend and other violence reduction initiatives led by the Department. These efforts follow a sustained, systematic and coordinated approach to gun violence in which federal enforcement agencies work closely with state and local officials to fight violent crime. Funding comes from the Bureau of Justice Assistance, a component of the Justice Department’s Office of Justice Programs.
The Department of Justice launched Operation Legend in July, following the murder of four-year-old LeGend Taliferro, who was shot and killed while he slept in his Kansas City home. The initiative was subsequently expanded from Kansas City to Albuquerque, Chicago, Cleveland, Detroit, Memphis, Milwaukee, St. Louis and Indianapolis. Since the summer launch, officials in Operation Legend sites have made more than 5,500 arrests, including approximately 276 for homicide, and seized more than 2,000 firearms. Of the more than 5,500 individuals arrested, approximately 1,124 have been charged with federal offenses. More than 600 of those defendants have been charged with firearms offenses.
More information about OJP and its components can be found at www.ojp.gov.
The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years
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Justice Department Charges More Than 14,200 Defendants with Firearms-Related Crimes in FY20Read the Press Release
NASHVILLE, Tenn. – October 13, 2020 - Today, the Department of Justice announced it has charged more than 14,200 defendants with firearms-related crimes during Fiscal Year (FY) 2020, despite the challenges of COVID 19 and its impact on the criminal justice process. These cases have been a Department priority since November 2019 when Attorney General William P. Barr announced his commitment to investigating, prosecuting, and combatting gun crimes as a critical part of the Department’s anti-violent crime strategy. These firearms-related charges are the result of the critical law enforcement partnership between United States Attorneys’ Offices and the Bureau of Alcohol, Tobacco, Firearms and Explosives, led by Acting Director Regina Lombardo, who has made firearms-related investigations a priority.
“The number one priority of government is to keep its citizens safe,” said Attorney General Barr. “By preventing firearms from falling into the hands of individuals who are prohibited from having them, we can stop violent crime before it happens. Violating federal firearms laws is a serious crime and offenders face serious consequences. The Department of Justice is committed to investigating and prosecuting individuals, who illegally buy, sell, use, or possess firearms. Reducing gun violence requires a coordinated effort, and we could not have charged more than 14,000 individuals with firearms-related crimes without the hard work of the dedicated law enforcement professionals at the ATF, our U.S. Attorneys’ Offices across the country, and especially all of our state and local law enforcement partners.”
“Protecting the public from violent crime involving firearms is at the core of ATF’s mission,” commented ATF Acting Director Regina Lombardo. “Every day the men and women of ATF pursue and investigate those who use firearms to commit violent crimes in our communities, many of whom are prohibited from possessing firearms from previous convictions. ATF, in collaboration with the U.S. Attorneys’ Offices across the nation, is committed to bringing these offenders to justice for their egregious and violent criminal acts.”
“When I became the U.S Attorney in 2017, my highest priority was to make middle Tennessee a safer place for all of our citizens and visitors,” said U.S. Attorney Cochran. “One of the initiatives our office and our law enforcement partners embarked on was a concentrated effort to reduce violent crime – especially gun crime. We quickly doubled the number of federal firearms prosecutions and continued to expand our enforcement efforts. Even with the challenges associated with COVID-19 and the lack of a grand jury for several months in FY20, we still charged 137 individuals with federal firearms crimes. This will be followed by long federal prison sentences for violent offenders, from which there is no parole, and our communities will be safer without these violent criminals on our streets.”
Under federal law, it is illegal to possess a firearm if you fall into one of nine prohibited categories including being a felon, illegal alien, or unlawful user of a controlled substance. Further, it is unlawful to possess a firearm in furtherance of a drug trafficking offense or violent crime. It is illegal to possess a firearm if you have been convicted of a crime of domestic violence or are subject to a domestic violence protective order. It is also illegal to purchase – or even to attempt to illegally purchase firearms if the buyer is a prohibited person or illegally purchasing a firearm on behalf of others. Lying on ATF Form 4473, which is used to lawfully purchase a firearm, is also a federal offense. The Department is committed to prosecuting these firearms offenses as well as using all modern technologies available to law enforcement such as the National Integrated Ballistic Information Network, known as NIBIN, to promote gun crime intelligence. Keeping illegal firearms out of the hands of violent criminals will continue to be a priority of the Department of Justice and we will use all appropriate, available means to keep the law abiding people of this country safe from gun crime.
For more information on the lawful purchasing of firearms, please see: https://www.atf.gov/qa-category/atf-form-4473.
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Justice Department Charges 500+ Domestic Violence-Related Firearm Cases in FY 20Read the Press Release
NASHVILLE, Tenn. – October 8, 2020 - The Department of Justice announced it has charged more than 500 domestic violence cases involving firearms during Fiscal Year (FY) 2020. A Department priority since 2019 when Attorney General William P. Barr created the Department of Justice’s first ever-Domestic Violence Working Group, these charges are the result of the critical law enforcement partnership between United States Attorneys’ Offices and the Bureau of Alcohol, Tobacco, Firearms and Explosives, led by Acting Director Regina Lombardo, who has made domestic violence firearms-related investigations a priority.
“Keeping firearms out of the hands of dangerous criminal offenders is one of the Department of Justice’s top priorities,” said Attorney General Barr. “This is especially important when it comes to individuals with prior domestic violence convictions. The statistics are clear that when domestic violence offenders have access to guns, their partners and their families are at much greater risk of falling victim to gun violence. In fact, in some communities across America, roughly half of the homicides are related to domestic violence. The Department of Justice is committed to keeping guns out of the hands of those who are prohibited from having them, and we will continue investigating and prosecuting all domestic violence firearms related crimes.”
“According to the CDC, data suggests that about one in six homicide victims are killed by an intimate partner,” said ATF Acting Director Lombardo. “Nearly half of female homicide victims in the U.S. are killed by a current or former male intimate partner. ATF is committed to aggressively pursuing prohibited possession of firearms due to domestic violence convictions and certain protective orders. It is another way we prevent violent gun crime within our communities.”
Of the more than 500 cases charged, 19 cases have been brought in middle Tennessee. Of those 19 cases, firearms were used in 10 of the incidents. This announcement follows the recent conviction of a Chapel Hill, Tennessee man, on federal firearms charges, after he assaulted his estranged wife in June 2017 and fired multiple rounds from an assault rifle as she hid in a bedroom closet. Though not included in the FY 2020 statistics, Laqueston Goff, 33, was convicted late last month, after a 3-day bench trial in U.S. District Court.
“As I said after the Goff conviction, Tennessee regularly ranks among the nation’s leaders in men who kill their female domestic partners,” said U.S. Attorney Cochran. “One of the reasons we aggressively prosecute gun crimes against domestic abusers is that when a gun is introduced in a violent relationship the chances of it turning into a murder increase exponentially. We have more than doubled our firearms prosecutions and together with our law enforcement partners, we will continue to devote significant resources to our violent crime initiative, especially when incidents of domestic violence occur.”
Under federal law, individuals with domestic violence misdemeanor and felony convictions, as well as individuals subject to domestic violence protective orders, are prohibited from possessing firearms. The data shows that offenders with domestic violence in their past pose a high risk of homicide. In fact, domestic violence abusers with a gun in the home are five times more likely to kill their partners.
The Working Group, chaired by U.S. Attorney Erin Nealy Cox, of the Northern District of Texas, disseminates legal guidance on keeping guns out of the hands of domestic violence abusers using three federal statutes:
- 18 USC § 922 (g)(1), felon in possession of a firearm
- 18 USC § 922 (g)(9), possession of a firearm by a prohibited person (misdemeanor crime of domestic violence)
- 18 USC § 922 (g)(8), possession of a firearm while subject to a domestic violence protective order
Based on the Working Group’s guidance, in FY 2020, U.S. Attorneys’ Offices nationwide brought 337 domestic violence felon-in-possession charges, 54 possession while subject to a protective order charges, and 142 possession by a prohibited person charges.
For more information on domestic violence or to get help, visit the National Domestic Violence Hotline website or call 1-800-799-SAFE (7233).
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The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
Rutherford County Escapee Sentenced to 19.3 Years in Federal Prison for Violent Crime SpreeRead the Press Release
NASHVILLE, Tenn. – October 5, 2020 – Two Nashville, Tennessee men responsible for a violent crime spree in the mid-state during December 2017 and January 2018, have been sentenced to lengthy federal prison terms, announced U.S. Attorney Don Cochran for the Middle District of Tennessee.
Dewayne Halfacre, 45, was sentenced Thursday to 232 months in prison for his role in four mid-state robberies. Timothy Howell, 54, was previously sentenced in June to 157 months in prison. Both pleaded guilty in February to conspiracy to commit Hobbs Act robbery and to four counts of robbery affecting commerce, after being indicted by a federal grand jury in 2019.
During a one-month period beginning on December 16, 2017, the pair robbed four convenience stores including the Mapco on Highway 70; the Delta Express on Old Hickory Boulevard on December 21; the Shell gas station on White Bridge Road on January 13, 2018, all in Nashville; and the Almaville Market in Arrington, Tennessee, on January 19, 2018. During each of these robberies, the defendants took cash from the register and other items and threatened the store employees with a box cutter during two robberies and a handgun during the others.
Court documents also indicate that in addition to the robberies above, Halfacre and Howell engaged in other criminal acts during this time period, including robbing an 81 year-old woman in Clarksville, Tennessee on December 16, 2017; attempted to break into the Family Market in Rockvale, Tennessee on January 16, 2018; burglarized Oldham’s Market in Hartsville, Tennessee on January 18, 2018; robbed a Mapco store in Ringgold, Georgia on January 22, 2018; and less than an hour later they attempted to burglarize Andy’s Market in South Pittsburg, Tennessee.
Later on January 22, 2018, deputies with the Marion County Sheriff’s Office located Halfacre and Howell in a vehicle parked at a funeral home. The pair then led law enforcement on a high speed chase before crashing the vehicle and fleeing into the woods. Howell was captured a short time later but Halfacre eluded authorities until the following day when he attempted to break into a house. When a Marion County Sheriff’s deputy responded to the break-in, he encountered Halfacre, who drew a handgun, pointed it at the deputy and threatened to kill him. Halfacre then took the deputy’s patrol car and fled as another deputy shot one of the vehicle’s tires. Another pursuit ensued and the patrol car was found crashed and abandoned a short time later.
Several days later, on January 26, 2018, after a large scale manhunt, Halfacre was tracked to an uninhabited house in Marion County and surrounded by law enforcement. Halfacre then contacted the Tennessee Bureau of Investigation (TBI), agreed to surrender, and was taken into custody.
On October 10, 2018, while being held at the Rutherford County Jail, Halfacre and another inmate assaulted a correctional officer and escaped custody. They stole a nearby vehicle and hid in abandoned houses for approximately 36 hours before being captured.
U.S. Attorney Cochran commended the work of the many law enforcement agencies involved in this case, including the FBI; the TBI; the Rutherford County Sheriff’s Office; the Metropolitan Nashville Police Department; and the Marion County Sheriff’s Office; and Assistant U.S. Attorney Brooke K. Schiferle, who prosecuted the case.
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Former Nashville-Based Healthcare President Sentenced to Federal PrisonRead the Press Release
NASHVILLE, Tenn. – September 28, 2020 – The former president of Nashville-based Omnis Health, Inc. was sentenced today in U.S. District Court to 35 months in prison for wire fraud and tax evasion, and fined $15,000, announced U.S. Attorney Don Cochran for the Middle District of Tennessee.
Robert R. Burton, 50, of Madisonville, Louisiana, formerly of Brentwood, Tennessee, was also ordered to pay $1,059,016.67 in restitution - $763,887 to Omnis Health and $295,129 to the IRS. Burton was charged in a criminal information in February and pleaded guilty in May.
According to court documents, between July 2013 and May 2017, Burton was the president of Nashville-based Omnis, which sold diabetic testing kits. From December 2013 through January 2017, he embezzled approximately $763,887 from Omnis by submitting false and fraudulent reimbursement requests to the controller of Omnis, claiming that he had purchased supplies and incurred travel expenses, which he had not. To justify his reimbursement requests, Burton fabricated receipts to include with his fraudulent reimbursement requests.
To accomplish a large portion of his scheme, Burton submitted reimbursement requests for diabetic testing products, falsely claiming he had purchased those products. Burton claimed that he was using personal funds to purchase “grey market” diabetic testing supplies on the open market; that he was purchasing the supplies so Omnis could conduct research; that he was purchasing lower-priced “bootleg” diabetic testing supplies to take them off the market; and that he was sending the products to Omnis’s parent company for testing. Burton never actually purchased the supplies, but instead he visited multiple online vendors, such as Amazon or Diabetessupplies4less.com, placed the products in his online shopping cart, printed the computer screens displaying his shopping cart as the “receipt,” and then attached those “receipts” to his reimbursement requests. Burton also fabricated credit card transaction receipts falsely showing he had purchased the products, and attached those fabricated receipts with his reimbursement requests. Burton was reimbursed at least $484,328 for supplies that he never purchased.
Burton frequently submitted false travel expense reimbursements and travel advances, claiming that he traveled for business to meet with suppliers, customers, and individuals from the corporate office, and to attend conferences. In fact, Burton did not take the majority of the flights for which he was reimbursed approximately $203,747.83. Similar to how he falsified his expense reports for diabetic testing supplies, Burton would visit an airline’s website, print an itinerary that displayed a cost for the flight, and submit that as the receipt without ever purchasing the flights.
In addition to airline reimbursements, Burton falsely claimed he had attended conferences and paid fees in the amount of at least $102,056. Burton fabricated credit card transaction receipts falsely showing he had paid the conference fees and submitted them with his reimbursement requests.
In an effort to further conceal the fraud, rather than depositing the reimbursement checks into his bank accounts, Burton cashed them at a bank or a check cashing business and either spent the cash or deposited it onto prepaid debit cards. Burton often used the funds for gambling.
Burton also failed to report the embezzled funds on his personal tax returns for tax years 2014 through 2016 and failed to timely file his 2017 personal tax return. In addition, he provided false income information to his tax return preparer by omitting the embezzled income. The total loss to the IRS for tax years 2014 through 2017 is $295,129.
This case was investigated by the IRS-Criminal Investigation and is being prosecuted by Assistant U.S. Attorney Kathryn Booth.
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Chapel Hill Man Convicted of Federal Firearms Offenses During Assault of Estranged WifeRead the Press Release
NASHVILLE, Tenn. – September 28, 2020 – Laqueston Goff, 33, of Chapel Hill, Tennessee, was convicted last week of being a convicted felon in possession of a firearm and ammunition, announced U.S. Attorney Don Cochran for the Middle District of Tennessee.
Goff was found guilty of the charges by U.S. District Judge William L. Campbell, Jr. after a three-day bench trial that ended Thursday.
“Tennessee regularly ranks among the nation’s leaders in men who kill their female domestic partners,” said U.S. Attorney Cochran. “One of the reasons we aggressively prosecute gun crimes against domestic abusers is that when a gun is introduced in a violent relationship the chances of it turning into a murder increase exponentially. I commend our trial team and our law enforcement partners, particularly Chief Andrew Kon of the Chapel Hill Police Department who led this investigation and built an excellent case with very limited resources. Now, justice has been served and perhaps lives have been saved from any future assault at the hands of this individual.”
On June 7, 2017, Goff phoned his estranged wife and asked her come to Lewisburg, Tennessee and pick him up. Reluctantly, she agreed and drove to Lewisburg, where she found him outside a bowling alley. As they drove, Goff would not tell her where he wanted to go and she became concerned and apprehensive and decided it would be safer for her to return home. When she arrived at her home, Goff wanted to come inside but she refused. Goff then began to physically assault her, striking her and pulling her hair. She was ultimately able to flee the vehicle and went inside the house and locked the door. Goff continued to yell and curse at her and as she cowered in a bedroom, she heard the sound of glass being broken at the front door and multiple gunshots.
A neighbor, an off-duty correctional officer with the Maury County Sheriff’s Office, also heard the gunshots and called local law enforcement to report it. Shortly thereafter, he heard someone rustling in the woods behind his home and ordered them to come out. Goff then appeared from the woods and was bleeding profusely and claimed he had been shot. Goff was transported to Vanderbilt Hospital and continued to maintain that he had been shot by unknown assailants who had attempted to break into his estranged wife’s house. The treating physician who examined Goff found no evidence of a gunshot wound and found that Goff’s injuries were instead consistent with broken glass shards. Physical evidence obtained at the crime scenes, including the recovery of a blood-covered assault rifle, also discredited Goff’s claim and proved him to be the gunman.
Goff had previously been convicted of aggravated assault, reckless endangerment and several drug felonies. He faces up to 10 years in prison when he is sentenced later this year.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms & Explosives and the Chapel Hill Police Department. Assistant U.S. Attorneys Robert McGuire and Kathryn W. Booth prosecuted the case.
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Bon Aqua Man Sentenced to Federal Prison for Child Pornography CrimeRead the Press Release
NASHVILLE, Tenn. – September 28, 2020 – A Bon Aqua, Tennessee man, who is also a previously convicted sex offender, was sentenced to 10 years in federal prison Friday for possession of child pornography, announced U.S. Attorney Don Cochran for the Middle District of Tennessee.
Randall Eugene Bateman, 38, was charged in March with possession of child pornography after an investigation determined that he was the administrator of an online chat room dedicated to the discussion of child exploitation and the trading of sexually explicit images of children. The investigation determined that in February, Bateman used the “Kik” application to post and share several videos of adults engaged in sexually activity with male and female children between the ages of four and thirteen.
A search warrant was executed at Bateman’s home on March 11, 2020, during which a cell phone and electronic storage media were seized and approximately 100 images and videos of child sexual abuse were discovered.
Bateman pleaded guilty to the charge in June. He was previously convicted in 2006 of especially aggravated sexual exploitation of a child and aggravated sexual exploitation of a child in Rutherford County, Tennessee and sentenced to eight years in prison.
This case was investigated by Homeland Security Investigations and the FBI, with assistance from the Hickman County Sheriff’s Office. Assistant U.S. Attorney S. Carran Daughtrey prosecuted the case.
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Kentucky Man Sentenced to 5 1/2 Years in Prison for Mail Theft SchemeRead the Press Release
NASHVILLE, Tenn. – September 16, 2020 – A Trenton, Kentucky man was sentenced today in U.S. District Court to 65 months in federal prison for mail fraud and possession of stolen mail, announced U.S. Attorney Don Cochran for the Middle District of Tennessee.
Adam Perrelli, 41, pleaded guilty in June to conspiracy to commit mail fraud and theft of mail, mail fraud, and receipt and possession of stolen mail. Perrelli along with Kaitlin Patterson, 31, and Natasha Pargellis, 36, also of Trenton, were indicted in November 2019, after a lengthy investigation into mail thefts in and around the Clarksville, Tennessee area.
According to court documents, the defendants obtained a master key that allowed them to open mail receptacles such as street collection boxes and panels of apartment house mailboxes. During the period of March 2018 through September 2018, the trio drove with each other and other individuals to various mail receptacles in and around the Clarksville, Tennessee area and stole large amounts of mail. They then sorted through the mail looking for documents to use for their personal benefit, including checks, money orders, credit cards and personal identifying information. The documents were then altered and made payable to another participant in the conspiracy and approximately $32,000 in altered checks and money orders were cashed or deposited. The investigation identified 540 victims and uncovered an additional $540,000 in stolen checks and money orders which they intended to alter.
Patterson and Pargellis have previously pleaded guilty and are awaiting sentencing.
This case was investigated by the U.S. Postal Inspection Service and the Clarksville Police Department and is being prosecuted by Assistant U.S. Attorney Robert Levine.
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Clarksville Man Who Shot at Police Officers Sentenced to 10 Years in Federal PrisonRead the Press Release
NASHVILLE, Tenn. – August 31, 2020 - Elique Camacho, 23, of Clarksville, Tennessee, was sentenced today in U.S. District Court to 10 years in prison for possessing a firearm after being convicted of a crime of domestic violence, announced U.S. Attorney Don Cochran for the Middle District of Tennessee.
Camacho was indicted in July 2018, after an incident on June 24, 2018, where Clarksville police officers were called to the scene of a domestic assault and upon arrival, Camacho was attempting to leave the scene. As officers approached his vehicle, Camacho drove toward them and struck one of the officers with his vehicle and fled. As Clarksville officers pursued Camacho, he fired several rounds at the officers from his vehicle. One of the officers subsequently rammed and disabled Camacho’s vehicle, after which, he fled on foot and hid in a wooded area overnight, before being arrested the following day at a friend’s house. At the time of his arrest, Camacho was in possession of a 9mm handgun.
Camacho pleaded guilty in January. He had previously been convicted of domestic assault in January 2017 and was prohibited from possessing a firearm.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms & Explosives and the Clarksville Police Department. Assistant U.S. Attorney Brooke Schiferle prosecuted the case.
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21 Year-Old Convicted Felon Facing Federal Firearms Charges After Shooting of Teenager Last WeekRead the Press Release
NASHVILLE, Tenn. – August 27, 2020 – Gievanne Courtlyn Ashley, 21, of Nashville, was charged Tuesday with two counts of being a convicted felon in possession of a firearm, announced U.S. Attorney Don Cochran for the Middle District of Tennessee.
The charges stem from a shooting investigation, which occurred on August 20th in the 1300 block of Westchester Drive in Nashville, in which a 17 year-old was shot in the abdomen with an AR-style rifle. According to the criminal complaint, when Metropolitan Nashville Police Department (MNPD) responded to this incident, witnesses identified the shooter as Ashley, who had fled the scene. MNPD officers knew at the time that Ashley was wanted on a probation violation warrant.
Subsequent investigation by MNPD on August 24, led officers to a house on Herman Street, where Ashley was found by SWAT officers hiding in a bedroom closet and was arrested. During a search of the premises, officers located a loaded .40 caliber Glock under the cushion of a chair in the living room. Based on further interviews, MNPD officers obtained a search warrant for an apartment on Alameda Street in Nashville and recovered a loaded .32 caliber Long revolver; a Ruger AR-5.56 mm caliber rifle with 30 rounds in the magazine; an additional 5.56 mm magazine loaded with 10 rounds; a Glock .40 caliber magazine loaded with seven rounds; and 12 additional rounds of .40 caliber ammunition.
Ashley has two prior felony convictions in the Criminal Court of Davidson County, including burglary of a motor vehicle and being a convicted felon in possession of a firearm. If convicted of the instant offenses, Ashley faces up to 10 years in prison on each count.
This case was investigated by the MNPD and the Bureau of Alcohol, Tobacco, Firearms & Explosives. Assistant U.S. Attorney Andrew Notaristefano is prosecuting the case.
The charges are merely an accusation. The defendant is presumed innocent until proven guilty in a court of law.
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Nashville Man Sentenced to Federal Prison for Scheme Involving Stolen Tax Refund Checks and Bank FraudRead the Press Release
NASHVILLE, Tenn. – August 26, 2020 – A Nashville man was sentenced today in U.S. District Court for two separate fraud schemes, one involving stolen tax refund checks and the other involving bank fraud, announced U.S. Attorney Don Cochran for the Middle District of Tennessee.
Charles Burnett, 34, was sentenced to a total of 54 months in prison, to be followed by five years of supervised release.
Burnett was initially charged in September 2018 with conspiracy to steal government funds and aggravated identity theft after an investigation determined that he conspired with others to steal federal income tax refund checks. Between June 2014 and May 2017, Burnett directed others to open bank accounts and shell entities to deposit the stolen checks. Burnett himself, incorporated CB Entertainment and Marketing, LLC and opened a business bank account for the sole purpose of depositing stolen tax refund checks. Burnett and his co-conspirators stole $636,366.68 in tax refund checks, but they were only successful in obtaining $271,712.04.
Burnett pleaded guilty to this scheme in November 2018 and while awaiting sentencing, in March 2019, he embarked upon another scheme which would defraud local banks. Burnett opened a series of bank accounts, seeded those accounts with money, spent that money or moved it to another account he controlled, and then claimed fraud so the defrauded banks would reimburse him. In February of this year, Burnett was arrested and charged with bank fraud. He pleaded guilty to this scheme in April and has been in custody pending today’s sentencing. Burnett was also ordered to pay $271,712.04 in restitution and to forfeit $252,346.44 in the case involving stolen tax refund checks; and $21,086.46 in restitution and a forfeiture in the same amount involving the bank fraud case.
This case was investigated by the Treasury Inspector General for Tax Administration; the United States Secret Service and the FBI. Assistant U.S. Attorney Robert S. Levine prosecuted the case.
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Nashville Man Facing Federal Charges in Pharmacy RobberyRead the Press Release
NASHVILLE, Tenn. – August 26, 2020 – A criminal complaint was unsealed yesterday charging David Powell, aka Dawud Powell, 29, of Nashville, with armed robbery of a pharmacy and brandishing a firearm during and in relation to a crime of violence, announced U.S. Attorney Don Cochran for the Middle District of Tennessee.
According to the complaint, on the morning of August 19, 2020, an individual later identified as Powell, entered the Walgreens pharmacy on Nolensville Pike, brandished a handgun at the pharmacy counter and demanded that the pharmacist give him all of the Hydrocodone, Oxycodone, and Lortab. The pharmacist complied and the robber placed the bottles of drugs in a white bag and fled the store.
The investigation by responding officers and detectives from the Metropolitan Nashville Police Department led them to the area of West Valley Drive where they observed an individual exiting a vehicle and carrying a white bag. The individual ignored the officer’s commands to stop and fled, jumping a nearby fence. Subsequent investigation by FBI agents identified Powell as the suspect.
Powell was arrested Monday by the FBI Safe Streets Task Force outside of an apartment complex in South Nashville. At the time of his arrest, Powell was in possession of firearms. He will appear before a U.S. Magistrate Judge on Friday for a detention hearing. He is currently on federal supervised release out of the Northern District of Illinois, where he was previously convicted for being a felon in possession of a firearm. If convicted of the charges, Powell faces a mandatory minimum sentence of seven years and up to life in prison.
This case is being prosecuted by Assistant U.S. Attorney Joseph P. Montminy.
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Middle Tennessee Probation Service Operator Pleads Guilty to Tax ChargesRead the Press Release
NASHVILLE, Tenn. – August 26, 2020 – A Dickson, Tennessee woman who owns and operates a private probation service pleaded guilty today in U.S. District Court to three counts of failing to file a federal tax return, announced U.S. Attorney Don Cochran for the Middle District of Tennessee.
Shannon C. Monzon, 48, was charged in July with failing to file tax returns for the years 2016-2018. Monzon is the owner and operator of Misdemeanor Offenders Program (“MOP”), a private probation service that supervised probationers out of the Humphreys County General Sessions Court, the Municipal Court of McEwen, the Municipal Court of New Johnsonville, the Dickson County General Sessions Court, and the Dickson Municipal Court.
According to court documents, MOP was contracted by the counties and municipalities to provide probationary services for offenders referred to them. MOP charged probationers a fee to be supervised, and the probationers paid MOP directly by cash, money order, official checks, or personal checks. MOP also received payments from the contracting municipalities and counties.
Between 2013 and 2018, MOP received over $708,000 in deposits into the business account. Additionally, during that time, Monzon and her husband received over $617,000 in cash deposits into their joint personal bank account and were required by the IRS to file personal federal income tax returns.
As part of the plea agreement, Monzon admitted that she willfully did not file tax returns for tax years 2008-2018 and caused a tax loss to the IRS in the amount of $396,002 and agrees to pay restitution in that amount.
Monzon faces up to one year in prison and a fine of up to $100,000 on each count when she is sentenced on January 6, 2021. This case was investigated by the IRS-Criminal Investigation and was prosecuted by Assistant U.S. Attorney Kathryn Booth.
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Pharmacy Shooter Sentenced to 29 1/2 Years in Federal PrisonRead the Press Release
NASHVILLE, Tenn. – August 17, 2020 – A Nashville man convicted last fall of the robberies and shooting at the Rite-Aid Pharmacy on West End Avenue was sentenced Friday in U.S. District Court to 355 months in federal prison, announced U.S. Attorney Don Cochran for the Middle District of Tennessee.
Dionte Breedlove, 26, was found guilty by a federal jury in October 2019, after a week-long trial, of robberies affecting interstate commerce and using a firearm during and in relation to crimes of violence. Breedlove was tried for participating in two separate robberies of the pharmacy on September 14, 2017, and again on October 9, 2017, during which he shot an unarmed security guard.
Breedlove, along with Carlos Valcarcel-Arocho, 22, also of Nashville, were both charged in August 2018, after an investigation into the robberies determined that Valcarcel-Arocho, an employee of Rite-Aid, was present during each robbery and participated by texting Breedlove when the time was right for him to enter the store. Valcarcel-Arocho posed as a victim during each robbery and helped stuff cash into a bag after opening the safe and cash registers. The investigation also determined that Breedlove and Valcarcel-Arocho had been acquainted for several years. A search warrant later executed at Valcarcel-Arocho’s apartment uncovered several items connected to the robbery. Valcarcel-Arocho pleaded guilty to charges relating to the October 2017 robbery and is awaiting sentencing.
During the October 2017 robbery, Breedlove pointed a gun at two employees, including Valcarcel-Arocho, and ordered them to put cash into a bag. The unarmed security guard stood nearby with his arms behind his head. Breedlove then shot him in the chest at close range and held the gun to the back of the head of the other employee while threatening him. The security guard underwent emergency surgery and was hospitalized for several weeks, followed by months of rehabilitation. His injuries were life altering and a bullet remains lodged in his spine.
At the time Breedlove committed these crimes, he was a convicted felon who had completed a six-year sentence for robbery less than two years earlier. In that case, Breedlove, who was 18 years old at the time, also shot the person he robbed.
This case was investigated by the FBI and the Metropolitan Nashville Police Department. Assistant U.S. Attorneys Philip H. Wehby and Sunny A.M. Koshy prosecuted the case.
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Former Tennessee State University Employee Sentenced to Federal Prison in Student Loan Fraud SchemeRead the Press Release
NASHVILLE, Tenn. – August 17, 2020 – A former Tennessee State University (TSU) employee was sentenced Friday to 32 months in federal prison for fraudulently receiving and misappropriating more than $84,500 in student loan payments, announced U.S. Attorney Don Cochran for the Middle District of Tennessee.
Renauld Clayton, 32, of Nashville, was indicted in May of last year on charges of student loan fraud, wire fraud, and aggravated identity theft. He pleaded guilty in February and admitted that during 2014-2015, while employed in the admissions office of TSU, he obtained the personal identifying information of TSU students and others and applied for student loans in their names. When the funds were received, Clayton diverted the money to his own use and others and deposited more than $60,000 of the funds to bank accounts that he controlled.
U.S. District Judge Eli J. Richardson also ordered Clayton to pay $84,506.00 in restitution
This investigation was conducted by the U.S. Department of Education – Office of Inspector General and the U.S. Secret Service, following an internal audit by TSU. Assistant U.S. Attorneys Sara Beth Myers and Kathryn W. Booth are prosecuting the case.
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Nashville Woman Is Second to Face Federal Arson Charges in Connection with Metro Courthouse FireRead the Press Release
NASHVILLE, Tenn. – August 4, 2020 - A criminal complaint unsealed today charged Shelby Ligons, 22, of Nashville Tennessee, with malicious destruction of property using fire or explosives, announced U.S. Attorney Don Cochran for the Middle District of Tennessee and Assistant Attorney General for National Security John C. Demers.
Wesley Somers, 25, of Hendersonville, Tennessee, was previously charged on June 3, 2020, and his case is pending in U.S. District Court.
The criminal complaint alleges that on the afternoon of May 30, 2020, protesters gathered in downtown Nashville following the death of George Floyd in Minneapolis, Minnesota. Later in the evening, a number of persons gathered in front of the Nashville City Hall, also known as the Metro Courthouse. Using various tools, including crowbars and other objects, they began smashing the windows of the premises and spraying graffiti on the Courthouse facade. One or more fires were also set inside of the Courthouse at this time.
Numerous video clips and photographs of the destruction at City Hall were posted on social media websites, on the websites for news outlets, and on other Internet sites. Ligons is depicted in video clips and photographs from that afternoon and evening wearing blue jeans, a black-colored shirt, a medical mask, and a white-colored bandana on her head. In those video clips and photographs, Ligons is depicted holding a white-colored poster board with the words “F--k The Police” and “We Will Not Be Silent” written on it. In several video clips, Ligons is depicted setting fire to the poster and placing it inside a window located on the exterior structure of City Hall.
Ligons was arrested this morning by FBI agents and will make an initial appearance before a U.S. Magistrate Judge later this afternoon.
If convicted, Ligons faces a mandatory minimum of five years and up to 20 years in prison.
This case is being investigated by the FBI; the Metropolitan Nashville Police Department; and the Nashville Fire Department. Assistant U.S. Attorney Ben Schrader and Trial Attorney Justin Sher of the Justice Department’s Counterterrorism Section are prosecuting the case.
A criminal complaint is merely an accusation. The defendant is presumed innocent until proven guilty in a court of law.
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Fifteen Years in Federal Prison for Nashville Man Who Illegally Possessed FirearmRead the Press Release
NASHVILLE, Tenn. – August 3, 2020 - A Nashville man arrested during a 2017 traffic stop has been sentenced to 15 years in federal prison, announced U.S. Attorney Don Cochran for the Middle District of Tennessee.
Brandon Desean Wells, 33, was sentenced Friday to the mandatory minimum sentence for being a felon in possession of a firearm and being qualified as an Armed Career Criminal, which subjected him to a mandatory sentence enhancement.
Wells was arrested by officers with the Metropolitan Nashville Police Department on April 20, 2017, after he was found to be a passenger in a vehicle which was stopped for traffic violations. Wells was observed making furtive movements and after exiting the vehicle, he refused to comply with officer’s commands to place his hands behind his back. After physically gaining compliance and handcuffing Wells, the officers found a loaded semi-automatic pistol in his waistband. Wells was also in possession of hydrocodone pills and drug trafficking paraphernalia and told the officers he was under the influence of cocaine and other drugs.
Wells was indicted by a federal grand jury in April 2018 and pleaded guilty in January of this year. Well’s criminal record dates back to his teenage years and includes multiple convictions for armed robbery, drug trafficking and firearm offenses, including a prior six-year federal prison sentence for illegal firearms possession for an offense that occurred only weeks after being placed on probation in state court.
U.S. Attorney Cochran commended the actions of the officers of the Metropolitan Nashville Police Department and agents of the Bureau of Alcohol, Tobacco Firearms & Explosives, along with Assistant U.S. Attorney Joseph P. Montminy in bringing this case and removing a dangerous criminal from the community.
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Nashville Gang Member Sentenced to Federal PrisonRead the Press Release
NASHVILLE, Tenn. – July 21, 2020 - Shamain Johnson, 42, of Madison, Tennessee, was sentenced yesterday to 14 years in prison for operating a multi-state drug trafficking operation, announced U.S. Attorney Don Cochran for the Middle District of Tennessee. Johnson was indicted in June 2017 and convicted in August 2019, after a four-day jury trial.
According to evidence presented at trial and at the sentencing hearing, Johnson repeatedly transported kilograms of cocaine and prescription pills from Texas and Arizona to Middle Tennessee. Once the drugs arrived, Johnson packaged them and sold them to drug users in and around the Madison, Tennessee area. Johnson also directed others to sell drugs for him as well. During the summer and fall of 2016, Metropolitan Nashville Police Department (MNPD) officers repeatedly arrested Johnson for numerous drug crimes. On one occasion, he was arrested for selling heroin and cocaine, but released from custody shortly thereafter. Five days later, Johnson sold heroin to a female who died moments later, and her decomposed body was later found in a ditch in Madison.
In the spring of 2017, Johnson kidnapped, bound, and repeatedly assaulted a drug trafficking business associate at an apartment in Hendersonville, Tennessee. Johnson believed that the associate stole $250,000 in cash that was intended to pay members of a Mexican cartel. When the associate refused to tell Johnson were the money was, Johnson boiled cooking grease, which he intended to pour on the man’s genitals. The associate was able to use a lighter and burn the zip tie binding his ankles, and escaped from the residence. After Johnson was arrested for this offense, he paid a witness to try to have her recant her prior statements to police that related to Johnson’s drug trafficking. This witness refused to identify Johnson at trial but the jury convicted him of one drug trafficking offense and acquitted him on another count.
Additional evidence and testimony introduced established that Johnson is a member in the Rolling 40’s Crips Street Gang.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms, & Explosives; the Drug Enforcement Administration; Homeland Security and Investigations; the Metropolitan-Nashville Police Department; the Tennessee Highway Patrol; the Goodlettsville Police Department; and the Hendersonville Police Department. Assistant U.S. Attorneys Ahmed Safeeullah and Josh Kurtzman prosecuted the case.
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Police Impersonator Facing Federal Firearms ChargeRead the Press Release
NASHVILLE, Tenn. – July 15, 2020 – A Nashville man with a history of impersonating a law enforcement officer and firefighter is now facing federal charges, announced U.S. Attorney Don Cochran for the Middle District of Tennessee.
A criminal complaint, unsealed today, charged Chandler James Moon, 21, of Nashville, with being a convicted felon in possession of a firearm. Chandler was arrested earlier today by FBI agents and Metropolitan Nashville Police Department (MNPD) officers and will make an initial appearance before a U.S. Magistrate Judge later this afternoon.
According to the charging documents, on numerous occasions, beginning in 2018, officers with the MNPD and Kentucky law enforcement officers encountered Moon driving vehicles equipped with emergency lights, a siren and on some occasions a police scanner, radios, a traffic radar unit and handcuffs. On many occasions, Moon was wearing clothing items which identified him as a member of the Nashville Fire Department (NFD) and on other occasions he identified himself as a volunteer firefighter with the Hopkinsville, Kentucky Fire Department or the NFD. Many encounters by the MNPD were the result of citizen complaints about Moon’s careless driving behavior and stopping motorists.
On January 31, 2019, Moon was arrested in Warren County, Kentucky for impersonating a police officer and receiving stolen property, after carelessly driving a white Chevrolet Tahoe in which emergency lights had been activated. Moon entered into an agreement for five years of pre-trial diversion to resolve those charges on February 17, 2020. The pre-trial diversion agreement prohibits access to a handgun or firearm during the pendency of the diversionary period.
In October 2019, MNPD recovered from Moon’s vehicle, a government license plate stolen from a police vehicle the week before and in June 2020, Moon was implicated in the theft of other license plates from MNPD vehicles. On July 4, 2020, Moon’s vehicle was reported as driving recklessly with blue lights and siren activated on Interstate 24 in Davidson County. His driving caused a vehicle collision.
On July 9, 2020, during the execution of a search warrant at Moon’s house MNPD Crime Gun Unit detectives recovered a .40 Caliber Glock handgun, from Moon’s bedroom on the nightstand. Moon had been convicted of a felony in 2017, in the State of Georgia, and is prohibited from possessing a firearm.
If convicted, Moon faces up to 10 years in prison.
This case was investigated by the Metropolitan Nashville Police Department and the FBI. Assistant U.S. Attorney Rachel M. Stephens is prosecuting the case.
A criminal complaint is merely an accusation. The defendant is presumed innocent until proven guilty in a court of law.
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Former CEO of Tennessee Pain Management Company Sentenced for Role in Multi-Million Dollar Medicare Kickback SchemeRead the Press Release
NASHVILLE, Tenn. – July 10, 2020 - A Tennessee healthcare executive was sentenced to 42 months in prison yesterday for his role in an approximately $4 million kickback scheme.
U.S. Attorney Don Cochran, Acting Assistant Attorney General Brian Rabbitt of the Justice Department’s Criminal Division, Special Agent in Charge Derrick Jackson of the U.S. Department of Health and Human Services Office of Inspector General’s (HHS-OIG) Atlanta Region, Special Agent in Charge John F. Khin of the U.S. Department of Defense Criminal Investigative Service’s (DCIS) Southeast Field Office, and Director David Rausch of the Tennessee Bureau of Investigation (TBI) made the announcement.
John Davis, 42, of Franklin, Tennessee, the former CEO of Comprehensive Pain Specialists (CPS) of Gallatin, Tennessee, was sentenced by U.S. District Judge William Campbell, Jr., of the Middle District of Tennessee. Judge Campbell also ordered Davis to forfeit $770,036.00. Davis was convicted of one count of conspiracy to defraud the United States and violate the Anti-Kickback Statute as well as seven counts of violating the Anti-Kickback Statute in April 2019 after a seven-day trial.
According to evidence presented at trial, Davis abused his position as CEO of CPS to arrange for referrals of Medicare Durable Medical Equipment (DME) orders to his co-conspirator, Brenda Montgomery and her company, CCC Medical. Evidence showed that Davis operated a shell company called ProMed Solutions (ProMed), which he had registered in the name of his wife. Davis received over $770,000 in illegal kickbacks disguised as payments to his wife and ProMed. Together, Davis and Montgomery pocketed over $2.9 million dollars in improper reimbursements from Medicare. Davis used company funds from CPS to pay bonuses to providers who ordered DME for Medicare beneficiaries and referred those orders to CCC Medical. Davis received 60% of the Medicare profit from these referrals, while the company he ran lost the opportunity to bill for these services.
Evidence at trial also showed that in April and May of 2015, Davis became concerned about the size of the kickback payments that he was receiving from CCC Medical. To address this concern, Davis and Montgomery engaged in a sham sale of ProMed, which had no assets, no employees, no equipment, no office space, and no customers other than CPS. Evidence further showed that Davis and Montgomery set the price for the sham sale based upon the average monthly kickbacks that Davis had been paid for the previous 8 months. When CPS referrals slowed, Davis agreed to reduce the purported “purchase price” to $150,000. When Davis received the last check for the sham sale, he began cutting off referrals to CCC Medical.
Montgomery pleaded guilty on January 7, 2019, to one count of conspiracy to defraud the United States and violate the Anti-Kickback Statute, and seven counts of violations of the Anti-Kickback Statute. She is currently serving a 42-month prison sentence.
This case was investigated by HHS-OIG, with the support of the Defense Criminal Investigative Service, the Internal Revenue Service – Criminal Investigation, and the Tennessee Bureau of Investigation Medicaid Fraud Control Unit, and was brought as part of the Medicare Fraud Strike Force. Assistant U.S. Attorney Taylor J. Phillips and Trial Attorney Anthony Burba of the Criminal Division’s Fraud Section are prosecuting the case.
The Fraud Section leads the Medicare Fraud Strike Force. Since its inception in March 2007, the Medicare Fraud Strike Force, which maintains 15 strike forces operating in 24 districts, has charged more than 4,200 defendants who have collectively billed the Medicare program for approximately $19 billion. In addition, the HHS Centers for Medicare & Medicaid Services, working in conjunction with the HHS-OIG, are taking steps to increase accountability and decrease the presence of fraudulent providers.
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Former CEO of Tennessee Pain Management Company Sentenced for Role in Approximately $4 Million Medicare Kickback SchemeRead the Press Release
A Tennessee healthcare executive was sentenced to 42 months in prison followed by one year of supervised release today for his role in an approximately $4 million kickback scheme.
Acting Assistant Attorney General Brian C. Rabbitt of the Justice Department’s Criminal Division, U.S. Attorney Don Cochran of the Middle District of Tennessee, Special Agent in Charge Derrick Jackson of the U.S. Department of Health and Human Services Office of Inspector General’s (HHS-OIG) Atlanta Region, Special Agent in Charge John F. Khin of the U.S. Department of Defense Criminal Investigative Service’s (DCIS) Southeast Field Office, and Director David Rausch of the Tennessee Bureau of Investigation (TBI) Medicaid Fraud Control Unit made the announcement.
John Davis, 42, of Franklin, Tennessee, the former CEO of Comprehensive Pain Specialists (CPS) of Gallatin, Tennessee, was sentenced by U.S. District Judge William Campbell Jr., of the Middle District of Tennessee. Judge Campbell also ordered Davis to forfeit $770,036.00. Davis was convicted of one count of conspiracy to defraud the United States and violate the Anti-Kickback Statute as well as seven counts of violating the Anti-Kickback Statute in April 2019 after a seven-day trial.
According to evidence presented at trial, Davis abused his position as CEO of CPS to arrange for referrals of Medicare durable medical equipment (DME) orders to his co-conspirator, Brenda Montgomery, and her company, CCC Medical. Evidence showed that Davis operated a shell company called ProMed Solutions (ProMed), which he had registered in the name of his wife. Davis received over $770,000 in illegal kickbacks disguised as payments to his wife and ProMed. Together, Davis and Montgomery pocketed over $2.9 million dollars in improper reimbursements from Medicare. Davis used company funds from CPS to pay bonuses to providers who ordered DME for Medicare beneficiaries and referred those orders to CCC Medical. Davis received 60 percent of the Medicare profit from these referrals, while the company he ran lost the opportunity to bill for these services.
Evidence at trial also showed that in April and May of 2015, Davis became concerned about the size of the kickback payments that he was receiving from CCC Medical. To address this concern, Davis and Montgomery engaged in a sham sale of ProMed, which had no assets, no employees, no equipment, no office space, and no customers other than CPS. Evidence further showed that Davis and Montgomery set the price for the sham sale based upon the average monthly kickbacks that Davis had been paid for the previous eight months. When CPS referrals slowed, Davis agreed to reduce the purported “purchase price” to $150,000. When Davis received the last check for the sham sale, he began cutting off referrals to CCC Medical.
Montgomery pleaded guilty on Jan. 7, 2019, to one count of conspiracy to defraud the United States and violate the Anti-Kickback Statute, and seven counts of violations of the Anti-Kickback Statute. She is currently serving a 42-month prison sentence.
This case was investigated by HHS-OIG, with the support of the Defense Criminal Investigative Service, the IRS-Criminal Investigation, and the Tennessee Bureau of Investigation Medicaid Fraud Control Unit and was brought as part of the Medicare Fraud Strike Force. Trial Attorney Anthony Burba of the Criminal Division’s Fraud Section and Assistant U.S. Attorney Taylor J. Phillips of the U.S. Attorney’s Office for the Middle District of Tennessee are prosecuting the case.
The Fraud Section leads the Medicare Fraud Strike Force. Since its inception in March 2007, the Medicare Fraud Strike Force, which maintains 15 strike forces operating in 24 districts, has charged more than 4,200 defendants who have collectively billed the Medicare program for approximately $19 billion. In addition, the HHS Centers for Medicare & Medicaid Services, working in conjunction with the HHS-OIG, are taking steps to increase accountability and decrease the presence of fraudulent providers.
The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
Nashville Man Facing Federal Firearms Charge After Pointing Gun at Police OfficersRead the Press Release
NASHVILLE, Tenn. – June 29, 2020 – Jotez Anderson, 27, of Nashville, has been charged with being a convicted felon in possession of a firearm, announced U.S. Attorney Don Cochran for the Middle District of Tennessee.
A criminal complaint obtained Friday, alleges that on June 3, 2020, two officers with the Metropolitan Nashville Police Department responded to a call on 18th Avenue, North, regarding a person with a gun. When the officers arrived, they saw Anderson and another individual outside the home and in a heated argument. The officers heard someone yell “he’s got a gun,” and then saw Anderson run toward the rear of the house. While the officers were pursuing Anderson, they noticed a firearm in his hand. During this encounter and on two separate occasions, Anderson pointed the firearm at each officer, before being fired upon by both officers.
Anderson continued to evade the officers until a K-9 arrived and after being deployed, Anderson surrendered and was found to have a gunshot wound to the hand. A bloody, Smith & Wesson .40 caliber pistol with an extended magazine was recovered from the house where Anderson fled.
Anderson had previously been convicted of the offense of attempted first degree murder in Davidson County Criminal Court and received a sentence of 15 years. He was on parole at the time of this incident.
If convicted, Anderson faces up to 10 years in prison.
The Bureau of Alcohol, Tobacco, Firearms & Explosives and the Metropolitan Nashville Police Department investigated this Case. Assistant U.S. Attorney Robert McGuire is prosecuting the case.
A criminal complaint is merely an accusation. The defendant is presumed innocent until proven guilty in a court of law.
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Gallatin Man Sentenced for Crimes Involving Sexual Exploitation of ChildrenRead the Press Release
NASHVILLE, Tenn. – June 29, 2020 – Scott C. House, 31, of Gallatin, Tennessee, was sentenced Friday in U.S. District Court to 56 years in prison for child pornography and exploitation crimes, announced U.S. Attorney Don Cochran for the Middle District of Tennessee.
“This sentence will ensure that no other innocent child will ever have to suffer the twisted abuse inflicted by this horrible individual,” said U.S. Attorney Cochran. “Evil doers who seek sexual gratification through the abuse of children are being relentlessly pursued by our office and our law enforcement partners and we will go to extraordinary lengths to bring them to justice.”
House was indicted in February 2019 on two counts of sexual exploitation of a child, including production of child pornography, one count of possession of child pornography and one count of distribution of child pornography. The investigation began in March 2018 when House was identified as the user on the Kik messenger phone app who sent sexually explicit images depicting the rape of a 22-month-old toddler girl. House had also discussed his sexual abuse of a seven-year-old autistic boy.
Law enforcement immediately obtained a search warrant for House’s Gallatin home and seized phones and other computers and electronics. A forensic examination of the electronics discovered over 2000 images and over 300 videos depicting the sexual abuse of children. The collection included images and videos of the rape of very small children, many of whom were babies and/or infants. Additionally, some of the children in the recordings were clearly in pain and crying. Evidence also indicated that House had shared the videos and images that he produced and others, over the Internet with other like-minded individuals.
House admitted to this conduct when he pleaded guilty to all counts in December 2019.
U.S. Attorney Cochran commended the swift action of the FBI and the Gallatin Police Department, and Assistant U.S. Attorney S. Carran Daughtrey in preventing the additional victimization of these children and bringing House to justice.
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Department of Justice Announces $42 Million to Combat Illegal Manufacture and Distribution of Methamphetamine and OpioidsRead the Press Release
NASHVILLE, Tenn – June 23, 2020 - The Department of Justice‘s Office of Community Oriented Policing Services (COPS Office) today announced nearly $42 million in funding to support state-level law enforcement agencies in combating the illegal manufacturing and distribution of methamphetamine, heroin, fentanyl, carfentanil, and prescription opioids.
The Tennessee Bureau of Investigation (TBI) will receive $3,133,216 million in funding to support investigations into trafficking in heroin, fentanyl, or carfentanil or the unlawful distribution of prescription opioids.
“The TBI/Tennessee Dangerou Drugs Task Force has been a driving force in Tennessee’s efforts to combat meth and heroin abuse,” said U. S. Attorney Don Cochran of the Middle District of Tennessee. “As dangerous substances like fentanyl continue to cause alarming overdoses and deaths in our communities, these additional funds will allow the task force to increase prevention and enforcement efforts at a most critical time.”
“I am proud to announce the 2020 COPS Anti-Methamphetamine Program (CAMP) and the Anti-Heroin Task Force (AHTF) Program awards to the TBI,” said U.S. Attorney J. Douglas Overbey. “Our nation continues to face the constant insurgence of substance abuse and addiction, which threatens our communities daily. This epidemic is among the Administration’s top domestic priorities, and this funding will allow the TBI to continue to provide coordination and training and maintain the critical relationships among our law enforcement partners and the communities they serve.”
U.S. Attorney D. Michael Dunavant said, "The Department of Justice is committed to providing meaningful resources to our state and local law enforcement partners, and this announcement of crucial public safety grant funding from the COPS Office will allow TBI to focus on the priority areas of heroin, fentanyl, and methamphetamine trafficking that continues to destroy lives and contribute to our violent crime rates. The TBI is an outstanding partner with our office in the fight against dangerous drug distribution, and we look forward to working with them as they put these new tools and resources to use."
“The scourge of opioid and methamphetamine use continues to take a devastating toll on our nation’s communities,” said COPS Office Director Phil Keith. “By providing these resources to law enforcement to help combat the further spread, the COPS Office is demonstrating our commitment to this Administration’s priority of reducing drug use and protecting our citizens from this public health and safety crisis.”
“One of our top priorities is addressing the drug epidemic impacting families across the state,” said TBI Director David Rausch. “This funding will go a long way in helping us track down those distributing dangerous drugs in our communities. We are grateful to the Department of Justice and the Office of Community Oriented Policing Services for their continued support and investment in TBI.”
Drug overdose deaths and opioid-involved deaths continue to increase in the United States. Deaths from drug overdose are up among both men and women, all races, and adults of nearly all ages, with more than three out of five drug overdose deaths involving an opioid. More than 130 people die every day in the United States after overdosing on opioids, while methamphetamine continues to be one of the most commonly misused stimulant drugs in the world and is the drug that most contributes to violent crime.
The COPS Office is awarding more than $29.7 million in grant funding to 14 state law enforcement agency task forces through the Anti-Heroin Task Force Program (AHTF). AHTF provides three years of funding directly to state-level law enforcement agencies with multijurisdictional reach and interdisciplinary team (e.g., task force) structures, in states with high per capita rates of primary treatment admissions for heroin, fentanyl, carfentanil, and other opioids. This funding will support the location or investigation of illicit activities through statewide collaboration related to the distribution of heroin, fentanyl, or carfentanil or the unlawful distribution of prescription opioids.
Through the COPS Anti-Methamphetamine Program (CAMP), the COPS Office is also awarding $12 million to 12 state law enforcement agencies. These state agencies have demonstrated numerous seizures of precursor chemicals, finished methamphetamine, laboratories, and laboratory dump seizures. State agencies are being awarded three years of funding through CAMP to support the location or investigation of illicit activities related to the manufacture and distribution of methamphetamine, including precursor diversion, laboratories, or methamphetamine trafficking.
The AHTF and CAMP funding has a tremendous impact on state investigative and seizure work. During the five-month period between October 2019 and February 2020, current AHTF grantees reported the seizure of over $4 million in cash and 1,213 firearms. Similarly, for CAMP, grantees reported seizures of more than $7 million in cash and 1,577 firearms.
The complete list of Anti-Heroin Task Force Program award recipients, including funding amounts, can be found here.
The complete list of COPS Anti-Methamphetamine Program award recipients, including funding amounts, can be found here.
The COPS Office is a federal agency responsible for advancing community policing nationwide. Since 1994, the COPS Office has invested more than $14 billion to advance community policing, including grants awarded to more than 13,000 state, local and tribal law enforcement agencies to fund the hiring and redeployment of approximately 135,000 officers and provide a variety of knowledge resource products including publications, training and technical assistance. For additional information about the COPS Office, please visit www.cops.usdoj.gov.
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Mid-State Securities Broker Charged with Stealing from Elderly ClientsRead the Press Release
NASHVILLE, Tenn – June 15, 2020 – A former Investments Vice President at Raymond James & Associates, Inc. (Raymond James), has been charged with stealing $933,500 from two elderly clients, announced U.S. Attorney Don Cochran for the Middle District of Tennessee.
A criminal Information charged Fredrick M. Stow, 65, of Franklin, Tennessee, with securities fraud, wire fraud, and aggravated identity theft. In a separate action, the U.S. Securities and Exchange Commission (SEC) on Friday filed a civil action against Stow, alleging violations of the antifraud provisions of the Securities Exchange Act of 1934.
“The conduct alleged here is detestable,” said U.S. Attorney Cochran. “Protecting our senior citizens from fraudsters like this is one of our highest priorities. Today marks the 15th annual World Elder Abuse Awareness Day and now more than ever, we remain steadfast in condemning elder abuse, neglect and exploitation and remain committed to preventing and prosecuting fraud on America’s seniors.”
According to the charging documents, beginning in 1982, Stow acted as the registered representative for three brokerage accounts owned by a client who was a retired airline pilot and WWII era veteran. Stow changed firms numerous times and the client elected to move his accounts with Stow each time, ultimately transferring his accounts to Raymond James when Stow joined the firm in 2013. Over time, Stow inserted himself into the personal and financial affairs of this client and in the later years of the client’s life, he frequently visited him at his home, where he lived alone but received full-time nursing care.
In October 2015, Stow began misappropriating funds from this client’s IRA account by forging wire transfer letters of authorization to permit transfers from the client’s IRA account to a SunTrust Bank account that Stow owned jointly with his wife. Stow also began selling securities in the client’s IRA account and transferring the proceeds to Stow’s own bank account.
At the time of this client’s death at the age of 98 in March 2018, Stow had made 74 unauthorized transfers and had stolen more than $900,000 from him. The charging documents also allege that within weeks of this client’s death, Stow stole $32,000 from another elderly brokerage customer, by transferring money from the customer’s brokerage account to another SunTrust bank account that Stow owned.
If convicted, Stow faces up to 20 years in prison and a fine of up to $5 million. The government also seeks a monetary judgment and the forfeiture of any property derived from the proceeds of the criminal conduct.
This case was investigated by the United States Secret Service and the SEC. Assistant U.S. Attorney Stephanie Toussaint is prosecuting the case.
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Tennessee Man Faces Federal Arson Charges in Connection to Metro Courthouse Fire During ProtestRead the Press Release
A criminal complaint issued today charged Wesley Somers, 25, of Hendersonville, Tennessee, with malicious destruction of property using fire or explosives.
“The Department of Justice will vindicate the First Amendment rights of all Americans to speak, assemble and seek a redress of grievances from their government,” said Assistant Attorney General for National Security John C. Demers. “We cannot tolerate, however, those who would take advantage of moments of real anguish to endanger the innocent and destroy their property.”
“We will always vigorously defend the right of every individual to assemble and protest,” said U.S. Attorney Don Cochran for the Middle District of Tennessee. “This is one of our most sacred liberties guaranteed by the First Amendment of our Constitution. We will also vigorously pursue those who choose to exploit such assemblies and use violence and intimidation in order to change the dynamics of an otherwise peaceful protest.”
The criminal complaint alleges that on the afternoon of May 30, 2020, protesters gathered in downtown Nashville following the death of George Floyd in Minneapolis, Minnesota. Later in the evening, a number of persons gathered in front of Nashville City Hall, also known as the Metro Courthouse, and using various tools, including crowbars and other objects, began smashing the windows of the premises and spraying graffiti on the Courthouse facade. One or more fires were also set inside of the Courthouse at this time.
Numerous video clips and photographs of the destruction at the Courthouse were posted on social media websites, on the websites for news outlets, and on other Internet sites. Somers is depicted in video clips and photographs from that evening, shirtless and wearing beige cargo shorts. In those clips and photographs, Somers—whose distinctive chest tattoos portraying the words “WILD CHILD” and “HARD 2 Love,” among others, are occasionally visible — is depicted attempting to smash windows of the Courthouse with a long object. One photograph in particular, depicted Somers holding an unknown accelerant, which had been set on fire, and placing the accelerant through the window of the Courthouse. Somers is also depicted in a video clip setting fire to an accelerant and placing it inside a window located on the exterior of the Courthouse.
Somers was identified by the Metropolitan Nashville Police Department – Specialized Investigation Division, after receiving numerous tips from citizens, and was arrested on state arson charges on May 31.
If convicted, Somers faces a mandatory minimum of five years and up to 20 years in prison.
Assistant Attorney General Demers and U.S. Attorney Cochran commended the actions of concerned citizens and the efforts of the law enforcement agencies and prosecutors who worked to quickly identify and bring these charges, including the Metropolitan Nashville Police Department; the FBI; the Bureau of Alcohol, Tobacco, Firearms & Explosives; Assistant U.S. Attorney Ben Schrader; and Trial Attorney Justin Sher of the Department’s Counterterrorism Section.
A criminal complaint is merely an accusation. The defendant is presumed innocent until proven guilty in a court of law.
Hendersonville Man Facing Federal Arson Charges in Connection to Metro Courthouse Fire During ProtestRead the Press Release
NASHVILLE, Tenn – June 3, 2020 – A criminal complaint issued today charged Wesley Somers, 25, of Hendersonville, Tennessee, with malicious destruction of property using fire or explosives, announced U.S. Attorney Don Cochran for the Middle District of Tennessee and Assistant Attorney General for National Security John C. Demers.
“We will always vigorously defend the right of every individual to assemble and protest,” said U.S. Attorney Cochran. “This is one of our most sacred liberties guaranteed by the First Amendment of our Constitution. We will also vigorously pursue those who choose to exploit such assemblies and use violence and intimidation in order to change the dynamics of an otherwise peaceful protest.”
“The Department of Justice will vindicate the First Amendment rights of all Americans to speak, assemble and seek a redress of grievances from their government,” said Assistant Attorney General for National Security John C. Demers. “We cannot tolerate, however, those who would take advantage of moments of real anguish to endanger the innocent and destroy their property.”
The criminal complaint alleges that on the afternoon of May 30, 2020, protesters gathered in downtown Nashville following the death of George Floyd in Minneapolis, Minnesota. Later in the evening, a number of persons gathered in front of the Nashville City Hall, also known as the Metro Courthouse. Using various tools, including crowbars and other objects, they began smashing the windows of the premises and spraying graffiti on the Courthouse facade. One or more fires were also set inside of the Courthouse at this time.
Numerous video clips and photographs of the destruction at the Courthouse were posted on social media websites, on the websites for news outlets, and on other Internet sites. Somers is depicted in video clips and photographs from that evening, shirtless and wearing beige cargo shorts. In those clips and photographs, Somers—whose distinctive chest tattoos portraying the words “WILD CHILD” and “HARD 2 Love,” among others, are occasionally visible—is depicted attempting to smash windows of the Courthouse with a long object. One photograph in particular, depicted Somers holding an unknown accelerant, which had been set on fire, and placing the accelerant through the window of the Courthouse.
Somers was identified by the Metropolitan Nashville Police Department – Specialized Investigation Division, after receiving numerous tips from citizens, and was arrested on state arson charges on May 31st.
If convicted, Somers faces a mandatory minimum of five years and up to 20 years in prison.
U.S. Attorney Cochran and Assistant Attorney General Demers commended the actions of concerned citizens and the efforts of the law enforcement agencies and prosecutors who worked to quickly identify and bring these charges, including the Metropolitan Nashville Police Department; the FBI; the Bureau of Alcohol, Tobacco, Firearms & Explosives; Assistant U.S. Attorney Ben Schrader; and Trial Attorney Justin Sher of the Department’s Counterterrorism Section.
A criminal complaint is merely an accusation. The defendant is presumed innocent until proven guilty in a court of law.
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Piggly Wiggly in Lafayette, Tennessee Settles Americans with Disabilities Act ComplaintRead the Press Release
NASHVILLE, Tenn –May 28, 2020 - A Piggly Wiggly grocery store in Lafayette, Tennessee and its proprietor have agreed to adopt written non-discrimination policies and to pay a monetary amount to a disabled woman to resolve allegations that they violated the Americans with Disabilities Act (ADA), announced Don Cochran, United States Attorney for the Middle District of Tennessee.
The settlement resolves allegations made by a disabled woman attempting to shop at her local Piggly Wiggly store. According to the complaint, the woman, with the assistance of her service animal, and her family, were shopping for groceries when the store’s proprietor ordered her out of the store. When the woman and her family attempted to explain her service animal’s protected status under the ADA, the proprietor called the police.
As a result of this investigation, Piggly Wiggly has adopted written ADA policies that require all employees to be trained regarding the rights of disabled individuals utilizing service animals. Piggly Wiggly is required to post its new policies so that they are accessible to the public and the store is subject to audit to ensure compliance with the settlement.
This case is a product of the United States Attorney’s Office’s continued commitment to protecting rights guaranteed under the ADA.
Assistant United States Attorney Dean S. Atyia handled this matter on behalf of the United States.
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Nashville Man Facing Federal Firearms Charge in Elaborate Detention Center PlotRead the Press Release
NASHVILLE, Tenn – May 26, 2020 – A Nashville man is facing a federal firearms charge after an elaborate scheme to hide caches of weapons inside the Davidson County Downtown Detention Center (DDC), announced U.S. Attorney Don Cochran for the Middle District of Tennessee.
An 11-page criminal complaint filed today, charged Alexander Friedmann, 51, with being a convicted felon in possession of a firearm. The complaint detailed allegations of an elaborate scheme carried out by Friedmann during which he hid a variety of weapons and accessories in the DDC while it was under construction.
According to the complaint, in late December 2019, while preparing for the January 2020 opening of the facility, Davidson County Sherriff’s Office (DCSO) employees discovered two keys missing from the facility’s key control room. A review of video surveillance footage revealed that an individual, dressed in clothing consistent with facility construction workers, had entered the room and taken two keys to secure areas of the facility. On January 4, 2020, the same individual, now identified as Friedmann, was located on the property. Friedmann was wearing a yellow reflective vest, a hard hat, protective gloves, and a dust mask covering his face. Friedmann told DCSO employees he was there working but it was determined that he was not employed by the construction company or any of its contractors. Friedmann was detained by the DCSO, and subsequently arrested by the Metropolitan Nashville Police Department. At the time of his arrest, Friedmann had a hand drawn schematic of a portion of the DDC, which he attempted to destroy by chewing up and swallowing.
A subsequent review of historical surveillance footage determined that beginning in August 2019, an individual dressed as a construction worker and alleged to be Friedmann, entered the facility on at least 10 occasions, sometimes accompanied by an accomplice who acted as a lookout. The individual was observed on video on several occasions removing material from the expansion joints in block walls and caulk from window areas, after which he placed items inside and covered the joints with another material. On other occasions, he was observed checking different parts of the facility and making notes. Based on the video evidence, a search of the identified areas of the facility was conducted on February 10, 2020 and investigators recovered three handguns, ammunition, handcuff keys, razor blades and other items.
Subsequent investigation determined that Friedmann owned a condominium in a complex in Nashville and contracted an individual to build a 200 square foot fire-proof storage area in a basement area of one of the buildings. This storage area was constructed out of concrete block. When law enforcement executed a search warrant at this location on March 13, 2020, it appeared that this room was used as a practice facility. Investigators noticed several inconsistencies in the mortar joints of the block walls, similar to what had been discovered earlier at the DDC. It was also determined that Friedmann had recently moved several locked storage crates from the room to a friend’s house on Whites Creek Pike in Joelton, Tennessee.
On March 20, 2020, a search warrant was executed at the Joelton location and investigators recovered several crates, which contained 21 firearms, including assault rifles, handguns, shotguns and a 37mm launcher.
Friedmann has been convicted of prior felonies, including armed robbery; assault with intent to commit first degree murder; and attempted aggravated robbery. If convicted, he faces up to 10 years in prison on the current charge.
This case was investigated by the FBI; the Bureau of Alcohol, Tobacco, Firearms & explosives; the Metropolitan Nashville Police Department and the Davidson County Sheriff’s Office. Assistant U.S. Attorney Rob McGuire is prosecuting the case.
A criminal complaint is merely an accusation. The defendant is presumed innocent until proven guilty in a court of law.
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Franklin, Tennessee-Based Rinova Settles Allegations of Fraudulent Operations of Former Pain MD ClinicsRead the Press Release
NASHVILLE, Tenn. – May 20, 2020 – Franklin, Tennessee-based Rinova The Wellness Group, PC has settled the United States’ allegations that Medicare overpaid Rinova for claims that were non-payable due to fraudulent misrepresentations, announced U.S. Attorney Don Cochran for the Middle District of Tennessee. The government alleged that Rinova misrepresented that it had provided services, when they were actually a continuation of services by the suspended company Pain MD, LLC.
In 2019, Rinova, led by former Pain MD physician Ben Johnson, acquired certain Tennessee assets of Pain MD clinics and leased other Virginia assets of Pain MD clinics. At the time, Medicare contractors had suspended all payments to Pain MD, based on credible allegations of fraud. Rinova obtained new Medicare payment numbers, which according to the United States, amounted to an attempt to evade the Medicare payment suspension of Pain MD, so that Rinova could improperly obtain Medicare reimbursements while operating Pain MD’s Tennessee and Virginia pain clinics using the same Pain MD employees, clinics, locations, and patients.
The Medicare contractor suspended payments to Rinova in June 2019 and revoked Rinova’s billing privileges in September 2019. Rinova has now ceased its operations and no longer operates any pain clinics in Tennessee or elsewhere.
The settlement resolves the government’s claims that it overpaid Rinova for all of its services. Under the settlement agreement, Rinova waived its claim to $379,961 in suspended Medicare payments, forfeited $49,112, and paid an additional $53,151. The settlement has a total value of $482,224.
The matter was handled by the United States Attorney’s Office for the Middle District of Tennessee and investigated by the Tennessee Bureau of Investigation Medicaid Fraud Control Unit (TBI MFCU) and the Department of Health and Human Services, Office of Inspector General (HHS-OIG). Assistant U.S. Attorney Ellen Bowden McIntyre represented the United States.
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Former Healthcare President Pleads Guilty to Embezzling over $763,000 and Tax EvasionRead the Press Release
NASHVILLE, Tenn. – May 5, 2020 – Robert R. Burton, 50, of Madisonville, Louisiana, pleaded guilty yesterday in U.S. District Court to embezzling $763,887 from Omnis Health Inc. (“Omnis”) and tax evasion, announced U.S. Attorney Don Cochran for the Middle District of Tennessee. Burton was charged in an Information in February with wire fraud and tax evasion related to his embezzlement scheme.
According to court documents, between July 2013 and May 2017, Burton was the president of Nashville-based Omnis, which sold diabetic testing kits. Burton entered into a plea agreement, in which he admitted that from December 2013 through January 2017, he embezzled approximately $763,887 from Omnis by submitting false and fraudulent reimbursement requests to the controller of Omnis, claiming that he had purchased supplies and incurred travel expenses which he had not. To justify his reimbursement requests, Burton fabricated receipts to include with his fraudulent reimbursement requests.
To accomplish a large portion of his scheme, Burton submitted reimbursement requests for diabetic testing products, falsely claiming he had purchased those products. Burton claimed that he was using personal funds to purchase “grey market” diabetic testing supplies on the open market; that he was purchasing the supplies so Omnis could conduct research; that he was purchasing lower-priced “bootleg” diabetic testing supplies to take them off the market; and that he was sending the products to Omnis’s parent company for testing. Burton never actually purchased the supplies, but instead he visited multiple online vendors, such as Amazon or Diabetessupplies4less.com, placed the products in his online shopping cart, printed the computer screens displaying his shopping cart as the “receipt,” and then attached those “receipts” to his reimbursement requests. Burton also fabricated credit card transaction receipts falsely showing he had purchased the products, and attached those fabricated receipts with his reimbursement requests. Burton was reimbursed at least $484,328 for supplies that he never purchased.
Burton also admitted that he frequently submitted false travel expense reimbursements and travel advances, claiming that he traveled for business to meet with suppliers, customers, and individuals from the corporate office, and to attend conferences. In fact, Burton did not take the majority of the flights for which he was reimbursed approximately $203,747.83. Similar to how he falsified his expense reports for diabetic testing supplies, Burton would visit an airline’s website, print an itinerary that displayed a cost for the flight, and submit that as the receipt without ever purchasing the flights. In addition to the airline reimbursements, Burton falsely claimed that he had attended conferences and fabricated credit card transaction receipts of at least $102,056.
In an effort to further conceal the fraud, rather than depositing the reimbursement checks into his bank accounts, Burton cashed them at a bank or a check cashing business and either spent the cash or deposited it onto prepaid debit cards. Burton often used the funds for gambling.
Burton also failed to report the embezzled funds on his personal tax returns for tax years 2014 through 2016 and failed to timely file his 2017 personal tax return. In addition, he provided false income information to his tax return preparer by omitting the embezzled income. The total loss to the IRS for tax years 2014 through 2017 is $295,129.
Burton faces up to 20 years in prison on the charge of wire fraud and up to five years in prison on the charge of tax evasion, and a fine of up to $250,000 on each count when he is sentenced on August 28, 2020. This case was investigated by the IRS-Criminal Investigation and is being prosecuted by Assistant U.S. Attorney Kathryn Booth.
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U.S. Attorney and Law Enforcement Partners Devote Significant Resources to Protect SeniorsRead the Press Release
NASHVILLE, Tenn. – U.S. Attorney Don Cochran has implemented an “all hands on deck” approach to better protect and serve senior citizens, as events such as the current COVID-19 pandemic and recent tornado destruction bring an infinite number of opportunities for fraudsters to prey upon those most vulnerable.
The Middle Tennessee Elder Justice Task Force has been actively engaged in efforts to:
- Pursue nursing homes, home health companies, skilled nursing facilities, medical providers, and other businesses that provide grossly substandard care or exploit programs that provide healthcare to seniors, such as Medicare, TennCare, and TRICARE;
- Investigate and prosecute financial scams targeting or disproportionately impacting seniors;
- Promote greater coordination with state and local partners to combat elder abuse;
- Provide public outreach, education, and awareness relating to elder abuse; and
- Provide training and resources to law enforcement to identify and respond to elder abuse.
Formed in 2016, the Middle Tennessee Elder Justice Task Force includes representatives from, among others, the FBI; the U.S. Department of Health and Human Services – Office of Inspector General; the IRS-Criminal Investigation; the Tennessee Bureau of Investigation; the Tennessee Commission on Aging and Disability; the Tennessee Department of Health; the Tennessee Attorney General’s Office; the Tennessee Department of Human Services - Adult Protective Services; and the Tennessee Commission on Aging and Disability.
Last month, Attorney General William P. Barr also announced the launch of the Department of Justice’s National Nursing Home Initiative to coordinate and enhance civil and criminal efforts to pursue nursing homes that provide grossly substandard care to their residents.
This initiative is focusing on some of the worst nursing homes around the country and the Department already has initiated investigations into approximately thirty individual nursing facilities in nine states as part of this effort.
The National Nursing Home Initiative reflects the Justice Department’s larger strategy and commitment to protecting our nation’s seniors, coordinated by the department’s Elder Justice Initiative in conjunction with the U.S. Attorneys’ Offices. The Elder Justice Initiative and the U.S. Attorneys’ Offices are essential to the Department’s investigative and enforcement efforts against nursing homes and other long-term care entities that deliver grossly substandard care to Medicare, TRICARE, and Medicaid beneficiaries. The Initiative and the U.S. Attorneys’ Offices also support the efforts of state and local prosecutors, law enforcement, and other elder justice professionals to combat elder abuse, neglect and financial exploitation, with the development of training, resources, and information. Learn more about the Justice Department’s Elder Justice and National Nursing Home Initiatives at http://www.justice.gov/elderjustice/.
In addition, last month, in response to Deputy Attorney General Jeffrey Rosen’s directive, U.S. Attorney Cochran appointed a Coronavirus Fraud Coordinator to serve as the legal counsel for the federal judicial district on matters relating to Coronavirus and disaster fraud, to direct the prosecution of Coronavirus-related crimes, and to conduct outreach and awareness activities. Concerned citizens can report Coronavirus or disaster fraud to [email protected], and fraud related to other government programs, including federally-funded healthcare programs to [email protected]. For a brochure containing awareness/prevention and reporting information on Coronavirus fraud click here.
For more information on Department of Justice resources and information, please visit www.justice.gov/coronavirus.
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Clarksville Restaurant Owners Facing Federal Alien Harboring and Tax Fraud ChargesRead the Press Release
NASHVILLE, Tenn. – April 23, 2020 – A federal indictment was unsealed today charging the owners of the New China Buffett and Grill (NCBG) in Clarksville, Tennessee, with conspiracy and tax fraud charges relating to the employment of undocumented workers from China and Guatemala, announced U.S. Attorney Don Cochran for the Middle District of Tennessee.
Quanwei Shi and Chongqiang Chen, both 29, of Clarksville, were indicted last month and charged with conspiracy to harbor illegal aliens; harboring illegal aliens; money laundering; income tax fraud; and employment tax fraud. Shi was arrested at his home in Clarksville on March 17 and Chen surrendered to U.S. Marshals earlier today in the Eastern District of New York.
According to the indictment, between 2017 and April 2019, Shi and Chen, as the owners of the NCBG in Clarksville, conspired to conceal and harbor illegal aliens from China and Guatemala, profiting from their employment at NCBG. The undocumented workers were not required to complete any forms related to immigration status and were paid in cash, outside the regular payroll system. In addition, the indictment alleges that the undocumented workers lived with Shi and Chen at their residence; were transported to NCBG and back daily; and were assigned to work in the kitchen where they would not be able to interact with the patrons of the restaurant.
The indictment further alleges that Shi evaded payroll taxes by failing to withhold $175,455.00 from the undocumented workers’ payments. These income and FICA taxes were not paid over to the IRS as required, but instead were used for commercial advantage and private financial gain. Additionally, the indictment alleges that Shi signed and caused false forms to be filed with the IRS that under reported NCBG gross receipts for tax years 2017and 2018.
The indictment also contains a forfeiture allegation against real property located at 403 D Street in Clarksville and vehicles and bank accounts used in furtherance of the conspiracy.
If convicted, the defendants face up to 20 years in prison and a $500,000 fine.
This case was investigated by the U.S. Department of Homeland Security Investigations; the IRS-Criminal Investigation; the Diplomatic Security Service of the U.S. Department of State; the Tennessee Bureau of Investigation; the Tennessee Bureau of Workers Compensation; the Clarksville Police Department; and the Montgomery County Sheriff’s Office. Assistant U.S. Attorneys Sara Beth Myers and Robert Levine are prosecuting the case.
An indictment is merely an accusation. The defendants are presumed innocent until proven guilty in a court of law.
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Mount Juliet Man Facing Child Pornography ChargesRead the Press Release
NASHVILLE, Tenn. – Caleb D. Jordan, 19, of Mount Juliet, Tennessee, was charged Saturday with attempted production of child pornography and transportation of child pornography, announced U.S. Attorney Don Cochran for the Middle District of Tennessee. Jordan was arrested by federal and state law enforcement agents after a foot pursuit which began when agents arrived at his home with a federal arrest warrant.
“The U.S. Attorney’s Office and our law enforcement partners are working hard every day to combat the epidemic of online child exploitation,” said U.S. Attorney Cochran. “With the COVID-19 pandemic and summer approaching, our children have amplified opportunity to be online and sexual predators are keenly aware of that. We implore parents to pay attention and take precautions to ensure children practice safe Internet habits.”
According to documents filed with the Court, between October 2019 and April 2020, Jordan used Instagram and other platforms to post photos and videos depicting sexual acts between minor boys and to entice minors to send sexually explicit photos and videos to him. Jordan was a member of an online group that was dedicated to child pornography depicting pre-pubescent boys and he gave money and gift cards to solicit sexually explicit videos from minor boys.
Investigative developments last week indicated that Jordan’s online activity involved the active and ongoing solicitation of minors. The early stages of this investigation has determined that there are at least 11 minor boys associated with this case who have been identified as victims or potential victims, some of whom have not yet been identified. In addition to local victims, others are believed to be located in other states, including Pennsylvania.
A preliminary examination of some of the devices that Jordan possessed revealed that he was in possession of thousands of images and videos of child pornography.
Anyone with information about Caleb D. Jordan or the charged offenses is urged to contact law enforcement. To report suspicious activity or instances of child sexual exploitation, tips can be submitted to Homeland Security Investigations online at https://www.ice.gov/tipline, by phone at 866-DHS-2-ICE or by contacting your local HSI office. The Nashville office of HSI may be contacted at (615) 664-5500.
If convicted, Jordan faces up to 50 years in prison.
The charge is merely an accusation. The defendant is presumed innocent until proven guilty in a court of law.
This case is being investigated by the Homeland Security Investigations; the FBI; the Tennessee Bureau of Investigation; and the Wilson County Sheriff’s Office. The case is being prosecuted by Assistant U.S. Attorneys S. Carran Daughtrey and Trial Attorney Kyle P. Reynolds of the Child Exploitation and Obscenity Section in the Department of Justice’s Criminal Division.
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Department of Justice Commemorates National Crime Victims Rights WeekRead the Press Release
NASHVILLE, Tenn – The Department of Justice will join communities nationwide in observing National Crime Victims’ Rights Week, celebrating victims’ rights, protections and services throughout the week. This year’s observance takes place April 19-25 and features the theme, “Seek Justice | Ensure Victims' Rights | Inspire Hope.”
“Every year, millions of Americans suffer the shock and trauma of criminal victimization, affecting their well-being and sense of security and dignity,” said Attorney General William P. Barr. “To these victims, we affirm our unwavering commitment to supporting them in their hour of need. We also commend the thousands of victim advocates and public safety professionals who labor tirelessly to secure victims’ rights and support survivors.”
“Simply put, crime victims deserve the best we can offer,” said U.S. Attorney Don Cochran. “They are the reason we come to work each day – to advocate on their behalf and to take the appropriate action to reduce the number of innocent people who would fall prey to criminals who have no regard for human suffering.”
“While we have made tremendous progress driving down crime and violence across the country, far too many Americans continue to suffer the pain and loss of criminal victimization,” said Katharine T. Sullivan, Principal Deputy Assistant Attorney General of the Office of Justice Programs. “This week, we stand by these survivors and their families, and we pledge our ongoing support to the countless men and women who serve them with such extraordinary skill and compassion.”
Ronald Reagan proclaimed the first Victims’ Rights Week in 1981, putting crime victims' rights, needs, and concerns in a prominent spot on the American agenda. He also established the President's Task Force on Victims of Crime, which laid the groundwork for a national network of services and legal safeguards for crime victims. President Trump and his administration have implemented historic levels of support for victim assistance and victim compensation.
Some 3.3 million Americans age 12 and older were victims of violent crime in 2018, according to the National Crime Victimization Survey. The Office for Victims of Crime (OVC), part of the Justice Department’s Office of Justice Programs, supports more than 7,000 local victim assistance programs and victim compensation programs in every state and U.S. territory. Funds for these programs come from the Crime Victims Fund, which is made up of federal criminal fines, penalties and bond forfeitures.
During National Crime Victims’ Rights Week, victim advocacy organizations, community groups and state, local and tribal agencies traditionally host rallies, candlelight vigils, and other events to raise awareness of victims’ rights and services. This year, many communities are organizing virtual gatherings and online public awareness campaigns.
This year’s commemoration began yesterday, 25 years to the day when a truck bomb exploded in front of the Alfred P. Murrah Federal Building in Oklahoma City, Oklahoma, taking the lives of 168 people, including 19 children, as well as injuring hundreds of others. The mass murder remains the worst act of domestic terrorism in our nation’s history and led to the establishment of the Antiterrorism Emergency Reserve, which is administered by OVC, and has been used to provide direct services to hundreds of victims of mass violence and terrorism.
“Crime victims deserve to know that they have the encouragement and support of the American people,” said OVC Director Jessica E. Hart. “I hope that citizens throughout the nation will take the opportunity this week to remember all victims of crime and their heroic stories of survival. I encourage everyone to also find meaningful ways to express their appreciation to the many committed and compassionate service providers across the country who work tirelessly supporting these survivors.”
This year, the annual National Crime Victims’ Service Awards Ceremony will be postponed until a time when we can honor this year’s award recipients in person. During the ceremony, OVC will present awards recognizing individuals and organizations from across the nation for their outstanding service on behalf of crime victims. The awardees will be selected from public nominations in 11 categories, including federal service, special courage, public policy, and victim services. Visit www.ovc.gov/gallery to learn more about past recipients.
For more information on how to create your own public campaigns to raise awareness about crime victims’ rights online and at events throughout the year, please visit: https://ovc.ncjrs.gov/ncvrw2020/overview.html.
The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
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Maury Regional Medical Center to Pay More Than $1.7 Million to Settle False Claims Act AllegationsRead the Press Release
NASHVILLE, Tenn. – April 14, 2020 – Maury Regional Hospital, d/b/a Maury Regional Medical Center, has agreed to pay $1,702,903 to settle False Claims Act allegations, announced U.S. Attorney Don Cochran for the Middle District of Tennessee.
Maury Regional submitted a voluntary self-disclosure to the U.S Attorney’s Office and to the Office of Inspector General for the Department of Health and Human Services, which was prompted after an internal investigation concluded that there was aberrant billing for certain inpatient services. Specifically, Maury Regional concluded that certain diagnosis-related groups (“DRGs”) with complications or comorbidities (“CCs”) or major complications or comorbidities (“MCCs”) - specifically stroke, respiratory infection, simple pneumonia, and septicemia - may not have been reasonable, allowable, or documented in accordance with Medicare Part A requirements.
Based upon the results of Maury Regional’s investigation, the United States concluded that Maury Regional submitted claims and received payment for certain DRGs with CCs or MCCs, as described above, which were not supported by the medical records. The time period covered under this settlement agreement spans from April 1, 2013 through March 31, 2019. Maury Regional previously engaged in voluntary self-disclosures in 2012 and 2013.
“Maury Regional is again to be commended for its transparency and diligence in handling the disclosure of these aberrant billing issues,” said U.S. Attorney Cochran. “As in the past, Maury Regional swiftly implemented a protocol to address the problem going forward and developed a plan to determine the scope of the issues to be remedied, with which we agreed. It worked closely and quickly with us to bring this matter to a satisfactory resolution, even in the midst of the challenges it is facing in light of the novel coronavirus pandemic It is particularly important for this office to be able to work together with our rural hospitals at this time, and we will continue our efforts to maintain the integrity of the federal health care programs, while meeting the needs of communities throughout the Middle District of Tennessee.”
“Effective compliance programs demonstrate an institution’s good faith effort to comply with Medicare rules and regulations,” said Derrick L. Jackson, Special Agent in Charge at the U.S. Department of Health and Human Services, Office of Inspector General in Atlanta. “We welcome an opportunity to work with hospitals and other health care providers to protect taxpayer dollars and ensure this money is properly spent to improve the health of all Americans.”
The United States encourages all health care providers to self-disclose any known violations that have resulted in the submission of improper claims to federal health care programs.
The case was investigated by the United States Attorney’s Office for the Middle District of Tennessee and the Department of Health and Human Services, Office of Inspector General (HHS-OIG). Assistant U.S. Attorney Kara F. Sweet represented the United States.
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U.S. Attorney and FBI Urge the Public to Report Suspected Fraud Related to Tornado Destruction and COVID-19Read the Press Release
NASHVILLE, Tenn. – March 23, 2020 – U.S. Attorney Don Cochran and FBI Special Agent in Charge M.A. Myers today urged the public to report suspected fraud schemes related to COVID-19 (the Coronavirus) and to the recent tornado destruction, by calling the National Center for Disaster Fraud (NCDF) hotline (1-866-720-5721) or to the NCDF e-mail address [email protected].
In coordination with the Department of Justice, Attorney General William Barr has directed U.S. Attorneys to prioritize the investigation and prosecution of Coronavirus fraud schemes. The NCDF Hotline can receive and enter complaints into a centralized system that can be accessed by all U.S. Attorneys, as well as Justice Department litigating and law enforcement components to identify, investigate and prosecute fraud schemes.
“Communities in middle Tennessee have experienced a double-punch with the recent devastating tornadoes and now the escalation of the Coronavirus,” said U.S. Attorney Cochran. “Sadly, these unfortunate scenarios present opportunities for low-life fraudsters to prey upon those who are struggling to get through a single day with hopes of returning to a normal life. We will not allow our current circumstances to become an open door for those who would take advantage of a temporary plight of humanity. Forty-two dedicated federal prosecutors in our office, along with our law enforcement partners, are on duty and eagerly awaiting the opportunity to bring anyone to justice who would attempt to exploit those who find themselves in extreme need during one of the most vulnerable times in our nation’s history.”
Some examples of these schemes include:
- Individuals and businesses selling fake cures for COVID-19 online and engaging in other forms of fraud.
- Phishing emails from entities posing as the World Health Organization or the Centers for Disease Control and Prevention.
- Malicious websites and apps that appear to share Coronavirus and disaster-related information to gain and lock access to your devices until payment is received.
- Seeking donations fraudulently for illegitimate or non-existent charitable organizations.
- Medical providers obtaining patient information for COVID-19 testing and then using that information to fraudulently bill for other tests and procedures.
M.A. Myers, Special Agent in Charge of the Memphis Division of the Federal Bureau of Investigation is reminding the American public to continue exercising smart cyber hygiene in this uncertain time. Be aware that cyber criminals may exploit concerns surrounding COVID-19 to perpetuate scams designed to steal your money. By remembering these four tips, you can protect yourself and help stop this criminal activity: (1) do not open attachments or click links within emails from senders you don't recognize; (2) always verify the information being shared originates from a legitimate source; (3) do not provide your logins, financial data or other personal information in response to an email; and (4) visit websites by manually inputting their domains to your browser. If you believe you are the victim of an internet scam or want to report suspicious activity, please visit the FBI's Internet Crime Complaint Center at www.ic3.gov.
In a memorandum to U.S. Attorneys issued March 19, Deputy Attorney General Jeffrey Rosen also directed each U.S. Attorney to appoint a Coronavirus Fraud Coordinator to serve as the legal counsel for the federal judicial district on matters relating to the Coronavirus, direct the prosecution of Coronavirus-related crimes, and to conduct outreach and awareness activities. Assistant U.S. Attorney Stephanie Toussaint is the Coronavirus and Disaster Fraud Coordinator for middle Tennessee.
he NCDF can receive and enter complaints into a centralized system that can be accessed by all U.S. Attorneys, as well as Justice Department litigating and law enforcement components to identify, investigate and prosecute fraud schemes. The NCDF coordinates complaints with 16 additional federal law enforcement agencies, as well as state Attorneys General and local authorities.
To find more about Department of Justice resources and information, please visit www.justice.gov/coronavirus.
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Two Illegal Aliens Sentenced to Federal Prison for Firearms ViolationsRead the Press Release
NASHVILLE, Tenn. – March 16, 2020 – Two illegal aliens have each been sentenced to 10 years in federal prison for possession of firearms in furtherance of drug trafficking crimes, announced U.S. Attorney Don Cochran for the Middle District of Tennessee. Brian Paredes, 22, of San Pedro Sula, Honduras, was sentenced Friday and Jose Calderon, 20, of Jalisco, Mexico, was sentenced in December, by U.S. District Judge Eli J. Richardson. Both will be removed from the United States at the conclusion of their sentence.
Paredes and Calderon were indicted in May 2019 on firearms and drug distribution charges after an investigation, which began in June 2018.
According to court records, on July 28, 2018, agents were conducting an investigation into illegal drug trafficking at a bar on Murfreesboro Pike in Nashville. At approximately 3:00 a.m., agents saw Paredes exit the bar and get into the back seat of a vehicle, which left at a high rate of speed. Agents followed the car to an apartment complex on Glengarry Drive and watched as the vehicle backed into a parking space and turned off the lights. As agents approached, the vehicle made an evasive maneuver and vaulted from a concrete ledge to escape. Though the vehicle was damaged, it continued erratically on Murfreesboro Pike without lights, until stopping at an apartment complex on West End Avenue. The occupants then fled on foot. Paredes was found hiding under a parked car a short distance away and was taken into custody by the Metropolitan Nashville Police Department (MNPD). Agents later determined that the car belonged to Paredes and recovered from it a Ruger AR-15 rifle, two loaded handguns, 22 bags of cocaine, and numerous bags of marijuana packaged for resale. Paredes was released on bond and the following week, he and Calderon were arrested by MNPD for possessing 27 bags of cocaine and another loaded .45-caliber handgun.
Both pleaded guilty in August 2019 to two counts of possessing firearms during and in relation to a drug trafficking crime.
This case was investigated by the Drug Enforcement Administration; the Bureau of Alcohol, Tobacco, Firearms & Explosives; the Department of Homeland Security Investigations-Immigration & Customs Enforcement; and the Metropolitan Nashville Police Department. The case was prosecuted by Assistant U.S. Attorney Ahmed A. Safeeullah and Trial Attorneys Matthew Hoff and Kristen Taylor with the Organized Crime and Gang Section of the Department of Justice.
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Diversicare Health Services, Inc. Agrees to Pay $9.5 Million to Resolve False Claims Act AllegationsRead the Press Release
NASHVILLE, Tenn. – February 28, 2020 - Diversicare Health Services, Inc., has agreed to pay $9.5 million to resolve allegations that it violated the False Claims Act by knowingly submitting false claims to Medicare for rehabilitation therapy services that were not reasonable, necessary, or skilled, the Department of Justice announced today. The settlement also resolves allegations that Diversicare submitted forged pre-admission evaluations of patient need for skilled nursing services to TennCare, the state of Tennessee’s Medicaid Program. Diversicare, based in Brentwood, Tennessee, provides skilled nursing and rehabilitation services at approximately 74 facilities across the country.
“Families expect that their loved ones will receive the necessary care to improve their health and quality of life when they entrust them to a facility for care,” said U.S. Attorney Don Cochran. “Companies who engage in a practice of cheating and exploiting public healthcare programs, while subjecting patients to unreasonable and unnecessary treatments in order to increase their profits, will pay a substantial penalty.”
“Today’s settlement demonstrates our commitment to protect patients by ensuring that the care provided to Medicare and Medicaid beneficiaries is dictated by their clinical needs and not by their providers’ financial interests,” said Assistant Attorney General Jody Hunt of the Department of Justice’s Civil Division. “Nursing home facilities must be held to account when they provide patients with unnecessary services that may adversely impact their well-being and waste taxpayer dollars.”
The government alleged that from January 1, 2010 through December 31, 2015, Diversicare’s corporate policies and practices were designed to place as many beneficiaries in the highest level of Medicare reimbursement—Ultra High—irrespective of the individual clinical needs of the patients. These profit-driven policies and practices resulted in the provision of unreasonable, unnecessary, and unskilled therapy to many beneficiaries in Diversicare’s skilled nursing facilities. The government alleged that Diversicare submitted claims for Ultra High therapy levels despite evidence that (1) the frequency and duration of physical or occupational therapy were not reasonable or necessary for the patient, (2) the intensity of the physical or occupational therapy was inappropriate for the patient and not reasonable or necessary, (3) services did not require the skills of a therapist to perform them, and (4) speech therapy was medically unnecessary. This included specific instances of improper co-treatment in order to achieve minute thresholds, repetitive and unskilled exercises that did not match plan of care goals to obtain additional minutes, engaging patients in activities contraindicated by underlying medical conditions, inflating Activities of Daily Living (ADL) scores and extending patient lengths of stay beyond what was medically indicated, billing for services that were not provided, using budgets, goals, and quotas to ensure Ultra High therapy was maximized, and threatening or undertaking adverse actions against employees if they failed to meet the budgets, goals, or quotas.
The government also alleged that Diversicare submitted forged, photocopied, or pre-signed physician signatures on pre-admission evaluation certifications required in the submission of claims to TennCare for nursing facility services rendered to TennCare beneficiaries at its associated Tennessee skilled nursing and rehabilitation facilities. TennCare is Tennessee’s Medicaid program jointly funded by the state of Tennessee and the federal government.
As part of the settlement, Diversicare entered into a five-year Corporate Integrity Agreement (CIA) with the HHS-OIG requiring, among other things, the implementation of a risk assessment and internal review process designed to identify and address evolving compliance risks. The CIA requires training, auditing, and monitoring designed to address the conduct at issue in the case.
“This settlement sends a strong message to nursing home chains that provide medically unnecessary therapy services, as alleged in this case,” said Derrick L. Jackson, Special Agent in Charge at the U.S. Department of Health and Human Services, Office of Inspector General in Atlanta. “We will aggressively investigate providers who waste taxpayer dollars and work to recover any money that has been overpaid.”
“We’re committed to playing a part in protecting the tax dollars used to support our most vulnerable residents,” said TBI Director David Rausch. “When companies take advantage of the Medicaid system, we all lose. We’re gratified by this settlement and hope it sends another strong message that, together, we will continue to pursue and prosecute those who profit in illegal ways.”
The settlement resolves allegations originally brought in lawsuits filed under the qui tam, or whistleblower, provisions of the False Claims Act by former Diversicare employees. The act permits private parties to sue on behalf of the government for false claims for government funds and to receive a share of any recovery. The whistleblower reward in this case will be approximately $1.5 million.
The settlement was the result of a coordinated effort by the United States Attorney’s Office for the Middle District of Tennessee and the Civil Division of the Department of Justice; the Office of Inspector General of the Department of Health and Human Services;, the Tennessee Attorney General’s Office; and the Tennessee Bureau of Investigation. The United States is represented by Assistant U.S. Attorney Sarah K. Bogni and Trial Attorney Yolanda Campbell.
The two qui tam cases are captioned as United States ex rel. Haggard v. Diversicare Mgmt. Services, Co. et al., 3:12-cv-00669 (M.D. Tenn) and United States ex rel. Fitzmorris v. Diversicare Health Services, Inc., No. 3:16-cv-03037 (M.D. Tenn). The claims resolved by the settlement are allegations only; there has been no determination of liability.
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Diversicare Health Services Inc. Agrees to Pay $9.5 Million to Resolve False Claims Act Allegations Relating to the Provision of Medically Unnecessary Rehabilitation Therapy ServicesRead the Press Release
Diversicare Health Services Inc., has agreed to pay $9.5 million to resolve allegations that it violated the False Claims Act by knowingly submitting false claims to Medicare for rehabilitation therapy services that were not reasonable, necessary, or skilled, the Department of Justice announced today.
The settlement also resolves allegations that Diversicare submitted forged pre-admission evaluations of patient need for skilled nursing services to TennCare, the state of Tennessee’s Medicaid Program. Diversicare, based in Brentwood, Tennessee, provides skilled nursing and rehabilitation services at approximately 74 facilities across the country.
“Today’s settlement demonstrates our commitment to protect patients and taxpayers by ensuring that the care provided to Medicare and Medicaid beneficiaries is dictated by their clinical needs and not by their providers’ financial interests,” said Assistant Attorney General Jody Hunt of the Department of Justice’s Civil Division. “Nursing home facilities provide important services to our vulnerable elderly population, and those facilities must be held to account when they provide patients with unnecessary services that may adversely impact their well-being and waste taxpayer dollars.”
“Families expect that their loved ones will receive the necessary care to improve their health and quality of life when they entrust them to a facility for care,” said U.S. Attorney Don Cochran for the Middle District of Tennessee. “Companies who engage in a practice of cheating and exploiting public healthcare programs, while subjecting patients to unreasonable and unnecessary treatments in order to increase their profits, will pay a substantial penalty.”
The government alleged that from Jan. 1, 2010, through Dec. 31, 2015, Diversicare’s corporate policies and practices were designed to place as many beneficiaries in the highest level of Medicare reimbursement — Ultra High — irrespective of the individual clinical needs of the patients. These profit-driven policies and practices resulted in the provision of unreasonable, unnecessary, and unskilled therapy to many beneficiaries in Diversicare’s skilled nursing facilities. The government alleged that Diversicare submitted claims for Ultra High therapy levels despite evidence that (1) the frequency and duration of physical or occupational therapy were not reasonable or necessary for the patient, (2) the intensity of the physical or occupational therapy was inappropriate for the patient and not reasonable or necessary, (3) services did not require the skills of a therapist to perform them, and (4) speech therapy was medically unnecessary. This included specific instances of improper co-treatment in order to achieve minute thresholds, repetitive and unskilled exercises that did not match plan of care goals to obtain additional minutes, engaging patients in activities contraindicated by underlying medical conditions, inflating ADL scores, extending patient lengths of stay beyond what was medically indicated, billing for services that were not provided, using budgets, goals, and quotas to ensure Ultra High therapy was maximized, and threatening or undertaking adverse actions against employees if they failed to meet the budgets, goals, or quotas.
The government also alleged that Diversicare submitted forged, photocopied, or pre-signed physician signatures on pre-admission evaluation certifications required in the submission of claims to TennCare for nursing facility services rendered to TennCare beneficiaries at its associated Tennessee skilled nursing and rehabilitation facilities. TennCare is Tennessee’s Medicaid program jointly funded by the state of Tennessee and the federal government.
As part of the settlement, Diversicare entered into a five-year Corporate Integrity Agreement (CIA) with the HHS-OIG requiring, among other things, the implementation of a risk assessment and internal review process designed to identify and address evolving compliance risks. The CIA requires training, auditing, and monitoring designed to address the conduct at issue in the case.
“This settlement sends a strong message to nursing home chains that provide medically unnecessary therapy services, as alleged in this case,” said Derrick L. Jackson, Special Agent in Charge at the U.S. Department of Health and Human Services, Office of Inspector General in Atlanta. “We will aggressively investigate providers who waste taxpayer dollars and work to recover any money that has been overpaid.”
“We’re committed to playing a part in protecting the tax dollars used to support our most vulnerable residents,” said Tennessee Bureau of Investigation Director David Rausch. “When companies take advantage of the Medicaid system, we all lose. We’re gratified by this settlement and hope it sends another strong message that, together, we will continue to pursue and prosecute those who profit in illegal ways.”
The settlement, which was based on the company’s ability to pay, resolves allegations originally brought in lawsuits filed under the qui tam, or whistleblower, provisions of the False Claims Act by Mary Haggard and Bryant Fitzmorris, former Diversicare employees. The act permits private parties to sue on behalf of the government for false claims for government funds and to receive a share of any recovery. Ms. Haggard will receive approximately $1.4 million and Mr. Fitzmorris will receive approximately $145,350.
The settlement was the result of a coordinated effort by the Civil Division of the Department of Justice, the U.S. Attorney’s Office for the Middle District of Tennessee, the Office of Inspector General of the Department of Health and Human Services, and the Tennessee Bureau of Investigation.
The two qui tam cases are captioned United States ex rel. Haggard v. Diversicare Mgmt. Services, Co. et al., 3:12-cv-00669 (M.D. Tenn) and United States ex rel. Fitzmorris v. Diversicare Health Services, Inc., No. 3:16-cv-03037 (M.D. Tenn). The claims resolved by the settlement are allegations only; there has been no determination of liability.
The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
Long-Haul Trucker Indicted for Kidnapping and Child Pornography CrimesRead the Press Release
NASHVILLE, Tenn. – February 27, 2020 – Roy Nellsch, 63, of Logan, Alabama, was indicted yesterday by a federal grand jury in Nashville, and charged with kidnapping, possession of child pornography and transportation of child pornography, announced U.S. Attorney Don Cochran for the Middle District of Tennessee. Nellsch was transferred from the Montgomery County, Tennessee jail to federal custody earlier today and will make an initial appearance before a U.S. Magistrate Judge later this afternoon.
According to the indictment and documents filed with the Court, on May 22, 2019, Nellsch, a long-haul trucker for more than 40 years, encountered a woman with car trouble on I-24, near Fort Campbell, Kentucky. The woman’s car was out of gas and Nellsch offered to give her a ride to the next exit, which was Exit 1 in Tennessee. The woman accepted the ride and got into the truck and Nellsch proceeded to drive eastbound on I-24. When Nellsch continued past Exit 1 and Exit 4, the woman became scared and started screaming.
Nellsch then pulled over on the exit ramp at Exit 8 and pointed a handgun at the woman and told her he was kidnapping her and was going to rape her. Nellsch ordered the woman into the sleeper part of the cab where he began assaulting her and ripped her dress. During the struggle, the woman was able to turn the gun toward Nellsch and pull the trigger but it did not fire. Nellsch produced another handgun and struck the woman in the head. He then handcuffed the woman, placed a blanket over her, and continued driving along Interstate 24.
As Nellsch was driving, the woman was able to slip one hand out of the handcuffs. She then placed the blanket over Nellsch’s head and placed one arm around his throat while she attempted to steer the truck and honk the horn with the other hand and screamed for him to pull over. Nellsch pulled the truck to the side of road, took the remaining handcuff off the woman and she got out of the truck and flagged down oncoming motorists for help. Nellsch drove away from the scene and was stopped and arrested a short time later in Springfield, Tennessee.
A subsequent search of the truck by law enforcement produced, among other items, two handguns; a stun gun; handcuffs; bags containing numerous pairs of women’s underwear and bras and numerous electronic devices, including a digital camera, laptop computers, cell phones, and media storage devices. A subsequent examination of the electronic devices found over 10,000 images and videos of child pornography, including videos depicting violence against small children and a ledger with lists of names, ages, locations and descriptions of women and children.
If convicted, Nellsch faces up to life in prison.
Agencies participating in this investigation include the FBI; the Department of Homeland Security-Immigration & Customs Enforcement; the Tennessee Bureau of Investigation; and the Clarksville Police Department; with valuable assistance from the Coopertown Police Department and the Springfield Police Department. Assistant U.S Attorney Brooke K. Schiferle is prosecuting the case.
An indictment is merely an accusation. The defendant is presumed innocent until proven guilty in a court of law.
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Tennessee Podiatrist Pleads Guilty to Unlawfully Distributing Controlled SubstancesRead the Press Release
A Tennessee podiatrist pleaded guilty today for his role in unlawfully distributing controlled substances.
Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division, U.S. Attorney Don Cochran of the Middle District of Tennessee, Special Agent in Charge J. Todd Scott of the Drug Enforcement Administration’s (DEA) Louisville Division and Director David B. Rausch of the Tennessee Bureau of Investigation (TBI) made the announcement.
Timothy Abbott, D.P.M., 62, of Nashville, Tennessee, pleaded guilty to seven counts of unlawful distribution of controlled substances before Chief U.S. District Judge Waverly D. Crenshaw Jr. of the Middle District of Tennessee. Sentencing has been scheduled for Aug. 31, 2020, before Chief Judge Crenshaw.
As part of his guilty plea, Abbott admitted that, on 44 occasions between April 2013 and February 2019, he knowingly distributed to four of his patients hydrocodone, a Schedule II controlled substance, without a legitimate medical purpose and outside the usual course of professional practice.
The DEA and TBI investigated the case with the assistance of the Metropolitan Nashville Police Department. Trial Attorneys William M. Grady and Alexandra Michael of the Criminal Division’s Fraud Section are prosecuting the case.
The Fraud Section leads the Appalachian Regional Prescription Opioid (ARPO) Strike Force. Since its inception in October 2018, the ARPO Strike Force, which operates in 10 districts, has charged more than 70 defendants who are collectively responsible for distributing more than 40 million pills. The Health Care Fraud Unit, in general, maintains 15 strike forces operating in 24 districts, and has charged nearly 4,200 defendants who have collectively billed the Medicare program for more than $15 billion. In addition, the HHS Centers for Medicare & Medicaid Services, working in conjunction with HHS-OIG, are taking steps to increase accountability and decrease the presence of fraudulent providers.
Individuals who believe that they may be a victim in this case should visit the Fraud Section’s Victim Witness website for more information.
The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
Nashville Podiatrist Pleads Guilty to Unlawfully Distributing Controlled SubstancesRead the Press Release
NASHVILLE, Tenn. – February 26, 2020 - A Nashville, Tennessee podiatrist pleaded guilty today for his role in unlawfully distributing controlled substances.
U.S. Attorney Don Cochran of the Middle District of Tennessee, Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division, Special Agent in Charge J. Todd Scott of the Drug Enforcement Administration’s (DEA) Louisville Division and Director David B. Rausch of the Tennessee Bureau of Investigation (TBI) made the announcement.
Timothy Abbott, D.P.M., 62, of Nashville, Tennessee, pleaded guilty to seven counts of unlawful distribution of controlled substances before Chief U.S. District Judge Waverly D. Crenshaw Jr. of the Middle District of Tennessee. Sentencing has been scheduled for August 21, 2020, before Chief Judge Crenshaw.
As part of his guilty plea, Abbott admitted that, on 44 occasions between April 2013 and February 2019, he knowingly distributed to four of his patients hydrocodone, a Schedule II controlled substance, without a legitimate medical purpose and outside the usual course of professional practice.
The DEA and TBI investigated the case with the assistance of the Metropolitan Nashville Police Department. Trial Attorneys William M. Grady and Alexandra Michael of the Criminal Division’s Fraud Section are prosecuting the case.
The Fraud Section leads the Appalachian Regional Prescription Opioid (ARPO) Strike Force. Since its inception in October 2018, the ARPO Strike Force, which operates in 10 districts, has charged more than 70 defendants who are collectively responsible for distributing more than 40 million pills. The Health Care Fraud Unit, in general, maintains 15 strike forces operating in 24 districts, and has charged nearly 4,200 defendants who have collectively billed the Medicare program for more than $15 billion. In addition, the HHS Centers for Medicare & Medicaid Services, working in conjunction with HHS-OIG, are taking steps to increase accountability and decrease the presence of fraudulent providers.
Individuals who believe that they may be a victim in this case should visit the Fraud Section’s Victim Witness website for more information.
The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
Nashville Man Facing Federal Carjacking and Firearms ChargesRead the Press Release
NASHVILLE, Tenn. – February 26, 2020 – Devan Javon Thompson, 31, of Madison, Tennessee, was charged yesterday in a criminal complaint, with carjacking; brandishing a firearm during and in relation to a crime of violence; and being a convicted felon in possession of a firearm, announced U.S. Attorney Don Cochran for the Middle District of Tennessee.
According to the complaint, on November 20, 2019, a woman and her 11 year-old child were shopping at Kroger on Old Hickory Boulevard in Hermitage, Tennessee when she became suspicious of a man, later identified as Thompson, following her in the store. Thompson subsequently approached the woman and asked her what kind of car she had. After refusing to tell him, Thompson displayed a handgun in the pocket of his hooded sweatshirt and demanded the keys to her vehicle. The child was holding the keys and gave them to Thompson. Thompson then held the gun to the child’s back and pushed him out of the store and into the parking lot. He demanded the woman start her car and drive over the median while he dragged the child through the parking lot. Thompson then entered the car and drove away.
An off-duty Metropolitan Nashville Police officer, who was in the Kroger parking lot and witnessed the incident, followed Thompson and notified the police department. Thompson continued to flee and crashed the vehicle in a ravine near Lebanon Pike and Munn Road, where he was taken into custody after resisting and injuring an officer and a police K-9.
If convicted, Thompson faces up to 15 years in prison on the carjacking offense; up to 10 years in prison on the gun possession charge; plus an additional mandatory minimum of seven years for brandishing the firearm.
This case was investigated by the FBI and the Metropolitan Nashville Police Department. Assistant U.S. Attorney Rachel M. Stephens is prosecuting the case.
A criminal complaint is merely an accusation. The defendant is presumed innocent until proven guilty in a court of law.
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Antioch Woman Sentenced to Federal Prison for EmbezzlementRead the Press Release
NASHVILLE, Tenn. – February 25, 2020 – Ilaine T. Newby, 51, of Antioch, Tennessee, was sentenced Friday to 12 months and 1 day in prison for embezzling over $206,000 from a Smyrna, Tennessee-based company, announced U.S. Attorney Don Cochran for the Middle District of Tennessee. U.S. District Judge William L. Campbell, Jr. also imposed six months of home confinement at the conclusion of the sentence and ordered Newby to pay $147,289 in restitution to the victim company. Newby was charged in August 2019 and pleaded guilty in October to three counts of wire fraud.
According to Court documents, Newby was the comptroller of a company in Smyrna, Tennessee identified as C.A. As such, she was responsible for the company’s financial affairs, including managing the monthly financial reports, the profit and loss statements, Quickbooks entries, accounts payable, accounts receivable, and the company bank accounts and company credit card accounts. From November 2014 through June 2018, Newby embezzled approximately $206,000 by using company credit cards to pay personal expenses and using the company’s bank accounts to make payments to her own personal credit cards. Newby admitted she used the funds for personal expenditures, such as purchasing a Jeep Liberty and paying tuition to the University of Arizona. Newby concealed her fraud by making false entries in the company’s general ledger and providing those manipulated financial records to the business’s owner.
This case was investigated by the FBI and the Smyrna Police Department and was prosecuted by Assistant U.S. Attorneys Kathryn Booth and Stephanie N. Toussaint.
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