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11 May 2023
Maryland Man Sentenced for Defrauding the D.C. Medicaid ProgramRead the Press Release
WASHINGTON - Melchiades Amin, 45, of Glenn Dale, Maryland, was sentenced today, May 11, 2023, to serve 36 months of incarceration, suspended, and five years of probation. Additionally, the Honorable Andrea Hertzfeld ordered Amin to pay $178,150.24 in restitution to the D.C. Medicaid program. The sentence was announced by U.S. Attorney Matthew M. Graves and Daniel W. Lucas, Inspector General for the District of Columbia.
Amin was indicted on October 26, 2022, and he was arrested on November 2, 2022. On March 10, 2023, Amin pleaded guilty in D.C. Superior Court to one count of First-Degree Felony Fraud and two counts of First-Degree Felony theft.
According to the government’s evidence, between May 2018 and on or about October 2021, Amin was employed by two District Mental Health Rehabilitation Service (MHRS) providers as a community support worker (CSW). MHRS provides for diagnostic and assessment services, counseling, medication, intensive day treatment, and crisis or emergency services. A CSW provides community support services by helping consumers learn and improve basic life skills, such as medication management, increasing social skills, and learning how to use public transportation to travel when necessary.
While employed by the two District MHRS providers, Amin engaged in a scheme to defraud the District’s Medicaid program. Employment records and records maintained by the District of Columbia’s Department of Behavioral Health show that Amin billed for overlapping encounter visits with MHRS patients, submitted patient notes indicating community support services had been provided in person while he was traveling out of state, submitted encounter notes for community support services while a patient was admitted in a hospital, and submitted encounter notes indicating community support services were provided at consumers’ homes while Amin may not have been at those physical locations. Through these schemes, Amin caused the D.C. Medicaid program to pay over $178,000 for CSW services that were not provided, of which he personally received more than $54,000.
This prosecution is indicative of the continued collaboration between the U.S. Attorney’s Office and the D.C. Office of the Inspector General to investigate and prosecute cases of this kind. The government urges the public to provide tips and assistance to stop health care fraud. If you have information about individuals committing health care fraud, please call the D.C. Office of the Inspector General at (800) 724-TIPS [(800) 274-8477].
In announcing the sentence, U.S. Attorney Graves and Inspector General Lucas commended the work of those who investigated and prosecuted the case from the Major Crimes Section of the U.S. Attorney’s Office for the District of Columbia and the Office of the Inspector General’s (OIG) Medicaid Fraud Control Unit (MFCU). They commended the work of Special Assistant United States Attorney Emmanuela Charles, on detail from the Office of the Inspector General, who prosecuted the case, and also acknowledged the efforts of the OIG MFCU of those who investigated the case, including Auditor Pednika White, Special Agent Eduardo Torre, and Supervisory Investigator Robert Bornstein.
Mark Deakins Convicted of Sexual Abuse of A Child, Using Children to Produce Child Sexual Abuse Material, and Possession of Child Sexual Abuse MaterialRead the Press Release
CHATTANOOGA, Tenn. –On May 11, 2023, Mark Deakins, 63, of Chattanooga, Tennessee, was convicted at trial before the Honorable Charles E. Atchley, Jr., United States District Court Judge for the Eastern District of Tennessee at Chattanooga, of multiple charges involving the sexual abuse of minors.
The defendant was found guilty of these offenses, in violation of 18 U.S.C. §§ 2421, 2251(a), 2252A(a)(5)(B) and (b)(2), and 2260A, following a trial in U.S. District Court. According to evidence presented at trial, for over 20 years, Deakins raped and sexually assaulted numerous pre-teen and teen boys from 1995 to 2018 in various locations in the Chattanooga, Tennessee area. He also transported a victim across state lines to engage in illegal sexual exploitation and abuse. Deakins secretly recorded his crimes, and the number of child sexual abuse videos and images he possessed numbered in the thousands. After law enforcement agents executed search warrants on his home and computers, they found these images and videos as well as thousands of images of other child sexual abuse material from all over the world.
Deakins committed these crimes while already on the Sex Offender Registry for past convictions.
Sentencing has been scheduled for September 28, 2023, at 10:00 a.m. The defendant faces a mandatory minimum prison term of 45 years and a maximum term of life in prison.
United States Attorney Francis M. Hamilton III said, “The defendant’s conduct was egregious. He preyed on young boys desperate for a male role model. I am thankful for the collaborative effort and hard work of our federal, state, and local law enforcement officers and our prosecutors for seeking justice in this appalling case.”
F.B.I. Special Agent in Charge Joseph E. Carrico said, “Children are among the most vulnerable members of our community. The FBI along with our local, state, and federal partners will continue to meticulously investigate these crimes, which cause irreparable harm and trauma to the victims.”
Law enforcement agencies participating in the joint investigation which led to indictment and subsequent conviction of Mark Deakins included the Federal Bureau of Investigation, United States Marshals Service, Red Bank Police Department, Tennessee Bureau of Investigation, Chattanooga Police Department, Hamilton County Sheriff’s Office and Cumberland County Sheriff’s Office.
Assistant U.S. Attorneys James Brooks and Steven S. Neff represented the United States.
This case was investigated as part of Project Safe Childhood (PSC), a nationwide initiative launched in May 2006, by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorney’s Offices and the Criminal Division’s Child Exploitation and Obscenity Section, PSC marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about PSC, please visit www.justice.gov/psc. For more information about internet safety education, click on the link for “Publications & Resources.”
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Man Convicted for Running Four Dark Web Child Sexual Abuse WebsitesRead the Press Release
A federal jury convicted a Missouri man yesterday for running four websites dedicated to sharing images of child sexual abuse.
According to court documents and evidence presented at trial, Clint Robert Schram, 54, of Kansas City, hosted, managed, and maintained four different websites from his home. Each of these websites operated over the “dark web,” and each was devoted to advertising, distributing, and exchanging images and videos depicting the sexual abuse of children. One of the websites allowed members to post images of children as young as 2 years old, and another had no restrictions on the types of child sexual abuse images that could be shared. Schram advertised and distributed child sexual abuse images over these websites, and he recruited, managed, and directed different tiers of “staff” members who helped run the websites.
Schram was convicted of one count of engaging in a child exploitation enterprise and four counts each of advertisement of child pornography and conspiracy to advertise child pornography. He is scheduled to be sentenced on Oct. 12 and faces a mandatory minimum sentence of 20 years in prison and a maximum sentence of life in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division, U.S. Attorney Teresa A. Moore for the Western District of Missouri, Assistant Director Luis Quesada of the FBI’s Criminal Investigative Division, and Special Agent in Charge Charles A. Dayoub of the FBI Kansas City Field Office made the announcement.
The FBI’s Child Exploitation Operational Unit and Kansas City Field Office investigated the case.
Trial Attorney Kyle P. Reynolds of the Criminal Division’s Child Exploitation and Obscenity Section and Assistant U.S. Attorneys Alison D. Dunning and David Luna for the Western District of Missouri are prosecuting the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and the Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Los Angeles Fentanyl and Methamphetamine Drug Trafficker SentencedRead the Press Release
RICHMOND, Va. – A Los Angeles, California, man was sentenced today to 13 years in prison for distributing over 50 grams of fentanyl and over 800 grams of methamphetamine in the Central Virginia region.
According to court documents, Mesuron Taylor, 38, plead guilty to one count of distribution of 40 grams or more of fentanyl. On two separate occasions in May 2022, Taylor distributed a total of 59 grams of fentanyl to a cooperating source working for law enforcement in Richmond. During both distributions, Taylor, a previously-convicted felon, illegally possessed within his residence a Glock, Model 36; .45 caliber semi-automatic pistol; and a Ceska Zbrokovka, Model CZ97, .45 caliber semi-automatic pistol. On June 1, 2022, DEA and Richmond Police Department officers executed a search warrant at Taylor’s residence in the City of Richmond and recovered the two firearms, United States currency, and cutting agents.
As part of the conduct in this case, Taylor was also held responsible for his role in brokering the distribution of 843 grams of methamphetamine to a law enforcement cooperating source in September 2020. During that drug transaction, Taylor agreed to supply a large amount of methamphetamine to the cooperating source located in the Charlottesville area. Upon agreeing to supply the cocaine, Taylor arranged for a courier to transport 843 grams of methamphetamine from Richmond to the Charlottesville area. On September 3, 2020, law enforcement interdicted Taylor’s drug courier in Stuarts Draft, and recovered 843 grams of methamphetamine. Following the methamphetamine seizure, Taylor contacted the cooperating source asking details about the law enforcement interdiction, demanded payment for the seized methamphetamine, and discussed potential future drug deals.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia; Jarod Forget, Special Agent in Charge for the Drug Enforcement Administration’s (DEA) Washington Division; and Rick Edwards, Interim Chief of Richmond Police, made the announcement after sentencing by U.S. District Judge M. Hannah Lauck.
Assistant U.S. Attorneys Erik S. Siebert and Stephen Anthony prosecuted the case.
This prosecution is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation, Operation Overdrive. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 3:22-cr-86.
Local Attorney Sentenced to 27 Months’ Imprisonment for Pandemic Relief Fraud, Mail Fraud and Tax EvasionRead the Press Release
SCRANTON- The United States Attorney’s Office for the Middle District of Pennsylvania announced that on May 9, 2023, Jonathan Olivetti, age 43, of Philadelphia, Pennsylvania, was sentenced to 27 months imprisonment by United States District Court Judge Jennifer P. Wilson for wire fraud in connection with a scheme to obtain COVID-19 pandemic relief money he was not entitled to receive, mail fraud and tax evasion.
According to United States Attorney Gerard M. Karam, between June 18, 2020 and February 2021, Olivetti, a licensed attorney, applied for two Paycheck Protection Program (PPP) loans and two Economic Injury Disaster Loans (EIDL) on behalf of Olivetti Law, LLC. Both loan programs were authorized or expanded by the Coronavirus Aid, Relief, and Economic Security (“CARES”) Act -- a federal law enacted in March 2020 that provided emergency financial assistance to millions of Americans suffering financial difficulties from the economic impact of the COVID-19 pandemic.
With respect to the PPP loans, Olivetti allegedly made materially false representations by inflating the payroll of Olivetti Law, LLC in the on-line applications and received $41,600 based upon those false representations. In addition, Olivetti made application for two Economic Injury Disaster Loans (“EIDL”) which were to provide low-interest financing (including forgivable $10,000 advances) to small businesses experiencing substantial financial disruption resulting from the COVID-19 pandemic. Olivetti’s EIDL loan applications each sought approximately $62,500 on behalf of Olivetti Law, LLC. The applications contained inflated gross receipts of Olivetti Law and ultimately were not approved by the SBA.
Olivetti also stole approximately $91,991.28 from an estate that he represented. Additionally, between November 9, 2015, and July 15, 2020, Olivetti attempted to evade paying his taxes by hiding funds and providing false information to an Internal Revenue Officer.
Judge Wilson also ordered Olivetti to pay restitution in the amount of $21,800 to SBA, $20,800 to MBE Capital, $91,991.28 for the mail fraud offense, and the loss for the tax evasion offense of $133,269.81. Olivetti was ordered to report to the Bureau of Prisons on June 9, 2023.
On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the Department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
The case was investigated by the Internal Revenue Service. Assistant U.S. Attorney Jenny P. Roberts is prosecuting the case.
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Las Vegas Man Charged with Federal Hate Crimes in Connection with Taiwanese Presbyterian Church Shooting in Orange CountyRead the Press Release
SANTA ANA, California – A Nevada man has been charged with 98 counts of federal hate crimes and weapons and explosives offenses, including the murder of one person and attempted murder of 44 others, for his actions during the shooting and attempted bombing at the Irvine Taiwanese Presbyterian Church on May 15, 2022, the Justice Department announced today.
David Chou, 69, of Las Vegas, killed one person and attempted to kill 44 others using firearms and explosive devices that he carried inside the Irvine Taiwanese Presbyterian Church in Southern California, according to the indictment returned Wednesday by a federal grand jury in Santa Ana. In addition to the victim who Chou fatally shot, five others were injured by gunfire. Chou allegedly acted because of the victims’ national origin and religion, and he intentionally obstructed the victims’ religious exercise.
Specifically, the indictment charges Chou with 98 violations of federal law:
- 45 counts of obstructing free exercise of religious beliefs by force, which resulted in the death of one person, included attempts to kill 44 others, and involved the use of a firearm and attempted use of explosives and fire;
- 45 counts of violating the Matthew Shepard and James Byrd Jr. Hate Crimes Prevention Act by attacking the church congregants because of their actual or perceived Taiwanese national origin and Presbyterian faith;
- One count of attempting to damage or destroy a building used in interstate commerce by means of fire and explosives;
- One count of carrying explosives during the commission of a federal felony offense; and
- Six counts of using a firearm during the commission of a crime of violence.
An indictment is merely an accusation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
If convicted, Chou faces a maximum penalty of death or life in prison without parole. He is currently in state custody pending state criminal charges.
The FBI Los Angeles Field Office, the Orange County Sheriff’s Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives investigated the case.
Assistant United States Attorneys Greg Scally of the Santa Ana Branch Office and Susan Har of the Public Corruption and Civil Rights Section and Special Litigation Counsel Michael J. Songer of the Justice Department’s Civil Rights Division’s Criminal Section are prosecuting the case.
Justice Department Seizes 13 Domains Used by Lebanese Hezbollah and its AffiliatesRead the Press Release
The Justice Department today announced the seizure of 13 domains used by Specially Designated Nationals (SNDs), Specially Designated Global Terrorists (SDGTs), and their members associated with Lebanese Hezbollah.
According to court records, the United States obtained court authorization to seize five domains registered to the Public Interest Registry (PIR) – moqawama.org, almanarnews.org, manarnews.org, almanar-tv.org, and alshahid.org – and eight domains registered to Verisign Inc. – manartv.net, manarnews.net, almanar-tv.com, almanar-tv.net, alidaamouch.com, Ibrahim-alsayed.net, alemdad.net, and naimkassem.net.
“Today’s web domain seizures deny terrorist organizations and affiliates significant sources of support and makes clear we will not allow these groups to use U.S. infrastructure to threaten the American people,” said Assistant Attorney General Matthew G. Olsen of the Justice Department’s National Security Division. “The Justice Department will continue to enforce economic sanctions as part of our commitment to deploy all available tools against threats from hostile nation-states and terrorist actors alike.”
“The Eastern District of Virginia (EDVA) is at the forefront of ensuring that American internet infrastructure is unavailable for use by international terrorist organizations, their members and affiliates,” said U.S. Attorney Jessica D. Aber for the EDVA. “The domains seized through this operation are controlled by individuals and entities engaged in planning or perpetrating acts of terrorism against Americans and thus are not lawfully permitted to use American infrastructure. Operations like this disrupt terrorist activity by blocking one avenue these groups and individuals use to gather support and influence.”
“This seizure demonstrates the FBI’s persistence in using all of our tools to hold accountable terrorists and their affiliates when they violate U.S. laws,” said Assistant Director Robert R. Wells of the FBI’s Counterterrorism Division. “The FBI, along with our international partners, will continue to seek out those individuals who contribute to the advancement of Lebanese Hezbollah’s malign activities and ensure they are brought to justice, regardless of where, or how, they attempt to hide.”
“These court-authorized domain seizures reflect the FBI’s continued dedication to the fight against terrorism," said Special Agent in Charge Keri Farley of the FBI Atlanta Field Office. “Along with our federal and international partners, the FBI remains focused on proactively disrupting web domains controlled by Specially Designated Nationals – those who attempt to illegally utilize U.S. infrastructure to incite deadly violence against the United States and our allies to further the objectives of foreign terrorist organizations.”
“Today’s seizure reduces Hezbollah's ability to peddle their dangerous violent ideology across the globe,” said Matthew S. Axelrod, Assistant Secretary for Export Enforcement at the Department of Commerce. “This coordinated enforcement action demonstrates that the U.S. Government will creatively use all available enforcement tools to thwart those who seek to perpetrate acts of terror.”
Pursuant to the International Emergency Economic Powers Act (IEEPA), SDNs and SDGTs, such as Lebanese Hezbollah, Al Manar TV, Ali Damush, Ibrahim al-Sayyid, Islamic Charitable Emdad Committee, Martyrs’ Foundation in Lebanon, Naim Qasim, and their members may not obtain services, including website and domain services, in the United States without a license from the Office of Foreign Assets Control (OFAC). No such license was obtained for any of the 13 seized domains.
Additionally, these 13 domains are subject to seizure as assets of entities and organizations engaged in planning or perpetrating acts of terrorism against the United States, its citizens and residents, and their property. These domains also afford a source of influence over those entities and organizations. The seizure of these domains will cut off that source of support and influence.
Assistant Attorney General Matthew G. Olsen of the Justice Department’s National Security Division, U.S. Attorney Jessica D. Aber for the Eastern District of Virginia, Special Agent in Charge Keri Farley of the FBI Atlanta Field Office and Assistant Secretary of Commerce for Export Enforcement Matthew S. Axelrod made the announcement.
The FBI and Department of Commerce investigated the case.
Assistant U.S. Attorneys David A. Peters and Laura D. Withers for the Eastern District of Virginia are representing the government in these matters, with valuable assistance provided by the Justice Department’s National Security Division.
Justice Department Announces Launch of Puerto Rico and U.S. Virgin Islands Environmental Crimes Task ForceRead the Press Release
The Justice Department today announced the launch of the Puerto Rico and U.S. Virgin Islands (USVI) Environmental Crimes Task Force to investigate and prosecute violations of federal law harming the environment, wildlife and human health, and associated fraud, waste and abuse in the region.
The creation of the task force comes one year after the Justice Department announced its Comprehensive Environmental Justice Enforcement Strategy and the creation of an Office of Environmental Justice (OEJ) within the Environment and Natural Resources Division (ENRD).
“All communities deserve clean air, clean water, and the robust protection of their natural resources – both, today and for generations to come,” said Assistant Attorney General Todd Kim of the Justice Department’s Environment and Natural Resources Division. “This task force demonstrates the department’s continued commitment to environmental justice and its comprehensive strategy to address significant concerns faced by communities overburdened with pollution.”
“Environmental justice and ensuring that all residents of Puerto Rico enjoy a healthy environment free of hazardous waste and other pollutants is a top priority of the U.S. Attorney’s Office and the Justice Department,” said U.S. Attorney W. Stephen Muldrow for the District of Puerto Rico. “This Task Force will combine and leverage resources from many federal agencies to aggressively enforce civil and criminal environmental laws.”
“The United States Attorney’s Office, along with our federal and local partners, is committed to enforcing environmental laws. Our goal is to ensure that all our citizens receive protection from environmental and health hazards and equal access to a healthy environment in which to live, learn, play and work,” said U.S. Attorney Delia Smith for the USVI.
The creation of this Task Force builds upon the Justice Department’s environmental justice strategy and brings together federal law enforcement agencies in Puerto Rico and the U.S. Virgin Islands. Those federal agencies will continue to work closely with their local counterparts, including the Puerto Rico Department of Natural Resources, the Puerto Rico Department of Justice, the USVI Department of Planning and Natural Resources, and the USVI Attorney General’s Office.
The task force will include law enforcement personnel from the following agencies:
- Army - Criminal Investigation Division
- Army Corps of Engineers
- Department of Agriculture – Office of Inspector General
- Department of Commerce – Office of Inspector General
- Department of Homeland Security – Homeland Security Investigations
- Department of Transportation – Office of Inspector General
- Environmental Protection Agency – Criminal Investigation Division
- Environmental Protection Agency – Office of Inspector General
- FBI
- Food and Drug Administration – Office of Criminal Investigations
- Housing and Urban Development – Office of Inspector General
- IRS – Criminal Investigation Division
- National Oceanic and Atmospheric Administration – Office of Law Enforcement
- U.S. Coast Guard – Sector San Juan
- U.S. Coast Guard Investigative Service
- U.S. Fish and Wildlife Service
On May 5, 2022, Associate Attorney General Vanita Gupta signed the Comprehensive Environmental Justice Enforcement Strategy. The Strategy provides a roadmap for using the Justice Department’s civil and criminal enforcement authorities and tools. Under the Strategy, the Department seeks to advance environmental justice in underserved communities that have been historically marginalized and overburdened, including low-income communities, communities of color and Tribal and Indigenous communities.
Reporting environmental, public health and safety concerns supports a safe community for all. U.S. Attorney Muldrow and U.S. Smith encourage Puerto Rico and USVI residents to use the following contact information to report violations to federal agencies.
If the violation concerns air quality, health, water, land, waste, chemicals and toxins (e.g. pesticides and lead paint), and/or a cleanup, contact the Environmental Protection Agency at www.epa.gov/report-violation or Denuncie violaciones ambientales | US EPA to report violations.
If the violation concerns fraud, waste and abuse of an EPA program, operation, grant or contract, contact Environmental Protection Agency Office of Inspector General at www.epa.gov/office-inspector-general/forms/epa-oig-hotline-complaint-form
If the violation concerns an oil or chemical spill, contact the National Response Center at 1-800-424-88022.
If the violation concerns a marine environment, contact the Coast Guard at www.p3tips.com/tipform.aspx?ID=878 and/or Sector San Juan Command Center: 787-729-2041.
If the violation concerns federal marine resources, you should contact the www.fisheries.noaa.gov/topic/enforcement or hotline at 1-800-853-1964.
If the violation concerns harm to wildlife (e.g., pesticide misuse), contact the U.S. Fish and Wildlife Service at 1-800-344-9453 or www.fws.gov/wildlife-crime-tips.
If the violation concerns wetlands or navigable waters, contact your local district branch of the U.S. Army Corps of Engineers at www.saj.usace.army.mil/Missions/Regulatory/Enforcement.
If the violation concerns workplace conditions, such as chemicals or noxious fumes, contact the Occupational Safety and Health Administration (OSHA) at 1-800-321-6742 or www.osha.gov/workers/file-complaint.
If the violation concerns housing conditions, contact the Department of Housing & Urban Development – Office of Inspector General (HUD-OIG) at 1-800-347-3735 or www.hudoig.gov/hotline/hotline-form.
If the violation concerns transportation of hazardous materials or a pipeline, contact the Department of Transportation – Office of Inspector General (DOT-OIG) at 1-800-424-9071 or www.oig.dot.gov/fraud-hotline.
If the violation concerns medications, food products, devices, biological products, cosmetics, or other products for human consumption, contact the FDA at 1-800-332-0127 (toll-free) or www.fda.gov/safety/report-problem-fda.
If the violation concerns fraud, waste, and abuse related to U.S. Department of Commerce (including any entity receiving DOC funds) contact www.oig.doc.gov/Pages/Hotline.aspx
If the violation concerns discriminatory environmental and health impacts, contact DOJ Civil Rights at 1-855-856-1247 or civilrights.justice.gov.
If the violation involves public corruption, contact the FBI at tips.fbi.gov.
For more information, please visit www.justice.gov/oej; www.epa.gov; www.justice.gov/usao/pr.
Husband and Wife Charged in $1.16 Million Medicare Fraud SchemeRead the Press Release
CHICAGO — The husband-and-wife operators of a suburban Chicago company schemed with a social worker to fraudulently obtain more than $1.16 million from Medicare, according to a federal indictment returned in the Northern District of Illinois.
RICHARD W. PITTS and TAMMIE J. PITTS operated American Warriors, Inc., a not-for-profit corporation which purported to provide psychotherapy services to residents of senior living facilities in the Chicago area from 2019 to 2021. The indictment alleges that the couple schemed with social worker CHARLO G. JORDAN to submit fraudulent claims to Medicare for purported psychotherapy services that were not provided as stated in the claims. The claims falsely stated that residents of the senior facilities had received one-hour, individual psychotherapy sessions, even though the defendants knew that such services had not been provided, the indictment states.
As part of the scheme, Richard Pitts invited residents of the senior facilities to attend breakfast meetings, which often included guest speakers or group activities, as a way to identify Medicare beneficiaries whose information would then be used in support of the fraudulent claims, the indictment states. When the Covid-19 pandemic began and American Warriors could no longer host in-person breakfasts, the company collected residents’ phone numbers for purported “telehealth” therapy and continued to bill Medicare for psychotherapy that was never provided, the indictment states.
In total, the indictment alleges that American Warriors received $1,164,624.61 as the result of fraudulent claims.
The indictment was unsealed Tuesday. It charges Richard Pitts, 67, and Tammie Pitts, 53, both of Calumet City, Ill., and Jordan, 43, of Chicago, with health care fraud. The defendants pleaded not guilty Tuesday during arraignments before U.S. Magistrate Judge Gabriel A. Fuentes.
The indictment was announced by Morris Pasqual, Acting United States Attorney for the Northern District of Illinois, Robert W. “Wes” Wheeler, Jr., Special Agent-in-Charge of the Chicago Field Office of the FBI, and Mario Pinto, Special Agent-in-Charge of the U.S. Department of Health and Human Services, Office of Inspector General, Chicago Regional Office. The government is represented by Assistant U.S. Attorney Charles W. Mulaney.
The public is reminded that an indictment is not evidence of guilt. The defendants are presumed innocent and entitled to a fair trial at which the government has the burden of proving guilt beyond a reasonable doubt. Each count of health care fraud is punishable by up to ten years in federal prison. If convicted, the Court must impose reasonable sentences under federal statutes and the advisory U.S. Sentencing Guidelines.
Grupo de Trabajo Sobre Delitos Ambientales en Puerto Rico y las Islas Vírgenes EstadounidensesRead the Press Release
SAN JUAN, Puerto Rico - El Fiscal Federal para el Distrito de Puerto Rico, W. Stephen Muldrow; la Fiscal Federal para el Distrito de las Islas Vírgenes Estadounidenses (USVI por sus siglas en inglés), Delia Smith; y la Jefa de la Sección de Delitos Ambientales del Departamento de Justicia, Deborah Harris, anunciaron, junto a varios Agentes Especiales A Cargo, la creación de un Grupo de Trabajo (Task Force, en inglés) sobre Delitos Ambientales en Puerto Rico y las USVI para investigar y procesar violaciones a las leyes federales que perjudican el medioambiente, la fauna y la salud humana, así como fraudes, despilfarros y abusos asociados.
El anuncio de hoy destaca aún más el compromiso continuo de cada agencia con la justicia ambiental, un principio que combina los derechos civiles con la protección del medioambiente al examinar si las personas, independientemente de su raza, color, origen nacional o ingresos, reciben un trato justo y participación significativa en el desarrollo, implementación y cumplimiento de las leyes, regulaciones y políticas ambientales.
El 5 de mayo de 2022, el Secretario de Justicia de los EE. UU. anunció medidas para mejorar y avanzar la labor del Departamento de Justicia de los EE. UU. en materia de justicia ambiental (EJ por sus siglas en inglés). Estos esfuerzos incluyen la publicación de la Estrategia Integral de Aplicación de la Justicia Ambiental (Comprehensive Environmental Justice Enforcement Strategy), la creación de la Oficina de Justicia Ambiental (OEJ por sus siglas en inglés) dentro de la División Ambiental y Recursos Naturales (ENRD por sus siglas en inglés) y la implementación de un reglamento final provisional que anula la regulación del Departamento en 28 C.F.R § 50.28 y una política que permite a los componentes del Departamento firmar acuerdos de conciliación que incluyan pagos en circunstancias limitadas a personas o entidades no gubernamentales que no sean parte del litigio subyacente.
La creación de este Equipo de Trabajo se basa en los esfuerzos realizados por el Departamento de Justicia y reúne a las agencias federales de ley y orden en Puerto Rico y las Islas Vírgenes de Estados Unidos. Estas agencias federales seguirán colaborando estrechamente con sus homólogos locales, incluyendo al Departamento de Recursos Naturales de Puerto Rico, el Departamento de Justicia de Puerto Rico, el Departamento de Planificación y Recursos Naturales de las Islas Vírgenes de Estados Unidos y la Departamento de Justicia de las Islas Vírgenes de Estados Unidos.
Agencias de Ley y Orden del Equipo de Trabajo
Ejército de los EE. UU. - División de Investigación Criminal
Cuerpo de Ingenieros del Ejército de los EE. UU.
Departamento de Agricultura - Oficina del Inspector General
Departamento de Comercio - Oficina del Inspector General
Departamento de Seguridad Nacional - Investigaciones de Seguridad Nacional
Departamento de Transportación - Oficina del Inspector General
Agencia de Protección Ambiental - División de Investigación Criminal
Agencia de Protección Ambiental - Oficina del Inspector General
Negociado Federal de Investigaciones
Administración de Alimentos y Medicamentos - Oficina de Investigaciones Criminales
Departamento de Vivienda y Desarrollo Urbano - Oficina del Inspector General
Servicio de Rentas Internas - División de Investigación Criminal
Administración Nacional Oceánica y Atmosférica - Oficina para la Implementación de Leyes
Guarda Costera de los EE. UU. - Sector de San Juan
Servicio Investigativo de la Guardia Costera de los EE. UU.
Servicio Federal de Pesca y Vida Silvestre
“La justicia ambiental y la garantía de que todos los residentes de Puerto Rico disfruten de un ambiente sano y libre de residuos peligrosos y otros contaminantes es una de las principales prioridades de la Fiscalía Federal y del Departamento de Justicia de los EE. UU.”, comentó el Fiscal Federal Muldrow. “Este task force combinará y aprovechará los recursos de muchas agencias federales para hacer cumplir enérgicamente las leyes ambientales civiles y penales”.
“La Fiscalía Federal, junto a nuestros compañeros federales y locales, está comprometida a hacer cumplir las leyes ambientales. Nuestra meta es asegurar que todos los ciudadanos reciban protección de riesgos ambientales y sanitarios e igualdad de acceso a un ambiente sano en el que vivir, aprender, jugar y trabajar”, dijo la Fiscal Federal Delia L. Smith.
¿Qué puedes hacer?
Denunciar los problemas de salud pública, seguridad y ambientales contribuye a una comunidad segura para todos. Los Fiscales Federales Muldrow y Smith animan a los residentes de Puerto Rico y las USVI a utilizar los siguientes contactos para hacer denuncias sobre violaciones a las agencias federales.
Si la violación afecta la calidad de aire, agua, tierra, salud, desechos, limpieza, químicos y toxinas (p. ej. pesticidas y pintura con plomo) contacte la Agencia de Protección Ambiental a través de www.epa.gov/report-violation para hacer un reporte.
Denuncie violaciones ambientales | US EPA
Si la violación se refiere a fraude, despilfarro o abuso de un programa, operativo, subvención o contrato de la EPA, contacte a la Agencia de Protección Ambiental Oficina del Inspector General a través de www.epa.gov/office-inspector-general/forms/epa-oig-hotline-complaint-form
Si la violación es por derrames de aceite o químicos, contacte al Centro Nacional de Respuesta al 1-800-424-88022.
Si la violación es acerca del ambiente marino, contacte a la Guardia Costera a través de www.p3tips.com/tipform.aspx?ID=878 y/o al Centro de Comando del Sector de San Juan: 787-729-2041.
Si la violación es acerca de recursos marinos federales, haga la denuncia accediendo a www.fisheries.noaa.gov/topic/enforcement o contactar la línea directa at 1-800-853-1964.
Si la violación es acerca de daños a la fauna (p. ej. uso indebido de pesticidas), contacte al Servicio Federal de Pesca y Vida Silvestre al 1-800-344-9453 o a través de www.fws.gov/wildlife-crime-tips.
Si la violación afecta humedales o aguas navegables, contacte las oficinas locales del Cuerpo de Ingenieros de Ejército de los EE.UU. a través de https://www.saj.usace.army.mil/Missions/Regulatory/Enforcement/.
Si la violación es acerca de condiciones del lugar de trabajo, así como químicos o gases nocivos, contacte la Administración de Seguridad y Salud Ocupacional (OSHA por sus siglas en inglés) al 1-800-321-6742 o www.osha.gov/workers/file-complaint
Si la violación es acerca de condiciones de vivienda, contacte a la Oficina del Inspector General del Departamento de Vivienda y Desarrollo Urbano (HUD-OIG por sus siglas en inglés) al 1-800-347-3735 o www.hudoig.gov/hotline/hotline-form
Si la violación es acerca del transporte de materiales peligrosos o de ductos, contacte a la Oficina del Inspector General del Departamento de Transportación (DOT-OIG por sus siglas en inglés) al 1-800-424-9071 o www.oig.dot.gov/fraud-hotline
Si la violación es acerca de medicamentos, productos alimenticios, equipos, productos biológicos, cosméticos u otros productos para consumo humano, contacte a la Administración de Alimentos y Medicamentos (FDA por sus siglas en inglés) al 1-800-332-0127 (gratis) o acceda a https://www.fda.gov/safety/report-problem-fda
Si la violación se refiere a fraude, despilfarro o abuso relacionado al Departamento de Comercio de los EE.UU., (incluso cualquier entidad que reciba fondos del DOC) acceda a www.oig.doc.gov/Pages/Hotline.aspx
Si la violación es acerca de impactos discriminatorios para el ambiente o la salud, contacte a la División de Derechos Civiles del Departamento de Justicia de los EE.UU. at 1-855-856-1247 o https://civilrights.justice.gov/
Si la violación implica corrupción pública, contacte al Negociado Federal de Investigaciones at https://tips.fbi.gov/
Para más información, por favor visite www.justice.gov/oej; www.epa.gov; www.justice.gov/usao/pr
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Great Falls woman charged with defrauding two businesses of more than $200,000Read the Press Release
GREAT FALLS — A Great Falls woman accused of embezzling more than $200,000 from two businesses while working as a bookkeeper appeared for arraignment on May 9 on fraud charges, U.S. Attorney Jesse Laslovich said today.
Tara Durnell, 63, pleaded not guilty to an indictment charging her with 13 counts of wire fraud and one count of mail fraud. If convicted of the most serious charge, Durnell faces a maximum of 20 years in prison, a $250,000 fine and three years of supervised release.
U.S. Magistrate Judge John T. Johnston presided. Durnell was released pending further proceedings.
The indictment alleges that Durnell, while working as a bookkeeper, embezzled from Kronebusch Electric, Inc. (KEI), an electrical services company located in Conrad, and then from Mitchell’s Crash Repair, an auto repair shop in Great Falls, after she left KEI’s employment. From at least November 2013 to 2019, Durnell used her access to KEI’s business bank accounts and software to direct pre-signed checks to cover her personal expenses and then miscode the payments in the software to make the personal payments look like legitimate KEI business expenses. The indictment further alleges Durnell embezzled more than $200,000 from KEI to pay personal credit card debt, personal car loan payments and debts of family members. While employed at Mitchell’s Crash Repair, Durnell allegedly embezzled approximately $15,000 by using pre-signed checks to make unauthorized payments for personal expenses, including taxes on her home and a bar she owned in Conrad.
An indictment is merely an accusation, and a defendant is presumed innocent until proven guilty beyond a reasonable doubt.
Assistant U.S. Attorney Jeffrey K. Starnes is prosecuting the case. The FBI, Montana Division of Criminal Investigation and Great Falls Police Department conducted the investigation.
PACER case reference. 23-27.
The progress of cases may be monitored through the U.S. District Court Calendar and the PACER system. To establish a PACER account, which provides electronic access to review documents filed in a case, please visit http://www.pacer.gov/register.html. To access the District Court’s calendar, please visit https://ecf.mtd.uscourts.gov/cgi-bin/PublicCalendar.pl
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GCI Communications Corp. to Pay More than $40 Million to Resolve False Claims Act Allegations Related to FCC’s Rural Health Care ProgramRead the Press Release
GCI Communications Corp. (GCI), located in Anchorage, Alaska, has agreed to pay $40,242,546 to resolve allegations that it violated the False Claims Act by knowingly inflating its prices and violating Federal Communications Commission (FCC) competitive bidding regulations in connection with GCI’s participation in the FCC’s Rural Health Care Program. The program provides more than $570 million each year to assist rural health care providers with their telecommunications needs.
Under the Rural Health Care Program, the FCC pays a subsidy equal to the difference between the more expensive cost for a telecommunication service in a rural area and the less expensive cost for the same service in an urban area in the same state. FCC regulations also require contracts for these subsidized services be awarded through a competitive bidding process. The United States alleged that, between 2013 and 2020, GCI failed to comply with FCC regulations that governed how telecommunications companies must calculate their prices for purposes of claiming subsidy payments, and as a result GCI received greater subsidy payments than it was entitled to. The United States further alleged that GCI caused Eastern Aleutian Tribes Inc., a rural health care provider in Alaska, to agree to inflated prices after the relevant contract was competitively bid. As a result, GCI knowingly received higher payments under the program, from 2015 through 2018, in connection with its contract with Eastern Aleutian Tribes, Inc.
“Telecommunications providers that seek to participate in important FCC programs like the Rural Health Care Program must comply with applicable rules, including those governing how they competitively bid on contracts and set their prices,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “Today’s settlement demonstrates our continuing commitment to preventing the misuse of taxpayer funds.”
“Providing health care services in rural areas, especially to Indigenous people in remote areas of Alaska, is vital and must be protected,” said U.S. Attorney Nick Brown for the Western District of Washington. “This $40 million settlement should deter other companies from attempting to improperly enrich themselves by overcharging the government for important healthcare-related telecommunications services.”
“Service providers who utilize the Rural Health Care Program to provide necessary services to health care providers in rural areas, such as GCI provides to Alaska health care providers, cannot disregard FCC’s rules that require specific processes to ensure fair reimbursement for services,” said Acting FCC Inspector General Sharon Diskin. “The Rural Health Care Program has limited funds and we continue to ensure that those funds are not subject to fraud, waste or abuse.”
“Compliance with the Universal Service Fund’s Rural Health Care Program rules is a critical component in making sure that medical providers have access to the types of communications equipment and services needed to enhance medical options and care in rural communities,” said FCC Enforcement Bureau Chief Loyaan Egal. “This global settlement reflects our strong partnership with the Department of Justice in protecting the USF, and we thank them for their efforts in this particular case.”
Contemporaneous with the civil settlement, GCI has agreed to enter into a corporate compliance agreement with the FCC. GCI will also resolve an FCC administrative investigation and an FCC proceeding arising from GCI’s participation in the Rural Health Care Program.
The civil settlement includes the resolution of claims brought under the qui tam or whistleblower provisions of the False Claims Act by Robert Taylor, GCI’s former Director of Business Administration. Under those provisions, a private party can file an action on behalf of the United States and receive a portion of any recovery. The qui tam case is captioned U.S. ex rel. Taylor v. GCI Liberty, et al., Case No. 19-cv-2029 (W.D. Wash.). The whistleblower will receive $6.4 million as his share of the recovery.
The resolution obtained in this matter was the result of a coordinated effort between the Justice Department’s Civil Division, Commercial Litigation Branch, Fraud Section, and the United States Attorney’s Office for the Western District of Washington, with assistance from the FCC’s Office of the Inspector General and the FCC’s Enforcement Bureau.
The matter was handled by Trial Attorney David M. Sobotkin and Assistant U.S. Attorney Kayla Stahman for the Western District of Washington.
The claims resolved by the settlement are allegations only and there has been no determination of liability.
GCI Communications Corp. to Pay More than $40 Million to Resolve False Claims Act Allegations Related to FCC’s Rural Health Care ProgramRead the Press Release
WASHINGTON – GCI Communications Corp. (GCI), located in Anchorage, Alaska, has agreed to pay $40,242,546 to resolve allegations that it violated the False Claims Act by knowingly inflating its prices and violating Federal Communications Commission (FCC) competitive bidding regulations in connection with GCI’s participation in the FCC’s Rural Health Care Program. The program provides more than $570 million each year to assist rural health care providers with their telecommunications needs.
Under the Rural Health Care Program, the FCC pays a subsidy equal to the difference between the more expensive cost for a telecommunication service in a rural area and the less expensive cost for the same service in an urban area in the same state. FCC regulations also require contracts for these subsidized services be awarded through a competitive bidding process. The United States alleged that, between 2013 and 2020, GCI failed to comply with FCC regulations that governed how telecommunications companies must calculate their prices for purposes of claiming subsidy payments, and as a result GCI received greater subsidy payments than it was entitled to. The United States further alleged that GCI caused Eastern Aleutian Tribes Inc., a rural health care provider in Alaska, to agree to inflated prices after the relevant contract was competitively bid. As a result, GCI knowingly received higher payments under the program, from 2015 through 2018, in connection with its contract with Eastern Aleutian Tribes, Inc.
“Telecommunications providers that seek to participate in important FCC programs like the Rural Health Care Program must comply with applicable rules, including those governing how they competitively bid on contracts and set their prices,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “Today’s settlement demonstrates our continuing commitment to preventing the misuse of taxpayer funds.”
“Providing health care services in rural areas, especially to Indigenous people in remote areas of Alaska, is vital and must be protected,” said U.S. Attorney Nick Brown for the Western District of Washington. “This $40 million settlement should deter other companies from attempting to improperly enrich themselves by overcharging the government for important healthcare-related telecommunications services.”
“Compliance with the Universal Service Fund’s Rural Health Care Program rules is a critical component in making sure that medical providers have access to the types of communications equipment and services needed to enhance medical options and care in rural communities,” said FCC Enforcement Bureau Chief Loyaan Egal. “This global settlement reflects our strong partnership with the Department of Justice in protecting the USF, and we thank them for their efforts in this particular case.”
Contemporaneous with the civil settlement, GCI has agreed to enter into a corporate compliance agreement with the FCC. GCI will also resolve an FCC administrative investigation and an FCC proceeding arising from GCI’s participation in the Rural Health Care Program.
The civil settlement includes the resolution of claims brought under the qui tam or whistleblower provisions of the False Claims Act by Robert Taylor, GCI’s former Director of Business Administration. Under those provisions, a private party can file an action on behalf of the United States and receive a portion of any recovery. The qui tam case is captioned U.S. ex rel. Taylor v. GCI Liberty, et al., Case No. 19-cv-2029 (W.D. Wash.). The whistleblower will receive $6.4 million as his share of the recovery.
The resolution obtained in this matter was the result of a coordinated effort between the Justice Department’s Civil Division, Commercial Litigation Branch, Fraud Section, and the United States Attorney’s Office for the Western District of Washington, with assistance from the FCC’s Office of the Inspector General and the FCC’s Enforcement Bureau.
The matter was handled by Trial Attorney David M. Sobotkin and Assistant U.S. Attorney Kayla Stahman for the Western District of Washington.
gci_settlement_agreement_-_fully_executed_0.pdfThe claims resolved by the settlement are allegations only and there has been no determination of liability.
Fresno Men Charged for Series of Vehicle Pipe-BombingsRead the Press Release
FRESNO, Calif. — A federal grand jury returned an indictment today against Scott Eric Anderson, 43, and Paul New, 55, both of Fresno, charging them with conspiracy to destroy by means of an explosive device and malicious destruction by means of an explosive device, U.S. Attorney Phillip A. Talbert announced. Anderson was also charged with being a felon in possession of a firearm.
According to court documents, between November 2022 and February 2023, Anderson and New set off a series of pipe-bombs on unoccupied vehicles and property in Fresno. The bombs damaged vehicles belonging to two auto-related businesses on Clinton Avenue, and on Feb. 19, 2023, a bomb heavily damaged a vehicle used by a home health care business on Fallbrook Avenue. Anderson sometimes recorded his crimes by video. In addition, Anderson was found to be in possession of a pistol. He is prohibited from possessing firearms because of a previous conviction for carrying a loaded and concealed weapon.
This case is the product of an investigation by the Fresno Police Department, the Federal Bureau of Investigation, and the Bureau of Alcohol, Tobacco, Firearms and Explosives. Assistant U.S. Attorney Michael G. Tierney is prosecuting the case.
If convicted, Anderson and New face a maximum statutory penalty of 20 years in prison and a $250,000 fine regarding the malicious destruction by means of explosive device charges and five years in prison and a $250,000 fine regarding the conspiracy charge. Anderson also faces 10 years in prison and a $250,000 fine regarding the felon in possession of a firearm charge. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendants are presumed innocent until and unless proven guilty beyond a reasonable doubt.
Four Men Sentenced for Engaging in a Child Exploitation EnterpriseRead the Press Release
Four men were sentenced for their participation in a website dedicated to child sexual exploitation.
Kyle William Leishear, 43, of Bayonet Point, Florida, was sentenced yesterday to 20 years in prison. On April 25, Leishear’s three co-defendants were sentenced for their roles in a child exploitation enterprise: Christopher William Kuehner, 38, of Bremerton, Washington, was sentenced to 20 years in prison; Jacob Royce Mullins, 20, of South Webster, Ohio, was sentenced to seven years in prison; and Matthew Martin, 25, of Lancaster, Wisconsin, was sentenced to six years and eight months in prison.
“We cannot and will not tolerate websites like Rapey.su that invite and encourage members to congregate, discuss, and engage in the sexual exploitation of children and young women, to memorialize this exploitation, and to distribute illegal sexually explicit images of the victims,” said Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division. “The Department of Justice is committed to rooting out these websites and bringing to justice those who join them for the purpose of perpetuating the victimization of some of the most vulnerable members of society.”
According to court documents, Leishear, Kuehner, Mullins, and Martin were prominent members of the “Rapey.su” website, which was dedicated to, among other things, child sexual exploitation. After becoming a member of the website, Leishear enticed multiple minor victims, including one as young 12-years-old, to produce and share sexually explicit images. Kuehner also repeatedly induced minor victims to produce and post sexually explicit images and videos to the site. Additionally, Leishear attempted to distribute child sexual abuse material on the website. Mullins and Martin both repeatedly distributed child sexual abuse material images on the website, and Mullins enticed another website user to produce and share sexually explicit images of a minor victim.
“I am grateful for the hard work of our agents and prosecutors to seek justice in this horrific case. These defendants caused immeasurable trauma on their victims, amplified by the group’s online sharing of their abuse,” said U.S. Attorney Jessica D. Aber for the Eastern District of Virginia. “This case shows that internet anonymity will not protect offenders from facing full accountability for their illegal online conduct.”
“The actions of the four individuals in this case were nothing short of reprehensible,” said Special Agent in Charge Derek W. Gordon of Homeland Security Investigations (HSI) Washington, D.C. “They shamefully targeted the most vulnerable members of our community for their own perverse desires. HSI Washington, D.C. remains committed to protecting children from abuse and holding accountable those individuals who would victimize minors. HSI remains vigilant in watching for indicators of child exploitation throughout our communities.”
HSI investigated the case.
Trial Attorney Whitney Kramer of the Criminal Division’s Child Exploitation and Obscenity Section and Assistant U.S. Attorney Seth Schlessinger for the Eastern District of Virginia prosecuted the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and the Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Four Men Sentenced for Engaging in a Child Exploitation EnterpriseRead the Press Release
ALEXANDRIA, Va. – A Bayonet Point, Florida, man was sentenced yesterday to 20 years in prison for engaging in a child exploitation enterprise.
According to court documents, Kyle William Leishear, 43, was a prominent member of the “Rapey.su” website, which was dedicated to, among other things, child sexual exploitation. After becoming a member of the website, Leishear enticed multiple minor victims, including one as young as 12-years-old, to produce and share sexually explicit images. Additionally, Leishear attempted to distribute child sexual abuse material on the Rapey website.
“I am grateful for the hard work of our agents and prosecutors to seek justice in this horrific case. These defendants caused immeasurable trauma on their victims, amplified by the groups online sharing of their abuse,” said Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia. “This case shows that internet anonymity will not protect offenders from facing full accountability for their illegal online conduct.”
“We cannot and will not tolerate websites like Rapey.su that invite and encourage members to congregate, discuss, and engage in the sexual exploitation of children and young women, to memorialize this exploitation, and to distribute illegal sexually explicit images of the victims,” said Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division. “The Department of Justice is committed to rooting out these websites and bringing to justice those who join them for the purpose of perpetuating the victimization of some of the most vulnerable members of society.”
“The actions of the four individuals in this case were nothing short of reprehensible,” said Special Agent in Charge Derek W. Gordon of Homeland Security Investigations (HSI) Washington, D.C. “They shamefully targeted the most vulnerable members of our community for their own perverse desires. HSI Washington, D.C. remains committed to protecting children from abuse and holding accountable those individuals who would victimize minors. HSI remains vigilant in watching for indicators of child exploitation throughout our communities.”
Leishear’s co-defendants were sentenced for their roles in the enterprise on April 25, 2023. Co-defendant Christopher William Kuehner, 38, of Bremerton, Washington, received a sentence of 20 years’ imprisonment. Co-defendants Jacob Royce Mullins, 20, of South Webster, Ohio, and Matthew Martin, 25, of Lancaster, Wisconsin, received sentences of 84 months and 80 months of imprisonment, respectively.
In a related case last year, a federal court in the Eastern District of Virginia convicted Ashley Kolhoff, 22, of Port Clinton, Ohio, of production of child pornography for her participation on the Rapey.su website. She was subsequently sentenced to 15 years in prison. Other users around the country have been prosecuted successfully in state and federal court for their conduct committed on the website.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia; Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division; and Derek W. Gordon, Special Agent in Charge of U.S. Homeland Security Investigations (HSI) Washington, D.C., made the announcement after sentencing by U.S. District Judge Leonie M. Brinkema.
The Department of Homeland Security (DHS), Homeland Security Investigations (HSI) investigated the case.
Assistant U.S. Attorney Seth Schlessinger and Trial Attorney Whitney Kramer of the Criminal Division’s Child Exploitation and Obscenity Section prosecuted the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and the Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
In 2021, EDVA launched “UnMasked,” a community-based educational outreach and prevention program in Virginia dedicated to raising awareness and educating the community about the prevalence of online sexual exploitation involving children and young adults. UnMasked is a multi-disciplinary partnership of local, state, federal, and non-profit stakeholders. The core curriculum is provided by the National Center for Missing and Exploited Children’s (NCMEC) NetSmartz program. To report an incident involving online sexual exploitation, call 1-800-843-5678 or submit a report at report.cybertip.org. To request an UnMasked event at your school or organization, please contact EDVA’s Community Outreach Coordinator at [email protected].
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:22-cr-120.
Former West Baton Rouge Parish Sheriff’s Office Employee Charged with Theft of over $150,000 in Official FundsRead the Press Release
United States Attorney Ronald C. Gathe, Jr., announced that a Bill of Information was filed charging Mandy Nicole Miller, age 44, of Baton Rouge, Louisiana, with Federal Program Theft.
According to the Bill of Information, from July 2018 to September 2022, while employed at the West Baton Rouge Parish Sheriff’s Office, Miller stole cash paid for traffic tickets and hid the thefts by recording fraudulent journal entries in the Sheriff’s Office accounting system. In all, it is alleged that Miller embezzled, stole, and otherwise without authority, knowingly converted to her own use more than $150,000 in official funds.
This matter is being investigated by the Federal Bureau of Investigation and the Louisiana Legislative Auditor, Investigative Audit Services, with assistance from the West Baton Rouge Sheriff’s Office. The case is being prosecuted by Assistant United States Attorney Lyman E. Thornton III.
NOTE: A Bill of Information is an accusation. The defendant is presumed innocent until and unless adjudicated guilty.
Former U.S. Department of Housing and Urban Development Assistant Inspector General Sentenced for Falsifying Financial Disclosure FormsRead the Press Release
A former Assistant Inspector General for the Department of Housing and Urban Development (HUD) was sentenced today to one year and one day in prison for engaging in a scheme to conceal his financial indebtedness to a government contractor and personal friend to whom he steered tens of millions of dollars in government business.
According to court documents, Eghbal “Eddie” Saffarinia, 63, of Front Royal, Virginia, engaged in a scheme to conceal material facts, including the nature and extent of his financial relationship with a personal friend who was the owner and chief executive officer of an information technology company. During a period in which Saffarinia received payments and loans from his friend totaling $80,000, Saffarinia disclosed confidential internal government information to his friend and steered government contracts and provided competitive advantages and preferential treatment to his friend’s company. Saffarinia also failed to disclose this financial relationship and another large promissory note on his public financial disclosure forms.
In September 2022, Saffarinia was convicted after trial of one count of concealing material facts, three counts of making false statements, and three counts of falsifying a record or document.
Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division, Assistant Director in Charge David Sundberg of the FBI Washington Field Office, and Inspector General Thomas A. Monheim of the Intelligence Community made the announcement.
The FBI Washington Field Office and the Office of the Inspector General of the Intelligence Community investigated the case.
Senior Litigation Counsel Edward P. Sullivan and Trial Attorneys Rosaleen T. O’Gara and John P. Taddei of the Criminal Division’s Public Integrity Section prosecuted the case.
Former Officers of DC Trust, Sentenced for Using Organization’s Funds for Personal GainRead the Press Release
WASHINGTON – The former Executive Director and the Director of Operations and Finance, of the now-defunct non-profit organization DC Children and Youth Investment Trust Corporation (“DC Trust”), were sentenced today for a felony charge relating to their personal use of the non-profit’s funds, announced U.S. Attorney Matthew M. Graves, Inspector General Daniel W. Lucas, District of Columbia’s Office of the Inspector General, Special Agent in Charge Wayne A. Jacobs of FBI Washington Field Office’s Criminal and Cyber Division, and Special Agent in Charge Terry Harris, of the US Department of Education Office of Inspector General for the Eastern Region.
Edward Davies, 52, of Owings Mills, Maryland, was sentenced to 60 days in prison, followed by three years of supervised release; Earl Hamilton, 53, of Riviera Beach, Florida, was sentenced to 30 days in prison, followed by three years of supervised release. Both defendants pleaded guilty, on November 30, 2022, to a charge of credit card fraud for using the non-profit’s monies, intended for youth scholarship programs, for personal expenses. In addition to the prison term, U.S. District Court Judge Reggie B. Walton ordered Davies to pay $111,332.46 in restitution and ordered Hamilton to pay $44,049.79 in restitution.
According to court documents, Davies, the former executive director, and Hamilton, the former director of operations and finance, used DC Trust credit cards and a check card to make hundreds of personal purchases for expenses such as: meals, automobile repairs, exercise equipment, and personal travel for themselves, their family members, and their friends. In total, Davies stole at least $111,000 and Hamilton stole at least $44,000.
The DC Trust was a non-profit organization, created in 1999, to serve as an intermediary to connect philanthropists, government leaders, youth advocates, and representatives from the business community in order to support programs to benefit the children of the District of Columbia. The organization was dissolved in late 2016, reportedly to cover debts from exorbitant spending on and by staff, including the misuse of organization credit cards. The trust’s funding came from the U.S. Department of Education and consisted of federal grant funding under the U.S. Department of Education Opportunity Scholarship Program (“OSP”), which was designed to provide low-income parents, residing in Washington, D.C., with expanded options for the education of their children.
In announcing the sentence, U.S. Attorney Graves, Inspector General Lucas, Special Agent in Charge Jacobs, and Special Agent in Charge Harris, commended the work of those who investigated the case from the D.C. Office of the Inspector General, the FBI’s Washington Field Office, and the U.S. Department of Education Office of the Inspector General. They also expressed appreciation for the work of those who handled the case from the U.S. Attorney’s Office for the District of Columbia in the Fraud, Public Corruption, and Civil Rights Section, including Assistant U.S. Attorneys Kathryn Rakoczy and Diane Lucas have been litigating the case, with assistance from Paralegal Specialists Amanda Rohde and Lisa Abbe.
Former Modesto Doctor Pleads Guilty to Illegally Prescribing OpioidsRead the Press Release
FRESNO, Calif. — Sawtantra Chopra, 76, of Modesto, pleaded guilty Wednesday to three counts of illegally prescribing opioids and other medication, U.S. Attorney Phillip A. Talbert announced.
According to court documents, Chopra admitted prescribing drugs — including hydrocodone, alprazolam (Xanax), and Promethazine with codeine syrup — outside the usual course of professional practice and not for a legitimate medical purpose. These drugs are highly addictive and commonly abused. They affect the central nervous system and may only be prescribed when medically required.
Chopra surrendered his medical license in 2020 as the case was pending.
This case is the product of an investigation by the California Department of Justice, Bureau of Medi-Cal Fraud and Elder Abuse Drug Diversion Team, the Drug Enforcement Administration, the Federal Bureau of Investigation, and IRS Criminal Investigation. Assistant United States Attorney Michael Tierney is prosecuting the case.
Chopra is scheduled to be sentenced on Sept. 5, 2023, by U.S. District Judge Jennifer L. Thurston. Chopra faces a maximum statutory penalty of 20 years in prison and a $1 million fine. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
Former Commodities Trader Charged with Multimillion-Dollar Investment SchemeRead the Press Release
NEWARK, N.J. – A Chicago man was arrested today and charged in an investment fraud scheme that defrauded victims of over $2 million, a U.S. Attorney Philip R. Sellinger announced.
Phillip Galles, 57, of Chicago, is charged by complaint with one count of wire fraud. Galles made his initial appearance this afternoon before U.S. Magistrate Judge Gabriel A. Fuentes in Chicago, Illinois, federal court and was detained.
According to documents filed in this case and statements made in court:
Galles, a former commodities trader, defrauded his victims by falsely claiming that he would invest their money in commodity futures through his purported investment company called Tyche Asset Management, based in Chicago. Galles and those working for him falsely told prospective investors that Tyche had a history of success using proprietary trading strategies, with extraordinary annual rates of return exceeding 100 percent.
Tyche made virtually no legitimate investments in commodity futures or otherwise. Galles instead ran Tyche like a Ponzi scheme and used investor money to pay back other investors and for his own personal expenses.
Galles met in New Jersey with an undercover agent purporting to be an investment manager looking to make a large investment. Galles falsely claimed that Tyche had annual returns of 336 percent, raised over $2 billion within 60 days of starting the fund, and had prominent investors, including a Kuwaiti sovereign fund and a well-known owner of a professional sports team. Galles also falsely claimed that he graduated from a prominent university in the Midwest.
Galles defrauded more than a dozen victims out of more than $2 million.
The count of wire fraud with which Galles is charged is punishable by a maximum penalty of 20 years in prison and a fine of $250,000 or twice the gross gain or loss involved in the offense, whichever is greatest.
U.S. Attorney Sellinger credited special agents of the U.S. Attorney’s Office, under the direction of Special Agent in Charge Thomas Mahoney in Newark; and the inspectors of the U.S. Postal Inspection Service in Newark, under the direction of Postal Inspector in Charge Christopher A. Nielsen, Philadelphia Division, with the investigation leading to the charges. He also thanked the Commodity Futures Trading Commission and the National Futures Association for their assistance.
The government is represented by Assistant U.S. Attorney Carolyn Silane of the Economic Crimes Unit in Newark.
The charge and allegations contained in the complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
galles.complaint.pdfFormer Austin ISD Teacher Sentenced to Seven Years in Prison for Illicit Sexual Conduct in ColombiaRead the Press Release
AUSTIN, Texas – An Austin man was sentenced in a federal court in Austin Wednesday to 84 months in prison followed by 10 years of supervised release for engaging in illicit sexual conduct in foreign places.
According to court documents, Michael Wayne Roberts, 41, was living in Medellin, Colombia when he paid money for sex with three Colombian girls between the ages of 13 and 15 on multiple occasions between December 2020 and June 2021. Roberts was arrested on Sept. 15, 2022 and has remained in federal custody. He pleaded guilty in February to all three counts in his indictment.
In addition to the prison sentence and supervised release, the U.S. district judge ordered Roberts to pay $147,844.51 in restitution to the victims. Roberts must also register as a sex offender.
“This sentencing reflects that those who engage in sexual conduct with minors, regardless of where it occurs, will be held accountable for their heinous, predatory crimes,” said U.S. Attorney Jaime Esparza of the Western District of Texas. “I am grateful for the diligent work of the Colombian National Police and our federal partners at Homeland Security Investigations, leading to the arrest and prosecution of this individual. Their commitment to justice has made our communities safer and protected our most vulnerable population—our children.”
“Protecting the children in our communities remains a top priority for Homeland Security Investigations,” said Acting Special Agent in Charge Alejandro M. Amaro for HSI San Antonio. “This sentence is a testament that HSI remains committed to identifying individuals who prey on our most vulnerable population, especially those individuals that hold positions of public trust.”
HSI and the Colombian National Police investigated the case.
Assistant U.S. Attorney Keith Henneke prosecuted the case.
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Florida Man Sentenced in Gas Station Skimming SchemeRead the Press Release
BOSTON – A Florida man was sentenced today in federal court in Boston for his role in a scheme to steal thousands of customers’ debit and credit card account numbers and other personally identifying information via a network of electronic equipment clandestinely installed at gas stations across New England.
Luis Angel Naranjo Rodriguez, 32, of Hialeah, Fla., was sentenced by U.S. District Court Judge Richard G. Stearns to five years in prison to be followed by three years of supervised release. Naranjo Rodriguez was also ordered to pay $21,267 in restitution to victims of the scheme. On Jan. 18, 2023, Naranjo Rodriguez pleaded guilty to eight counts of wire fraud, four counts of bank fraud, four counts of aggravated identity theft, one count of possessing 15 or more counterfeit or unauthorized access devices (the debit and credit card account numbers) and one count of possessing device-making equipment (the card skimming devices).
Naranjo Rodriguez secretly and unlawfully installed card skimming devices in gas pumps in Massachusetts gas stations and in other New England states. The devices were programmed to send Naranjo Rodriguez’s mobile phone a text message with stolen account information after customers had used their debit or credit cards to purchase gas at the compromised fuel pumps. Card skimming devices linked to Naranjo Rodriguez’s mobile phone were traced to at least 11 different gas stations located in Lynnfield, Concord, Malden, Taunton, Randolph and Raynham; Portland, Maine; Nashua, N.H.; and Willington, Conn.
Between April 2019 until November 2019, Naranjo Rodriguez traveled frequently from Florida to Massachusetts to maintain this network of card skimmers. During the course of the scheme, Naranjo Rodriguez’s mobile phone received at least 4,878 text messages containing stolen debit and credit card account numbers. Many of these text messages also included the account holders’ names and Personal Identification Numbers (PINs).
Naranjo Rodriguez cloned the account information belonging to the unwitting victims onto gift cards and other prepaid cards in order to steal money from them, typically by using the cloned cards to make ATM withdrawals, to purchase expensive consumer goods that could be resold in secondary markets, and to request cash back on debit card transactions. On Nov. 16, 2019, security cameras at a Framingham gas station and CVS captured Naranjo Rodriguez using four cloned cards to withdraw money from victims’ bank accounts at ATMs. Naranjo Rodriguez was arrested the same night at the Concord Rotary Gulf gas station, where he was tampering with a fuel pump after the gas station had closed. In Naranjo Rodriguez’s car, the four cloned cards from the ATM withdrawals earlier that night were found, along with fuel pump keys, black latex gloves, four card skimming devices, and the mobile phone that was receiving the text messages with the stolen credit and debit card account numbers.
United States Attorney Rachael S. Rollins and Andrew Murphy, Special Agent in Charge of the United States Secret Service, Boston Field Office made the announcement. Special assistance was provided by the Concord, Lunenburg and Raynham Police Departments in Massachusetts, Nashua (N.H.) Police Department and the Portland (Maine) Police Department. Assistant U.S. Attorney Fred M. Wyshak, III of Rollins’ Organized Crime & Gang Unit prosecuted the case.Five Individuals Indicted for Defrauding Non-Profit Medical OrganizationRead the Press Release
PITTSBURGH, Pa - Five individuals, residents of Pennsylvania and Ohio, have been indicted by a federal grand jury in Pittsburgh in an indictment that variously charges them with Conspiracy to Commit Mail/Wire Fraud, Wire Fraud, Conspiracy to Commit Money Laundering, and Mail Fraud, Acting United States Attorney Troy Rivetti announced today.
The 17-count Indictment named Drew Pierce, age 55, of West Middlesex, PA, Mark Marriott, age 56, of Sharpsville, PA, John Laeng, age 70, of West Middlesex, PA, John O’Brien, age 60, of Masury, OH, and Christopher O’Brien, age 58, of Masury OH, as the defendants.
According to the Indictment, from 2011 through 2019, the defendants combined to defraud Primary Health Network, a non-profit medical organization, of more than $2,000,000 through a series of schemes. Not every defendant is charged with participating in each of the schemes to defraud.
“Defrauding a non-profit medical organization not only harms that organization, but it also does great indirect harm to the patients these organizations are created to help,” said Acting United States Attorney Troy Rivetti. “Through the great investigative work of and partnership with our law enforcement partners, the U. S. Attorney’s Office is able to prosecute these matters to hold perpetrators of such crimes accountable.”
“The FBI takes our responsibility to investigate and pursue those who commit fraud for personal gain very seriously,” said FBI Pittsburgh Special Agent in Charge Mike Nordwall. “Today’s indictment describes elaborate and egregious schemes to steal money from a non-profit organization. These arrests send the message that the FBI is committed to working with our partners to hold those accountable who think they can get rich through fraudulent means.”
“Engaging in a scheme to defraud a non-profit medical organization is a crime that needs to be punished,” said Yury Kruty, Special Agent in Charge of IRS-Criminal Investigation. “Today’s indictment shows that IRS-CI is committed to working with our law enforcement partners to investigate and prosecute those who commit offenses such as these.”
On each of the mail fraud, wire fraud, and conspiracy to commit mail/wire fraud counts, the law provides for a maximum total sentence of not more than 20 years in prison, and a fine of not more than $250,000 or no more than twice the gross gain to any person or loss to any person other than the defendant, whichever is greater. On each of the charges of conspiracy to commit money laundering, the law provides for a maximum total sentence of not more than 10 years in prison, and a fine of not more than $250,000 or no more than twice the gross gain to any person or loss to any person other than the defendant, or no more than twice the amount of the criminally derived property involved in the charged transactions, whichever is greatest. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
Assistant United States Attorneys William B. Guappone and Jeffrey R. Bengel are prosecuting this case on behalf of the government.
The Federal Bureau of Investigation and the Internal Revenue Service conducted the investigation leading to the Indictment in this case.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Five Individuals Found Guilty of Drug Trafficking, Firearms Violations, and Three MurdersRead the Press Release
SAN JUAN, Puerto Rico – A federal jury convicted Luis Carmona-Bernacet, a.k.a. “Canito Cumbre”; Yadiel Serrano-Canales, a.k.a. “Motombo”; Alan Lugo-Montalvo; Fabiany Almestica-Monge; and Rolando Rivera-Solis today for drug trafficking, firearms violations and three murders, including the murder of banker Maurice Spagnoletti on June 15, 2011.
Convictions:
Luis Carmona-Bernacet, a.k.a. “Canito Cumbre”- guilty of Count one (Conspiracy to Possess with Intent to Distribute Controlled Substances); Count two (Possession of a firearm in furtherance of a drug trafficking crime); Count three (Use of a Firearm During and in Relation to a Crime of Violence Resulting in the Murder of William Castro-Vidot). Defendant was found not guilty of Count four (Use of a Firearm During and in Relation to a Crime of Violence Resulting in the Murder of René Cruz-Cuadrado); Count 5 (Use of a Firearm During and in Relation to a Crime of Violence Resulting in the Murder of Maurice Spagnoletti).
Yadiel Serrano-Canales, a.k.a. “Motombo”- Guilty of Counts 1, 2, and 5.
Alan Lugo-Montalvo- Guilty of Count 1. Not guilty of Count 2.
Fabiany Almestica-Monge- Guilty of Counts 1 and 2.
Rolando Rivera-Solis- Guilty of Counts 1, 2 and 5.
According to court documents and evidence presented at trial, since the year 2000 and continuing up to 2014, in the municipalities of San Juan, Trujillo Alto, Guaynabo, and Bayamón, the defendants were members of an enterprise engaged in murder and drug trafficking.
Four defendants were found guilty of using firearms during and in relation to drug trafficking crimes. One defendant was found guilty with counseling, commanding, inducing and procuring each other to carry a firearm during and in relation to a drug trafficking crime, and in the course of that crime, causing the death of William Castro on December 30, 2002. In regard to the murder of Maurice Spagnoletti, defendants Serrano-Canales and Rivera-Solis aided and abetted each other with counseling, commanding, inducing and procuring each other to carry a firearm during and in relation to a drug trafficking crime, and in the course of that crime, causing the death of Maurice Spagnoletti.
A sixth defendant, Alex Burgos-Amaro is scheduled to begin trial on a later date.
The sentencing hearings are scheduled for August 11, 2023, at 9:00 a.m.
U.S. Attorney W. Stephen Muldrow of the District of Puerto Rico and Joseph González, Special Agent in Charge of the FBI made the announcement.
The FBI investigated the case with the assistance of the Puerto Rico Police Bureau.
Assistant U.S. Attorneys Kelly Zenón-Matos, Alberto López-Rocafort, Victor O. Acevedo-Hernández, and Gregory Conner are prosecuting the case.
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Fifth Defendant Sentenced to 48 Months in Prison for Large-Scale Trafficking of Rhinoceros Horns and Elephant Ivory and Heroin ConspiracyRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, announced that ABDI HUSSEIN AHMED, a citizen of Kenya, was sentenced to 48 months in prison for conspiring to traffic large quantities of rhinoceros horns and elephant ivory — both protected wildlife species — worth millions of dollars that involved the illegal poaching of more than approximately 35 rhinoceros and more than 100 elephants, as well as for conspiring to distribute and possess with intent to distribute one kilogram or more of heroin. The sentence was imposed earlier today by U.S. District Judge Gregory H. Woods.
AHMED is the fifth and final member of these conspiracies to be sentenced in a case prosecuted over the course of several years, and which has involved the extradition of multiple individuals from several countries in Africa. AHMED’s co-conspirators were previously sentenced to substantial prison terms by Judge Woods. Specifically, MOAZU KROMAH, a/k/a “Ayoub,” a/k/a “Ayuba,” a/k/a “Kampala Man,” a citizen of Liberia, was sentenced to a prison term of 63 months; AMARA CHERIF, a/k/a “Bamba Issiaka,” a citizen of Guinea, was sentenced to a prison term of 57 months; MANSUR MOHAMED SURUR, a/k/a “Mansour,” a citizen of Kenya, was sentenced to a prison term of 54 months; and BADRU ABDUL AZIZ SALEH, a/k/a “Badro,” a citizen of Kenya, was sentenced to a prison term of 42 months.
U.S. Attorney Damian Williams said: “Wildlife trafficking is a serious threat to the natural resources and the ecological heritage shared by communities across the globe, and heroin trafficking poses deadly risks to countless individuals. Moazu Kromah, Amara Cherif, Mansur Mohamed Surur, Badru Abdul Aziz Saleh, and Abdi Hussein Ahmed chose profit over compliance with various United States and international laws that prohibit both of these crimes. This case demonstrates the crossover between cases involving wildlife trafficking and other kinds of transnational crime. And the substantial sentences received by these defendants show the resolve of this Office to use every tool at our disposal to ensure the protection of endangered species and the safety of our communities.”
According to the charging and other documents filed in the case, as well as statements made in court proceedings:
KROMAH, CHERIF, SURUR, and AHMED were members of a transnational criminal enterprise (the “Enterprise”) based in Uganda and surrounding countries that was engaged in the large-scale trafficking and smuggling of rhinoceros horns and elephant ivory, both protected wildlife species. Trade involving endangered or threatened species violates several U.S. laws, as well as international treaties implemented by certain U.S. laws.
From at least in or about December 2012 through at least in or about May 2019, KROMAH, CHERIF, SURUR, and AHMED conspired to transport, distribute, sell, and smuggle at least approximately 190 kilograms of rhinoceros horns and at least approximately 10 tons of elephant ivory from or involving various countries in East Africa, including Uganda, the Democratic Republic of the Congo, Guinea, Kenya, Mozambique, Senegal, and Tanzania, to buyers located in the United States and countries in Southeast Asia. Such weights of rhinoceros horn and elephant ivory are estimated to have involved the illegal poaching of more than approximately 35 rhinoceros and more than approximately 100 elephants. In total, the estimated average retail value of the rhinoceros horns involved in the conspiracy was at least approximately $3.4 million, and the estimated average retail value of the elephant ivory involved in the conspiracy was at least approximately $4 million.
Typically, the defendants exported and agreed to export the rhinoceros horns and elephant ivory for delivery to foreign buyers, including a buyer represented to be in Manhattan, in packaging that concealed the rhinoceros horns and elephant ivory in, among other things, pieces of art such as African masks and statues. The defendants received and deposited payments from foreign customers that were sent in the form of international wire transfers, some of which were sent through U.S. financial institutions, and paid in cash.
On or about March 16, 2018, law enforcement agents intercepted a package containing a black rhinoceros horn sold by the defendants that was intended for a buyer represented to be in Manhattan:
From in or about March 2018 through in or about May 2018, the defendants offered to sell additional rhinoceros horns of varying weights, including horns weighing up to approximately seven kilograms. On or about July 17, 2018, law enforcement agents intercepted a package containing two rhinoceros horns weighing over five kilograms that were sold by the defendants and intended for a buyer represented to be in Manhattan:
Separately, from at least in or about August 2018 through at least in or about May 2019, SURUR, AHMED, and SALEH conspired with others to distribute and possess with intent to distribute a large quantity of heroin to a buyer represented to be located in New York.
KROMAH was arrested in Uganda on June 12, 2019, and expelled to the United States on June 13, 2019. CHERIF was arrested in Senegal on June 7, 2019, and extradited to the United States on April 2, 2020. SURUR was arrested in Kenya on July 29, 2020, and extradited to the United States on January 25, 2021. SALEH was arrested in Kenya on May 30, 2022, and extradited to the United States on June 17, 2022. AHMED was arrested in Kenya on August 1, 2022, and extradited to the United States on September 3, 2022. The defendants all have been detained since their arrest and arrival in this country.
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KROMAH, 53, of Liberia; CHERIF, 58, of Guinea; SURUR, 62, of Kenya; and AHMED, 49, of Kenya, each pled guilty to one count of conspiracy to commit wildlife trafficking. In addition, KROMAH and CHERIF both pled guilty to two counts of wildlife trafficking. SALEH, 52, of Kenya, SURUR, and AHMED each pled guilty to one count of conspiracy to distribute and possess with intent to distribute one kilogram or more of heroin.
Mr. Williams praised the outstanding investigative work of the U.S. Fish and Wildlife Service and the U.S. Drug Enforcement Administration, and he thanked law enforcement authorities and conservation partners in Uganda and Kenya, including the Uganda Wildlife Authority, the Uganda Office of the Director of Public Prosecution, the Uganda Police Force, the Kenya Directorate of Criminal Investigations, and the Kenyan Office of the Director of Public Prosecutions, for their assistance in this investigation. Mr. Williams also thanked the U.S. Department of Justice’s Office of International Affairs and the Department of State for their invaluable assistance, which made it possible to secure the arrest and return of these five defendants from Kenya, Senegal, and Uganda to the United States.
The prosecution of this case is being handled by the Office’s Complex Frauds and Cybercrime Unit. Assistant U.S. Attorneys Sagar K. Ravi and Jarrod L. Schaeffer are in charge of the prosecution.
Felon sentenced to prison for illegal possession of firearmRead the Press Release
BILLINGS — A man with multiple state and federal felony convictions was sentenced today to a total of five years and five months in prison for violating supervised release on prior convictions and for illegally possessing a firearm after law enforcement found a loaded gun in a vehicle he was driving when it crashed, U.S. Attorney Jesse Laslovich said.
Travis Alan-Cody Pair, 39, a transient, pleaded guilty in January to prohibited person in possession of a firearm. Pair also admitted to violating conditions of supervised release for two earlier convictions.
U.S. District Judge Susan P. Watters presided. The court imposed a 57-month sentence for the firearm conviction and ordered a consecutive eight months in prison in revocations of supervised release for prior federal convictions on felon in possession of a firearm and a drug trafficking crime.
The government alleged in court documents that in August 2022, Billings Police Department officers responded to a traffic accident involving a Subaru and detained the driver, identified as Pair, who attempted to walk away. Officers recovered a fully loaded 9mm semi-automatic pistol that had a round in the chamber from the floor of the driver’s seat. Before the accident, a witness claimed that Pair displayed the gun to the witness after Pair noticed the witness following Pair’s car. At the time of crash, Pair was on state and federal supervision for felony convictions and was prohibited from possessing firearms.
Assistant U.S. Attorney Colin M. Rubich prosecuted the case. The Bureau of Alcohol, Tobacco, Firearms and Explosives and the Billings Police Department conducted the investigation.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone. On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.
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Federal and State Authorities Reach Settlement with Familia Dental over Healthcare Fraud ClaimsRead the Press Release
SPRINGFIELD, Ill. – Familia Dental in Springfield, Illinois, today agreed to pay approximately $300,000 to resolve allegations that it violated the False Claims Act by submitting claims to Medicaid for dental services that were not medically necessary during the period from June 1, 2016, through November 26, 2019. From the total settlement, the United States will receive approximately $120,000, and the State of Illinois will receive about $180,000.
“When healthcare providers bill government programs for unnecessary services, not only are taxpayer dollars wasted, but also those programs have fewer resources to care for beneficiaries,” said U.S. Attorney Gregory K. Harris for the Central District of Illinois. “This settlement sends a clear message to those who overcharge the government that you will be found and held accountable.”
“The submission of false claims to Medicaid by providers undermines the trust we place in those individuals to perform only services which are medically necessary,” said Special Agent in Charge Mario M. Pinto of the U.S. Department of Health and Human Services, Office of Inspector General, Chicago Region. “HHS-OIG will continue to work together with our law enforcement partners to ensure that those who violate the False Claims Act are held accountable.”
“Healthcare professionals are in a position of trust and when they break that trust by fraudulently obtaining thousands of taxpayer dollars, ISP will be there to investigate,” said Illinois State Police Director Brendan F. Kelly.
The claims resolved by the settlement are allegations only, and there has been no determination of liability.
The settlement was the result of a coordinated effort by the U.S. Attorney’s Office for the Central District of Illinois, the Inspector General’s Office of the Department of Health and Human Services, and the Illinois State Police Medicaid Fraud Control Unit. Assistant U.S. Attorney John Hoelzer represented the government during the settlement process. To learn more about the U.S. Attorney’s Office for the Central District of Illinois, please visit https://www.justice.gov/usao-cdil.
Federal Grand Jury Indicts Taylor County Man on Child Pornography ChargesRead the Press Release
Bowling Green, KY – A federal grand jury in Bowling Green, Kentucky, returned an indictment on May 10, 2023, charging Robert Blake Merryman with producing, distributing, and possessing child pornography.
U.S. Attorney Michael A. Bennett of the Western District of Kentucky and FBI Special Agent in Charge Jodi Cohen of the Louisville Field Office made the announcement.
According to the indictment, on April 6, 2023, in Taylor County, Kentucky, Merryman used a minor male under 2 years of age to engage in sexually explicit conduct for the purpose of producing a visual depiction of such conduct, and the visual depiction was transmitted in interstate commerce by computer.
If convicted, Merryman faces a maximum sentence of 70 years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors. There is no parole in the federal system.
The FBI is investigating the case.
Assistant U.S. Attorney Madison Sewell, of the U.S. Attorney’s Bowling Green Branch Office, is prosecuting the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. For more information about internet safety education, please visit www.usdoj.gov/psc and click on the tab “resources.”
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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Federal Court Permanently Enjoins Tax Return Preparer in Texas and Orders Disgorgement of Tax Prep FeesRead the Press Release
A federal court in the Southern District of Texas has permanently enjoined a Houston-area tax return preparer from preparing federal tax returns for others and from owning, operating, or franchising any tax return preparation business in the future.
In its order, the court found that Hollins Ray Alexander engaged in conduct that substantially interferes with the proper administration of the tax laws, warranting a permanent bar on acting as a tax return preparer for others. As alleged in the complaint, Alexander prepared tax returns for others in which he overstated customers’ refunds by fabricating deductions or falsely claiming credits to which customers were not entitled. Although Alexander failed to respond to the government’s motion for an injunction, the court found that the record and applicable law warrant the entry of the injunction. The terms of the injunction require that Alexander send notices of the injunction to each person for whom he prepared federal tax returns and to post the injunctions in places where he conducts business, including social media accounts and websites. The injunction permits the United States to conduct post-judgment discovery to monitor Alexander’s compliance. The court also required Alexander to disgorge the sum of $165,940 to the United States in tax preparation fees.
Deputy Assistant Attorney General David A. Hubbert of the Justice Department’s Tax Division made the announcement.
Shady tax return preparers remain a concern of the IRS, which recently warned taxpayers about unscrupulous tax return preparers are part of the IRS’s Dirty Dozen series. Taxpayers seeking a return preparer should remain vigilant against unscrupulous tax preparers. The IRS has information on its website for choosing a tax return preparer and has launched a free directory of federal tax preparers. The IRS also offers 10 tips to avoid tax season fraud and ways to safeguard their personal information.
In the past decade, the Department of Justice Tax Division has obtained injunctions against hundreds of unscrupulous tax preparers. Information about these cases is available on the Justice Department’s website. An alphabetical listing of persons enjoined from preparing returns and promoting tax schemes can be found on this page. If you believe that one of the enjoined persons or businesses may be violating an injunction, please contact the Tax Division with details.
Everett Man Sentenced for Armed Bank RobberyRead the Press Release
BOSTON – An Everett man was sentenced yesterday in federal court in Boston for committing the February 2021 armed bank of a TD Bank branch in Allston.
Jamaine Howell, 36, was sentenced by U.S. District Court Judge Richard G. Stearns to nine years in prison and five years of supervised release. On Jan. 5, 2023, Howell pleaded guilty to one count of bank robbery and one count of using and carrying a firearm during and in relation to, and possessing a firearm in furtherance of, a crime of violence.
On Feb. 7, 2021, Howell entered a branch of TD Bank on Commonwealth Avenue in Allston and handed a demand note and a plastic bag to the teller. Howell threatened the teller and stated that he had a gun. Howell then threatened two bank customers and displayed a firearm. After taking the plastic bag –containing approximately $5,900 – from the teller, Howell instructed one of the customers to leave the bank with him. After walking about a block with Howell, the customer managed to flee while Howell was distracted. At the time, Howell was on probation for previous armed robbery convictions.
Later that week, police received a report that Howell brandished a firearm at a guest at a hotel in Sharon. On Feb. 16, 2021, Howell was arrested and found armed with a loaded .45 caliber Ruger handgun. A loaded semi-automatic shotgun was also found in a vehicle that had previously been rented to Howell.
United States Attorney Rachael S. Rollins and Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division made the announcement today. The Boston, Sharon and Lynn Police Departments provided valuable assistance with the investigation. Assistant U.S. Attorney Charles Dell’Anno of Rollins’ Major Crimes Unit prosecuted the case.
EDVA Seizes Thirteen Domains Used by Lebanese Hizballah and Its AffiliatesRead the Press Release
ALEXANDRIA, Va. – The U.S. Attorney’s Office for the Eastern District of Virginia announced today the seizure of 13 domains used by Specially Designated Nationals (SDNs), Specially Designated Global Terrorists (SDGTs), and their members associated with Lebanese Hizballah.
According to court records, the United States obtained court authorization to seize five domains registered to the Public Interest Registry (PIR) – moqawama.org, almanarnews.org, manarnews.org, almanar-tv.org, and alshahid.org – and eight domains registered to Verisign, Inc. – manartv.net, manarnews.net, almanar-tv.com, almanar-tv.net, alidaamouch.com, Ibrahim-alsayed.net, alemdad.net, and naimkassem.net.
“EDVA is at the forefront of ensuring that American internet infrastructure is unavailable for use by international terrorist organizations, their members and affiliates,” said U.S. Attorney Jessica D. Aber for the Eastern District of Virginia. “The domains seized through this operation are controlled by individuals and entities engaged in planning or perpetrating acts of terrorism against Americans and thus are not lawfully permitted to use American infrastructure. Operations like this disrupt terrorist activity by blocking one avenue these groups and individuals use to gather support and influence.”
“Today’s web domain seizures deny terrorist organizations and affiliates significant sources of support and makes clear we will not allow these groups to use U.S. infrastructure to threaten the American people,” said Assistant Attorney General Matthew G. Olsen of the Justice Department’s National Security Division. “The Justice Department will continue to enforce economic sanctions as part of our commitment to deploy all available tools against threats from hostile nation-states and terrorist actors alike.”
Pursuant to the International Emergency Economic Powers Act (IEEPA), SDNs and SDGTs, such as Lebanese Hizballah, Al Manar TV, Ali Damush, Ibrahim al-Sayyid, Islamic Charitable Emdad Committee, Martyrs’ Foundation in Lebanon, Naim Qasim, and their members may not obtain services, including website and domain services, in the United States without a license from the Office of Foreign Assets Control (OFAC). No such license was obtained for the 13 seized domains.
Additionally, these 13 domains are subject to seizure as assets of entities and organizations engaged in planning or perpetrating acts of terrorism against the United States, its citizens and residents, and their property. These domains also afford a source of influence over those entities and organizations. The seizure of these domains will cut off that source of support and influence.
“Today’s seizure reduces Hizballah’s ability to peddle their dangerous violent ideology across the globe,” said Matthew S. Axelrod, Assistant Secretary for Export Enforcement at the Department of Commerce. “This coordinated enforcement action demonstrates that the U.S. Government will proactively use all available enforcement tools to thwart those who seek to perpetrate acts of terror.”
“These court-authorized domain seizures reflect the FBI’s continued dedication to the fight against terrorism," said Keri Farley, Special Agent in Charge of FBI Atlanta. “Along with our federal and international partners, the FBI remains focused on proactively disrupting web domains controlled by Specially Designated Nationals – those who attempt to illegally utilize US infrastructure to incite deadly violence against the United States and our Allies to further the objectives of foreign terrorist organizations.”
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia; Matthew G. Olsen, Assistant Attorney General of the Justice Department’s National Security Division; Keri Farley, Special Agent in Charge of the FBI Atlanta Field Office; and Matthew S. Axelrod, Assistant Secretary for Export Enforcement at the Department of Commerce, announced the seizure of the domain names.
The government is represented by Assistant U.S. Attorneys David A. Peters and Laura D. Withers for the Eastern District of Virginia in these matters.
The Department of Justice’s National Security Division provided assistance on this case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia.
Duluth Man Pleads Guilty to Wire Fraud for Operating Fraudulent Law FirmRead the Press Release
MINNEAPOLIS – A Duluth man has pleaded guilty to wire fraud after pretending to operate a law firm and defrauding an individual out of thousands of dollars in legal fees, announced U.S. Attorney Andrew M. Luger.
According to court documents, between March and April 2022, Gale Allen Rachuy, 73, devised and executed a scheme to defraud an individual (Victim A) by falsely representing that he could provide legal services in connection with Victim A’s post-conviction motion in exchange for $10,000. Rachuy told Victim A that he operated Midwest Legal Service, a Duluth-area law firm, for more than 38 years and claimed to employ several attorneys, including a retired federal judge who previously served on the Seventh Circuit Court of Appeals (Judge A) and a retired Hennepin County District Court judge (Judge B).
According to court documents, on March 10, 2022, Rachuy sent a letter to Victim A on Midwest Legal Service letterhead falsely claiming that Judge A would assist in Victim A’s legal representation and enclosed a copy of a retainer agreement seeking a $2,500 payment. On March 15, 2022, Rachuy received the $2,500 retainer from Victim A. Shortly thereafter, Victim A became suspicious and confronted Rachuy because Victim A had not received a draft of the legal documents Rachuy had promised to file. Rachuy promised Victim A that he would promptly refund the money, but never did so. Instead, Rachuy continued to falsely assure Victim A that Judge A and Judge B were working on the case.
Rachuy pleaded guilty yesterday in U.S. District Court before Senior Judge Joan N. Ericksen to one count of wire fraud. A sentencing hearing will be scheduled at a later date.
This case is the result of an investigation conducted by the FBI, the Duluth Police Department, and the Hermantown Police Department, with assistance from the St. Louis County Attorney’s Office.
Assistant U.S. Attorneys Chelsea A. Walcker and Harry M. Jacobs are prosecuting the case.
Drug Dealer Sentenced to 35 Years in Prison for One Fatal, Two Nonfatal Drug Overdoses in St. CharlesRead the Press Release
ST. LOUIS – U.S. District Judge Henry E. Autrey on Wednesday sentenced a man who provided the drugs that caused one fatal and two nonfatal overdoses in St. Charles, Missouri to 35 years in prison.
Ledra A. Craig, 46, of Wright City, was also ordered to pay $8,544 for his victim’s funeral.
Craig first supplied fentanyl to a man in the bathroom of the Ameristar Casino in St. Charles just before 7 a.m. on August 2, 2020, according to court statements and evidence at Craig’s trial in January. The man collapsed minutes later in the lobby and had to be revived with two doses of Narcan.
While that victim was on the brink of death, Craig sold fentanyl to another man, identified in court documents as “R.P.,” in the parking garage. Craig had approached that man and his friend in the casino earlier and offered to sell them cocaine.
About 40 minutes later, R.P. and his friend were spotted in a car in a neighborhood a few blocks from R.P.’s house. Authorities were called when the car rolled forward onto someone’s lawn. Both men had overdosed. N.B. was revived with Narcan. R.P. was blue, had no pulse and was not breathing. Efforts to revive him were unsuccessful.
Assistant U.S. Attorney Derek Wiseman pointed out during Wednesday’s hearing that the victim "did not know what the defendant was selling him. In fact, the defendant knew that the victim thought he was getting cocaine when the defendant knew and understood that R.P. was about to ingest one of the most lethal substances known to man: fentanyl. Despite knowing just how dangerous and deadly fentanyl was, the defendant continued to sell it anyway.”
Investigators quickly identified Craig as the man seen in the casino with the overdose victims, and an undercover officer bought fentanyl from Craig later that day in a transaction that was recorded on video. After his arrest, Craig admitted selling fentanyl to R.P. and conspiring to sell fentanyl that summer. R.P.’s phone was found in Craig’s house, as well as fentanyl capsules and residue.
Craig was found guilty by a federal jury in January of a fentanyl conspiracy charge, two counts of distribution of fentanyl causing serious bodily injury for the non-fatal overdoses, one count of distribution of fentanyl with death resulting and one count of fentanyl distribution for the sale to an undercover police officer.
"Because fentanyl is so lethal, DEA investigations involving drug poisoning deaths are no longer rare events," said Assistant Special Agent in Charge Colin Dickey, supervisor of DEA operations in Eastern Missouri. "We know drug traffickers lie about their illegal products. They don't care about human lives and are only involved in their criminal enterprise for the money. The only safe solution to avoid dying from fentanyl is to avoid drugs, especially if there’s a chance it came from someone like this defendant."
“We are pleased with the outcome but saddened by the loss of life,” said Captain Jeff Lange, deputy commander of the St. Charles County Regional Drug Task Force. “We hope this verdict sends a message to the drug dealers that they will not get away with the taking of lives and we hope the families can find peace with the tragic loss of their loved one. We are proud we were able to play a role in holding Mr. Craig accountable for his actions in the dealing of drugs in our community. “
The case was investigated by the St. Charles County Regional Drug Task Force and the Drug Enforcement Administration. Assistant U.S. Attorneys Derek Wiseman and Samantha Reitz prosecuted the case.
Dos Hombres Acusados de Delitos Ambientales Cometidos en la Reserva Nacional de Investigación Estuarina de Bahía de Jobos y en la Comunidad Las Mareas en Salinas, Puerto RicoRead the Press Release
SAN JUAN, Puerto Rico - El 10 de mayo de 2023, un gran jurado federal del distrito de Puerto Rico emitió dos pliegos acusatorios, por separado, contra Luis Enrique Rodríguez Sánchez y Pedro Luis Bones Torres por violaciones a la Ley de Agua Limpia (Clean Water Act en inglés) y a la Ley de Ríos y Puertos (Rivers and Harbors Act en inglés), anunciaron W. Stephen Muldrow, Fiscal Federal para el Distrito de Puerto Rico, y Todd Kim, Subsecretario de Justicia y jefe de la División del Medioambiente y Recursos Naturales del Departamento de Justicia de los EE.UU. Los cargos están relacionados a la construcción ilegal y depósito de materiales en los humedales y aguas estadounidenses en el área de la Reserva Nacional de Investigación Estuarina de Bahía de Jobos (la Reserva Estuarina de Jobos) y la comunidad Las Mareas en Salinas, Puerto Rico.
Varias agencias federales participan en esta investigación sobre delitos ambientales en la Reserva Estuarina de Jobos y la comunidad Las Mareas, incluyendo la División de Investigación Criminal de la Agencia de Protección Ambiental (EPA-CID por sus siglas en inglés), el Negociado Federal de Investigaciones (FBI), la División de Investigación Criminal del Departamento del Ejército de los EE.UU. (Army-CID por sus siglas en inglés), la Oficina del Inspector General del Departamento de Comercio de los EE.UU. (DOC-OIG por sus siglas en inglés), la Oficina para la Implementación de Leyes de la Administración Nacional Oceánica y Atmosférica (NOAA-OLE por sus siglas en inglés) y la Oficina para la Implementación de Leyes del Servicio Federal de Pesca y Vida Silvestre (FW-OLE por sus siglas en inglés).
Las acusaciones establecen que, desde aproximadamente enero del 2020 hasta octubre del 2022, Luis Enrique Rodríguez Sánchez (Rodríguez Sánchez) y Pedro Luis Bones Torres (Bones Torres) virtieron, a sabiendas, material de relleno de maquinaria de excavación en humedales y aguas estadounidenses en violación a la Ley de Agua Limpia. Además, se acusó a Rodríguez Sánchez y Bones Torres de construir estructuras dentro de aguas navegables estadounidenses sin autorización del Secretario del Ejército, en violación a la Ley de Ríos y Puertos.
La Ley de Agua Limpia fue aprobada por el Congreso en 1972 para proteger y mantener la integridad de las aguas de Estados Unidos. El próposito principal de la Ley de Agua Limpia es asegurar la restauración y mantenimiento de la integridad química, física y biológica de las aguas del país. La ley prohíbe la descarga de cualquier contaminante o material de relleno en aguas estadounidenses, excepto cuando se obtenga un permiso de los Estados Unidos.
La Ley de Ríos y Puertos fue aprobada originalmente en 1899 y generalmente se considera la ley ambiental más antigua de los Estados Unidos. Sirve para regular y proteger las aguas navegables estadounidenses y prohibir la construcción no autorizada de estructuras en esas aguas.
Tanto la Ley de Agua Limpia como la Ley de Ríos y Puertos protegen las aguas costeras de la Reserva Estuarina de Jobos.
La Reserva Estuarina de Jobos fue nombrada reserva nacional de investigación estuarina por la Administración Nacional Oceánica y Atmosférica (NOAA) en el 1981 y consta de aproximadamente 2,800 acres de ecosistema costero en en litoral meriodional de Puerto Rico. La Reserva Estuarina de Jobos contiene islas y bosques de manglares, humedales mareales, arrecifes de coral, lagunas, salinas, bosques secos y praderas marinas. También es hogar del pelícano pardo, el halcón peregrino, la tortuga carey y el manatí antillano, especies en peligro de extinción. La Reserva Estuarina de Jobos es propiedad del Departamento de Recursos Naturales y Ambientales de Puerto Rico (DRNA) y es operado por éste.
Ambos, Rodríguez Sánchez y Bones Torres, fueron arrestados, y está previsto que comparezcan hoy ante el Juez Magistrado Marshal D. Morgan del Tribunal de Distrito de los EE.UU. del Distrito de Puerto Rico para sus respectivas vistas iniciales. Si son declarados culpables, los acusados enfrentarán hasta un total de cuatro años de cárcel, multas y medidas cautelares para eliminar las estructuras ilegales.
“Estos casos demuestran nuestro compromiso para proteger los ecosistemas de los humedales, el cual tiene muchos beneficios públicos y ambientales”, comentó Todd Kim, Subsecretario de Justicia y jefe de la División del Medioambiente y Recursos Naturales del Departamento de Justicia de los EE.UU. “Los humedales costeros protegen a las comunidades de las marejadas ciclónicas y los huracanes, protegen a las especies vulnerables de la explotación, estabilizan los estuarios y proveen una filtración natural del agua que mejora su calidad”.
“La Fiscalía Federal está comprometida en hacer cumplir las leyes federales de protección ambiental y responsabilizar a los infractores de los daños causados. Estas leyes protegen a los animales, los recursos y los hábitats en Puerto Rico, la Reserva Nacional de Investigación Estuarina de Bahía de Jobos y la comunidad Las Mareas. La contaminación, el relleno y la construcción no autorizada dentro de las aguas protegidas de los Estados Unidos también plantean problemas de inundaciones y mitigación de huracanes para las comunidades aledañas. Por lo tanto, son una prioridad para el cumplimiento de las leyes ambientales federales”, expresó W. Stephen Muldrow, Fiscal Federal para el Distrito de Puerto Rico.
“Los humedales costeros de Puerto Rico son un recurso importante, ya que proveen un hábitat para numerosas especies en peligro de extinción y sirven de amortiguador natural contra los efectos de los huracanes y las inundaciones, fenómenos que van en aumento con el cambio climático”, mencionó el Agente Especial a Cargo Tyler Amon de la División de Investigación Criminal de la Agencia de Protección Ambiental de los EE. UU. “Los hábitats costeros de Puerto Rico han sido habitualmente explotados y maltratados por desarrolladores y arrendatarios ilegales, pero las acusaciones de hoy demuestran que la EPA y nuestros compañeros federales del orden público están trabajando activamente para detener estas actividades ilegales y proteger estas zonas para las generaciones futuras”.
“La conservación y protección del mundo que todos compartimos es nuestra responsabilidad colectiva e individual. Lo que ven hoy es el resultado de esa responsabilidad colectiva que ha sido tomada en serio por quienes estamos llamados a servir y proteger”, dijo Joseph González, Agente Especial a Cargo de la Oficina del FBI en San Juan. “Nuestro compromiso en el FBI es investigar y reducir al máximo las amenazas a nuestra seguridad pública y nacional, y estamos plenamente comprometidos con nuestros compañeros locales y federales para que así sea. Dondequiera que se lleven a cabo violaciones a las leyes federales, espere ver al FBI trabajando mano a mano con nuestros compañeros. El mensaje debe ser claro: se aplicarán las leyes de protección ambientales y los infractores deberían esperar las consecuencias”.
“Las acciones de hoy son una clara señal que la Oficina del Inspector General del Departamento de Comercio (DOC-OIG) está dedicada a la investigación de posibles fraudes, despilfarros y abusos en proyectos que reciben fondos de la NOAA. La DOC-OIG aprecia grandemente los esfuerzos de cooperación entre nuestros compañeros fiscales y policiales en la aplicación de las leyes que protegen el ambiente y la belleza natural de Puerto Rico”, comentó Jeffrey Lysaght, Agente Especial a Cargo de la Oficina del Inspector General del Departamento de Comercio de los EE.UU.
El Agente Especial a Cargo de la Oficina para la Implementación de Leyes del Servicio Federal de Pesca y Vida Silvestre del Sudeste, Stephen Clark, declaró que, “Continuamos trabajando con nuestros compañeros en proteger los ecosistemas frágiles que sirven de hogar para las especies silvestres autóctonas y seguiremos llevando ante la justicia a quienes pretenden explotar estos recursos con total desprecio de las consecuencias que trae para el pueblo y los recursos naturales de Puerto Rico”.
“Estamos dedicados a hacer cumplir las leyes que conservan y protegen los recursos marinos de nuestra nación y su hábitat natural”, dijo Manny Antonaras, Director Auxiliar de la Oficina para la Implementación de Leyes, División Sureste de la NOAA. “Este caso resalta la importancia de nuestra colaboración continua con los compañeros del orden público para exigir responsabilidades a quienes infringen las normas.”
“Estamos muy satisfechos con el anuncio de hoy”, declaró el Agente Especial a Cargo L. Scott Moreland de la División de Investigación Criminal de la Oficina de Investigación de Malversación de Adquisiciones del Departamento del Ejército de los EE. UU. “Esto es un verdadero testamento de nuestro compromiso continuo de colaborar estrechamente con nuestros compañeros de las demás agencias para investigar las violaciones a las leyes federales.”
El caso está siendo procesado por el Fiscal Federal Sénior Patrick M. Duggan de la Sección de Delitos Ambientales del Departamento de Justicia de los EE. UU. y el Fiscal Federal Auxiliar Seth A. Erbe, coordinador de litigios ambientales de la Fiscalía Federal para el Distrito de Puerto Rico.
Estas acusaciones son parte de una investigación en curso. Si usted tiene alguna información relacionada a esta investigación o a delitos ambientales locales, por favor contacte a los oficiales del órden público. Usted puede hacerlo de manera anónima si lo desea. Para contactar a la EPA, llame al (787) 977-5821 o visite la página web https://echo.epa.gov/denuncie-violaciones-ambientales. Para contactar al FBI, llame al (787) 987-6500 o visite la página web https://tips.fbi.gov/.
Para más información acerca de la Reserva Nacional de Investigación Estuarina de Bahía de Jobos, visite la página web https://www.drna.pr.gov/jbnerr/ o https://coast.noaa.gov/nerrs/reserves/jobos-bay.html.
Una acusación no es más que una alegación, y todos los acusados se presumen inocentes hasta que se demuestro su culpabilidad más allá de duda razonable ante un tribunal.
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District of Vermont’s U.S. Attorney’s Office Recognizes National Police WeekRead the Press Release
Burlington, Vermont - In honor of National Police Week, United States Attorney Nikolas P. Kerest recognizes the service and sacrifice of federal, state, county, and local law enforcement officers in Vermont. This year, the week is commemorated from Tuesday, May 9 through Saturday, May 20, 2023.
U.S. Attorney Kerest stated, “Every day in Vermont, our federal, state, county, and local officers show up and run towards danger to keep our communities safe. This is difficult work and is vital to the safety of all Vermonters. My office commends and thanks each of them for their dedication to our Vermont communities. In addition, we should also focus on officer wellness. The pressures of responding to unknown circumstances take a toll on law enforcement officers and deserve attention. I encourage everyone to get in touch with a police officer this week and convey gratitude for their sacrifices.”
In 1962, President Kennedy issued the first proclamation for Peace Officers Memorial Day and National Police Week to remember and honor law enforcement officers for their service and sacrifices. Peace Officers Memorial Day, which every year falls on May 15, specifically honors law enforcement officers killed or disabled in the line of duty. This week, we encourage Vermonters and citizens across the country to remember and honor those who gave their lives so the rest of us can live peacefully.
Based on data from the National Law Enforcement Officer Memorial Fund (NLEOMF), the names of 556 officers killed in the line of duty are being added to the National Law Enforcement Officers Memorial in Washington, D.C. The 556 officers include 224 officers who were killed during 2022, plus 332 officers who died in previous years, but whose stories of sacrifice had been lost to history until now. The names of all 556 fallen officers nationwide will be formally dedicated during the 35th Annual Candlelight Vigil to be held on the National Mall in Washington, DC, at 8:00 pm EDT on May 13, 2023. For more information, go to candlelight vigil. The schedule of National Police Week events is available on the NLEOMF’s website.
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Reference to any specific organization or service(s) offered by an organization is for the information and convenience of the public, and does not constitute endorsement, recommendation, or favoring by the United States Department of Justice.
Delaware Man and Woman Charged with Sex and Labor Trafficking of 13 VictimsRead the Press Release
A federal grand jury in the District of Delaware returned an indictment charging a Delaware man and woman with sex trafficking, labor trafficking and related charges. The defendants are charged with aiding and abetting one another in committing sex trafficking and forced labor trafficking against 13 victims.
The indictment alleges that from 2014 through 2020, Clifton H. Gibbs, 66, and Brooke D. Waters, 44, of Lewes, recruited, harbored, transported and compelled nine victims to engage in commercial sex acts under the threat that they would suffer serious harm if they did not comply. The indictment further alleges that from 2016 through 2020, Gibbs and Waters obtained the labor and services of six victims under the threat of suffering serious harm if they did not comply. Finally, the indictment alleges that Gibbs and Waters transported three victims across state lines for the purpose of criminal sexual activity.
The sex trafficking charges carry a mandatory minimum penalty of 15 years in prison and a maximum of life imprisonment. The forced labor charges carry a maximum sentence of 20 years in prison. The interstate transportation for the purposes of criminal sexual activity charges carry a maximum sentence of 10 years in prison.
Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division, U.S. Attorney David C. Weiss for the District of Delaware, Assistant Attorney General Kenneth Polite, Jr. of the Justice Department’s Criminal Division, Special Agent in Charge William S. Walker of the Department of Homeland Security’s Homeland Security Investigations (HSI) Philadelphia and Special Agent in Charge James C. Harris of HSI Baltimore made the announcement. The Delaware State Police, led by Colonel Melissa Zebley, provided valuable assistance in the investigation.
Assistant U.S. Attorney Briana Knox for the District of Delaware, Trial Attorney Rebekah J. Bailey of the Civil Rights Division’s Human Trafficking Prosecution Unit and Trial Attorney Caylee Campbell of the Criminal Division’s Money Laundering and Asset Recovery Section are prosecuting the case, with assistance from Senior Financial Investigator Kathryn Montemorra of the Money Laundering Section’s Special Financial Investigations Unit.
Anyone who believes that they may have been a victim of this case or may have relevant information to share is asked to call the HSI tip line at 866-DHS-2423.
If you or someone you know is a victim of human trafficking, please call the National Human Trafficking Hotline at 1-888-373-7888.
An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Dallas Woman Pleads Guilty to Smuggling Non-U.S. Citizens Resulting in Migrant’s DeathRead the Press Release
EL PASO, Texas – A Dallas woman pleaded guilty in a federal court in El Paso Wednesday to charges in connection to her role as a stash house operator and coordinator of a human smuggling organization operating in far west Texas.
According to court documents, Elizabeth Miranda Lozano, 39, joined and actively participated in an ongoing conspiracy to bring in, transport, and harbor undocumented immigrants into the U.S. from Mexico through Hudspeth County from on or about November 2019 through on or about August 2021. Lozano began working for the human smuggling organization as a transport driver, picking up noncitizens near Sierra Blanca and delivering them to stash houses in the Dallas area, as well as in the Phoenix, Arizona area. In 2020, she had graduated to running stash houses in the Dallas area for the organization.
In May 2020, a co-conspirator of Lozano’s guided a group of undocumented individuals on a two-to-three-day trek to a pickup location east of the U.S. Border Patrol’s Sierra Blanca Checkpoint. Another co-conspirator, who Lozano had trained, was assigned as the pickup driver, but before the group reach the pickup location, one of the undocumented individuals began to struggle and subsequently died. The group abandoned the deceased migrant along with his son, who was eventually found by USBP agents.
Lozano pleaded guilty to one count of conspiracy to bring in aliens resulting in death and faces a maximum sentence up to life in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
U.S. Attorney Jaime Esparza of the Western District of Texas made the announcement.
Homeland Security Investigations; USBP; Immigration and Customs Enforcement; U.S. Marshals Service; FBI; The Bureau of Alcohol, Tobacco, Firearms and Explosives; and the Drug Enforcement Administration are investigating the case.
Assistant U.S. Attorneys Patricia Acosta and Jose Luis Acosta are prosecuting the case.
This case was supported by Joint Task Force Alpha (JTFA). JTFA was created by the Attorney General in June 2021 in partnership with the Department of Homeland Security (DHS), to strengthen the Department’s overall efforts to combat these crimes based on the rise in prolific and dangerous smuggling from and through Central America and impacting our border communities. JTFA’s goal is to disrupt and dismantle those human smuggling and trafficking networks operating in El Salvador, Guatemala, Honduras, and Mexico, with a focus on networks that endanger, abuse or exploit migrants, present national security risks, or engage in other types of transnational organized crime.
The U.S. Attorney’s Office for the Western District of Texas helps lead JTFA, which is comprised of detailees from southwest border U.S. Attorney’s Offices, including the Southern District of Texas, the Western District of Texas, the District of New Mexico, the District of Arizona, and the Southern District of California, and dedicated support for the program is also provided by numerous components of the Criminal Division that are part of JTFA – led by the Human Rights and Special Prosecutions Section (HRSP), and supported by the Office of Prosecutorial Development, Assistance, and Training (OPDAT), the Narcotic and Dangerous Drug Section (NDDS), the Money Laundering and Asset Recovery Section (MLARS), the Office of Enforcement Operations (OEO), the Justice Department’s Office of International Affairs (OIA), and the Organized Crime and Gang Section (OCGS). JTFA is made possible by substantial law enforcement commitment from DHS, FBI, Drug Enforcement Administration (DEA), and other partners.
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D.C. Man Pleads Guilty to Illegal Importation of a Controlled SubstanceRead the Press Release
WASHINGTON –Jonathan Montiethe Perry 39, of Washington, D.C., pleaded guilty this week to one count of importation of a controlled substance (Gamma Butyrolactone), announced U.S. Attorney Matthew M. Graves, Special Agent in Charge Derek W. Gordon, of Homeland Security Investigations (HSI) Washington, D.C. Field Office, and Robert J. Contee III, Chief of the Metropolitan Police Department.
Perry entered the plea on May 9, 2023, in the United States District Court for the District of Columbia. U.S. District Court Judge Reggie B. Walton scheduled a sentencing hearing for August 18, 2023.
According to the Government’s evidence, on or about December 26, 2022, United States Customs and Border Protection (CBP) officers assigned to the John F. Kennedy (JFK) International Airport, New York, NY Mail Branch conducted an inspection of an international package that was addressed to the defendant in Washington D.C. The package was found to contain five unmarked plastic bottles filled with clear liquid, weighing approximately 6.07 kilograms (gross weight including the plastic bottles). CBP officers used a Gemini Thermo Scientific system to analyze the clear liquid and returned a presumptive positive match for Gamma Butyrolactone (GBL). The package contained approximately 5,000 milliliters of GBL which weighed approximately 5 kilograms. A subsequent laboratory analysis of samples taken from the five bottles further confirmed that the clear liquid contained GBL.
On January 5, 2023, at approximately 10:15 a.m., an undercover law enforcement officer conducted a controlled delivery of a package to an apartment complex where it was eventually retrieved by the defendant. Shortly thereafter, the defendant was followed and observed entering another apartment complex, then into a specific apartment with the target package in his hand. Law enforcement waited several minutes, knocked on the apartment door, announced their presence, and subsequently executed a search warrant. The defendant was present and detained without incident. Upon entering the residence, law enforcement observed the target package on the kitchen table next to a pair of scissors. On a separate nearby table, there was an open laptop computer with the USPS package tracking website open and the target package’s tracking number displayed. In addition, law enforcement officers recovered hundreds of empty, unfilled plastic pill capsules, a plastic bag containing several dozen empty plastic vials, a box containing six small empty, blue-colored vials and several glass droppers. Law enforcement also recovered one plastic bag that contained at least several dozen empty plastic vials and had a maximum capacity of 400 vials.
In announcing today’s plea, U.S. Attorney Graves, Special Agent in Charge Gordon, and Chief Contee commended the work of those who investigated the case from Homeland Security Investigations and the Metropolitan Police Department. They acknowledge the efforts of those who worked on the case from the U.S. Attorney’s Office, including Paralegal Specialist Karla Nunez.
Finally, they commended the efforts of Assistant United States Attorney Shehzad Akhtar who investigated and prosecuted the case.
Court Enjoins Alabama Seafood Processor from Distributing Adulterated Seafood ProductsRead the Press Release
A federal court today enjoined an Irvington, Alabama, company and several of its operators from distributing adulterated seafood products in violation of the Food, Drug, and Cosmetic Act (FDCA).
In a civil complaint for permanent injunction filed in the U.S. District Court for the Southern District of Alabama on April 25, the United States alleged that Irvington Seafood, Inc., and its owner, Kevin S. Sakprasit, and company officers Helene Nou and Kammie C. Richardson, violated the FDCA by distributing adulterated ready-to-eat crabmeat products. According to the complaint, the defendants process the products at their Alabama facility and then sell and distribute them to businesses and consumers throughout the country.
The complaint alleges that between 2006 and 2022, multiple Food and Drug Administration (FDA) inspections of the defendants’ facility revealed that the defendants prepared, packaged, and held crabmeat products under insanitary conditions and failed to comply with required current good manufacturing practices and seafood hazard analysis critical control point (HACCP) regulations. According to the complaint, during inspections of the defendants’ facility FDA inspectors found, among other things: the presence of maggots, flies, and roaches; the presence of the bacteria Listeria monocytogenes on food contact and non-food contact surfaces of equipment; and that employees were failing to properly wash their hands and aprons. Food contaminated with L. mono can cause serious illness and even death in vulnerable groups, such as newborns and people with impaired immune systems. The complaint alleges that the defendants failed to take necessary corrective actions after repeated FDA warnings.
“Food manufacturers and distributors must operate in strict compliance with the law,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “The department is committed to working hand in hand with the FDA to help ensure the safety of the nation’s food supply.”
The defendants agreed to settle the suit and be bound by a consent decree of permanent injunction. The order entered by the federal court permanently enjoins the defendants from violating the FDCA and requires that they destroy all raw ingredients and food products currently in their possession. Before processing or distributing any food in the future, the defendants must notify the FDA in advance, comply with specific remedial measures set forth in the injunction, and permit the FDA to inspect their facilities and procedures.
Senior Trial Attorney Arturo DeCastro of the Civil Division’s Consumer Protection Branch is handling the case with the assistance of Associate Chief Counsel Kyrsten L. Melander of the FDA’s Office of the General Counsel.
Additional information about the Consumer Protection Branch and its enforcement efforts may be found at http://www.justice.gov/civil/consumer-protection-branch.
The claims resolved by the resolution announced today are only allegations. There has been no determination of liability.
Colorado Springs Woman Sentenced to 20 Years in Federal Prison for Distributing Fentanyl Resulting in DeathRead the Press Release
DENVER – The United States Attorney’s Office for the District of Colorado announces Alexis Nicole Wilkins, age 28, of Colorado Springs was sentenced to 20 years in federal prison today for distributing fentanyl, resulting in the death of a high school student.
According to the plea agreement, on December 3, 2021, a juvenile overdosed during class at Mitchell High School in Colorado Springs. First responders attempted life-saving measures, and transported the juvenile to a local hospital, where she was pronounced dead. The El Paso County Coroner determined the cause of death was “fentanyl intoxication.” Investigators spoke with two juvenile witnesses who were with the victim in a school restroom that morning. One juvenile witness provided statements that she and the victim used ”Percocet” in the bathroom that morning. Investigators were able to track where the juveniles got the pill through Facebook messages with the defendant, including a conversation which appears to be the one arranging the sale of a pill at the Citadel Mall in Colorado Springs the night before the victim’s death. One of the juvenile witnesses said she was introduced to the defendant by a Denver gang member in February 2021, and had been purchasing “percs” from the defendant. One witness noted the pill they purchased on December 2, 2021, looked different and was a lighter blue color than what they had received previously. Other Facebook messages indicate the defendant knew the pills she was selling were not made by a pharmaceutical company. On March 15, 2022, the Federal Bureau of Investigation (FBI) and the Colorado Springs Police Department executed a federal search warrant on the defendant’s home on West Portal Drive in Colorado Springs. Officers located and seized over 100 blue pills marked with “M” and “30,” which contained fentanyl. Investigators believe some of the pills were packaged for distribution.
“Fentanyl continues to kill innocent victims in Colorado, including teenagers,” said U.S. Attorney Cole Finegan. “As our hearts go out to the victim, her family, and her friends, I ask everyone in Colorado to be on guard and share the message with others. Unless a drug comes from a pharmacist, please do not take it. Any illicit drug could contain fentanyl and, if it does, it could kill you.”
“Alexis Wilkins sold poison to unsuspecting kids in Colorado Springs. No prison sentence can bring back her victim or undo the harm she caused; this outcome does mean she is no longer selling deadly drugs,” said FBI Denver Special Agent in Charge Mark Michalek “FBI Denver is always ready and willing to assist partners like the Colorado Springs Police Department, El Paso County Sheriff’s Office, and 4th Judicial District Attorney’s Office when it comes to halting the distribution of illegal drugs and making our communities safer.”
Judge Christine M. Arguello sentenced the defendant on May 11, 2023. After serving her custodial sentence, the defendant will have three years on supervised release.
The Federal Bureau of Investigation (FBI) Denver Division, the Colorado Springs Police Department Metro, Vice, Narcotics, and Intelligence (MVNI) Unit, the El Paso County Sheriff’s Office, and the 4th Judicial District Attorney’s Office participated in the investigation. The prosecution is being handled by Assistant United States Attorneys Peter McNeilly and Alyssa Mance.
CASE NUMBER: 22-cr-101-CMA
Chico Resident Charged with Wire Fraud in Scheme to Divert Company Accounts to Personal AccountsRead the Press Release
OAKLAND – A federal grand jury indicted Neil Divers, charging him with wire fraud and money laundering in connection with a scheme to divert tens of thousands of dollars owed to a company he co-owned to bank accounts he created for his personal use, announced United States Attorney Ismail J. Ramsey and Internal Revenue Service – Criminal Investigation (IRS-CI) Special Agent in Charge Darren Lian.
Divers, 64, of Chico, Calif., was co-owner of Kodiak, Precision, Inc., a machined component manufacturer located in Richmond, Calif. According to the indictment, owners discovered in 2015 that Divers was taking money from the company without authorization. This revelation led to the development of new controls and procedures to prevent Divers from taking money without authorization from the company again. Although Divers maintained an ownership position with Kodiak, he was removed as a signatory on the company’s accounts. According to the indictment, Divers nevertheless allegedly orchestrated a fraudulent scheme to get around the controls and procedures designed to prevent him from taking money from Kodiak.
The indictment describes certain aspects of Divers’ scheme to defraud. For example, after Divers was removed as a signatory on Kodiak bank accounts, Divers opened additional bank accounts in the name of Kodiak; as part of the set up for the new bank accounts, Divers established himself as the only signatory on the new accounts and created the accounts without the knowledge or consent of the Kodiak’s additional owners. In addition, Divers instructed an employee to have customers deposit funds owed to Kodiak into the new, unauthorized bank accounts. In this way, Diver allegedly diverted funds owed to Kodiak and then used Kodiak funds to maintain his personal lifestyle.
The indictment charges Divers with five counts of wire fraud, in violation of 18 U.S.C. § 1343, and two counts of money laundering, in violation of 18 U.S.C. § 1957.
An indictment merely alleges that crimes have been committed, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law. Each wire fraud count has a maximum statutory sentence of 20 years in prison and a fine in the amount of $250,000. Each money-laundering count has a maximum statutory sentence of 10 years in prison and a fine in the amount of $250,000. The court also may order a term of supervised release, fines or other assessments, restitution, and forfeiture, if appropriate. However, any sentence following conviction would be imposed by the court after consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. § 3553.
Divers was arrested this morning in Texas and made an initial appearance before Magistrate Judge Hal R. Ray, Jr. Divers’ next appearance is scheduled before Chief Magistrate Judge Donna M. Ryu in Oakland, California on June 1, 2023, for initial appearance in this district.Assistant U.S. Attorney Robert Rees is prosecuting the case with the assistance of Leeya Kekona. The prosecution is the result of an investigation by the IRS-CI.
Charleston Man Faces up to 20 Years for Role in Penobscot and Aroostook County Drug TraffickingRead the Press Release
BANGOR, Maine: A Charleston man pleaded guilty in U.S. District Court in Bangor today to conspiracy to distribute and possess with intent to distribute methamphetamine and fentanyl.
According to court records, between January 2018 and December 2021, Thomas Hammond, 24, conspired with others to traffic methamphetamine and fentanyl in Penobscot and Aroostook counties. Hammond knowingly and intentionally joined and participated in the conspiracy.
Hammond is the ninth defendant to plead guilty in this case; four other participants in the conspiracy were sentenced in prior related cases. Hammond faces up to 20 years imprisonment and up to a lifetime of supervised release. He will be sentenced after the completion of a presentence investigation report by the U.S. Probation Office. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
The U.S. Drug Enforcement Administration, Maine Drug Enforcement Agency, and Bureau of Alcohol, Tobacco, Firearms and Explosives, investigated the case. Assistance was provided by police departments in Orono, Bangor, Brewer, Caribou, Presque Isle and Houlton. U.S. Attorney McElwee also recognized the cooperation and coordination provided by the Maine State Attorney General’s Office and the Aroostook County District Attorney’s Office.
Organized Crime Drug Enforcement Task Forces: This prosecution is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
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Cambria County Woman Charged with Conspiracy to Commit Health Care FraudRead the Press Release
HARRISBURG - The United States Attorney’s Office for the Middle District of Pennsylvania announced that Florentina Mayko, age 39, of Cambria County, Pennsylvania, was charged by criminal information with one count of conspiracy to commit health care fraud for defrauding Medicare and the U.S. Department of Health and Human Services between 2017 and 2019.
According to United States Attorney Gerard M. Karam, the information alleges that Mayko agreed with others to defraud Medicare by submitting medically unnecessary urine drug tests for chronic opioid patients at medical clinics where she was the chief executive officer, including a group of clinics known as Pain Medicine of York or “PMY” (also known as All Better Wellness).
Mayko became the CEO of Pain Medicine of York around January 2018. Prior to that, Mayko served as Director of Operations of a group of medical practices known in the information as “Practice Group 1.” Mayko was hired to work at Practice Group 1 by an individual known in the information as Physician 1.
The owner of PMY, known as “PMY Owner” in the information, was friends with Physician 1. Physician 1 was imprisoned for health care fraud and federal tax offenses in mid-2017, at which point the operation of Practice Group 1 was transitioned to PMY. When Mayko was promoted to the position of CEO of PMY, her responsibilities did not materially change. From the time of her promotion onward, Mayko was in charge of the day-to-day management of PMY’s operations.
PMY had a practice, established in 2016 by Physician 1 and PMY Owner, of ordering multiple urine drug tests for each patient at every PMY office visit, despite a lack of medical necessity. The information alleges that, from mid-2017 onward, Mayko and PMY Owner were repeatedly confronted with information regarding the unlawful nature of the company’s UDT billing practices but continued to utilize the practice until search warrants were executed at PMY’s various locations in November 2019. PMY ceased operations soon thereafter.
It is alleged that PMY billed Medicare for more than $10 million in urine drug tests from mid-2017 through the end of 2019, and Medicare paid out over $4 million for these urine drug tests. The urine drug tests ordered by PMY were sent to an in-house laboratory at PMY whenever possible. As a result, when medically unnecessary tests were billed to Medicare, the proceeds from them went to PMY itself, according to the information.
The case was investigated by the U.S. Department of Health and Human Services Office of Inspector General, Federal Bureau of Investigation, Drug Enforcement Administration, and the Pennsylvania Office of Attorney General. Assistant U.S. Attorney Ravi Romel Sharma and Special Assistant U.S. Attorney Robert Smultkis are prosecuting the case.
The information also contains forfeiture allegations seeking properties located in Ocean City, Maryland and Myrtle Beach, South Carolina.
The maximum penalty under federal law for conspiracy to commit health care fraud is 10 years of imprisonment, a term of supervised release following imprisonment, and a fine. A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
Indictments and Criminal Informations are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
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California Men Arraigned for Conspiring to Distribute Drugs and Money LaunderingRead the Press Release
United States Attorney Steven Russell announced that Eric Thibodo, 54, of Malibu, California, and Evan Bowen, 45, of Garberville, California, appeared today before the Honorable Michael D. Nelson, U.S. Magistrate Judge for the District of Nebraska, and pleaded not guilty to a three-count indictment that was unsealed on April 20, 2023. Count I charges Conspiracy to Distribute 1,000 kilograms of marijuana. The maximum penalty is at least 10 years and up to life in prison, a fine of up to $10 million, a term of supervised release of at least 5 years and up to life, and a $100 special assessment. Count II charges Money Laundering and Count III charges Conspiracy to Commit Money Laundering. If convicted of either Count II or III, the possible penalty is 20 years’ imprisonment, a $500,000 fine, up to 5 years of supervised release, and a $100 special assessment. Both men were released on conditions and will be monitored by the United States Probation and Pre-Trial Services agency.
David Leidermann, David Bose, and James Reja were also charged in the same indictment. Leidermann and Bose were arrested in California and have yet to make an appearance in the District of Nebraska. Reja has not been arrested. All defendants charged in an indictment are presumed innocent until proven guilty.
The indictment is the result an investigation dating back to September of 2019 and has revealed evidence of more than 1,000 kilograms of marijuana and millions of dollars in drug proceeds being illegally transported in the District of Nebraska and elsewhere.
This case was the result of an investigation by the Lancaster County Sheriff’s Office and Homeland Security Investigations.
California Gang Member Pleads Guilty to Drug Trafficking, Firearm Possession ChargesRead the Press Release
ALPINE, Texas – A California man pleaded guilty in a federal court in Alpine Wednesday to charges related to drug trafficking.
According to court documents, Adrian Arturo Solis, 30, of Sylmar, California was traveling to Houston on Feb. 9, 2023 to conduct a drug transaction when a Texas Department of Public Safety (DPS) trooper stopped him and his co-conspirators for exceeding the speed limit by 20 mph. When the DPS trooper recognized drug paraphernalia in the vehicle and observed a passenger attempt to conceal a pistol under his leg, he ordered all the occupants out of the vehicle. The three occupants were determined to be convicted felons.
During the traffic stop, Solis admitted to owning and possessing a second firearm located in the vehicle. A probable cause search revealed body armor, firearm magazines, and various types of drugs to include methamphetamine and fentanyl. After arriving at the Pecos Criminal Justice Center, the two passengers who accompanied Solis in the vehicle required medical treatment due to fentanyl overdoses.
Solis pleaded guilty to one count of possession with intent to distribute methamphetamine and one count of possession of firearm in furtherance of a drug trafficking crime. He faces a minimum prison term of five years for the firearm possession count and a maximum sentence of life in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
U.S. Attorney Jaime Esparza of the Western District of Texas made the announcement.
DPS and Pecos Police Department are investigating the case.
Assistant U.S. Attorney Matthew Ellis is prosecuting the case.
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Arundel Resident Agrees to Pay over $330,000 to Settle Allegations of False Claims Act ViolationsRead the Press Release
PORTLAND, Maine: United States Darcie N. McElwee today announced that Gary S. Winn, D.O. of Arundel, has agreed to pay $330,607 to settle allegations that he had violated the False Claims Act.
The civil settlement agreement between Winn and the United States and the State of Maine resolves allegations that Winn, the former medical director and owner of a family medical practice in Biddeford and Sanford, Provider’s Care, submitted false claims to Medicare and MaineCare (Maine’s Medicaid program) from January 2014 through November 2017. MaineCare is funded primarily by the federal government, which pays approximately two-thirds of all reimbursed claims.
On April 27, 2023, the United States filed a Complaint against Winn in the United States District Court for the District of Maine. As alleged in the Complaint, Medicare and MaineCare statutes, regulations and guidelines make clear that participating providers may only bill for services actually provided and which are medically reasonable and necessary. The United States and Maine contended in their Complaint that from January 2014 through November 2017, Winn knowingly submitted to Medicare and MaineCare claims for payment for medical services that were not provided or were not medically reasonable or necessary, including osteopathic manipulation treatment (OMT) services, evaluation and management services, tobacco use cessation counseling visits, outpatient visits, and patient drug testing services.
The Complaint against Winn was brought by the United States pursuant to the False Claims Act (FCA), as well as Maine’s false claims statute. The FCA provides that any person who “knowingly presents, or causes to be presented, a false or fraudulent claim for payment or approval” or “knowingly makes, uses, or causes to be made or used, a false record or statement material to a false or fraudulent claim” is liable to the United States for three times the amount of damages which the United States sustains, plus a civil penalty for each FCA violation. As alleged in the Complaint, by submitting claims for payment for medical services that were not provided or were not medically reasonable or necessary, Winn violated the FCA.
The U.S. Department of Health & Human Services, Office of Inspector General, the U.S. Attorney’s Office for the District of Maine, and the Office of the Maine Attorney General investigated the case. The civil action is docketed United States & State of Maine v. Gary S. Winn, 23-cv-00186-JDL (D. Me.).
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Armed Career Criminal Sentenced to 30 Years in Federal Prison on Drug Trafficking and Firearm OffensesRead the Press Release
GAINESVILLE, FLORIDA – Carlos Kentral Kerney, 43, of Gainesville, Florida, was sentenced to a total of 30 years in federal prison following his conviction for possession with intent to distribute controlled substances, carrying a firearm during and in relation to drug trafficking, and possession of a firearm by a felon. Jason R. Coody, United States Attorney for the Northern District of Florida announced the sentence.
“This sentence ensures that our community will be safer and sends a message that there are real and severe consequences for federal firearm offenses,” said U.S. Attorney Coody. "Thanks to the outstanding work of our law enforcement partners, this armed felon has been called to account for his continued criminal conduct."
Kerney was convicted by a federal jury after a 3-day trial in January 2023. Evidence introduced at trial revealed that an Alachua County Sheriff’s Deputy conducted a traffic stop of Kerney for speeding on June 22, 2022. During the stop, the deputy observed the grip of a pistol sticking out from between the driver’s seat and center console. Deputies confirmed Kerney was a multi-time convicted felon and detained him in handcuffs. After being read his rights, Kerney denied ownership/knowledge of the firearm, claiming it must be his girlfriend’s gun because she has a Concealed Carry Permit. Further search of the vehicle led to discovery of 120 grams of marijuana, and varying amounts of cocaine, cocaine base, and a synthetic cathinone in the center console, two scales in the vehicle, and another small baggie of marijuana and $1000 cash on Kerney’s person.
“The Men and Women of the Alachua County Sheriff’s Office, in concert with our state and federal partners, will continue to pursue career felons who unlawfully possess firearms and who continuously try to peddle the poison of illegal narcotics on the streets of Alachua County, Florida. The mission to protect the safety and security of our citizens and visitors will always remain a top priority for this agency.” – Sheriff Clovis Watson, Jr.
Kerney had previously been convicted of twenty-five felonies and qualified as an Armed Career Criminal. Kerney’s imprisonment will be followed by six years of supervised release.
This conviction was the result of an investigation conducted by the Bureau of Alcohol Tobacco, Firearms and Explosives, and the Alachua County Sheriff’s Office. Assistant United States Attorney Christopher M. Elsey prosecuted the case.
The United States Attorney’s Office for the Northern District of Florida is one of 94 offices that serve as the nation’s principal litigators under the direction of the Attorney General. To access public court documents online, please visit the U.S. District Court for the Northern District of Florida website. For more information about the United States Attorney’s Office, Northern District of Florida, visit http://www.justice.gov/usao/fln/index.html.
An Oklahoma Narcotic Treatment Service Pays $50,000 to Settle Civil Penalty Claims Stemming from Allegations of Recordkeeping ViolationsRead the Press Release
OKLAHOMA CITY – Southern Oklahoma Treatment Services, Inc., (“SOTS”), paid $50,000 to settle civil penalty claims stemming from allegations that they violated the Comprehensive Drug Abuse Prevention and Control Act of 1970 and its regulations, announced United States Attorney Robert J. Troester.
SOTS is a for profit company incorporated in the State of Oklahoma. It owns and operates Narcotic Treatment Programs in Lawton, Ardmore and Mead, Oklahoma.
The United States alleges that from March 9, 2022, to June 9, 2022, SOTS failed to have appropriate destruction procedures and records for the wasting of Methadone, failed to maintain DEA 222 forms at each separate SOTS location related to purchases of Methadone, and failed to have a DEA 222 form for the transfer of Methadone from the SOTS clinic in Ardmore to the clinic in Lawton. It is also alleged that the SOTS clinic in Ardmore did not have a current Power of Attorney on file for the Program Sponsor. To resolve these allegations, SOTS agreed to pay $50,000 to the United States.
In reaching this settlement, SOTS did not admit liability, and the government did not make any concessions about the legitimacy of the claims. The agreement allows the parties to avoid the delay, expense, inconvenience, and uncertainty involved in litigating the case.
This case was investigated by the Drug Enforcement Administration, Office of Diversion Control. Assistant U.S. Attorneys Ronald R. Gallegos and Amanda R. Johnson prosecuted the case.
Accounting Manager for Everett, Washington, company pleads guilty to embezzling more than $2.5 million from employerRead the Press Release
Seattle – A 39–year-old Kent, Washington, woman pleaded guilty today in U.S. District Court in Seattle to wire fraud and tax fraud charges for her 10-year embezzlement scheme, announced U.S. Attorney Nick Brown. Christin Guillory, an Accounting Manager at an Everett-based manufacturing company, stole more than $2.5 million from her employer by transferring funds to accounts Guillory set up in the names of fake companies and then routing the funds to her own bank accounts. Guillory faces up to 20 years in prison when sentenced by U.S. District Judge Ricardo S. Martinez on August 11, 2023.
According to the plea agreement, in April 2013, Guillory set up an account with payment processor Square that used a display name that made it appear it was an account of a commercial shipping company. Between 2014 and 2019, Guillory secretly paid $1,695,591 to that account and then transferred the money to her own bank accounts. She made false entries in the company books to conceal the theft.
In 2019, Guillory stopped using Square for her fraud and instead used two PayPal accounts. She gave one of the PayPal accounts a display name similar to that of her employer. For the second account, she used the name of a shipping company with which she had no affiliation. In 2020 and 2021, she caused the transfer of $604,000 to the PayPal accounts and made false accounting entries to cover her tracks. She then transferred the bulk of the money for her own use. Becoming more brazen, between August and November 2021, Guillory transferred $247,000 directly from company accounts to her own bank accounts. Again, she made fraudulent accounting entries and reused legitimate invoices to make it appear the payments were for appropriate business purposes. In all, Guillory made at least 867 secret transactions using interstate wires that totaled $2,536,086.
The scheme was detected when a financial institution reported irregularities.
Guillory is also charged with making a false tax return for failing to report the more than $2.5 million in income she embezzled. For example, for the tax year 2019, Guillory represented that her income was $38,022, but failed to report the $615,392 in income she received that year from her embezzlement. In all, Guillory failed to pay $590,850 that she owed in taxes.
“Ms. Guillory received millions of dollars of ‘involuntary contributions’ from her employer, stolen amounts which she gave herself by abusing her position of trust within the company,” said Special Agent in Charge Bret Kressin, IRS Criminal Investigation (IRS:CI), Seattle Field Office. “Financial and tax crime have consequences, and Ms. Guillory’s guilty plea today is a compelling reminder of that.”
Wire fraud is punishable by up to twenty years in prison. Filing a false tax return is punishable by up to three years in prison.
Under the terms of the plea agreement, prosecutors will recommend no more than 41 months in prison for Guillory. The actual sentence is up to Judge Martinez who will consider a number of statutory factors before determining the appropriate sentence.
The case was investigated by the FBI and the Internal Revenue Service: Criminal Investigation (IRS:CI).
The case is being prosecuted by Assistant United States Attorney Seth Wilkinson.